Displaying the ‘Public Policy’ Category:

CDVCA endorsement of SSBCI bill

July 14, 2014  |   Public Policy   |     |   0 Comment

CDVCA supports the ‘Small Business Access to Capital Act of 2014’ bill for its potential to stimulate job creation across the states by making available much needed capital to small businesses and leveraging private capital. CDVCA from its  experience managing the Innovate NY Fund, New York State's SSBCI funded venture fund of funds, has seen firsthand the impact of the 2010 funding round. Click here to view a one pager on the bill.  

OCC’s Outlook Live Webinar on Interagency Questions and Answers Regarding Community Reinvestment

July 14, 2014  |   Public Policy   |     |   0 Comment

Staff members from the Federal Deposit Insurance Corporation, the Board of Governors of the Federal Reserve System, and the Office of the Comptroller of the Currency (OCC) (collectively, the agencies) are hosting a discussion of the revisions to the “Interagency Questions and Answers Regarding Community Reinvestment” (Q&As) that were issued on November 15, 2013, and the revised interagency “Large Institution Community Reinvestment Act Examination Procedures” (CRA examination procedures) that were issued on April 18, 2014. The revisions to the Q&As and the revised CRA examination procedures primarily address community development issues. This webinar will cover new Q&As that - clarify how the agencies consider community development activities benefiting a broader statewide or regional area that includes an institution’s assessment area. - provide guidance related to CRA consideration of, and documentation associated with, investments in nationwide funds. - clarify the consideration of certain community development services, such as service on a community development organization’s board of directors. - address the treatment of loans or investments to organizations that, in turn, invest those funds and use only a portion of the income from their investments to support a community development purpose. - clarify that community development lending performance is always considered in a large financial institution’s lending test rating.   The deadline for registration to join the live session is July 17, 2014. Please follow this link to OCC's website for more details.   Related Links Webinar Registration “Large Institution CRA Examination Procedures” "Interagency Questions and Answers Regarding Community Reinvestment” “Supplementary Interagency ...

CDVCA Takes General Partner Role in $45M New York State Fund

CDVCA serves as the General Partner for New York State’s “Innovate NY Fund, L.P.,” an economic development Fund of Funds, consisting of limited partnership investments into eight New York State-focused, early-stage venture funds.   The $45 million fund is a seed stage business equity fund to support innovation, job creation, and high growth entrepreneurship throughout the state. The Innovate NY Fund is supported with $35 million in State funds (allocated from the US Treasury’s SSBCI Program) and $10 million from Goldman Sachs Urban Investment Group, and will leverage up to $450 million in additional private investment. The purpose of the Innovate NY Fund is to promote technology-led economic growth in the state through targeted investments by regional venture fund managers (the “Seed Funds”) into over 100 seed and early stage companies; and to encourage additional private sector investment across the state.  Unique among state-funded venture capital programs, Innovate NY Fund recognizes that effective statewide growth must include its lower income populations.  The Fund’s investment criteria include a requirement to invest a portion of proceeds in businesses located in lower income communities, or to meaningfully employ individuals from these communities. New York’s approach has been to collaborate with private investors, which includes Goldman Sachs as a limited partner, and through an effective matching investment requirement for the participating funds.  As part of the Small Business Jobs Act signed into law in September 2010, the State Small Business Credit Initiative (SSBCI) was created under the US Department of the Treasury to provide direct support to states ...

Still Time to Ask Your Senators to Weigh In on Tax Reform and Support the NMTC, LIHTC, and HTC

July 24, 2013  |   CDVCA Ventures Blog,Industry News,Public Policy   |     |   0 Comment

