We're Going National
Dear Shareholders and Friends,
I have never been more excited and optimistic about Clearinghouse CDFI. 2019 was another memorable year with strong financial performance and impressive impact through our loans and investments.
We funded 41 loans totaling $105 million in 2019. Of that amount, $91 million went to projects serving low-income families. One of the many loans we made was to the Paul Quinn College, a Historically Black College and University (HBCU) that had not built a new building on campus in over 40 years. Additionally, we funded the Los Angeles Mission, a nonprofit that has provided over 123,000 nights for homeless people living on the streets. Moreover, 65% of all our loans this year were to minority or women borrowers.
2019 marked our 20th consecutive year of profitability. In 2019, we realized a record level of net income at $6.8 million. Our total net assets were just under $550 million with $82 million in equity. We exceeded $250 million in CDFI Bond Guaranty Program borrowings, making us the single largest participant in this program. We maintained our investment grade S&P rating of A- (stable).
In 2019, we became the first CDFI in the nation to close an Opportunity Zone project. Mariposa Apartments is a $13.8 million structured transaction that will create 31 new family units in the low-income Koreatown neighborhood of Los Angeles. In 2020, we will launch several new and impactful Opportunity Zone projects.
Developing the recapitalization strategy for our company was a major undertaking in 2019. With the assistance of Piper Sandler & Co., we created a vibrant growth plan for our future. The plan calls for raising $75 million in new “common” equity to add to our existing equity base. This significant endeavor will allow us to grow and increase our impact in a safe and efficient manner. It will also facilitate our expansion into new geographies that can benefit from our loan services and community development expertise.
This year, our board of directors authorized the management team to begin the process of designating a national footprint. As such, we will be opening several new offices around the country, with the first office in Texas expected to open in the third quarter of 2020. We are excited to partner with community organizations, other CDFIs, and regulated financial institutions in other geographies as we begin making impactful loans throughout the country.
Community Reinvestment Act (CRA) reform, unveiled in 2019, is expected to change the playing field for banks and community groups alike. We welcome the challenges and opportunities that this reform brings. Our plan for growth and increased lending throughout the country positions us well to respond to new regulations. Our strong commitment to work closely with banks on CRA remains unchanged.
As we end one decade and begin another, we are well positioned for sustained growth, expansion, profitability, and continued economic justice for the communities and populations we serve. I am optimistic about the new economic opportunities available for our company and our industry.
Your commitment to our growth and purpose allows us to continue to change lives and improve communities. Thank you for your strong support of Clearinghouse CDFI as we continue this journey of positively “shaping our future” by bringing capital to low-income and underserved areas.
Meeting Our Mission:
Clearinghouse CDFI provides economic opportunities and improves the quality of life for lower-income individuals and communities through innovative and affordable financing that is unavailable in the conventional market.
-- Download the PDF: CCDFI 2019 Annual Report --
Featured Projects
Impacts Since Inception
1.9 Billion
21,500 Jobs
9,000 Units
1.9 Million
640,000
13,000
Impacts In 2019
1,000 Units
$5.84 Million
465 Units
65%
7,000
600 Students
$91 Million
Boards & Committees
Gary Dunn - CHAIR Banc of California - Retiree
Alva Diaz Wells Fargo
Brian Riley State Bank of Arizona
Chris Walsh Partners Bank of California
Claudia Lima CIT
David Levy Fair Housing Council of OC
Glen Pacheco First Choice Bank
Jeff Talpas BBVA Compass
Kelvin James Bank of Hope
Lisa Dancsok Arizona Community Foundation
Mark Rebal Nano Banc
Pat Neal Neal Estate, Inc.
Ray Nayar AOF / Pacific Affordable Housing - Retiree
Robert McAuslan Western Alliance Bancorporation
Susan Montoya Citizens Business Bank
Back Row Left to Right: Gary Dunn, Mark Rebal, David Levy, Brian Riley, Susan Montoya, Jeff Talpas, Chris Walsh, Claudia Lima, Glen Pacheco, Lisa Dancsok, Robert McAuslan.
Seated Left to Right: Kelvin James, Pat Neal, Alva Diaz.
Not Pictured: Ray Nayar
“As part of an organization that strengthens the economic fabric in our communities through product innovation and community service, I find that I am making a positive difference in the lives of the individuals, businesses, and communities CCDFI so passionately serves.”
