LOWELL – Three community development finance institutions in Massachusetts’ 3rd Congressional District received a total of $ 4,717,530 from an interim federal relief plan adopted in December, according to a press release from U.S. Representative Lori Trahan.
Three institutions that have received federal grants are the North Central Massachusetts Development Corporation and the Workers Credit Union in Fitchburg and the Lowell Community Loan Fund (LCLF) in Lawrence, according to Trahan.
NCMDC will receive $ 1,065,000, and WCU will receive $ 1,826,265 and LCLF will receive $ 1,826,265, according to Trahan.
“As we continue to rebuild our economy, these rapid response funds are essential to our community development financial institutions which have continued to support individuals and businesses struggling with the challenges posed by the COVID-19 pandemic,” said said Trahan. “Small businesses, working class families and other community organizations are essential to our local economies. These resources are an important step in making sure they have the tools they need to not only recover financially, but to thrive. “
Trahan has supported the adoption of CDFI’s Rapid Response Program (RRP) as part of the interim relief plan to address the economic challenges caused by COVID-19, especially in underserved communities, according to Trahan.
The funding will be used to revive local economies through the support of financial products, financial services, development services and operational activities. The grants will allow the three grantees to build up capital reserves and loan loss reserves, which in turn will help communities begin to recover from the devastating economic impacts of the pandemic, according to Trahan.
“We consider ourselves extremely fortunate to have been able to use our resources to help the region’s hardest-hit businesses and populations overcome the challenges posed by the COVID-19 pandemic,” said Roy Nascimento, President and Chief Executive Officer. the management of the North Central Massachusetts Development Corporation. “This grant from CDFI will go a long way in enabling us to continue these efforts while supporting new opportunities for entrepreneurs in the aftermath of the pandemic. This capital injection will have a lasting impact on our mission to make North Central Massachusetts a more prosperous region. “
“Workers Credit Union is proud and grateful to have been selected as one of the beneficiaries of the CDFI Rapid Response program to help support members in underserved communities. We would like to thank Congresswoman Trahan and all of our representatives from Massachusetts for their leadership in this important initiative, ”said Doug Petersen, President and CEO of Workers Credit Union. “We are delighted to be leveraging this capital through our loans and initiatives that will help businesses and individuals not only stand tall, but grow and prosper by improving their financial health.” “
“We are very satisfied with this resource. CDFI’s rapid response enables MCCI to deploy more capital to the businesses and owners who need it most while simultaneously strengthening MCCI as a long-standing community lending institution, ”said Glynn Lloyd, CEO of Mill City Investments (the Lowell Community Loan Fund).
The US Department of the Treasury has provided $ 1.25 billion in COVID-19 relief funds to 863 community development finance institutions (CDFIs) nationwide. The Treasury’s CDFI Rapid Response Program (CDFI RRP) provides communities with funding to overcome economic barriers caused by the COVID-19 pandemic.