FDIC Federal Register Citations

I strongly oppose the proposed changes to the Community Reinvestment Act. Gutting the CRA amounts to pulling the rug out from under those with the least resources. The downstream effect of this will be less money flowing to poor communities, urban and rural, and greater insecurity in those areas. This will in turn lead to increased government transfer payments, growing blight, and a perpetuation of the downward spiral many poor communities find themselves in. The CRA offers a lifeline to poor communities by directing capital to areas where traditional bank financing is patchy at best.

The CRA represents in almost every way the right way to help poor communities. Directing banks to set aside a portion of their business for what amounts to public service is a very appropriate way to insure that the public good--which the government is charged with promoting--is protected and served.

Do not adopt changes to the CRA. In a time when resources for poor communities are reeling from job loss, sluggish income growth, curtailed public services, and minimal prospects for the future, I cannot think of a more cynical, mean-spirited action than to allow the majority of financial institutions a pass on providing services. Indeed, we should be doing much more to make sure that essential financial services ARE available to the poor. Gutting the CRA as the rule proposes is a mistake, it's wrong, and it will hurt America.

Jonathan Watts Hull
Decatur, Georgia

404/378-5955