LAKE CHARLES, La.--(BUSINESS WIRE)--Red River Bank and the Federal Home Loan Bank of Dallas (FHLB Dallas) have awarded $12,000 in Partnership Grant Program (PGP) funds to Project Build a Future (PBAF).
Together, the two banks awarded a total of $105,000 in 2020 PGP grants, which help qualified community-based organizations (CBOs) fund a variety of operational and administrative activities critical to serving communities, to eight organizations in Louisiana.
PBAF commits to provide affordable housing to people in the Lake Charles community. The organization provides a homebuyer counseling and education program to support the purchase of a new home.
PBAF intends to use the funding to cover costs for contractual services, land acquisition, predevelopment and survey work, housing construction and legal, accounting and administrative services.
“The organization could not be more grateful to have been chosen for a PGP grant,” said Charla Blake, PBAF executive director. “These funds will allow us to continue helping our clients be successful with purchasing a home.”
Red River Bank knows purchasing a home is not easy, said Jannease Seastrunk, Red River Bank vice president and CRA officer.
“Red River Bank acknowledges how difficult it is for homebuyers when they have no resources,” Ms. Seastrunk said. “Project Build a Future not only provides affordable housing, but the organization offers programs to improve the financial literacy of potential buyers.”
Funding under FHLB Dallas’ PGP was increased by $2 million in 2020 under FHLB Dallas’ COVID-19 Relief Program to support CBOs involved in affordable housing activities, stimulating small business development or providing small businesses with technical assistance. The use of funds for these organizations was expanded to include COVID-19 relief.
Through this unique grant program, FHLB Dallas member institutions contribute from $500 to $6,000 to a CBO, which FHLB Dallas matches at a new, higher 5:1 ratio (compared to the previous 3:1 ratio) resulting in a match of up to $30,000. If multiple member institutions contribute to the same CBO in one year, the maximum FHLB Dallas match for those member contributions is $60,000 per year. In both cases, the total grant to the CBO would be the sum of the member contribution(s) plus the FHLB Dallas match. Grants are awarded annually through FHLB Dallas and its member institutions.
“Organizations like Project Build a Future guide potential homebuyers through the homebuying process,” said Greg Hettrick, first vice president and director of Community Investment at FHLB Dallas. “FHLB Dallas is honored to partner with Red River Bank to provide Project Build a Future the resources that will assist more families in achieving homeownership in the Lake Charles community.”
Red River Bank Lake Charles Market Manager Barry Brown said PBAF’s work has a long-term impact on the community.
“Project Build a Future is not only helping people in the community become homeowners, but improving their financial literacy, which can help them with future purchases,” Mr. Brown said.
About Red River Bank
The origins of Red River Bank can be followed all the way back to the very heart of Louisiana. There, near the banks of the Red River, a small group of community leaders came together with a vision for a new kind of bank. The year was 1999, the banking climate was one of mergers and acquisitions, and the era of hometown banking seemed to be fading away. Red River Bank was founded on the belief of always doing the right thing, and that integrity is what guides us as we continue to grow. Just as water seeks its own level, we only seek opportunities to do what's right for our customers, our team members and our communities across Louisiana.
About the Federal Home Loan Bank of Dallas
The Federal Home Loan Bank of Dallas is one of 11 district banks in the FHLBank system created by Congress in 1932. FHLB Dallas, with total assets of $75 billion as of June 30, 2020, is a member-owned cooperative that supports housing and community development by providing competitively priced advances and other credit products to approximately 800 members and associated institutions in Arkansas, Louisiana, Mississippi, New Mexico and Texas. Visit fhlb.com for more information.