Funding Opportunity Title: Notice of Funds Availability (NOFA) inviting Applications for the Fiscal Year (FY) 2026 Funding Round of the Small Dollar Loan Program (SDL Program).

Announcement Type: Notice of Funds Availability.

Funding Opportunity Number: CDFI-2026-SDL.

Catalog of Federal Domestic Assistance (CFDA) Number: 21.025.

Executive Summary: The CDFI Fund expands access to capital and related technical assistance across the United States through investment in and assistance to Community Development Financial Institutions (CDFIs). The Small Dollar Loan Program (SDL Program) is administered by the Community Development Financial Institutions Fund (CDFI Fund). Through the SDL Program, the CDFI Fund provides (1) grants for Loan Loss Reserves (LLR) to enable a Certified Community Development Financial Institution (CDFI) to establish a loan loss reserve fund to cover the losses on small dollar consumer loans associated with starting a new small dollar consumer loan program or expanding an existing small dollar consumer loan program; and (2) grants for Technical Assistance (TA) for technology, staff support, and other eligible activities to enable a Certified CDFI to establish and maintain a small dollar consumer loan program. Through the SDL Program Awards, Recipients will serve rural and urban communities across the nation that lack access to affordable consumer lending products. All awards provided through this Notice of Funds Availability (NOFA) are subject to funding availability.

I. Agency Contact Information

A. Availability: The CDFI Fund will respond to questions and provide support concerning this NOFA and the Application between the hours of 9:00 a.m. and 5:00 p.m. ET, starting on the date of the publication of this NOFA until the close of business on the second business day preceding the Application deadline. CDFI Fund IT support will be available until 5:00 p.m. ET on date of the Application deadline. The CDFI Fund will not respond to questions or provide support concerning Applications that are received after the stated deadlines in Table 2. Questions or issues with registration in SAM.gov ( https://www.sam.gov) or registration or submission of the SF-424 in Grants.gov ( https://www.grants.gov) must be directed to the SAM.gov and Grants.gov help desks as the CDFI Fund does not manage those systems. The following table lists contact information for the CDFI Fund, Grants.gov and SAM.gov:

The CDFI Fund's preferred method of contact is an AMIS Service Request. For a SDL Program Application question, select “SDL Program” for the program in AMIS. For a CDFI Certification question, select “Certification.” For a Compliance question, select “Compliance & Reporting.” For Information Technology, select “Technical Issues.” Failure to select the appropriate program for the Service Request could result in delays in responding to your question.

B. Reasonable Accommodations: Requests for those with visual, auditory, or mobility impairments that prevent them from using the CDFI Fund's website, or who require reasonable accommodation under section 504 of the Rehabilitation Act, should contact 504support@cdfi.treas.gov or 202-653-0326 (this is not a toll-free number) as early as possible, but no later than one week in advance of the Application deadline.

C. Communication with the CDFI Fund: The CDFI Fund will use AMIS to communicate with Applicants and Award Recipients under this NOFA. Award Recipients must also use AMIS to submit required reports. The CDFI Fund will notify Award Recipients by email using the addresses maintained in each Award Recipient's AMIS account.

Therefore, an Award Recipient and any Subsidiaries, signatories, and Affiliates must maintain accurate contact information (including contact ( printed page 39668) person and Authorized Representative, email addresses, fax numbers, phone numbers, and office addresses) in their AMIS account(s). To help ensure important notifications from the CDFI Fund are not missed, Applicants and Award Recipients should make sure that their email service is not marking communications from AMIS@cdfi.treas.gov, replyd@cdfi.treas.gov, or OCREReviews@treasury.gov as “junk” or “spam.” For more information about AMIS please see the Help documents posted at https://amis.cdfifund.gov/​Training.

II. Eligibility

A. Eligible Applicants: For purposes of the Application, the term “Applicant” refers to an organization applying on its own as a Certified CDFI or refers to the designated lead Certified CDFI applying on behalf of a partnership. Eligible Applicants may submit only one SDL Program Application and will need to determine if they are applying for an LLR grant, a TA grant, or both. The Applicant must use the SDL Program Award to establish or maintain a small dollar consumer loan program. In the case of a partnership, the designated lead Certified CDFI must use the SDL Program Award to establish or maintain a small dollar consumer loan program.

III. Program Description

A. The general purpose: The purpose of the SDL Program is to provide LLR and TA grants to qualified organizations to establish and maintain small dollar consumer loan programs that are safe, affordable, and responsible.

B. Program Goals and Objectives: SDL Program funding is intended to expand consumer access to financial institutions by providing alternatives to high-cost small dollar lending. The SDL Program funding is also intended to help unbanked and underbanked populations build credit, access affordable capital, and allow greater access into the mainstream financial system.

C. Funding Priorities: To pursue these objectives, the CDFI Fund will prioritize funding for Applications that propose to offer small dollar consumer loan programs that include any of the following characteristics: (1) offer small dollar consumer loan terms that are at least ninety (90) days; (2) use underwriting that considers the borrower's ability to repay a loan based on both the borrower's income and expenses; (3) make loan decisions within one business day after receipt of required documents; (4) offer a reduction in the borrower's loan rate if the borrower elects to use automatic debit payments; (5) offer automatic savings features that are built into the regularly-scheduled payments on a loan—provided that the resulting payment is still affordable—or, at a minimum, loans that can be structured so that, subject to the borrower's consent, payments continue for a period of time after the loan is repaid with all the payments going into a savings vehicle; and (6) offer access to financial education, including credit counseling, particularly if the Applicant offers financial education programs that are used as substitutes for late fees and overdraft fees when borrowers are at risk of incurring a late fee or overdraft fee.

D. A description of how the award will contribute to achieving the program's goals and objectives: Expected community impacts may include improved financial strength and stability for low-income and underserved people and/or improved borrower delinquency rate and/or improved credit history and credit scores and/or access to mainstream financial products and expanded activity in other credit facilities ( e.g., borrower received an auto loan) and/or continued access to financial education, including credit counseling and/or help to create or preserve savings and/or help borrowers consolidate or reduce debt at a lower cost.

