1.1A house resolution
1.2expressing the sense of the Minnesota House of Representatives concerning support
1.3for small community banks and credit unions.
1.4WHEREAS, our nation's financial system is in urgent need of reform; and
1.5WHEREAS, despite efforts by Congress and the current administration to increase
1.6bank lending, including a $700,000,000,000 bank bailout, the nation's four largest banks have
1.7collectively cut their loans to businesses by more than $100,000,000,000 over the last six months;
1.8and
1.9WHEREAS, Bank of America and Citigroup each received $45,000,000,000 of bailout
1.10money, and Wells Fargo and JP Morgan Chase each received $25,000,000,000; and
1.11WHEREAS, Minnesota needs a strong and fair regulatory system that has the resources
1.12and authority necessary to prevent the collapse of the financial sector caused by Wall Street and
1.13the large banks; and
1.14WHEREAS, statutes that affect state-chartered banks and credit unions are enacted by the
1.15Minnesota Legislature, which is more attuned to local needs and conditions than Congress; and
1.16WHEREAS, community banks and credit unions are more accountable to the residents of
1.17Minnesota than are large national banks; and
1.18WHEREAS, community banks and credit unions typically make more conservative
1.19investments and are inclined to make smarter loans with a better chance of payback; and
1.20WHEREAS, community banks and credit unions earn greater risk-adjusted yields than large
1.21banks, suggesting that they are the better choice for small businesses and individuals; and
2.1WHEREAS, community banks and credit unions are more closely connected to the people
2.2and businesses near them; and
2.3WHEREAS, community banks and credit unions invest in communities and businesses to
2.4create good jobs and strong neighborhoods; and
2.5WHEREAS, community banks and credit unions work to ensure that the banking system
2.6helps people stay in their homes; and
2.7WHEREAS, community banks and credit unions are stable and reliable and take a
2.8people-oriented approach to banking; and
2.9WHEREAS, the residents of Minnesota value personal service, good jobs, and strong
2.10communities; NOW, THEREFORE,
2.11BE IT RESOLVED by the House of Representatives of the State of Minnesota that it urges
2.12the residents and state government of Minnesota to move their money from large national banks
2.13to small community banks and credit unions in order to support responsible lending practices and
2.14the state's economy.