May 10, 1999 CONGRESSIONAL RECORD Ð SENATE S4953 for many low-income and minority said, ``CRA-related activities can help stories. One story I recall in particular groups, home ownership is a way out of develop new markets, potentially prof- is that Senator BIDEN used to practice poverty. Equity built through home itable business, and improve a bank's ``speechifying,'' as some of our prede- ownership can be used to finance a public image.'' cessors in the Senate would have said, start-up business, pay for a college edu- Let me note that there have been in front of his classmates to overcome cation, fund a secure retirement or some improvements to CRA. In re- a stuttering problem. Well, Mr. Presi- consolidate high interest rate debt. sponse to the very real problems facing dent, I think we all will agree that he The report went on to note that home many smaller community banks, a has overcome that problem quite nice- ownership in low-income neighbor- streamlined CRA process was approved ly and has learned to excel at hoods can provide stability, increase a few years ago, and I was proud to sup- speechifying. pride and property values, and attract port those changes and I understand One of the most amazing facts of new capital. the paperwork burden on smaller banks Senator BIDEN's career is that he was CRA has helped foster access to fi- has been reduced as a result. Over 80 elected to this body at the ripe old age nancial services in each of these areas. percent of banks covered by CRA qual- of 29. His 27 year-old sister was his Commitments by banks to home own- ify for the streamlined performance campaign manager, and he saved mail- ership, small business, and community standards for small banks and thrifts, ing costs by having volunteers hand-de- development has increased because of and I understand that actual time liver campaign literature to every CRA. According to 1997 Home Mortgage spent in community banks on CRA ex- house in the state. Of course, Senator Disclosure Act data, lending to minor- aminations has been reduced by 30 per- BIDEN's campaigns are run a little ity and low income borrowers is in- cent. more professionally now, but he has creasing. Since 1993, the number of CRA has helped improve financial not lost touch with the people of his home mortgage loans to African Amer- services for under served communities, state. In fact, the Senator from Dela- icans increased by 58 percent, to His- but there is still significant room for ware has told me stories about vir- panics by 62 percent, and to low and improvement. Many still have few fi- tually every town in his state, no mat- moderate income borrowers by 38 per- nancial options, and as the Wisconsin ter how small. He is as familiar with cent. Rural Development Center has found, his constituents and as concerned with In 1997, financial institutions subject in the absence of adequate financial their needs as any Senator I have to CRA reporting requirements made services from traditional lenders, there known. 2.6 million small business loans for a has been an increase in so-called Of course, his devotion to his con- total of $159 billion, two-thirds of small subprime or predatory lending from stituents has not prevented Senator business loans made that year, and lenders who target homeowners with BIDEN from playing a sometimes cru- more than one-fifth of those loans were less than perfect credit with high-cost, cial role on national stage. As we all made to small businesses in low and sometimes fraudulent, mortgage serv- know, Mr. President, he presided over moderate income communities. icing products. two of the most controversial Judici- And, in 1997, large commercial banks We owe a great deal to Senator Prox- ary Committee hearings for Supreme made $18.6 billion in community devel- mire and his creation. As we consider Court nominees in American history: opment investments. legislation to change the structure of those for Judge Robert Bork and Jus- Altogether, nonprofit community or- our financial institutions, we must not tice Clarence Thomas. ganizations estimate that since 1992 lose sight of the original goals of CRA, Senator BIDEN was one of the fore- the private sector has pledged over $1 namely that those institutions which most proponents of expanding the trillion in loans going forward for af- enjoy the special privileges and protec- North Atlantic Treaty Organization. fordable home ownership and commu- tions afforded by the government have Last year, he led the successful effort nity development. an obligation to ensure that the entire to expand NATO. In 1997, he led the I have no doubt that CRA was respon- community has access to financial successful effort to ratify the Chemical sible in great part for this record. And services.