E. The expected performance goals, indicators, targets, baseline data, data collection, and other outcomes the Federal agency expects recipients to achieve: All SDL Program Award Recipients must close small dollar consumer loans based on the three-year projected loan total to be closed as proposed in the Application. Final performance goals may be adjusted based on final award size and will be set forth in the final SDL Program Assistance Agreement.

1. Persistent Poverty Counties: Pursuant to the Consolidated Appropriations Act, 2021 (Pub. L. 116-260) and Consolidated Appropriations Act, 2023 (Pub. L. 117-103) Congress mandated that at least 10% of the CDFI Fund's appropriations be directed to counties that meet the criteria for “Persistent Poverty” designation. Persistent Poverty Counties (PPCs) are defined as any county, including county equivalent areas in Puerto Rico, that has had 20% or more of its population living in poverty over the past 30 years (as measured by the 1990 and 2000 decennial censuses, and the 2016-2020 data series available from the American Community Survey of the U.S. Census Bureau), or any other territory or possession of the United States that has had 20% or more of its population living in poverty over the past 30 years (as measured by the 1990, 2000 and 2010 Island Areas Decennial Censuses, or equivalent data, of the U.S. Census Bureau). The PPC data is published by the CDFI Fund at: https://www.cdfifund.gov/​sites/​cdfi/​files/​2024-05/​PPC_​2020_​ACS_​May_​10_​2024.xlsx. To comply with this mandate, the CDFI Fund will prioritize funding to Applicants that have headquarters (as stated in the Applicant's Application) located in PPCs.

F. Allowable costs: Eligible Activities: An SDL Program Award must support or finance activities to establish and maintain small dollar consumer loan programs that are safe, affordable, and responsible. SDL Program Awards may only be used as follows:

1. Loan Loss Reserves: LLR Awards must be set aside in the form of cash reserves, or through accounting-based accrual reserves, to cover losses on small dollar consumer loans. LLR Awards may be used to mitigate losses on a new or established small dollar consumer loan program. LLR Award Recipients must meet performance goals prior to the end of the Period of Performance. The performance goals are derived from the Applicant's projections and attestations provided in the Application.

2. Technical Assistance: TA Awards may be used for technology, staff support, and other costs associated with establishing and maintaining a small dollar consumer loan program as listed in Table 5 of this NOFA. Recipients must expend at least 35% of TA Award by the end of the first year and 100% by the end of the third year of the Period of Performance. Recipients may choose to receive their TA Award in either a lump sum or by one Initial Payment and one Subsequent Payment. If electing to receive a Subsequent Payment, Recipients must submit a request within 12-months of their Assistance Agreement's execution date. The initial request amount must, at a minimum, be 35% of the total TA Award; 90% of this initial request amount must be disbursed before a Subsequent Payment will be paid. If the Recipient does not request a subsequent payment for the TA Award within 12-months of the execution of their Assistance Agreement, the CDFI Fund, in its sole discretion, may terminate its obligation to pay the balance of the TA funds.

G. Matching Funds: The Matching Funds requirement for SDL Program Applicants was waived in the enacted FY 2025 Consolidated Appropriations Act. Therefore, SDL Program Applicants are not required to submit Matching Funds at the time of Application submission.

H. Required Loan Features: An Applicant will not be eligible to receive an SDL Program Award if the Applicant fails to demonstrate in the Application that its SDL Program Award would be used to establish or maintain a small dollar consumer loan program that offers small dollar consumer loans that: (1) Are made in amounts that do not exceed $2,500; (2) must be repaid in installments; (3) have no prepayment penalty; and (4) have payments that are reported to at least one of the consumer reporting agencies that compiles and maintains files on consumers on a nationwide basis.

I. Prohibited Practices: Applicants are not eligible to use SDL Program Awards to support small dollar consumer loan programs that have the lending practices and loan characteristics listed in Table 6.

J. SDL Program Statutory Requirements: 1. SDL Program Awards may not be used to provide direct loans to consumers. 2. SDL Program Awards may only be used to support small dollar consumer loan programs that offer small dollar consumer loans that: are made in amounts that do not exceed $2,500; (a) must be repaid in installments; (b) have no prepayment penalty; (c) have payments that are reported to a least one of the consumer reporting agencies that compiles and maintains files on consumers on a nationwide basis; and (d) are underwritten with standards that consider the consumer's ability to repay.

K. Authorizing statutes and regulations: Relevant statutes and regulations for the SDL Program include: 1. Title XII—Improving Access to Mainstream Financial Institutions Act of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 (Pub. L. 111-203), which amended the Riegle Community Development Banking and Financial Institutions Act of 1994 (Pub. L. 103-325) to include the SDL Program (12 U.S.C. 4719). 2. Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards (2 CFR part 1000) (Uniform Requirements or Uniform Administrative Requirements): https://www.ecfr.gov/​current/​title-2/​subtitle-B/​chapter-X/​part-1000.

The CDFI Fund encourages Applicants to review this NOFA; the SDL Program Application (the Application); all related materials and guidance documents found on the CDFI Fund's website (Application materials); and the Uniform Requirements for a complete understanding of the SDL Program. Capitalized terms in this NOFA are defined in the Authorizing Statute, this NOFA, the Application, Application materials, or the Uniform Requirements. Details regarding Application content requirements are found in the Application and Application materials.

L. Other Eligibility Criteria: Affiliated Entity Application Submission: As part of the Application review process, the CDFI Fund considers whether Applicants are Affiliates, as such term is defined in 12 CFR 1805.104. An Applicant and its Affiliates may not submit separate Applications. If Affiliates submit multiple or separate Applications, the CDFI Fund may, at its discretion, reject all such Applications received or select only one of the submitted Applications to deem eligible, assuming the Application meets all other eligibility criteria in Section III of this NOFA. Furthermore, an Applicant that receives an award in this SDL Program round may not become an Affiliate of another Applicant that receives an award in this SDL Program round at any time after the submission of an SDL Program Application under this NOFA. This requirement will also be a condition of the Assistance Agreement (see the Small Dollar Loan Program Frequently Asked Questions (FAQs) on the CDFI Fund's website at: https://www.cdfifund.gov/​programs-training/​programs/​sdlp/​apply-step#application-materials for more details).

