Two Oklahoma Banks Receive Bank Enterprise Awards for Investing in MetaFund
July 20, 2018 – Oklahoma City, OK
MetaFund is pleased to announce that The First State Bank (FSB) and First National Bank of Oklahoma (FNB) have received Bank Enterprise Awards (BEA) from the Community Development Financial Institutions Fund (CDFI Fund), a division of the United States Treasury Department for their investments in MetaFund.
The BEA provides up to an 18% cash award for the amount that banks invest in or lend to qualifying entities. In the case of MetaFund, FSB and FNB have made long-term loans which qualify as an investment under CDFI Fund regulations. The banks are required to invest their awards in qualifying projects benefitting low-income people and communities.
“All of MetaFund’s member banks which have applied for an award have received one,” said Tom Loy, MetaFund’s founder and CEO. “Over its approximate 20-year life, this equates to nearly $4 million in awards received by our member banks. This program provides an incentive for banks to invest in MetaFund while the award also provides funds for worthy projects,” Loy continued.
“The First State Bank is committed to helping communities in need and is proud to contribute to the CDFI Fund’s mission through MetaFund. Through MetaFund, we’re able to expand our reach, knowing we’re helping people we might not otherwise have been able to help. To receive the BEA is humbling, and we graciously accept it on behalf of our staff here at FSB and look forward to using it to help others in need,” commented Chris Turner, President and CFO at FSB.
Pat Rooney, Chairman and CEO of FNB was equally enthusiastic about receiving the BEA: “We are excited to be awarded the BEA this year. We very much appreciate our investment in MetaFund and look forward to putting this money to work in the community.”
Mr. Loy added: “we are extremely grateful to FSB, FNB and all of MetaFund’s member banks – they are an integral part of our sustainability and mission.”
Over its nearly 20-year history, MetaFund has been a part of its member banks’ Community Reinvestment Act solutions and has partnered with them to facilitate transactions targeting distressed areas within the communities they serve. MetaFund, one of Oklahoma’s largest Community Development Financial Institutions (CDFIs), does this primarily by providing additional capital into traditional bank loan transactions. This additional capital may come from MetaFund’s own funds or from New Markets Tax Credits (NMTC) it facilitates.
Over the past 15 years, MetaFund has received $219 million of NMTC allocations which provide approximately 25% permanent capital for qualifying projects. MetaFund has levered this $219 million of NMTC allocations into projects totaling approximately $650 million, resulting in the creation of over 2,500 jobs in Oklahoma. MetaFund continually seeks development projects for the NMTC program, particularly in rural areas.
Additionally, MetaFund partners with multiple Habitat for Humanity (HFH) affiliates to provide much needed capital for affordable, quality low-income housing. As part of this effort, MetaFund has become one of the largest investors in HFH loans nationally.
MetaFund is an Oklahoma, statewide non-profit CDFI which also has activities in Arizona, Kansas, Nebraska, and Colorado. As a self-sustaining entity, MetaFund supports itself from revenues related to its mission-oriented loans and investments, and does not rely on charitable contributions, grants, or government funding.
