The Banks Provided the Grant to Guadalupe Neighborhood Development Corp.
Horizon Bank and the Federal Home Loan Bank of Dallas (FHLB Dallas) have awarded a $36,000 Partnership Grant Program (PGP) award to Guadalupe Neighborhood Development Corp. to assist people whose livelihoods were impacted by COVID-19.
PGP grants help qualified nonprofit organizations fund a variety of operational and administrative activities that are critical to serving their communities.
Since its formation in 1981, Austin, Texas-based GNDC has rehabilitated more than 100 homes, making homeowners of more than 50 families and offering a rental program of 64 single-family and 57 multifamily units that provide quality, affordable and accessible housing to low-income families. GNDC will use the PGP grant for a COVID-19 rental assistance fund to help tenants who have lost work during the pandemic.
"The PGP grants came just in time as we now seem to be getting contacted almost daily by tenants who have either tested positive or are experiencing the symptoms and are awaiting test results. That’s in addition to the folks who lost work hours or jobs during these trying times. We are really thankful for the partnership between Horizon Bank and FHLB Dallas," said GNDC Executive Director Mark Rogers.
Horizon Bank said GNDC is on the front lines helping people whose finances may be under extreme stress.
"We know early federal stimulus funds helped carry people through the initial months of unemployment. However, we also understand that the bulk of those funds have already been disbursed and there are still tough days ahead for people in our communities that have lost their jobs," said Gregg Bennett, executive vice president of operations at Horizon Bank. "We are thankful these PGP funds were available."
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.
"We are pleased to be partnering with Horizon Bank to provide much-needed rental assistance funds for GNDC to help people who have lost their jobs due to the coronavirus pandemic," said Greg Hettrick, first vice president and director of Community Investment at FHLB Dallas.
About Horizon Bank
Our charter dates back to 1905, giving us over a century of experience serving Central Texas customers. We pride ourselves on creating lifelong customer relationships and business partnerships. In addition to our Austin locations, we also operate three additional branches in Cedar Park, Holland, and Salado. We are as loyal as we are local. There is no question that the banking world has changed. But one thing that has not changed is our commitment to the communities where we live and work.
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 $83.8 billion as of March 31, 2020 is a member-owned cooperative that supports housing and community development by providing competitively priced advances and other credit products to approximately 805 members and associated institutions in Arkansas, Louisiana, Mississippi, New Mexico and Texas. Visit fhlb.com for more information.
Federal Home Loan Bank of Dallas