IV. Application Contents and Format

The CDFI Fund has a sequential, two-step application process that requires the submission of Application documents in two separate systems with two separate deadlines. The required Application documents are listed in Table 7 below. The Application submission deadlines for all Application components are listed in Table 2. Additional information regarding mandatory account access, how to submit all components of the Application through Grants.gov ( https://www.grants.gov) and AMIS ( https://amis.cdfifund.gov), and Authorized Representative signature requirements for the Application is provided in Section V of this NOFA. All Application materials can be found on Grants.gov and the CDFI Fund's website at https://www.cdfifund.gov/​programs-training/​programs/​sdlp/​apply-step#application-materials. All Applications should be prepared using the English language, and calculations must be computed in U.S. dollars. The CDFI Fund reserves the right to request and review other pertinent or public information that has not been specifically requested in this NOFA or the Application. Information submitted by the Applicant that the CDFI Fund has not specifically requested will not be reviewed or considered as part of the Application. Financial data, portfolio, and activity information provided in the Application should only include the Applicant's activities. Information submitted must accurately reflect the Applicant's activities (other than Depository Institution Holding Companies).

A. Eligible Applicants may submit only one SDL Program Application. Applicants are responsible for determining the requested SDL Program Award type.

1. LLR Awards: (a) a Certified CDFI; or (b) a partnership between a Certified CDFI and a Federally Insured Depository Institution (FIDI) with a primary mission to serve targeted Investment Areas. 2. TA Awards: (a) a Certified CDFI; or (b) a partnership between two or more Certified CDFIs. 3. Combination of LLR and TA Awards: (a) a Certified CDFI.

B. Additional Guidance on Applicants Applying as Partnerships: A partnership is a formal arrangement, as evidenced by a written partnership agreement ( e.g., Memorandum of Understanding), between a Certified CDFI and a FIDI or between two or more Certified CDFIs. The partnership must be designed to accomplish one or more of the strategic goals discussed in the Business Strategy section of the SDL Applicant's Application and be integral to the successful completion of the Applicant's strategic goal(s). The partnership should be such that the Applicant's strategic goal(s) would not be achievable without the direct input and/or assistance of the partner. An Applicant that collaborates or coordinates with a FIDI or a Certified CDFI to achieve the strategic goals detailed in the Application is not required to apply as a partnership. The partnership must designate a lead Certified CDFI for the partnership that will submit the Application. The designated lead Certified CDFI will also submit a written partnership agreement ( e.g., Memorandum of Understanding) detailing roles and responsibilities of the partners, partner replacement or substitution restrictions, any financial contributions and profit-sharing arrangements, and performance requirements for the entities in the partnership. A partner must be a FIDI, if the partnership is applying for an LLR Award, or a Certified CDFI, if the partnership is applying for a TA Award. A partner may not apply for its own Award or apply as a partner for more than one Application submitted for the FY 2026 SDL Program Funding Round. Applicants that apply as a partnership will be evaluated based on the same criteria as Applicants that apply without a partnership. If selected to receive an SDL Program Award, the lead Certified CDFI Recipient will be solely responsible for carrying out the activities described in its Application and complying with the terms and conditions of the Assistance Agreement. The partner(s) will not be a co-Recipient of the Award. As such, the lead Certified CDFI Recipient will be prohibited from using the SDL Program Award to fund any activity carried out directly by the partner or an Affiliate or Subsidiary thereof. Examples of partnerships include the following:

Example 1: ABC Certified CDFI has a strategic goal of increasing its small dollar lending by X% over X number of years. ABC Certified CDFI will request an SDL Program Award for LLR to mitigate losses on the small dollar loans it provides as it seeks to expand its small dollar loan program. ABC Certified CDFI has a Partnership Agreement in place with a local FIDI in which the FIDI will refer all small dollar loan candidates to ABC Certified CDFI to expand ABC Certified CDFI's small dollar loan program. ABC Certified CDFI will explain in its narrative and Partnership Agreement how an SDL Program Award for LLRs and the referrals from the local FIDI partner will ensure that its strategic goal of increasing small dollar lending is achieved.

Example 2: XYZ Certified CDFI has a strategic goal to provide a new small dollar loan product. XYZ Certified CDFI will request an SDL Program Award for TA to upgrade its technology systems to support a new small dollar loan product. XYZ Certified CDFI has a Partnership Agreement in place with a ( printed page 39674) Certified CDFI that will provide free financial counseling services to the XYZ Certified CDFI's small dollar loan Applicants. XYZ Certified CDFI chooses to apply as a partnership with the Certified CDFI as its partner. XYZ Certified CDFI will explain in its narrative and Partnership Agreement how an SDL Program Award for TA and the financial counseling provided to potential borrowers will support the growth of the new small dollar loan program.

Note: A Certified CDFI Depository Institution Holding Company Applicant that intends to carry out the activities of an Award through its Subsidiary Certified CDFI Insured Depository Institution should not apply as a partnership. Instead, the Certified CDFI Depository Institution Holding Company should apply as a sole entity.

V. Submission Requirements and Deadlines

A. How to Find or Request Application Materials: The Application materials can be found on Grants.gov and the CDFI Fund's website at: https://www.cdfifund.gov/​programs-training/​programs/​sdlp/​apply-step#application-materials. The CDFI Fund may update the Application materials as necessary during the Application round. Applicants are encouraged to pay attention to the CDFI Fund's website for updated resources.

B. Content and Form of Application Submission: The CDFI Fund will post instructions for accessing and submitting an Application at: https://www.cdfifund.gov/​programs-training/​programs/​sdlp/​apply-step#application-materials. Detailed Application content requirements are found in the Application and related guidance documents. If an Applicant is unable to access Grants.govhttps://www.grants.gov/​ or the CDFI Fund's website, the Applicant may request a paper version of any Application material by contacting the CDFI Fund Help Desk by email at SDLP@cdfi.treas.gov or by phone at (202) 653-0421. A paper version of Application materials will only be provided if an Applicant cannot access Grants.gov ( https://www.grants.gov) or the CDFI Fund's website. Additionally, the SF-424 must be submitted through Grants.gov and all other Application documents must be submitted through the AMIS portal ( https://amis.cdfifund.gov). The CDFI Fund will not accept Applications via email, mail, facsimile, or other forms of communication, except in extremely rare circumstances that have been pre-approved by the CDFI Fund.

