April 2019

Report on SBLF Participants’ 

Small Business Lending Growth

Submitted to Congress pursuant to Section 4106(3) of

the Small Business Jobs Act of 2010
QUALIFIED SMALL BUSINESS LOAN GROWTH BY ALL PARTICIPANTS, CURRENT AND HISTORICAL

HIGHLIGHTS 

• As of Q4 2018, the total cumulative net impact on qualified small business lending over baseline reported by current and former SBLF 

participants is $19.1 billion.

• As of Q4 2018, the total cumulative net increase in qualified small business lending over baseline reported by current SBLF participants is 

$1.3 billion, which represents a decrease in lending of approximately $0.8 million quarter over quarter. 

• As of March 1, 2019, 282 institutions with aggregate investments of $3.81 billion have fully redeemed their SBLF Treasury investment and 

exited the program, and 5 institutions have partially redeemed $13.4 million (or 66 percent of their SBLF securities) while continuing to 

participate in the program.

1 Figures reflect lending conducted by redeemed participants over the course of their participation and held constant at the levels reported in the final period of their reporting 

to SBLF. When the SBLF program does not receive an updated QSBL report from an institution that has not redeemed its SBLF investment, the institution will be considered a 

former participant for the purposes of reporting lending growth. The institution’s lending growth will be held constant and carried forward as of the final period of their QSBL 

reporting to the SBLF program. Two institutions, with unredeemed SBLF investments totaling $44.7 million, did not report QSBL to the SBLF program in the quarter.

2 As established in the Small Business Jobs Act of 2010 (Act), the baseline for measuring the change in small business lending is the average of the amounts reported for each of 

the four calendar quarters ended June 30, 2010.

3 Due to rounding, numbers presented in this document may not add up precisely to the totals provided

Please see Appendix A for additional information regarding background and the methodology used in this report.

Q4 2011 Q4 2012 Q4 2013 Q4 2014 Q4 2015 Q4 2016 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018

Current Particpants

Cumulative Net Increase in QSBL (Baseline - Q3 2011) 2 $3.5 $3.5 $3.8 $3.6 $1.7 $0.9 $0.6 $0.6 $0.3 $0.3 $0.3

Cumulative Net Increase in QSBL (Q3 2011 - Present) $1.2 $5.2 $8.7 $11.5 $7.1 $2.4 $1.5 $1.6 $1.0 $1.1 $1.1

Total Cumulative Net Increase in QSBL $4.7 $8.8 $12.5 $15.1 $8.8 $3.2 $2.1 $2.2 $1.3 $1.3 $1.3

Former Participants

Total Cumulative Net Increase in QSBL $0.0 $0.1 -$0.2 $0.7 $9.6 $15.6 $16.8 $16.8 $17.7 $17.7 $17.7

Current and Former Participants

Total Cumulative Net Increase in QSBL $4.7 $8.8 $12.4 $15.8 $18.4 $18.8 $18.9 $19.1 $19.0 $19.1 $19.1

Breakout of Qualified Small Business Lending (QSBL) Growth at SBLF Participants, Current and Former1 ($ Billions)3
APPENDIX A: BACKGROUND AND REPORT METHODOLOGY

BACKGROUND

This report is submitted to Congress pursuant to Section 4106(3) of the Act, which directs the Secretary of the 

Treasury to provide a quarterly written report on how institutions participating in the SBLF program have used the 

funds they received under the program. 

Treasury invested more than $4.0 billion in 332 institutions through the SBLF program. These amounts include 

investments of $3.9 billion in 281 community banks and $104 million in 51 CDLFs. Collectively, these institutions 

operate in more than 3,000 locations across 47 states and the District of Columbia. This report includes information 

on the 50 institutions that continued to participate in the program as of December 31, 2018 and submitted quarterly 

supplemental reports for the quarter, including 7 community banks and 43 CDLFs.

1

The SBLF program was designed using an incentive mechanism to encourage participant lending to small businesses. 

• For community banks, the SBLF program was structured to encourage small business lending through a 

dividend or interest rate incentive structure. The initial rate payable on SBLF capital was, at most, 5 percent, 

and the rate fell to 1 percent if a bank’s small business lending increased by 10 percent or more.2 If a bank had

not repaid the SBLF funding after four and a half years, the rate increased to 9 percent.

• For CDLFs, the SBLF program was structured to encourage small business lending through access to low‐cost 

capital at a 2 percent interest rate. At the eight year anniversary, CDLFs have the option to extend the maturity 

of the investment for two years at a 9 percent interest rate. 

The additional lending capacity provided by SBLF capital – coupled with the program’s dividend or interest rate 

incentives in the case of community banks – encouraged institutions to increase small business lending. 

