# Presentation: 761238

## Assets for Independence Center Conference Call“Building Effective Partnerships”

**Federal Reserve Bank of Richmond**
**Community Affairs Office**
**September 13, 2006**

## Community Affairs in the Federal Reserve System

**The Federal Reserve System, through its **
**Community Affairs program at the Board of **
**Governors and the twelve Federal Reserve Banks, **
**engages in outreach, educational, and technical **
**assistance activities to help financial institutions, **
**community-based organizations, government entities, **
**and the public understand and address financial **
**services issues affecting low- and moderate- income**
** ****persons and communities. **

***http://www.federalreserve.gov/communityaffairs/national/default.htm***

## The Community Affairs program supports the System's economic growth objectives by promoting community development and fair and impartial access to credit.

- Home Mortgage Disclosure Act – HMDA
- 		(requires financial institutions to report public loan data)
- Community Reinvestment Act - CRA
- 		(encourages depository institutions to help meet the credit 	needs of the communities in which they operate)
- Home Ownership and Equity Protection Act – HOEPA
- 	 (imposes additional disclosure requirements and limits on certain high-cost, home-secured loans)

## Federal Reserve Bank of Richmond

- The Fifth District, which is headquartered in Richmond, VA, serves the District of Columbia, Maryland, Virginia, North Carolina, South Carolina and most of West Virginia. Branch offices are located in _[Baltimore, MD](http://www.richmondfed.org/about_us/our_branches/baltimore/index.cfm)__ and __[Charlotte, NC.](http://www.richmondfed.org/about_us/our_branches/charlotte/index.cfm)__ _

## Changes Affecting the Community Economic Development Industry

_*Resources*_
- Federal Budget Cuts
- Constrained State Budgets
- Shift in Foundation Funding Priorities
_*Capacity/Operation*_
- Technology (streamlined underwriting processes)
- Growing sophistication of community development lending areas of banks
- Consolidation of the banking industry
- Growth of subprime market
- Need for more measurement of impact

## Emerging Issues

- Changing Demographics (influx of new populations in areas experiencing out migration)
- Financial Preparedness/Asset Building
- Early Childhood Education – link to economic development  (Child Accounts)
- Banking the Unbanked and Under-banked
- Housing Affordability in High-Cost Markets

## Need for Greater Linkages

- Need for more strategic collaboration among public, private, and nonprofit organizations
- Need for a comprehensive approach to revitalizing communities, one that focuses on the economic and cultural viability of the community as a whole, not only on the construction or rehabilitation of individual homes and businesses.
*	**	**	**	**	****Excerpts from Federal Reserve Chairman ***
***	******	******	******	******	******Ben Bernanke’s Speech,***
***	******	******	******	******	****** “******Community Revitalization: Lessons from Anacostia”***
***	******	******	******	******	******May 3, 2006***
***	******	******	******	******	***_[www.federalreserve.gov/](http://www.federalreserve.gov/)_*** (click “News and Events”)***

## New Partnerships/New Resources

- Schools
- Financial Education Providers
- Social Service Agencies
- Workforce Agencies
- Immigrant Advocacy Groups
- State/Local Planning and Economic Development Departments
- Transportation Departments
- Universities/Research Institutions/Think Tanks
- Capital Markets
- Other Departments at Financial Institutions (e.g., secondary markets, tax credits/investments, mortgage)
- Non-traditional financial service providers

## Contact Information

- Federal Reserve Bank of Richmond
- _[http://www.richmondfed.org/](http://www.richmondfed.org/)_
- Community Affairs
- (804) 697-8447
- Presentation delivered by:
- Angelyque Campbell
- Senior Manager
- angelyque.campbell@rich.frb.org