Newsflash Apr. 18, 2013
Canton Housing Authority Announces the Start of Rehab Project
In the coming months, the Canton Housing Authority will provide critical home repairs for 45 very low- to low-income homeowners in Canton, Mississippi. This initiative is funded by the Housing Authority, the Federal Home Loan Bank of Dallas, and CDBA member BankPlus. FHLB Dallas and BankPlus awarded the housing authority a $495,000 Affordable Housing Program (AHP) grant in 2012 to help fund the project. "I'm excited to work with the Canton Housing Authority to assist eligible households in Canton with needed home repairs," said BankPlus First Vice President and Director of Affordable Housing Mark Ouellette. "This is something we've discussed over the years and upon presenting the grant application in 2012, the Federal Home Loan Bank of Dallas decided to fully fund the request. I believe this collaboration will have a tremendous impact on many deserving families."
De Novo Banks Need a Niche
Eighteen investors—many of them Amish—are planting the seeds for a new community bank outside Lancaster, PA. If the investors can convince regulators that the new institution will thrive, Bank of Bird-in-Hand would become the first de novo in the United States in more than two years. Though many are watching its progress with regulators closely, the hopeful startup is unlikely to see much company, at least over the next year, according to lawyers, consultants, and investment bankers. The regulatory and economic factors that froze de novo activity for the last few years remain in force. In addition, changes in technology and customer behavior could conspire to make the traditional startup a thing of the past—or at least a lot more difficult. Many attorneys and consultants feel the FDIC has been discouraging the formation of new banks since late 2008, preferring that investors plow money into existing institutions that need capital to survive. In 2009, the agency tightened oversight of startups, which have been rare in the years since. The country's last new bank, the $39 million-asset Start Community Bank in New Haven, CT, opened in the fourth quarter of 2010.
This newest issue of the Community Development Investment Review, published by the Federal Reserve Bank of San Francisco, provides 2 types of resources for those interested in Pay For Success models: First, it seeks to serve as a comprehensive resource for the most current thinking on the origins, models, and potential implications of Pay for Success. The second is to encourage readers to weigh its exciting potential against its possible pitfalls. Pay for Success is a tantalizing idea, but it raises important questions. Are we privatizing important government services that should remain under public control? How can we accurately measure and enforce “success”? Can we guard against fraud? Can we effectively balance our often-conflicting goals of equity, efficiency, and efficacy? Understanding and answering these, and other, questions is a crucial first step before widespread adoption of Pay for Success tools.
Members of a House Financial Services subcommittee sparred with federal regulators Tuesday as the lawmakers sought to define which financial institutions may be considered “too big to fail” and whether the Dodd-Frank financial law adequately addressed the issue. Under Dodd-Frank, the Federal Reserve and the Financial Stability Oversight Council may dismantle some of the largest firms if they are deemed to pose a “grave threat” to the financial stability of the country. But members of the Oversight and Investigations Subcommittee and witnesses from the Federal Reserve Board of Governors and the Federal Deposit Insurance Corp. struggled to nail down how to define “grave threat.” Scott G. Alvarez, General Counsel of the Federal Reserve Board of Governors, told the subcommittee that “no, we have not” defined grave threat. Alvarez noted it would depend on the size and type of institution and the circumstances.
This summer, Breakthroughs with Martin Sheen will debut a new report showcasing the growing popularity of community banking institutions. Martin Sheen Breakthroughs is talking to banking customers and banking executives to learn more about the growing popularity of community banks. Ever since the economic collapse of 2008, many people have moved their accounts from large banking institutions to small community banks and credit unions. The additional personal attention, involvement in the community, and different loan qualification practices have made small banks an attractive alternative for many banking customers. In this new report, Martin Sheen PBS will show how these small banks are thriving in a marketplace where many of their customers have left larger banks behind.
Successful government and private strategies to rebuild poor neighborhoods cannot focus narrowly on a single problem, but must address several factors in a coherent way, Federal Reserve Board Chairman Ben Bernanke said last Friday. In a speech at a Fed conference on community redevelopment, Bernanke said this holistic approach "is easier said than done." "Community development is a complicated enterprise," Bernanke said. "But substantial coordination and dedication are needed to break through silos to simultaneously improve housing, connect residents to jobs, and help ensure access to adequate nutrition, health care, education, and day care."
City First Bank of DC - Multiple positions (Washington, DC)
Chief Credit Officer: Responsible for managing the credit administration and loan documentation functions of the Bank’s loan portfolio. This role will also ensure that the lending culture of the bank is effectively communicated, implemented, and reinforced within all lending areas as well as establish written loan and credit policies, practices, and procedures which meet regulatory safety and soundness standards for Board approval. The CCO will oversee the bank’s non-performing and underperforming loans and assets to ensure acceptable level of problem loans, past due loans, and loan documentation issues are managed. The CCO will provide management reports on all loan and Allowance for Loan and Lease Loss (ALLL) calculations and making recommendations to executive management and the Board of Directors for quarterly allocations to the Allowance for Loan Losses.
Relationship Manager: Responsible for soliciting new business and managing customer relationships to real estate customers, small businesses, and not-for-profit organizations (including churches and charter schools, among others). Real estate activities generally include loans for the acquisition or renovation of nonresidential owner-occupied real estate. In addition, the prospects include office, retail, shopping strips, warehouse, industrial, facilities, and land development, primarily for investment purposes. The position reports to the Chief Lending Officer. The Relationship Manager is also responsible for all phases of loan and deposit production, including lead generation, underwriting, closing, relationship management, and portfolio monitoring and is an officer of the Bank, participating in the Directors’ Loan Committee (DLC) of the Bank, and other staff meetings as required.
Senior Underwriting Specialist: Responsible for reviewing loan applications from individuals and businesses, calculating the credit risk, and recommending a decision on the application. The individual is highly knowledgeable in all aspects of commercial and commercial real estate lending and has the capacity to offer expertise on loan structuring and financial assessment. Based on the their expertise, the Specialist has the capacity to support other Bank Staff in conducting financial analysis and providing loan decisions and credit recommendations based on a review of all underwriting criteria including collateral, interest rate, loan structure, and fees.
Mission Housing Development Corporation - Director of Housing Development (San Francisco, CA)
Mission Housing Development Corporation develops high-quality, well-managed, affordable, and sustainable homes and communities that promote the self-sufficiency of low and moderate income families, seniors, and persons with diverse needs. The Director of Housing Development is responsible for the completion of permanent affordable housing projects, the preparation and completion of affordable housing project applications, and the research and securing of future sites for permanent affordable housing.
ACCION Texas - Loan Officer (Dallas/Fort Worth, TX)
ACCION Texas seeks two Loan Officers in the Dallas/Fort Worth area. The Loan Officer will be responsible for development and growth of ACCION Texas small business lending in the Dallas-Fort Worth market by interfacing with banks, borrowers, and the business community to identify small businesses that do not have access to loans from commercial sources.