Corporate Transparency Act Injunction Gives Temporary Relief from Reporting Obligations 

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December 13, 2024

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Corporate Transparency Act Injunction Gives Temporary Relief from Reporting Obligations 

 

On December 3rd, the U.S. District Court for the Eastern District of Texas issued a nationwide injunction that blocks the enforcement of the Corporate Transparency Act (CTA) (31 U.S.C. § 5336) and the Reporting Rule (31 C.F.R. 1010.380), while also halting the year-end deadline for submitting Beneficial Ownership Information reports. To understand the implications, MCCD sought general legal advice, which we are relaying as follows: 

General information: 

  • This is temporary. The injunction could move at any time, and businesses will then be back on the hook. 
  • Delay filing or voluntary file if you haven’t already filed on the FinCen website. 
  • A decision will not be made by year-end. If the law is reinstated, businesses will have a new deadline for compliance. 
  • Pay attention to the news. Follow the news and official updates on the FinCen website

Forbes also offers some recommended next steps for business:  

For businesses that have filed with FinCEN: 

  • Pause Compliance Efforts: The injunction currently halts enforcement of the CTA. While FinCEN may appeal, no immediate action is required at this stage. 
  • Monitor Legal and Administrative Developments: Stay updated on litigation outcomes and any policy shifts under the next administration. 
  • Protect Data: Ensure that any previously submitted beneficial ownership information is safeguarded against potential misuse. 

For businesses that have not filed with FinCEN: 

  • Delay Filing: The nationwide injunction means that no business is currently required to comply with the CTA, but further guidance or court decisions could reinstate the act’s enforceability. 
  • Consult Legal Counsel: Businesses should work with legal advisors to evaluate their exposure under the CTA if the injunction is lifted or enforcement resumes. 
  • Prepare for Potential Compliance: If the injunction is overturned on appeal, businesses may need to act quickly to meet reporting deadlines. Having compliance mechanisms in place will help mitigate risks. 

For a general explanation of the Corporate Transparency Act, we recommend this Forbes article as a practical guide for small businesses.   

Disclaimer: The content is provided for informational purposes only and may not reflect the most up-to-date laws in your jurisdiction. It is not intended, and should not be construed, as legal advice for any specific situation or set of circumstances. 

Ongoing Commitment to Racial Equity

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July 10, 2024

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Ongoing Commitment to Racial Equity

By: Kadra Abdi, Director of Policy & Field Building 

As we continue our journey towards advancing racial equity at MCCD and within the field, we reflect on the progress we’ve made and the path ahead. Last year, our training was on equitable leadership, laying a foundation for our understanding and commitment. This year, we’re building on that foundation, focusing on operationalizing equity and embedding our learnings into our daily work with our clients and members.

Operationalizing equity means integrating equity into every aspect of our organization, from decision-making processes to program development and implementation. It requires us to think critically about our policies, practices, and procedures to ensure they promote fairness and inclusivity for all.

One key aspect of this year’s focus is embedding equity into our work culture. This involves fostering a culture of inclusivity, where every voice is valued and heard. It means actively seeking diverse perspectives and experiences and incorporating them into our decision-making processes.

Another crucial element is embedding equity into our lending policies, programs, and practices. This requires us to assess how our programs impact different racial and ethnic groups and ensure they are equitable. It means designing programs that address the unique needs and challenges faced by historically excluded and low-wealth communities.

To support this effort, we provide ongoing training and resources for our staff, including workshops, convenings, and other learning opportunities to deepen our understanding of racial equity and its application in our work. We also partner with external organizations and experts to enhance our capacity and amplify our impact on advancing racial and economic justice.

As we embark on this next phase of our journey, we are excited about the possibilities ahead. We know that achieving racial equity requires ongoing effort and a willingness to challenge ourselves, our assumptions, and disrupt racist systems and policies. But we are confident that by working together, we can create a more just and equitable community development field.

Stay tuned for updates on our progress and ways you can get involved in our racial equity work.

