Florida Community Loan Fund Secures $75 Million for Community Development Initiatives

The Florida Community Loan Fund (FCLF) recently announced a significant achievement, having been awarded a $75 million allocation from the New Markets Tax Credit (NMTC) program, managed by the U.S. Department of Treasury's Community Development Financial Institutions (CDFI) Fund. This allocation represents the largest grant received by FCLF to date and marks a vital step toward bolstering community development projects in underserved areas.

As part of the Treasury's unprecedented $10 billion NMTC allocation for the years 2024 and 2025, FCLF's recent award enhances its capacity to finance crucial community facilities. Specifically, the organization is focused on projects that include Federally Qualified Health Centers (FQHCs) and other local establishments that provide essential services to youth and vulnerable populations. This initiative is particularly timely given the growing economic challenges facing many communities across Florida, including rising living costs and increased demand for social services.

Ignacio Esteban, the CEO of FCLF, emphasized the importance of this funding: "This NMTC round arrives at a critical time for Florida communities, many of which are grappling with rising living costs and widening gaps in essential services that strain families across the state. With our expertise and the mission to promote equitable access, we are uniquely positioned to leverage these funds to accelerate projects that create quality jobs and enhance healthcare access for needy families."

Florida ranks third in the U.S. for the highest uninsured rate, with about 13.4% of residents lacking health insurance, translating to nearly four million people facing healthcare access challenges. Many of these individuals often delay treatment due to financial constraints. In this context, FQHCs are pivotal in closing the healthcare access gap by offering high-quality care irrespective of a patient's financial status.

Moreover, the need for youth services is pressing, with 17% of Florida's youth living below the poverty line and concerning rates of homelessness contributing to an overwhelming demand for effective programs to support these groups. FCLF plans to allocate NMTC financing to FQHCs and organizations dedicated to providing vital youth and family services in low-income neighborhoods. This strategic funding approach allows these entities to expand their impact much more rapidly than would be possible through traditional fundraising methods.

Founded in 1994, FCLF's mission revolves around the provision of flexible financial solutions to low-income communities throughout Florida. The organization has a robust history of successfully using NMTC financing to bring transformative community projects to fruition. Noteworthy examples of their work include the Treasure Coast Community Health facility in Indian River County, Central Florida Health Care centers in Polk County, and several Boys & Girls Clubs in Sarasota and DeSoto Counties.

The New Markets Tax Credit program plays a crucial role in fostering economic development within distressed communities by allocating tax credits to Community Development Entities (CDEs) for targeted investment in defined areas. Recently, the NMTC was permanently integrated into the U.S. tax code via the One Big Beautiful Bill Act (OBBBA), reflecting the program's long-term significance. For every dollar allocated from the federal government through NMTC, approximately eight dollars are generated from private investments, making it a powerful engine for community growth.

FCLF is dedicated to maximizing opportunities for individuals and areas traditionally excluded from economic advancement. With over 30 years in the financing sector, this nonprofit organization continues to make strides as a recognized CDFI and CDE through the U.S. Treasury and a member of the Federal Home Loan Bank of Atlanta. For further information about their impactful work, please visit www.fclf.org.