“Bringing New Markets Tax Credits to the Non-Profit Community”

Community Development Entity Services

Community Funding Group is a certified Community Development Entity that operates in the the States of Washington and Oregon. CFG works with non-profit organizations by providing allocations that allow them to realize a significant financial benefit from the New Martkets Tax Credit program. The use of the program brings equity funding to the non-profit's projects that is typically in the range of 15-20% of its total cost.

To date CFG has received a $30 million allocation award from the CDFI Fund in October 2008. We have since deployed the entire $30 million on 4 projects - (see “Projects” tab). Although we currently do have any additional allocation, CFG has applied to the CDFI Fund for more New Markets Tax Credit allocation in the upcoming round of awards.

In addition to supplying NMTC allocations and the related loans and investments to non-profit agencies’ projects, CFG also applies it expertise and industry connections to investors, lenders and other allocatees through its NMTC consulting practice.

If you would like to discuss accessing the funds available though a NMTC transaction, please feel free to contact us at any time to obtain general information concerning the NMTC program or to discuss your specific project.

Types of project funded

Community Funding Group has always looked at the New Markets Tax Credit program as a powerful tool that can be used to fund nonprofit capital projects. In accordance with its Mission of providing funding to just these types of projects, CFG reserves its tax credit allocation for projects undertaken by nonprofit human service agencies that address homelessness, hunger, job training, and healthcare for low-income populations.

CFG's Allocated Projects

How much funding is available?

Each year, the New Markets Tax Credit program gets extended by Congress. In January 2013, the program was funded with an additonal $7 billion of allocation. The allocation will be awarded in two rounds, with the first $3.5 billion being awarded in the Spring of 2013. The second $3.5 billion will be awarded in Spring of 2014. Available allocation remaining from previous rounds of awards was approximately $1.9 billion, as of February 2013. Although these amounts seem like a lot, NMTC allocation is very difficult to obtain, as there are approximately 7 projects passed over, for each awarded allocation.