San Bernardino County makes significant investment in local nonprofits through revolving loan fund

Baca, Jr., Decker, and Rowe pose in the Government Center’s Covington Chambers, standing in front of the county seal.

Vice Chair and Fifth District Supervisor Joe Baca, Jr., Inland Empire Community Foundation CEO and President Michelle Decker, and Chairman and Third District Supervisor Dawn Rowe.

Nonprofit organizations across San Bernardino County will have access to a vital new financing opportunity through a $3 million revolving loan fund. Established through a county investment to the Inland Empire Community Foundation (IECF), the fund will provide flexible, affordable loans to local nonprofits, addressing financial challenges these organizations often face when traditional funding is difficult to secure.

Initially funded by a one-time investment from the county, the revolving loan fund will be managed by IECF. The fund will begin with $2.5 million allocated for loan capitalization and an additional $500,000 designated to cover startup and administrative costs during the fund’s first two years. After this initial phase, interest earnings from the initial investment and loan repayments will replenish and sustain the fund, ensuring it remains a lasting resource for local nonprofits.

“The revolving loan fund represents an exciting opportunity to empower local nonprofits and significantly enhance their ability to serve our communities,” said Board of Supervisors Chairman and Third District Supervisor Dawn Rowe. “Because these funds revolve back into the program, we can continually reinvest in even more organizations, magnifying the long-term positive impacts across our county.”

Nonprofits often face difficulty obtaining timely funding due to delays in reimbursement from state or federal grants, complicating essential activities like facility upgrades, equipment purchases, or the hiring of critical personnel. These revolving loan funds can enable nonprofits to rapidly access larger state and federal grants by providing the upfront capital needed to meet matching-fund requirements or undertake necessary capacity-building projects. By serving as a perpetual resource, the fund allows nonprofits’ loan repayments to create new lending opportunities, allowing for continuous growth and resilience in the nonprofit sector.

“By directly investing in our nonprofit community, we’re ensuring critical services reach residents when and where they’re most needed,” Board of Supervisors Vice Chair and Fifth District Supervisor Joe Baca, Jr. “These loans will allow organizations to expand and improve services, creating stronger communities throughout San Bernardino County.”

Loans will be awarded to nonprofit applicants based on thorough assessments of operational strength, financial stability, and repayment capacity, prioritizing organizations that significantly improve service provision and address pressing community challenges, particularly in underserved and low-income areas.

“We are delighted and grateful that the county has approved this investment for our nonprofits,” said Inland Empire Community Foundation CEO and President Michelle Decker. “A revolving loan fund for working capital to help nonprofits grow is an innovative idea and new for the Inland Empire, so the board has done something special and we look forward to partnering with county to help build nonprofit capacity to meet more needs of county residents.”

Priority will be given to local nonprofits providing services to vulnerable populations, such as seniors, children ages 0-5, foster children and youth, individuals experiencing homelessness, and residents of low-income communities. These loans are intended to directly benefit the county’s most underserved residents by expanding nonprofit capacity and ensuring critical services are delivered where they are needed most. Technical assistance will also be provided to nonprofit applicants and loan borrowers to maximize successful outcomes.

IECF will actively market the fund and attract further private investment, effectively leveraging the county’s initial investment to create an even more robust resource for local nonprofits.

IECF, founded in 1941, is the oldest and one of the most trusted philanthropic organizations serving Riverside and San Bernardino counties.

Additional County Update News – May 1, 2025