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HomeMy WebLinkAboutReso 1991-16414 RESOLUTION NO. 16414 RESOLUTION OF THE CITY OF CHULA VISTA ESTABLISHING A POLICY REGARDING THE COMMUNITY REINVESTMENT ACT WHEREAS, the Community Reinvestment Act (CRA) of 1977 confirmed that government chartered banks and savings institutions have a "continuing and affirmative obligation to help meet the credit needs of the local communities in which they are chartered", including the needs of low and moderate income neighborhoods and small business; and, WHEREAS, the 1989 FIRREA legislation (the "savings and loan bail-out bill") included amendments to the Community Reinvestment Act which significantly increased the power of the Community Reinvestment Act as a community development tool; and, WHEREAS, Community Reinvestment Act guidelines applying to federally regulated lenders include: 1) ascertaining community credits needs; 2) helping to meet housing and small business credit needs; 3) marketing special programs to target groups; 4) addressing geographic distribution of branches; and 4) participation in local community development and redevelopment projects or programs; and, WHEREAS, the Council has adopted an objective in its Economic Development Plan to "pursue development of a Community Reinvestment Act strategy to encourage lenders' participation in economic development activities; and, WHEREAS, the Economic Development Commission subcommittee is taking a leadership role in pursuing these strategies, including the assimilation of a group of resource people to act as advisors and liaisons to other community groups. NOW, THEREFORE, BE IT RESOLVED by the City of Chula Vista that it shall be the policy of the City to encourage every federally regulated local lender to develop and implement a community reinvestment plan in conformance with Community Reinvestment Act goals and local housing and economic development goals. Such plans could include, but not be limited to: mortgage and special home improvement loan programs for lower income and minority households; special loan programs for small business clients; sponsorship of educational workshops for targeted residential and commercial consumers; participation in affordable Resolution No. 16414 Page 2 ' housing and economic development loan programs sponsored by the City or Redevelopment Agency, federal government and/or state government; and support of local non-profit groups involved in affordable housing and/or economic development activities. Presented by Approve as ~form Chri s Sal omone gaar Community Development Di rector City Attorney Resolution No. 16414 Page 3 PASSED, APPROVED and ADOPTED by the City Council of the City of Chula Vista, California, this 12th day of November, 1991, by the following vote: YES: Councilmembers: Grasser Horton, Malcolm, Moore Rindone NOES: Councilmember: None ABSENT: Councilmembers: Nader ABSTAIN: Councilmembers: None Leonard M. Moore Mayor Pro-Tempore ATTEST: ~uthelet, City Clerk STATE OF CALIFORNIA ) COUNTY OF SAN DIEGO ) ss. CITY OF CHULA VISTA ) I, Beverly A.Authelet, City Clerk of the City of Chula Vista, California, do hereby certify that the foregoing Resolution No. 16414 was duly passed, approved, and adopted by the City Council held on the 12th day of November, 1991. Executed this 12th day of November, 1991. Be~h~e~e~