Bank Enterprise Award Program (21.021)

 

Program

21.021 Bank Enterprise Award Program

 

Federal Agency

DEPARTMENT OF TREASURY, UNDER SECRETARY FOR DOMESTIC FINANCE, COMMUNITY DEVELOPMENT FINANCIAL INSTITUTIONS FUND

 

Authorization

Public Law 103-325, 12 U.S.C. 1834a; 12 U.S.C. 4713.

 

Program Number

21.021

 

Last Known Status

Active

 

Objectives

To encourage insured depository institutions to increase their level of community development activities in the form of loans, investments, services and technical assistance within distressed communities and to provide assistance to community development financial institution's through grants, stock purchases, loans, deposits and other forms of financial and technical assistance. The program rewards participating insured depository institutions for increasing their activities in economically distressed communities and investing in community development financial institutions.

 

Types of Assistance

Project Grants.

 

Uses and Use Restrictions

Under this program, awards are issued to selected applicants that: (1) Invest in or otherwise support Community Development Financial Institutions; (2) Increase lending and investment activities within Distressed Communities; and/or (3) Increase the provision of certain services and technical assistance within Distressed Communities. Awards are based upon a percentage of the increases in qualifying activities that are carried out by the applicant between an established Baseline Period and Assessment Period. This information is announced in the annual notice of funds availability published in the Federal Register. No award under this program will be issued if the applicant has: an application pending under the Community Development Financial Institutions (CDFI) Program, received assistance under the CDFI Program within the preceding 12-month period, or ever received assistance under the CDFI Program for the same activities for which it is seeking a Bank Enterprise Award. Only banks or savings associations the deposits of which are issued by the Federal Deposit Insurance Corporation may apply for an award under this program.

 

Eligibility Requirements

Applicant Eligibility

Profit Organization and Other Private Institution/Organization in the form of insured depository institutions.

Beneficiary Eligibility

Profit Organization and Other Private Institution/Organization in the form of insured depository institutions.

Credentials/Documentation

An applicant must submit a copy of its certificate of insurance issued by the Federal Deposit Insurance Corporation.

 

Application and Award Process

Preapplication Coordination

None. This program is excluded from coverage under E.O. 12372 and OMB Circular No. A-102.

Application Procedure

Each applicant must complete a Bank Enterprise Award Application package. This program follows OMB Circular No. A-110 guidance.

Award Procedure

Applications are reviewed and grant awardees are selected by the Community Development Financial Institutions Fund.

Deadlines

The annual Notice of Funds Availability published in the Federal Register announces deadline dates for submission of applications for this program. Deadline dates generally range from 30 to 90 days subsequent to the notice publication.

 

Range of Approval/Disapproval Time

Appeals

None.

Renewals

None.

 

Assistance Considerations

Formula and Matching Requirements

None.

Length and Time Phasing of Assistance

Awards are issued on a percentage reimbursement basis for selected and approved activity increases under this program.

 

Post Assistance Requirements

Reports

The schedule of reports is arranged during the pre-award negotiation stage.

Audits

Costs incurred for awards issued as part of this program are subject to audit in accordance with the award terms and conditions.

Records

Award recipients must maintain records to substantiate all award costs incurred and to assure that all performance measures are met. Records will be retained in accordance with the provisions of 12 CFR Part 1806 and OMB Circular No. A-110.

 

Program Accomplishments

For fiscal year 2001, 205 awards were issued.

 

Financial Information

Account Identification

20-1881-0-1-451.

Obligations

(Grants) FY 02 $30,000,000; FY 03 est $35,000,000; and FY 04 est $40,000,000.

Range and Average of Financial Assistance

$1,100 to $2,500,000; $72,875.

 

Regulations, Guidelines and Literature

12 CFR Part 1806, Revised Interim Rule, published in the December 5, 1997 issue of the Federal Register. Bank Enterprise Award Program Application Package.

 

Related Programs

21.020, Community Development Financial Institutions Program.

 

Information Contacts

Regional or Local Office

Not applicable.

Headquarters Office

U.S. Department of Treasury, Community Development Financial Institutions Fund, 601 13th Street, NW., Suite 200 South, Washington, DC, 20005. ATTN: Awards Manager. Telephone: (202) 622-8662. Fax: (202) 622-7754.

Web Site Address

http://www.treas.gov/cdfi/bearogram

 

Examples of Funded Projects

The Bank Enterprise Award recipients issued more than $58 million in new loans to finance multi-family housing in distressed communities around the nation. In addition, recipients made available nearly $83 million for new loans, investments, financial services and technical assistance in economically distressed communities.

 

Criteria for Selecting Proposals

Award recipients are selected based upon a priority ranking of qualified activities. Qualified activities include, in order of importance, the following: (1) Community Development Financial Institution Related Activities; and, (2) Development and Service Activities.

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