C. Submission Dates and Times: Table 2 in Section I lists the deadlines for submission of the documents related to the FY 2026 SDL Program funding round.

D. Submission Instructions: The CDFI Fund has a sequential, two-step process that requires the submission of Application documents in separate systems with two separate deadlines. The SF-424 must be submitted through Grants.gov and all other Application documents through the AMIS portal. The required Application components are outlined in Section IV. The separate Application deadlines for the SF-424, and all other Application materials are listed in Table 2.

E. System for Award Management (SAM.gov) and Unique Entity Identifier (UEI): Any entity applying for Federal financial assistance must first register in SAM.gov ( https://www.sam.gov). When accessing SAM.gov, users will be asked to create a login.gov user account (if they do not already have one). Going forward, users will use their login.gov username and password every time when logging into SAM.gov.

The UEI, generated in SAM.gov, is the official identifier for doing business with the Federal government. If an entity is registered in SAM.gov today, its UEI has already been assigned and is viewable in SAM.gov, including inactive registrations. New registrants will be assigned a UEI as part of their SAM.gov registration. Applicants will be required to provide a valid UEI in AMIS (see section II). All entities registered in SAM.gov must have an authorized entity administrator. SAM.gov requires that new registrants, and existing registrants that do not have an entity administrator, mail an original, signed notarized letter identifying the authorized entity administrator for the entity to the Federal Service Desk. Existing entities with registered entity administrators do not need to submit an annual notarized letter. Visit SAM.gov for more information about this requirement. Applicants that have previously completed the SAM.gov registration process must verify that their SAM.gov accounts are current and active. Applicants are required to maintain a current and active SAM.gov account at all times during which they have an active Federal award or an Application under consideration for an award by a Federal agency.

The SAM.gov registration process can take four weeks or longer to complete, so Applicants are strongly encouraged to begin the registration as soon as possible to avoid potential Application submission issues. The CDFI Fund will not consider any Applicant that fails to properly register or activate its SAM.gov account and, as a result, is unable to submit its Application by the Application deadline. Additionally, the CDFI Fund reserves the right to deem an Application ineligible or terminate an award if the Applicant's SAM account expires during the Application evaluation and post-award process, and the Applicant does not re-activate or renew (as applicable) the account by the CDFI Fund's requested deadlines. Applicants must contact SAM.gov directly with questions related to the registration process as the CDFI Fund does not maintain this system.

F. Grants.gov Submission Information: The CDFI Fund strongly encourages Applicants to start the Grants.gov registration process as soon as possible, as it may take one week or more to complete (refer to the following link: http://www.grants.gov/​register). An Applicant that has previously registered with Grants.gov must verify that its registration is current and active. If an Applicant has not previously registered with Grants.gov, it must first successfully register in SAM.gov, as described in Section II above.

Once registered, Applicants are strongly encouraged to submit the SF-424 as early as possible through Grants.gov to provide sufficient time to resolve any potential submission issues. Each Applicant will receive an initial email from Grants.gov immediately after submitting the SF-424, confirming that the submission has entered the Grants.gov system. This email will contain a tracking number for the submitted SF-424. Within forty-eight (48) hours, the Applicant will receive a second email which will indicate if the submitted SF-424 was either successfully validated or rejected with errors. However, Applicants should not rely on the email notification from Grants.gov to confirm that their SF-424 was validated. Applicants are strongly encouraged to use the tracking number provided in the first email to closely monitor the status of their SF-424 by checking Grants.gov directly. The Application materials submitted in AMIS are not accepted by the CDFI Fund until Grants.gov has validated the SF-424. In the Grants.gov Workspace function, please note that the Application package has not been submitted if you have not received a tracking number. Applicants should contact Grants.gov directly with questions related to the registration or submission process, as the CDFI Fund does not administer the Grants.gov system.

G. AMIS Registration Information: AMIS is a web-based portal where Applicants will directly enter their Application information and upload required attachments listed in Table 7. Each Applicant must register as an organization in AMIS by the deadline in Table 2 to submit the required Application materials through this portal. An Applicant that fails to properly register and/or update its AMIS account may miss important communications from the CDFI Fund or fail to submit an Application successfully.

H. Authorized Representative Signature and AMIS Requirements: Prior to submission, each Application in AMIS must be signed by an Authorized Representative. An Authorized Representative is an employee or officer of the Applicant organization and has the authority to legally bind and make representations on behalf of the Applicant; it cannot be a consultant. The Authorized Representative must be a “user” in AMIS and included as a “Contact” in the Applicant's AMIS account.

I. AMIS Application Point(s) of Contact: AMIS Application point(s) of contact will be included on any communication from the CDFI Fund regarding the Application. Application point(s) of contact can submit the Application but cannot sign the Application. Consultants working on behalf of the Applicant cannot be designated as Authorized Representatives but can be designated as Application point(s) of contact.

J. AMIS Application Submission Requirements: AMIS will verify that the Applicant provided the minimum information required to submit an Application. Applicants are responsible for the quality and accuracy of the information and attachments included in the Application submitted in AMIS. The CDFI Fund strongly encourages the Applicant to allow sufficient time to confirm the Application content, review the material submitted, and remedy any issues prior to the Application deadline. Only an Authorized Representative for the organization or an Application Point of Contact can submit the Application in AMIS. Upon submission, the Application will be locked and cannot be resubmitted, edited, or modified in any way. The CDFI Fund will not unlock a submitted Application. The following table lists the mandatory accounts and steps required to successfully submit the FY 2026 Funding Round Application Documents through Grants.gov and AMIS. The separate Application deadlines for the SF-424 and the submission of all other Application materials are listed in Tables 2 and 10. The CDFI Fund strongly encourages Applicants to complete all Grants.gov and AMIS Application submission steps as early as possible to provide sufficient time to resolve any potential submission issues.

