Common Dreams — Citing the failure of Wall Street banks to adequately serve the needs of working people, Democratic U.S. Congresswomen Rashida Tlaib and Alexandria Ocasio-Cortez on Wednesday reintroduced their Public Banking Act, which if passed would facilitate the establishment of state and local public banks.
…The coalition called for the creation of a public bank to divest public money from banks that harm communities, and reinvest in community wealth-building and high-quality financial services in neighborhoods of color….
Gothamist — New York City is depositing billions of dollars in banking behemoths that make a fraction of their mortgage loans in communities of color across the five boroughs, according to a new analysis released on Thursday.
New York Attorney General Letitia James released a new report today detailing deep racial disparities in homeownership and access to home financing across the state. Among the report’s top findings is a stark racial gap in homeownership rates in every region in New York, with white households owning their homes at nearly double the rate of households of color. These disparities are a significant contributor to the racial wealth gap and result in higher housing costs for homebuyers of color, making it harder for communities of color to build lasting financial security and overcome decades of systemic discrimination in the housing market. The report also offers policy proposals to help close the homeownership gap.
The Brian Lehrer Show — As this year’s budget season comes to a close in New York City, Tousif Ahsan, Public banking campaign organizer at the New Economy Project, and James Parrott, Director of economic and fiscal policies at the Center for New York City Affairs at the New School, explain the findings of a new report that shows how holding city money in a public bank could uplift the local economy, create jobs, tackle the affordable housing crisis, and move us forward on the path for a more sustainable and economically just future.
Gothamist — New York City is missing out on thousands of new affordable apartments and billions of dollars in local investments without a publicly owned bank to deposit its cash, according to an analysis by the city’s former chief economist and fellow researchers.
City Limits — “Too often we think banking has nothing to do with democracy,” said State Senate Banking Committee Chair James Sanders at last week’s hearing of the New York City Banking Commission.
But banking and democracy were on full, if not always fulsome, display at the hearing as the commission decided which banks would be eligible to receive more than $100 billion in annual city agency deposits over the next two years. For the first time, the commission accepted public testimony before voting on which banks could hold city dollars.
Today’s hearing poses two urgent questions for New York State policymakers: “Why did Signature Bank fail?” and “What can be done to prevent future bank failures in New York?” My testimony primarily will focus on how public banking can strengthen New York’s financial sector in ways that promote responsible lending, equitable reinvestment, and racial and economic justice.
Dozens of New Yorkers representing community groups across the city testified today at the first-ever public hearing before the NYC Banking Commission on the designation of banks eligible to hold municipal deposits. A familiar refrain at the hearing was the call for a public bank to hold city funds and reinvest in low-income neighborhoods and communities of color that the big banks routinely fail to serve.
Where the City places its public deposits is a fundamental matter of public concern. Our testimony will focus on how the City should use its considerable leverage to ensure that our public money works for the public good.