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Funds Strengthen Main Street Financial Institutions in 26 States, the District of Columbia, and Guam, Help Deliver Credit to Small Businesses and Families
WASHINGTON – Following through on a commitment to provide support to Main Street banks, thrifts, and credit unions that lend to small businesses and families in underserved communities, the U.S. Department of the Treasury today announced the completion of funding under its Community Development Capital Initiative (CDCI). Overall, that program has invested $570 million in 84 Community Development Financial Institutions (CDFIs) in 26 states, the District of Columbia, and Guam. (A full state-by-state listing of institutions receiving CDCI investments is included below.)
On February 3, 2010, the Obama Administration announced the creation of the CDCI program under the Emergency Economic Stabilization Act’s Troubled Asset Relief Program (TARP). The CDCI program, which is closing today ahead of the October 3 expiration of TARP purchasing authority, invests lower-cost capital in Community Development Financial Institutions (CDFIs). CDFIs are institutions that target at least 60 percent of their lending and other economic development activities in areas underserved by traditional financial institutions.
“It’s a common misconception that TARP funds only went to large Wall Street firms, but the CDCI program is yet another example of how TARP is providing critical assistance to Main Street financial institutions,” said Herbert Allison, Treasury Assistant Secretary for Financial Stability. “In communities across our country, CDCI funding is helping to strengthen local financial institutions and deliver credit to small businesses and families.”
“Community development financial institutions have been at the forefront of the efforts to fight the economic recession in our nation’s low-income communities,” said Donna J. Gambrell, Director of Treasury’s Community Development Financial Institutions Fund. “At a time when many financial institutions have pulled back, CDFIs have actually increased their lending and investments in underserved communities. These CDCI investments will enable community banks, thrifts, and credit unions to spur economic development in the communities that have been hit hardest by the economic downturn.”
As part of the overall $570 million in CDCI investments made since the inception of that program, Treasury today completed a final round of CDCI investments, which provided $312 million in funds to 38 CDFIs.
CDCI investments are made at a dividend rate of 2 percent. To encourage repayment, while recognizing the unique circumstances facing CDFIs, the dividend rate under CDCI will increase to 9 percent after eight years.
A listing of state-by-state CDCI investments is included below:
CDCI Investments
Tongass Federal Credit Union
Ketchikan
AK
$1,600,000
United Bancorporation of Alabama, Inc.
Atmore
AL
$10,300,000
Phenix Pride Federal Credit Union
Phenix City
AL
$153,000
First Vernon Bancshares
Vernon
AL
$6,245,000
Southern Bancorp, Inc.
Arkadelphia
AR
$33,800,000
Pyramid Federal Credit Union
Tucson
AZ
$2,500,000
Cooperative Center Federal Credit Union
Berkeley
CA
$2,799,000
Butte Federal Credit Union
Biggs
CA
$1,000,000
First Choice Bank
Cerritos
CA
$5,146,000
Northeast Community Federal Credit Union
San Francisco
CA
$350,000
Santa Cruz Community Credit Union
Santa Cruz
CA
$2,828,000
Mission Valley Bancorp
Sun Valley
CA
$10,336,000
Episcopal Community Federal Credit Union
Los Angeles
CA
$100,000
Community Bank of the Bay
Oakland
CA
$4,060,000
Faith Based Federal Credit Union
Oceanside
CA
$30,000
East End Baptist Tabernacle Federal Credit Union
Bridgeport
CT
$7,000
IBW Financial Corporation
Washington
DC
$6,000,000
CFBanc Corporation
Washington
DC
$5,781,000
D.C. Federal Credit Union
Washington
DC
$1,522,000
Citizens Bancshares Corporation
Atlanta
GA
$11,841,100
Bainbridge Bancshares, Inc.
Bainbridge
GA
$3,372,000
Community First Guam Federal Credit Union
Hagatna
GU
$2,650,000
Prince Kuhio Federal Credit Union
Honolulu
HI
$273,000
Independent Employers Group Federal Credit Union
Hilo
HI
$698,000
IBC Bancorp, Inc.
Chicago
IL
$8,086,000
First Eagle Bancshares, Inc.
Hanover Park
IL
$7,875,000
American Bancorp of Illinois, Inc.
