WASHINGTON—The Defense Credit Union Council, in a letter to Treasury Secretary Scott Bessent, is asking the department for an update on its commitment to providing recommendations regarding the Community Development Financial Institutions (CDFI) Fund Executive Order to the White House.
As CUToday.info reported, President Trump this month signed an executive order that aims to eliminate seven federal agencies—including the CDFI Fund.
DCUC sent a letter to Bessent on March 16 expressing strong support for the CDFI Fund and emphasized its critical value to credit unions serving military members and other underserved communities.
In that correspondence, DCUC outlined how the CDFI Fund empowers nearly 500 mission-driven credit unions to provide affordable financial services—such as small-dollar loans, financial education, and community development projects—to millions of Americans in low-income and military communities. The trade group stressed that eliminating this program would undermine those efforts and harm the servicemembers, veterans, and working families who rely on credit unions for their financial well-being.
“In light of the Executive Order calling for the CDFI Fund’s elimination, we also urged the Treasury Department to clarify the future of this essential program as soon as possible,” said DCUC Chief Advocacy Officer Jason Stverak.
Bessent responded to DCUC’s initial letter, stating the department recognizes the important role the Community Development Financial Institutions Fund plays.
"This Administration recognizes the important role that the CDFI Fund and CDFIs play in expanding access to capital and providing technical assistance to communities across the United States,” Bessent stated in his response to DCUC. “CDFIs are a key component of President Trump's commitment to supporting Main Street America in the pursuit of job growth, wealth creation, and prosperity. As required by President Trump's March 14, 2025, executive order, the Treasury Department will provide a response to the Director of the OMB on this matter and looks forward to future engagement with CDFIs and other stakeholders to strengthen the impact of these statutory programs and incentivize economic opportunities for all Americans."
In DCUC’s follow-up letter to Bessent, the trade group thanked the Treasury secretary for the prompt response, but asked for an update.
“We appreciate your acknowledgement of the important role the CDFI Fund and CDFIs play in expanding access to capital in underserved areas. Your response affirmed the Administration’s commitment to engaging with CDFIs and other stakeholders to strengthen these programs, and it noted that the Treasury Department would be providing recommendations regarding the CDFI Fund Executive Order to the White House (via the Office of Management and Budget) as required.
“As those recommendations were expected to be submitted by last Friday (March 21, 2025), we respectfully request an update on the status of that process. Given the significant implications of the Executive Order for community development finance, transparency and timely communication are essential. We ask that you share any developments or preliminary outcomes with DCUC and other stakeholders as soon as possible, so that we can understand the direction of policy and plan accordingly,” Stverak wrote.