Bulletin No.: 2009-02
February 2, 2009

TO: STOCKHOLDERS

SUBJECT: Community Investment Offerings

Small Business Capital Grant Program (EDP^Plus)

The Bank is pleased to announce that $1 million in funding is available for the EDP^Plus grant program. Through this program, member institutions can provide up to $25,000 in working capital to their small business customers in conjunction with an Economic Development Program (EDP) advance and borrower equity. Grant funds typically are used to finance start-up or expansion activities. The Bank began accepting applications for EDP^Plus grants on January 2, 2009 and will continue accepting applications until all funds are awarded, which is done on a first-come-first served basis. The application form is available on our web site at fhlb.com.

Affordable Housing Program (AHP)

AHP is the Bank’s primary housing grant program. In 2008, the Bank awarded $17.5 million in grants to 69 projects that created or renovated 2,913 housing units across our five-state District. Grant funds are used to purchase, construct or rehabilitate single-family, transitional and multi-family projects that serve income-qualified households. AHP grants are awarded twice a year through member institutions and community-based sponsors.

For 2009, the dates for submission of AHP grant applications will be from February 2 through March 16 for the first round, and from August 3 through September 15 for the second round.  When available, all applications must be submitted through our online system at fhlb.com. In addition, the scoring and feasibility guidelines have been updated to reflect evolving District needs. Detailed information about the AHP program is available in the Bank’s Implementation Plan, which can be found in the Community Investment section of our web site at fhlb.com.

Homebuyer Equity Leverage Partnership (HELP)

In 2009, the Bank has made $1.5 million available to members for HELP grants. The HELP program provides grants that can be used for down payment and/or closing cost assistance for eligible first-time homebuyers. Members interested in participating in HELP must submit a one-time enrollment application and agreement and thereafter will be eligible to request HELP funds during each annual offering. Members who have previously enrolled for HELP need not enroll again.

For more detailed information, please refer to the Bank’s Implementation Plan, which can be found in the Community Investment section of our web site at fhlb.com.

Special Needs Assistance Program (SNAP) - NEW PROGRAM for 2009

For 2009, the Bank has made $500,000 available to members for SNAP grants. The SNAP program provides grants that can be used for rehabilitating housing to meet the needs of homeowners with special needs. Members interested in participating in SNAP must submit a one-time enrollment application and agreement and thereafter will be eligible to request SNAP funds during each annual offering. For more detailed information, please refer to the Bank’s Implementation Plan, which can be found in the Community Investment section of our web site at fhlb.com.

Partnership Grant Program

The Bank is pleased to announce that $225,000 will be available in 2009 for the Partnership Grant Program. The Partnership Grant Program provides funding for the operational needs of community-based organizations (CBOs) - nonprofit organizations involved in affordable housing, community local development funds, or small business technical assistance providers within the District. The program is offered through Bank member institutions to eligible CBOs. Applications for Partnership grants will be accepted from July 1, 2009 through August 14, 2009 and will be awarded on a first-come, first-served basis. Detailed information about the program is available at fhlb.com.

I hope you will utilize these housing and economic development programs. If you have any questions or comments, please contact our Community Investment Department at 800.362.2944.

Sincerely,

Terry Smith
President and Chief Executive Officer

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