News Release
Contact: Public Relations Coordinator
(800) 342-9835, ext. 8130Governor’s Desk Next Stop As CDFI Bill Passes Both Houses
(June 12 - Latham, NY) – The New York State Credit Union League has just learned that the Community Development Financial Institutions (CDFI) Program introduced this year by Assembly Banks Committee Chair Darryl Towns (D-Metropolitan) and Senate Banks Committee Chair Hugh Farley (R-Adirondack/Capital) has passed both houses of the legislature and is on its way to Governor Eliot Spitzer’s desk for final approval.
The CDFI bill (S.3575-A—A.6681-A) amends the Urban Development Corporation (UDC) Act to provide for the creation of a State CDFI program, which would provide access to banking services and capital to low and moderate income communities through a growing network of alternative financial service providers, including community development credit unions.
CDFIs are community-based private sector financial institutions that make loans and investments, and provide other financial services, to persons and businesses that are not being served by traditional lenders. The creation of the State CDFI program will supplement the federal program, thereby resulting in expanded services and economic growth. The State program would also authorize loans to, and deposits in, CDFIs.
The League advocated for the legislation, which was on the League’s 2007 Legislative Agenda, in the course of its lobby day during their Governmental Affairs Conference in May. It also lent their assistance during the New York Coalition of Community Development Financial Institution’s lobby day in April.
“It is vital to provide as many resources possible to our community development credit unions,” said William J. Mellin, president/CEO, New York State Credit Union League. “The passage of this legislation is the first step to give these credit unions support from the State to continue their vital services to low and middle income New Yorkers. We applaud Senator Farley and Assemblyman Towns for their leadership, and thank the legislature for their support of all New York’s not-for-profit credit unions.”
Although there is no funding allocated in the bill for the program, passage of this legislation sets up the framework for the CDFI program to be funded in next year’s budget.
The League will continue to partner with the Coalition and work with the Governor to not only get the bill signed into law, but to secure funding for the program in 2008.
The New York State Credit Union League (NYSCUL) has served as the trade association for the state’s credit unions for 90 years. It is the fifth largest league in the country. New York credit unions have assets of more than $37 billion and more than 4.1 million members. To learn more about the League, visit www.nyscul.org.
New York State Credit Union
League, Inc. & Affiliates
P.O. Box 15118, Albany, New York 12212-5118 | 19 British American Boulevard, Latham, New
York 12110
800-342-9835 | Fax 518-437-8284