Credit unions that recently submitted comments to the Community Development Financial Institution Fund (CDFI) have learned the agency is pausing implementation of its updated certification application, stating the fund needs additional time to incorporate feedback on proposed application revisions.
Many CDFI-certified credit unions (including several Inclusiv-member credit unions), as well as the Credit Union National Association (CUNA) and state credit union leagues/associations, sent public comment letters to the agency. Those comments urged the fund to ensure updates to the CDFI certification application that do not create unnecessary barriers to CDFI certification for mission-driven credit unions that have a strong track record of providing fair and responsible financial services in their communities.
This positive news also follows a letter from CDFI Caucus Co-Chairs and U.S. Sens. Mark Warner and Mike Crapo calling on the fund to carefully consider public feedback on the new certification requirements.
The fund hasn’t published an updated timeline, but it has noted that it “has been deliberate in its efforts to update the CDFI certification process and will continue with that approach by carefully reviewing all public comments received in response to the latest request for public comments.”
It also stated that while a lengthy delay shouldn’t be necessary, the time needed to deliberate on comments and further adjust the application materials will require the fund to postpone the launch of the new application and its associated reporting tools beyond the previously anticipated April timeline.
Inclusiv — as well as the California and Nevada Credit Union Leagues — will continue to keep member credit unions updated on opportunities to engage with the fund regarding its new certification application, as well as continue to advocate for strong CDFI certification standards designed with credit unions in mind.