WASHINGTON — Today, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) announced $ 17,744,862 in federal funding to enhance beach access at Chincoteague National Wildlife Refuge and Assateague Island National Seashore. Specifically, these federal dollars will be used to relocate the existing public recreational beach to a more stable part of the island. This funding will also go towards constructing a new access road, four new parking lots, new boardwalks, and paving for a multiuse path. 

“This award would not have been possible without the bipartisan infrastructure law, which we were proud to help usher into law. We are thrilled to see these federal dollars go towards enhancing beach access at Chincoteague and Assateague – a project that will help preserve this natural treasure, provide visitors with a better experience, and generate more economic activity in the region,” said the Senators.  

This funding, awarded through the Department of Transportation’s Nationally Significant Federal Lands and Tribal Projects (NSFLTP) Program, was only made possible by the passage of the Warner and Kaine-backed bipartisan infrastructure law, which reduced minimum project sizes from $25 million to $12.5 million and increased the federal share of projects on Tribal transportation facilities to 100 percent. 

The Nationally Significant Federal Lands and Tribal Projects Program (NSFLTP) provides funding for the construction, reconstruction, and rehabilitation of nationally-significant projects within, adjacent to, or accessing Federal and tribal lands. The program provides an opportunity to address significant challenges across the nation for transportation facilities that serve Federal and tribal lands.

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WASHINGTON – U.S. Sens. Mark Warner (D-VA) and Mike Crapo (R-ID), co-chairs of the Community Development Finance Caucus, along with Deputy Secretary of the Treasury Wally Adeyemo held an event today on Capitol Hill with corporate and banking leaders to announce that members of the Economic Opportunity Coalition have reached their goal of securing $1 billion in committed deposits in Community Development Financial Institutions (CDFIs) and Minority Depository Institutions (MDIs) in order to expand their lending power for underserved communities and small businesses emerging from the pandemic. 

The private sector funding will boost public efforts to strengthen and grow the lending capacity of CDFIs and MDIs, which included a record $12 billion federal investment to help underserved communities access affordable capital secured by Sens. Warner and Crapo as part of the bipartisan COVID relief package approved by Congress at the end of 2020. The additional deposits announced today will help to bring down loan-to-deposit ratios at these institutions, which will allow them to increase their lending further while ensuring they maintain adequate liquidity.

“Strengthening minority and community lenders will help unlock the economic potential of some of our most overlooked communities,” said Sen. Warner. “I’m glad to see the private sector working with us to leverage returns on public investment while investing in entrepreneurs and small businesses in communities of color and other financially underserved areas.”

“This exciting benchmark is just the beginning of support for underserved and rural communities across the country,” said Sen. Crapo.  “The private sector’s partnership in investing in these communities is crucial for the long-term sustainability and economic growth of areas most in need.”

“Our economy works best when capital is unlocked across races and regions,” said Deputy Secretary of the Treasury Wally Adeyemo. “Today’s announcement reflects the impact of a coordinated partnership between the public and private sectors to address economic inequality across the nation and maximize the impact of the Biden-Harris Administration’s unprecedented investments in underserved communities.”

“CDFIs and MDIs are proximate to communities. They exist to support small businesses, aspiring homeowners, community infrastructure needs, and the development of affordable housing,” said Michael Roth, Co-lead of the Economic Opportunity Coalition and Co-CEO of Next Street. “Moving deposits to these kinds of community-based lenders facilitates access to credit in communities where traditional financial services are limited, unavailable, or unaffordable. That’s why this EOC milestone is really also a call to action. We know 1 billion dollars isn’t enough; it's just the start.” said Roth.

Launched by Vice President Harris last July, the Economic Opportunity Coalition is a group of more than two dozen corporations and philanthropies that committed to making major investments in communities of color to address economic disparities and accelerate economic opportunity. Representatives of the Coalition at today’s event included leaders from Wells Fargo, Next Street, KeyBank, TIAA, Citi, and Bank of America. 

“Senators Warner and Crapo and Treasury Deputy Secretary Wally Adeyemo have been amazing champions of getting resources to CDFIs and MDIs that are serving communities of modest financial resources.  The Emergency Capital Investment Program (ECIP) was a true game-changer, providing equity investments that mission-based financial institutions could use to attract $8 of additional deposits and debt for every $1 of ECIP investment.  Hence, the $8+ billion of ECIP investments will over time create $100 billion of lending capital that can be recycled at least 3 times over a 10-year period,” said Martin Eakes, CEO, Self-Help Credit Union. “I know this sounds complicated, but the bottom line is that the actions of these leaders and their associates will produce more than 1 million new homeowners and tens of thousands of new businesses in communities of color, and in other rural and lower wealth communities all across the country.” 

“Black-owned Optus Bank has exponentially grown its balance sheet and, more importantly, its impact on high-potential underestimated communities,” said Dominik Mjartan, President and CEO of Optus Bank. “With transformational investments from the private sector, we have been able to leverage the recent ECIP investment to more than double the bank’s loan portfolio in 2022 while directing more than 90% of our loans to mission-aligned communities.”

“These commitments ensure that CDFIs and MDIs are equipped to significantly expand impact to working Americans who have historically struggled in the pursuit of economic prosperity,” said Darrin Williams, Southern Bancorp, Inc. CEO. “Combined with the ongoing support from Congress and Treasury, our industry has never before been as equipped to fulfill our mission of reaching the financially underserved – from rural America to our urban centers – we are building the capacity to finance the positive economic change needed in our country.”

“Public and private investments are essential to closing wealth gaps in America and enabling lasting financial health and resilience, including throughout retirement. As a founding member of the EOC, TIAA is proud to contribute to this critical funding milestone and to advance collective engagements that unlock resources for innovators, business owners and other leaders in underserved communities,” said W. Dave Dowrich, CFO at TIAA. “Supporting the holistic financial well-being of communities to help achieve longer-term equitable growth goes hand-in-hand with our efforts to ensure all Americans can retire with dignity and financial security. As too many Americans navigate economic challenges, these investments demonstrate that bipartisanship and cross-sector collaboration can deliver scalable and sustainable solutions that can meaningfully change lives and improve communities.”

“We are strong supporters of the Economic Opportunity Coalition and congratulate the organization on reaching the goal of $1 billion in deposits that will be placed with CDFIs and MDIs.  These organizations are a critical part of the lending ecosystem for underserved communities, and we look forward to helping them grow and better serve their local markets,” said Charlie Scharf, CEO of Wells Fargo.  

“Citi is able to use our robust balance sheet to provide access to capital for our MDI partners that have historically faced higher burdens for raising capital, enabling them to enhance their support for individuals and businesses in underserved communities,” said Citi CFO Mark Mason. “In addition to joining in the Economic Opportunity Coalition’s $1 billion announcement today, Citi and the Citi Foundation are deepening our efforts to support CDFIs and MDIs and we are eager to work with the EOC to expand the net even further to help solve the significant, unmet need.”

