News
Former President Bill Clinton joined leaders of the W.K. Kellogg Foundation and the Winthrop Rockefeller Foundation in welcoming Darrin Williams and Dr. Glendell Jones, Jr. as the new CEO and Governing Board Chair of Southern Bancorp. President Clinton's message, delivered via video from New York, described how Southern is fulfilling the vision he and other founders had when they created the bank in 1986 to help generate long-lasting investments in rural communities. Representatives of the Winthrop Rockefeller Foundation and the W.K. Kellogg Foundation also congratulated the two for continuing to strengthen Southern's mission to invest in rural communities and empowering the individuals and businesses there to transform those communities for the better.
Member News
Market Watch
(11-5-13)
Broadway Federal Bank, F.S.B. has entered into a consent order with the Office of the Comptroller of the Currency (OCC). The terms of the Consent Order coincide with an upgrade of the Bank's regulatory rating by the OCC. As part of the order, the bank is required to maintain a tier 1 (core) capital to adjusted total assets ratio of at least 9% and a total risk-based capital to risk-weighted assets ratio of at least 13%. Both ratios are greater than the respective 4% and 8% levels generally required under OCC regulations. The bank's regulatory capital exceeded both of these higher capital ratios at the end of each quarter during 2013. The consent order supersedes the Order to Cease and Desist the bank entered into with the Office of Thrift Supervision in 2010. Broadway Financial Chief Executive Officer Wayne-Kent Bradshaw stated, "We are pleased that the OCC has recognized improvements in the bank's financial condition and internal control processes by upgrading our regulatory rating in conjunction with its recent full regulatory examination."
Bank Kiosks Provide More Options For Residents in Underserved Communities
Time Warner Cable NY1 News
(10-30-13)
New York City Housing Authority (NYCHA) residents are using new CashAccess bank kiosks, provided by Carver Federal Savings Bank, to cash checks and pay bills. The bank operates four of the machines, which look like ATMs. The kiosks charge fees comparable to those found at a check casher for bill payment services, wire transfers and NYCHA rent payments. “You don't have to get on a bus. You don't have to travel places to pay. It's right here,” said Jacqueline Picket, one of eleven NYCHA residents hired by Carver to help neighbors navigate the kiosks. Bank officials say they will be placing two additional machines in housing residences in the South Bronx and Brownsville in the coming year. Carver and their collaborators at NYCHA see the machines as part of a broader conversation about financial inclusion. “Over 40 percent of the folks who are using the machines have already opened a bank account, which is extraordinary,” said Carver CEO Deborah Wright.
Of Interest
Oakland, California based Community Bank of the Bay has appointed a new chairman, Bill Purcell, and a new vice chairman, Gunter Unruh. The bank, led by President and CEO William Keller, also posted a third-quarter profit of $381,000, making this its seventh profitable quarter. "No money, no mission... We have made tremendous progress in the past few years and are now positioned to bring true relationship banking to an even broader market," said Purcell. Purcell says the bank will debut a new website in the months ahead and highlight what differentiates the bank from its many competitors. In the latest quarter, the bank set records in both loans and deposits. Community Bank of the Bay saw 21% year-over-year growth of deposits at the end of the third quarter, when deposits stood at $150.5 million. Loans rose almost $10 million to $129 million in the third quarter, up almost 30% from a year ago and up 8.3% from this year's second quarter.
New York City Housing Authority (NYCHA) residents are using new CashAccess bank kiosks, provided by Carver Federal Savings Bank, to cash checks and pay bills. The bank operates four of the machines, which look like ATMs. The kiosks charge fees comparable to those found at a check casher for bill payment services, wire transfers and NYCHA rent payments. “You don't have to get on a bus. You don't have to travel places to pay. It's right here,” said Jacqueline Picket, one of eleven NYCHA residents hired by Carver to help neighbors navigate the kiosks. Bank officials say they will be placing two additional machines in housing residences in the South Bronx and Brownsville in the coming year. Carver and their collaborators at NYCHA see the machines as part of a broader conversation about financial inclusion. “Over 40 percent of the folks who are using the machines have already opened a bank account, which is extraordinary,” said Carver CEO Deborah Wright.
