From: diane@newventurenetwork.com [mailto:diane@newventurenetwork.com]
Sent: Wednesday, October 20, 2004 8:23 AM
To: Comments
Subject: RIN 3064-AC50
Re: Preserving the Community Reinvestment Act
Mr. Robert E. Feldman
Executive Secretary
Attention: Comments/Legal ESS
Federal Deposit Insurance Corporation
550 17th Street NW
Washington, DC 20429
Dear Mr. Feldman:
As a socially responsible investor, I am aware of the vital role played by CDFIs in revitalizing communities through affordable housing and small business startups. The Community Reinvestment Act has provided banks with an important incentive to work with CDFIs and provide vitally needed capital to struggling communities.
When I was the director of a small community-based nonprofit organization, CRA support was crucial to our functioning and survival. Because of the support we received from a local bank, our organization was able to offer economic development assistance to a larnge number of small businesses in the community. Had we not been able to leverage ourCRA support, we would not have been able to make as bigan impact in the community as we did.
I urge you to withdraw the FDIC’s rule proposal that would allow midsize banks to pursue only one of the three important community development activities they are now required to undertake: lending, investment, and services. I believe that this misguided rule would mean a devastating reduction in support for the essential work of CDFIs, resulting in fewer jobs, fewer affordable homes, and fewer community services.
Yours Sincerely,
Diane Franklin
Contact: regs@fdic.gov