“KeyBank embraces the opportunity to partner with Community Development Financial Institutions (CDFIs) and Minority Depository Institutions (MDIs) through the Economic Opportunity Coalition,” said Chris Gorman, CEO and Chairman of KeyCorp. “At Key, our purpose is to help our clients and communities thrive. In partnership with CDFIs and MDIs, we are bringing that purpose to life by expanding banking services in our neighborhoods and bringing more capital-building tools to underserved communities. We appreciate the leadership of Senators Warner and Crapo, and the Treasury Department's commitment to an inclusive economy.”

“Promoting investment and economic opportunity in underserved communities is critical to reaching the U.S.’s potential to enable growth that is also inclusive. McKinsey & Company is proud to be a founding member of the Economic Opportunity Coalition, and will to continue working with our partners to support this critical goal,” said Bob Sternfels, McKinsey’s Global Managing Partner.

“Today’s one billion funding announcement reflects the Coalition’s commitment to taking meaningful actions to accelerate economic opportunity in underserved communities across the country,” said Nat Hoopes, Vice President and Head of Public Policy and Regulatory Affairs at Upstart. “Upstart is proud to contribute both dollars and our AI technology to support CDFIs and MDIs in their important work to expand access to affordable credit.”

“This milestone is a testament to the power of public private partnerships in accelerating economic opportunity,” said Dan Schulman, president and CEO, PayPal. “Continued investment in CDFIs and MDIs is critical to building thriving communities and creating transformative change. PayPal is proud to be a founding member of this effort and we look forward to the continued collaboration.”

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WASHINGTON — U.S. Sen. Mark R. Warner (D-VA), Chairman of the Senate Select Committee on Intelligence, today issued the following statement:

“The United States faces a dramatically different threat landscape today than it did just a couple of decades ago, with new threats and new technology that mean we must make substantial adjustments to our counterintelligence posture if we are going to successfully safeguard our national and economic security. I have worked closely alongside Mike Casey ever since he became staff director of the Senate Intelligence Committee in 2016, and I can think of no one more qualified to lead these efforts as head of the National Counterintelligence and Security Center. I congratulate him on this nomination, and I look forward to a thorough and swift confirmation process before the Senate Intelligence Committee.”

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WASHINGTON – U.S. Sen. Mark R. Warner (D-VA), a member of the Senate Banking Committee, today joined a bipartisan group of colleagues to introduce the Failed Bank Executives Clawback Act – bipartisan legislation that would require federal regulators to claw back up to three years of compensation received by big bank executives, board members, controlling shareholders, and other key decision-makers in the event of a failure or resolution.

“Executives of failed banks shouldn’t profit from their mismanagement,” said Sen. Mark Warner. “This bipartisan legislation would allow regulators to hold managers financially accountable for running a bank into the ground.”

In the wake of the Silicon Valley Bank (SVB) collapse it was reported that CEO Greg Becker sold a reported $3.6 million in SVB stock, potentially profiting off the impending demise of the very bank he managed, while other SVB employees received bonuses just hours before the government stepped in to close the bank.

The Federal Deposit Insurance Corporation (FDIC) currently has limited ability to claw back executive compensation in the event of a bank failure. The Failed Bank Executives Clawback Act would give federal bank regulators the tools they need to hold the executives of big failed banks responsible for the costs that those failures exact on the rest of the banking system and the economy.

The Failed Bank Executives Clawback Act would:

• Require the FDIC to claw back from large bank executives all or part of the compensation they received over the three-year period preceding their bank’s failure or FDIC resolution;
• Apply to directors, officers, controlling shareholders, and other high-level persons involved in decision-making of banks with $10 billion or more in assets who caused more than a minimal financial loss to, or had a significant adverse effect on, the bank;
• Direct funds clawed back from executives into the FDIC’s Deposit Insurance Fund;
• Extend claw back authorities established by Section 204(a)(3) of the Dodd-Frank Wall Street Reform and Consumer Protection Act to apply to any bank entered into FDIC receivership, not solely those resolved under the FDIC’s Orderly Liquidation Authority. 

In March of this year, immediately following the collapse of SVB, Sen. Warner cosponsored the DEPOSIT Act and the Bank Management Accountability Act, similar efforts to ensure that bank executives do not profit in the wake of bank failures.

A copy of the bill text is available here. A one-pager is available here.

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WASHINGTON – Today, U.S. Sens. Mark R. Warner (D-VA) and Tim Scott (R-SC) reintroduced bipartisan legislation to protect seniors by empowering nursing homes to better screen and vet potential employees. The Ensuring Seniors’ Access to Quality Care Act would allow nursing home operators to access the National Practitioner Data Bank (NPDB) – a national criminal background check system – to verify the records of potential caregivers and ensure they do not run the risk of endangering the seniors they are employed to look after. Currently, senior living facilities are not authorized to use the NPDB and instead must rely on state-level criminal background checks that can often omit key details about an employee’s background.

“Seniors are some of the most vulnerable people in our society. As they get older and come to rely on assistance, they deserve quality and compassionate care from professionals who have the adequate experience and temperament,” said Sen. Warner. “This legislation will provide senior living facilities with the tools they need to hire staff without sacrificing quality care.”

“Skilled nursing facilities across the country care for thousands of Americans as they live out their golden years. Ensuring these facilities can hire and train the best caregivers and provide exceptional service to for seniors - at no cost to the taxpayer - is a common sense, life-changing solution for our loved ones,” said Sen. Scott. 

This legislation also amends overly restrictive regulations that bar certain senior living facilities from conducting training programs for in-house Certified Nurse Assistants (CNAs) – individuals who assist patients with their daily activities. Under existing regulations by the Centers for Medicare and Medicaid Services (CMS), senior living facilities found to have deficiencies, such as poor conditions or patient safety violations, are automatically prohibited from conducting CNA staff training programs for a period of two years, even if they have fixed the problem.

This lockout period can make it more difficult for senior care facilities to properly train new employees and retrain existing staff – a particularly concerning challenge given projections by the  Bureau of Labor and Statistics, which estimates that the need for nursing assistants and orderlies is projected to rise 5 percent from 2021 to 2031. With this growing need for caregivers, in-house CNA education at senior living facilities often helps meet the need for CNAs.

Specifically, this legislation would allow a senior living facility to reinstate its CNA training program if:

1. The facility has corrected the deficiency for which the CMP was assessed;
2. The deficiency for which the CMP was assessed did not result in an immediate risk to patient safety and is not the result of patient harm resulting from abuse or neglect;
3. And the facility has not received a repeat deficiency related to direct patient harm in the preceding two year period;

This legislation has the support of the American Health Care Association/National Center for Assisted Living, LeadingAge, LeadingAge Virginia, and LeadingAge South Carolina.

“I started my career as a CNA in a facility training program. I know how important it is to keep this pathway for hands-on training open to ensure we have caregivers for seniors,” said Derrick Kendall, Chairman of Virginia Health Care Association – Virginia Center for Assisted Living (VHCA-VCAL), and President & CEO of Lucy Corr of Chesterfield. “The demand for CNAs has never been greater, so it’s time to end this barrier to training more, especially when a facility has addressed the reason for the lockout.”

