Trump's Funding Cuts Will Devastate Albuquerque's Small Businesses and Working Families
The Trump administration’s latest executive order slashing funding to key federal agencies is a direct attack on Albuquerque’s small businesses, community development efforts, and working families. The cuts eliminate critical support from agencies like the Minority Business Development Agency (MBDA) and the Community Development Financial Institutions (CDFI) Fund, which have played an essential role in economic growth and stability in New Mexico.
In fact, from 2021 - 2024, the New Mexico MBDA has served 415 Minority Businesses, generating $230.2 million in gross revenue while creating and retaining 7,427 jobs.
"These cuts are a direct hit to the hardworking small businesses and families in Albuquerque," said Mayor Tim Keller. "Programs funded by the MBDA and CDFI have been instrumental in leveling the playing field for entrepreneurs, creating jobs, and revitalizing our communities. Stripping away these resources is an attack on the future of our city.”
“These cuts will have devastating effects on the small businesses and entrepreneurs who rely on the New Mexico MBDA for technical assistance, funding opportunities, and business development support,” said Max Gruner, Economic Development Director. “This is not just about agency budgets, it’s about jobs, economic opportunity, and ensuring all communities in Albuquerque have the resources they need to succeed. And most importantly, it is about real people, Burquenos, our neighbors and family members, who depend on these resources to succeed.”
There have been over $210 million in CDFI investments in New Mexico since 2018.The CDFI Fund, which operates through the U.S. Department of the Treasury, has been a crucial source of capital for organizations like the New Mexico Community Development Loan Fund, Homewise, First Financial Credit Union, the Ventana Fund, DreamSpring, and Rio Grande Credit Union—all of which re-lend to local businesses and support high-impact projects. In 2024 alone, CDFI funding helped finance projects at the Indian Pueblo Cultural Center, Gilbert Sena Charter School, and the Imperial Inn Motel renovation, strengthening Albuquerque’s economic landscape and cultural heritage.
Local leaders and business organizations, including DreamSpring, WESST, Nusenda Credit Union, and the New Mexico Community Development Loan Fund, are joining together to condemn these reckless funding cuts. The City of Albuquerque stands firmly in support of MBDA and CDFI programs and will continue to advocate for resources that help New Mexico’s businesses and communities thrive.
“Small businesses are the engine of thriving communities, and the CDFI Fund and MBDA help power entrepreneurship through the flow of critical financial and social capital,” said Anne Haines, President/CEO of DreamSpring. “Alongside community lenders like DreamSpring, their partnership is vital to small business owners accessing the capital and resources they need to start, grow, and succeed — transforming dreams into lasting economic impact.”
“WESST is deeply alarmed by the proposed cuts to MBDA and CDFI funding as well as other recent federal actions that have effectively compromised our collective ability to render essential services to members of our communities. These are vital programs that support women- and minority-owned small businesses and have historically received strong bipartisan support because of their proven impact. Given that small businesses constitute 99% of New Mexico's local economy, these proposed cuts will undoubtedly threaten the stability and growth of business that drive our economy for our entire state,” said Lindsey Kay, President and CEO of Women's Economic Self Sufficiency Team (WESST).
“Nusenda Credit Union stands with our fellow CDFIs in urging the Treasury to protect the CDFI Fund,” said Sara Keller, Chief Community Engagement Officer at Nusenda Credit Union. “These investments are essential to expanding economic opportunity, supporting small businesses, and strengthening communities.”
“Being a long-time certified CDFI has set the bar for operational excellence in the community development space for the New Mexico Community Development Loan Fund,” said George Kenefic, Director of Enterprise Empowerment at New Mexico Community Development Loan Fund. “Maintaining the certification throughout all these years has afforded access to direct funding, while also providing credentials to leverage additional non-government resources, all to provide service to underserved entrepreneurs and their communities. Eliminating the CDFI Fund would be devastating, it would have a chilling effect on the development of economically vital communities. Certified CDFIs have proven efficient and cost-effective delivery of services to a space not served by other entities, it would be short-sighted to eliminate an agency that is run professionally and delivers great value to the greater community.”