News
Member News
Westfair Communications
(9-30-13)
Empire State Development Corp., a New York State economic development agency, has partnered with the Metropolitan Transportation Authority (MTA) and Manhattan-based Carver Federal Savings Bank to make it easier for small businesses to bid on construction projects with the MTA. The state’s aim is to increase the availability of funds for the MTA’s high-capital projects through its Small Business Mentoring Program, which provides businesses with mentoring, training, surety bonding services and access to loan capital. The maximum amount of loans Carver Federal Savings Bank will provide has increased to $900,000, up from $150,000. This increase in the amount of lending through the bank is intended to help small businesses grow, create jobs, provide more competitive prices for MTA construction contracts, and save the state money, MTA CEO Thomas F. Prendergast said.
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
New York Times
(10-1-13)
In an New York Times editorial debate, banking industry experts put forward their views on the potential value of state-run banks. Only one U.S. state, North Dakota, currently owns a bank. But that bank has been so successful – and the financial systems elsewhere have been so problematic – that 22 other...
Manhattan-based Carver Federal Savings Bank has parnered with Empire State Development Corp., a New York State economic development agency and the Metropolitan Transportation Authority (MTA) to make it easier for small businesses to bid on construction projects with the MTA. The state’s aim is to increase the availability of funds for the MTA’s high-capital projects through its Small Business Mentoring Program, which provides businesses with mentoring, training, surety bonding services and access to loan capital. The maximum amount of loans Carver Federal Savings Bank will provide has increased to $900,000, up from $150,000. This increase in the amount of lending through the bank is intended to help small businesses grow, create jobs, provide more competitive prices for MTA construction contracts, and save the state money, MTA CEO Thomas F. Prendergast said.
CDBA member 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."
Member News
CDBA
(9-24-13)
Eight CDBA Members received $9.526 of a total of $12.3 million in awards to CDFI banks in the FY 2013 funding round of the CDFI Program. $172 million in awards were distributed in total by the CDFI Fund. Six of the CDBA members were awarded the maximum amount of $1,347,000. Congratulations to the following CDBA members who have received CDFI Core Awards: Central Bancshares of Kansas City – $597,000; CityFirst Enterprises – $847,000; First Eagle Bancshares – $1,347,000; Guaranty Capital Corporation – $1,347,000; Greater Chicago Financial Corp – $1,347,000; OnePacific Coast Bancorp – $1,347,000; Southern Bancorp Bank – $1,347,000 and Virginia Community Capital – $1,347,000.
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.
Madison County Journal
(9-18-13)
BankPlus and the Madison County Journal have partnered with the "Student 360" initiative, which highlights scholastic achievement in Madison County, Miss. The program features high school seniors from over a dozen area public and private schools. Each week for 13 weeks, the Madison County Journal will highlight a high school senior with a profile. In May, two of the students will win a cash scholarship from BankPlus. "BankPlus is committed to being a part of the communities in which we serve. We...
Community Development Bankers Association Press Release
WASHINGTON (September 24, 2013) – Eight CDBA Members received $9.526 million of a total of $12.3 million in awards to CDFI banks in the FY 2013 funding round of the CDFI Program. $172 million in awards were distributed in total by the CDFI Fund. Six of the eight CDBA members were awarded the maximum amount of $1,347,000.
The following CDBA members have received CDFI Core (Financial Assistance) Awards:
•Central Bancshares of Kansas City (Central Bank of Kansas City) (Kansas City, Mo.) – Core $597,000
•CityFirst Enterprises (City First Bank of DC) (Washington, D.C.) – Core $847,000
•First Eagle Bancshares (First Eagle Bank) (Hanover Park, Ill.) – Core $1,347,000
•Guaranty Capital Corporation (Guaranty Bank) (Belzoni, Miss.) – Core $1,347,000
•Greater Chicago Financial Corp (ABC Bank) (Chicago, Ill.) – Core $1,347,000
•OnePacific Coast Bancorp (OnePacific Bank) (Oakland, Calif.) – Core $1,347,000
•Southern Bancorp Bank (Arkadelphia, Ark.) – Core $1,347,000
•Virginia Community Capital (Virginia Community Capital Bank) (Christiansburg, Va.) – Core $1,347,000
The following non-CDBA CDFI banks and holding companies also received CDFI Fund Core and SECA Awards totaling $2.794 million:
•Carver Financial Corporation (Carver State Bank) (Savannah, Ga.) – SECA $600,000
•Liberty Financial Services Corporation (New Orleans, La.) – Core $1,347,000
•PGB Holdings (Global Pacific Bank) (Chicago, Ill.) - Core $847,000
The CDFI Fund made 191 awards totaling more than $150 million to organizations in 37 states and the District of Columbia. The Fund received applications from 400 organizations, of which 389 were deemed eligible to advance to the review process. The Fund reported that 148 FA and 43 TA awards were made to 143 loan funds, 35 credit unions, 11 depository institutions/holding companies and 2 venture capital funds.