Earlier this month, Senators Max Baucus (D-MT) and Orrin Hatch (R-UT), the Chairman and Ranking Member of the Senate Finance Committee, wrote to their Senate colleagues asking for comments and feedback on tax reform. In the letter, Senators Baucus and Hatch describe the “blank slate” approach they will take in reforming the tax code and the only provisions, credits, or deductions that will be continued after tax reform are those that meet: "(1) help grow the economy, (2) make the tax code fairer, or (3) effectively promote other important policy objectives." Senators have been asked to submit their comments or recommendation letters to the Finance Committee by Friday, July 26th and the submissions will not be made public by the Finance Committee. It is important that Senators hear from CDFI about the tax provisions that are critical to the community development and economic revitalization efforts in their home states – particularly the impact of the New Markets Tax Credit, the Low Income Housing Tax Credit, and the Historic Tax Credit. In an effort to encourage Senators to comment on the these tax provisions that help fuel the work of CDFI – the Coalition has drafted language on the New Markets Tax Credit, the Low Income Housing Tax Credit, and the Historic Tax Credit that CDFIs can encourage their Senator(s) to include or reference in comments they submit to the Finance Committee.

Investors’ Circle Members move $1M in 1 Month

Following Investors' Circle's Spring Venture Fair, IC members made a record-breaking $1MM in investments in the last month!  IC is proud to announce investments in the following companies: California Safe Soil, DR2, Indow Windows, and SunFunder.  These investments bring Investors' Circle's 2013 year-to-date investment total to $4MM! Registration is open for IC's FIRST Beyond The Pitch Event, October 22nd in Washington, DC! We know that  opportunities to connect, engage, and build relationships in-person are the building blocks for scaling the innovations and enterprises we need most. Our Beyond The Pitch full-day event is open to Investors' Circle members and accredited investors interested in making early-stage investments into high-growth, high-impact companies.  The event will feature presentations from 15 promising impact enterprises, ample time for networking among investors, and facilitated meetings that dive into the due diligence process!  Special thanks to our host sponsor  Greenberg Traurig! Help us spread the word!  Please forward this email to any high-impact companies in your network that you think would be a fit for our October 22nd Beyond The Pitch event in Washington, DC!  Entrepreneurs can find more information about our criteria and application process here.  Our application deadline is August 23rd.

Call on Your Senators to Support Tax Reform and the NMTC by July 26th

Earlier this month, Senators Max Baucus (D-MT) and Orrin Hatch (R-UT), the Chairman and Ranking Member of the Senate Finance Committee, wrote to their Senate colleagues asking for comments and feedback on tax reform. In the letter, Senators Baucus and Hatch describe the “blank slate” approach they will take in reforming the tax code and the only provisions, credits, or deductions that will be continued after tax reform are those that meet: "(1) help grow the economy, (2) make the tax code fairer, or (3) effectively promote other important policy objectives." Senators have been asked to submit their comments or recommendation letters to the Finance Committee by Friday, July 26th and the submissions will not be made public by the Finance Committee. It is important that Senators hear from CDFI about the tax provisions that are critical to the community development and economic revitalization efforts in their home states – particularly the impact of the New Markets Tax Credit, the Low Income Housing Tax Credit, and the Historic Tax Credit. In an effort to encourage Senators to comment on the these tax provisions that help fuel the work of CDFI – the Coalition has drafted language on the New Markets Tax Credit, the Low Income Housing Tax Credit, and the Historic Tax Credit that CDFIs can encourage their Senator(s) to include or reference in comments they submit to the Finance Committee. Suggested Language for Senators Drafting Tax Reform Comment Letters: NEW MARKETS TAX CREDIT The New Markets Tax Credit (NMTC) is ...

House Appropriation Committee Approves $221 Million for CDFI Fund

July 18, 2013  |   CDVCA Ventures Blog,Industry News,Public Policy   |     |   0 Comment

The House Appropriations Committee met today to mark-up the FY 2014 Financial Services and General Government Appropriations Bill. The bill approved by the Appropriations Committee includes $221 million for the CDFI Fund, which while $3.9 million less than requested in the President’s budget would allow the CDFI Fund to operate at its FY 2013 pre-sequester funding level. Of the $221 million provided for the CDFI Fund, the Committee sets aside $189 million for financial and technical assistance grants, $12 million for CDFI Native Initiatives, and $20 million for administrative expenses. The Committee does not set aside funds for Bank Enterprise Awards (BEA), Bank on USA, Healthy Foods Financing and the Committee did not include the CDFI Bond Guarantee language requested by the President. The Committee Report filed by the Financial Services and General Government Appropriations Subcommittee includes the following instructions urging the CDFI Fund to extend the reach of CDFI programs to “distressed communities” and to support qualified “minority participation” in the New Markets Tax Credit program: Territories and Rural Communities.—The Committee notes the lack of CDFIs serving the territories and rural communities. The goals of the CDFI programs apply equally to distressed communities located both near and far from financial centers. The CDFI Fund, however, establishes goals based on the composition of financial institutions that apply for grants and loans in a given year, rather than the needs of the communities in distress. Consequently, some communities in distress are not supported by the CDFI Fund because no certified financial institution serves that community. ...

