resources for nonprofits and local governments to foster their understanding of the foreclosure and reo process and to help them develop specific strategies for the sale and effective use of reo in individual markets. the ultimate goal is to return reo to productive use, for example, to provide affordable rental housing or to supply new, sustainable homeownership opportunities in low - and moderate - income communities. research and analysis will play a key role in the success of local efforts. the federal reserve system is committed to providing neighborworks and others with timely reports and information so that foreclosure - mitigation resources can be effectively targeted to local areas. for example, the federal reserve may map mortgage - delinquency rates in specific metropolitan areas, to help local governments and nonprofits develop and prioritize their strategies for stabilizing communities. as demonstrated by our partnership with neighborworks america, the federal reserve system is committed to supporting sustainable, healthy communities. bringing nonprofits, local government representatives, and financial market participants together to share " collateral damage : the municipal impact of today's mortgage foreclosure boom, " minneapolis, homeownership preservation foundation. william c. apgar and duda, mark, " collateral damage : the municipal impact of today's mortgage foreclosure boom, " minneapolis, homeownership preservation foundation. chris warren ( march 5, 2008 ), " presentation to consumer advisory council of the federal reserve board, " city of cleveland. information and develop best practices for addressing the negative impacts of foreclosures on neighborhoods is the next phase of this commitment. leveraging the system's unique structure of banks and branches and neighborworks america's broad local presence will allow us to make our research and outreach broadly available to nonprofits and community leaders. conclusion as the federal reserve builds on its consumer protection efforts in order to mitigate foreclosures for current homeowners, we are also concerned about the impact current mortgage market problems are having on individual communities. the challenges of rising foreclosures are significant at the state and local level and the nature of the problem varies by location. through its structure, the federal reserve system is attuned to local issues, which both informs its national policymaking and allows for responses tailored to local conditions. we are committed to continuing to strengthen our relationships with local stakeholders. our partnership with neighborworks america is an important part of that commitment. a unified effort is essential

if it is purchased, developed, rehabilitated, or preserved in conjunction with a federal, state, local, or tribal government affordable housing program or subsidy, with the bona fide intent of providing affordable housing. this definition is intended to capture a wide variety of subsidies, including tax credit programs ( such as the low - income housing tax credit ), federal government direct - 8subsidies, and state and local government direct subsidies for the production or preservation of affordable housing. these programs could be for rental housing or homeownership. the suggested language is also intended to capture programs that do not provide monetary subsidies, but that have the express intent of producing or preserving affordable housing, such as a loan in support of a land bank program. in addition, many stakeholders have noted the importance of preserving unsubsidized housing that is affordable to lmi households and ensuring units retain their affordability in gentrifying areas. in response to these concerns, the anpr seeks to clarify the criteria under which banks can receive cra consideration for investing in unsubsidized, or naturally - occurring, affordable housing. we are also considering other options to ensure that housing - related community development financing activities maintain long - term affordability, limit displacement, and encourage affordable housing located in all communities. as experts in this field, we look forward to receiving your feedback on what specific data sources and criteria we should consider to promote the preservation of naturally - occurring, affordable housing. fifth, the anpr seeks feedback on the appropriate cra treatment of mortgagebacked securities ( mbs ) that are backed by loans that finance subsidized multifamily rental housing, loans for mixed - income housing that includes affordable housing for lmi families, or loans to lmi borrowers. while issuance of qualifying mbs can improve liquidity, and thereby increase capacity for lenders that make home mortgage loans to lmi borrowers, some stakeholders have expressed concern that mbs purchases may be undertaken in lieu of other more impactful community development financing activities that may require greater effort. - 9finally, the anpr seeks feedback on extending to cdfis the status that is extended to minority depository institutions, women - owned financial institutions, and low - income credit unions. such an approach would effectively give banks cra consideration for loans, investments, or services in conjunction with a cdfi anywhere in the country. additionally, the anpr discusses granting automatic cra community development consideration