"At its core, the CRA is a civil rights bill."
-- U.S. Congressman Gregory Meeks
The Community Reinvestment Act (CRA) – the nation’s anti-redlining law – is under attack!
The Trump Administration is proposing to weaken important CRA rules, which will result in fewer first time home buyers, less ability for small businesses to grow and hire locally, a reduction in the development and preservation of critically needed affordable housing, and decreased consumer access to bank branches and affordable banking products; all while making it easier for Big Banks to meet their reinvestment obligations, and leaving low income communities and communities of color vulnerable to gentrification and displacement pressures.
CRA is a landmark civil rights law passed in 1977 to end discrimination that was once common in America’s banking and housing markets. CRC leads campaigns, community coalitions, advocacy with federal policy makers and negotiations with lenders to fulfill their obligations under the law. In the last few years ago, we have entered into Community Benefits Agreements with banks that total more than 50 billion dollars in local reinvestment for California communities.
Below you’ll find resources and news items on how we are resisting the gutting of the CRA. We are in this together. #TreasureCRA
Top Banking Regulator Joseph Otting to Resign Leaving Redlining Legacy in CRA Final Rule
The Office of the Comptroller of the Currency finalized problematic changes to the Community Reinvestment Act (CRA), a decades-old civil rights law, just five weeks after receiving more than 7,000 public comments on its proposal. Community groups fiercely opposed the proposed modifications, providing analysis that showed how the revisions would lead to a return to redlining. Over one hundred California community groups called on Comptroller Joseph Otting to halt the rulemaking process during the national state of emergency, urging that the full force of the government instead be used for pandemic relief for low-income communities and communities of color.
Waters and Meeks Introduce Congressional Review Act Resolution to Reverse Harmful Rule to Weaken the Community Reinvestment Act
Congresswoman Maxine Waters (D-CA), Chairwoman of the House Financial Services Committee, and Congressman Gregory Meeks (D-NY), Chair of the Subcommittee on Consumer Protection and Financial Institutions, introduced a Congressional Review Act resolution to reverse the harmful Community Reinvestment Act (CRA) rule recently finalized by the Office of the Comptroller of the Currency. Chairwoman Waters made the following statement: read in full here…
"But we know that when communities organize we win,
and organize we did."
“When asked by Congress, Mr. Otting said that he would not extend the comment period on his proposed CRA rule that threatens to dismantle this important civil rights law. But we know that when communities organize we win, and organize we did. Communities across the country pushed for more time despite Mr. Otting’s intransigence. Today, this is a big win, and is a direct result of intense pressure from our members, allies and community groups nationally, as well as Congressional representatives who recognized that more time is needed to review a proposal that will have profound impacts on communities of color. Now we move on, to continuing to push back against this proposal that threatens to exacerbate banking discrimination and redlining.” – Paulina Gonzalez-Brito
CRC Testifies before U.S. House on CRA
The Community Reinvestment Act: Reviewing Who Wins and Who Loses with Comptroller Ottings Proposal. January 14, 2020.
Paulina Gonzalez-Brito, Executive Director of the California Reinvestment Coalition, recently testified before the U.S. House Financial Services Subcommittee on Consumer Protection and Financial Institutions. Please be sure to check out her written testimony here, and her oral testimony is available here. To watch the webcast of the full hearing click here.
Fake It Till They Make It: How Bad Actors Use Astroturfing to Manipulate Regulators, Disenfranchise Consumers and Subvert the Rulemaking Process. February 6, 2020.
Paulina Gonzalez-Brito, Executive Director of the California Reinvestment Coalition, testified before the U.S. House Financial Services Subcommittee on Oversight and Investigations. Please be sure to check out her written testimony here, and her oral testimony is available here. To watch the webcast of the full hearing click here.
Video by digital media outlet NowThis of Paulina actively defend CRA.
CRC, Defending the Community Reinvestment Act
January 28, 2020
You can watch the presentation in its entirety on YouTube, or download the slide presentation here.
Next City, Unpacking the Proposed Changes to the Community Reinvestment Act
January 29, 2020
Visit Next City’s website to watch their webinar.
CRA In The News
Bank Regulations Can Be Tools of Oppression, Too
Where OCC bent and where it held firm in final CRA rule (paywall)
Community groups plan to sue OCC over CRA rule (paywall)
CRA reform amid coronavirus would fuel discriminatory lending
Comments on Proposed CRA Rule: Pause and Go Back to Drawing Board
New Fed Data Increases Democrats’ Community Investment Concerns (paywall)
FDIC and OCC Announce 30-day Extension of Comment Period for Proposed Changes to Community Reinvestment Act Rules
Strengthening the Community Reinvestment Act by Staying True to Its Core Purpose, Governor Lael Brainard
Waters Vows Subpoena on OCC Community Reinvestment Act Proposal
New FDIC, OCC Proposal Puts Small Businesses in the Path of Loan Sharks
Could Lack of Impact Assessment in OCC and FDIC Proposal Break CRA?
Will softer Community Reinvestment Act regulations harm communities of color?
Community Leaders Speak Up Against Proposed Changes to CRA
Myths and Facts: A review of Otting testimony on proposed changes to the Community Reinvestment Act
‘You will work with no one’: Waters slams Otting over anti-redlining law
OCC’s Otting, House Democrats spar over CRA reform (paywall)
Trump’s deregulation push takes a new aim. A Fed board member is pushing back.
3 questions as OCC chief gets set to defend CRA plan in House (paywall)
Proposed CRA Regulations Greeted with Great Concern: Aggregate Balance Sheet Ratio Could Overwhelm Other Changes
Brown Condemns Otting For Rushing Flawed Final CRA Rule As He Plans Agency Exit
Trump Administration Financial Regulator Lowers the Bar for Banks to Meet Community Reinvestment Requirements (pdf)
Agencies urged to pause CRA reform as banks manage pandemic response
Pulling the Rug From Under Community Development?
Reduce lending in low-income neighborhoods? Incredibly, the government has a plan that could help banks do that
Bank-friendly regulator troubles lenders with redlining law rewrite
Otting’s Approach to CRA May Not Be in the Best Interests of His ‘Customers’
Proposed CRA Regulations Prompt Concerns for Future of Affordable Housing, Community Development Investment and Lending
Community Advocates Break Down Proposed Changes to Community Reinvestment Act Regs
By staying on sidelines, the Fed is protecting CRA
What’s the Fed’s next move on CRA reform? (paywall)
Regulators’ powerful incentive to fast-track CRA reform (paywall)
Regulators aren’t only ones at odds over CRA reform (paywall)
Reveal Submits Testimony to Congress
A Tale of Two Community Reinvestment Act Proposals
Don’t allow historic anti-redlining law to be weakened
Community Advocates Tell Bank Regulators to Put People Over Profits
Protecting the Community Reinvestment Act Is an Investment in Economic Justice
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