A New Agenda for Community Development Finance

Brief

A New Agenda for Community Development Finance

Seven Big Ideas to Expand Access to Capital, Lessen Racial Disparities, and Tackle Persistent Poverty

Abstract

In this brief, we identify seven big ideas to address these concerns that together constitute our “New Agenda for Community Development Finance.” These are (1) an expansion of the Community Reinvestment Act to cover insurance companies, pension funds, investment firms, and other financial institutions; (2) a new federal corporate standard to promote investment in local communities; (3) time-limited disbursal requirements for donor-advised funds (DAFs); (4) revisions to the Employee Retirement Income Security Act (ERISA) to encompass social as well as financial outcomes; and three new federal expenditure proposals: (5) the creation of a Local Equity Tax Credit, (6) the quadrupling of CDFI Fund grant awards, and (7) substantial revisions to the Opportunity Zone incentive. This brief builds upon “Building the Double Bottom Line: How a New Corporate Compact Could Birth a Community Development Renaissance” from the Urban Institute’s Opportunity for All project.

Centers

Cross-Center Initiative

To reuse content from Urban Institute, visit copyright.com, search for the publications, choose from a list of licenses, and complete the transaction.
LATEST IN Income and Wealth
To reuse content from Urban Institute, visit copyright.com, search for the publications, choose from a list of licenses, and complete the transaction.