November 20, 2008 CONGRESSIONAL RECORD — Extensions of Remarks E2327 

and high rates of foreclosure are lenders not 

subject to CRA. A recent study of 2006 Home 

Mortgage Disclosure Act data showed that 

banks subject to CRA and their affiliates 

originated or purchased only six percent of 

the reported high cost loans made to lowerincome borrowers within their CRA assessment areas. 

Over the last ten years, CRA has helped 

spur the doubling of lending by banking institutions to small businesses and farms, to 

more than $2.6 trillion. During this period, 

those lenders more than tripled community 

development lending to $371 billion. Overwhelmingly, this lending has been safe and 

sound. For example, single family CRA-related mortgages offered in conjunction with 

NeighborWorks organizations have performed on a par with standard conventional 

mortgages. Foreclosure rates within the 

NeighborWorks network were just 0.21 percent in the second quarter of this year, compared to 4.26 percent of subprime loans and 

0.61 percent for conventional conforming 

mortgages. Similar conclusions were reached 

in a study by the University of North Carolina’s Center for Community Capital, which 

indicates that high-cost subprime mortgage 

borrowers default at much higher rates than 

those who take out loans made for CRA purposes. 

Of course, not all single-family CRA mortgages performed this well, because these 

loans have experienced the same stresses as 

most other types of consumer credit. Nevertheless, a number of studies have shown that 

when these loans are made in conjunction 

with a structured homebuyer counseling program, mortgage performance is substantially 

improved. Affordable CRA multi-family 

projects utilizing low-income housing tax 

credits have also performed well, with an average foreclosure rate through 2006 of 0.08 

percent on the underlying mortgages. 

During the community tours I have taken 

over the past three years, I personally witnessed the positive impact that CRA partnerships have had in transforming communities, expanding homeownership, and promoting job creation and economic development. These partner ships between communities and financial institutions have also 

helped house senior citizens and people with 

special needs, built community facilities, 

and assisted small businesses serving low-income areas. 

In the Anacostia community of D.C., an 

area of economic resurgence that I have 

toured on several occasions, Enterprise’s 

Wheeler Creek project was a critical link in 

stabilizing a neighborhood that had been 

plagued by a troubled public housing project. 

Wheeler Creek involved development of forsale homes in conjunction with a bank community development corporation, as well as 

a bank’s purchase of low-income housing tax 

credits for rental housing. 

CRA projects also act as catalysts for 

other investments, job creation, and housing 

development. Such infusion of capital into 

these markets leverages public subsidies, 

perhaps as much as 10 to 25 times, by attracting additional private capital. Many of 

these CRA equity investments can be made 

under national banks’ public welfare investment authority. These bank investments 

have grown significantly over the years—totaling more than $25 billion over the past 

decade. Indeed, the OCC recently held its 

Managers Conference at the Grand Masonic 

Lodge on North Charles Street here in Baltimore, a public welfare investment funded by 

a national bank. To meet the demand to invest in similar types of projects, OCC successfully sought legislation last year to raise 

the cap on public welfare investments from 

10 to 15 percent of a bank’s capital and assets. This rise will enable the amount of such 

investments to increase by as much as $30 

billion. 

Interpreting national bank public welfare 

investment authority, OCC recently issued 

an approval related to energy conservation 

that may be of interest to Enterprise. This 

approval clarifies that such authority extends to bank investments in renewable energy tax credits primarily benefiting low-and 

moderate-income individuals and areas, government revitalization areas, rural underserved and distressed middle-income areas, 

and designated disaster areas. The investing 

bank can claim the credits and, in some instances, receive positive CRA consideration 

under the investment or community development testes. 

Your Green Communities initiative, and 

others like it, may be able to take advantage 

of these tools to obtain additional resources 

under the public welfare investment authority, CRA, and other available incentives to 

build many more sustainable homes and 

communities across the country. The research and examples described on your Web 

site demonstrate that moving to a green 

economy can generate a significant number 

of jobs, stimulate economic growth, and create a healthy environment in communities 

that Enterprise serves. 

As the credit market stabilizes, CRA-driven initiatives can also help us tackle challenges such as the preservation of homeownership opportunities and rental housing 

development. Opportunities also lie ahead 

for bank partnerships with Enterprise affiliates and other nonprofits to help mitigate 

the impact of foreclosures in communities 

across the country. . . 

