URBAN ECONOMIC POLICY

TRANSPORTATION AND COMMUNICATIONS

JOBS, EDUCATION
AND THE WORKFORCE


INTERNATIONAL AFFAIRS

HEALTH AND
HUMAN SERVICES

ENERGY AND ENVIRONMENT

CRIMINAL AND SOCIAL JUSTICE

COMMUNITY DEVELOPMENT AND HOUSING
Preserving Section 8 Housing
Celebrating the 25th Anniversary of the
Community Development
Block Grant (CDBG) Program

Community
Reinvestment Act (CRA)
The Shelter Plus Care Program
Section 202/811 Gap Funding
Federal Home Loan
Banks

Sunset of Hope VI Program
Housing for the Elderly
Celebrating Homeownership Week
The Historic Homeownership Assistance Act
Public Insurance
Funding for
Empowerment Zones and Strategic Planning
Communities

Housing and Community Development Committee Resolution on the President's FY2000 Budget for the Department of Housing and Urban Development

ARTS, CULTURE AND RECREATION

MISCELLANEOUS

USCM HOME

RESOLUTIONS INDEX

COMMUNITY DEVELOPMENT AND HOUSING

 COMMUNITY REINVESTMENT ACT (CRA)

WHEREAS, the Community Reinvestment Act (CRA) has played a critical role in encouraging federally supported insured financial institutions to invest in our nation’s cities; and

WHEREAS, CRA has been a key component in the revival of urban areas and their surrounding regions, creating new businesses, new jobs and new homeowners; and

WHEREAS, CRA has helped to spur bank and thrift investment in multifamily rental housing development and rehabilitation, small businesses expansion, and community economic development; and

WHEREAS, CRA is a crucial complement to FHA Insurance, the HOME program, Community Development Block Grants, and the low-income housing tax credit, programs which have built or financed the purchase of millions of units of affordable rental and ownership homes; and

WHEREAS, the Senate has passed S.900, the Financial Modernization Act of 1999 that would dramatically weaken the CRA and have dire consequences for the nation’s cities; and

WHEREAS, the Senate bill fails to require banks seeking to affiliate with securities and insurance firms have a satisfactory CRA rating and would permit banks to ignore the credit needs of their communities; and

WHEREAS, the Senate bill also provides a "safe harbor" from public comment on CRA performance to banks with a "satisfactory" or better CRA rating; and

WHEREAS, the Senate bill exempts small banks in rural areas (less than $100 million in assets) from CRA obligations; and

WHEREAS, the House is also considering a bill H.R.10, the Financial Services Act of 1999, that would also weaken CRA; and

WHEREAS, the House bill does not require securities companies, insurance companies, real estate companies and commercial and industrial affiliates engaging in lending or offering banking products to meet the credit, investment and consumer needs of the local communities they serve,

NOW, THEREFORE, BE IT RESOLVED, that The U.S. Conference of Mayors opposes both S.900, the Financial Modernization Act of 1999, and H.R.10, the Financial Services Act of 1999, unless CRA is preserved and protected.

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