    [Public Papers of the Presidents of the United States: William J. Clinton (1995, Book I)]
    [April 19, 1995]
    [Pages 553-554]
    [From the U.S. Government Publishing Office www.gpo.gov]

    Statement on Reform of Regulations Implementing the
    Community Reinvestment Act
    April 19, 1995

        Today I am pleased to announce completion of a commitment I made to
    reform the regulations implementing the Community Reinvestment Act.
    These reforms help fulfill two important promises I made to the American
    people: to increase access to credit for all Americans and to decrease
    Federal regulatory burdens.
        Combined with my administration's community development banks and
    financial institutions initiative, the Empowerment Zone/Enterprise
    Community program, an expanded earned-income tax credit, and our
    continuing effort to strengthen the economy, the reformed Community
    Reinvestment Act regulations will give many more Americans a chance to
    realize the American dream by greatly expanding individual opportunity--
    empowering every American to improve their own lives.
        At a time when funding from all levels of government is scarcer and
    scarcer, the ability of our communities to help themselves takes on
    special importance. That's what the Community Reinvestment Act is all
    about.
        With the new regulations in place, the statute will increasingly
    have a positive impact on the lives of countless Americans who work and
    play by the rules. Many more financial institutions will discover new,
    profitable lines of business. And it doesn't cost taxpayers a dime. It
    can create miracles in small towns and big cities from coast to coast,
    miracles like mortgage or business loans for people who never thought
    they could own a house or business, multifamily housing loans, and
    commercial development loans in low to moderate income communities.
        To maximize the benefits that can accrue to both banks and
    consumers, the final regulation issued today by the Office of the
    Comptroller of the Currency, the Office of Thrift Supervision, the Board
    of Governors of the Federal Reserve, and the Federal Deposit Insurance
    Corporation will place emphasis on performance, not paperwork. The new
    regulations will make the act easier for banks to implement and will
    result in more consistent evaluation of their performance. With these
    improved regulations

    [[Page 554]]

    in place, the statute can reach its full potential to help our
    communities help themselves. Now is the time to end uncertainty and get
    on with business, not to tinker with the statute.
        Producing this final regulation has taken a lot of effort on the
    part of the regulators and has involved excellent input from financial
    institutions and community groups throughout the country. I want to
    congratulate and thank everybody who participated in this process.