“Having access to the National Practitioner Data Bank would be extremely beneficial for us. It would help prevent bad actors from hopping from state to state,” said Melissa Green, Chief Clinical Officer of Trio Health Care, LLC, Hot Springs, VA, and a nursing home operator who has facilities close to neighboring states. She cites an incident when it was revealed that an employee had stolen an identity to work as a nurse—without access to the NPDB there was no way to know the actual nurse’s identity was stolen even though the nursing home completed the required background checks. 

“We commend Senators Warner and Scott for reintroducing this important legislation at this critical moment for the long term care workforce. In the midst of a historic labor crisis, we need solutions like the Ensuring Seniors’ Access to Quality Care Act to help nursing homes vet and train crucially needed caregivers. By allowing facilities the ability to offer CNA training programs and access to the National Practitioner Data Bank, we can ensure our nation’s seniors receive high quality care delivered by highly-trained and dedicated caregivers,” said Mark Parkinson, President and CEO of the American Health Care Association/National Center for Assisted Living.

“Certified nurse aides (CNAs) are integral to the quality care that nursing homes provide; more are desperately needed. LeadingAge and our nonprofit mission-driven members support every opportunity to recruit and train new CNAs. This legislation will do just that by helping to alleviate a longstanding barrier to training and by ensuring the availability of onsite programs to build potential employees’ knowledge and skills,”said Katie Smith Sloan, president and CEO of LeadingAge. “In addition to providing a solid educational foundation, these training programs also serve as an introduction to aging services, exposing students to nursing homes’ daily work routines and community cultures. They’re critical. Particularly now, when nursing homes are in dire need of more staff, we must leverage every possible opportunity to bring qualified workers into the sector and build workforce pipelines to help deliver quality care for our country’s aging population. This Senate bill is a much-appreciated recognition of these issues and will help to resolve longstanding workforce shortages. We appreciate the support of Senators Warner and Scott, and we are eager to work with them and their House colleagues in moving these bills forward.” 

“The dedication and compassion of CNAs are crucial in ensuring that older Americans receive the best possible care and quality of life. Part of our role is to provide training and essential services so they can continue to provide daily care, comfort, and compassion. We appreciate both Senators Warner and Scott’s work on alleviating this strain on our mission-driven providers,” said Dana Parsons, Vice President and Legislative Counsel of LeadingAge Virginia.

“CNAs are the backbone of caring for older Americans, providing essential services that allow seniors to live with dignity and independence. It is necessary for them to continue to have the hands-on training they need as they are the heart of long-term care,” said Josh Bagley, Executive Director of The View Alexandria by Goodwin Living, Alexandria, VA.

“It is through Senator Tim Scott’s determination and vision of a better future for our citizens that we can begin to correct the antiquated barriers to quality care that this bill seeks to address. Innovation and creation is cultivated through sound policies that give the freedom to our nation’s providers to enrich our field of service in ways uniquely appropriate for our diverse nation. This bill would be a meaningful and powerful catalyst to ensure proper training for those who care for our nation’s older adults, particularly as we continue to face workforce shortages in the long-term care sector. I remain proud of Senator Scott’s support and focus on a better path forward for all,” said David Buckshorn, Chairperson for LeadingAge South Carolina, and CEO of Wesley Commons.

Full text of the bill is available here. 

WASHINGTON – Senate Select Committee on Intelligence Chairman Mark R. Warner (D-VA) and Vice Chairman Marco Rubio (R-FL) released the below statement after convening an unclassified roundtable discussion on Small Modular Reactors (SMRs) with senators, civil nuclear industry and national security officials:

“As global electricity demand continues to grow at exponential rates, the world needs safe, resilient, secure, and affordable sources of power. Nuclear energy, including Small Modular Reactors, will be a critical component of meeting this demand. A recent Department of Energy report found that the U.S. alone will need 200 GW of new nuclear power by 2050 – creating a global market that could be worth $250 to 400 billion by 2040, while spurring U.S. jobs. 

“China and Russia have recognized the potential of nuclear power and are investing heavily in their advanced reactors, while attempting to secure nuclear contracts all over the world.  The United States must not let our adversaries monopolize the growing civil nuclear industry, set the safety standards around nuclear power, dominate the supply chains for such a critical source of energy, and/or attempt to use advanced reactor contracts to exert undue geopolitical and economic leverage. 

“We were pleased to co-host this bipartisan roundtable alongside Senators Manchin, Barasso, and Capito, amongst others, bringing together CEOs across the civil nuclear industry and national security officials from the U.S. government to discuss how the United States, alongside our allies, can outcompete our adversaries in deploying the next generation of civil nuclear power at home and abroad, and ensure that our own critical domestic facilities and capabilities are supported by secure, continuous, and clean power.  We look forward to continuing this work with all relevant stakeholders.”

Sen. Warner has a long history of supporting clean energy technologies critical to our national security. He is a co-sponsor of the Accelerating Deployment of Versatile, Advanced Nuclear for Clean Energy (ADVANCE) Act of 2023, which would enhance United States civil nuclear leadership, support the licensing of advanced nuclear technologies, strengthen the domestic nuclear energy fuel cycle and supply chain, and improve the regulation of nuclear energy, and the Nuclear Fuel Security Act of 2023, which takes substantial steps toward onshoring nuclear fuel production. 

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WASHINGTON – Today, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA) announced $6,710,000 in federal funding for three Virginia airports. The funding was awarded through the Department of Transportation Federal Aviation Administration’s Fiscal Year 2023 (FY23) Airport Improvement Program (AIP).  

“Virginia’s airports serve thousands of flyers every day and we are thrilled to deliver funding that will make travel through Virginia safer, more convenient, and more accessible for all,” the Senators said. “This funding will allow our Commonwealth’s airports to start important maintenance and planning projects that will help meet their communities’ needs for years to come.”

The funding is distributed as follows:

• $5,000,000 for Ronald Reagan Washington International Airport in Arlington, VA for the construction of a taxiway.
• $1,350,000 for Newport News/Williamsburg International Airport in Newport News, VA for to fund an update to the Airport Master Plan.
• $360,000 for Winchester Regional Airport in Winchester, VA for the construction of a taxiway.

Sens. Warner and Kaine have championed continued investment in Virginia’s airports in order to make travel easier across the Commonwealth. Last month, the Senators announced over $1 million in funding for Luray Caverns Airport in Luray, Virginia courtesy of the AIP. Earlier this year, Sens. Warner and Kaine announced over $29 million in federal funding for improvements to three Virginia airports, Washington Dulles International Airport (IAD), Norfolk International Airport (ORF), and Richmond International Airport (RIC). Additionally, the Senators have announced nearly $400 million in funding for various Virginia airports secured through the bipartisan Infrastructure Investments and Jobs Act.

