NorCalUrban

At the Sojourners  website, author Danny Schechter has an interesting comments about the current mortgage meltdown, the forces that drove the crisis and the dramatic impact on the broader market and the eventually on the poor. He writes:  "How was this allowed to happen? These days, instead of holding onto mortgages they make, most banks sell them to Wall Street. There, prominent firms make millions recycling mortgages into securities and other exotic financial instruments, often using them to provide financing for even bigger deals—and sanctioning the unrestrained greed and unregulated chicanery of the predatory lending industry. It became a classic “the emperor has no clothes” story when it was revealed that many of those “asset-backed securities” had no real assets behind them. Suddenly, the paper proved worthless and the markets panicked. Soon there was a “crisis of liquidity” in financial circles, as it became clear that bad deals had been funded by bad debts. That’s where we...

You may have heard me talk about this issue before, but here is an excellent article on gentrification in urban communities - and the power of investment with a 'heart' for the poor. Bob has been on the forefront of this issue coming from a faith based community development perspective. He helped me formulate some of my thoughts regarding our approach to breaking poverty in our community. In the article Bob states: "But must gentrification always spell displacement for the poor? To some degree, yes. Yet displacement is not entirely bad. There are drug dealers and other rogues that need to be dislodged from a community if it is going to become a healthy place to raise children. Over-crowded tenements and flop houses should be thinned out or cleaned up and this inevitably means displacement of some of the vulnerable along with their predators. Bringing responsible property management back into a neglected community does spell disruption for those who have chosen or been for...

Great resource.... thanks, Rudy. Urbanministry.org recently posted a great list of tips and advice for folks who do fund raising. Find it here.

Found this at the Sojourners website. There seems to be much concern lately over the people being referred to as "illegal immigrants." Let's define our terms: "Immigrant" - somebody who has come to a country and settled there. "Illegal" - forbidden by law. Concern about illegal immigrants has a familiar ring to us Native Americans. We have been empathizing with those concerns for over half a millennium. Let's see ...Were the first immigrants to America illegal? By every definition - yes! But perhaps if they had a good reason it makes their trespass less offensive. What of their motives? The stated intent of some of the earliest European settlers in America was first to establish military superiority over the inhabitants and then "civilize" them by assimilating them into their form of government and converting them to a foreign religion. Such was the case in the earliest American colonies: From the First Charter of Virginia, April 10, 160...

News article on the Pastor Bains' "Lord's Gym" project: EAST PALO ALTO — Pingpong balls whizzed by Pastor Paul Bains' head as he played his own game, paddle in hand. He stared at his opponent across the table and prepared to strike. Whack! The ball smacked the net. Bains placed the paddle on the table and went about his business — creating positive peer pressure. Around him, at-risk teens played inside Lord's Gym Community Center on their lunch break last week. "You have to touch their hearts so you can help them change their minds," Bains said. "We talk to them about staying in school and going to college. These kids have potential. They have energy." For the last few weeks, the center has been a haven for the community's youth. To them, Bains is known as "Preach," "Uncle Paul" or "Pastor Paul." The 46-year-old is the pastor at St. Samuel Church of God in Christ on East Bayshore Road and a senior chaplain...

Thanksgiving seemed to come quickly this year. I've been so involved with the credit union construction project and focused on opening day I haven't had much time to think about the holidays. Now that it's here, I'm glad to slow down and reflect. While the drywall finishers wanted to work on Friday, I decided to take the time off. With all that's going on, the early mornings and late nights, I'm feeling spent and relish some time off and away. We're headed to the Modesto area to spend the holiday with Melissa's family. Melissa's brother Fabian is hosting the meal at his home. We'll hang out with he and his family for the weekend, returning home Saturday or Sunday. Samuel, as always is excited to see his family. Sometimes I swear that he'll move over there as soon as he can. Thanksgiving has always been my favorite holiday. While consumerism is beginning to creep in (I've been heard it called 'gray Thursday, the day before the big shop...