– Glen Pacheco, First Choice Bank
Glen Pacheco - CHAIR First Choice Bank
Dino Browne Las Vegas Urban League
Gary Dunn Banc of California - Retiree
Laura Green First Foundation Bank
Patricia Dixon CalPrivate Bank
Waheed Karim Banner Bank
Wesley Wolf Wolf & Company, Inc.
“Realizing dreams by providing funding opportunities to businesses and communities where needed is what Clearinghouse CDFI delivers. I am proud and honored to have made a small difference in realizing those dreams. Thank you CCDFI for allowing my Loan Committee services.”
– Laura Green, First Foundation Bank
Andrew Gordon - CHAIR Clearinghouse CDFI
Cody Williams Maricopa County Justice Courts
Craig K. Williams Snell and Wilmer
David Castillo Native Community Capital
Douglas Bystry Clearinghouse CDFI
Elisa de la Vara Arizona Community Foundation
Jonathan Koppell ASU Watts College of Public Service and Community Solutions
Ken Burns Arizona Commerce Authority
Michael P. Lefever Wells Fargo
Paul Hickman Arizona Bankers Association
Tim Bruckner Western Alliance Bank
“As a member of the Arizona Board of Advisors, I enjoy being part of impactful community development lending in Arizona. I also appreciate Clearinghouse CDFI’s ongoing commitment to Indian Country in Arizona and nationally.”
– David Castillo, Native Community Capital
David Levy - CHAIR Fair Housing Council of OC
Alan Woo Santa Ana Unidos
Andrew Michael Partnerships for Change
Chris Francis CF Architecture Inc.
Delores Brown CEDC, Inc.
Gerald Sherman Bar K Management Company
Raymond Turner Temple Missionary Baptist Church
Stanley Tom Valley Small Business Development Corp.
Tim Johnson City of Federal Way
“CCDFI’s community development mission provides credit opportunities for projects and communities not being served by traditional financial markets. I value being a bridge between CCDFI’s NMTC Advisory Board and its governing board. The Advisory Board helps bring impactful projects in need of those opportunities to the attention of management, resulting in expanded social and economic justice in otherwise underserved areas.”
– David Levy, Fair Housing Council of OC
Gerald Sherman - CHAIR Bar K Management Company
Bob Crothers Citizen Potawatomi Community Development Corporation
David Murray Native Community Capital
Karlene Hunter Native American Natural Foods
Lenell Carter IPAI Community Loan Fund
Shawn Nelson Father Sky & Mother Earth ART
“I am honored to be part of CCDFI’s Native American Advisory Board. Membership has opened new doors and helped me accomplish additional goals. This includes becoming a board member of the Octavia Fellin Public Library in Gallup, NM, and plans to join additional state boards. Thank you!”
– Shawn Nelson, Father Sky & Mother Earth ART
Andrew Gordon - CHAIR Clearinghouse CDFI
Cyndi Franke-Hudson Wells Fargo
Edward Celaya Mutual of Omaha Bank - Retiree
Esperanza Martinez National Bank of Arizona
Kevin Halloran Mutual of Omaha Bank
Lisa Van Ella State Bank of Arizona
Terrin Enssle Clearinghouse CDFI
Tim R. Bruckner Western Alliance Bank
“I have enjoyed working on the AZ Investment Committee for Clearinghouse CDFI and AZ MultiBank for all these years. It is rewarding to serve in a capacity to assist business owners around AZ to get their financing needs met and allow them to grow and prosper.”
– Cyndi Franke-Hudson, Wells Fargo
Brian Riley - CHAIR State Bank of Arizona
Craig Kardokus First Foundation Bank
David Levy Fair Housing Council of OC
Michael Solomon Charles Schwab Bank
Rama Mohan Rao Amara State Bank of India
Steve Herman California Bank & Trust (Zions)
“It is such a privilege to serve on ALCO Committee and witness first-hand how Clearinghouse CDFI positively impacts our underserved communities.”
– Brian Riley, State Bank of Arizona
Glen Pacheco - CHAIR First Choice Bank
David Sharp Pacific Western Bank
Elsa Monte Pacific Western Bank
Joe Chen First General Bank
John Marder First Bank - Retired
Mark Rebal Nano Banc
Melinda Costa Wells Fargo
Wilson Mach First General Bank
“I’m honored to serve on Clearinghouse CDFI’s Asset Review Committee. Clearinghouse CDFI is an important partner for us and has a successful track record for balancing risk and impact in the communities they serve.”
