FY 2018 CDFI Program & NACA Program Application. FA Application...COMMUNITY DEVELOPMENT FINANCIAL...

COMMUNITY DEVELOPMENT FINANCIAL INSTITUTIONS FUNDwww.cdfifund.gov

PRESENTED BYCDFI & NACA Program Team

FY 2018 CDFI Program & NACA Program Application Overview Presentation

CDFI Fund Overview and FY 2018 CDFI & NACA Programs Overview

Preparing and Beginning your Application

Completing the Narrative Responses and Application Data

Overview of Matching Funds and Supplemental Information

Application Review Selection, Process, and Reminders

COMMUNITY DEVELOPMENT FINANCIAL INSTITUTIONS FUND // www.cdfifund.gov 2

Agenda


• Reasons why your organization was unsuccessful in prior award rounds

• Instructions on how to enter data into the Application in AMIS

• Matching funds questions specific only to your organization (for FA Applicants only)

Topics We Won’t Be Covering Today…


Mission

• The CDFI Fund’s mission is to expand economic opportunity for underserved people and communities by supporting the growth and capacity of a national network of community development lenders, investors, and financial service providers.

Vision

• The vision of the CDFI Fund is an America in which all people and communities have access to the investment capital and financial services they need to prosper.

CDFI Fund Overview

The CDFI Fund accomplishes our mission by investing in and supporting CDFIs, CDEs, and other financial institutions through the: • CDFI Program and Native American CDFI Assistance (NACA)

Program • Financial Assistance (FA) Awards• Technical Assistance (TA) Grants• Healthy Foods Financing Initiative (HFFI-FA)• Persistent Poverty Counties (PPC-FA)• Disability Funds (DF-FA)• Capacity Building Initiative

• Bank Enterprise Award (BEA) Program• New Markets Tax Credit (NMTC) Program• CDFI Bond Guarantee Program (BGP)• Capital Magnet Fund (CMF)


CDFI Fund Overview


CDFI Program and NACA Program Purpose:• Promote economic revitalization and community

development • Help build the capacity of CDFIs to serve eligible markets• Leverage CDFI Fund resources

CDFI Fund Overview

7COMMUNITY DEVELOPMENT FINANCIAL INSTITUTIONS FUND // www.cdfifund.gov

Types of Certified CDFIs:

• Loan Funds • Credit Unions • FDIC-Insured Community Development Banks• Bank Holding Companies/Thrifts• Community Development Venture Capital Funds

CDFI Fund Overview

1) Financial Assistance (FA)2) Technical Assistance (TA)3) Healthy Food Financing Initiative – Financial

Assistance (HFFI-FA)*4) Persistent Poverty Counties – Financial Assistance

(PPC-FA)*5) Disability Funds (DF-FA)* * HFFI-FA, PPC-FA, and DF-FA awards will be provided as a supplement to FA awards; therefore, only those Applicants that have been selected to receive an FA award will be eligible to receive these awards.


FY 2018 CDFI Program & NACA Program:Types of Awards


FY 2018 CDFI Program: Financial AssistanceCDFI Program Financial Assistance (FA)

Eligibility Certified & Certifiable CDFIs.

Matching Funds • Core FA Applicants are required to provide evidence of dollar for dollar matching funds at the time of Application submission. • Matching funds requirement for SECA FA Applicants was waived in the FY 2017 appropriations bill and the final FY 2018

appropriation is pending. SECA FA Applicants are NOT required to submit matching funds information at the time of Applicationsubmission.

Award Amount • Category I/Small and/or Emerging CDFI Assistance (SECA), Maximum: $700,000, Minimum: $200,000.• Category II/Core, Maximum: $1,000,000, Minimum: $500,000.• Estimated Average Award Size FY 2018, Core: $735,000; SECA: $475,000.

Form of Awards • Core FA awards can be in the form of (i) Loans; (ii) Grants; (iii) Equity Investments; and (iv) Deposit and Credit Union Shares based on the matching funds provided.

• SECA FA awards will be made in the form of grants if the matching funds requirement for SECA FA Applicants is waived in the final FY 2018 appropriation.

Eligible Activities (i) Financial Products; (ii) Financial Services; (iii) Development Services; (iv) Loan Loss Reserves; and/or (v) Capital Reserves. Note: Only Insured Depository Institutions may use a FA award for Financial Services & Capital Reserves.

Eligible Lines of Business

Affordable housing, commercial financial services, commercial real estate, community facilities, consumer financial products, consumer financial services, intermediary lending to non-profits and CDFIs, microenterprise, and small business.

Reporting Period 3 years (as specified in each award Recipient’s Assistance Agreement).

Limitations on Awards

• Applicants may apply for either FA or for TA, but not for both.• Note: Certified CDFIs must meet SECA FA criteria to apply for TA.• $5 million funding cap.

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FY 2018 NACA Program: Financial AssistanceNACA Program Financial Assistance (FA)

Eligibility Certified & Certifiable CDFI Applicants must:• Demonstrate that at least 50 percent of past activities were in one or more Native Communities.• Describe how it will target lending/investing activities to one or more Native Communities.

Target Market • Applicants must have an investment area and/or Other Targeted Population (OTP) Target Market serving Native Communities. See FY 2018 NACA NOFA Table 8 for more detail.

Matching Funds • Matching funds requirement for NACA FA Applicants was waived in the FY 2017 appropriations bill and the final FY 2018 appropriations are pending. NACA FA Applicants are NOT required to submit matching funds information at the time of Application submission.

Award Amount • Maximum: $1,000,000; Minimum: $150,000.• Estimated Average Award Size FY 2018 for NACA FA: $577,000.

Form of Awards • If the matching funds requirement is waived for NACA FA Applicants in the final FY 2018 appropriations, all NACA FA awards will be made in the form of a Grant.

