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The Treasury Department is seeking comments on a proposed rule that would revise the administrative requirements for the Community Development Financial Institutions (CDFI) grant program.

NAFCU staff are studying the proposed changes for their potential impact on credit unions and plan to submit a comment letter to Treasury by the Oct. 30 deadline.

The proposed changes would combine grant-related guidance circulars in order to reduce the administrative burden for grant recipients. Other changes include revisions to cost principles, technical corrections and audit requirements for federal awards.

The CDFI Fund is administered through the Treasury Department. Credit unions with NCUA's low-income designation automatically qualify to apply for CDFI certification, which enables them to apply for assistance and grants from the fund to serve economically distressed areas.