– Melinda Costa, Wells Fargo
Susan Montoya - CHAIR Citizens Business Bank
Arturo Pérez U.S. Bancorp
Barbara Boone Western Alliance Bank
Bruce Gumbiner Cathay Bank
Gary Dunn Banc of California - Retiree
Joy Hoffmann Bank of the West
“Clearinghouse CDFI has had another successful year and continues to make an amazing impact on our communities. I am so honored to be a part of the Outreach Committee.”
– Barbara Boone, Western Alliance Bank
Looking Back
2019 Highlights
Opportunity Zones:
CLEARINGHOUSE CDFI CLOSES 1st CDFI-SPONSORED
PROJECT IN THE NATION
- $13.8 Million
- Los Angeles, CA – Koreatown
- 31-Unit Multi-Family New Construction Project
Best for the world
Using Business as a Force for Good, Clearinghouse CDFI’s honors include Best for Customers and Best
for the World: Governance, Changemaker, and Overall.
Ranked
58
Companies Around the World!
We were named among INC. 5000’s Fastest-Growing Privately Held Companies!
CDFI Fund Bond Guarantee Pledge Update:
CCDFI increased BGP borrowings by $64 million in 2019, ending the year at $254 million in outstanding borrowings from BGP. CCDFI has additional borrowing capacity of $79 million under the existing BGP allocation.
This year we launched our own
PODCAST CHANNEL!
Marvin Muy Luna
Rose Minsky
2019 Financials
Our Team
DOUGLAS J. BYSTRY
President / CEO
ANDREW GORDON
Arizona Market President
KRISTY OLLENDORFF
Chief Credit Officer
TERRIN ENSSLE
Chief Financial Officer
JAY HARRISON
Chief Investment Officer
Our Staff
ALANNA SMITH
Director of Marketing
AMANDA VIRREY
Commercial Loan Processing Manager
AVERY EBRON
Impact Lead
BRIAN SAGERT
Nevada Market Rep BDO
CESAR PLASCENCIA
Public Affairs Officer
CHRIS MCMARTIN
Opportunity Fund Manager
COLIN WEGENER
Assistant Controller
DEBRA KRAMER
Construction Loan Specialist Manager
DEIDRE WILLIAMS
Commercial Loan Processor
FERDUESI AHMED
CRE Portfolio Loan Analyst
GABRIELLA BRUSSEAU
Receptionist / Office Admin
GUY KRIKORIAN
Controller
JATIN MEHTA
Sr. Accountant
JUSTIN MERLETTE
Assistant Loan Servicing Manager
KATHY BONNEY
Director Business Operations
LACEY DIXON
Loan Processor / Administrative Assistant
LAUREN MCDONALD
Commercial Loan Funder
LAWRENCE CHAVEZ
New Mexico Market Specialist BDO
LOREY LOUIE
Portfolio Analyst
LUNDI CHEA
NMTC Asset & Compliance Manager
MAI HA
Impact Writer & Analyst
MELISSA JOHNSON
Director of Loan Operations
MICHELLE TAYLOR
Loan Servicing Manager
NATASA RADOSAVLJEVIC
Marketing Specialist
ORLANDO LOPEZ
Commercial Loan Processor
RANDY DIXON
Sr. Small Business Underwriter
RICKY HA
NMTC Staff Accountant
ROSCELLE SHANDS
Commercial Loan Funding Manager
SABRINA TRAN
Digital Marketing Manager
SCOTTIE SCHINDLER
Sr. Commercial Underwriter
SOPHIA BARCELO
Loan Servicing Specialist
TAYLOR LAJOIE
Assistant Commercial Loan Funder
TED CHIEN
Underwriting Manager
TYLER HAGEN
Collateral Specialist
Affordable Housing Clearinghouse (AHC)
BRENDA RODRIGUEZ
AHC Executive Director
HELEN TRAN
Housing Counselor
JANELL ABARCA
Sr. Housing Counselor
SHIPRA BHATIA
Program Coordinator
Staff Life
A Special Thanks to our
Trailblazer Sponsor!
