Community Development Bankers Association

Congratulations to Industrial Bank on celebrating 90 years of unwavering service to the community! Since its founding in 1934 by Jesse H. Mitchell, Industrial Bank has grown from a small operation with just six employees to one of the top five largest Black-owned banks in the U.S. Over the decades, the bank has played a crucial role in providing financial services and opportunities to underserved communities, particularly during times when access to such services was limited due to widespread discrimination.

From navigating the challenges of the Great Depression and the Civil Rights Movement to expanding its reach into new markets like New Jersey and Harlem, Industrial Bank has consistently demonstrated resilience and commitment to economic empowerment.

Community Development Bankers Association (CDBA) was honored to join the celebration at the Howard Theater last night. Here's to many more years of success, impact, and community building!

On behalf of the CDBA team, we want to thank everyone who joined us in-person for the 2023 CDBA Peer Forum in Washington, DC this past June 14-15. This year's Peer Forum was attended by over 190 guests, including 138 bankers, representing 59 mission-focused banks, as well as sponsors, speakers and industry colleagues. Attendees shared a wealth of expertise and resources on how CDFIs, MDIs and other mission-focused banks can best support the communities they serve.

This year's attendees engaged with a wide range of topics: Popular panels included "What is the Deal with this Crazy Economy" and "Driving Capital & Deposits in Uncertain Times." Instructive sessions, such as those focused on implementation of Dodd-Frank Section 1071, and new approaches to environmental lending, prepared banks to manage compliance risk and explore new markets. We also heard from influential keynote speakers: FDIC Chairman, Marty Gruenberg; Acting Comptroller of the Currency, Michael Hsu; House Financial Services Committee Ranking Member, Maxine Waters; House Appropriations FSGG Subcommittee Chairman, Steve Womack; and Senator Mark Warner, a member of the Senate Finance, Banking, Budget, and Rules Committees.

We especially hope you return next year with new products inspired by Bank Innovation Lab, and successful programs launched from "Secret Sauce" breakouts. And we hope you find new success in "Finding and Keeping the Best People," "Working Smarter, Not Harder," and "Transforming Your Customer Experience with Human Centered Design."

We are also pleased to announce that we have a date for next year's CDBA Peer Forum, which will be held June 12-13, 2024 in Washington DC. Hold the date: we look forward to seeing you there!

Thank you again for joining us and being a part of making this year's CDBA Peer Forum a success. We especially also like to thank all of our sponsors for their support. You can continue to reach the CDBA team with any questions at [email protected].

Our John Holdsclaw catching up with partner in good and soon to be Community Development Bankers Association Board Chair Darrin Williams of Southern Bancorp

Community Development Bankers Association - thanks for hosting a great discussion. The OCC is committed to elevating fairness and trust in the banking system and recognizes the important role community development banks play to foster trust and support communities across the nation.

Check out this interview by Michael T. Pugh of Carver Federal Savings Bank highlighting how hyperlocal CDFIs support underserved communities to have access to banking services and financial literacy for all.

Empowering Communities for Generations | Nasdaq Spotlight: Carver Bancorp As Nasdaq continuously strives to advance economic progress for all, we amplify the voices of our partners who have demonstrated resilience thr...

FOR IMMEDIATE RELEASE
Thurs., June 16, 2022

CONTACT:
Brian Blake (CDBA) 646 283 7929
Rachel Cohen (Warner) 202 228 6884


NEW $1BILLION CDFI TAX CREDIT BILL TO BOOST MAIN STREET INVESTMENT IN UNDERSERVED COMMUNITIES
Senator Mark Warner, Senate Colleagues and Community Development Bankers Association (CDBA) Steward Historic Bi-Partisan Legislation

WASHINGTON – Today, U.S. Sen. Mark R. Warner (D-VA) was joined by Sens. Roger Wicker (R-MS), Chris Van Hollen (D-MD), and Cindy Hyde-Smith (R-MS) in introducing bipartisan legislation to promote lasting economic prosperity in Black, brown and low-income communities. This bill would help unlock more equity and long-term financial capital for community development financial institutions (CDFIs). CDFIs serve as a backbone for low-income or minority-owned businesses, which tend to have fewer banking relationships and less access to traditional forms of funding.

This bill will help direct support to lenders that focus on underserved communities. It creates a CDFI Investment Tax Credit that will attract private sector investors that make equity, equity-equivalent investments, or long-term patient capital available to CDFIs. The bill will benefit CDFIs of all types including banks, credit unions, venture capital funds, and loan funds, while providing institutions with the maximum flexibility and financial support they need to increase wealth in low- and moderate-income communities. Currently, there are 1,400 CDFIs nationwide.

“As the national trade association for community development banks, CDBA is proud to have led the advocacy efforts for the new CDFI Tax Credit Investment Act. In addition to another recent victory for the communities served by CDFI banks – the U.S. Treasury’s $9 Billion Emergency Capital Investment Program (ECIP) – this tax credit will strengthen CDFIs serving at the grassroots, supporting the most vulnerable and disinvested communities in the U.S. and creating new economic opportunities. This tool will be a game changer by attracting private capital to Main Street where it’s needed most.'' said Jeannine Jacokes, Chief Executive Officer, Community Development Bankers Association.

