Title 12, Banks and BankingRelease 119-110

§4704 Applications for Assistance

Title 12 › CHAPTER 47 — COMMUNITY DEVELOPMENT BANKING › SUBCHAPTER I — COMMUNITY DEVELOPMENT BANKING AND FINANCIAL INSTITUTIONS › § 4704

Last updated Sep 22, 2026|Official source

Summary

The Fund requires applications to be sent in the form and way the Fund sets. Except as provided in sections 4705 and 4712, an application must show the applicant is or will be a community development financial institution and include a detailed strategic plan. That plan must have a business plan of at least 5 years proving the organization will be well run and able to survive without ongoing Fund support. The plan must also describe the needs of the investment area or targeted population and how the applicant will meet them, explain how Fund help will be coordinated with federal, state, local, tribal, and private programs, show how proposed work fits with existing local economic, community, and housing plans, and say how the applicant will work with community groups and financial partners. The application must list likely sources of matching funds and any other information the Fund asks for. If the applicant already got Fund help, it must show it met its goals and will expand into a new area or population, add products or services, or grow its business. If the applicant has a history serving target areas, it must show success and similar plans to grow. The Fund will run an outreach program to find and inform possible applicants and may give technical help, but it will not help prepare applications.

Full Legal Text

Title 12, §4704

Banks and Banking, Source: USLM XML via OLRC

(a)Form and procedures

An application for assistance under this subchapter shall be submitted in such form and in accordance with such procedures as the Fund shall establish.

(b)Minimum requirements

Except as provided in section 4705 and 4712 of this title, the Fund shall require an application—

(1)to establish that the applicant is, or will be, a community development financial institution;

(2)to include a comprehensive strategic plan for the organization that contains—

(A)a business plan of not less than 5 years in duration that demonstrates that the applicant will be properly managed and will have the capacity to operate as a community development financial institution that will not be dependent upon assistance from the Fund for continued viability;

(B)an analysis of the needs of the investment area or targeted population and a strategy for how the applicant will attempt to meet those needs;

(C)a plan to coordinate use of assistance from the Fund with existing Federal, State, local, and tribal government assistance programs, and private sector financial services;

(D)an explanation of how the proposed activities of the applicant are consistent with existing economic, community, and housing development plans adopted by or applicable to an investment area or targeted population; and

(E)a description of how the applicant will coordinate with community organizations and financial institutions which will provide equity investments, loans, secondary markets, or other services to investment areas or targeted populations;

(3)to include a detailed description of the applicant’s plans and likely sources of funds to match the amount of assistance requested from the Fund;

(4)in the case of an applicant that has previously received assistance under this subchapter, to demonstrate that the applicant—

(A)has substantially met its performance goals and otherwise carried out its responsibilities under this subchapter and the assistance agreement; and

(B)will expand its operations into a new investment area or serve a new targeted population, offer more products or services, or increase the volume of its business;

(5)in the case of an applicant with a prior history of serving investment areas or targeted populations, to demonstrate that the applicant—

(A)has a record of success in serving investment areas or targeted populations; and

(B)will expand its operations into a new investment area or to serve a new targeted population, offer more products or services, or increase the volume of its current business; and

(6)to include such other information as the Fund deems appropriate.

(c)Preapplication outreach program

The Fund shall provide an outreach program to identify and provide information to potential applicants and may provide technical assistance to potential applicants, but shall not assist in the preparation of any application.

Reference

Citations & Metadata

Citation

12 U.S.C. § 4704

Title 12, Banks and Banking

Last Updated

Sep 22, 2026

Release point: 119-110