WASHINGTON–Following mark-up, the House Financial Services Committee has passed its piece of the multi-trillion budget reconciliation bill, including a $10-billion increase in the CDFI Fund aimed at increasing affordable housing in the country.
Credit unions have been advocating for increased funding for community development financial institutions, but the funds for housing are a relatively new initiative launched under the Democratic administration and Congress.
Should the language remain and the reconciliation bill pass, the $10 billion is aimed at helping CDFIs to build or preserve more than 170,000 “affordable” homes, according to supporters.
Specifically, the funding is to go toward providing “competitive grants” to CDFIs and non-profit housing developers that is, in turn, to be used to help leverage private sector investment.