The 11 bank depository institutions/ holding companies received awards totaling $12.32 million (8.2% of the total awards). This is the largest number of bank depository institutions/holding companies to receive awards in recent years.
Member News
City First Foundation Presents Finance Summit
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 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.
Congressional Black Caucus Foundation Invests $5 Million in Black-Owned Banks
Washington Post
(9-17-13)
The Congressional Black Caucus Foundation, hosting its annual conference in Washington this week, announced a $5 million investment in five African American-owned banks to spur lending in communities of color. The donations are part of a broader effort to support small businesses and encourage private investment in minority banks. “Minority banks are an important source of accessible financial services and are key to reaching financially under-served communities,” said the foundation's Chief Executive Shaunise Washington. The Congressional Black Caucus Foundation selected five black-owned, fiscally sound banks scattered across the country: Industrial Bank in the District, Liberty Bank & Trust Co. in New Orleans, Mechanics & Farmers Bank in Durham, N.C., Seaway Bank & Trust Co. in Chicago and City National Bank of New Jersey in Newark. Each institution will receive $1 million through certificates of deposits guaranteed by the Federal Deposit Insurance Corp.
Greater Washington's 10 most and least profitable banks in Q2
Washington Business Journal
(9-17-13)
The Washington Business Journal ranked the D.C. area's top 10 most profitable local banks of Q2 2013....
Member News
Two Kansas City Entities Receive New Markets Tax Credits Allocations
Kansas City Business Journal
(4-25-13)
The U.S. Treasury Department is sending $90 million in federal tax credits to Kansas City community development entities, the department announced last Wednesday. Central Bank of Kansas City and the Kansas City, Missouri, Community Development CDE each will get $45 million in New Markets Tax Credits from the Treasury’s Community Development Financial Institutions Fund. Department spokesman Matt Bevens said the tax credits can be used only for projects designed to help develop impoverished areas as defined by U.S. Census Bureau data. Groups trade the tax credits for investments in projects. The Treasury is sending $225 million to five community development entities throughout Missouri, three of which are in St. Louis. Nationally, $3.5 billion in credits will be distributed as part of the 2012 allocation, Bevens said.
One PacificCoast Bank Featured on RainMakers Television
RainMakers Television
(4-21-13)
RAINMAKERS, an original documentary television series, showcases both the heroic efforts made by impoverished people around the world who every day strive to lift themselves out of dire circumstances, and those philanthropic individuals and organizations that reach out and provide strategic support. Focused not on aid -- but on comprehensive strategies that have sustainable outcomes, such as education, health, rule of law, engaging governments, empowering women and girls, clean water resources, and micro-credit -- RAINMAKERS tells stories that inspire global transformation. This RAINMAKERS video features One PacificCoast Bank CEO Kat Taylor discussing whether "triple bottom-line banking" is and should be the new standard for banking.
Broadway Financial Replaces CFO
American Banker
(4-19-13)
Broadway Financial in Los Angeles has named a new chief financial officer. Brenda Battey has been approved by the Federal Reserve Bank of San Francisco to be CFO of the company. It also plans to name her CFO of its Broadway Federal Bank subsidiary, pending approval by the Office of the Comptroller of the Currency, President and Chief Executive Wayne-Kent Bradshaw said. Battey succeeds Sam Sarpong, who was terminated on Jan. 31, the company disclosed in February. Broadway was...
