Working Solutions, CCCI, and Treasurer Fiona Ma Celebrate State Grant Program for CDFIs
Sacramento, CA — On March 11, California officials, state legislators, small business leaders, and community lenders gathered in a newly-opened small business on K Street—Burnside Coffee Bar—to celebrate the successes of the California Investment & Innovation Program (Cal IIP), a first-of-its-kind statewide fund for Community Development Financial Institutions (CDFIs) which are certified by the U.S. Department of the Treasury to provide financing for small businesses, affordable housing, and community facilities that support economic opportunity for low-income communities.
The event, which was hosted by California Coalition for Community Investment (CCCI) and Working Solutions CDFI in partnership with the Office of the State Treasurer, highlighted Cal IIP's crucial role in providing grants to California CDFIs to enhance their capacity to deliver affordable capital and technical assistance to economically marginalized communities throughout California.
"As we enter the third year of the Cal IIP program, we are hoping for continued appropriations from the state budget because we see the community impact the program has generated," said California State Treasurer Fiona Ma, whose office oversees the program. Over $30 million in grant funds have been disbursed, with awards to 75 CDFIs in the 2025 grant cycle.
California State Senator Tim Grayson, Chair of the Senate Banking and Finance Committee, also emphasized his support for future appropriations: "I am fully committed to making sure programs like the California Investment and Innovation Program continue to grow. This event is a celebration, but it is also a reminder that we have to keep investing in CDFIs and in small business support programs because small business is the backbone of the California economy."
Two local businesses and CDFI borrowers were featured during the program, showcasing real-world examples of how Cal IIP support translates into business growth and community development.
In 2023, Bob Lytle, owner of Burnside Coffee Bar (where the event was held), had the opportunity to grow his then-coffee cart business into a storefront café in Sacramento, but he had trouble finding non-predatory financing options as a start-up. “I was struggling to find a loan and my lease was contingent on that funding,” Bob shared. “I mentioned this to a customer who happened to work in the Treasurer’s office, and he was able to connect me to alternative lenders, like CDFIs.” Bob ultimately obtained funding from Working Solutions—a CDFI that provides loans of $5,000-$100,000 and specializes in start-ups and early-stage businesses—and was able to open the doors of his café this January.
Sydney Schlinger, owner of Capitol Cakery, already knew of CDFIs when she decided to start her business. As a staffer in then-Senator Kamala Harris’ Sacramento office, she had partnered with CDFIs to support small businesses during the COVID-19 pandemic. To get her own politically-themed cottage bakery off the ground, Sydney needed funding to cover the cost of the necessary permits and licenses, but she knew she might not qualify for a traditional bank loan for her pre-revenue, start-up business. “I spent years dreaming up my business, but funding was always an obstacle,” Sydney said. “Within 2 months of getting a loan from Working Solutions, I was able to open the business with all the licenses and permits in place.”
Shela Tobias-Daniel, Executive Director of the California Pollution Control Financing Authority (CPCFA), highlighted the practical impact of the program: "Today, we are seeing the ripple effects of how our programs work in Sacramento and Yolo counties, and we have CDFIs serving every county in California. We are hoping for continued appropriations so we can continue to be a part of great success stories like those shared here today.”
Tara Lynn Gray, Director of the California Office of the Small Business Advocate (CalOSBA), closed out the program by discussing how the Cal IIP program aligns with broader state initiatives: “It takes an ecosystem to build and grow a small business, and I am proud to be partnered with CDFIs and the State Treasurer’s Office in California’s ecosystem of small business support.
The California Coalition for Community Investment (CCCI) is a statewide coalition dedicated to supporting the work of Community Development Financial Institutions (CDFIs) across California. As institutions that provide credit and financial services to under-served markets and populations, CDFIs focus on affordable housing, economic opportunity and financial equality. CCCI brings together diverse leadership to ensure California communities are resilient against crisis, are healthy and housed, and have access to economic opportunities.
Working Solutions CDFI is the First to Believe in Small Business. As a nonprofit Community Development Financial Institution (CDFI), Working Solutions increases economic opportunity in California by providing small-dollar loans and grants and free consulting support to start-up and early-stage businesses, with a focus on systemically underfinanced communities. To date, Working Solutions has deployed nearly $60 million in capital and provided over 50,000 free consulting hours to 3,000 small businesses across California.