§4702 Definitions

Summary

Defines key words used for the Community Development Financial Institutions Fund. It explains who and what count for things like the Fund’s leader, the agencies that oversee banks, the advisory board, and the Fund itself. Administrator means the person appointed to run the Fund. Appropriate Federal banking agency means the federal bank regulator and, for insured credit unions, the National Credit Union Administration Board. Affiliate means a related company under federal banking law. Board means the Fund’s Community Development Advisory Board. Community development financial institution (CDFI) means a non‑government organization whose main goal is community development, that serves a specific area or group, gives development services together with loans or investments, is accountable to the people it serves, and is not a federal, State, or local agency. A bank holding company can only qualify as a CDFI if the holding company and all its subsidiaries together meet those tests, and a subsidiary of an insured bank cannot qualify unless the bank and its affiliates together meet the tests. Community partner means a non‑individual organization (for example, a bank holding company, insured bank, insured credit union, nonprofit, state or local agency, quasi‑governmental entity, or an investment company authorized under the Small Business Investment Act of 1958) that provides loans, investments, or development services. Community partnership means an agreement between a CDFI and a community partner to serve an area or group. Depository institution holding company means a bank holding company as defined in banking law. Development services means help tied to lending or investing, such as business planning, financial and credit counseling, and marketing and management help. Fund means the Community Development Financial Institutions Fund. Indian reservation and Indian tribe use their usual legal meanings and specifically include lands and Alaska Native entities, public domain Indian allotments, and former Oklahoma reservations, and tribes or Alaska Native villages or corporations that the federal government recognizes for Indian programs. Insured CDFI means a CDFI that is an insured depository institution or insured credit union. Insured credit union, insured depository institution, State, and subsidiary have their usual banking law meanings, except that a CDFI that is a corporation is not a subsidiary of an insured bank or bank holding company if that bank controls less than 25 percent of any class of voting shares and does not control the election of a majority of the corporation’s directors. Investment area means a place (including a reservation) that either meets the Fund’s objective distress tests (which can include measures like percent low‑income, poverty, unemployment, population loss, or blight) and has large unmet needs for loans or investments, or is inside a federal empowerment zone or enterprise community. Low‑income means an income at or below 80 percent of the area median for metropolitan areas, and for nonmetropolitan areas the greater of 80 percent of the area median or 80 percent of the statewide nonmetropolitan median. Targeted population means people who are low‑income or who otherwise lack adequate access to loans or investments. Training program means the Fund’s training program.