NCALL is a Community Development Financial Institution (CDFI), certified by the U.S. Department of Treasury, and its Loan Fund has been providing community development lending opportunities and financial services primarily to nonprofit borrowers throughout the Delmarva Peninsula since 2004.
- Bridge/gap financing
- Credit enhancements and guarantees
The Loan Fund lends primarily to nonprofit organizations which have community development and/or affordable housing as part of their mission.
The target area for the NCALL Loan Fund is the Delmarva Peninsula. This encompasses the state of Delaware and the eastern shore counties of Maryland and Virginia. The Loan Fund is primarily focused on lending in rural areas; However, we also strategically lend in some of the urban areas of New Castle County, Delaware.
What is a CDFI?
CDFIs work in specific target markets that are underserved by traditional financial institutions. By providing a unique range of financial products and services, that are community development related, CDFIs invest in economically distressed target areas.
NCALL's Loan Fund voluntarily participates in the Aeris Ratings Report which utilizes the CDFI Assessment and Ratings System (CARS). NCALL is pleased to announce a rating of AA+2 after a rigorous review of community impact, financial strength, and public policy leadership.
The "AA" rating for impact is the second-highest rating in that category. It indicates NCALL has a "clear alignment of mission, strategies, activities and data" and that it is "using its resources effectively to benefit its target populations or communities in line with its mission."
The "+" rating indicates NCALL "leads initiatives to change government policy to benefit the community development finance industry or disadvantaged people and communities."
The "2" rating for financial strength and performance is also the second highest out of 5 possible ratings in this category. This evaluation is performed similar to the CAMEL evaluation that commercial banks undergo. The rating indicates that NCALL, with specific emphasis on the Loan Fund, "exhibits solid financial strength, performance, and risk management practices" and that "challenges are well within the board of directors' and management's capabilities." To put this rating into perspective, there are less than a handful of CDFIs throughout the country that have been rated a "1".
Aeris offers data, analysis, and advisory services that support investment in community development financial institutions. It provides the only comprehensive, third-party assessment of CDFI loan funds, helping such funds move toward a more standardized and transparent presentation of their financial and community impact information.
Loan Fund Committee
The Loan Fund Committee is a diverse group with a wealth of experience in lending, banking, finance, and community development.
The members are actively involved in professional and community organizations. The Committee is the approving body for loan requests and policy development.
- Amy Walls, Chairperson and Board member; Discover Bank
- Randy Kunkle, Board Vice President; Bank of America
- Dan Kuennen, Board Treasurer; Retired Community Development Professional
- Daryl Graham; JPMorgan Chase
- Joe Myer, NCALL Executive Director
- Mark Huntley, Artisans Bank
The NCALL Loan Fund's mission is to invest in affordable housing and community development projects. These projects improve the economic and social opportunities for low-income persons and communities.
The Fund tracks several criteria for monitoring adherence to its mission. For affordable housing projects, we track the number of affordable housing units financed, the levels of affordability, rental versus sales units and the dollars leveraged on each project financed. For community based facilities, the we track the service provided by the facility, the square footage developed, and the dollars leveraged on each project financed.
Although the "numbers" provide the necessary quantitative data, the Loan Fund stays focused on what is behind the numbers - individuals and families that are provided greater opportunities because of our work.