To honor her careful nurture and growth of the Genesis Community Loan Fund during her 14-year tenure as Executive Director, the Board of Directors has created the Elizabeth McPherson Permanent Capital Fund. Beth McPherson led the organization from 1993 until her retirement in June when Bill Floyd, previously Director of Housing of the Portland-based Shalom House and former Genesis Fund board member and president, joined the staff.

With $4.3 million in its lending pool, the Genesis Fund's current permanent capital - primarily derived from three large grants from the federal CDFI Fund - stands at $1 million. The remaining $3.3 million available for lending is comprised of investment loans from individuals, banks, churches and private foundations.

"The more funds permanently placed in our lending pool the greater capacity we will have to serve Maine communities most in need. With permanent funds, we are freer to be innovative and flexible with terms, rates, and other considerations than we are when making a loan from a pool of capital primarily comprised of investors' funds." said Joanne Campbell, Genesis Fund president and Senior Vice President at Camden National Corporation.

"Also, as the Elizabeth McPherson Permanent Capital Fund grows - together with our already strong pool of investor funds - we will be able to make more loans, which is what the Genesis Fund is in business to do," said Campbell. "Already in this fiscal year we've experienced an increasing number of requests and inquiries. The Genesis Fund is poised to have its biggest lending year ever."

Executive Director Bill Floyd explained, "This is a natural time for the Genesis Fund to start to focus on building permanent capital. Many community development revolving loan funds across the country of similar size and mission begin to grow significantly at this plateau. Beth led the Genesis Fund from its earliest years with such responsible care and thoughtfulness; naming the permanent capital fund after her is a fitting and lasting way to honor her remarkable achievement. With such a firm financial foundation and a rock solid reputation, the Genesis Fund is poised to continue to grow into its mission to assist Maine's communities and individuals in need."

When asked about having a fund named in her honor, Beth McPherson said, "It's wonderful to have my name associated with dollars that can be lent at a very low interest rate and repayment can be stretched out for a long period of time."

For more information about how to contribute to the Elizabeth McPherson Permanent Capital Fund, please contact Heidi Shott by email or at 207.563.6073. More information about the Fund will also be available in future editions of the e-Lending Hand and at www.genesisfund.org in coming weeks.

In mid-June members of the Chebeague Island Community Association (CICA) were in the middle of their first affordable housing venture - working to purchase a year-round home to lease to an income-eligible island family - a complex process to say the least. They were waiting for confirmation of CICA's nonprofit status, hoping for approval from the Genesis Fund for a $197,000 acquisition loan with $45,000 in grant awards to support the pending purchase. If approved, the conditions of the Islands Challenge Fund grant would require them to raise $25,000 in matching funds. Many things needed to happen by July 31 when the group's option to purchase a three-bedroom village home was up.

Exactly eight weeks later, CICA, a newly certified 501(c)(3) organization, was the recipient of a $20,000 grant from the Island Institute's Affordable Coast Fund and a $25,000 grant from the Genesis Fund-administered Islands Challenge Fund. CICA members secured a commitment of $25,000 in pledges from community residents to match grant funds and the Genesis Fund acquisition loan was approved. Suddenly the way was clear to purchase the three-bedroom, single family house in the village center.

As of August 9th, CICA, a volunteer organization formed in 2005 to work toward secession from Cumberland now focused on ensuring the viability of Chebeague as a year-round community, was the proud owner of its first property. The group, according to Beth Howe, chair of CICA's Housing Committee, is working to establish tenant-eligibility guidelines and plans to rent the home, beginning this fall, at an affordable price for two years. After two years CICA will decide whether to keep it as a rental unit or sell it to an income-eligible family.

As on many of Maine's offshore islands, Chebeague's middle-income residents are often priced out of the homebuyer's market. With the successful completion of their first project, the people of Chebeague are off to a great start to work, home by home, to fix the problem.

In August Gorham Savings Bank made a $100,000.00 investment in the Genesis Community Loan Fund to assist communities throughout Maine in developing affordable housing and economic and social opportunities that benefit some of the State's most vulnerable populations.

Gorham Savings joins eight other Maine lending institutions in supporting the work of the Genesis Fund by making low-interest investment loans that comprise the bulk of the Fund's $4.3 million lending pool.

According to Daniel Hunter, Chief Operating Officer at Gorham Savings, "An investment in the Genesis Fund helps our ability to impact communities at a local level in a way we can't do through traditional lending channels. Working with the Genesis Fund is a powerful way to make that important contribution to Maine communities."

In addition to its investment with the Genesis Fund, Gorham Savings, an independent community bank since 1868, demonstrates its commitment to housing for the elderly, low-income, disabled and disadvantaged by supporting the Maine Housing Investment Fund, the Westbrook Housing Authority, the People's Regional Opportunity Program, and Habitat for Humanity.

Welcome aboard, Gorham Savings!