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WASHINGTON – U.S. Sen. Mark R. Warner (D-VA), Chairman of the Senate Select Committee on Intelligence, and Sens. John Cornyn (R-TX), Ron Wyden (D-OR) and Jerry Moran (R-KS) today announced bipartisan legislation to reform the security classification system in order to reduce overclassification, prevent mishandling of classified information, promote better use of intelligence, and enhance public trust.

“The government systematically overclassifies too much information, at a dangerous cost to both the nation’s security and the public trust.  At the same time, we too often fail to protect the nation’s most important secrets.  As chairman of the Senate Intelligence Committee, I think it is clear that our security classification system is badly in need of change,” said Sen. Warner. “Given the explosion in digital records, the status quo is no longer tenable.  We’ve got too many people with access to a system that is devoid of accountability and has grown increasingly byzantine, bureaucratic, and outmoded. We need to protect our national security secrets, and then declassify those secrets when protections are no longer necessary.  It’s time for Congress to take action and establish accountability.”

“Controlling access to sensitive information enables the U.S. to remain at least one step ahead of its adversaries, but declassification gives us the opportunity to work with our allies around the world and show the American people what their government is doing,” said Sen. Cornyn. “These bills would modernize the process for classification, ensure the safety and security of what should be classified, and make the declassification process more efficient as we seek to strike the delicate balance between transparency and secrecy.”

“Public access to government information is vital to a democratic society. Yet, as has been the case for many years, far too many records are classified. And, because of obsolete technology, far too few of those records ever see the light of day, even after they no longer meet the requirements for classification. One necessary step in addressing this crisis is to put someone in charge of modernizing the system so that records are tracked and then declassified and released when appropriate,” Sen. Wyden said. “This legislation accomplishes that goal by designating the DNI as the Executive Agent for Classification and Declassification, a reform that Senator Moran and I have been pushing for years.  It is also critical that the rules that govern declassification of records be updated and strengthened and that the entities responsible for oversight of the system be empowered.”

“In the digital age, our classification system is absorbing a flood of new, critical information,” said Sen. Moran. “When it comes to declassifying documents, our current analog declassification process is about as effective as using an eye dropper to drain a flood. These deficiencies undermine our national security, and a backlog of unnecessary classified material is harming our ability to protect what should be secret from our enemies. We are long overdue for an overhaul that begins with an up-to-date declassification system in order to better secure our national secrets, and it begins with the legislation introduced today.”

The Classification Reform Act of 2023 will undertake significant reforms to the classification process. Among other steps, it will establish a new system of governance and accountability for the security classification system. It also provides that information may only be or remain classified where the harm to national security reasonably expected from disclosure outweighs the public interest. The legislation sets the maximum period for classification at 25 years, allowing only agency heads or the president to extend classification protections beyond that duration. In addition, the legislation also takes several other substantive steps to improve security while expanding transparency, including by establishing minimum standards for executive branch insider threat programs and mandating a security review of presidential and vice presidential records to ensure that records bearing classification markings are not improperly categorized as personal records and removed from secure facilities. In addition to Sens. Warner, Cornyn, Wyden and Moran, the legislation is co-sponsored by Sens. Angus King (I-ME), Mike Rounds (R-SD), Martin Heinrich (D-NM), Michael Bennet (D-CO), and Bob Casey (D-PA).

In addition, the Sensible Classification Act of 2023 will codify classification authority, streamline the processes for declassification, dedicate additional resources to the issue of declassification, invest in new technology to assist with classification reviews, and undertake an evaluation of existing security clearances and their justifications to identify potential areas for additional reforms. In addition to Sens. Warner, Cornyn, Wyden and Moran, the legislation is co-sponsored by Sens. Susan Collins (R-ME), Angus King (I-ME), Mike Rounds (R-SD), Martin Heinrich (D-NM), and Bob Casey (D-PA).

A one-pager is available here.

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WASHINGTON?– Today, U.S. Sen. Mark R. Warner (D-VA) and Rep. Maxine Waters (D-CA) sent a letter to the Environmental Protection Agency (EPA) urging them to ensure that investments through the Greenhouse Gas Reduction Fund (GGRF), a key Inflation Reduction Act program, serve to strengthen diverse-owned financial institutions dedicated to climate financing in low-income communities and communities of color. Today’s letter comes as the EPA prepares to release the Notices of Funding Opportunity for the GGRF, a competitive grant program to boost clean energy and climate projects in low-income and disadvantaged communities.  

“We write to urge the Environmental Protection Agency (EPA), in its review of applications for funding from the Greenhouse Gas Reduction Fund (GGRF), to give priority to applicants whose proposals fully utilize the diversity of financial institutions engaged in climate finance, including green banks, community development financial institutions (CDFIs) and minority depository institutions (MDIs), as well as center their investment approach on low income and disadvantaged (LID) communities,” wrote the lawmakers in a letter to the EPA. “Specifically, CDFIs and MDIs leverage capital and have a proven track record of providing products and service to the most underserved communities. We urge EPA to heed the lessons learned from the Paycheck Protection Program regarding the importance of being intentional with program design when driving investments in low income and disadvantaged communities.”  

In the letter, the lawmakers stressed the need to award this federal funding so that it goes towards projects and communities that lack access to affordable capital. They also highlighted the importance of ensuring that grant recipients have the structure, diversity, and track record needed to meet the goals of the GGRF. 

“[T]he entities receiving direct federal investment must also demonstrate experience navigating green financing projects and have shown the ability to manage these projects across a variety of communities in order to achieve [Greenhouse Gas] GHG emissions reductions and develop successful projects. It is critical that the EPA balance out these needs for both financial viability and project-level expertise in order to maximize the fund’s performance across all metrics,” they continued. “Additionally, since the Justice40 prioritization should be a floor, not a ceiling, the EPA should require applicants to provide a strategy for how they will drive awareness, demand, and adoption of clean technologies in LID communities. We urge you to learn about community-level solutions that the Fund can support, especially solutions from low-income and disadvantaged communities.” 

Further, the lawmakers urged the EPA to make important adjustments and issue guidance in order to maximize the impact of the funding in vulnerable communities.  

“The success of the program in LID communities depends heavily on the ability to develop an ecosystem that supports other actors, including clean energy and workforce developers. Although the EPA guidance makes available $625,000 for technical assistance for indirect recipients, in order to drive demand and create an ecosystem we recommend that the EPA require some of these funds be aggregated and administered at the national level by the eligible recipient,” they wrote. “The Implementation Framework released by EPA caps the amount per indirect recipient at $5,000,000, which may not be the most impactful way to reach LID communities. For example, some communities have a limited number of mission driven lenders (e.g. CDFI deserts), making the cap on indirect investments have an impact on the amount of climate financing in those communities. We urge you to adjust this limitation on indirect investments to account for more factors, including demand, size of the institution and impact.” 

Among other measures, the lawmakers also suggested that the EPA review the deep impact standards created by the Department of the Treasury for the Emergency Capital Investment Program (ECIP) – a key initiative created as part of a Warner-championed $12 billion investment?to open up new credit opportunities for low-income communities and communities of color. 

