The state's 1982 CRA statute includes credit unions and uninsured financial institutions, as well as banks. Massachusetts' rating system also grants CRA credit for investments in certain state programs, such as the state's Capital Access Program for Small Businesses. Unlike New York, Massachusetts does not share its findings with the public or educate community leaders on using CRA ratings. While the state has never quantified the specific benefits of its own ratings system, state officials report that in 1990, home mortgage loans to minorities and in low-income areas within the state were below the national average. Today, the state's lending in these areas is twice the national average.
Officials attribute the turnaround to the coordination of state and federal ratings systems.
In addition to state agencies, the work group contacted several national policy organizations that focus on community reinvestment. These organizations helped identify active community reinvestment projects around the country and suggested options for improving community reinvestment activities. Josh Silver, vice president for research and policy at the National Community Reinvestment Coalition suggested a unified strategy for addressing community reinvestment needs. The ombudsmen would need a working knowledge of state resources, an understanding of regional problems, and a familiarity with the federal community reinvestment ratings system. To be effective, an ombudsman would also need a knowledge of the financial institution application process for mergers, acquisitions, expansion and closure of financial institutions.