Thursday, January 25, 2024

There will be four focused sessions on changes to the Community Reinvestment Act (CRA) at NCRC's April 3-4 2024 Just Economy Conference.

The National Community Reinvestment Coalition (NCRC) will be hosting four focused sessions on changes to the Community Reinvestment Act (CRA) at its 2024 Just Economy Conference. The CRA requires banks to lend in the communities where they do business. The federal regulators overseeing CRA announced late in 2023 a much-needed overhaul of this important economic justice law. These sessions will treat the changes as well as the implications for community development and equity.

The sessions are:

The New CRA 101 (ROUND 1)

This session covers the updated CRA, which encourages financial institutions to meet the credit needs of low- and moderate-income (LMI) neighborhoods and requires federal banking agencies to assess the record of meeting these standards and evaluate their efforts. We will explore how CRA can be used to increase affordable housing and small business reinvestment in your communities, including crucial updates to the rule announced in late 2023.

The New CRA 101 (ROUND 2)

Addressing the Climate Crisis through CRA and federal funding

Climate change is increasing the frequency and severity of storms, heat waves, fires and other weather-related disasters, with communities of color and low-income households the most affected. CRA’s definition of community development was recently updated to encourage banks to finance weather resiliency. This session will cover climate/weather resiliency projects and priorities, including how best to work with communities to prevent bluelining, a trend where financial institutions withdraw services or increase costs due to climate change.

What's Next With The CRA Final Rule

This session will focus on what's coming next with CRA reform and upcoming opportunities to further shape the development of the new CRA rule. Speakers will be covering topics including: developing a statistical model that identifies markets where all banks are underperforming, best practices for reviewing the impact of community development on neighborhoods, and how the regulators can be proactive in preventing a decline in critical investments.

State CRA And Non-Banks

Community advocates, along with state and local elected officials, are increasingly pushing for state CRA laws that bring in more resources and fix gaps in the federal CRA rules, especially since more and more lending is done by institutions not covered by federal CRA. This session will explore how state CRA laws include a review of credit unions and mortgage companies' loans and investments in underserved people and neighborhoods, in addition to banks.

Thursday, October 12, 2023

46th Anniversary of Community Reinvestment Act (CRA)

Important Law Against Lending Discrimination Celebrated

The following is from an October 12, 2023 email blast from the National Community Reinvestment Coalition (NCRC) which works to lessen mortgage lending discrimination.

Tomorrow, October 12, the Community Reinvestment Act (CRA) turns 46! As we excitedly await the new federal rule that is both long overdue and essential, we reflect upon what CRA has done in the last four decades, and what it could do for underserved communities all across America with the proper updates and modernization.

Join us tomorrow, all day across all social media platforms, as we acknowledge and celebrate the Community Reinvestment Act. Here are some sample messages and graphic to encourage your participation.

CRA Birthday Toolkit

CRA requires banks to meet the credit needs of all communities, including LMI areas, consistent with the safety and soundness of the banks’ operations. The law created a framework wherein community organizations, banking regulatory agencies and financial institutions interact in assessing how well a financial institution is meeting the needs of disadvantaged communities. This framework has proven critical in promoting greater investment and service in areas that banks might otherwise disregard.

NCRC and our members have used the CRA to negotiate community benefits agreements (CBAs) with 21 different banks, totaling over $574 billion in loans and investments for affordable housing, small businesses, economic development and bank branches in low- and moderate-income neighborhoods and communities of color.

Let’s celebrate CRA and encourage the banking regulators to release the rule we have all been waiting for!

Thanks for all that you do,

Team NCRC