New Markets Tax Credit News Briefs – July 2020
The U.S. Small Business Administration, in consultation with the U.S. Treasury, announced May 28 that it set aside $10 billion exclusively for community development financial institutions (CDFIs) to lend under the second round of funding for the Paycheck Protection Program (PPP). Treasury said that dedicating a portion of the PPP funds to CDFIs will further ensure that PPP reaches communities in need.
The CDFI Fund released a notice May 28 opening the fiscal year 2020 round for the Capital Magnet Fund (CMF). Through the CMF, the CDFI Fund will award up to $173.8 million in grants to CDFIs and nonprofit organizations to finance affordable housing and related economic development and community service facilities. The deadline to submit CMF application materials through the CDFI Fund’s Award Management Information System is July 27 at 5 p.m. ET.
The CDFI Fund published a notice in the May 7 Federal Register seeking feedback on new forms and reports that will be used to certify, evaluate and recertify CDFIs. CDFI Fund director Jodie Harris explained in a May 6 announcement the revisions to the CDFI certification application and the annual certification and data collection report and certification transaction-level reporting. Comments on the changes must be submitted by Aug. 5.
The Barton Academy Foundation announced a $14 million funding milestone May 20 for the renovation of historic Barton Academy in Mobile, Ala. The former school will be transformed into the Barton Academy of Advanced World Studies and is expected to open in August 2021. The development was financed in part by $8 million in new markets tax credit equity and federal and state historic tax credit equity.