I know it's somewhat irrelevant in the grand scheme of things - but Mariano Rivera singed for a three year deal, keeping him in pinstripes for the rest of his career. The Steinbrenner sons, in my opinion, did a good job in putting the team back together this year. ARod should sign in the upcoming days. Things are starting to look up! The New York Daily News reports: Mariano Rivera did what he does best Monday: He closed the deal. Rivera, the team's All-Star closer, agreed to a three-year, $45 million contract, remaining in the only big-league uniform he has ever worn. Rivera's agent, Fernando Cuza, informed the club of the pitcher's decision, which came two days after he returned from a trip to the Dominican Republic. With Jorge Posada and Rivera back in the fold, the Yankees need only polish off Alex Rodriguez's contract in the coming days to finish off their heavy offseason lifting. "We've got everybody back," senior vice president Hank Steinbrenne...

I'm very pleased about the outcome of the A-Rod - Yankees drama. In the end, I think the Yankees handled the situation well and Alex, after seeking wise counsel from tycoon Warren Buffet, decided to reign in his agent Scott Boras. The Yankees are the right fit for A-Rod, and visa-versa. As to the $275 million contract I have two reactions. My inner progressive says that it's somewhat sick that we would be willing to pay someone $27 million dollars a year to hit a white ball. How many lives could be saved with that money? However, my inner capitalist (and Yankee fan) says that business is business and the free market has the right to place value where it wants. In the end it's interesting drama and great for the Yankees and A-Rod. I guess there still is 'safety in a multitude of counselors'. Mike Lupica from the New York Daily News reports: Warren Buffet to A-Rod: Dial Yankees Alex Rodriguez did not just talk to friends in Miami about coming back to the Yankees. And...

Check this out: Preditory Lending Association

Reuters reports: The U.S. government said the number of Americans who went hungry in 2006 was held in check at 35 million people from the prior year, but food advocacy groups said on Wednesday more needs to be done. The U.S. Agriculture Department said a total of 12.65 million households were "food insecure," or 10.9 percent of U.S. homes, up from 12.59 million a year ago. The USDA defines food insecurity - its metric for measuring hunger - as having difficulty acquiring enough food for the household throughout the year.

I always have about three books going at once, one devotional, one for work related issues and one for recreational reading. My recreational books usually are history, biographies or novels. I wish I could say I finish every book I start - but I think I do a pretty good job of completing them... Here's what I'm reading these days: "A Knock At Midnight" - A collection of sermons from the Rev. Dr. Martin Luther King. Truly inspiring work. Go and buy this now... "The Day of Battle: The War in Sicily and Italy" by Rick Atkinson. A great historical account of the battles in Sicily and Italy. I'm especially intrigued by the generals Eisenhower, Patton and Montgomery. How dysfunctional they were but still did amazing feats. "Class Matters" by various New York Times correspondents. This is a truly fascinating book speaking to the issues of poverty and class differences in America. Is the 'new' racism and segregation based on class? Does cla...

If the church does not recapture it's prophetic zeal, it will become an irrelevant social club without moral or spiritual authority. If the church does not participate actively in the struggle for peace and for economic and racial justice, it will forfeit the loyalty of millions and cause men everywhere to say that it has atrophied it's will. But if the church will free itself from the shackles of a deadening status quo and, recovering its great historic mission, will speak and act fearlessly and insistently in terms of justice and peace, it will enkindle the imagination of mankind and fire the souls of men, imbuing them with a glowing and ardent love for truth, justice and peace. Men far and near will know the church as a great fellowship of love that provides light and bread for lonely travelers at midnight. - Excerpt from Dr. Martin Luther King's sermon, 'A Knock at Midnight'. I truly love the Church. My heart resonates with what Dr. King says here. I truly beli...

Listened to this song from Fred Hammond this morning... Lord Your grace Covering me like a soft summer shower Raining down on me Goodness and mercy Loving me daily Forgiving me freely Poor and afraid left out lost and alone Til Your tender love came and made me your own How could I make it and where would I be Without Your grace, (undeserved favor) grace, grace Where sin abounds grace abounds so much more Covering me from the sun to the floor And if I forget then the spirit of grace cries out Peace (And I remember) Sweet peace I am no longer a prisioner of shame for the truth is I know that I am complete in Your grace As I look back over all the years that I made it through I can't imagine where I'd be now if it wasn't for You Why Your favor rests upon me I could never explain But I'm so glad that I cansay Your grace in my life lasts forever Your goodness and mercy and grace lasts forever Your grace in my life lasts forever And I'm so glad that I can say Can I get a...