CDFI Recertification Update

The CDFI Coalition sent a letter to the CDFI Fund regarding the certification/recertification process on March 21, 2013. The Coalition requested that the CDFI Fund take steps to ensure that no CDFI was de-certified without notice of potential deficiencies in their recertification applications and an opportunity to cure deficiencies. As stated in our letter, which can be found here, there could be serious and potentially irreparable harm in de-certifying a group, such as putting the group in default of Financial Assistance, Technical Assistance or New Markets award agreements, or in default of other agreements that require the entity to be a certified CDFI. In response to the Coalition’s concerns, the Fund published a Frequently Asked Questions document yesterday. The key element of that document is the Fund’s commitment to contact any applicant for recertification at least once during the review process if there are documents or materials that are deemed necessary to complete the review. The Fund has set a 90- day timeframe for the 2013 recertification process - during such time a CDFI could cure whatever the deficiency might be. However, the Fund has indicated that, in its discretion, it may not allow a cure period for certain deficiencies, such as inability to demonstrate legal status at time of application; inability to demonstrate primary mission of community development, and/or evidence of government affiliation or control. The recertification timeframe could have a negative effect on individual CDFIs with pending Financial or Technical Assistance applications in the FY 2013 funding round. ...

State Budgets Overcome Deficits through Major Cuts, But Have No Plans for Reinvestment?

A National Public Radio Broadcast by Greg Allen highlights the bait-and-switch technique of massive budget cuts used only for further tax cuts (Michigan, Ohio), though some states (e.g. Florida) with upcoming gubernatorial elections plan politically strategic investments. Paul Beck, a professor emeritus of political science at Ohio State University, says that meant less money for schools and local government. "They were pretty massive cuts," Beck says. "Local governments and school districts were basically having to tighten their belts considerably. There was a substantial downturn in government jobs in Ohio, particularly at the local level." Now that Ohio has a budget surplus, the discussions between Kasich and lawmakers aren't about restoring spending to schools and local governments. Most of the money is earmarked for tax cuts. Florida — like many states — is putting much of the surplus into education. After cutting education spending by more than a billion dollars in his first year, Gov. Scott is proposing a $2,500 across-the-board raise for teachers. Scott, by the way, is running for re-election next year. To read or hear the full article: http://www.npr.org/2013/04/29/179762891/after-belt-tightening-some-states-are-back-in-the-black?ft=3&f=127088100&sc=nl&cc=ph-20130501

Nineteen Senators Request $225M Appropriation for CDFI Fund FY ’14

May 02, 2013  |   CDVCA Ventures Blog,Industry News,Public Policy   |     |   0 Comment

Senator Robert Menendez (D-NJ) and eighteen of his Senate colleagues signed a letter to the Senate Financial Services and General Government Appropriations Committee today asking that $224.9 be provided for the CDFI Fund in the Fiscal 2014 Appropriations bill. The letter was submitted to the Appropriations Committee today with the following Senators signed on: Menendez (D-NJ); Gillibrand (D-NY); Schumer (D-NY); King (I-ME); Sanders (I-VT); Hagan (D-NC); Johnson (D-SD); Stabenow (D-MI); Wyden (D-OR); Tester (D-MT); Baucus (D-MT); Landrieu (D-LA); Franken (D-MN); Klobuchar (D-MN); Durbin (D-IL); Schatz (D-HI); Reed (D-RI); Boxer (D-CA); Merkley (D-OR). Read the full letter here: http://www.cdfi.org/wp-content/uploads/2012/06/FY14-CDFI-Fund-letter-Menendez-plus-18.pdf

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