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2025 Session

Budget Amendments - SB800 (Member Request)

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Chief Patron: Favola
Replenish the Community Development Financial Institutions Fund

Item 103 #1s

Item 103 #1s

First Year - FY2025 Second Year - FY2026
Commerce and Trade
Department of Housing and Community Development FY2025 $0 FY2026 $10,000,000 GF

Language
Page 111, line 49, strike "$81,477,325" and insert "$91,477,325".

Page 118, line 36, after "P." insert "1."

Page 118, line 36, after "year" delete "and $150,000" and insert "and $10,150,000".

Page 118, after line 39, insert:

"2. The department shall use up to 20 percent, but no less than ten percent of the fund to provide low-interest, unforgivable loans to qualifying institutions, as defined by § 36-140.01, Code of Virginia. Interest on loans made from the Fund shall not exceed two percent.

3. The department shall require (a) qualifying institutions receiving a loan from the Fund to finance eligible program projects through loans, and (b) repayment of loan awards no sooner than five years after its execution of a loan contract with the qualifying institution."



Explanation

(This amendment provides $10.0 million GF the second year to recapitalize the Community Development Financial Institutions Fund and establish a revolving fund to provide low-interest loans to qualifying institutions.)