Episode 77: CRA Tips: CDCs - Your Partners in Community Development
I recently walked a CRA officer through a potential loan transaction in partnership with a community development corporation, otherwise known as a CDC. As a CRA professional, you may be approached by CDCs directly, or CDCs might approach your lenders first. Either way, these mission based organizations are great partners in community development.
It is estimated that there are 4,500 CDCs nationwide, and there’s likely one or several in your state. Here, I cover what CDCs are, how they came about, and what they focus on. I discuss how they partner with other community development initiatives to drive local impact.
Community Development Corporations (CDCs) Resources:
The term “community development corporation” means a private, nonprofit corporation whose board of directors is comprised of business, civic, and community leaders, and whose principal purpose includes the provision of low-income housing or community economic development projects that primarily benefit low-income individuals and communities. 34 U.S. Code § 12211
https://case.edu/ech/articles/c/community-development-corporations
Here is one of my favorite resources mentioned in this episode:
https://www.dallasfed.org/~/media/documents/cd/pubs/craloan.pdf
Here is another article that highlights the importance of partnering with your lenders to drive community development impact:
- CRA Today Website: https://cratoday.com/
- CRA Hub: For more Community Reinvestment Act training resources, check out the Hub! https://cratoday.com/hub
- Linda Ezuka, LinkedIn https://www.linkedin.com/in/linda-ezuka-cra-today/
(No claim to original U.S. government material)
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