K. Multiple Application Submissions: Each Applicant is only permitted to submit one complete Application in AMIS. The CDFI Fund will not allow multiple AMIS Application submissions. However, the CDFI Fund does not administer Grants.gov, which does allow for multiple submissions of the SF-424. If an Applicant submits multiple SF-424 Applications in Grants.gov, the CDFI Fund will only review the SF-424 Application submitted in Grants.gov that is attached to the AMIS Application. Applicants using a Consortium Approach must each separately submit an SF-424 and Application in AMIS.

L. Late Submission or AMIS Account Creation: The CDFI Fund will not accept an Application if the SF-424 is not submitted and accepted by Grants.gov by the SF-424 deadline listed in Table 2. Additionally, the CDFI Fund will not accept an Application if it is not signed by an Authorized Representative and submitted in AMIS by the Application deadline listed in Table 2. The CDFI Fund will also not accept an Application from an Applicant that failed to create an AMIS account by the deadline specified in Table 2. In these cases, the CDFI Fund will not review any material submitted, and the Application will be deemed ineligible. However, in cases where a Federal government administrative or technological error directly resulted in preventing an Applicant from submitting the SF-424, the Application, or creating an AMIS account by the deadlines stated in this NOFA, the Applicant must submit a written request for acceptance of late submissions by the deadline specified in Table 10. Be aware that an unexpected delay in a Federal government process does not in and of itself constitute a Federal government administrative or technological error. The CDFI Fund will only approve the late submission of the SF-424, the Application, or the late creation of an AMIS account, if the Applicant demonstrates that an unexpected delay was the direct result of a Federal government administrative or technological error. The written request must be submitted to the CDFI Fund as an AMIS Service Request with the subject line as specified in Table 10, and the request must include ( printed page 39677) documentation of the Federal government administrative or technological error acceptable to the CDFI Fund. Table 10 below outlines the deadlines and AMIS Service Request requirements for requesting a late submission:

M. Funding Restrictions: SDL Program Awards are limited by the following:

1. A Recipient shall use SDL Program Award funds only for the eligible activities set forth in the Application and as described in Table 6 and Section III F. of this NOFA and the Award's applicable Assistance Agreement. 2. A Recipient may not disburse SDL Program Award funds to an Affiliate, Subsidiary, or any other entity in any manner that would create a Subrecipient relationship (as defined in the Uniform Requirements) without the CDFI Fund's prior written approval. 3. SDL Program Award dollars shall only be paid to the Recipient. 4. The CDFI Fund, in its sole discretion, may pay SDL Program Awards in amounts, or under terms and conditions, which are different from those requested by an Applicant. However, the CDFI Fund will not grant an Award more than the amount requested by the Applicant.

VI. Application Review Information

A. Responsiveness Review: If the Applicant has submitted an eligible Application, the CDFI Fund will conduct a substantive review in accordance with the criteria and procedures described in the Regulations, this NOFA, the Application guidance, and the Uniform Requirements. The CDFI Fund reserves the right to contact the Applicant by telephone, email, or mail for the purpose of clarifying or confirming Application information. If contacted, the Applicant must respond within the time period communicated by the CDFI Fund or risk that its Application will be rejected. The CDFI Fund will review the SDL Application in accordance with the process below. All Application reviewers will complete the CDFI Fund's conflict of interest process.

B. Review and Selection Process: The CDFI Fund will evaluate each complete and eligible Application using the multi-phase review process described in this section. Where appropriate, the CDFI Fund will use different criteria to evaluate the financial health, capacity, and strategies of the Applications based on the proposed use(s) of the SDL Program Award. These differences are noted in the following sections and the Application Instructions. Applicants that meet the minimum criteria will advance to the next step in the review process.

1. Eligibility Review: The CDFI Fund will evaluate each Application to determine its eligibility status pursuant to Section II of this NOFA.

2. Financial Analysis: For Regulated Institutions, the CDFI Fund will consider financial safety and soundness information from the Appropriate Federal or State Banking Agency. As detailed in Table 5, each Regulated Institution SDL Program Applicant must have a CAMEL(S) rating of a “1”, “2”, or “3”, and no material concerns from its regulator. In addition, bank Applicants must have a CRA rating of at least “Satisfactory”. For non-regulated Applicants, the CDFI Fund will evaluate the financial health and viability of each non-regulated Applicant using the Application Assessment Tool and the financial information provided by the Applicant. For the Financial Analysis, each non-regulated Applicant will receive a Total Financial Composite Score on a scale of one (1) to five (5), with one (1) being the assigned the highest rating. The Total Financial Composite Score is based on the analysis of twenty-three (23) financial indicators. Applications will be grouped based on the Total Financial Composite Score. Applicants must receive a Total Financial Composite Score of one (1), two (2), or three (3) to advance to the Business Strategy and Community Impact Review phase. CDFI Fund staff will review and confirm the scores for Applications that receive an initial Total Financial Composite Score of four (4) or five (5). If the Total Financial Composite Score remains four (4) or five (5) after CDFI Fund staff review, the Applicant will not advance to the Business Strategy Review phase and will not receive further consideration for an Award.

