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S 2704119th CongressIn Committee

CDFI Fund Transparency Act

Introduced: Sep 4, 2025
Financial Services
Standard Summary
Comprehensive overview in 1-2 paragraphs

The CDFI Fund Transparency Act would amend the Community Development Banking and Financial Institutions Act of 1994 to require annual testimony about the CDFI Fund’s operations. Specifically, the Secretary of the Treasury (or their designee) would, at the discretion of the chairs of the Senate Banking Committee and the House Financial Services Committee (or their subcommittees), testify each year on the Fund’s activities for the prior fiscal year. The bill’s goal is to increase transparency and accountability of how the CDFI Fund is managed and how its resources are used. The requirement is contingent on the committee chairs’ decision to schedule such testimony. Sponsors named in the text include Senators Daines, Warner, Crapo, and Warnock; the bill was introduced in the 119th Congress.

Key Points

  • 1Adds a new annual testimony requirement to 12 U.S.C. 4703(b) (the CDFI Act) by creating subsection (5), “Annual testimony.”
  • 2The Secretary of the Treasury (or a designee) would testify about the Fund’s operations for the previous fiscal year.
  • 3The testimony would be before the Senate Committee on Banking, Housing, and Urban Affairs and the House Committee on Financial Services (or their subcommittees).
  • 4The requirement is “at the discretion” of the chairs, meaning hearings would be scheduled at the chairs’ sole decision.
  • 5The bill’s stated purpose is to increase transparency and accountability of the CDFI Fund’s operations.

Impact Areas

Primary group/area affected: The U.S. Treasury (CDFI Fund administration) and the congressional committees that oversee the Fund (Senate Banking, House Financial Services).Secondary group/area affected: Community Development Financial Institutions (CDFIs) and stakeholders relying on CDFI Fund programs, who may benefit from enhanced transparency and clearer public accountability.Additional impacts: Potentially greater scrutiny of Fund operations and spending, which could influence budgeting, program evaluations, and governance practices; may add a periodic, formalized venue for financial and program performance information to be reviewed by Congress.
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