Joining Sen. Warner and Rep. Waters in sending the letter are Sens. Raphael Warnock (D-GA), Tina Smith (D-MN), and Alex Padilla (D-CA), as well as Reps. Nydia M. Velázquez (D-NY), Gregory W. Meeks (D-NY), and Judy Chu (D-CA).  

Text of the letter is available here and below. ? 

Dear Administrator Regan:

We applaud the EPA in taking an important step forward by providing guidance through the Implementation Framework for the Greenhouse Gas Reduction Fund and express our continued support for the swift implementation of this critical program. We agree with the EPA’s principles that this program can reduce emissions of greenhouse gases and other air pollutants, deliver benefits of projects to American communities, particularly those in LID communities, and mobilize financing and private capital to stimulate additional deployment of GHG reducing projects.

We write to urge the Environmental Protection Agency (EPA), in its review of applications for funding from the Greenhouse Gas Reduction Fund (GGRF), to give priority to applicants whose proposals fully utilize the diversity of financial institutions engaged in climate finance, including green banks, community development financial institutions (CDFIs) and minority depository institutions (MDIs), as well as center their investment approach on low income and disadvantaged (LID) communities. It is important that EPA adhere to the meaning and intent of Congress in the text of the Inflation Reduction Act (Pub. L. 117-169) (IRA) which highlights a dual mission of reducing greenhouse gases, while impacting LID communities.

In order to meet the objectives and principles outlined in the Implementation Framework, we believe eligible recipients must include meaningful involvement of a variety of financial institutions and business models, including clean financing institutions, community based-financing institutions, and other institutions designed to support clean technology deployment. Specifically, CDFIs and MDIs leverage capital and have a proven track record of providing products and service to the most underserved communities. We urge EPA to heed the lessons learned from the Paycheck Protection Program regarding the importance of being intentional with program design when driving investments in low income and disadvantaged communities. As a result, we believe that an ideal applicant for GGRF funds should have a shared governance structure that is diverse and accountable to local communities, have a plan for continued operability that includes experience investing in or with a variety of mission driven financial institutions, a market transformation approach that effectively crowds-in private capital without displacing otherwise commercially viable investment activities, a strategy for driving demand in LID communities, and an approach that incentivizes a significant amount of investment in the most underserved of the LID communities.

A shared governance structure where decision-making authority is granted to a variety of financial institutions and implementation partners is critical to meeting the goals of the GGRF, particularly in the competition for the National Clean Investment Fund. Mission driven lenders have different business models and products, making it essential that the governing body of the eligible recipient reflect that diversity of expertise and approach. To maximize the program’s success, the governing body must include green banks, CDFIs, MDIs, and other mission driven lenders with experience in climate finance and investment in LID communities. The governing body must be appropriately empowered and go beyond advisory to ensure capital allocation decisions reflect the diversity of business models among indirect recipients and private capital providers. Additionally, the governing body should reflect the demographic diversity of our nation and demonstrate accountability to local communities. 

The IRA includes a “continued operability” requirement that ensures that direct investments be structured to ensure all communities continue to be served beyond the initial award of funds to an eligible recipient.  However, in the Implementation Framework released on April 19, 2023 the EPA decided to separate direct investment and indirect investments into two separate competitions. This policy decision likely eliminates the possibility of cross-subsidies that would ensure continued operability for indirect investments in LID communities, which typically need a deeper subsidy. If the EPA opts to continue with separate competitions, we believe the agency should give priority to applicants that are applying for or collaborating across both competitions, have a strong track record of leveraging private capital, and a demonstrated ability to diversify a portfolio that includes debt, equity and grants in a way that meets the needs of a variety of financial institutions. Without a strong track record, direct recipients will not be able to instill confidence in the capital markets and optimize leverage across the portfolio at the indirect recipient level as well as at the qualified project level. We urge you to continue working closely with the staff from the U.S. Department of the Treasury that have experience internally, and through their consultants, making these types of investments in mission driven lenders. This includes a $12 billion suite of capital and grant programs to support CDFIs, MDIs, and the communities they serve, as well as the renewed State Small Business Credit Initiative (SSBCI) that is supporting up to $100 billion in small business loans, investments, and technical assistance through various state, tribal, and territory government programs.  We urge you to collaborate with them to maximize the impact of GGRF for communities that need the support the most.

Similarly, the entities receiving direct federal investment must also demonstrate experience navigating green financing projects and have shown the ability to manage these projects across a variety of communities in order to achieve GHG emissions reductions and develop successful projects. It is critical that the EPA balance out these needs for both financial viability and project-level expertise in order to maximize the fund’s performance across all metrics. The EPA should seek to work with entities that are composed of both impact-oriented institutions as well as green financing entities, to ensure that the goals of impact, performance, GHG emissions reductions and long-term sustainability are achieved.

Furthermore, the impact of the GGRF should not be to crowd out private capital but instead to focus on those eligible projects and communities that lack access to affordable capital. Although the IRA states that eligible recipients should prioritize projects that lack access to financing, the EPA should be focused on market transformation. Displacing affordable private capital focused on the broad use and adoption of clean technologies would run counter to the country’s climate goals.

Additionally, since the Justice40 prioritization should be a floor, not a ceiling, the EPA should require applicants to provide a strategy for how they will drive awareness, demand, and adoption of clean technologies in LID communities. We urge you to learn about community-level solutions that the Fund can support, especially solutions from low-income and disadvantaged communities. In addition, CDFIs and MDIs have a long track record of serving communities long ignored by the traditional banking sector, including the development of financing and financial tools that meet the needs of low-income and disadvantaged communities. Simply put, reducing emissions and lowering energy costs among those communities will be best accomplished through the use of financing tools, grant support, and effective outreach to generate demand, change behavior, and build local capacity.  It’s important that applicants prioritize technologies that will transform LID communities – saving households money on energy costs, creating quality jobs, and improving air quality - and work within the existing debt burden of families in LID communities. However, these communities cannot be served with financing tools alone and will need significant grant support across the value chain to generate demand, change behavior, and build local capacity. The success of the program in LID communities depends heavily on the ability to develop an ecosystem that supports other actors, including clean energy and workforce developers. Although the EPA guidance makes available $625,000 for technical assistance for indirect recipients, in order to drive demand and create an ecosystem we recommend that the EPA require some of these funds be aggregated and administered at the national level by the eligible recipient.

Driving demand will also need to be accompanied by a meaningful level of investment in mission driven lenders in order to change behavior. The Implementation Framework released by EPA caps the amount per indirect recipient at $5,000,000, which may not be the most impactful way to reach LID communities. For example, some communities have a limited number of mission driven lenders (e.g. CDFI deserts), making the cap on indirect investments have an impact on the amount of climate financing in those communities. We urge you to adjust this limitation on indirect investments to account for more factors, including demand, size of the institution and impact.

