Ohio Bank, a bank whose time has come - again?

I am going to propose to the Board of Trustees of Cincinnati Change that we explore the creation in Ohio of a new Federal Bank. The bank's capital would be used to buy Ohio institutions bad loans and rework at least 600,000 of them, residential and commercial. It would be syndicate of all Federal Reserve Banks through the Cleveland Fed.

This will be like trying to land the space shuttle, we know what to do and can do it but it up to forces beyond our direct control for the actual feat to be accomplished safely.

We will have to raise over 2 million dollars in cash and sweat equity to even attempt it. This will include at least a million in cash of which approx. $350,000 will be spent on SEC & TARP qualified documentation preparation, another $150,000 on lawyer fees, $50,000 plus association memberships, $300,000 on staff salaries and organizations operations with over $100,000 spent in Washington DC with federal authorities by our representatives. This will be through a 501(c)3 that will act as fiduciary as we use the institution to create the financial intermediary whose services are sold on a means tested basis. The 501(c)3 would allow investors to write off the organizing expenses and be the peoples representative force on the board of directors of the institution.

It would focus operations on those whose households have been foreclosed on, have been bankrupted, are in foreclosure or bankruptcy, have health problems that threaten their household and home, have troubled house loans, have troubled federal and or state commercial debt, the homeless, veterans, and are first responders that includes active duty military, public safety and health professionals.

This bank would apply for funds under TARP authority under the Congress of the United States and the newly installed government of the People through the President of the United States Barack Obama. It addition it will work with other federal agencies such as HUD to address the housing crisis in Ohio.

We will ask him [President Elect of the United States Barack Obama] to excise his powers, by January 21th 2008, under established federal law such as OMB A-76 authority.

My organization has been a member of the National Community Reinvestment Coalition [NCRC] since 2001. We will look to draw on the experience of NCRC and its members, including our Ohio members such as Cincinnati Change [organizer under Fred Hargrove, Sr. PE, MBA], OneCommunity [electronic networks] and NCRC board members Morris Williams [grassroots CRA advisory organizer] and Dean Lovelace [public sector representation committed to CRA].

The National Community Reinvestment Coalition was formed in 1990 by national, regional, and local organizations to develop and harness the collective energies of community reinvestment organizations from across the country so as to increase the flow of private capital into traditionally under served communities.

NCRC is an association of more than 600 community-based organizations and governmental members that promote access to basic banking services, including credit and savings, to create and sustain affordable housing, job development, and vibrant communities for America's working families.

Other members include community reinvestment organizations, community development corporations; local and state government agencies; faith-based institutions; community organizing and civil rights groups; minority and women-owned business associations as well as local and social service providers from across the nation.

NCRC pursues its work through a variety of partnerships and programs; we would promote this as one program that can bused by other states to solve this problem.