Budget Amendment ID: FY2024-S3-159

ECO 159

CDC, CDFI, Nonprofit Direct Lending and Support

Messrs. Gomez, Keenan and Feeney and Ms. Rausch moved that the proposed new text be amended in section 2, in item 7002-0040, by adding after the word "grants" the following:-

"; provided further that not less than $25,000,000 shall be expended for grants to community development corporations certified under chapter 40H of the General Laws, nonprofit community development financial institutions certified by the United States Department of the Treasury or nonprofit community- based organizations for the purpose of providing loans to: (i) businesses that focus on reaching markets predominantly made up of socially and economically disadvantaged and historically underrepresented groups; (ii) businesses that focus on reaching underserved markets; and (iii) minority-owned, women-owned and veteran-owned businesses; and provided further, that not later than January 12, 2024, the Massachusetts Growth Capital Corporation shall submit a report to the house and senate committees on ways and means and the joint committee on community development and small businesses detailing the: (a) community development corporations and community development financial institutions and other community based organizations that received grants in fiscal year 2023; (b) community development corporations and community development financial institutions and other community based organizations that received or are expected to receive grants in fiscal year 2024; and (c) criteria that were considered in the distribution of these grants; provided further that up to 20% of these grant dollars may be used for outreach and marketing to small businesses, helping businesses prepare loan applications, providing business planning assistance to prospective borrowers, for management of the organization’s loan portfolio, for making applications to other sources of financial support and other administrative expenses";

and by striking out the figure "$7,500,00" and inserting in place thereof the following:- "$32,500,000".