Member News
Community Bank of the Bay Names Chairman, Posts Another Profitable Quarter
San Francisco Business Times
(10-29-13)
Oakland-based Community Bank of the Bay has appointed a new chairman, Bill Purcell, and a new vice chairman, Gunter Unruh. The bank, led by President and CEO William Keller, also posted a third-quarter profit of $381,000, making this its seventh profitable quarter. "No money, no mission... We have made tremendous progress in the past few years and are now positioned to bring true relationship banking to an even broader market," said Purcell. Purcell says the bank will debut a new website in the months ahead and highlight what differentiates the bank from its many competitors. In the latest quarter, the bank set records in both loans and deposits. Community Bank of the Bay saw 21% year-over-year growth of deposits at the end of the third quarter, when deposits stood at $150.5 million. Loans rose almost $10 million to $129 million in the third quarter, up almost 30% from a year ago and up 8.3% from this year's second quarter.
Of Interest
(10-28-13)
The Community Development Financial Institutions Fund released its fiscal year 2014 Notice of Funds Availability for the CDFI Program and Native American CDFI Assistance Program. The Administration’s FY 2014 Budget for the CDFI Fund requests up to $191 million in Financial and Technical Assistance awards: $144 million for CDFI Program awards; $35 million for Healthy Food Financing Initiative Financial Assistance awards; and $12 million for NACA Program awards (subject to final appropriations). The new round will feature a number of changes intended to streamlining the application process. “With this round we are unveiling a redesigned application that will reduce the burden on applicants and streamline our process by improving the quality of information collected.” said CDFI Fund Director Donna J. Gambrell. The CDFI fund also announced it would once again be seeking public comment on CDFI Bond Guarantee Program Materials.
Member News
The Boston Globe
(10-22-13)
Columnist Steven Syre comments on the bankruptcy proceedings of Charles Street AME Church, currently seeking protection from the $5 million in loans it has been unable to repay to OneUnited Bank and other creditors. Syre writes that bankruptcy judge Frank Bailey's decision provides a road map to resolving the dispute by rejecting the church’s reorganization plan, but refusing the bank’s request to dismiss the bankruptcy case entirely. The judge turned down the Charles Street reorganization plan for several reasons, including the fact that its aggressive repayment schedule would keep the church and its congregation dangerously close to the financial edge for the next 20 years. According to Syre, successful resolution will depend on a reduction of debt from OneUnited, the church's willingness to sell some of its three other properties, Charles Street AME’s friends ability to raise money and a larger commitment on the part of the church’s umbrella organization, the First Episcopal District of Philadelphia, to become involved.
City First Foundation
(11-7-13)
The City First Family of Companies will be holding its inaugural finance summit, "The Resurgence of Neighborhoods: Fueling D.C.'s Economic Growth" on November 7, 2013 at the Omni Shoreham Hotel in Washington. The summit will focus on how small businesses, new housing options, increased transportation options and innovative financing are changing neighborhood dynamics, contributing to Washington's population growth and building the city's economic vitality. Speakers will discuss how the success of Washington's highly desirable neighborhoods can be replicated in underserved neighborhoods while avoiding gentrification that jeopardizes equity and cultural diversification. Attendees are encouraged to register here.
Of Interest
CDFI Fund
(10-23-13)
The U.S. Department of the Treasury’s Community Development...
Member News
The Oregonian
(10-10-13)
One PacificCoast Bancorp Inc. has completed its $8.75 million purchase of fellow CDBA member Albina Community Bank's stock. Albina had been under federal and state regulatory order since 2010 to raise more money and address its bad loans. Under the deal, Albina gets the infusion of capital that regulators ordered it to obtain. Though One PacificCoast now owns most of its stock, Albina will continue to operate under its name with separate management, existing staff and its own board of directors.