Because of the program’s structure, increases in small business lending cannot be directly linked to the use of SBLF 

funds. However, the program’s impact can be observed indirectly.

REPORT METHODOLOGY

This report provides information on changes in small business lending by SBLF participants as of December 31, 2018, 

relative to baseline levels. For each institution analyzed for this report, changes in lending are measured as the dollar 

value or percentage change, as noted, in lending between December 31, 2018 and the baseline period, unless 

otherwise specified. 

 1 For accounting purposes, an SBLF investment remains outstanding and payable until it has been written-off. One institution, with an

aggregate SBLF investment of $37.9 million, remains in bankruptcy, after its bank subsidiary was closed by its state regulator and placed into 

FDIC receivership. One institution, with an aggregate SBLF investment of $6.7 million, discontinued operations after its sole bank subsidiary was 

seized and sold in auction following a default on a loan secured by the stock of the subsidiary.

2 The initial interest rate paid by S corporations and mutual institutions was, at most, 7.7 percent. If these institutions increased their small 

business lending by 10 percent or more, then the rate fell to as low as 1.5 percent. These interest rates equate to after‐tax effective rates 

(assuming a 35% tax rate) equivalent to the dividend rate paid by C corporation participants.
Measurement of Small Business Lending

The Act defines “small business lending” as business loans that are (i) $10 million or less in amount to businesses with 

$50 million or less in revenue and (ii) included in one of the following categories:

• Commercial and industrial loans

• Owner-occupied nonfarm, nonresidential real estate loans (“owner-occupied CRE

• Loans to finance agricultural production and other loans to farmers (“agricultural production”)

• Loans secured by farmland (“farmland”)

The SBLF program terms provide for additional adjustments to the calculation of small business lending relating to 

net charge-offs and portions of loans guaranteed by the U.S. government or for which risk has been assumed by third

parties, as well as mergers and acquisitions and purchases of loans.

Changes in small business lending are calculated as the difference between the level of loans outstanding as of 

December 31, 2018 and the baseline amount. Treasury publishes updated information quarterly in its Report on 

SBLF Participants’ Small Business Lending Growth (previously titled the SBLF Use of Funds Report). This report 

includes restatements of prior period institution-specific information in the report appendices. These resubmissions

may yield minor differences in reporting, with each report including the most recent available data for the then

current period as well as all prior periods. Because the most recent information available for all periods is included in 

each quarterly report, Treasury does not generally revise prior period reports to reflect these resubmissions. 

Beginning in late 2015, SBLF experienced a significant increase in redemptions by bank participants, likely in 

anticipation of the Act’s step-up in interest or dividend rates in Q1 2016. Redemptions of Treasury’s investments

under the SBLF program continue to be the single largest driver of changes in total qualified small business lending. 

As institutions redeem from the SBLF program, their respective increases or decreases in lending over baseline are 

removed from total qualified small business loan growth calculations going forward. 

When a SBLF participant exits the program3

, the associated changes to qualified small business lending are removed 

from the total qualified small business growth for current participants in the quarter of redemption, as well as all

future reporting periods. When presenting changes in qualified small business lending by current and former

participants, small business lending balances by institutions that have redeemed are held constant and carried 

forward at the level reported in the final quarter prior to redemption. In certain instances where SBLF is unable to 

acquire updated QSBL reporting from a participating institution, the institution’s lending growth will be held constant 

and carried forward as of the final period of their reporting to the SBLF program. Two participants did not report 

QSBL growth to SBLF in the current period.

 3 Through redemption, bankruptcy, insolvency, asset seizure, or closure by its regulator.
APPENDIX B: CHANGES IN LENDING SINCE INITIAL SBLF INVESTMENTS

The table on this page includes the aggregate increases in qualified small business lending by participants since the initial SBLF investments.

4

 

Additionally, it shows quarter-over-quarter changes in the number of participants reporting lending in the five ranges of small business loa

growth that correspond to various dividend or interest rates payable on SBLF securities. Please see Appendix C for institution-specific reporting

of small business lending by SBLF participants.

 4 In this analysis, the period of the SBLF investment is defined as Q3 2011 and is measured as the change in lending between September 30, 2011 and the most recent reporting 

period. The first four of Treasury’s investments in SBLF participants were made in the quarter ended June 30, 2011, with all subsequent investments made in the quarter ended 

September 30, 2011. 

