Community Foundations of the Hudson Valley Launches Pilot Bridge Loan Initiative to Strengthen Regional Nonprofits

The Community Foundations of the Hudson Valley (CFHV) today announced the launch of the Local Impact Fund for Tomorrow (LIFT). LIFT, a new local impact platform, is designed to strengthen the region’s nonprofit and community development ecosystem, beginning with a pilot low-interest bridge loan initiative serving nonprofits in Dutchess, Ulster and Putnam Counties.

The LIFT bridge loan pilot is designed to address structural challenges by providing short-term, affordable loans tied to documented grants or contracts. Nonprofits often operate on reimbursement-based government contracts or delayed grant payments. While funding may be contractually committed, organizations must frequently cover expenses weeks or months before funds are received. These timing gaps can delay projects, strain operations, and limit impact. LIFT loans of up to $50,000 will help eligible nonprofits move projects forward, maintain continuity of services, and stabilize cash flow while awaiting committed funding.

“Nonprofits are essential to the health and economic vitality of the Hudson Valley,” said Laura Washington, President & CEO of CFHV. “Through LIFT, we’re putting charitable dollars to work in a practical way — helping organizations bridge short-term funding gaps so important projects don’t stall. And because these loans are repaid and reinvested, the same dollars can support multiple nonprofits over time.” 

“Community foundations were created to invest in the places we call home,” said Robert J. Cotter, Chair of the Board of Trustees. “This bridge-loan program is a natural extension of our original mission that started us in 1969 as The Area Fund.  By putting charitable capital to work locally, we can help keep important projects moving and strengthen the organizations that make the Hudson Valley a vibrant and resilient region.”

At launch, CFHV has committed $250,000 from its Trustees’ Endowment to capitalize the pilot, joined by early fundholder support and the bank’s participation. As loans are repaid, funds will be recycled to support additional nonprofits, multiplying the community impact of the initial investment.

“Launching this program required careful planning, thoughtful risk assessment, and the right partners,” said Frances Barney Knutsen, CFA, vice chair of CFHV’s Board of Trustees and chair of the LIFT Committee, who brings more than 30 years of experience in strategic development and investment analysis. “This pilot gives us a strong foundation for a robust and responsible impact investing platform — one that will allow CFHV to support high-impact projects while maintaining the financial stewardship our donors expect.”

Loans will be made by CFHV and originated and serviced by Ulster Savings Bank, which may purchase a participating interest in each loan and will manage loan administration. This partnership brings strong underwriting standards, financial expertise, and accountability to the program.

“Ulster Savings Bank is proud to partner with CFHV on this important initiative,” said Bill Calderara, president & CEO of Ulster Savings Bank. “By combining philanthropic leadership with community banking expertise, we can help ensure local nonprofits have the tools they need to continue serving our region.”

LIFT is designed to evolve to meet future community needs. While the pilot focuses on bridge lending, CFHV anticipates expanding the LIFT platform in the future to include additional local impact tools that complement traditional grantmaking.

For more information about LIFT or to learn how to participate, visit CommunityFoundationsHV.org.

About The Community Foundations of the Hudson Valley 
Community Foundations of the Hudson Valley (CFHV) is a trusted partner in philanthropy, empowering individuals, families, businesses, and organizations to establish charitable funds that address the needs of Dutchess, Putnam, and Ulster counties. CFHV offers expert planning that aligns charitable giving with both personal priorities and community needs. Established in 1969 as the Area Fund, CFHV has grown to manage over $140 million in assets and administers nearly 600 charitable funds, distributing over $17 million in local grants and scholarships in 2025 alone. As a tax-exempt organization under Internal Revenue Code Section 501(c)(3), contributions to CFHV are tax-deductible within IRS guidelines. 

Learn more at CommunityFoundationsHV.org, and by visiting the organization on Facebook, Instagram, and LinkedIn.