House prepares to vote on FSGG w/ CUNA supported funds
The House is expected to vote this week on the Financial Services and General Government (FSGG) Appropriations Act for Fiscal Year 2020 (H.R. 3351), a bill that contains CUNA-supported levels for several credit union funds.
H.R. 3351 contains a $50 million increase to the Treasury’s Community Development Financial Institutions (CDFI) Fund, set at $300 million for fiscal year 2020. The fund makes capital grants, equity investments and awards for technical assistance to certified CDFIs.
“CDFIs are required to provide a 1:1 match for most of the awarded funds, which are offered on a competitive basis. CDFIs finance community development initiatives such as small businesses, community facilities, and low-income housing,” wrote CUNA President/Jim Nussle in a letter supporting H.R. 3351.
As of June 14, credit unions make up 274 of 1,061 certified CDFIs nationwide.
CUNA also strongly supports the bill’s funding for NCUA’s Community Development Revolving Loan Fund (CDRLF) at $2 million for fiscal year 2020.
The CDRLF funds a revolving loan program and a technical assistance program that assists credit unions serving low-income communities to:
- Provide financial services to their communities;
- Stimulate economic activities in their communities, resulting in increased income and employment; and
- Operate more efficiently.
The House is expected to vote on H.R. 3351 in the coming days.