As we approach the close of 2024, I want to personally thank you for your continued partnership with FHLBank Atlanta. It has been a year of strong financial performance, continued reliability of our liquidity mission and expanded affordable housing and community development opportunities. I’d like to share a recap of the year, highlighting our commitment to your institutions and communities.
Economic and Regulatory Environment
Amid inflation concerns and high interest rates in 2024, FHLBank Atlanta was pleased to continue serving as a stable source of liquidity for our members with advances and other flexible funding options. As members took advantage of our products and affordable housing programs, we were able to deliver strong results and dividends this year, and we will share fourth quarter results in February.
This year was also marked by significant regulatory activity. The Federal Housing Finance Agency (FHFA) began pursuing its recommendations within the System at 100 report, issued at the end of 2023. In partnership with the other FHLBanks, we provided thorough responses to the FHFA’s two requests for information and proposed rules, all in the spirit of championing positive change for the System while advocating for members’ continued, reliable access to liquidity. In addition to remaining engaged with the FHFA, FHLBank Atlanta worked closely with regional and national prudential regulators throughout the year, reinforcing our role as a stabilizing force for our members.
With a new administration beginning in January, there remains much that we do not know about the regulatory environment ahead. We plan to collaborate with the new administration and will keep you updated as we learn more about potential policy or agency staffing changes that could impact FHLBank Atlanta.
A Record Contribution to Affordable Housing
With the help of our members, developers and community housing partners, FHLBank Atlanta deployed a record $120 million in funding for affordable housing and community development this year. Especially given the housing affordability challenges across our district and nation, it was a pleasure to work with many of our members to bring impactful grant funding into your communities.
The Bank awarded $55 million through our Affordable Housing Program (AHP) General Fund, more than doubling our contribution from 2023. These grants will assist 66 affordable housing initiatives across our district, including projects to build and preserve affordable rental and owner-occupied housing. Members also leveraged our $40 million allocation to the AHP Homeownership Set-aside Program to help low- to moderate-income families and individuals purchase homes.
In addition, FHLBank Atlanta worked with members and partners to address current issues impacting the availability of affordable housing. As home prices and inflation largely outpaced incomes, we identified a need to offer downpayment assistance to a broader population of prospective homeowners, introducing the Workforce Housing Plus+ for those within 80.01% and 120% AMI. The program was so well received that we doubled the initial allocation, contributing a total of $20 million through Workforce Housing Plus+. Further, FHLBank Atlanta partnered with the Georgia Department of Community Affairs (DCA) this year, allowing eligible Georgia residents to receive funding from both our program and DCA’s, making up to $27,500 available per household for downpayment and closing costs.
We built on the success of our Heirs’ Property Prevention and Grant Initiative, introducing the 2024 Family Wealth Protection Fund. This program gave members the opportunity to partner with local organizations dedicated to helping homeowners resolve or prevent tangled title issues. A FHLBank Atlanta-sponsored survey uncovered that while 90% of homeowners expected the equity in their homes to benefit their heirs when they pass away, more than 40% did not have a will in place to protect their assets, and this problem is more pervasive among low-income homeowners. Thanks to our members and the organizations providing essential legal services, our Heirs’ Property program will help many homeowners build generational wealth for their families.
I want to thank the members who took advantage of these programs in 2024. While we are proud to provide the funding, it would not have such a significant impact without your hardworking teams who bring the programs to your communities. I encourage you to reach out to your FHLBank Atlanta relationship manager with questions about utilizing these opportunities in 2025.
Hurricane Response & Relief Efforts
As part of our mission to provide critical liquidity while also supporting homeowners and communities, FHLBank Atlanta views it as our responsibility to assist when natural disasters occur. In response to Hurricanes Helene, Debby, and Milton, which devastated parts of our region, FHLBank Atlanta donated $250,000 to American Red Cross for immediate relief and recovery efforts.
The Bank also allocated an additional $2 million to its Community Rebuild and Restore program to provide rehabilitation grants through our members to low- to moderate-income homeowners impacted by the storms.
Further, we are continuing to offer members collateral relief to ensure your organization has access to advances as you serve affected communities.
Preparing for the Year Ahead
Entering the new year, our core mission will remain unchanged. We look forward to partnering with you on your business and community goals and will keep you updated on regulatory and policy changes, including details on how the FHFA plans to move forward with the System at 100 report.
Again, thank you for your partnership and engagement this year.
From our team to yours, we wish you a wonderful holiday season.
Kirk Malmberg
President and Chief Executive Officer
FHLBank Atlanta