Unlike many inner city communities where the lack of grocery stores is often abysmal, I have ready access to multiple full service stores (2, lol.) and a weekly farmers market, largely because I am gentrification’s next door neighbor. It is a veritable food oasis (rather than a desert like many other neighborhoods in beloved B’more, I suppose.). Albeit, a fabulous convenience which when lacking is often cited for the food access troubles of the inner-city, it had not stop me from regular take out.

Consequently, ever since I started, what I like to affectionately call “AA for Fat Folk” (working on changing a ‘smedium big girl’ to a smaller girl, lol), take out has gone by the way side and my new found mild obsession with food and fitness has made the trip to the grocery a frequent occurrence and has caused me to think way too deeply about both access to food and what we do with it. And it came upon me in a dream (or while I was reading this) that while both financial and physical access is crucial it is not the only issue related to bringing affordable healthy food to the inner city, the carryouts and chicken shacks will continue to thrive if how people view food is not also addressed.

For instance, two weeks ago while standing in line at the grocer, I noticed very few carts had anything fresh. As it was the 1st of the month in the urban core (WIC, TANF, Food Stamps all arrive then), many carts were full of a months worth of groceries. Several of the carts near me belonged to mothers with children. With the exception of one person other than me, not one cart had an identifiable fresh vegetable in it. Hungry man dinners, Chicken nuggets, high fructose corn syrupy juice like drink things? Yes. But vegetables, frozen or fresh? Few and far between.  Hence the “pressure”, “sugar”, and “little bit of weight” problems pressing down floating about the core in alarming numbers.

Could age have something to do with it? Probably. Many heads of households inner-city are young and many of their parents were young when they had them. But more so its changing the cultural paradigm around what food means Eating habits are passed on. My neighbors seem to constantly be bringing home “Chicken Boxes”, “Mickie Dees”, and the “Carry Out”. Since my weight loss seems to have become a “concern” for some of my neighbors, these discussions have also identified the thought that food that’s good for you does not taste good—ever and that buying healthy is breaking the bank.  And I have even had several say that giving up Soul Food , which is often full of cholesterol, and high in fat, is the “mans” way of trying to control folks of color—many times.” (Now, before some you Soul Food loving folk chop off my head, I am not saying, folks should give it up all together. It is an important part of African-american culture. I am saying that it cannot be the largest part. )

Since, as I have already demonstrated, I am nosey, I have been talking up eating healthy every time someone tells me not to get “too skinny”. Lately, I have been giving away lots of samples. Two of my neighbors often tell me that they did not know that fresh vegetables could taste so good without lots of fatty additions. Or that baked meats do not have to be bland or seasoned with salt. And this leads me to the question I have been toying with for weeks, how do we change cultural paradigms to get folks to adopt healthy eating habits. How do we demonstrate that buying healthy food–while a bit more costly–can still be done and last.  If we really want to impact the health of inner city residents,  seems it’s a matter of showing and proving.

Today on Daily Kos, there was very haunting and sad post about Dayton, Ohio. Dayton, the home of the first flight and the first cash register is the empitome of what has happened to many small and mid-sized cities whose middle class was created through the promise of hard, but good paying work at factories.

Here is the link to the pictoral tour of modern Dayton.   Speechless.

                                     by Michael Nathans, Guest Blogger

 There are no ’silver bullets’ or ‘quick-fixes’ to building or rebuilding a good credit history. And for the underbanked-particularly those without a “traditional” credit file at Equifax, Experian or TransUnion-establishing creditworthiness without running out and getting a high cost credit card, auto loan, or mortgage, this is especially true.  

 However, meeting the challenge of helping the underbanked build a good credit history just might start with a verifiable rent receipt. And the way it works, is perfectly designed for credit unions (CU’s)-particularly community development credit unions that often offer services in underbanked communities. The service is designed to pay significant dividends to CUs and their members because of the cash savings it makes possible on auto loans and mortgages, utility hook-ups and phone service.  Helping consumers achieve these cost savings translate into new members and increased loyalty for CUs and savings accounts and assets, as well as a credit history and FICO Expansion Score that could even qualify members for insurance discounts and new employment.