EligibleActivities

(i) Financial Products; (ii) Financial Services; (iii) Development Services; (iv) Loan Loss Reserves; and/or (v) Capital Reserves. Note: Only Insured Depository Institutions may use a FA award for Financial Services & Capital Reserves.

Eligible Lines of Business

Affordable housing, commercial financial services, commercial real estate, community facilities, consumer financial products, consumer financial services, intermediary lending to non-profits and CDFIs, microenterprise, and small business.

Reporting Period

3 years (as specified in each award Recipient’s Assistance Agreement).


• Applicants may apply for either FA or for TA, but not for both. • NACA Applicants may submit Applications under both NACA and CDFI Programs. However, Applicants may only receive

one award per funding round.• $5 million funding cap.


FY 2018 CDFI Program: Technical AssistanceCDFI Program Technical Assistance (TA)

Eligibility Emerging CDFIs, Certifiable CDFIs, and Certified CDFIs. Certified CDFIs must meet the SECA FA criteria.

Matching Funds Matching funds are not required.

Award Amount • Up to $125,000 for capacity-building activities and to achieve CDFI Fund certification.• Minimum: $10,000.• Estimated Average Award Size FY 2018: $114,000.

Form of Awards All TA awards are provided in the form of grants.

Eligible Activities (i) Compensation/Personnel Services; (ii) Compensation/Fringe benefits; (iii) Professional Service Costs; (iv) Travel Costs; (v) Training and Education Costs; (vi) Equipment; and/or (vii) Supplies.

Reporting Period 2 years for Certified CDFI Recipients and 3 years for uncertified CDFI Recipients (as specified in each award Recipient’s Assistance Agreement).

Limitations on Awards • Applicants may apply for either FA or for TA, but not for both. • Emerging CDFIs are eligible to receive up to three TA awards.• $5 million funding cap.


FY 2018 NACA Program: Technical Assistance

NACA Program Technical Assistance (TA)Eligibility • Certified, Certifiable, Emerging CDFIs, and Sponsoring Entities.

• TA Applicants must demonstrate that the Certified, Certifiable, Emerging CDFI, or the CDFI to be created a Sponsoring Entity Applicant will primarily serve one or more Native Communities.

Matching Funds Matching funds are not required.

Award Amount • Up to $150,000 for capacity-building activities.• Minimum: $10,000.• Estimated Average Awarded FY 2018: $147,000.

Form of Awards All TA awards are provided in the form of grants.

Eligible Activities (i) Compensation/Personnel Services; (ii) Compensation/Fringe benefits; (iii) Professional Service Costs; (iv) Travel Costs; (v) Training and Education Costs; (vi) Equipment; and/or (vii) Supplies.

Reporting Period 2 years for Certified CDFI Recipients, 3 years for Certifiable and Emerging CDFI Recipients, and 4 years for Sponsoring Entity Recipients (as specified in each award Recipient’s Assistance Agreement).

Limitations on Awards • Applicants may apply for either FA or for TA, but not for both.• Sponsoring Entities can only receive one TA award. • Emerging CDFIs are eligible to receive up to three TA awards.• $5 million funding cap.


FY 2018 CDFI Program & NACA Programs: Healthy Food Financing Initiative – Financial Assistance

Healthy Food Financing Initiative - Financial Assistance (HFFI-FA)

Eligibility Certified & Certifiable CDFIs that submit a FA Application.

Matching Funds Matching funds requirement for HFFI-FA Applicants was waived in the FY 2017 appropriations bill and the final FY 2018 appropriations are pending. HFFI-FA Applicants are NOT required to submit matching funds information at the time of Application submission.

Award Amount • Up to $5,000,000. • Minimum award: $500,000.• Estimated Average Awarded FY 2018: $2,200,000.

Form of Awards If the matching funds requirement for HFFI-FA Applicants is waived in the final FY 2018 appropriations, all HFFI-FA awards will be made in the form of a Grant.

Eligible Activities (i) Financial Products; (ii) Development Services; (iii) Loan Loss Reserves; and/or (iv) Capital Reserves. Note: Only Insured Depository Institutions may use a HFFI-FA award for Capital Reserves.



Must receive a FA award in order to receive a HFFI-FA award.


FY 2018 CDFI Program & NACA Programs: Persistent Poverty Counties – Financial Assistance

Persistent Poverty Counties - Financial Assistance (PPC-FA)


Matching Funds • PPC-FA Applicants are required to provide evidence of dollar for dollar matching funds at the time of Application submission.

• Matching funds requirement for SECA FA and NACA FA Applicants was waived in the FY 2017 appropriations bill and the final FY 2018 appropriation is pending. SECA FA and NACA FA Applicants are NOT required to submit matching funds information at the time of Application submission.

Award Amount • Up to $300,000. • Minimum Award: $100,000.• Estimated Average Award Size FY 2018: $184,000.

Form of Awards • PPC-FA awards can be in the form of (i) Loans; (ii) Grants; (iii) Equity Investments; and (iv) Deposit and Credit Union Shares based on the matching funds provided.

• PPC-FA awards for SECA Applicants will be made in the form of grants if the matching funds requirement for SECA FA Applicants is waived in the final FY 2018 appropriation.

Eligible Activities (i) Financial Products; (ii) Financial Services; (iii) Development Services; (iv) Loan Loss Reserves; and/or (v) Capital Reserves in Eligible Markets, or in the Applicant’s approved Target Market in a Persistent Poverty Counties. ( Note: Only Insured Depository Institutions may use a PPC-FA award for Financial Services & Capital Reserves.


Limitations on Awards Must receive a FA award in order to receive a PPC-FA award.$5 million funding cap.