Q4 2011 Q4 2012 Q4 2013 Q4 2014 Q4 2015 Q4 2016 Q4 2017 Q1 2018 Q2 2018 Q3 2018 Q4 2018

Cumulative Increase in Small Business Lending ($ in Billions) $1.2 $5.2 $8.7 $11.5 $7.1 $2.4 $1.5 $1.6 $1.0 $1.1 $1.1

Change in Small Business Lending (# of Participants)

Under 2.5% or Reduced 156 65 31 16 10 6 6 6 7 7 7

2.5 to 4.9% Increase 46 17 9 6 5 2 0 0 0 0 0

5.0 to 7.4% Increase 45 17 8 6 3 0 1 1 0 0 0

7.5 to 9.9% Increase 27 20 12 4 3 2 0 1 0 0 0

10.0% or Greater Increase 58 201 238 242 141 56 49 48 47 43 43

Participant Changes in Qualified Small Business Lending Since Initial SBLF Investments (Q3 2011)
APPENDIX C: INSTITUTION-SPECIFIC REPORTING ON SMALL BUSINESS LENDING BY SBLF 

PARTICIPANTS
Institutions Participating in SBLF

Report on Information from 12/31/2018 Quarterly Supplemental Reports transmitted with April 2019 Report

Name City State Baseline Level Current Level Increase (Decrease) 

over Baseline

% Change over 

Baseline Resulting Rate

The Peoples Bank of Georgia (The Peoples Bank of Talbotton) Talbotton GA Bank 390,000 5,943,000 16,120,000 10,177,000 171.24% 9.00%

Illinois State Bancorp, Inc. Chicago IL Bank 6,684,000 60,188,000 72,287,000 12,099,000 20.10% 9.00%

MidSouth Bancorp, Inc. LaFayette LA Bank 32,000,000 403,028,000 412,363,000 9,335,000 2.32% 9.00%

Enterprise Financial Services Group, Inc. Allison Park PA Bank 5,000,000 87,306,000 87,830,000 524,000 0.60% 9.00%

Evolve Bancorp, Inc. Cordova TN Bank 1,099,000 19,101,000 192,857,000 173,756,000 909.67% 9.00%

LCA Bank Corporation Park City UT Bank 2,727,000 14,000 3,260,000 3,246,000 23185.71% 9.00%

Medallion Bank Salt Lake City UT Bank 26,303,000 233,231,000 253,525,000 20,294,000 8.70% 9.00%

Main Street Launch (OBDC Small Business Finance) Oakland CA CDLF 219,000 2,473,000 12,817,000 10,344,000 418.28% 2.00%

California Coastal Rural Development Corporation Salinas CA CDLF 870,000 9,545,000 13,535,000 3,990,000 41.80% 2.00%

Low Income Investment Fund San Francisco CA CDLF 7,490,000 26,595,000 176,362,000 149,767,000 563.14% 2.00%

Opportunity Fund Community Development San Jose CA CDLF 2,236,000 5,935,000 102,718,000 96,783,000 1630.72% 2.00%

Valley Economic Development Center, Inc. Van Nuys CA CDLF 661,000 11,450,000 35,392,000 23,942,000 209.10% 2.00%

Rural Community Assistance Corporation West Sacramento CA CDLF 4,300,000 6,104,000 10,883,000 4,779,000 78.29% 2.00%

Colorado Enterprise Fund, Inc. Denver CO CDLF 463,000 5,721,000 28,076,000 22,355,000 390.75% 2.00%

Capital for Change, Inc. (Greater New Haven Community Loan Fund) New Haven CT CDLF 525,000 4,796,000 17,181,000 12,385,000 258.24% 2.00%

Partners for the Common Good, Inc. Washington DC CDLF 1,009,000 4,888,000 8,050,000 3,162,000 64.69% 2.00%

BUILDING HOPE...A CHARTER SCHOOL FACILITIES FUND Washington DC CDLF 2,091,000 23,190,000 44,002,000 20,812,000 89.75% 2.00%

Access to Capital for Entrepreneurs, Inc. (Appalachian Community Enterp Cleveland GA CDLF 188,000 2,773,000 27,269,000 24,496,000 883.38% 2.00%

IFF Chicago IL CDLF 8,294,000 108,261,000 250,430,000 142,169,000 131.32% 2.00%

Federation of Appalachian Housing Enterprises, Inc. Berea KY CDLF 2,063,000 4,137,000 3,298,000 (839,000) -20.28% 2.00%

Community Ventures Corporation Lexington KY CDLF 1,045,000 3,451,000 16,724,000 13,273,000 384.61% 2.00%

Community Health Center Capital Fund, Inc. (Capital Link, Inc.) Boston MA CDLF 198,000 1,420,000 7,802,000 6,382,000 449.44% 2.00%

Boston Community Loan Fund, Inc. Roxbury MA CDLF 4,410,000 11,378,000 63,778,000 52,400,000 460.54% 2.00%

