FOR IMMEDIATE RELEASE
July 20, 2020
Federal Home Loan Bank of Dallas
Brazos Valley CDC and FHLB Dallas Award Grant to Texas Community Capital
Funds Will Offset Operational and Administrative Costs for Austin-Based Nonprofit
AUSTIN, TEXAS, July 20, 2020 – Brazos Valley Community Development Corp. (Brazos Valley CDC) and the Federal Home Loan Bank of Dallas (FHLB Dallas) have awarded a $6,000 Partnership Grant Program (PGP) award to Texas Community Capital (TCC).
PGP grants help qualified nonprofit organizations fund a variety of operational and administrative activities that are critical to serving their communities.
TCC provides specialized loan and investment products and services that promote economic and community development in underserved Texas communities to enhance the quality of life of low- to moderate-income people. In conjunction with the Rio Grande Valley Multibank, it initiated the Community Loan Center (CLC) to provide affordable short-term loans as an alternative to high-priced payday lenders.
With PGP funds, TCC plans to promote and expand the CLC to markets currently not served. TCC is also exploring the development of an affordable housing loan fund to assist nonprofit developers with acquiring land for affordable housing.
"There are not a lot of resources for organizational funds for small nonprofit organizations, which is why this grant program is so unique and vital for our operations," said Texas Community Capital Executive Director Matt Hull. "The funds from the PGP grant will allow us to continue to provide services for the Austin community."
Brazos Valley CDC Executive Vice President Paul Turney said the PGP funds have enabled the corporation to support local organizations, such as Texas Community Capital.
"We are grateful for the partnership we have with FHLB Dallas and the chance to help local nonprofits expand and succeed," he said.
Funding under FHLB Dallas' PGP was increased by $2 million in 2020 under FHLB Dallas' COVID-19 Relief Program to support CBOs involved in affordable housing activities, stimulating small business development or providing small businesses with technical assistance. The use of funds for these organizations was expanded to include COVID-19 relief.
Through this unique grant program, FHLB Dallas member institutions contribute from $500 to $6,000 to a CBO, which FHLB Dallas matches at a new, higher 5:1 ratio (compared to the previous 3:1 ratio) resulting in a match of up to $30,000. If multiple member institutions contribute to the same CBO in one year, the maximum FHLB Dallas match for those member contributions is $60,000 per year. In both cases, the total grant to the CBO would be the sum of the member contribution(s) plus the FHLB Dallas match. Grants are awarded annually through FHLB Dallas and its member institutions.
Greg Hettrick, first vice president and director of Community Investment at FHLB Dallas, said PGP grants assist in community development.
"By supporting organizations like Texas Community Capital through the PGP, resources can be utilized to extend programs far beyond what was originally available. The PGP funds allow our members to work with community-based organizations to help make a positive impact on their community," he said.
See the complete list of the 2020 PGP grant recipients. For more information about the 2020 PGP grants and other FHLB Dallas community investment products and programs, please visit fhlb.com/pgp.
About Brazos Valley CDC Inc.
Brazos Valley CDC Inc. seeks to provide quality services and products to the residents and businesses of the community in such a way as to maximize the affordability of safe and decent housing, especially for the low income; and to serve as a vehicle and assist in any way possible, through networking and/or forming of partnerships with other non-profits, for-profits and governmental entities, for the purpose of encouraging community development, economic growth and general improvement to the standard of living for all the residents of the areas served.
About the Federal Home Loan Bank of Dallas
The Federal Home Loan Bank of Dallas is one of 11 district banks in the FHLBank system created by Congress in 1932. FHLB Dallas, with total assets of $83.8 billion as of March 31, 2020 is a member-owned cooperative that supports housing and community development by providing competitively priced advances and other credit products to approximately 805 members and associated institutions in Arkansas, Louisiana, Mississippi, New Mexico and Texas. Visit fhlb.com for more information.