[Congressional Record Volume 147, Number 1 (Wednesday, January 3, 2001)]
[Extensions of Remarks]
[Page E8]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




     THE RE-INTRODUCTION OF THE FAITH-BASED LENDING PROTECTION ACT

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                          HON. EDWARD R. ROYCE

                             of california

                    in the house of representatives

                       Wednesday, January 3, 2001

  Mr. ROYCE. Mr. Speaker, each day our Nation's religious institutions 
quietly go about performing critical social programs that serve as 
lifelines to individuals and families in need. Besides providing places 
of worship, religious institutions also serve their communities by 
operating outreach programs such as food banks soup kitchens, battered 
family shelters, schools and AIDS hospices. To families in need, these 
programs often provide a last resource of care and compassion.
  Yet, in spite of the clear social good that these programs provide to 
communities across America, we are faced with the growing reality that 
religious institutions are finding it increasingly difficult to secure 
the necessary capital resources at favorable rates that enable them to 
carry on this critical community work.
  Mr. Speaker, today I am re-introducing legislation that I believe 
will help ensure that religious institutions have available all the 
financial resources necessary to carry out their missions of community 
service. The Faith-Based Lending Protection Act, which enjoys 
bipartisan support, seeks to amend the Federal Credit Union Act by 
clarifying that any member business loan made by a credit union to a 
religious nonprofit organization will not count toward total business 
lending caps imposed on credit unions by Federal law.
  Each year credit unions loan millions of dollars to nonprofit 
religious organizations, many located in minority and/or lower income 
communities. Historically, these loans are considered safe and help 
sustain critical social outreach programs. Without legislative action, 
Mr. Speaker, these religious institutions will find it increasingly 
difficult, if not impossible, to secure the necessary funds under 
favorable terms to allow them to continue their work. I urge my 
colleagues to join me in this legislative effort.

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