3. Compliance Risk Evaluation: The CDFI Fund will evaluate the compliance risk of each Applicant using information provided in the Application, as well as an Applicant's reporting history, reporting capacity, and performance risk with respect to the Applicant's performance goals for all CDFI Fund awards. Each Applicant will receive a Total Compliance Composite Score on a scale of one (1) to five (5), with one (1) being assigned the highest rating. CDFI Fund staff will review and confirm the scores for Applications that receive an initial Total Compliance Composite Score of four (4) or five (5). If the Applicant is deemed a high compliance risk after CDFI Fund Staff review, the Applicant will not advance to the Business Strategy Review phase and will not receive further consideration for an award. 4. Business Strategy Review: Applicants that proceed to this phase will be evaluated on the soundness of their proposed business strategy. The Business Strategy evaluation consists of four sections, totaling 100 points as follows: Market Analysis and Award Strategy (40 points), Loan Products and Lending Practices (10 points), Pipeline and Projections (30 pts), and Organizational Capacity (20 points). Applicants will receive a Total Business Strategy Review Score equivalent to “Low Risk”, “Medium Risk” or “High Risk.” Applicants must receive a Total Business Strategy Review Score that is equivalent to a “Low Risk” or “Medium Risk” to advance to the Final Award Decision and Award Amount Determination Stage. Applicants that receive an overall rating of “High Risk” in this part of the evaluation will not advance to the Final Award Decision and Award Amount Determination Stage and will not receive further ( printed page 39678) consideration for an SDL Program Award. In the Business Strategy Review, the CDFI Fund will review and evaluate: (a) the needs of communities and persons in the areas the Applicant proposes to serve with an SDL Program Award and the extent to which the proposed strategy addresses these needs; (b) the small dollar lending and financing gaps addressed by its business strategy; (c) the projected SDL Program activities and track record; (d) the role the SDL Program Award plays in its financing strategy and the expected community impact that will be sought as a result of the proposed program; (e) Applicant's organizational capacity. Within the Business Strategy Review, an Applicant will generally be deemed a lower risk to the extent that it: (i) clearly aligns its proposed SDL Program Award activities and products with the small dollar consumer needs and financing gaps it identifies; (ii) demonstrates that its strategy and activities will result in more favorable financing rates and terms for borrowers; (iii) demonstrates that its projected activities are achievable based on the Applicant's strategy and track record and demonstrates an increase in its small dollar lending; (iv) describes a clear process for selecting borrowers that have a clear need for its small dollar consumer loan program financing; and (v) has a credible pipeline of borrowers. An Applicant will also generally score more favorably to the extent it has a volume of projected activities supported by its track record. An Applicant will also score favorably if its small dollar consumer loan program offers one or more of the following lending practices and loan characteristics that promote affordable and responsible small dollar lending and clearly address the identified financing gaps: the loan term is at least ninety days, and/or it considers the borrower's ability to repay by assessing both the borrower's income and expenses ( i.e. bases lending on a borrower's ability to repay according to the terms of the loan, while meeting other expenses, without needing to refinance/re-borrow, and without relying on collateral), and/or loan decisions are made within one business day after receipt of required documents, and/or the borrower receives a reduction in its loan rate if s/he uses automatic debit payments, and/or the Applicant's small dollar consumer loan program offers automatic savings features, and/or the Applicant offers access to financial education, including credit counseling. An Applicant will also score more favorably if it demonstrates strong organization capacity, including key staff with relevant experience to manage a small dollar consumer loan program. An Applicant will also score more favorably if it is located in a non-metropolitan area based on the Office of Management and Budget's 2020 Core Based Statistical Areas designations. For Applicants applying for an LLR Award, the Applicant will discuss how the LLR Award will be used to launch a small dollar consumer loan program or expand its existing small dollar program that meets the statutory and other requirements described in this NOFA. The Applicant will also describe its strategy and structure of the LLR account. Further, the Applicant will discuss the anticipated loss rate the LLR will cover and how the loss rate was estimated.

For Applicants applying for a TA Award, the Applicant will discuss how the TA Award will be used to launch a small dollar consumer loan program or expand its existing small dollar program that meets the statutory and other requirements described in this NOFA. The Applicant will include information about intended uses of the TA Award which comply with eligible uses as stated in Section II of this NOFA.

5. Final Award Decision and Award Amount Determination: During this last phase, the CDFI Fund will review all SDL Program Applications that make it to this step to ensure adherence with the SDL Program's policies and procedures, as well as applicable federal regulations. The CDFI Fund will also review the Applicant's management team and key staff, compliance status, eligibility, due diligence, and regulatory matters. This due diligence includes an analysis of programmatic and financial risk factors including, but not limited to, financial stability, history of performance in managing federal awards (including timeliness of reporting and compliance), audit or regulator findings, and the Applicant's ability to effectively implement federal requirements. For Applicants applying for awards to establish a small dollar consumer loan program, the CDFI Fund will also consider the Applicant's ability to start a new small dollar consumer loan program. If an Applicant is found to be a significant risk as a result of the due diligence review, the CDFI Fund may eliminate the Applicant from consideration for an SDL Program Award. The CDFI Fund will determine award amounts for Applications based on the due diligence performed, the Applicant's requested amount, and certain other factors, including but not limited to, the Applicant's three-year projected total small dollar consumer loans to be closed, Applicant's use of preferred lending practices and loan characteristics stated in this NOFA that promotes affordable and responsible small dollar lending, Applicants headquartered in PPCs (as stated in the Applicant's Application), an Applicant's risk rating level, and funding availability. Award amounts may be reduced from the requested award amount as a result of the above factors.

(a) Regulated Institutions: The CDFI Fund will consider safety and soundness information from the Appropriate Federal or State Banking Agency. If the Applicant is a CDFI Depository Institution Holding Company, the CDFI Fund will consider information provided by the Appropriate Federal or State Banking Agencies about both the CDFI Depository Institution Holding Company and the Certified CDFI Subsidiary Insured Depository Institution that will expend and carry out the award. If the Appropriate Federal or State Banking Agency identifies safety and soundness concerns, the CDFI Fund will assess whether such concerns cause or will cause the Applicant to be incapable of undertaking the activities for which funding has been requested.

(b) Non-Regulated Institutions: The CDFI Fund must ensure, to the maximum extent practicable, that Applicants which are non-regulated CDFIs are financially and managerially sound and maintain appropriate internal controls (12 U.S.C. 4707(f)(1)(A) and 12 CFR 1805.800(b)). Further, the CDFI Fund must determine that an Applicant's capacity to operate as a CDFI, and its continued viability will not be dependent upon assistance from the CDFI Fund (12 U.S.C. 4704(b)(2)(A)). If it is determined that the Applicant is incapable of meeting these requirements, the CDFI Fund reserves the right to deem the Applicant ineligible or terminate the award.

6. Anticipated Award Announcement: The CDFI Fund anticipates making the SDL Program Award announcement before September 30, 2026. However, the anticipated award announcement date is subject to change without notice.

