Dear Friends,
On October 3, 2008, the government responded to the economic crisis by implementing the Troubled Asset Relief Program (TARP) the act that "bailed out" the nation's largest financial institutions. While ACCION USA commends our government leaders for their bold action, we must carve out funding that will directly benefit the small business owners and individual citizens hardest hit by the credit crisis.
As a board member of the Community Development Financial Institution (CDFI) Coalition and President & CEO of ACCION USA, the nation's leading microlending organization, I urge you to join the CDFI Coalition in ensuring that the credit needs of low and moderate income communities are not left behind.
CDFI's are the development banks, credit unions, loan funds, venture capital funds, and microloan funds like ACCION USA that can link much-needed credit to the nation's homeowners and small businesses. The CDFI Coalition is advocating for the creation of a Capital for Communities Recovery Program that would:
- Set aside $1 billion of the $700 billion Emergency Economic Recovery Act for CDFI's to support lending to and investing in low and moderate income communities and people; and
- Infuse the Community Development Financial Institutions Fund (CDFI Fund) with an additional $500 Million each of the next two years. CDFIs across the country submit applications but only one in five can be funded. These additional dollars can be deployed quickly and successfully to low- and moderate-income communities
- Establish an affirmative obligation on institutions that receive funding under the Capital Purchase Program to support CDFI's.
As an advocate for your community, the members of the Treasury need to hear from you! I urge you to support these important initiatives by visiting the CDFI Coalition website and signing an electronic petition letter. The letter can be personalized, and I invite you to add your personal experiences in your community as well as an expression of support for ACCION USA as a CDFI.
With your help, we may be able to provide valuable resources to those who have suffered most from the current crisis and can make enormous contributions towards revitalizing the economy.
Sincerely,
Gina Harman
President and CEO, ACCION USA