Our nation has accomplished much since 

CRA’s passage. Perhaps even Jim Rouse 

could not imagine how much the flow of 

CRA-related capital and credit has contributed to affordable homeownership, jobs and 

business development, and healthy neighborhoods. In today’s challenging economy, the 

need for the positive results that CRA has 

generated are even greater, and the same is 

true for organizations like Enterprise. 

Thank you very much.’’ 

f 

HONORING JOHN M. MILAM 

HON. CHARLES A. GONZALEZ OF TEXAS

IN THE HOUSE OF REPRESENTATIVES

Thursday, November 20, 2008 

Mr. GONZALEZ. Madam Speaker, I rise 

today to honor a constituent of mine. Mr. John 

M. Milam has just retired after 34 years with 

San Antonio’s transit system, VIA, the last 16 

leading the company as general manager, 

president, and CEO, and I wish to thank him 

for his dedication and for his service to our 

community. 

Over the course of his tenure with VIA, Mr. 

Milam continually embraced change, and the 

system grew and improved in countless ways. 

He was among the first to install GPS tracking 

on VIA buses, ensuring that he knew where 

every bus and paratransit vehicle was at any 

moment, resulting in the best planned routes 

designed with the latest information. VIA acquired newer, more energy efficient vehicles, 

improving their finances as well as the environment. Mr. Milam’s insistence on making 

VIA one of the most cost-efficient transit systems in the country saved the system in the 

mid-1990s and allowed him to expand and improve services, making our public transportation system truly outstanding. 

It is all too easy to take a well-run transit 

system for granted. San Antonians simply expect VIA to be there when we need it, to run 

smoothly, and to provide a restful ride. John 

Milam ran VIA so well he made it look easy. 

But for hundreds of thousands of people, on 

millions of trips, over dozens of years, the efforts of John M. Milam made living in San Antonio that much better. The programs he 

began will continue to improve the area for 

years to come. He leaves behind a great legacy and we can all say, ‘‘John, thanks for a 

great ride.’’ 

f 

HONORING BRANDEN DEMAR 

THOELE 

HON. SAM GRAVES OF MISSOURI

IN THE HOUSE OF REPRESENTATIVES

Thursday, November 20, 2008 

Mr. GRAVES. Madam Speaker, I proudly 

pause to recognize Branden Demar Thoele of 

Kansas City, Missouri. Branden is a very special young man who has exemplified the finest 

qualities of citizenship and leadership by taking an active part in the Boy Scouts of America, Troop 1378, and earning the most prestigious award of Eagle Scout. 

Branden has been very active with his 

troop, participating in many Scout activities. 

Over the many years Branden has been involved with Scouting, he has not only earned 

numerous merit badges, but also the respect 

of his family, peers, and community. 

Madam Speaker, I proudly ask you to join 

me in commending Branden Demar Thoele for 

his accomplishments with the Boy Scouts of 

America and for his efforts put forth in achieving the highest distinction of Eagle Scout. 

f 

EXPRESSING CONDOLENCES TO 

THE FAMILIES OF CARLOS 

MARIN, ARTURO HERRERA, JAKE 

BRISBIN, JR., AND MATTHEW 

PETER JUNEAU 

HON. SOLOMON P. ORTIZ OF TEXAS

IN THE HOUSE OF REPRESENTATIVES

Thursday, November 20, 2008 

Mr. ORTIZ. Madam Speaker, I rise today to 

express my sadness on the untimely deaths of 

U.S. International Water and Boundary Commissioner, IWBC, Carlos Marin, IWBC Mexican Commissioner Arturo Herrera, Executive 

Director of the Rio Grande Council of Governments Jake Brisbin, Jr., and pilot Matthew 

Peter Juneau, who all lost their lives in a September 16 plane crash outside of Presidio, TX. 

I was shocked to hear of the plane crash 

and am deeply saddened by the loss. My 

deepest condolences are with the families of 

those who perished. 

I had the privilege of working with Commissioners Marin and Herrera on numerous 

issues affecting South Texas. They were 

strong advocates of continued cooperation between the United States and Mexico. Their 

service to the IWBC was matched by their 

dedication to improving the quality of life between the two nations. 

I will keep their families in my thoughts and 

prayers. 


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