TACOMA, Wash.–A company that has partnered with credit unions to obtain more than $1 billion in CDFI funding said it believes the new Trump administration order that seeks to shut down the CDFI Fund is in clear violation of the intent of Congress.

Credit Union Strategic Planning said it analysis of the language in the White House order indicates the funding should continue.

As the CU Daily reports here, President Trump has issued a new Executive Order that includes among its targets the elimination of the  Community Development Financial Institutions (CDFI) Fund, which has been tapped by countless credit unions during its life to support hundreds of millions of dollars in loans. 

In 2024, the CDFI Fund  awarded 357 Community Development Financial Institutions (CDFIs) with $408.2 million in Financial Assistance (FA) awards and through the Native American CDFI Assistance Program (NACA Program).

There are nearly 500 credit unions that are certified as CDFIs. 

‘Clear Statutory Basis’

“We remain steadfast in our belief that there is a clear statutory basis for CDFI Fund and its core FA Grant program,” said Stacy Augustine, president of CU Strategic Planning, which has helped approximately 231 credit unions qualify as CDFIs. “The Executive Order issued by the White House on Friday required the agency to eliminate ‘non-statutory components and functions’ of their programs. The CDFI Fund was created by statute—the Riegle Community Development and Regulatory Improvement Act of 1994—and its grant programs are part of its statutory mission. 

“Full funding for the program was confirmed on the same day as the executive order indicating the will of Congress to see it continue,” Augustine added.

The CU Daily will have ongoing updates on this story.