Finally, we urge you, after defining low income and disadvantaged community, to encourage applicants to the GGRF to structure a significant number of their investments in a way that incentivizes investments in the most underserved low income and disadvantaged communities, including those affected by high rates of adverse health and environmental outcomes. Investments in some underserved communities, like areas of persistent poverty and majority-minority communities, often are more time consuming and costly than in some other communities that are also considered underserved. Also, the definition of LID should include people focused categories, like the CDFI definitions for Low Income Targeted Populations (LITP) and Other Targeted Populations (OTP), to make sure that the low income and minority people who live in the LID communities are also directly benefiting from the GGRF.  We urge you to look at the deep impact standards created by Treasury for the Emergency Capital Investment Program (ECIP) and encourage eligible recipients to make investments in mission driven lenders that include similar financial incentives for investments in the most underserved communities. 

We share a dedication to decarbonization and justice and hope that we can work together with you and our nation’s mission driven lenders to meet the goals of the GGRF.

Sincerely,

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WASHINGTON – As violence between the Sudanese Armed Forces (SAF) and the Rapid Support Forces (RSF) continues for a third week, U.S. Sens. Mark R. Warner and Tim Kaine (both D-VA), joined by Sens. Ben Cardin (D-MD), Chris Van Hollen (D-MD), Jeanne Shaheen (D-NH), Jeff Merkley (D-OR), Catherine Cortez Masto (D-NV), John Hickenlooper (D-CO), Amy Klobuchar (D-MN), Richard Blumenthal (D-CT) and Michael Bennet (D-CO), have formally requested that the Biden administration offer all available support for humanitarian efforts in the region. The worsening conditions in Sudan have resulted in hundreds of civilian deaths and have forced hundreds of thousands to flee in search of safety.

In a letter to Secretary of State Antony Blinken and U.S. Agency for International Development (USAID) Administrator Samantha Power, the senators highlighted the continued and indiscriminate violence, which has significantly worsened the humanitarian situation, and disrupted aid operations on the ground. According to the United Nations, even prior to the recent outbreak in violence nearly 16 million people in Sudan were estimated to be in need of humanitarian assistance.

“As the violence has escalated, its impact has been far reaching across all sectors of society. Damage to critical civilian infrastructure, including transportation and communication infrastructure, has limited the ability of people and basic goods to move throughout the country; damage to hospitals, depleted resources, and broken medical supply chains have largely degraded the nation’s health care capacity; and continued conflict has left significant portions of the population sheltering in their homes, with dwindling or exhausted supplies of food, water, and medicine,” the senators wrote. “As the UN’s top humanitarian affairs official said this week, ‘the humanitarian situation is reaching [a] breaking point.’ Unfortunately, this conflict has also deteriorated the flow and delivery of humanitarian assistance into Sudan, and aid groups’ ability to operate on the ground.”

Noting the indiscriminate violence and reported gross violations of international humanitarian law, the senators echoed calls for the parties to the conflict to ensure safe access and movement for humanitarian workers and medical personnel. They requested that the U.S. designate a senior diplomat or envoy to ensure that securing these humanitarian assurances remains a priority in direct negotiations, and that we engage with neighboring countries to help address the cross-border challenges seen from mass movement out of Sudan. Additionally, they voiced support for USAID and State Department efforts to support aid organizations in returning to Sudan quickly and safely, leverage local humanitarian organizations as part of the ongoing response to the violence, and engage with international partners as part of the U.S. response strategy.

The senators continued, “[A]s aid organizations work to reestablish operations, it is vital that the U.S. State Department and USAID provide all available support to facilitate ongoing aid operations on the ground, and support a resumption of efforts – whether in Sudan or in neighboring countries – that have been suspended due to the violence. In response to the significant need, and in part to fill in as international organizations have been forced to suspend their operations, a range of local and national Sudanese organizations have stepped forward to provide capacity. We encourage you to use flexibility in supporting these local efforts, in order to best leverage them alongside international efforts.”

Sens. Warner and Kaine, a member of the Senate Foreign Relations Committee (SFRC), have been vocal about their support for aid efforts in Sudan and for the Sudanese diaspora in the United States, which in 2021 totaled more than 54,000 immigrants from Sudan, with the highest concentration located in Fairfax County, VA. Earlier this week, the senators called on the Biden administration to issue a new Temporary Protected Status (TPS) designation for Sudan, which would provide relief from deportation and access to a work permit for foreign nationals from the country currently in the United States.

A copy of the letter can be found here and below. 

Dear Secretary Blinken and Administrator Power,

We write with deep concern regarding the horrific violence in Sudan, and its impact on the rapidly declining humanitarian situation on the ground. Now in its third week, the conflict between the Sudanese Armed Forces (SAF) and Rapid Support Forces (RSF) has left hundreds dead, thousands more injured, and has forced hundreds of thousands of individuals to flee to neighboring regions and countries.

As the violence has severely disrupted humanitarian assistance on the ground – including by forcing some organizations to withdraw or suspend their efforts – we urge that you offer all available support to resume aid operations, take steps to reposition aid resources to reflect the current security environment, leverage local organizations as part of an ongoing response strategy, and continue efforts to marshal an international response.

Direct negotiations facilitated by the United States are critical to the reestablishment of a robust international aid response, and we urge that assurances for immediate and safe aid operations be made a primary focus of those negotiations.

We are deeply grateful for the U.S. Government’s efforts in evacuating U.S. Embassy personnel, and American citizens from Sudan. However, the recent conflict has hit areas like Khartoum and Darfur particularly hard, and it tragically exacerbates the existing crisis and humanitarian need across the country. According to the United Nations (UN), even prior to the recent outbreak in violence nearly 16 million people were estimated to be in need of humanitarian assistance – a figure that represents close to a third of the total population in Sudan. Even prior to the start of the conflict, the crisis was already acute – more than 4 million children and pregnant and lactating women are counted as being “severely malnourished.”

As the violence has escalated, its impact has been far reaching across all sectors of society. Damage to critical civilian infrastructure, including transportation and communication infrastructure, has limited the ability of people and basic goods to move throughout the country; damage to hospitals, depleted resources, and broken medical supply chains have largely degraded the nation’s health care capacity; and continued conflict has left significant portions of the population sheltering in their homes, with dwindling or exhausted supplies of food, water, and medicine. As the UN’s top humanitarian affairs official said this week, “the humanitarian situation is reaching [a] breaking point.”

Unfortunately, this conflict has also deteriorated the flow and delivery of humanitarian assistance into Sudan, and aid groups’ ability to operate on the ground. The men and women who work for the U.S. State Department and U.S. Agency for International Development (USAID), as well as those employed by international relief organizations, have committed themselves to careers seeking to alleviate suffering around the world, oftentimes carrying out this mission in harm’s way. Tragically, in the first two weeks of fighting at least five international aid workers had been killed, and there have been broader threats targeting aid personnel and supplies.