FY 2018 CDFI Program & NACA Programs: Disability Funds – Financial Assistance

Disability Funds - Financial Assistance (DF-FA)


Matching Funds • DF-FA Applicants are required to provide evidence of dollar for dollar matching funds at the time of Application submission.

• Matching funds requirement for SECA FA and NACA FA Applicants was waived in the FY 2017 appropriations billand the final FY 2018 appropriation is pending. SECA FA and NACA FA Applicants are NOT required to submit matching funds information at the time of Application submission.

Award Amount • Up to $500,000. • Minimum award: $100,000.• Estimated Average Award Size FY 2018: $184,000.

Form of Awards • DF-FA awards can be in the form of (i) Loans; (ii) Grants; (iii) Equity Investments; and (iv) Deposit and Credit Union Shares based on the matching funds provided.

• DF-FA awards for SECA Applicants will be made in the form of grants if the matching funds requirement for SECA FA Applicants is waived in the final FY 2018 appropriation.

Eligible Activities (i) Financial Products; (ii) Financial Services; (iii) Development Services; and/or (iv) Loan Loss Reserves; to directly or indirectly benefit individuals with disabilities. Note: Only Insured Depository Institutions may use a DF-FA award for Financial Services to directly or indirectly benefit individuals with disabilities.



Must receive a FA award in order to receive a DF-FA award.

Certification Categories1. Certified CDFIs2. Certifiable CDFIs3. Emerging CDFIs4. Sponsoring Entities (NACA only)

Note: Refer to the CDFI Program and/or NACA Program NOFA (Table 5) for the definitions of these categories.


FY 2018 CDFI Program & NACA Program:Certification Categories

• A Certified CDFI is an entity that the CDFI Fund has officially notified that it meets all CDFI certification requirements.

• A Certifiable CDFI is an entity that has submitted a CDFI Certification Application to the CDFI Fund but has not yet been officially Certified.– Certification Applications are due by March 2, 2018.


Certified & Certifiable CDFIs

• An Emerging CDFI:– a non-certified entity;– has not submitted a CDFI Certification Application; and– demonstrates to the CDFI Fund in its funding Application that it

has an acceptable plan to meet certification requirements by the end of its period of performance (or another date that the CDFI Fund selects per the Assistance Agreement).

• An Emerging CDFI that has prior award(s) will be held to the CDFI certification performance goal and measure(s) stated in its prior Assistance Agreement(s).

• Emerging CDFIs may only apply for TA awards; they are not eligible to apply for FA awards.


Emerging CDFIs (TA & NACA TA)

• Sponsoring Entities include any legal organization that primarily serves a Native Community (at least 50% of its activities are directed toward the Native Community).

• An eligible organization that will be required to create a separate legal organization that will become a Certified CDFI serving Native Communities.

• Sponsoring Entities may only apply for NACA Program TA awards; they are not eligible to apply for FA awards.


Sponsoring Entities (NACA TA only)







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Framing the Application Completion Process

For details on completing the Application Process:• In the Pre-Application phase – review the Pre-Application Guidance document.• In the Application Components phase - review the FA Application or TA.

Application Guidance documents, and the AMIS Training Manual.• In the Submission & Review phase – review the AMIS Training Manual and the

FA or TA Evaluation Process document.• See CDFI Fund website for complete list of Application materials. Applicants

must review all Application documents in addition to those listed above.

Pre-Application

• SAM.gov• Grants.gov (SF-

424)• AMIS Account

(Org & Program Profile)

Application Components

• Narrative Responses

• Data Inputs• Attachments

Submission & Review

• AMIS • CDFI Fund

Review• Announcement


Critical Deadlines for ApplicantsDescription Deadline Submission Method

CDFI Certification Applications March 2, 2018 Electronically via AMIS

Create AMIS Account (New Applicants) March 2, 2018 AMIS

SF-424 (Application for Federal Assistance) March 2, 2018 Electronically via Grants.gov

Last day to contact CDFI Program/NACA Program staff

April 2, 2018Service Request via AMIS

OrCDFI Fund Helpdesk:

202-653-0421

CDFI Program or NACA Program Application for Financial Assistance (FA) or Technical Assistance (TA)

April 4, 2018 AMIS

• Read the FY 2018 CDFI Program and/or NACA Program NOFAs.

• Obtain Employer Identification Number (EIN) and DUNS number.

• Register and/or update your online accounts in the following systems:

SAM.gov Grants.gov AMIS

• Download and familiarize yourself with Application Materials found on CDFI Fund’s website.


Getting Started


• New SAM.gov users should register as soon as possible. Existing users should ensure that their account is active and up-to-date.

• The CDFI Fund will not consider Applicants who fail to register or activate their account in SAM and, as a result, are unable to submit their SF-424 thru Grants.gov by the deadline.

• The CDFI Fund does not maintain SAM.gov, so Applicants must contact SAM directly for assistance.

SAM.gov (System for Award Management)

• Only the SF-424 will be submitted through Grants.gov. • All Applicants MUST submit their SF-424 through Grants.gov on

or before March 2, 2018.Note: If the SF-424 is not successfully accepted in Grants.gov by the deadline, the CDFI Fund will not review any of the materials submitted in AMIS and the Application will be deemedineligible.

• New Grants.gov users should register as soon as possible. Existing users should ensure that their account is active and up-to-date.

• If the amount on the SF-424 is different from the amount input into AMIS, the CDFI Fund will consider only the AMIS amount.

• SF-424 submission questions should be directed to Grants.gov.• The CDFI Fund does not maintain Grants.gov, so Applicants must

contact Grants.gov directly for assistance. COMMUNITY DEVELOPMENT FINANCIAL INSTITUTIONS FUND // www.cdfifund.gov 25

Grants.gov

• Each Applicant must register as an organization in AMIS and submit all required Application materials through this portal (with the exception of the SF-424 which is submitted through Grants.gov).

