New Report: Access to Healthy Food & Why It Matters

PolicyLink and the Food Trust have released Access to Healthy Food and Why It Matters: A Review of the Research - a report detailing the latest research about how access to healthy foods has improved in recent years, as well as the impact that limited access continues to have for both individuals and communities throughout the nation.

The report highlights three primary findings:

• Accessing food remains a significant challenge for many families, particularly those living in low-income neighborhood, communities of color and rural areas. The report suggests that an estimated 25 to 30 million Americans – roughly 9 percent of the population – live in communities with limited or no access to healthy food options. In New York City, for example, one-third of predominantly black census tracts lack walking or subway access to healthy food retailers.

• Living closer to healthy food retail is among the factors associated with better eating habits and decreased risk for obesity and diet-related diseases. The lack of access to healthy foods – combined with other obstacles, such as limited transportation – pose significant challenges for families and can lead to several negative outcomes, including poor health. According to the report, nearly half of black and Hispanic children are overweight or obese. Ensuring that families have access to healthy food options is essential to creating communities that promote healthy lifestyles.

• Healthy food retail stimulates economic activity. Beyond ensuring that families have access to healthy food options, food retailers can have a major impact on the local economy. According to the report, it is estimated that 24 new jobs are created for every 10,000 square feet of retail space. Thus, new retail opportunities in low-income communities and communities of color can be a critical piece of a neighborhood's revitalization strategy. In addition, government food benefits, such as the Supplemental Nutrition Assistance Program (SNAP), provide a further economic stimulus when spent at local retailers. It is estimated, for example, that ever $5 in new SNAP benefits generates $9 in local spending at SNAP-accepting retail outlets.

Though there has been increased attention to the challenge of healthy food access in recent years, ensuring that communities have access to healthy food options remains a great challenge. The implementation of federal programs, such as the Healthy Food Financing Initiative, has stimulated both interest and action in communities throughout the country. However, increasing access to healthy foods remains a challenge that all communities – particularly those that are low-income – should continue to address.

Want to learn more? Check out the resources blow.

• Check out the Center for the Study of Social Policy’s brief – Aligning Resources and Results: How Communities and Policymakers Collaborated to Create a National Program – to learn more about the development of the Healthy Food Financing Initiative.

• Check out the Investing in Community Change blog’s Healthy Food Access label (located on the right sidebar) to learn more about healthy food access, including reports, tools and funding opportunities.

• Want to know where areas with limited access to healthy foods are located? Check out the USDA’s Food Access Research Map.

Funding Available for Community Development Financial Institutions

Economically distressed communities in the United States often lack institutions that offer residents and business owners access to affordable and responsible financial products and services. Community Development Financial Institutions (CDFIs) help fill this need by providing loans, investments, technical assistance and other financial services to under-served populations and communities.

The Community Development Financial Institutions Fund in the United States Treasury Department supports CDFIs through a range of programs, including a certification process, monetary awards, technical assistance and capacity building opportunities.

Last week, the CDFI Fund announced the availability of funding for the following programs:

• $144 million for CDFI Program awards; 
• $35 million for Healthy Food Financing Initiative Financial Assistance awards; 
• $12 million for the Native American CDFI Assistance (NACA) Program awards. 

The proposed funding is still subject to Congressional appropriations, meaning the total amount of funding may decrease.

The CDFI Program: Financial Assistance (FA) & Technical Assistance (TA) Awards

• TA awards of up to $100,000 are available to certified CDFIs, as well as organizations working toward CDFI certification, to build their capacity to better address the needs of their target markets, expand into new investment areas or targeted population and/or become certified CDFIs. Awards may be used for diverse purposes, including “to purchase equipment, materials, or supplies; for consulting or contracting services; to pay the salaries and benefits of certain personnel; and/or to train staff or board members.” While both certified and non-certified CDFIs are eligible to apply, non-certified organizations must be able to become certified within two years of receiving a TA award.

• FA awards of up to $2 million are available to certified CDFIs for financing capital, loan loss reserves, capital reserves, or operations. FA awards are made in the form of equity investments, loans, deposits, or grants and must be matched dollar-for-dollar with non-federal funds of the same type as the award itself. To be eligible for a FA award, CDFIs must be certified or submit a separate certification application. Applicants must have developed a comprehensive plan for: deploying credit, capital and financial services to make a measurable impact on community development within their target market(s); and/or expanding into new investment areas or targeted populations.

• Those eligible for a FA award can also apply for supplemental funding through the Healthy Food Financing Initiative to expand their healthy food-focused financing activities, providing residents with improved access to nutritious food through strategies including “grocery stores, mobile food retailers, farmers markets, cooperatives, corner stores and bodegas.” 

The Native American CDFI Assistance (NACA) Program
The NACA Program supports CDFIs that primarily serve Native American, Alaska Native, and Native Hawaiian communities. Both financial and technical support are available for CDFIs “in various stages of development – from organizations in the early planning stages of creating a CDFI, to tribal entities working to certify an existing lending program, to established CDFIs in need of further assistance.”

Last year, 192 organizations received FA and TA awards totaling over $172 million through the CDFI Program, including 10 awards totaling more than $22 million through the Healthy Food Financing Initiative. Additionally, 35 organizations serving Native Communities received $12.4 million through the NACA Program.

Applications for the CDFI Program (including the Healthy Food Financing Initiative) and NACA Program applications are due on December 23, 2013 at 12:00 p.m. Eastern Time. Application materials, including pre-recorded webinars with additional guidance, are available online for the CDFI Program and NACA Program. In addition, applicants can register for live webinars or an in-person workshop to be held in Washington DC on November 14, 2013. To locate a CDFI in your state, click here.