February 21, 2023

NAFCU reiterates concerns over CDFI changes

Govt building columnsAhead of the Community Development Advisory Board meeting Feb. 28, NAFCU reiterated concerns about changes to the Community Development Financial Institution (CDFI) Fund Certification Application and Certification process.

NAFCU Senior Regulatory Affairs Counsel Aminah Moore highlighted several concerns from NAFCU member credit unions, and shared the association’s previous comments on the proposed changes.

The CDFI Fund announced last month that it was postponing the launch of the new CDFI Certification Application and plans to revise the version released for public comment in November. NAFCU has been heavily engaged throughout this process, requesting more transparency and communication from the fund.

NAFCU also shared its opposition to the proposed changes to the CDFI certification standards and joined with other trades to raise CDFI concerns to lawmakers. Additionally, the association’s President and CEO Dan Berger met with Rep. Maxine Waters, D-Calif., to voice concerns that the proposed changes to the application will restrict access to the fund and its resources.

Information on how to access the meeting can be found on the CDFI Fund’s release.

Relatedly, the NCUA Board last week issued a proposed rule on field of membership (FOM) and chartering requirements, which includes efforts to streamline application requirements related to underserved areas.

Stay tuned to NAFCU Today for the latest on this topic.