Mascoma Community Development (MCD) is a community development entity (CDE) – established in 2013, as a wholly-owned subsidiary of Mascoma Bank with the primary mission of community development utilizing the New Markets Tax Credit (NMTC) Program. The NMTC program allows MCD to direct capital to underserved communities through financing high-impact, mission-focused projects nationwide. MCD’s primary goals are to deploy tax credits into projects benefiting severely distressed, low-income communities and/or low-income persons that will promote:
- Job retention and creation
- Downtown revitalization
- Business development and expansion
- Additional catalytic development
The Community Development Financial Institutions Fund (CDFI Fund) has awarded MCD a total of $105 million in allocation authority since 2014. With NMTC allocation, MCD serves low-income communities nationally; however, its focus is on the low-income, rural communities throughout Northern New England and New York State.
MCD offers two NMTC loan products. The first product finances larger projects using the leverage structure and the second funds smaller projects through a loan pool structure. The loan pool is funded from capital invested by Mascoma Bank and its purpose is to bring job growth and economic development to small businesses in low-income communities. For both its NMTC products, MCD prioritizes projects that have demonstrated support from the community, have job creation and/or retention, and provide critical goods/services to low-income persons and communities.
In addition to NMTC investments, MCD often partners with its parent, Mascoma Bank in providing leverage loans to NMTC projects located within its service area of New Hampshire, Vermont and Maine. Mascoma Bank has been a leverage lender in multiple NMTC projects and has worked with multiple CDEs prior to MCD’s first allocation award. Since beginning its work as a NMTC leverage lender, Mascoma Bank has helped to generate more than 1,500 permanent and temporary jobs throughout New England, aligning-well with Mascoma Bank’s B-Corp mission of doing good, as much as earning a profit.
“In accordance with federal law and the U.S. Department of the Treasury policy, this institution is prohibited from discriminating on the basis of race, color, national origin, sex, age or disability. To file a complaint of discrimination, write to Department of the Treasury, Office of Civil Rights and Diversity, 1500 Pennsylvania Ave. NW, Washington D.C., 20220 or call (202) 622-1160.”