Member News
Canton Housing Authority Announces the Start of Rehab Project
MarketWatch
(4-11-13)
In the coming months, the Canton Housing Authority will provide critical home repairs for 45 very low- to low-income homeowners in Canton, Mississippi. This initiative is funded by the Housing Authority, the Federal Home Loan Bank of Dallas, and CDBA member BankPlus. FHLB Dallas and BankPlus awarded the housing authority a $495,000 Affordable Housing Program (AHP) grant in 2012 to help fund the project. "I'm excited to work with the Canton Housing Authority to assist eligible households in Canton with needed home repairs," said BankPlus First Vice President and Director of Affordable Housing Mark Ouellette. "This is something we've discussed over the years and upon presenting the grant application in 2012, the Federal Home Loan Bank of Dallas decided to fully fund the request. I believe this collaboration will have a tremendous impact on many deserving families."
De Novo Banks Need a Niche
American Banker
(4-1-13)
Eighteen investors—many of them Amish—are planting the seeds for a new community bank outside Lancaster, PA. If the investors can convince regulators that the new institution will thrive, Bank of Bird-in-Hand would become the first de novo in the United States in more than two years. Though many are watching its progress with regulators closely, the hopeful startup is unlikely to see much company, at least over the next year, according to lawyers, consultants, and investment bankers. The regulatory and economic factors that froze de novo activity for the last few years remain in force. In addition, changes in technology and customer behavior could conspire to make the traditional startup a thing of the past—or at least a lot more difficult. Many attorneys and consultants feel the FDIC has been discouraging the formation of new banks since late 2008, preferring that investors plow money into existing institutions that need capital to survive. In 2009, the agency tightened oversight of startups, which have been rare in the years since. The country's last new bank, the $39 million-asset Start Community Bank in New Haven, CT, opened in the fourth quarter of 2010.
Of Interest
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Member News
United Bank Restructures; Promotes Three Senior-Level Executives
AL.com
(4-9-13)
Three senior-level officers with United Bank in Atmore have been promoted to newly created executive vice president positions.Gwen Braden will now serve as executive vice president and chief operations officer; Mike Vincent will serve as executive vice president and chief credit officer; and Casey Gay Zito will serve as executive vice president and chief retail officer. “As we continue our momentum and focus our vision beyond 2013, each will play a critical role in the direction of the bank and in shaping our future,” Robert R. Jones III, president and chief executive officer of United Bank, said of the promotions already approved by the bank’s board of directors.
Of Interest
Bailed Out Banks Haven't Met Goals of Small Business Lending Program, Report Says
Banks used billions from a small-business lending program to repay government bailout funds, rather than for its intended purpose — making more loans to mom-and-pop operations, according to a watchdog report released Tuesday. The Small Business Lending Fund dished out more than $4 billion to 332 community banks, credit unions, and community development financial institutions to lend to Main Street businesses. By signing up for the lending program, banks could convert their TARP obligations into a lower-interest loan and escape restrictions on executive compensation. But in return, the banks were supposed to increase their lending to small businesses. Instead, 132 TARP recipients participating in the small-business program used about $2.1 billion they were awarded to exit TARP, rather than increasing lending, according to the report from the TARP special inspector general. “For some TARP banks, SBLF turned out to be little more than a TARP exit strategy,” said Christy Romero, special inspector general for TARP.
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From the Washington Post: "Banks used billions from a small-business lending program to repay government bailout funds, rather than for its intended purpose — making more loans to mom-and-pop operations, according to a watchdog report released Tuesday. The Small Business Lending Fund dished out more than $4 billion to 332 community banks, credit unions, and community development financial institutions to lend to Main Street businesses. By signing up for the lending program, banks could convert their TARP obligations into a lower-interest loan and escape restrictions on executive compensation. But in return, the banks were supposed to increase their lending to small businesses. Instead, 132 TARP recipients participating in the small-business program used about $2.1 billion they were awarded to exit TARP, rather than increasing lending, according to the report from the TARP special inspector general. 'For some TARP banks, SBLF turned out to be little more than a TARP exit strategy,' said Christy Romero, special inspector general for TARP."