 The service is called Payment Reporting Builds Credit (PRBC).  The service can enable CU members to supplement (not replace) their so-called traditional credit reports and scores by building a credit file with FICO Expansion Score using the regular traditional monthly bills they pay– rent payments, private loans and mortgages, utilities, phone, cable, insurance, self-storage, rent-to-own, day care, and even regular deposits to a savings account (which have long been recognized by the FHA and GSEs as ways to determine credit worthiness) through a CU’s bill payment service and/or manually through the CU’s own web site. And it is specifically designed to be offered by financial institutions under their own brand identities on a private label basis to their customers.  

Sounds great, right? Well it is and it can be especially beneficial to CU’s as they work to grow deposits and membership. After all, many community development finance experts have advocated for such a system for years and the concept has garnered considerable traction. And it not only sounds great but is sanctioned under the Equal Credit Opportunity Act, Section 202.6. The Act states that users of credit reports and scores MUST consider a credit applicant’s ’shoebox full of paper receipts’ or a report like the PBRC Report with FICO Expansion Score evidencing payments on accounts that they are responsible for (spouses can get credit for accounts listed only in the other spouse’s name too) in addition to those reflected in their Equifax, Experian, and TransUnion report, upon the applicant’s request. 

Reviewing these additional documents does not only benefit the un- or underbanked, but it can greatly assist lenders, service providers, insurance companies and employers to gain a more complete and accurate picture of their applicants’ true creditworthiness by using this supplemental information, particularly with a FICO Expansion Score.

PRBC was founded as a for-profit with a social mission and was launched with a grant from the Ford Foundation and matching financial support from its private sector founders, Fannie Mae, Freddie Mac, Citimortgage and IBM.  ACCION, Omidyar Network, Total Technology Ventures, Maryland Technology Venture Fund, Bristol Investments, and the Center for Financial Services Innovation have also invested in the venture and provide technical assistance to the organization.

The opportunity for CUs to capitalize on the PRBC service which has been designated as an “innovative and responsive community development service” under the Community Reinvestment Act, may be particularly ‘ripe’ in the current economic and regulatory environment. The service enables CUs to offer a legitimate and equal opportunity for both “thin file” and no-score, as well as “thick file” and low-score consumers to establish or re-build a good credit history and FICO score WITHOUT the need to go deeper into debt (or acquire new, high cost debt) in order to prove their willingness and ability to pay their financial obligations on time.  Furthermore, CUs could beat banks that are subject to CRA regulation to the ’starting line’ by offering this service to their members,

Additional information and articles about PBRC can be found here.

Michael Nathans is an Executive VP for MicroBilt Corporation and the founder and Chief Development Officer for  Pay Rent, Build Credit, Inc., dba PRBC^® and Payment Reporting Builds Credit^®, a national credit bureau. PRBC was launched to supplement automated underwriting and risk based pricing decisions using bill payment data such as rent, utilities, phone, and other commonly recurring monthly payments which are not measured via traditional credit reports and scores. During the five years prior to forming PRBC, Michael was a Senior Manager at PricewaterhouseCoopers in the Asset Securitization, Mortgage Banking, and Financial Risk Management Practice Groups based in Washington, DC.  Michael has over 25 years of finance and risk management experience.

 As you can imagine from the title, I am not a fan. And though it is merely a bill at this point, I am still not a fan of it. CRA definetely needs to be fixed (it is most definetely broken), but I don’t think CDCU’s should even be on the target list.  I mean, Community Development Credit unions by the nature of what they do, already provide access to capital in underserved communities–both rural and urban in way that CRA in its current structure does not (don’t get me started on the fact that financial institutions with CRA needs seem hell bent on anything in Cali or New York–which I don’t think was the intent.)

Read the Federation’s (formerly the Federation of Community Development Credit Unions) response to the act here.  And the NCRC’s favorable view of it here. What say you, you CRA experts?

Over the past weekend, I had the pleasure of meeting a lovely middle aged woman named Jane*, while helping some friends of mine fix-up the steal of a deal fixer upper they just purchased. Over the 24 hours of moving things, sanding cabinets, and scrapping off 40-year old contact paper and various and a sundry shelves, Jane shared her a good portion of her life story with me. The story was both heart-breaking and infuriating.

