[Congressional Record Volume 145, Number 63 (Tuesday, May 4, 1999)]
[Extensions of Remarks]
[Page E854]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




        THE COMMUNITY REINVESTMENT ACT--MAKING AMERICA STRONGER

                                 ______
                                 

                       HON. JANICE D. SCHAKOWSKY

                              of illinois

                    in the house of representatives

                          Tuesday, May 4, 1999

  Ms. SCHAKOWSKY. Mr. Speaker, today, the Leadership Conference on 
Civil Rights sent a clear and loud message to Congress--stop the attack 
on the Community Reinvestment Act (CRA). Enough is enough.
  I wholeheartedly agree.
  The Leadership Conference on Civil Rights is an impressive coalition 
of more than 180 national organizations, representing people of color, 
women, children, labor unions, persons with disabilities, older 
Americans, major religious groups, gays and lesbians and civil 
liberties and human rights groups. In a collective voice, the 
Leadership Conference on Civil Rights, once more, made it known to 
those who stubbornly want to believe otherwise, that the Community 
Reinvestment Act is a success.
  Since its enactment in 1977, financial institutions have made more 
than $1 trillion in loans in low-income communities. More than 90 
percent of these loans came in the past seven years. As a result, 
neighborhoods have prospered, communities have flourished, small 
businesses have succeeded and the quality of life for many has 
improved.
  Today's Washington Post wrote,

       . . . Since 1977 federally insured banks have been subject 
     to the Community Reinvestment Act, requiring them to seek 
     business opportunities in poor areas as well as middle-class 
     and wealthy neighborhoods. The law, a response originally to 
     clear evidence of bias in lending, has worked well. It 
     doesn't force banks to make unprofitable loans, but it 
     encourages them to look beyond traditional customers, and 
     it's had a beneficial effect on home ownership and small-
     business lending.

  Many banks share this view. John B. McCoy, President and CEO of one 
of the largest and profitable banks in the nation, Bank One, testified 
before the House Banking Committee on February 10 that his bank is 
``working effectively and successfully with CRA.''
  However, there are those in Congress who are attempting to undermine 
the success of the Community Reinvestment Act, either by refusing to 
expand it or calling for its outright end.
  I hope that my colleagues were listening today. The Community 
Reinvestment Act is a wise investment with a sure return. I applaud the 
efforts of the Leadership Conference on Civil Rights and join in their 
crusade to protect and expand the Community Reinvestment Act.

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