C. Changes in Eligibility and Evaluation Criteria: The CDFI Fund reserves the right to change its eligibility and evaluation criteria and procedures, if the CDFI Fund deems it appropriate. If said changes materially affect the CDFI Fund's Award decisions, the CDFI Fund will provide information regarding the changes through the CDFI Fund's website. It is the Applicant's ( printed page 39679) responsibility to monitor the CDFI Fund's website for such changes.

D. Application Rejection: The CDFI Fund reserves the right, in its sole discretion, to reject an Application if information (including administrative errors) comes to the attention of the CDFI Fund that adversely affects an Applicant's eligibility for an Award, adversely affects the CDFI Fund's evaluation or scoring of an Application, or indicates fraud or mismanagement on the Applicant's part, including mismanagement of another Federal award. If the CDFI Fund determines that any portion of the Application is incorrect in any material respect, the CDFI Fund reserves the right, in its sole discretion, to reject the Application. There is no right to appeal the CDFI Fund's Award decisions. The CDFI Fund's Award decisions are final.

VII. Award Notice

A. Award Notification: The Authorized Representative and Point(s) of Contact for each successful Applicant will receive an email “notice of award” notification from the CDFI Fund stating that its Application has been approved for an Award. The email “notice of award” is not an authorization to begin performance.

B. Application Debriefs: The Authorized Representative and Point(s) of Contact for each Applicant not selected for an award will receive an email with information on when a debriefing document will be provided in its AMIS account ( https://amis.cdfifund.gov). The CDFI Fund will not discuss the specifics of an Applicant's FY 2026 SDL Program Application or provide specific reasons why an Applicant was not selected to receive a 2026 SDL Program Award beyond any information provided in the debriefing document.

The CDFI Fund will only respond to general questions regarding the FY 2026 SDL Program Application and award decision process until 30 days after the Award announcement date.

VIII. Post-Award Requirements and Administration

A. Administrative and National Policy Requirements. Prior to entering into an Assistance Agreement, the CDFI Fund may, in its discretion and without advance notice to the Applicant, terminate the Award or take other actions as it deems appropriate if information (including an administrative error) comes to the CDFI Fund's attention that adversely affects the Recipient's eligibility for an Award; adversely affects the CDFI Fund's evaluation of the Application; adversely affects the Recipient's compliance with any requirement listed in the Uniform Requirements; or indicates fraud or mismanagement on the Recipient's part, including mismanagement of another Federal award. The CDFI Fund reserves the right, in its sole discretion, to rescind an Award if the Recipient fails to return the Assistance Agreement, signed by an Authorized Representative of the Recipient, and/or provide the CDFI Fund with any other requested documentation, within the CDFI Fund's deadlines.

If the Recipient, through merger or similar transaction, ceases to exist as a legal entity, the CDFI Fund may terminate and rescind the Assistance Agreement and the Award made under this NOFA. In addition, the CDFI Fund reserves the right, in its sole discretion, to terminate and rescind the Assistance Agreement and the Award made under this NOFA for any criteria described in Table 11:

B. Assistance Agreement: The Authorized Representative and Point(s) of Contact for each Applicant that is selected to receive an Award under this NOFA will receive an email notification from the CDFI Fund stating an Assistance Agreement has been provided in its AMIS account. The Assistance Agreement must be fully executed by the Applicant's Authorized Representative and the CDFI Fund for the Applicant to become a Recipient and receive Payment. Each SDL Program Assistance Agreement has a 3-year Period of Performance. 1. The Assistance Agreement will set forth certain required terms and conditions of the SDL Program Award, which will include, but not be limited to: (a) The amount of the Award; (b) The approved uses of the Award; (c) performance goals; (d) Reporting requirements for all Recipients; and (e) The Assistance Agreement shall provide that the Awardee shall not, to the best of its knowledge and after reasonable diligence, provide any federal public benefit in a manner that violates applicable Federal anti-discrimination laws, including providing employment or financial preferences or set-asides based on any person's race, ethnicity, or sex, in a manner that is inconsistent with any applicable Federal anti-discrimination laws. Additionally, the Awardee must adopt, implement, and maintain policies and procedures reasonably designed to ensure the Awardee's compliance with applicable Federal anti-discrimination laws. Annually, the Awardee shall certify the existence and administration of such policies and procedures and make them available for review upon request by the CDFI Fund. 2. Prior to executing the Assistance Agreement, the CDFI Fund may, in its discretion, allow Recipients to request changes to certain performance goals. The CDFI Fund, in its sole determination, may approve or reject these requested changes or propose other modifications, including a reduction in the Award amount. The CDFI Fund will only approve revised performance goals if it determines that such requested changes do not undermine the competitive process upon which the SDL Program Award determination was made. Any modifications agreed upon prior to the execution of the Assistance Agreement will become a condition of the Award. 3. If the Recipient fails to comply with the Assistance Agreement, the CDFI Fund may take actions including, but not limited to, the following: (a) require changes in the Recipient's performance goals; (b) revoke approval of the Recipient's Application; (c) revoke approval of any other applications submitted to the CDFI Fund by the Recipient under any of the CDFI Fund's programs, and declare such applications to be ineligible; (d) reduce or terminate the Award ; (e) require repayment of any SDL Program Assistance that has been paid to the Recipient pursuant thereto; (f) render the Recipient ineligible to apply for additional awards from the CDFI Fund through future funding rounds; (g) require the Recipient to convene a meeting(s) of its board of directors at which meeting(s) the CDFI Fund will be given the opportunity to address the attendees with respect to the CDFI Fund's evaluations and concerns regarding the performance of the Recipient under the Assistance Agreement; or (h) take such other actions as the CDFI Fund deems appropriate including, but not limited to, termination of CDFI Certification. 4. In addition to entering into an Assistance Agreement, each Applicant selected to receive an SDL Program Award must furnish to the CDFI Fund a Certificate of Good Standing from the jurisdiction in which it was formed. The CDFI Fund may, in its sole discretion, also require the Applicant to furnish an opinion from its legal counsel, the content of which may be further ( printed page 39681) specified in the Assistance Agreement, and which, among other matters, opines that: (a) The Recipient is duly formed and in good standing in the jurisdiction in which it was formed and the jurisdiction(s) in which it transacts business; (b) The Recipient has the authority to enter into the Assistance Agreement and undertake the activities that are specified therein; (c) The Recipient has no pending or threatened litigation that would materially affect its ability to enter into and carry out the activities specified in the Assistance Agreement; and (d) The Recipient is not in default of its articles of incorporation or formation, bylaws or operating agreements, other organizational or establishing documents, or any agreements with the federal government.

