FHLBank Atlanta The Value of the Community Dividend 1 Growing - - PowerPoint PPT Presentation
Growing Communities FHLBank Atlanta The Value of the Community Dividend 1 Growing Communities The Federal Home Loan Bank System Government Sponsored Enterprise chartered by Congress in 1932 The 12 district FHLBanks are each privately-
Growing Communities
1
FHLBank Atlanta
The Value of the Community Dividend
Growing Communities
2
by Congress in 1932
held cooperatives composed of more than 8,100 member/owner financial institutions
and liquidity source for the majority of domestic financial institutions
The Federal Home Loan Bank System
Growing Communities
3
FHLBank Atlanta Membership
Financial Institutions in the Southeast
Growing Communities
4
dynamic
a credit loss in 75 years
affordable housing
Characteristics of FHLBank Atlanta as a Cooperative
Members FHLBank
Stock Advances
Community Dividend
Growing Communities
5
income allocation as the dividend that we pay the community
predicated upon the positive financial performance of FHLBank Atlanta
The Community Dividend
Growing Communities
6
AHP
Community Dividend Community Financial Institution FHLBank
Community Grows Developer requests funds for Affordable Housing Development Member institution applies for funds from FHLBank Atlanta FHLBank Atlanta approves funding
Funds are invested in the community
How We Grow Communities
Growing Communities
7 7
Affordable Housing Program (AHP) Community Investment Program (CIP) First-time Homebuyer Program (FHP) Economic Development Program (EDP)
Product Portfolio
AHP - Funding to create rental and homeownership
low- and very low-income households FHP - Down payment and closing cost assistance for first-time homebuyers EDP & CIP - Discounted advances to support housing and economic development FHLBanks
CIS Overview
Growing Communities
8
Affordable Housing Program (AHP)
for moderate-, low- and very low-income households
― Residents at or below 80 percent of Area Median Income (AMI)
– New construction or rehabilitation – Acquisition – Permanent financing – Down payment and closing cost assistance
Growing Communities
9
1
Major Initiatives last Three Years
Growing Communities
10
10
Timeframe After AHP Award Milestone 6 months
–Except for single-family foreclosure and ownership post-development projects 12 months
–Evidence must be received indicating that all other funding sources for the proposed project have been committed 18 months
24 months
30 months
36 months
–Draw down of all AHP funds –Construction complete –All requested documents received and approved by the Bank –All owner-occupied units must be sold and occupied by eligible households –Rental projects must have a certificate of occupancy and be at least 75% occupied
Growing Communities
11
CATEGORY
2010 ALLOCATION POINTS
Donated Government-Owned or Other Property 5 variable Nonprofit or Government Sponsor 5 variable Targeting 20 variable Housing for Homeless Households 5 fixed Empowerments 5 variable First District Priority Rural 5 variable Disaster Areas 5 variable Member Participation 15 fixed Second District Priority Foreclosure Recovery 15 fixed AHP Subsidy per Unit 10 variable Community Stability 10 variable Total Points 100
11
Growing Communities
12
Leverage Effect
Source- Beyond Units: Economic Benefits of Federal Home Loan Bank of Atlanta’s Affordable Housing Program by The Hendrickson Company and The Shimberg Center for Housing Studies at the University of Florida
$14.3 Million
Housing Built
AHP
$1
Million For every $1 million of AHP funding, $14.3 million of housing is built or rehabilitated
Without the substantial leveraging of AHP funds, the economic impact of the program would be only 1.7-1.8
Members Stimulating Local Economies
Growing Communities
13
Tax Revenue
Over $811 million of federal, state, and local taxes has been generated as a result of FHLBank Atlanta AHP funding
Federal Income Taxes Corporate Taxes State Income Taxes Real Estate Taxes
Members Stimulating Local Economies
Growing Communities
14
For every $1 million of AHP funding, 158 jobs are created. FHLBank Atlanta’s AHP has helped create an estimated 46,000 jobs during its 20 year history
Job Creation Jobs created:
Builders Architects Supplies Services Bankers Transportation Utilities Government Retail Insurance Real Estate
Industry supported: Members Stimulating Local Economies
Growing Communities
15
Florida Project Summary
Affordable Housing Program
Total number of projects Total number of AHP units Total subsidy awarded Total development cost Total units above 80% AMI Total moderate-income units Total low-income units Total Very low-income units Total rural units Total ownership units Total rental units 20 897 $12,005,499 $97,896,592 30 267 600 430 139 758
Growing Communities
16
First-time Homebuyer Program (FHP)
– 5:1 Match (Minimum borrower contribution of $500) – Maximum $7,500 per borrower – Registered members eligible for up to $1,000,000 per year – First-come, first-served
Growing Communities
17
Community Investment Program (CIP) and Economic Development Program (EDP)
Growing Communities
18
Business Development and Relationship Management Jackson Cosey Shadonte Dozier Louis Freeman
How We Connect
Webinars Sponsorships In-market workshops Forums