• New Applicants must create an AMIS Account by March 2, 2018.

• An Authorized Representative and/or Point of Contact must be included as “users” in the Applicant’s AMIS account.

• An Applicant that fails to properly register and update its AMIS account may miss important communication from the CDFI Fund and may not be able to successfully submit an Application.


Awards Management Information System (AMIS)

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• Application information and required attachments must be submitted through AMIS.

• AMIS will validate that the Applicant provided minimum information required for submission.

• Be sure to allow sufficient time to review Application content, confirm that required attachments are provided, and remedy any validation issues prior to the Application deadline.

• Upon submission, the Application will be locked and cannot be resubmitted, edited, or modified in any way.

• Note: Applicants can only submit one Application.

AMIS (cont’d)

• True or False? The CDFI Fund maintains and runs the SAM.gov and Grants.gov systems.

• True or False? All FY 2018 Application materials, including the SF-424, must be submitted through AMIS.

• True or False? Applicants are encouraged to submit their SF-424 forms as early as possible.

• True or False? Applicants can only submit one Application per Program (CDFI and NACA).


Pop Quiz!


Preparing & Beginning your Application





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Required AMIS Components – FA Applicants Application Component Applicant Type

Funding Application Detail - General and administrative information All Applicants

Narrative Responses:• Executive Summary• Business Strategy• Products and Services Impacts

• Market and Competitive Analysis• Management and Staffing• Financial Position • Growth and Projections

All Applicants

Application Financial Data:• Three Historic Years of Records• Current Year• Three Projected Years

All Applicants

FA Objectives (Must select at least one; can select up to four):• Increase Volume of Financial Products or Financial Services • Serve New Geographic Area or Areas • Provide New Financial Products, New Financial Services, and/or New

Development Services • Serve New Targeted Population or Populations

All Applicants


Required AMIS Components – FA Applicants (cont.)Application Component Applicant Type

HFFI-FA Application Components:• Funding Application Detail• Narratives

HFFI-FA Applicants

DF-FA Application* Components:• Requested Disability Funds- Financial Assistance Amount• Narratives* Applicants must indicate their interest in applying for DF-FA funding in their CDFI Program and/or NACA Program Financial Assistance Application. FA Applications that successfully submit an Application indicating interest in DF-FA will receive supplemental instructions regarding how to apply for DF-FA funding after the close of the FY 2018 Application submission period.

DF-FA Applicants

PPC-FA Application Components:• Requested Persistent Poverty County- Financial Assistance

Amount

PPC-FA Applicants


Required AMIS Components – TA Applicants

Application Component Applicant Type

Funding Application Detail - General and administrative information

All Applicants

Narrative Responses:• Section I – Demonstration of Certification Qualifications

(Uncertified Applicants Only)• Section II – Business Strategy (All Applicants)

All Applicants

Application Financial Data:• Three Historic Years of Records• Current Year• Three Projected Years

All Applicants

Additional Components:• TA Budget Table including justifications• Other Data and Charts as listed in AMIS

All Applicants


Required Attachments to the Application Application Documents Applicant Type Attached in the…

Key Staff Resumes (PDF or Word Document) All Applicants Organization Profile*

Organizational Chart (PDF) All Applicants Organization Profile*

Community Partnership Agreement (PDF or Word Document)

FA Applicants, if Applicable Funding Application

Audited Financial Statements for the Applicant’s Three Most Recent Historic Fiscal Years (PDF in AMIS). Note: financial statements should only be for the CDFI Applicant itself. If Applicant’s financial statements are consolidated with other entities, also attach the unconsolidated versions or note where in the audit the unconsolidated financials are located.

FA Applicants: Loan Funds, Venture Capital Funds, and other non-Insured Depository Institutions

Funding Application

Management Letters for the Applicant’s Most Recent Historic Fiscal YearSee Table 10 of the FY 2018 NOFA for description. (PDF in AMIS)

FA Applicants: Loan Funds, Venture Capital Funds, and other non-Insured Depository InstitutionsTA Applicants: If Available

Funding Application

* Attachments located at the Organization Profile must also be associated to the funding Application


Required Attachments to the Application (cont.) Application Documents Applicant Type Attached in the…

Statement(s) in Lieu of Management Letter for Applicant’s Most Recent Historic Fiscal Year Issued from Board Treasurer or other Board member using template provided in Application materials. (Only required if Management Letters are not available for Audited Financial Statements) (PDF in AMIS)

FA Applicants: Loan Funds and other non-Insured Depository Institutions: If AvailableTA Applicants: If Available

Funding Application

Unaudited Financial Statements for Applicant’s Three Most Recent Historic Years (only if Audited Statements are not available) (PDF in AMIS)

TA Applicants: Loan Funds, Venture Capital Funds, and other non-Insured Depository Institutions

Funding Application

Current Year to Date – December 31, 2017 Unaudited Financial Statements (PDF in AMIS)

FA and TA Applicants: Loan Funds, Venture Capital Funds, and other non-Insured Depository Institutions

Funding Application


Required Attachments to the Application (cont.) Application Documents Applicant Type Attached in the…

Call Reports for each fiscal year reported in the Retained Earnings Calculator (PDF in AMIS)

FA Core Applicants: Insured Depository Institutions that using Retained Earnings as matching funds

Funding Application

Equity Investment Matching Funds Documentation (PDF or Word document in AMIS)

FA Core Applicants: For-profit CDFIs that are using an Equity Investment(s) as matching funds

Funding Application

Matching Funds Breakout Table Excel Workbook (Excel in AMIS)

FA Core Applicants Funding Application

• Application consists of narrative responses, data entry in AMIS, and attachments.

• The Application narrative consists of seven sections:– Executive summary– Business Strategy– Products and Services Impacts – Market and Competitive Analysis– Management and Staffing– Financial Position– Growth and Projections


FA Application Overview

• Applicants must use the FA award only for eligible FA activities.