C. Reporting. The CDFI Fund will require each Recipient that receives an SDL Program Award through this NOFA to account for and report to the CDFI Fund on the use of the SDL Program Award. This will require Recipients to establish administrative controls subject to the Uniform Requirements and other applicable OMB guidance. Following payment, the CDFI Fund will collect information from each Recipient on its use of the SDL Program Award annually, and more often if deemed appropriate by the CDFI Fund, in its sole discretion. The CDFI Fund will provide guidance to Recipients outlining the format and content of the information required to describe how the funds were used.

The CDFI Fund may collect information from each Recipient including, but not limited to, an annual report with the components listed in Table 12:

Each Recipient is responsible for the timely and complete submission of the Annual Reporting Requirements. The CDFI Fund reserves the right to contact the Recipient and additional entities or signatories to the Assistance Agreement to request additional information and/or documentation. The CDFI Fund will use such information to monitor each Recipient's compliance with the requirements of the Assistance Agreement and to assess the impact of the SDL Program. The CDFI Fund reserves the right, in its sole discretion, to modify these reporting requirements, including increasing the scope and frequency of reporting, if it determines it to be appropriate and necessary. The CDFI Fund will notify Recipients before modifying any reporting requirements.

D. Financial Management and Accounting: The CDFI Fund will require Recipients to maintain financial management and accounting systems that comply with Federal statutes, regulations, and the terms and conditions of the Federal Award. These systems must be sufficient to permit the preparation of reports required by the CDFI Fund to ensure compliance with the requirements of the SDL Program, including the tracing of Award funds to a level of expenditures adequate to establish that such Award funds have been used in accordance with Federal statutes, regulations, and the terms and conditions of the Federal Award. The cost principles used by Recipients must be consistent with Federal cost principles; must support the accumulation of costs as required by the principles; and must provide for adequate documentation to support costs charged to the SDL Program Award. In addition, the CDFI Fund will require Recipients to: maintain effective internal controls; comply with applicable statutes and regulations, the ( printed page 39682) Award/Assistance Agreement, and related guidance; evaluate and monitor compliance; take appropriate corrective action when not in compliance; and safeguard PII.

IX. Other Information

A. Revisions to Federal Funding Accountability and Transparency Act of 2006. Each Applicant that does not have an exception related to reporting subaward and executive compensation information under 2 CFR 170 must have the necessary processes and systems in place to comply with reporting requirements should they receive an Award.

B. Civil Rights and Equal Opportunity. Any person who is eligible to receive benefits or services from the CDFI Fund or Recipients under any of its programs is entitled to those benefits or services without being subject to prohibited discrimination. The Department of the Treasury's Office of Civil Rights and Equal Employment Opportunity enforces various Federal statutes and regulations that prohibit discrimination in financially assisted and conducted programs and in the activities of the CDFI Fund. If a person believes that s/he has been subjected to discrimination and/or reprisal s/he may file a complaint with: Director, Office of Civil Rights and Equal Employment Opportunity, 1500 Pennsylvania Ave NW, Washington, DC 20230 or crcomplaints@treasury.gov.

C. Fraud, Waste, and Abuse Prevention Notice. In accordance with Executive Order Establishing the Task Force to Eliminate Fraud (March 16, 2026), the CDFI Fund affirms that fraud, waste, and abuse is not tolerated across its programs. The CDFI Fund will work with the U.S. Department of the Treasury, the Presidential Task Force to Eliminate Fraud, the Department of Justice, and other applicable federal, state, and local stakeholders to identify and dismantle fraud, waste, and abuse.

All applicants, award recipients, and contractors are on notice that any misuse or fraudulent obtainment of federal funds will result in the maximum enforcement response available under the law, including award termination, repayment demands, suspension and debarment, and referral for civil and criminal prosecution under the False Claims Act (31 U.S.C. 3730). Suspected fraud, waste, or abuse should be reported to the Treasury Office of Inspector General at 1-800-359-3898 or www.oig.treas.gov.

D. Whistleblower Protections. An employee of a recipient or subrecipient must not be discharged, demoted, or otherwise discriminated against as a reprisal for disclosing to a person or body described in paragraph (a)(2) of 41 U.S.C. 4712 information that the employee reasonably believes is evidence of gross mismanagement of a Federal contract or grant, a gross waste of Federal funds, an abuse of authority relating to a Federal contract or grant, a substantial and specific danger to public health or safety, or a violation of law, rule, or regulation related to a Federal contract (including the competition for or negotiation of a contract) or grant. The recipient and subrecipient must inform their employees in writing of employee whistleblower rights and protections under 41 U.S.C. 4712.

E. Statutory and National Policy Requirements. The CDFI Fund must manage and administer the Federal award in a manner so as to ensure that Federal funding is expended and associated programs are implemented in full accordance with the U.S. Constitution, Federal law, and public policy requirements.

F. Paperwork Reduction Act: Under the Paperwork Reduction Act (44 U.S.C. chapter 35), an agency may not conduct or sponsor a collection of information, and an individual is not required to respond to a collection of information, unless it displays a valid OMB control number. If applicable, the CDFI Fund may inform Applicants that they do not need to provide certain Application information otherwise required. Pursuant to the Paperwork Reduction Act, the SDL Program Application has been assigned the following control number: 1559-0036.

G. Application Information Sessions: The CDFI Fund may conduct webinars or host information sessions for organizations that are considering applying to, or are interested in learning about, the CDFI Fund's programs. For further information, please visit the CDFI Fund's website at https://www.cdfifund.gov.

Authority:Pub. L. 111-203. 12 U.S.C. 4719, 12 CFR part 1805, 12 CFR part 1815, 12 U.S.C. 4502.