Certified Community & Rural Planning Development Entity
CTMS is certified by the United States Department of The Treasury as a Community Development Entity (CDE).This is derived from the CDFI Fund Program (www.cdfi.com).
To partner with CTMS an organization must meet one or more of the following criteria:
• The organization must be a financing entity
• The organization must principally serve one or more targeted LIC (Low Income Community)
• The organization must provide development services in conjunction with its financing activities;
• The organization must maintain accountability to its defined Target Market;
• The organization must be a non-governmental entity and not be under control of any government entity.
Community Development Corporations and Community Development Financial Institutions
Our intent is to support community-based organizations known as Community Development Corporations(CDCs)and Community
Development Financial Institutions (CDFIs).
CTMS is charged with oversight and implementation responsibilities that include assisting with certification of CDCs and CDFIs, management and administration of grants and loans to CDCs and CDFIs, and a provision of technical support and consulting.
The Program of Work, which is a required part of the application for certification, will be used as a performance measure for other
partnerships. The company must ensure that all state certified CDFIs are promoting community development and meeting the objectives that are outlined in its’ submitted Program of Work. The Program of Work must be a detailed depiction of what the organization plans to
accomplish in the next 24 months with quantifiable measures.
It is important that the CDE help outline realistic, attainable goals and objectives. A performance-based evaluation of the CDE will be
conducted by its Governing Board. The CDE will seek funds and guarantees from USDA’S office of Community & Rural Development on behalf of its investors or affiliates.
The City and Town Management Services Corporation (CTMS) values the importance of community partnerships with other state agencies, local governments, and the private sector for a broad approach to community and economic development.
Through these partnerships, communities are better able to leverage their resources more effectively and build long-term capacity. Through certification, community development groups receive increased support from many State and Federal Agencies and CTMS can provide
incentives to investors nationwide.
Community Development Financial Institutions (CDFI’s) are specialized financial institutions that work in target populations that have been inadequately served by traditional financial institutions. CDFIs provide a wide range of financial products and services, including mortgage financing for first-time home-buyers, financing for community facilities, commercial loans and investments to start or expand small
businesses, loans to rehabilitate rental housing, and financial services needed by low-income households and local businesses.
In addition, these institutions provide services that help ensure that credit is used effectively, such as technical assistance to small businesses and credit counseling to consumers. CDFIs include community development banks, credit unions, loan funds, venture capital funds, and micro enterprise loan funds, among others.
Note: All state certified Community Development Financial Institutions, if partnering with CTMS, must maintain the federal designation by the U.S. Department of Treasury. Therefore CTMS, in assisting them, will require a prescribed format to be followed.
Phase I–Internal Review
The CTMS program manager will carefully review the submitted application and required documents. The application review will be based on four areas: Organizational Management & Capacity, Community Involvement & Partnerships, Fiscal Accountability, and Resource
Development. Following the internal review, the program manager will contact the applicant to schedule a site visit.
Phase II–Site Visit
The program manager will contact the CDFI Director or designee to schedule a site visit. During the site visit, the program manager will discuss the goals and objectives outlined in the Program of Work, discuss submitted documentation, and answer any questions as they relate to the CDFI certification. The program manager may request to meet with the Board of Directors. Exception: There may be occasions where a site visit may be scheduled prior to submission of a full application.
Phase III–Final Determination
The program manager, in coordination with CTMS Division of Community & Rural Development will make a final recommendation regarding the applicant’s certification based on the submitted application and Program of Work, internal review, and site visit. A summary evaluation letter will be mailed to applicants that are working toward Community Development CDFI certification. CDFIs that are not approved may
reapply at a later date, if noted deficiencies are corrected.
FYI: The application may consist of five major components. Applicants should answer all questions below. Provide the narrative to each
question as a separate attachment and indicate the question number. This will help to determine if they qualify as an organization with the structure to help develop the targeted community intended for service.
PURPOSE & CONSULTANT USE
1A. Why is the organization seeking the State Certified Community Development Financial Institution designation?
1B. Describe your organization’s use of consultants.
ORGANIZATIONAL MANAGEMENT/CAPACITY/TARGET MARKET SUMMARY
2A. Provide a narrative describing the applicant’s mission, history, product and service offerings, and markets served (should reference the organization’s commitment and accountability to the under-served community).
2B. Is the area served a part of a larger empowerment zone/enterprise community or entitlement area? Indicate: Yes/ No. If yes, explain:
2C. Describe the applicant’s lending experience/track record.
2D. List the name and title of each staff member. List their responsibilities and define their qualifications, experience, and expertise. Include activities relating to loan processing, underwriting, servicing and development services.
2E. Provide a brief market analysis of target population. Describe market opportunities, factors or trends that influence your organization’s
ability to deliver services to the target market.
PROGRAM OF WORK
The Program of Work should be a detailed depiction of goals for the next 24 months (lending, financial service offerings, etc). The Program of Work must include quantifiable measures. Applicants must use their prescribed program of work template. If you have any questions, please e-mail Dr. William Foster, III at firstname.lastname@example.org.
COMMUNITY INVOLVEMENT & PARTNERSHIPS
3A. Describe the nature or relationship of the organization with that of the local municipality, county, councils of government, or financial
3B. Is the organization currently coordinating or does the organization have plans to coordinate with other federal government public-private partnership initiatives, community organizations, financial institutions, and/or other public and private entities? If so, please describe the nature of the partnership and the specific activities that are or will be undertaken jointly.
4A. Who is the Financial Officer/Administrator of the organization?
4B. Does he/she have other responsibilities with the organization? If yes, explain.
4C. Please describe the organization’s fiscal/accounting policies and procedures.
4D. Are the policies written and board approved?
4E. Does the organization have a Finance Committee? Explain their role as it relates to day-to-day operations.
4F. When was the organization’s last audit?
4G. If no audit has been completed, please explain why.
4H. Please list the funding sources for the current year (not program or project specific). Use the following format:
Source Name Amount Percent of assets
(Organization’s ability to garner additional funding and attract contributions and/or investments)
5A. Please describe the organization’s plan to acquire additional funds for community development lending within the next 24 months. Include potential funding sources.
5B. Does the organization’s plan to attract contributions using the State and Federal Tax Credit Programs.
Let us help assist you in perfecting the infrastructure of your city or town. Contact us at 713-261-1508 or 713-931-ctms(2867).