Social Equity in Cannabis

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June 25, 2024

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Social Equity in Cannabis

Join us for an information session on the verification process for prospective potential social equity applicants interested in entering Minnesota’s cannabis industry this summer.

Recent updates to the state’s cannabis laws have introduced a licensing preapproval and vetted lottery process specifically designed for qualified social equity applicants.

As of June 24, applicants can initiate the verification process to confirm their eligibility for social equity status. This phase closes on July 10. Verified social equity applicants can then proceed to apply for license preapproval starting July 24 until August 12, as mandated by law. Submitted applications will undergo thorough review and vetting, with qualified applicants entered into a lottery scheduled for this fall.

Interested parties can find a detailed, step-by-step guide through the verification process on Minnesota Office of Cannabis Management (OCM)’s website. Additional resources and technical assistance will also be accessible online.

All verification and preapproval processes will be conducted through OCM’s website. For more information and to stay updated, please visit OCM’s website. Detailed eligibility requirements for social equity can be reviewed at Social Equity Qualifications.

We look forward to helping community members navigate this exciting opportunity to participate in Minnesota’s emerging cannabis market.

Information Session:

Date: July 2, 2024

Time: 5:30 PM

Where: Virtual

$3.1 Million in Racial and Economic Justice Grants Awarded

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May 15, 2024

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$3.1 Million in Racial and Economic Justice Grants Awarded

In a significant step towards fostering racial and economic equity, The Minneapolis Foundation has announced the recipients of its Racial and Economic Justice Grants naming MCCD as a recipient. 

The funding supports organizations and projects that:

  • Advance structural and systems change through policy advocacy, organizing, and movement building.
  • Invest in economic systems and practices that build wealth and stabilize communities.
  • Advance narrative strategies focused on racial and economic justice.
“For too long, traditional economic development practices have inflicted economic, social, and political harm on BIPOC and low-wealth communities. At MCCD, we see shared ownership as an approach that repairs this harm and builds community wealth.” – Elena Gaarder, CEO of MCCD

With the support of The Minneapolis Foundation and racial and economic justice at the core of our work we will continue to advance policy, create access to capital, and provide technical assistance to expand worker owned cooperative development.

Racial Equity Training

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May 1, 2024

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Racial Equity Training

Our values are not just words on paper, they are the guiding principles that shape everything we do at MCCD. One of our core values is Racial Justice and Intersectionality. We believe in an anti-racist approach to our work, making sure everyone’s identity is honored, and recognize how this lives in how we work and operate on every level.

We are putting in the work practicing our values and have started our third phase of racial equity training: Operationalizing Racial Equity. Putting our racial equity tools into practice, we ignited vulnerable and productive conversations.

Our team engaged in another racial equity training session: Racial Equity Tool & Communication. This session was an intensive work group setting that challenged our thinking and helped us see opportunities to put equity into action.

Throughout the year, our team remains committed to coming together for ongoing racial equity training, integrating these learnings into every aspect of our work.

Home and Community-Based Service Cooperatives

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February 16, 2024

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Home and Community-Based Service Cooperatives

It’s National Caregiver Day! Ever wondered what happens when caregivers come together? They develop cooperatives that are building wealth among workers and providing exceptional care for their clients!


Despite the benefits to workers, their clients, and the community, there are very few Home and Community-Based Service cooperatives in Minnesota. Our Director of Shared Ownership, Electra, has been busy expanding shared ownership opportunities to our BIPOC and underinvested communities. We are currently working with 5 worker-owned home care businesses providing financial support and technical assistance to address the unique legal, business, and organizational characteristics of cooperative and employee-owned business models!


The owners of Cardinal Comfort Care LLC embraced the worker owned model and is now thriving with a mission to create a Care Model that puts caregivers and their clients first. By offering member ownership to raise wages and offer innovative training opportunities that create competent compassionate quality care for their clients.

Shared Ownership Collaborative St. Paul

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February 13, 2024

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Shared Ownership Collaborative St. Paul

One of our guiding goals for this years legislative session is to create and expand shared ownership opportunities to support worker-cooperatives, real estate strategies, and housing cooperatives to promote wealth-building, prevent displacement, and ensure community control of assets in BIPOC and intentionally underinvested communities!