• All FA Eligible Activities must be in an Eligible Market(s)* or the Applicant’s approved Target Market(s).

• FA Eligible Activities by Institution Type:– Financial Products – All Institution Types.– Financial Services- Insured Depository Institutions and Depository

Institution Holding Companies. Not applicable for HFFI-FA Applicants.– Loan Loss Reserves – All Institution Types.– Development Services – All Institution Types.– Capital Reserves - Insured Depository Institutions and Depository

Institution Holding Companies. Not applicable for DF-FA Applicants.

*Eligible Market is defined as mean (i) a geographic area meeting the requirements set forth in 12 C.F.R. §1805.201(b)(3)(ii), or (ii) individuals that are Low-Income, African American, Hispanic, American Indian, Native Hawaiian residing in Hawaii, Native Alaskan residing in Alaska, or Other Pacific Islanders residing in American Samoa, Guam or the Northern Mariana Islands.


FA Application: Use of Award

• Applicants must use the FA award for the following Eligible Lines of Business:– Affordable Housing– Commercial Financial Products– Commercial Financial Services– Commercial Real Estate– Community Facilities– Consumer Financial Products– Consumer Financial Services– Intermediary Lending– Microenterprise– Small Business


FA Application: Eligible Lines of Business

• There are four FA Objectives:– Increase Volume of Financial Products or Financial Services – Serve New Geographic Area or Areas.– Provide New Financial Products, New Financial Services, and/or

New Development Services. – Serve New Targeted Population(s).

• Applicants may select one or more; Applicants that select multiple FA Objectives will not be more competitive.

• FA Objectives will be included as Performance Goals and Measures (PG&Ms) in Assistance Agreements.

• FA objectives are an integral component of the Application evaluation process.


FA Application: FA Objectives

• Increase Volume of Financial Products or Financial Services

– PG&M will be the sum of three years of projected activity levels provided in the Application.

– Must be in the Applicant’s approved Target Market(s) and/or in other Eligible Market(s).

– Projected years of activity must be greater than the sum of the three years of historic activity levels provided in the Application plus the amount of the Award.

– Applicants that select this PG&M in FY 18 with a FY 17 award and also selected this FA Objective PG&M in FY 17 must exceed the amount they are being held to in their FY 17 Assistance for the two overlapping years of projected activity.


FA Application: FA Objectives (cont.)

• Serve New Geographic Area or Areas– Must be in the Applicant’s approved Target Market(s) and/or in

other Eligible Market(s).– To qualify as a New Geographic Area, investments in the New

Geographic Area must constitute five percent or less of the Applicant’s outstanding portfolio averaged over is three most recent historic fiscal years.

– PG&M will be the projected activity over the three year period of performance in the New Geographic Area(s).

– Serving a New Geographic Area(s) may or may not impact or change your CDFI’s Approved Target Market(s).

– CDFIs will be held to the proposed New Geographic Area(s) in the PG&M.

– Applicants can define a New Geographic Area(s) at the State and/or County level.



• Provide New Products or Services– Must be in the Applicant’s approved Target Market(s) and/or in

other Eligible Market(s).– To qualify as a New Financial Product or Financial Service, must

constitute five percent or less of the Applicant’s outstanding portfolio as of its most recent historic fiscal year.

– To qualify as a New Development Service, must constitute five percent or less of the clients that the Applicant served through its Development Services for the most recent historic fiscal year.

– PG&M will be the projected activity over the three year period of performance for the New Product(s) and/or Service(s) identified in the Application.

– CDFIs will be held to the proposed New Financial Product, Financial Service, and/or Development Service in the PG&M.



• Serve New Targeted Population(s) – To qualify as a New Targeted Population, must be a Targeted

Population that the Applicant is not certified to serve and has not submitted an Application to become certified to serve as of the Application deadline.

– Serving a Targeted Population (e.g., Low Income) that your CDFI is already certified to serve in a new Target Market is not considered a New Targeted Population.

– PG&M will be to submit appropriate Target Market Modification document(s) to request certification to serve New Targeted. Population(s) by year two of the period of performance and become certified to serve the New Targeted Population(s) by the end of the three year period of performance.



• DF-FA awards will be provided as a supplement to FA awards. The DF-FA award is evaluated independently from the FA award and will not affect the FA award evaluation or amount.

• Applicants must include their requested award amount for DF-FA funding in their FA Application to be eligible to receive the DF-FA narrative Application.

• Narrative Application will be released after the close of the FY 2018 Application submission period.

• Applicants must be certified CDFIs with a track record of serving individuals with disabilities.

• Successful Applicants will demonstrate that they will increase and/or expand their financial products and services, and/or development services, to address the challenges of individuals with disabilities, such as: asset development; affordable, accessible, and safe housing; employment opportunities; and access to assistive products and services that support health and community living.

• DF-FA Recipients will be responsible for closing loans, equity investments, and similar financing activities that benefit individuals with disabilities in an amount equal to or greater than 85 percent of the total DF-FA award.


FA Application: Disability Funds

• PPC-FA awards will be provided as a supplement to FA awards. The PPC-FA award is evaluated independently from the FA award and will not affect the FA award evaluation or amount.

• Providing a PPC-FA award request amount is the only Application requirement of Applicants applying for PPC-FA. There are no narrative questions or other data inputs for PPC-FA.

• PPC-FA award recipients will be required to deploy 100 percent of the PPC-FA award or equivalent funds in Financial Products by the end of the performance period of the award into Persistent Poverty Counties.

– There will also be interim goals to deploy five percent of the PPC-FA by the end of year one and 50 percent by the end of year two of the period of performance.