Former VP is hanging in our back yard! Interesting article. Al Gore's next act: Planet-saving VC The recovering politician is teaming with a legendary venture capitalist and bigtime moneyman to make over the $6 trillion global energy business. (Fortune Magazine) -- It's lunchtime on Sand Hill Road, and Al Gore wants answers. "How does the efficiency decline with latitude?" he asks. "What size community could be served by one plant? If a manufacturer like GE wanted to make smaller turbines, would the technology support a smaller scale?" We're sitting in the giant conference room at Kleiner Perkins Caufield & Byers, where the partners hold their weekly meetings. After loading his plate with Chinese food from a buffet, Gore is firing detailed questions at the management team of Ausra, a Kleiner-backed company in Palo Alto whose technology uses mirrors the width of a flatbed truck that focus the sun's energy to generate electricity. Read the entire ...

Rudy said if I mentioned Extreme Makeover Home Edition it would pump up my blog visitors number... Let's see!

The Shepherd's Dog by Iron and Wine. Shades of Paul Simon... Buy it here or on you favorite digital music provider. I'm still partial to itunes... The more I listen to Iron and Wine the more I like them. Mellow stuff, spacial sounds...

LIOTTI-IKEFUGI PLAYGROUND WINTER AVE, BISMARK AVE, Staten Island, NY This playground honors the memory Sergeant Carmine Liotti (1924-1945) and Private First Class Lloyd Ikefugi (1923-1945), two young men from Staten Island who died fighting for their country in World War II. Carmine Liotti, born December 13, 1924, lived in New Brighton at 18 Ely Street and attended P.S. 17 on Harvard Avenue. At McKee High School he played football, and the Journal of American Football listed him as an all-star player. Liotti joined the army immediately after high school and became a medic in 319th Infantry. By April 15, 1945, Liotti’s unit advanced to the town of Glauchau, in the Saxony region of Germany. While Liotti attended to wounded men on the battlefield and prepared them for transport to the hospital in town, a German nurse called upon him to help evacuate an injured German as well. Lifting the German onto his litter jeep, Liotti proceeded up the main street of the town. An enemy soldier, perhap...

Bono and Luciano, Soul brothers for sure. Rest in peace, Maestro... What an amazing video!

Dear NCUD Friends, As I write this letter I'm brimming with excitement and thankfulness. Our journey began three years ago with a seemingly random conversation with NCUD co-founder Marc Prioleau regarding poverty, justice, opportunities and economic development in East Palo Alto. That conversation planted a seed of faith that now, after much planning, praying, crying, countless meetings and much perseverance, has blossomed into two very significant milestones: the opening of Community Trust Credit Union of East Palo Alto this December and the kicking off of our youth financial literacy initiative! Credit Union Update Earlier this month we received our final building permits from the City, paving the way to a projected opening in mid-December. I can now say that East Palo Alto, for the first time in history, will have it's own community focused financial institution - by the people and for the people! Finally there is a safe alternative to predatory lenders and check cashers. T...

Yunus is a Nobel Prize recipient and the author of the seminal book on micro finance "Banker to the Poor." He was recently interviewed on CNN. You can see the interview here. Here are some key quotes from the interview: “Women have a long-term vision, she wants to move up to something” “It’s not Grameen Bank came and told them to do that; it is in their hearts” “We developed a system which doesn ’t need collateral, guarantee, legal” “We citizens, we individuals, are capable people addressing social issues” Inspiring stuff...

Headed home, picked up a copy of Rolling Stone with Bruce Springsteen on the cover. There is an EXCELLENT article with the Boss. He's now 58 and is starting to look back. He ends the article talking about his life and what's really important. His words were poignant to me (and perhaps those in ministry / non-profit worlds). Q. What did you learn (after stepping back and changing scenery for 10 years)? A. I guess life outside of work. This is a very satisfying life work, but it's a part of your overall life. How do you have relationships? How do you commit to things that are forever? How do you break all the old habits, or some of them? I had to work on it (changing) the way that I had to work on playing the guitar when I first started - many , many hours and a lot of intense devotion. I realized that some people may come to that naturally, but I was someone that was going to have to learn it, because my instincts were wrong. (speaking about connection to family and friends ...