In short, 14 months ago, Jane lost her job at 55 years old. As the job market has continued to unravel, she has given up or lost her home, her car, many of her prized possessions, and to some extent her pride. She has been diligently searching for a job with each interview ending the same way, they either thought she was too old or too qualified and would leave if something better came along (I wish as an interviewee, one could ask the interviewer “how do I know if I say I’ll be here for 2 years, you will keep me for at least 2 years?”, but I digress.).  She is praying that what little she has left in a storage unit will not be auctioned off at the end of the month, and she has literally begged her cell phone company to give her one more month.

In the last few months, Jane has become almost entirely reliant on friends to keep a roof over her head. She is homeless–though not in the sense we almost always imagine in hearing the word. She is apart of the growing number of folk that have lost a job and a home. They are not sleeping on the street, or at a shelter or even in their car, but are shifting from couch to guest room as they try to stay economically afloat. No job. No home. She is dependent on the kindness (and/or tolerance) of friends and relatives.

Jane’s particular situation demonstrates the disconnect that exists between the haves and have nots as the economy continues to unravel around us. See Jane has some well-off friends, but none of them are willing to help her. One rich Beverly Hills friend who lives alone told her, that she is unemployed because of “bad choices”, and therefore she couldn’t let Jane stay with her. Another said she needed to be able to have “alone time” in her 4-floor house with a rarely used finished basement. (It is only because of a friend who is living much closer to paycheck to paycheck and is supporting someone else who also lost a job that Jane currently has a roof over head.)

Jane’s friends are just a localized version of the “disconnect” shown in all of its glory on the Hill and in the media as they gravitate between ‘let them eat cake’ in the form of tax cuts, and patting financial institutions with bailout funds on the back while they do nothing but hold on to the funds. I know at least 10 people who are currently out of work. They are trying to decide how much longer they can afford their rent, their mortgage, or their car. Folks need jobs. Not tax cuts. Nobody is going out to buy a big screen TV with it.

Some ideas that could help put people back to work, train the long-time unemployable, and increase the size of the middle class are largely absent from the stimulus. How about some RFP’s to address our crumbling infrastructure? That would connect private industry to job creation. How about some access to the training programs that are afforded to some TANF recipients in some states for those who have been unemployed for more than six months? How about encouraging cities to take back abandoned houses and create opportunities for entrepreneurial non-profit and for profit organizations with a way to reposition the properties like NYC has done with the Neighborhood Entrepreneur Program? How about supporting some funds for small business—the nation’s largest employer? All of these things are key to maintaining viable communities to live and work.

The same old tax cut, entitlement spending, and cuts to programs that encourage future growth (uh, education any one?) ain’t gonna do it. But as Kevin Costner once said, “In America, they’d rather give you a handout then give you a job.” I guess the latter is too much like right.

* Jane is not her real name, duh.

Every weekend I’m home in Baltimore, I find out something new I love–and all of it has to do with the reverence to local commerce so many in Baltimore seem to embrace.

I live 5 blocks from a year-round outdoor farmers market and a 20 minute walk from a fancy indoor one.

I can get free books from a local guy who decided to start a free store after collecting so many books from patrons at the pub where he bartends.

I can drink cheap and dance till I can’t stand at a very local and very lively Melba’s.

And I can have what is supposedly the best Thai in town just 8 blocks away.

I can eat a great meal at a gazillion local restuarants that do not have that “this restaurant in Albequerque looks just like one in Cleveland” feel.

I can buy every single one of my friends and family a gift for any holiday without ever stepping foot in a big box if I wanted.

I recently realized, even before deserting that great city of NY I have always had penchant for local stuff–sure you will have to go to a big box at some point to buy paper towels and other things, but local is lovely.  And local is paramount to helping communities remain stable and pushing transistioning neighborhoods toward continued good growth.

Research has shown that for every $100 spent in a chain only $13 on average stays in the local community.  That number goes up to $45 when you buy local.  That’s jobs, thats good bought and sold to other businesses. Thats community development.

