News
"At the June 14 Annual Meeting of the NYS CDFI Coalition, we welcomed new board members Dan Fielding of Habitat for Humanity, NYC and Westchester and Lloyd Doaman of Carver Bank.
After serving 6 years as President of the Chair of the Coalition Board, Linda MacFarlane, Executive Director of the Community Loan Fund of the Capital Region, stepped down. We thank her for her leadership.
Aisha Benson, CEO of NFF, the Nonprofit Finance Fund, was elected Chair, leaving a vacancy in the Vice Chair position, which was filled by Jessie Lee, Managing Director of Renaissance Economic Development Corporation."
"The Mission Driven Bank Fund today announced its latest investments in Community Development Financial Institution (CDFI) and Minority Depository Institution (MDI) banks committed to expanding financial services in underserved communities. The two investments reflect the Fund's aim to help close the racial wealth gap by providing mission-aligned banks with a range of financing instruments and tailored technical services."
Vice Chair Travis Hill spoke at the American Enterprise Institute on changes to the brokered deposit rule and other topics:
"The past year and a half has been a pivotal time for the FDIC. With three of the four largest bank failures in U.S. history, longstanding questions have reemerged about how to address bank runs, and newer questions have emerged regarding how FDIC receiverships are funded. Today, I will offer thoughts on both of these topics, along with views on the FDIC's approach to brokered deposits and a few thoughts on the path forward for the Basel III Endgame proposal."
Rep. French Hill joined the Banking with Interest Podcast to share views on the future of financial services regulation:
"Rep. French Hill, one of the leading candidates to chair the House Financial Services Committee next year, makes his case for the job, discussing how his former role as a bank CEO would help guide his agenda. He talks about why he's worked so hard on crypto and stablecoin regulation bills, his vision for housing reform, the lessons of SVB, the end of Chevron deference, and his concerns on bank consolidation."
"The Community Reinvestment Act of 1977 is as special as it is frustrating.
What makes the Community Reinvestment Act special is that, rather than saying what banks shouldn't do, it says what they should do. Specifically, it says that banks 'have continuing and affirmative obligation to help meet the credit needs of the local communities in which they are chartered.'"
"American Banker's Claire Williams writes that despite Harris' stances on past legislative efforts, it remains uncertain how she would tackle future economic matters if elected as the country's first female president. Nevertheless, the next president will possess substantial sway over the course of economic and banking policy in the near future.
Some executives say that it's likely Harris would continue in line with the current administration's direction on banking regulations.
'In contrast to Trump's approach, which favored deregulation and a more hands-off approach, Harris' administration would aim to implement stricter controls and oversight to protect consumers and ensure financial stability,' said Rick Kuci, chief operating officer for the New York-based small business funding fintech FundKite."
"The Treasury Department is warning that state laws that restrict banks from considering environmental, social and governance factors could harm efforts to address money laundering and terrorism financing.
The Associated Press obtained a copy of the letter sent Thursday to lawmakers. The letter singled out a law signed by Florida Gov. Ron DeSantis in May that says it would be an 'unsafe and unsound practice' for banks to consider non-financial factors when doing business. The letter concludes that 'such laws create uncertainty and may inhibit' national security efforts."
The Department of the Treasury has released a report on 2023 Qualified and Deep Impact Lending of community financial institutions (CDFI and MDI banks and credit unions) participating in the ECIP. Per Treasury:
"In approximately 18 months, ECIP participants originated a total of $58.3 billion in loans, of which more than one third was to the most underserved borrowers. Approximately three quarters, or $43.0 billion, of these originations was Qualified Lending. More than one third of these total originations, or $20.6 billion, was Deep Impact Lending to the most underserved borrowers."
Read the report below.
"Optus Bank Chairman Paul Mitchell and the Board of Directors today announced the appointment of Benita Lefft as President of the Bank. Lefft will oversee the primary operating lines of business, risk management, finance, and all support functions for the Bank. Dominik Mjartan will continue as CEO and assume the duties of Vice Chairman of the Board."
"In June, the Community Development Bankers Association (CBDA) hosted its annual conference over three days in Washington, D.C. Community development finance practitioners and partners from across the country gathered to exchange ideas, share best practices, and tell stories of impact. . . .
One of the standout themes of the conference was the focus on deposit management and liquidity strategies for CDFIs and MDIs. In a session on best practices for raising deposits, experts shared actionable insights on attracting and retaining deposits, crucial for maintaining growth and sustainability in today's financial climate."