To be clear, the blame for the disruptions to aid and casualties lie with the warring parties. Reported gross violations of international humanitarian law have greatly impacted the safety of aid personnel, and directly contribute to the suffering of the Sudanese people. We echo international calls for the parties to the conflict to ensure safe access and movement for humanitarian workers and medical personnel, and to allow for steady streams of aid into and throughout the country.

In response to the dire humanitarian need, the reestablishment of these aid flows is critical. We understand that organizations are looking at how to best reposition and recalibrate support in light of the serious security risks. We appreciate the direct efforts that the U.S. Government has initiated to support humanitarian assistance, including USAID’s activation of a Disaster Assistance Response Team (DART) on April 23, and we urge you to take steps to safely reposition and pre-position resources so that they can best be utilized on the ground as soon as possible.

Additionally, as aid organizations work to reestablish operations, it is vital that the U.S. State Department and USAID provide all available support to facilitate ongoing aid operations on the ground, and support a resumption of efforts – whether in Sudan or in neighboring countries – that have been suspended due to the violence. In response to the significant need, and in part to fill in as international organizations have been forced to suspend their operations, a range of local and national Sudanese organizations have stepped forward to provide capacity. We encourage you to use flexibility in supporting these local efforts, in order to best leverage them alongside international efforts.

In an alarming estimate earlier this week, the UN projected that the ongoing conflict may drive more than 860,000 individuals to flee from Sudan into neighboring countries. We have already seen significant levels of migration out of Sudan over the past three weeks, which at many points has overwhelmed border capacity, thereby creating additional humanitarian concerns at these crossings. We welcome U.S. efforts to engage these neighboring countries and the UN to increase border capacity, ensure UN and international non-governmental organizations (INGO) access to these border crossings, provide additional aid along these routes, and scale up planning efforts to account for significant anticipated volume.

It is critical that negotiations involving a ceasefire between the warring parties prioritize the immediate creation of safe and durable humanitarian access to those in need. Additionally, we urge the deployment of an appointed special envoy or other senior diplomat to the region to engage directly with neighboring countries to ensure the free movement of individuals seeking safety out of Sudan, and that UN and INGOs are able to provide needed assistance in these border efforts.

It is vital that the U.S. continue its diplomatic engagement to push for a durable cessation of violence, in partnership with the African Union, and other regional and international partners. This cessation ultimately is the only path towards ensuring that urgent humanitarian needs on the ground are met. It must, however, also be accompanied by a concerted international effort, which fully resources the work done by aid organizations.

We have listened to concerns about what this ongoing violence means for individuals’ loved ones in Sudan, and for the country’s future. We support and encourage all efforts by the U.S. Government to be a forward-leaning and strong partner in the international aid response to this crisis in Sudan. Finally, we request regular updates and briefings from the State Department and USAID on the delivery of humanitarian aid for civilians in Sudan, and from the State Department on the evacuation of American citizens.                                                                                

Sincerely,

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WASHINGTON – Today, U.S. Sens. Mark R. Warner (D-VA) and Mike Crapo (R-ID), Co-Chairs of the Senate Community Development Finance Caucus, reintroduced the Scaling Community Lenders Act, bipartisan legislation to unlock more sources of liquidity and support for Community Development Financial Institutions (CDFIs). The legislation would allow CDFIs to scale their activities and fuel more lending in low- and moderate-income (LMI) communities.

CDFIs play a critical role in providing responsible and affordable credit to underserved communities. While Congress has taken significant steps to support community-based lenders since the onset of the COVID-19 pandemic, CDFIs continue to require more long-term patient capital, operating capital, and resources to modernize their systems and compete in an era of rapid financial innovation. The Scaling Community Lenders Act would authorize new resources to activate and fund the long-dormant Section 113 of the Riegle Act of 1994 – the CDFI liquidity enhancement program –allowing the CDFI Fund to finance projects within the industry, selected on a competitive basis, to provide liquidity to CDFIs.

“CDFIs can play a crucial role in driving economic growth and providing access to capital to underserved communities,” said Sen. Warner. “I’m pleased to reintroduce this legislation to that supports new and innovative approaches in the industry and lays the groundwork for new ways to meet the needs in LMI communities.”

“I am proud to support the Scaling Community Lenders Act, which will help provide access to capital in low-income, rural and underserved communities,” said Sen. Crapo. “CDFIs play an important role in our state and nationwide, and this bill will help them expand their lending activities.”

CDFIs lend across a variety of categories, including business loans, consumer loans, commercial real estate, residential real estate, home improvement, and home purchases. However, for many of these products there is no secondary market that can unlock capacity and take loans of CDFI balance sheets. The development of a secondary market or facility that would buy loans from CDFIs would allow the industry to prove the performance of their assets in the long-term. The Scaling Community Lenders Act would encourage innovation and help determine the best routes for unlocking secondary markets for CDFIs.

Sens. Warner and Crapo have long been supporters of CDFIs and MDIs. Last year, the senators launched the bipartisan Senate Community Development Finance Caucus to serve as a platform where policymakers can coordinate and expand on public and private-sector efforts in support of the missions of Community Development Financial Institutions (CDFIs) and Minority Depository Institutions (MDIs).

Bill text is available here.

“During the Paycheck Protection Program, CDFI loan funds – for the first time – gained access to a Federal Reserve liquidity facility which allowed CDFIs to expand their lending to the small businesses in low-wealth communities hit hard by the Covid crisis. Opportunity Finance Network welcomes the piloting of other models for enhancing liquidity as outlined in the Scaling Community Lenders Act. Senator Warner, once again, is leading on initiatives to support and scale the CDFI industry,” said Jennifer A. Vasiloff, Chief External Affairs Officer, Opportunity Finance Network.

“The CDFI industry has proven its ability to expand access to financial services responsibly for unbanked communities, rural communities, and communities of color over the last few decades. It is time to bring new liquidity tools to the market to enable community lenders to scale to meet the enormous need for affordable credit. Without these tools, millions of Americans will not have access to income and wealth generating activities like small business and home ownership that expand opportunity and reduce the racial and gender wealth gaps,” said Beth Bafford, Vice President for Strategy, Calvert Impact.

“CRF strongly endorses the Scaling Community Lenders Act of 2023 introduced by Senators Warner and Crapo. We applaud their leadership and foresight to develop liquidity resources for CDFIs. As a pioneer of community development secondary markets and securitization, we understand the importance and power of providing liquidity to CDFIs. We were early supporters of section 113 of the Riegle Act and are delighted to see this section of the bill come to life. We are confident that these critical resources will enable CDFIs to deliver more impact in underestimated communities,” said Matthew Roth, CEO, Community Reinvestment Fund, USA.

“CDBA strongly supports the Scaling Community Lenders Act. Access to liquidity is an important tool for community development lenders to manage their portfolios and balance sheets, which in, turn gives them more capacity to serve their communities. The SCL Act will help build CDFI industry infrastructure that will expand access to capital in low income and minority communities,” said Jeannine Jacokes, CDBA.