• For prior FA award recipients, the CDFI Fund will review the deployment track record in PPC Application review. Award sizes may be adjusted as a result of the PPC deployment analysis.


FA Application: Persistent Poverty Counties

• Five questions in Section I are required for uncertified Applicants only, including: – Certifiable Applicants;– Emerging Applicants; and– Sponsoring Entity Applicants (NACA only).

• Uncertified TA Applicants must describe how they currently meet and/or intend to meet five of the CDFI Fund’s seven CDFI certification requirements within the required timeframe:1) Primary Mission2) Financing Entity3) Target Market4) Accountability5) Development Services


TA Narrative: Section I


TA Narrative: Section II• All TA Applicants are required to respond to the Section II narrative

questions. Note: Certain questions within Section II are applicable to Certified or Sponsoring Entity Applicants only as described in the below table.

Section II: Business Strategy

TA Narrative Questions Emerging CDFI Certifiable CDFI

Sponsoring Entity (NACA

Program Only) Certified CDFISection II: Question 1 X X X XSection II: Question 2 X

Section II: Question 3 X

Section II: Question 4 X

Section II: Question 5 X X X X






• Uncertified and Certified TA Applicants must describe their business strategy in ten narrative questions in Section II. Specifically, Applicants will:– Provide an organization overview;– Describe their management and staff;– Describe their community coordination plan;– Discuss their financial performance; and– Discuss their organizational impact.


TA Narrative: Section II (Cont’d)


TA Budget Table• All TA Applicants are required to enter their TA award request, by eligible

activity category, in the TA Request Table in AMIS. • TA line items must be entered separately for each requested TA activity

category.• For each TA line item the Applicant will be required to provide a brief

justification of no more than 500 characters.

Eligible Activity Category Description Amount (based on

calculation)

Justification

Personnel Services and Fringe Benefits

500 characters

Travel Costs 500 charactersTraining and Education Costs

500 characters

Professional Service Costs 500 charactersEquipment 500 charactersSupplies 500 characters



Completing the Narrative Responses and AMIS Components




Webinar Topics

• Matching funds are required for all FA Core Applicants, including FA, DF-FA and PPC-FA requested amounts. The CDFI Fund award matches the form of the matching funds provided.

– Must provide evidence that at least 50% of the requested award amount in In-Hand or Committed matching funds are available at the time of Application submission.

– Matching funds received during the “Matching Funds Window” of January 1, 2016, through January 15, 2019, are considered In-hand.

– If selected to receive an award, Recipients must provide evidence that 100% of the award matching funds have been received before a payment will be made.


Matching Funds Requirements

• The matching funds requirement for SECA FA, NACA FA, and HFFI-FA Applicants was waived in the appropriations bill for FY 2017 and the final FY 2018 appropriation is still pending.

• SECA FA, NACA FA, and HFFI-FA Applicants are not required to submit matching funds for their award requests at the time of Application.

• The CDFI Fund reserves the right to request matching funds from SECA FA, NACA FA, and HFFI-FA Applicants if matching funds are not waived for these Applicant types in the final FY 2018 appropriation.


Matching Funds Requirements (cont.)


Matching Funds Types

• Forms of matching funds include:– Grants– Loans– Retained Earnings– In-kind Contributions– Equity Investments– Deposits– Secondary Capital

• Matching funds must be non-federal. • Refer to Table 9 in the NOFA and matching funds

Guidance for details on eligible and ineligible sources.


Matching Funds in the Form of a Loan

• Loans submitted as matching funds must have a term of three years or more.

• The following loan options may also be considered eligible to be used as matching funds:

– Lines of Credit;– Loan renewals within matching funds Window.

• Applicants selected to receive an award with eligible loan(s) as a matching funds source will receive their award as follows:

– In the form of a loan, – In the amount of the loan submitted as matching funds, and– Terms per the CDFI Fund’s Standard Loan Product (described on next

slide).


Standard Loan Product Terms

Amount Based on submission of matching funds

Rate 2.24% fixed rate

Term Thirteen (13) years

Principal Principal amortized payments due in years 11 through 13

Interest Payments Semi-annual

Collateral Requirements None

Lender Position Pari-Passu with Senior Lenders

Standard Loan Product

• Retained earnings can be used as a matching funds source that the CDFI Fund will match in the form of a grant.

• If an Applicant uses Retained Earnings as match, this must be noted in AMIS.

• The CDFI Fund provides a unique calculator for the following institution types: non-regulated institutions, banks, and credit unions, in order to determine the amount of retained earnings available to be used as matching funds.

• The calculators adjust an Applicant’s financial statements or call reports, for revenue and expenses derived from federal sources and used matching funds.

• The CDFI Fund will review each retained earnings calculator to ensure that all reported figures match the corresponding figures in the Applicant’s audited financial statements or call reports.

− Retained earnings calculated using unaudited financial statements will be considered as Committed.

− Retained earnings will only be considered as In-Hand once confirmed via audited financial statements or call reports.


Retained Earnings


Matching Funds for the FY 2018 Funding Round

• The CDFI Fund no longer requires Applicants and Recipients to provide documentation at the time of Application (e.g. grant agreements, copies of checks, etc.) for matching funds in the form of Grants, In-kind Contributions, Loans, Shares/Deposits, and Secondary Capital.

– All matching funds eligibility requirements, per the FY 2018 NOFA and matching funds Guidance, remain in effect.

• Applicants and Recipients that use retained earnings or equity investments as a matching funds source must still provide documentation.

– For retained earnings, a completed Retained Earnings Calculator as well as applicable audited financial statements and call reports must be submitted.

– For equity investments, the stock purchase agreement (if any), shareholders agreement, stock certificates, and proof of payment must be submitted.


Matching Funds Breakout Table

• The Matching Fund Breakout Table - Applicants must provide information on their matching funds in the Matching Funds Breakout Table Excel Workbook which must be submitted at the time of Application.