· Weapons Convention. Today, the Sen- neither does Federal Reserve Board f ator from Delaware continues to take Chair Alan Greenspan. At a House an active interest in events in the Bal- Banking Committee hearing earlier THE VERY BAD DEBT BOXSCORE kans, the Middle East, and Asia, and as this year, Chairman Greenspan testi- · Mr. HELMS. Mr. President, at the Ranking Member of the Foreign Rela- fied that CRA has ``very significantly close of business Friday, May 7, 1999, tions Committee, he remains an out- increased the amount of credit in these the Federal debt stood at spoken voice on foreign policy matters. communities'' and that changes have $5,569,913,164,536.03. Senator BIDEN has been a leader also been ``quite profound.'' One year ago, May 7, 1998, the Fed- in the fight to protect women from vio- It is important to note that CRA has eral debt stood at $5,484,428,000,000. lence. He authored the Violent Crime succeeded in encouraging banks to Fifteen years ago, May 7, 1984, the Control and Law Enforcement Act, serve those who have been financially Federal debt stood at $1,484,934,000,000. which was signed into law in Sep- under served without jeopardizing the Twenty-five years ago, May 7, 1974, tember 1994. This act, which included safety and soundness of the institution. the Federal debt stood at the landmark Violence Against Women As Robert Kuttner has noted, in the $468,096,000,000 which reflects a debt in- Act, was the first comprehensive law to decade after CRA, we learned that fi- crease of more than $5 trillionÐ address gender-based crimes. The de- nancial institutions often make costly $5,101,817,164,536.03 during the past 25 sire to prevent crime and help crime's mistakes, but lenders faltered in the years.· victims has long been one of the guid- 1980s not by being too kind to the inner f ing lights of our esteemed colleague's city, but by making speculative loans career. In 1984, he co-authored the Vic- in remote locations they knew little SENATOR BIDEN'S 10,000TH VOTE tims of Crime Act, which provides hun- about, and by competing recklessly for · Mr. HOLLINGS. Mr. President, I rise dreds of millions of dollars to crime market share. By comparison, the local to congratulate my esteemed col- victims each year, paid for by crimi- Jimmy Stewart type loan looked pret- league, the Senator from Delaware, on nals. ty solid. his 10,000th vote in the Senate. This is Senator BIDEN was the lead sponsor As Chairman Greenspan noted, a tremendous milestone which few Sen- of the Juvenile Justice Prevention Act ``there is little or no evidence that ators ever reach. For our colleague to of 1974 and the Juvenile Justice Pre- banks' safety and soundness have been reach it at the young age of 56 is even vention Amendments of 1992, which compromised by (low- and moderate-in- more impressive. provided states with federal grants for come) lending and bankers often report I am proud and fortunate to count a comprehensive approach to pre- sound business opportunities.'' Senator BIDEN as one of my best venting juvenile crime and improving In fact, CRA is a tool that can help friends. Since he came into the Senate the juvenile justice system. And in banks. As former Federal Reserve in 1972, we have worked together, 1996, Senator BIDEN led the floor fight Board Governor Lawrence Lindsey learned from each other, and swapped to restore 1996 appropriations to fund S4954 CONGRESSIONAL RECORD Ð SENATE May 10, 1999 crime bill initiatives, most notably the mark that would lead him to commit youth and left a Gunnery Sergeant, a Community Oriented Policing Services his life to the military. But in the veteran, and a hero. program to help local and state govern- meantime, he had some growing up to He carried on his patriotism and ments hire more police. do. Carlos spent a great deal of time in service to America, speaking at mili- The Senator from Delaware has long the woods of North Little Rock, hunt- tary gatherings and teaching his sniper been a leader on Women's Health ing squirrels and rabbits and bringing skills to the Virginia Beach Police De- issues. He sponsored the Medicare them home to eat. He had no problem partment. And in 1996, he was again Mammography Screening Expansion filling the table. It seemed as if he was awarded for his heroism in Vietnam, Act, which became law as part of the anticipating his future career. this time with a Silver Star. Balanced Budget Act of 1998. For five Carlos could hardly wait to start his Carlos Hathcock II passed away on years running now, he has authored the career in the military.