“CDFIs consistently demonstrate an ability to support and reach historically marginalized and under-resourced communities. These community-centered organizations, built to promote economic inclusion and capital access, need their own capital tools to scale and break through barriers to their growth,” said Leah Fremouw, Board President, VA CDFI Coalition. “Facilitating the development of a reliable secondary market for CDFIs will provide these lenders opportunities to leverage their existing portfolio as a financing tool, freeing up assets for additional community investment. Activating and capitalizing the dormant Section 113 of the Riegle Act is critical to building a secondary market for CDFI lending, ultimately giving them the liquidity to originate more high-impact loans and capital tools. The VA CDFI Coalition is excited by the possibilities these investments could create across Virginia and hope to see this pass.”

“CDFIs play a critical role in reaching business owners, families and communities that our capital markets have left behind. Our decades of work with CDFIs have clearly identified the challenges they face in accessing the capital they need to scale their lending. Building secondary markets for CDFI loans is an essential complement to the CDFI Fund’s direct support for these critical institutions.  We’re pleased to see this movement toward activating an important part of the original CDFI Fund statute,” said Joyce Klein, Director, Aspen Institute Business Ownership Initiative.

“The Local Initiatives Support Corporation (LISC) thanks Senators Warner and Crapo for introducing the Scaling Community Lenders Act,” said Matt Josephs, Senior Vice President for Policy, LISC. “Research has shown that Community Development Financial Institutions (CDFIs) loans are high performing, although in most cases they are nontraditional and do not meet the underwriting and collateralization standards required by conventional banks. As a result, there is not a vibrant secondary market where CDFIs can sell these loans to investors. This legislation will kickstart a CDFI secondary market so CDFIs have access to loan purchasers to obtain the capital needed to finance additional community and economic development activities for underserved people and communities.”

“CDFIs are always in need of new approaches to help deliver on the promise of increased scale. In the current interest rate environment, finding new ways to add liquidity is more important than ever. Supporting the Scaling Community Lenders Act is a critical step to leverage the CDFI Fund and drive innovation,” said Brett Simmons, Managing Director of the EBA Fund.

“The CDFI Coalition is pleased to add its voice in strong support for the legislation sponsored by Sens. Warner and Crapo to establish a pilot program aimed at establishing a secondary market for loans made by Community Development Financial Institutions (CDFIs). The Scaling Community Lenders Act of 2022 amends the Community Development Banking and Financial Institutions Act of 1994 to authorize $100 million for funding up to 6 pilot programs, selected on a competitive basis, which would purchase CDFI loans and loan participations, provide guarantees, loan loss reserves and lines of credit and other measure necessary to enhance CDFI liquidity. CDFIs emerged to provide financial services in urban neighborhoods and rural areas underserved by traditional financial institutions, particularly those with high rates of poverty and unemployment,” said Ceyl Prinster, President and CEO, Colorado Enterprise Fund and Chair of the CDFI Coalition. “By leveraging over $12 in private capital to every $1 in federal support, CDFIs are filling the widening credit gap encountered in many communities, creating jobs improving housing and community facilities and creating economic opportunity. Throughout the last economic downturn, CDFIs provided flexible and patient capital, rigorous risk management, and commitment to the projects in their communities and the sustainability of their borrowers. While traditional borrowers fled economically distressed communities, CDFIs stepped in and filled the void. Since the advent of the economic crisis prompted by the pandemic, CDFIs have been on the frontlines of providing technical and financial assistance to small and minority-owned businesses. CDFIs fill a vital niche in the nation's financial services delivery system by serving communities and market sectors that conventional lenders cannot - with the ultimate goal of bringing CDFI customers into the mainstream economy as bank customers, home owners and/or entrepreneurs. We believe that the Scaling Community Lenders Act will enhance the ability of CDFIs to support economic revitalization in economic distressed rural, urban, minority and tribal communities.  Establishing a secondary market for CDFI loans will be increase the availability of capital to CDFIs that will put it to good use in financing affordable housing, small businesses, and community facilities.”

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WASHINGTON – U.S. Sen. Mark R. Warner (D-VA) released the statement below after the Drug Enforcement Agency (DEA) announced that it would extend current flexibilities around telehealth prescriptions of controlled substances, including those that treat opioid use disorder and anxiety, while it reviews a record number of comments received in response to its new proposed telemedicine rules. This move follows strong advocacy by Sen. Warner, who spoke out in March about the need to ensure that patients can continue getting their medications and sent a letter to DEA in August 2022 asking them to explain their plan for continuity of care after the COVID-19 Public Health Emergency.

“I’m pleased to see that the DEA is taking additional time to consider the comments to their proposed rule, which I believe overlooked the key benefits and lessons learned during the pandemic. This proposed rule could counterproductively exacerbate the opioid crisis and push patients to seek dangerous alternatives to proper health care, such as self-medicating, by removing a telehealth option in many cases. I’m working with my colleagues in Congress on a response to DEA’s proposed rule, and I look forward to further robust discussion on this critical issue.”

During COVID-19, patients widely adopted telehealth as a convenient and accessible way to get care remotely. This was made possible by the COVID-19 Public Health Emergency, which allowed for a number of flexibilities, including utilizing an exception to the in-person medical evaluation requirement under the Ryan Haight Online Pharmacy Consumer Protection Act, legislation regulating the online prescription of controlled substances. With the Public Health Emergency set to expire, patients will soon lose the ability to reap the benefits of a mature telehealth system in which responsible providers know how to take care of their patients remotely when appropriate.  

Since 2008, Congress has directed the DEA to set up a special registration process, another exception process under the Ryan Haight Act, that would open up the door for quality health care providers to evaluate a patient and prescribe controlled substances over telehealth safely, as they’ve done during the pandemic. This special registration process has yet to be established, and DEA wrote they believe this proposed rule fulfills those Congressional mandates, despite not proposing such a registration.

Sen. Warner, a former tech entrepreneur, has been a longtime advocate for increased access to telehealth. He is a co-author of the CONNECT for Health Act, which would expand coverage of telehealth services through Medicare, make COVID-19 telehealth flexibilities permanent, improve health outcomes, and make it easier for patients to safely connect with their doctors. He previously wrote to both the Biden and Trump administrations, urging the DEA to finalize regulations long-delayed by prior administrations allowing doctors to prescribe controlled substances through telehealth. Sen. Warner also sent a letter to Senate leadership during the height of the COVID-19 crisis, calling for the permanent expansion of access to telehealth services.

In 2018, Sen. Warner included a provision to expand financial coverage for virtual substance use treatment in the Opioid Crisis Response Act of 2018. In 2003, then-Gov. Warner expanded Medicaid coverage for telemedicine statewide, including evaluation and management visits, a range of individual psychotherapies, the full range of consultations, and some clinical services, including in cardiology and obstetrics. Coverage was also expanded to include non-physician providers. Among other benefits, the telehealth expansion allowed individuals in medically underserved and remote areas of Virginia to access quality specialty care that isn’t always available at home.

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