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Congresswoman Michelle Lujan Grisham

Representing the 1st District of New Mexico

Rep. Lujan Grisham’s Amendment to Increase Community Development Financial Institutions Funding Passes

Jul 19, 2018
Press Release

Rep. Lujan Grisham’s Amendment to Increase Community Development Financial Institutions Funding Passes

WASHINGTON, DC – On Thursday, July 18th, U.S. Representative Michelle Lujan Grisham’s (NM-01) amendment to increase funding for Community Development Financial Institutions (CDFIs) passed the House of Representatives.  CDFIs drive economic development by providing financial products like loans, investments, and tax credits to underserved communities including poor, rural, and tribal areas. 

“My CDFI amendment will enable New Mexican entrepreneurs to obtain capital to start and grow small businesses, help pueblos to build affordable housing, and provide access to economic development opportunities for rural communities throughout New Mexico,” Rep. Lujan Grisham said. “For every federal dollar a CDFI receives, it is able to leverage that dollar 12 times to provide loans and spur economic growth in underserved areas.  Increasing CDFI funding will help boost New Mexico’s economy and create jobs throughout our state.”

There are currently 19 CDFIs in New Mexico which have received $48 million in federal grants since 1996.  In total, CDFIs have provided 14,700 loans worth more than $830 million for New Mexico communities, organizations, and individuals.

A video of Rep. Michelle Lujan Grisham introducing the CDFI amendment on the House Floor can be found here.

CDFI Lending Examples:

  • When no other lenders would give them a loan, the Clinica la Esperanza in the South Valley received a $31,200 loan from the Accion CDFI to provide much-needed primary care to residents in the South Valley. A few years later, the clinic received an additional $76,200 from Accion to move to a larger location in order to serve a larger client base of 3,800 patients.
  • Tiwa Lending Services provides loans and financial education to the Pueblo of Isleta and other surrounding Native Americans communities.
  • Last month Clearinghouse CDFI received a $3.2 million grant to build affordable housing in several states including New Mexico.

 

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