• The following information is required for each matching funds source:– Provider Name – Status (In-Hand, Committed)– Contact Name

– Contact Information– Amount– Date of Receipt – Associated Eligible FA Activity


• The following attestations are required for each matching funds source:– Source is non-federal or has lost its federal character;– Documentation that meets the CDFI Fund’s

requirements can be provided upon request;– Loan term is 3 years or greater (for loans sources

only).

Matching Funds Breakout Table (cont.)


Matching Funds Documentation

• Although documentation will not be submitted to the CDFI Fund (except for retained earnings and equity investments), acceptable documentation for all matching funds used for an award must be available to provide to the CDFI Fund upon request.– Refer to the acceptable forms of documentation

described in the FY 2018 matching funds Guidance.

• The CDFI Fund reserves the right to audit Recipients matching funds documentation to ensure eligibility.


Materials Needed to Submit Matching Funds

• Matching Funds Guidance (available on the CDFI Fund’s website).

• Retained Earnings Guidance (included in the matching funds Breakout Table for FY 2018 Applicants, if applicable).

• Matching Funds Breakout Table for FY 2018 Applicants (available on the CDFI Fund’s website).

• Retained Earnings Calculators by Institution Type (included in the matching funds Breakout Table for FY 2018 Applicants, if applicable).

• Depository Institution Holding Company Applicants and Credit Unions, as applicable, must provide call reports when using Retained Earnings.


• True or False? Applicants are required to enter matching funds information directly into AMIS.

• True or False? FA Applicants must provide evidence that they have at least 50% of the requested award amount in in-hand or committed matching funds at the time of Application submission.

• True or False? FA Applicants must submit documentation (e.g. grant agreements, proof of payment) for grant and loan sources at the time of Application submission.

• True or False? Retained earnings must be calculated using the CDFI Fund’s institution-type specific calculator.

Pop Quiz!




Completing the Narrative Responses and AMIS Components



Webinar Topics

• The CDFI Fund has a two-step process that requires the submission of Application documents on separate deadlines and locations.– Step 1: The SF-424 form must be submitted through Grants.gov*

and the Applicant’s AMIS account must be created on or before March 2, 2018.

– Step 2: All other required documentation must be submitted through the AMIS portal on or before April 4, 2018.

*Please note: Applicants must submit the SF-424 in Grants.gov. Applicants can submit only one Application through AMIS.

Please ensure that your information is complete and correct.


Application Submission Re-cap

• Step 1: Eligibility Review– Eligibility requirements are detailed in the NOFA (refer to Tables 5, 6, & 8).

• Step 2: Financial Analysis and Compliance Evaluation– Conducted by the CDFI Fund to assess financial health and evaluate

compliance risk. – CDFI Fund evaluates the financial and compliance information provided in the

Application using a tool developed by the CDFI Fund called the Application Assessment Tool (AAT).

– Applications that score a 1, 2, or 3 for the financial health analysis or for the compliance risk evaluation will move on to Step 3.

– Banks and Credit Union’s financial health analysis will be based on regulator feedback and CAMEL(S) scores. Applicants with a CAMEL(S) score of 4 or 5 will be deemed ineligible.

– Approximately 98% of FY17 Applicants passed out of Step 2 and moved onto Step 3.


FA Application: Evaluation Process

• Step 3: Business Plan Review– Conducted by two external community development finance experts.– Ensures that the Applicant’s comprehensive business plan is sound and

achievable.– Applications that meet the a minimum scoring threshold will move on to

Step 4: o Core Applicants in top 60 percent of Core Applicant Step 3 scores.o SECA Applicants in the top 70 percent of SECA Applicant Step 3 Scores.o NACA Applicants in the top 70 percent of NACA Applicant Step 3 scores.o At a minimum, all Step 3 Applicants with a point score equivalent of “good” will

move to Step 4.


FA Application: Evaluation Process (cont.)


FA Application: Evaluation Process (cont.)Step 3: Business Plan Review Criteria

Application Section General Reviewer Guidance

Business Strategy(Including FA Objectives)

Does the Applicant have clear strategic goals that are aligned with its overall mission and its FA objectives?

Does the Applicant identify risks and needed areas of improvement, and discuss contingencies to mitigate risks and address areas of needed improvement?

Market and Competitive AnalysisHow well does the Applicant understand the demand of the communities it serves for its products and services and its competitive environment?

Products and Services

Does the Applicant’s current and proposed products and services address and meet the needs of the communities it serves? Does the Applicant’s FA Objectives address the need of the communities it serves?

Management and Track Record

Does the Applicant have strong management with a demonstrated ability and track record to execute on its strategic goals?Does the Applicant have strong financial policies and procedures to ensure that there are appropriate financial controls in place?

Growth and Projections Do the Applicant’s proposed growth goals and FA objectives seem feasible and achievable?



• Step 4: Policy Objective Review– Conducted by CDFI Fund staff to determine the Applicant’s ability to meet the

following key policy objectives of the CDFI Fund statute:o Alleviating economic distresso Expanding economic opportunityo Community collaboration

– The CDFI Fund also conducts a due diligence review during Step 4 and evaluates the reasonability of the FA Objectives.

– Most Applications will move on to Step 5. – Step 4 Applicants may not be recommended for an Award based on due

diligence review and will not advance to Step 5.


FA Application: Evaluation Process (cont.)Step 4: Policy Objective Review Criteria

Policy Objective General Reviewer GuidanceEconomic Distress 12 U.S.C. § 4706 (a)(4): the extent of economic distress within the investment areas or the extent of need within the targeted populations, as those factors are measured by objective criteria.