Oak Brook
IL
$5,457,000
Premier Bancorp, Inc.
Wilmette
IL
$6,784,000
PGB Holdings, Inc.
Chicago
IL
$3,000,000
North Side Community Federal Credit Union
Chicago
IL
$325,000
Community Plus Federal Credit Union
Rantoul
IL
$450,000
Union Baptist Church Federal Credit Union
Fort Wayne
IN
$10,000
Vigo County Federal Credit Union
Terre Haute
IN
$1,229,000
Liberty Financial Services, Inc.
New Orleans
LA
$11,334,000
Tulane Loyola Federal Credit Union
New Orleans
LA
$424,000
UNO Federal Credit Union
New Orleans
LA
$743,000
PSB Financial Corp
Many
LA
$9,734,000
Shreveport Federal Credit Union
Shreveport
LA
$2,646,000
Carter Federal Credit Union
Springhill
LA
$6,300,000
University Financial Corp, Inc.
St. Paul
MN
$22,115,000
Guaranty Capital Corporation
Belzoni
MS
$14,000,000
Hope Federal Credit Union
Jackson
MS
$4,520,000
Kilmichael Bancorp, Inc.
Kilmichael
MS
$3,154,000
Security Capital Corporation
Batesville
MS
$17,910,000
Magnolia State Corporation
Bay Springs
MS
$7,922,000
Community Bancshares
Brandon
MS
$54,600,000
State Capital Corporation
Greenwood
MS
$15,750,000
The First Bancshares
Hattiesburg
MS
$17,123,000
First M&F Corp
Kosciusko
MS
$30,000,000
Bancorp of Okolona, Inc.
Okolona
MS
$3,297,000
Lafayette Bancorp Inc
Oxford
MS
$4,551,000
BancPlus Corporation
Ridgeland
MS
$80,914,000
Gateway Community Federal Credit Union
Missoula
MT
$1,657,000
M&F Bancorp, Inc.
Durham
NC
$11,735,000
First Legacy Community Credit Union
Charlotte
NC
$1,000,000
Greater Kinston Federal Credit Union
Kinston
NC
$350,000
First American International Corp.
Brooklyn
NY
$17,000,000
Buffalo Cooperative Federal Credit Union
Buffalo
NY
$145,000
Alternatives Federal Credit Union
Ithaca
NY
$2,234,000
Neighborhood Trust Federal Credit Union
New York
NY
$283,000
Lower East Side People’s Federal Credit Union
New York
NY
$898,000
Genesee Co-op Federal Credit Union
Rochester
NY
$300,000
Carver Bancorp, Inc
New York
NY
$18,980,000
Bethex Federal Credit Union
Bronx
NY
$502,000
Brooklyn Cooperative Federal Credit Union
Brooklyn
NY
$300,000
Southern Chautauqua Federal Credit Union
Lakewood
NY
$1,709,000
Workers United Federal Credit Union
New York
NY
$57,000
Union Settlement Federal Credit Union
New York
NY
$295,000
Fidelis Federal Credit Union
New York
NY
$14,000
BankAsiana
Palisades Park
NJ
$5,250,000
Renaissance Community Development Credit Union
Somerset
NJ
$31,000
Hill District Federal Credit Union
Pittsburgh
PA
$100,000
Security Federal Corporation
Aiken
SC
$22,000,000
Tri-State Bank of Memphis
Memphis
TN
$2,795,000
Liberty County Teachers Federal Credit Union
Liberty
TX
$435,000
Border Federal Credit Union
Del Rio
TX
$3,260,000
Southside Credit Union
San Antonio
TX
$1,100,000
Virginia Community Capital, Inc.
Christiansburg
VA
$1,915,000
Fairfax County Federal Credit Union
Fairfax
VA
$8,044,000
Freedom First Credit Union
Roanoke
VA
$9,278,000
Opportunities Federal Credit Union
Burlington
VT
$1,091,000
Thurston Union of Low-Income People (TULIP) Cooperative Credit Union
Olympia
WA
$75,000
Brewery Federal Credit Union
Milwaukee
WI
$1,096,000
Atlantic City Federal Credit Union
Lander
WY
$2,500,000
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