By Melanie L. Brown
The Healthcare Consortium of Illinois is putting more pressure on banks to follow the Community Reinvestment Act and give to the communities in which they are housed. The Community Reinvestment Act is intended to encourage depository institutions to help meet the credit needs of the communities in which they operate, including low- and moderate-income neighborhoods, consistent with safe and sound operations. It was enacted by the Congress in 1977 (12 U.S.C. 2901) and is implemented by Regulation BB (12 CFR 228). The regulation was substantially revised in May 1995 and updated again in August 2005.
Even though the Community Reinvestment Act was updated again in 2005 by President Clinton at the time the organizations who have had numerous layoffs to social services due to Governor Bruce Rauner’s budget cuts and not revealing a set budget still need funding. The Black Lives Matter Movement have been attempting to solve the bank non-lending problem that people of color face by putting their money in Black owned banks. Salim Al Nurridin, Chief Executive Officer of the Healthcare Consortium of Illinois stated “We need to hold these banks accountable through the Community Reinvestment Act.”
The banks by law are suppose to be in compliance with the law and provide to low and moderate income neighborhoods. Mr. Al Nurridin exclaimed, “The banks need to have report cards.” He believes they should be called to report if they have been giving back to the communities that are low and moderate.
The Black Lives Matter movement has helped with addressing Blacks helping Blacks, but the financial institutions who aren’t all Black still need to address the funding with Blacks by law.