Where is the CDFI Fund Headed?
The confusion and panic spreading throughout the CDFI industry is palpable. Client or not, I feel compelled to share a few important facts regarding the current situation with the CDFI Fund. Let me say upfront that these facts may or may not have a bearing on the outcome, but I see them as potential silver linings in otherwise dark skies.
Contracts for External Reviewers
The Treasury Department has not terminated the contracts for the firm that conducts the external evaluation for the CDFI Fund Program Round.
The Treasury Department has not canceled the independent reviewers' contracts for CDFI Certification applications. How well the process for reviewing applications is going is another story; contact me separately for more information.
Narrative for CDFI Fund Program Applications Within the Context of DEI-Related Executive Orders
The evaluation criteria for reviewing FA and TA applications have not changed. Rinse, lather, repeat. Click here for more.
In no way do I dismiss our clients' concerns, a large percentage of whom serve underrepresented individuals. However, in my personal and professional life, making decisions based on fear usually doesn't work well. For example, one of our clients, and one the most prestigious non-minority-led CDFIs, continues to proclaim its values and mission:
"Equitable access is a thread that runs through all of our programs and goals. Our vision is.... for everyone with multi-ethnic and mixed-income neighborhoods where all residents feel safe and welcome and have access to resources and opportunities. Through our real estate work, we ensure that we maintain percentages of affordable units in multi-family housing and work to identify and support developers of color. In our small business and venture investment work, we actively seek out entrepreneurs of color, immigrants, females, or (city) residents."
Or this statement from a long-time certified black-led CDFI: "Since our founding, we've focused on creating programs that support and elevate Black and minority-owned businesses."
We need not focus on the words; we should rethink the broader narrative. Communications professionals in the social impact sector have much to say on this issue. For more, click here.
And finally.....
The bipartisan Senate Community Development Finance Caucus: Created in 2022, the CDFC is "the platform where policymakers can coordinate and expand on public and private-sector efforts in support of the missions of Community Development Financial Institutions (CDFIs) and Minority Depository Institutions (MDIs)." The CDFC co-chairs are U.S. Senator Mark Warner (D-VA) and U.S. Senator Mike Crapo (R-ID).
Senator Mike Crapo, who is now the Chair of the Senate Finance Committee?
These are the facts as of today. In closing:
“The difference between equity and equality is that equality is when everyone gets the same thing, and equity is when everyone gets the things they deserve.”
DeRay Mckesson, Activist.
"Present day statesmen are making the biggest blunder of the age if they believe that there can be any peace without equity and justice to all mankind."
Marcus Garvey
Keep in touch. Thanks!