To combat the hemorrhaging of jobs and economic opportunities during the pandemic, Sen. Warner has been a leader in Congress for CDFIs and MDIs. In July of 2020, he teamed up with a bipartisan group of Senators to introduce the Jobs and Neighborhood Investment Act – an effort that secured endorsements from a host of other advocacy organizations and civil rights groups. Together, Sen. Warner and U.S. House Financial Services Committee Chairwoman Maxine Waters were later able to secure provisions from the bill in the Coronavirus Response and Relief Supplemental Appropriations Act of 2021, which was signed into law on December 27, 2020, providing an unprecedented $12 billion in funding for CDFIs.

“As a former entrepreneur and venture capitalist, I know that talent and ambition is not confined by income bracket or zip code. Unfortunately, access to start-up capital often is. CDFIs and MDIs do the invaluable work of bridging the gap and reaching small businesses in our most vulnerable communities – a role that became even more critical during the pandemic,” said Sen. Warner. “Despite the historic investments we were able to deliver through the emergency COVID-19 relief package, CDFIs remain in need of additional equity and capital to continue serving their communities. This legislation will create a new tax credit, helping spur important private-sector investments and allowing these community lenders to grow."

In addition to the CDBA, this legislation has the support of a number of organizations, including National Association of Affordable Housing Lenders, Community Development Venture Capital Alliance, LISC, OFN, CDFI Coalition, Inclusiv, and the Enterprise Community Loan Fund, among others.

A one-pager of the bill is available here - https://www.warner.senate.gov/public/_cache/files/d/f/df74c7f9-fbb1-437b-8f52-d422c4cca628/46310C251E21D74263315DB87F6C553B.cdfi-investment-tax-credit-one-pager-6.13.22.pdf?mc_cid=0073fc5731&mc_eid=UNIQID

We're closing out our annual Peer Forum in style, hearing from CDFI Fund Director Jodie Harris. Thank you to Director Harris for addressing our membership on current happenings at the CDFI Fund, certification, awards, and more!

Thank you to Senator Mark Warner for sitting down with our CEO Jeannine Jacokes to talk to CDBA members about the importance of CDFIs/MDIs, cybersecurity, bipartisanship, and more!

Our annual Peer Forum kicks off today and we were thrilled to be joined by Chairman Jelena McWilliams of the Federal Deposit Insurance Corporation. Chairman McWilliams sat down with Kat Taylor of Beneficial State Bank to discuss the Mission Bank Fund, fintech, cybersecurity, and more.

The state of the industry is strong. Over 80% of CDFI respondents described their financial state as "very strong" or "moderately strong," partially due to the influx of new customers seeking assistance.

The Fed’s 2021 CDFI Survey gathered responses from 345 CDFIs – what did they share? Read our new report to find out: https://bit.ly/CDFIsurvey21

What’s a CDFI? Community Development Financial Institutions have a mission to provide lending to low-income, low-wealth and other disadvantaged communities – and they’ve been particularly critical throughout the COVID-19 pandemic.

Always happy to work with our banking trade partners to advocate for increased funding to the CDFI Fund! Read the full letter below.

ABA, Trade Groups Urge Support for CDFI Funding Increase | ABA Banking Journal The American Bankers Association and five other trade groups today urged House and Senate appropriations leaders to support $1 billion in funding for the Community Development Financial Institutions Fund in fiscal year 2022, with $100 million allocated for the Bank Enterprise Award Program.

Join our team!

We are seeking a high energy and dynamic candidate for the position of Membership Director. The Director will advance our membership, programmatic, and education agenda. The position reports to the Chief Executive Officer and works with all members of the team. This position is a full-time 40 hour per week opportunity. The position is located at PCG’s offices in Washington DC.

http://cdbanks.org/jobs

“If the administration really gets grants directly out the door to businesses and business owners, that will actually help the capital and the working capital of those businesses rather than just effectively acting as a pass-through to their employees, which, of course, was the intention of the PPP. It’s invaluable in its own way,” says Brian Blake, public policy director for the Community Development Bankers Association.

https://www.cnbc.com/2021/02/12/main-street-business-failure-fears-rise-again-in-pandemic-whipsaw.html

Main Street business failure fears rise again in pandemic whipsaw Small business confidence is down amid the pandemic whipsaw of closures and reopenings, according to the latest CNBC|SurveyMonkey Small Business Survey.

Our CEO Jeannine Jacokes and Robert James of Carver State Bank were on NPR to discuss how CDFIs and other small, local banks are supporting black-owned businesses during the pandemic.

"The first round of PPP loans also brought a spotlight on the struggles being faced by some Black-owned businesses. Even before the pandemic, these businesses were more than twice as likely as white-owned firms to be 'at risk' or 'distressed,' according to a survey by the Federal Reserve Bank of New York."

https://www.npr.org/2021/02/11/965510535/black-owned-businesses-find-lifeline-in-small-lenders-as-they-scramble-for-survi

Black-Owned Businesses Find Lifeline In Small Banks As They Scramble For Survival Black-owned businesses were often at the back of the line when the first coronavirus relief loans were doled out. Now, some are turning to banks that specialize in minority firms for help.