Integral to achieving this objective is our collaboration with organizations including our Shared Ownership Collaborative St Paul! This collaborative is BIPOC-led organizations working together with a shared belief that our communities should have the power, resources, and support to control and make decisions about their land, jobs, and housing. Our collaboration includes Metropolitan Consortium of Community Developers, Model Cities of St. Paul, Rondo Community Land Trust, and West Side Community Organization (WSCO)

Credit Builder Loan Program

credit builder loan program
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January 23, 2024

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Credit Builder Loan Program

A step on the path to building your credit!

We serve as a bridge to the traditional marketplace and offer a secure and low-risk credit building option that starts people on the path to building/rebuilding personal credit. This non-predatory, small dollar loan provides resources and a path forward for those looking to strengthen their credit and gain access to mainstream loan products. Qualified applicants work with a certified credit counselor at a partner organization. MCCD writes, services the loan, and reports on time payments to three credit bureaus.

Loan Details:

  • $240 loan with a 12 month repayment schedule at 0% interest
  • $20 monthly payments
  • One-time processing fee of $15 for loan generation

Contact us to learn more about MCCD’s Credit Building Loan program.

Chipo Monga
cmonga@mccdmn.org
(612) 386-2529

Giselle Mercado – 2023 ELCD Mentee

Giselle Mercado – 2023 ELCD Mentee
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January 19, 2024

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Giselle Mercado – 2023 ELCD Mentee

In the short time that I’ve lived in Minnesota and worked in economic development since completing my master’s degree in nonprofit management, I’ve been active in the lending program at the Latino Economic Development Center (LEDC). My role has encompassed working on automating processes, implementing improvements in the portfolio management system, and providing technical assistance. Additionally, I have contributed to doubling the size of the loan portfolio to $6MM. This experience has allowed me to blend the financial and social worlds and to deploy affordable capital while genuinely caring about the borrowers. I find great satisfaction in working towards increasing access to affordable capital for entrepreneurs and small businesses, as well as leveraging funds to maximize the impact in the community. 

The decision to pursue a career in the community development field stems from my desire to do more for my community. While I learned a lot when I worked for ten years in the financial and banking sector in my home country, I always yearned to make a more meaningful contribution. The community development sector, particularly Community Development Financial Institutions (CDFIs), has given me the chance to marry the financial and social aspects of what I do. It is a privilege to support entrepreneurs, to ensure they have affordable access to capital, and to genuinely care about their success. 

As a Latina immigrant, I found my experience with the ELCD mentorship program empowering. The program highlighted how the skills I developed in the financial sector play a key role in the community development field. It also addressed the responsibility I carry in serving my community. The mentorship program allowed me to recognize the impact I can make and the importance of my role in empowering and supporting BIPOC communities. I consider it a privilege to have known Elena and witnessed her deep commitment to the BIPOC community. My advice to future mentees is to embrace the opportunities this program provides and to recognize the strength and value they bring to the community development field. 

Embracing Shared Ownership

Embracing Shared Ownership
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January 9, 2024

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Embracing Shared Ownership

Embracing Shared Ownership! When Mychael and Stephanie Wright decided to retire, they chose a unique path by selling their business Golden Thyme Coffee & Cafe to Rondo Community Land Trust. Together, they crafted Golden Thyme Presents, a cooperative serving as an incubator for entrepreneurs and food vendors who are Black, Indigenous or other people of color.

“In times of crisis, but also as economies are in periods of growth, a shared ownership is a tested and proven model that can take communities further together,” -Electra Skrzydlewski, MCCD’s Director of Shared Ownership.

 

StarTribune, January 8, 2024 – You’ve built a business that’s ready to sell. Here’s how some Twin Cities entrepreneurs did it. Whether it’s an investor-backed startup looking for a substantial profit by selling the business or a person near retirement, having an exit strategy or succession plan is imperative.