Washington – RealEstateRama – We commend the Acting Comptroller of the Currency Michael Hsu for agreeing to rescind the OCC’s final rule on the Community Reinvestment Act, originally issued in May 2020.
CRA can be an effective tool in correcting the persistent inequalities in the U.S. housing finance system. NHC has strongly encouraged the three CRA regulators to pursue a united approach to modernization. Effective modernization of CRA must include: 1. Increasing investment in communities that are currently underserved; 2. Extending benefits to more low- and moderate-income people, particularly people of color, who live in those communities; 3. Ensuring that CRA lending and investment does not lead to displacement of the very people it is meant to help; and 4. Making both bank performance and government enforcement more transparent and predictable.
Federal Reserve Governor Lael Brainard played an essential leadership role in bringing the three CRA regulators together and laying a solid foundation for effective CRA modernization. We also commend Chairman Jelena McWilliams for acknowledging the important policy issues we have raised and for recognizing the need for a unified approach among all three regulators.
About NHC: The National Housing Conference is a diverse continuum of affordable housing stakeholders that convene and collaborate through dialogue, advocacy, research, and education, to develop equitable solutions that serve our common interest.