And with the continued growth of social media and the maturing of the “Internets”, there is no excuse to not be able to buy some things local.  Some might argue that buying local costs more–and that might be true if you live in a community who’s only close by shopping options are the big boxes–but thing about all the charges that are added on to flying your apple from Washington when there is an apple orchard a county away.

Start with some of your groceries. Sites like Edible Communities have links to several cities and regions where listing of local grocers, producers, and even restaurants that only serve local food can be found.  At Sustainable Table you can find additional “buy local” resources and lots of great data on the benefits of doing even just a little bit.

Looks like I will be home in Baltimore this weekend. Lets see what else I can find!

So, a couple weeks ago, Ms. Deborah Gore Dean, a former HUD official under the infamous Samuel Pierce reign was kind enough to pay the Crib a vist.  She left a hefty behind a hefty comment that I decided to give its own post.

And of course, that comment led to another comment. A comment that has been sitting in the “approve” que for more than a week because I was going to write a post about it–since ACORN seems to not be able to get off the hot seat.

Instead, I’d like to know what you think, and  hope that all of you knowledgeable folks who read this blog will take some time to leave a comment in the comment section (BTW–YOU CAN LEAVE AN ANONYMOUS COMMENT IF YOU PREFER) Here it is:

I, for one, would encourage people in any party, to revisit the late 1990’s reasons for abolishing HUD. They are all still good reasons. And if that is not an option, then how about radically reducing its budget? If that is not an option, then regulate it and the abusive housing agencies it sponsors with our taxpayer money?… Why do I, and others feel that way? Because HUD is perceived by many to be “Federally Sponsored” thugs.

Why is it that year after year, the American public is floored by what happens in leadership there? The corruption, the waste and misuse of taxpayer dollars.

·         http://theeprovocateur.blogspot.com/2009/01/inside-story-of-acorn.html

“Whenever ACORN receives any money, be it from the federal government or other resources, it first goes to CCI. Then, CCI filters that money to anyone of ACORN’s affiliates. Of course, this creates all sorts of room for malfeasance.”

 I have actually personally heard from from leadership at ACORN that wants change, that ACORN “pimps its own people” to line their own pockets – with OUR taxpayer money. HUD and these same sponsored agencies are out shaking down realtors, lenders, mortgage brokers, and banks. Not to help actual hosuing victims, but to line their own pockets.

There is a prevailing attitude by HUD and these so called “Housing Advocates” that actually scream “victim” and then they victimize by bending the law, bullying, and coercing “donations”. And where does the money go? Well, not to the alleged “housing victim”, if there even was a victim…but back into the coffers of organizations like ACORN.

Hmm…what say you?

So, over the last two weeks I have been playing catch up with my reading. Ever since I left behind my beloved (in hindsight) PATH and Subway commute in NY/NJ and traded it in for a 30 mile one-way 40 minute trip in the car, I have been slipping.  One of things I have been missing out on is reading my favorite business rag–Fast Company, which describes itself as a place ”Where People and Ideas Meet”.

As I was skimming over the covers of the issues from the last four months, lo and behold, what did I find but one of my favorite actors (and secret crush though he’s a bit on the short side for me) Ed Norton and reference to his “$9 billion dollar housing project”. * Being as keenly in tune with housing as I am (or purport to be) I knew the statement could only be about Enterprise Community Partners (Eprise)–his family’s business.  (You see ’ole Ed is the grandson of Enterprise’s founders the late Jim Rouse and is dynamic and wonderful and very much living wife Patty,)

So, as you have probably guessed, I put the article about the fastest growing dating service in another issue aside to read the article. I have to tell you, seeing all the things Eprise does to “git ‘er done” when it comes to community revitalization–and housing specifically is astounding.  And since I am such a nice person, I thought I’d break some of the coolest stuff down for you and include some nifty links that will keep you occupied for hours.

It May Not be Easy Being Green–but they sure try!

With the first nation-wide green criteria for building residential units, Eprise was ahead of the curve. Green Communities not only helps developers figure out how to build green but also encourages it by providing small grants as well.

Through the Solar Neighbors Program with BP, famous folk and others who are interested have installed solar power systems on their homes and for each installed system BP donates a system to a low or moderate income homeowner.