On top of leading Virginia Community Capital - VCC for the last 15 years, Jane also served two terms as a CDBA Board Member. Thank you for your service, Jane, and happy retirement!

https://www.vacommunitycapital.org/news/2021/01/25/jane-henderson-retirement/

Virginia Community Capital CEO to retire in 2021 | Virginia Community Capital Jane Henderson announces her retirement after a 40-year career After four decades in the banking industry, Jane Henderson plans to retire this year as President and CEO of Virginia Community Capital (VCC). As the organization’s founding executive director, Henderson has led VCC since its inception...

Looking to invest in underserved areas? Want to make sure your deposit dollars go back to your community?

Check out the Federal Deposit Insurance Corporation mission-oriented bank resource guide. The guide details the history of and banks, gives investing options, and features a bank locator.

https://www.fdic.gov/regulations/resources/minority/mission-driven/guide-detail.html

FDIC: Minority Depository Institution Program - Mission-Driven Banks

Thanks to our friends at Inclusiv Credit Unions for supporting the Jobs and Neighborhood Investment Act, which will allocate nearly $18 billion to CDFIs and MDIs across the country.

Read the full letter urging support for the Jobs and Neighborhood Investment Act from Inclusiv and the Community Development Bankers Association here: https://www.inclusiv.org/inclusiv-and-cdba-submit-letter-on-jobs-and-neighborhood-investment-act/

In times of crisis, we're proud to have members like Planters Bank and Trust Company. Planters was able to support their community with $78 million in PPP loans, aiding every single business that applied. Their new video is below:

https://www.youtube.com/watch?v=o_a3KJ82s0g

Caring for our Community Video created for the 2020 Stockholders Video.

CDBA Reaffirms Commitment to Racial Justice in Banking

http://cdbanks.org/cdba-reaffirms-commitment-racial-justice-banking

CDBA Reaffirms Commitment to Racial Justice in Banking | Community Development Bankers Association The Community Development Bankers Association (CDBA) stands in solidarity with black communities in calling for an end to systemic racism and police violence. In response to the national events of the last two weeks, we say black lives absolutely do matter. There is no excuse for racism of any kind.

TODAY AT NOON: bankers from 2 of our member banks will be testifying to the House Committee on Financial Services on and work during . Watch Michael Pugh of Carver Federal Savings Bank and James Sills of M&F Bank in half an hour:

https://financialservices.house.gov/calendar/eventsingle.aspx?EventID=406609

Virtual Hearing - Promoting Inclusive Lending During the Pandemic: Community Development Financial Institutions and Minority Depository Institutions | Financial Services Committee

"Why would I go anywhere else" - Gail Wilson of Anchor Shred & Recycle Company LLC on Optus Bank

Wilson and Optus are featured in the 9th installment of our series.

The series features short videos highlighting the 24-hour work mission-driven banks are doing to help their borrowers stay afloat during the COVID crisis. Watch the series on our new YouTube channel!

https://www.youtube.com/watch?v=Iu_b2mzk-J0&t=4s

Banking for Good - COVID Crisis Series 9 - Anchor Shred and Recycle Co. and Optus Bank The COVID-19 crisis has hit low- and moderate-income communities the hardest. During the crisis, community development banks have been working overtime to pr...

"Citizens National Bank really give back to their community in so many ways" -Tracie Fowler, President/CEO of United Way of Southeast Mississippi

United Way and Citizens National are featured in the 7th installment in our Banking for Good - COVID Crisis Series.

The series features short videos highlighting the 24-hour work mission-driven banks are doing to help their borrowers stay afloat during the COVID crisis. Watch the series on our YouTube channel!

https://www.youtube.com/watch?v=sREVxNCYTb8&t=5s

Banking for Good - COVID Crisis Series 7 - United Way of Southeast Mississippi and CNB Meridian The COVID-19 crisis has hit low- and moderate-income communities the hardest. During the crisis, community development banks have been working overtime to pr...

“I’ve personally sent at least five businesses and nonprofits to Guaranty Bank & Trust Company” -Drew Barton of Memphis Made Brewing Co.

Barton and Guaranty are featured in our 5th installment in our Banking for Good - COVID Crisis Series.

The series features short videos highlighting the 24-hour work mission-driven banks are doing to help their borrowers stay afloat during the COVID crisis. Watch the series on our new YouTube channel!

https://www.youtube.com/watch?v=XcUXi8yl1NY&feature=youtu.be

Banking for Good - COVID Crisis Series 5 - Memphis Made Brewing and Guaranty Bank & Trust Co The COVID-19 crisis has hit low- and moderate-income communities the hardest. During the crisis, community development banks have been working overtime to pr...

Community Development Bankers Association updated their business hours.

Great recognition for CDBA member Optus Bank's financial success, all while investing nearly 90% of their loans in low-income communities or minority businesses or homes.

Combining mission and margin: Optus Bank continues its turnaround, increasing its assets and turning a profit, while keeping focus on community lending, including to underrepresented populations: https://bit.ly/3bVnjW0