Dakota Business Lending Allocates Full $30M New Markets Tax Credit Allocation Award
Aug 24, 2022
In September of 2021, Dakota Business Lending was selected by the U.S. Department of Treasury’s Community Development Financial Institution (CDFI) Fund as the first North Dakota based entity to receive a $30 million New Markets Tax Credit (NMTC) allocation. Today, they are excited to announce that they have allocated the full $30 million award to four businesses across North Dakota and have, in such a short time, had tremendous impact on the economy and small businesses throughout the state.
“When Dakota Business Lending first applied to the CDFI fund for a NMTC allocation, we envisioned there would be a significant demand for these credits. However, it is evident that the demand for a unique financing program like NMTC is much higher than anticipated,” explained Steve Dusek, President & CEO. “Dakota Business Lending is the first North Dakota based financing entity to receive an allocation and we were able to use the full $30 million award in just under 11 months.” All projects done through the NMTC program must either be located a qualifying low-income census tract, be transformative in size or scale to the (re)development of a distressed area, and adaptable to the unique structure and requirements of the program.
In addition to $107 million of direct project impact and the creation and retention of 325 permanent jobs for North Dakota citizens through the NMTC program, Dakota Business Lending desired to maximize and spread economic impact by encouraging the “pay-it-forward” concept. Businesses assisted through the NMTC were asked to “repay” the kindness by passing along direct financial assistance and support to others in need, focusing on workforce development, advancement, and training to support the workforce and infrastructure vitality of the entire state.
Dakota Business Lending has submitted a second application to the U.S. Department of Treasury for additional NMTC funds and is waiting for approval. In the meantime, they are seeking qualified projects and businesses who may need this financing program. Please contact one of the Dakota Business Lending loan officers with any questions or projects that come to mind and visit their NMTC webpage for more information. The organization looks forward to providing this opportunity and continuing to impact this great state.