And of course no Green outreach is complete without a Carbon Footprint Counter (as you would guess, mine is not small–I wish I could get someone I know to encourage telecommuting–but that’s for another day).

And if  you want more,  Enterprise purports that its National Conference earlier this fall was carbon neutral. (though I am quite unsure of how that is possible.)

Holding the Hill’s Feet to the Fire

None of the Green Communities stuff, or the various financial tools (like did you know that the former Chairperson Bart Harvey was instrumental in bringing the Low-Income Housing Tax Credit to life)  if Enterprise did not consistantly rally the troops and  lobby the Hill (which for you non-political types is Capital Hill). The past 8 years has not been for the faint of heart in this business–and Enterprise has demonstrated its “Terminator” like strength frequently. With the prowess of its public policy team, and the leadership of the affable and “way smarter than your average bear”, Doris Koo, Enterprise has fought the good fight–and often won.  From Ms. Koo’s testimony and presentation of a $10 billion dollar request as  a part of the Housing and Economic Recovery act to fund a program to help stabilze communties rampaged by foreclosure, came the $3.9 billion dollar Neighborhood Stabilization Fund. (How it will work is a conversation for another day) And with a change in the wind,  Enterprise is poised to go back and ask for that $6.1 billion that was left off the table.

Here’s hoping they can get some fixes to Low-Income Housing Tax Credit or who knows if any affordable housing projects will get done!

As a matter of fact, how ’bout we all write are Congress person or Senator and help them out?

Innovation Station

These days, whenever I here the term “innovation”, all I see is the dude dressed up like a superhero with an “I“ on his chest.

Eprise might as well be a hyper 18-year old with an iPhone and Mac Powerbook in its messenger bag.  If you want to know what’s up with Eprise, not a problem.

They Twitter.

They FaceBook.

Not One…

Not Two…

But Three Times. (In three different ways)

They are LinkedIN.

They Podcast from time to time on the nonprofit channel  (you have to check out the podcast of Donna Brazille–brilliant!)

And whatever “Squiddo” is? They do that too.

Wheew! That made me tired. They’re a busy little bunch aren’t they?

Now, go forth and be productive…or don’t and spend some time fiddling with the links I just gave you!

* K Nicole is an employee of Enterprise-but she is not writing this for her job. She just thinks they are cool! ( Most of the time!)

If you get an email from me everytime I post something new, then perhaps you recall, my request for comments on what folks think about the future of HUD and what might be some of the most important things to get done in this first year.

Most chose to send me an email rather than post a direct comment here.  But to my surprise, Deborah Gore Dean, found this little ‘ole blog of mine and left a great comment. Mrs. Dean was high up in HUD during the Reagan administration and is now the proprietor of one of my favorite home accesory stores called Gore*Dean in DC’s Georgetown.   Rather than accept it into obscurity under another post, I decided to give it a bit of a spotlight. 

It is nice to read a blog about housing and urban development that comes from such passion for the subject.  You cannot travel to any part of this country where you do not see the need for a housing policy in this country, not to mention the obvious need for the funding for affordable housing and housing assistance.

In Washington, DC, Section 8 tenants (and their children) are living in motels because there are no funds to rehabilitate existing units and no way to build new.  Waiting lists across the country are at the levels now that only those used to institutionalized lifelong assisitance can partake in the Program.  If your need is immediate or short term – the purpose of the program- you are out of luck and on the street.

But you are mistaken if you think that any HUD Secretary can turn that around without Congress acting first.  The current state of the economy is such that it will be very difficult for the President to present the Congress with a budget for HUD that would even approach the funds needed for a long term multi-family build program, increased number of rent subsidies or vouchers; or even an increased multi-family insurance program.

I would venture a guess that the reason HUD has appeared to concentrate only on the single family programs is that they are the only ones that HUD can afford .  That and those programs of home ownership are a stabilizing force for the economy.

But if you understand the Department of Housing and Urban Development and I suspect you do; you know that there are vast differences in the mission of the Department from the GNMA, which is the country’s largest bank to single family, which is a moderate income home ownership tool to Section 8 which is for the poor.  You are pretty much running the gammet of brick and mortar in this country.  And we haven’t even gotten to the Block Grants and urban development subsidies and Fair Housing.

