No CRS summary available for this bill.
This section amends the Transportation Infrastructure Finance and Innovation Act (TIFIA) program (23 U.S.C. §§601 et seq.) to authorize federal credit assistance—including secured loans—for community development financial institutions (CDFIs) to capitalize CDFI transit-oriented development (TOD) accounts (i.e., accounts established within a CDFI to make loans to sponsors of transit-oriented development projects). (As background, TIFIA provides federal loans and other credit assistance for surface transportation projects that would otherwise require significant non-federal funding.) Specifically, the section makes the following changes: (1) adds capitalization of CDFI TOD accounts as an eligible TIFIA purpose and project selection criterion, with eligible project costs not to exceed $100 million; (2) permits the Secretary of Transportation, for CDFIs, to rely on credit assessments or verification letters from the Secretary of the Treasury in lieu of investment-grade ratings or rating agency opinions for eligibility determinations, project selection, and secured loans; (3) deems CDFI TOD account projects to generate beneficial effects for TIFIA selection purposes; (4) requires a CDFI receiving a secured loan for a CDFI TOD account to demonstrate, within two years of loan obligation, that it has executed a loan agreement with a project sponsor, after which it may draw loan proceeds (with possible extension or withdrawal by the Secretary if not used); and (5) includes CDFI TOD accounts as permissible uses of secured loan proceeds and repayment sources (e.g., repayments from section 611 loans), with maximum loan amounts capped per the $100 million project cost limit.