CINCINNATI, Feb. 14, 2011 (GLOBE NEWSWIRE) -- The Federation of Appalachian Housing Enterprises (FAHE) of Berea, Kentucky, has been approved for membership at the Federal Home Loan Bank of Cincinnati (FHLBank). FAHE is the second community development financial institution (CDFI) to join the FHLBank Cincinnati since Congress approved CDFI membership in 2008, and among a handful to have joined the FHLBank system nationally.
"Achieving FHLBank membership is a significant milestone for FAHE, because it will help us reach more people in Appalachian communities with superior financial products," said Jim King, Chief Executive Officer and President of FAHE.
In January 2010, the Federal Housing Finance Agency (FHFA) implemented provisions of the Housing and Economic Recovery Act of 2008 (HERA) that permitted qualifying CDFIs to become members of a Federal Home Loan Bank. CDFIs are certified by the U.S. Treasury as providers of financial services to advance economic development and community revitalization in underserved markets.
Membership in the FHLBank provides FAHE with a source of low-cost funding to support its community development initiatives, as well as access to funds from the FHLBank's Affordable Housing Program."Over the years we've enjoyed a good working relationship with FAHE through our affordable housing programs," said David Hehman, CEO of the FHLBank. "We're pleased to have FAHE as a full member of the FHLBank."
About FAHE
FAHE connects people in Appalachia with housing resources for better homes, communities, and lives. With more than $70 million in assets under management, FAHE has been recognized nationally as a leader in innovation in reaching emerging markets, economically disadvantaged families, and underserved communities in Kentucky, Tennessee, Virginia and West Virginia. Last year, FAHE and its network of providers served more than 4,500 families. Learn more at www.fahe.org.
About the Federal Home Loan Bank of Cincinnati
The FHLBank is a $66 billion congressionally-chartered wholesale regional bank providing financial services for residential housing and economic development to 732 member financial institutions located in Kentucky, Ohio and Tennessee. It has contributed more than $400 million for the creation of 54,000 units of lower-income housing through its Affordable Housing Program since 1990, and more than $15 million through additional, voluntary programs helping thousands to attain or preserve homeownership. In 2010, $1 million was allocated to the Carol M. Peterson Housing Fund to help build wheelchair ramps for homeowners in the Fifth District. The FHLBank System includes 12 district Banks, is wholly owned by its 7,900 member institution stockholders and does not use taxpayer dollars.