The dollar amounts for HUD even when not operating at any level of efficiency are staggering.  Any plan to turn it around, is going to require POLICY first, then massive funds.  I am not saying this to scare you but it IS the reality.  No funding can or will happen without it being of the highest priority, not of the President  – but of Congress.  To expect anything else is to set up President Obama for failure in this sector.

When the bridge collapsed in the Mid-west last summer; it brought home to the country that our infrastructure had too long been ignored.  Now there are calls for the testing of bridges and towers and the like and eventually a funding program will be established to address them but will another bridge fall while we wait?

That is where we find ourselves in housing in this country now.  Except that our infrastructure fails on a daily basis,- a shooting, a drug sale, a boarded up building.  We are losing the battle with poverty and HUD has no plan.  And as you know, whatever plan comes to be; it will take years to implement.  Luckily, there will be a HUD Secretary who will champion action.  But it is essential to keep the pressure where it can do the most good – on Capitol Hill.

What we should be calling for first- is a National Housing Plan and it should begin with Congressional hearings as to the state of the nation’s housing stock.

And because the nature of housing and urban development are so broad, from poverty programs and government assistance to the Donald Trumps of the world; we should include all ideas and view points.  There will be no housing plan without the support of both parties and a myriad of conjoining interests.

I cannot imagine that it is helpful to be too much on the fringes these days.  Jack Kemp was not a hero. Sam pierce was not the devil.  Cuomo probably meant well.  And the new HUD Secretary will not be the messiah.  And frankly, I don’t think of myself as a cocktail waitressing henchlady- although I might agree that I was not the right person for the job.  Still, if I had to go to Congress tomorrow for the sake of HUD, I would be looking for the Republicans on the Hill that understand the value of housing is in our country, like Stu McKinney and Alfonse D’Amato.

Keep your eye on HUD and perhaps blogs like yours will keep the place honest.  We could have used them in my day.

Deborah Gore Dean

Don’t worry, Ms. Dean, keeping folks honest is a part of my schtick here.

I have listened time and time again to the stories from my grandparents (who are still alive and good health) being my age during the time of Jim Crow. My grandparents were among the “talented tenth” who went on to get not only a college education but a Masters.  Their life was fascinating and some of the things they were able to accomplish, under what many would view as extreme duress, is impressive.

My grandmother was riveter like Rosie in WWII.  She left the factory and moved to Atlanta–by herself–while my grandfather was at War to pursue her Master of Social Work.  She is demure, my grandmother, and if you are familiar with the history of the black middle class–she  may falsely appear more socialite than independent woman, and more wife and mother from the times of the “best generation”, then capable equal partner.  But perserverance is her middle name.

My grandfather was a talented print man, who because of his color, had limited opportunity to make a career in printing and instead taught it as a vocation in the public school system.  Like many other black folks, teaching was one of the few ways to have a white collar job and secure a future staunchly in the middle class, running the printing press at  the Call and Post in the evenings.   He has a sharp-tongued wit at times. And from some of his stories, it seems his relative fair skin is what  kept him from ending up in a tree somewhere.

It is from my grandparents  purview of American history, that I see the world. It is from their vivid portrayl of the decline of the American dream–first begun in the demise of our urban centers at the precipise of “white flight” and “desegregation”, and further solidified by deindustrialization, that I dedicate my personal and professional time to revitalizing communities.  And it is from this purview, that the last 10 years have made me rethink this personal calling on many an occassion.

When a former community organizer first decided to run for US president, I thought him delusional. When he exceeded expectations in Iowa, I began to listen.  He talked about the importance of our urban centers and creating a poilcy arm that would focus on urban policy. He seemed to understand that the health and wealth of this nation hinged in large part on addressing many of our failures in domestic issues–health care,  encouraging small business, and revitalizing a viable manufacturing base that might actually allow blue collar folks who’s mothers and fathers once were “company men” in factories like Westinghouse and GM an opportunity to use their skilled labor to reach the American dream. It is then that  I began to work for him with “cautious optimism”.

Then he won the primary.

Then he won the presidency.

And now, come Tuesday,  the sun might cautiously shine again.