Bill would force banks into community service
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Legislation introduced Tuesday in Pittsburgh City Council would force banks that are doing business with the city to spend some of their money on disadvantaged residents and neighborhoods.
The bill, sponsored by Councilman Bill Peduto, would require the city's depositories, now numbering about a dozen, to develop and implement "community reinvestment plans." Among other provisions, the banks would have to set goals for participating in neighborhood development programs, assisting minority-owned businesses and making loans to low-income residents.
The city controller would rank the banks based on fulfillment of their plans. Council would give more city business to highly ranked banks and withdraw business from the others.
Mr. Peduto's bill would set minimum standards while encouraging banks to compete for the highest ranking.
First Published October 14, 2011 12:00 am