HI HB2387

Adds "community development entity" definition aligned with federal Internal Revenue Code section 45D(c)(1) to enable financing through new markets tax credit structures.

Expands the department's powers to provide loans, grants, guarantees, and credit enhancements for community-based economic development activities, including loans to capitalize community development entities.

Increases maximum outstanding balance limit per applicant from $250,000 to $5,000,000 for all loans, guarantees, and credit enhancements issued under the chapter.

Establishes interest rates for guarantees and credit enhancements at no more than the market rate for similar instruments.

Authorizes loans to entities that capitalize community development entities, which then use proceeds to make loans to borrowers.