1. To what extent are the communities being served economically distressed based on application data provided?

2. To what extent does the Applicant’s FA objective(s) alleviate the distress in the communities it serves?

3. To what extent does the Applicant’s strategic goals alleviate the distress in the communities it serves?

Economic Opportunities12 U.S.C. § 4706 (a)(8): the extent to which the proposed activities will expand economic opportunities within the investment areas or the targeted populations.

1. Does the Applicant quantify expansion of economic opportunities and provide adequate justification for its calculations (examples of economic opportunity can be jobs and providing goods and services and access to capital to low-income and underserved communities/persons)?

2. Does the Applicant demonstrate that it will increase economic opportunities with activities funded by its FA award?

Community Collaboration12 U.S.C. § 4706 (a)(12): the extent to which the Applicant will increase its resources through coordination with other institutions or participation in a secondary market.(Note: This is not an assessment of whether or not an Applicant has formal Community Partnerships, but an assessment of how the Applicant works with other organizations generally to achieve outcomes.)

1. To what extent does the Applicant participate in any formal or informal partnerships with other organizations for the purposes of accessing customers, developing products or services, or providing products or services?

2. To what extent does the Applicant coordinate its resources with other public or private financial resources for the purposes of achieving its strategic goals and providing long- and short-term impacts in the communities it serves?

3. To what extent does the Applicant’s Financial Products and Services support other initiatives or priorities in the communities it serves?



• Step 5: Award Amount Determination– Conducted by CDFI Fund staff; analysis based on funding availability,

deployment track record, and other programmatic and financial risk factors.– Award amounts may be reduced based on analysis conducted.

• See FA Application Evaluation Process document for detailed overview of the FA evaluation process.

• Step 1: Eligibility Review – Eligibility requirements are detailed in the NOFA (refer to Tables 5, 6,& 7).

• Step 2: Business Plan Review – Budget Review for All Applicants – Section I Review for Uncertified Applicants

• Emerging CDFI or Certifiable CDFI Applicants must achieve a minimum score of 35 points in Section I to be considered for an award and to be reviewed in Section II.

– Section II Review for All Applicants• An Applicant must receive a minimum Total TA Business Plan Score of 60 points (50

points for NACA Applicants) for the TA components in order to be considered for an award.

Note: All levels of review will be conducted by internal CDFI Fund staff.


TA Application: Evaluation Process

• An Applicant that is a Certified CDFI will be evaluated on the demonstrated need for TA funding to build the CDFI’s capacity, further the Applicant’s strategic goals, and achieve impact within the Applicant’s Target Market.

• An Applicant that is an Emerging CDFI or Certifiable CDFI will be evaluated on the Applicant’s demonstrated capability and plan to achieve CDFI certification within three years, or if a prior awardee, the certification performance goal and measure stated in its prior Assistance Agreement.

• An Applicant that is an Emerging CDFI and Certifiable CDFI will also be evaluated on its demonstrated need for TA funding to build the CDFI’s capacity and further its strategic goals.


TA Application: Evaluation Process (cont.)

• Each Applicant must indicate the amount of the total award request that it reasonably expects to expend within 12 months of notice of award.

• Initial payment amounts for FA and HFFI-FA award Recipients will be based on the amount entered in the Award Request Table in combination with determination of eligible matching funds.– Payments will not be made until all matching funds have been submitted.– HFFI-FA Applicants must enter a projected expenditure amount for their FA

award request AND HFFI-FA award request.

• Per the NOFA, an Applicant that does not fully complete the award Request Table will be rejected without further consideration.


Award Payments for all Applicants


• The SF-424 is due by March 2, 2018 in Grants.gov.• AMIS account must be created by March 2, 2018.• The FY 2016 CDFI and NACA Program Applications are due

April 4, 2018 in AMIS.• Remember that the last day for Applicant questions is April 2,

2018.

IMPORTANT DEADLINES

Programmatic and Application Support: [email protected] or 202.653.0421, option #1

Certification, Compliance Monitoring, and Evaluation Support:[email protected] or 202.653.0423

AMIS Support: [email protected] or 202-653-0422

Grants.gov:[email protected] or 1-800-518-4726

SAM.gov: www.fsd.gov or 1-866-606-8220


Contact Information for Applicants

mailto:[email protected]




http://www.fsd.gov/


Additional information about the FY 2018 CDFI and NACA Programs Applications, www.cdfifund.gov/cdfi and www.cdfifund.gov/native:

CDFI Program NOFA NACA Program NOFA FY 2018 Pre-Application Guide FY 2018 AMIS Training Manual – Released date TBD, check website FY 2018 FA Application Questions and Guidance FY 2018 TA Application Questions and Guidance FY 2018 Community Partnerships Guidance for FA Applicants FY 2018 Healthy Food Financing Initiative-FA (HFFI-FA) Application Questions and Guidance for FA Applicants FY 2018 Persistent Poverty Counties-FA (PPC-FA) Guidance FY 2018 Matching Funds Guidance FY 2018 Matching Funds Breakout Table FY 2018 FA Excel Inputs Workbook: FOR REFERENCE ONLY FY 2018 TA Excel Inputs Workbook: FOR REFERENCE ONLY FY 2018 Forms, Assurances, and Certifications Guidance FY 2018 FA and TA Evaluation Process Documents FY 2018 Banks and Credit Unions AMIS Crosswalk Documents FY 2018 CDFI and NACA Program Frequently Asked Questions (FAQ) FY 2018 Disability Fund- FA (DF-FA) Application Questions and Guidance - forthcoming

Note: Additional materials will be added to the website on a rolling basis

Additional Guidance

http://www.cdfifund.gov/cdfi

http://www.cdfifund.gov/native


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The CDFI Fund is an equal opportunity provider.

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FY 2018 CDFI Program & NACA Program Application. FA Application...COMMUNITY DEVELOPMENT FINANCIAL...

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