[Congressional Record Volume 141, Number 80 (Monday, May 15, 1995)]
[Senate]
[Page S6687]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


      OREGON RECIPIENTS OF OUTSTANDING COMMUNITY INVESTMENT AWARDS

  Mr. HATFIELD. Mr. President, as Congress begins the difficult task of 
confronting our Federal deficit and addressing the needs of our less-
developed communities, we must focus on innovative ideas to meet these 
needs. Bureaucracy has often failed to provide successful solutions, 
making the formation of public-private partnerships necessary to 
jointly aid neighborhoods. Successful community development must be 
locally specialized. Attempts by Congress to write a Federal 
prescription for our Nation's underdeveloped communities will not 
succeed unless these strategies are sensitive to the diverse needs of 
those localities.
  One organization is making a difference in developing communities by 
providing localized, market-guided assistance. The Social Compact is a 
coalition of hundreds of leaders from the financial services and 
community development industries who have combined their forces to 
strengthen America's at-risk neighborhoods, both urban and rural. 
Firmly grounded in John Locke's thesis of a covenant between members of 
society and the community from which one has prospered, emphasizing 
commonalities rather than accentuating differences, the Social Compact 
advocates a voluntary call to action, mobilizing institutions to invest 
their unique capabilities in neighborhood self-empowerment 
partnerships.
  The Social Compact each year recognizes participating partnerships 
for their achievements in community development. I am pleased to 
announce that two partnerships in Oregon, the Portland Community 
Reinvestment Initiatives partnered with the U.S. Bank of Oregon, and 
the Northeast Community Development Corp. partnered with First 
Interstate Bank of Oregon, each received the Social Compact's 1995 
Outstanding Community Investment Award.
  Portland Community Reinvestment Initiatives and U.S. Bank of Oregon 
were recognized for their efforts in reclaiming 350 properties located 
in some of Portland's most vulnerable areas. This pioneering response 
to an unprecedented affordable housing crisis in northeast Portland has 
given residents the opportunity to become homeowners and improve the 
supply of quality, affordable rental properties as a permanent 
community asset. Portland Community Reinvestment Initiatives was 
created by the city of Portland in an effort to provide a long-term 
remedy for large scale foreclosures facing northeast Portland. U.S. 
Bank of Oregon stepped forward with a pioneering financing solution. 
The outcome of this teamwork resulted in one-third of the homes being 
purchased by lower-income families and the remaining units are being 
rehabilitated into affordable rentals.
  The Northeast Community Development Corp. and First Interstate Bank 
of Oregon were recognized for developing a comprehensive program to 
provide the opportunity for homeownership for 250 Portland families, 
reclaiming 4 vulnerable inner northeast Portland neighborhoods. 
Initially funded by a Federal Nehemiah Housing Opportunity grant, the 
Northeast Community Development Corp. original aim was to construct and 
renovate 250 single-family homes that would later provide first-time 
home ownership opportunities for lower and moderate-income families.
  First Interstate took the lead in the project by providing 
construction financing, grant funding, and a line of credit for the 
development of the first five demonstration homes. First Interstate 
provided additional assistance by organizing a consortium of six local 
leaders to commit $1.9 million in construction financing and first-time 
homebuyer programs for potential borrowers. As a result of this 
private-public teamwork, property values are rising in targeted areas, 
crime is decreasing, and residents have a renewed sense of pride in 
their neighborhood.
  The ethic of civic responsibility and the spirit of community are 
fundamental principles which have guided our country's evolution. The 
award recipients from Oregon are stellar examples of these virtues in 
our modern times. They should serve as reminders of what can be 
accomplished when government acts locally in a creative alliance with 
the private sector.


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