The Bay State Banner
(10-9-13)
Bankruptcy Judge Frank Bailey has rejected Charles Street A.M.E. Church's plan to repay about $5 million in debt to OneUnited Bank and its other creditors. The church had taken out a $3.6 million construction loan from OneUnited which became due on June 1, 2008. Despite a total of five extensions, the church was unable to satisfy its debt by Sept. 1, 2009. A year later, on Aug. 17, 2010, OneUnited sued the church for breach of contract. With about $5,000 in cash and running monthly operating deficits of as high as $20,000, Charles Street’s repayment plan relied heavily on completing its proposed Roxbury Renaissance Center, which would raise funds with rental income from hosting events. But none of the church's figures included repayment of the debt. Bailey’s ruling requires Charles Street to develop another repayment plan. It also requires a court-appointed examiner to monitor the church’s financial activities.
Of Interest
Wall Street Journal
(10-15-13)
Wilbur Ross, whose Talmer Bancorp has agreed to invest $97 million to take over Capitol Bancorp's stakes in its four remaining banks, said Tuesday that such deals without government assistance are fast becoming the model for rescuing troubled banks. Capitol Bancorp, which filed for Chapter 11 protection in August 2012, once operated 64 small banks in areas that were particularly hard hit when the nation's housing...
One PacificCoast Bancorp Inc. has completed its $8.75 million purchase of fellow CDBA member Albina Community Bank's stock. Albina had been under federal and state regulatory order since 2010 to raise more money and address its bad loans. Under the deal, Albina gets the infusion of capital that regulators ordered it to obtain. Though One PacificCoast now owns most of its stock, Albina will continue to operate under its name with separate management, existing staff and its own board of directors.
Member News
Federal Home Loan Bank of Dallas
(10-8-13)
BankPlus and the Federal Home Loan Bank of Dallas awarded $20,000 in Partnership Grant Program funds to Dress for Success Metro Jackson, which assists underserved, low-wage earning women in obtaining the proper attire and skills to gain employment. The program helps more than 500 women annually. "BankPlus has done an awesome job working with us," said Pat Chambliss, executive director of Dress for Success Metro Jackson. "They've come out and done seminars for the women we serve, teaching them how to manage their money, set up banking accounts and other financial literacy skills. A lot of our clients are from a disadvantaged background and they were unable to open a checking account or a savings account. Now they feel confident about their situations. I couldn't have asked for a better corporate partner than BankPlus." Dress for Success will use its partnership grant for capacity building, including hiring additional part-time staff for its career center, as well as implementing a health and wellness program.
The Wall Street Journal
(9-27-13)
Carver Bancorp, Inc., the holding company for Carver Federal Savings Bank, announced that Lewis Jones III, Kenneth Knuckles and Colvin Grannum have been appointed to the Company's Board of Directors. Lewis Jones III is managing principal and co-founder of 5 Stone Green Capital. Kenneth Knuckles is the president and chief executive officer of the Upper Manhattan Empowerment Zone Development Corporation. Colvin Grannum is president of the Bedford Stuyvesant Restoration Corporation. "Carver is pleased to announce the appointment of three exceptional business leaders to the Board as we work to ensure that Carver remains a strong and trusted resource in the urban communities that we serve," said Robert Holland, Lead Independent Director of Carver. "Their collective experience will be of tremendous value to our Board and management team as we work in concert to guide the Company on the execution of its business strategy going forward."
Of Interest
CDBA Member BankPlus and the Federal Home Loan Bank of Dallas awarded $20,000 in Partnership Grant Program funds to Dress for Success Metro Jackson, which assists underserved, low-wage earning women in obtaining the proper attire and skills to gain employment. The program helps more than 500 women annually. "BankPlus has done an awesome job working with us," said Pat Chambliss, executive director of Dress for Success Metro Jackson. "They've come out and done seminars for the women we serve, teaching them how to manage their money, set up banking accounts and other financial literacy skills. A lot of our clients are from a disadvantaged background and they were unable to open a checking account or a savings account. Now they feel confident about their situations. I couldn't have asked for a better corporate partner than BankPlus." Dress for Success will use its partnership grant for capacity building, including hiring additional part-time staff for its career center, as well as implementing a health and wellness program.