House Passes Bill to Take Back Millions Already Provided for CDFI Program
The legislation is part of a larger $15 billion rescissions measure.
The House Thursday night passed a rescissions package that would take back $141.7 million already appropriated for the Community Development Financial Institutions Capital Magnet Fund.
The legislation, which had been proposed by the Trump Administration, also includes a rescission of $22 million already provided for the CDFI’s Bank Enterprise Award program.
The legislation is part of a larger $15 billion rescissions measure; the House passed the bill, 210-206. However, it faces an uncertain future in the Senate, where it is likely to be vehemently opposed by most Democrats and some Republicans.
Meanwhile, House Republicans are proposing to reduce funding for the CDFI program by $59 million for FY19. The program received $250 million. It would receive $191million under a funding bill approved last week by the House Financial Services Appropriations Subcommittee.
Credit union trade groups have been pushing hard in support of the CDFI program.
NAFCU officials said the program is an important resource for many credit unions.
And CUNA President/CEO Jim Nussle said that the capital magnets program is essential since it provides “funds that credit unions are able to leverage for much-needed affordable housing solutions in the communities they serve.”