Enterprise Community Loan Fund, Inc. Columbia MD CDLF 8,817,000 8,849,000 76,726,000 67,877,000 767.06% 2.00%

Coastal Enterprises, Inc. Brunswick ME CDLF 2,316,000 19,487,000 49,933,000 30,446,000 156.24% 2.00%

Nonprofits Assistance Fund Minneapolis MN CDLF 686,000 6,979,000 19,307,000 12,328,000 176.64% 2.00%

Community Reinvestment Fund, Inc. Minneapolis MN CDLF 5,100,000 44,689,000 41,895,000 (2,794,000) -6.25% 2.00%

Mountain BizCapital, Inc. Asheville NC CDLF 197,000 2,190,000 9,557,000 7,367,000 336.39% 2.00%

Nebraska Enterprise Fund Oakland NE CDLF 197,000 1,454,000 9,203,000 7,749,000 532.94% 2.00%

Leviticus 25:23 Alternative Fund, Inc. Elmsford NY CDLF 750,000 2,218,000 2,921,000 703,000 31.70% 2.00%

TruFund Financial Services (Seedco Financial Services, Inc.) New York NY CDLF 2,500,000 33,651,000 20,500,000 (13,151,000) -39.08% 2.00%

Primary Care Development Corporation New York NY CDLF 4,000,000 33,280,000 12,615,000 (20,665,000) -62.09% 2.00%

Economic and Community Development Institute, Inc. Columbus OH CDLF 53,000 2,728,000 19,711,000 16,983,000 622.54% 2.00%

Citizen Potawatomi Community Development Corporation Shawnee OK CDLF 490,000 6,505,000 25,552,000 19,047,000 292.81% 2.00%

Community First Fund Lancaster PA CDLF 862,000 11,002,000 30,149,000 19,147,000 174.03% 2.00%

The Reinvestment Fund, Inc. Philadelphia PA CDLF 11,708,000 113,268,000 245,300,000 132,032,000 116.57% 2.00%

Northside Community Development Fund Pittsburgh PA CDLF 250,000 2,190,000 3,221,000 1,031,000 47.08% 2.00%

Charleston Citywide Local Development Corporation Charleston SC CDLF 1,000,000 1,799,000 6,408,000 4,609,000 256.20% 2.00%

South Carolina Community Loan Fund (Lowcountry Housing Trust, IncorpNorth Charleston SC CDLF 392,000 96,000 11,244,000 11,148,000 11612.50% 2.00%

Rural Electric Economic Development, Inc. Madison SD CDLF 1,230,000 11,116,000 20,768,000 9,652,000 86.83% 2.00%

Northeast South Dakota Economic Corporation Sisseton SD CDLF 325,000 11,758,000 14,678,000 2,920,000 24.83% 2.00%

CEN-TEX Certified Development Corporation Austin TX CDLF 489,000 3,435,000 5,438,000 2,003,000 58.31% 2.00%

Institution 

Bank or CDLF? SBLF Funding 

Outstanding

Qualified Small Business Lending as of 12/31/2018
Institutions Participating in SBLF

Report on Information from 12/31/2018 Quarterly Supplemental Reports transmitted with April 2019 Report

Name City State Baseline Level Current Level Increase (Decrease) 

over Baseline

% Change over 

Baseline Resulting Rate

Institution 

Bank or CDLF? SBLF Funding 

Outstanding

Qualified Small Business Lending as of 12/31/2018

PeopleFund Austin TX CDLF 500,000 9,900,000 15,433,000 5,533,000 55.89% 2.00%

ECDC Enterprise Development Group Arlington VA CDLF 320,000 1,402,000 5,463,000 4,061,000 289.66% 2.00%

Capital Impact Partners (NCB Capital Impact) Arlington VA CDLF 8,218,000 95,578,000 192,688,000 97,110,000 101.60% 2.00%

Vermont Community Loan Fund, Inc. Montpelier VT CDLF 1,247,000 12,787,000 18,022,000 5,235,000 40.94% 2.00%

Craft3 (ShoreBank Enterprise Group, Pacific) Ilwaco WA CDLF 1,867,000 24,108,000 99,720,000 75,612,000 313.64% 2.00%

Impact Seven, Incorporated Almena WI CDLF 4,000,000 13,344,000 24,075,000 10,731,000 80.42% 2.00%

Forward Community Investments, Inc. Madison WI CDLF 470,000 3,964,000 11,289,000 7,325,000 184.79% 2.00%

Wisconsin Women's Business Initiative Corporation Milwaukee WI CDLF 391,000 4,562,000 22,033,000 17,471,000 382.97% 2.00%