Steven Sugarman of Banc of California Announces New Commitment to Action – CGI America 2015
June 24, 2015
In 2015, Banc of California and the California Reinvestment Coalition, committed to develop an improved model for community development investment and will create a new $200 million Public Welfare Fund that will capitalize on the expertise of California’s community leaders to evaluate the potential of community investments to address community needs to ensure maximum community benefits. Over the next three years, Banc of California will seek partnerships with at least 12 other leading banks within California reinvestment target areas, to invest in the fund. The capital will be deployed into affordable housing, community development, small and micro business lending and asset building and financial education efforts in low- and moderate-income communities. Through this commitment, the bank will also recruit a seven-person independent community benefits panel with representation throughout California to evaluate investment opportunities based on the prospective community benefits they offer. This community benefit analysis will be coupled with financial and credit assessment to determine the appropriate mix of investments. Finally, side by side with the investment, partner banks will have also commit to a service hour agreement to support fund-related events with pro bono and volunteer services.