Panelists: Jack Litzenburg (Charles Stewart Mott Foundation), Terry Bell (Rockwell Fund), Tracy Kartye (Anne E. Casey Foundation) Comments from Jack Litzenburg Mott Foundation - national funder - Early entry into the ME market - Helped build equity in early ME funds - Documented lessons in ME - Today the foundation has turned it's attention to: Started ME Funders Group operated through the Aspen Institute. See document created to educate funders. They created a series of funder guides Funded "Micro Test" collects data to identify best practices Building scale in US M.E. Interested to see what the impact of building scale is on the community / organizations - Tomorrow? Micro Enterprise Leadership Academy Develop entrepreneurial network for entrepreneurs Cost of money is a big deal in the emerging world. In our economy the major hurdle is getting to market, competing with the big guys. Ex. creation of brand name speciality foods from Appalachia that helps bring products to ...

Panel: Hon. Anna Escobedo Cabral (US Treasurer), Michael Barrera (US Hispanic Chamber), Leizhu Lui (United for a Fair Economy) , Regina Montoya, Moderator (New America Alliance) Meizhu Lui is the author of the book The Color of Wealth. Notes from Michael Barrera's comments: - Latino micro business is one the rise. 108k latino businesses in the US. - Asset building is key, Latino's understand business - SBA has been a key help - Assets are a key determinant for loans since they determine lending criteria - Example - working out, start with 5 lbs and work up to 200 lbs. Micro lending institutions are like personal trainers that help build up small business. - IDA's are becoming more and more popular with lenders. Drawbacks are high admin costs and lack of interest. - Black and Hispanic median met worth is currently flat. White median net worth gained 6%. - Assets = leverage. - Businesses with assets are able to build capacity - 17% of US business meet the official definition ...

Goal of Micro-enterprise: Offer small loans to people so they can increase their income and promote self employment. Theme: Development of ME development in the US Goals: expand opportunities and community economic development more flexible terms than banks In US credit is only one part education and training are important part improves survival rate / credit repayment laws are regulations are significant here, more so than the informal setting outside of the US There are alternative sources for credit in US Lending is not essential to the broader mission of starting businesses Huge benefit to families and communities Small business = less than 500 employees. Micro business= less than 5 ME programs are about more than the extension of credit... mentoring / networking / training / sales programs / connections to banks, colleges... Offers borrowers technical support thereby helping sucess rates. Can ME programs become self sustaining? Income from check cashing and remittances Reduced...

- ME has both direct and indirect impact on the overall economy. - It also reduces the reliance on the social systems (welfare, food stamps..) - Positive effects on families. Children see their parents succeeding (dignity building). Has inter generational affects. - Micro finance enables creativity on a local and personal level - 'Micro Equity' products are now emerging - ME lending is a 'wrap around' process including basic financial literacy training, etc... - Hear beyond the need for a loan. - "Grow' loans. Start small with clients, help them step up to larger loans. - Develop network of business owners. This can protect the investments by mutually growing businesses. Micro Equity Product: VC usually don't go down to ME lending Identify individually already in portfolio who have potently Specifically picking individuals Education about VC is part of the process pros and cons of VC money Accion NM founded LLC to capitalize loan fund: EQ2 products end up a...

I'm currently at the Summit on Micro finance in the U.S. hosted by Accion Texas in San Antonio. Micro finance is one of the next issues I'm interested in, since there is such a need in our community for developing small businesses. Micro enterprise (ME) in the US - Robert Annibale, Citi Much opportunity in the US immigrant communities Micro finance (MF) institution - one that brings financial services to the unbanked. Many types of institutions. Most are not empowered to take deposits. Mexico - 75% of families don't have access to financial services 12% of individuals in U.K. don't have bank account 12% of US adults are 'unbanked' - lack of financial services designed for their needs Low income Hispanic Small businesses, 'Mom and Pop' Needs are more than credit - it's about capacity building and providing access to other services Book: "Fortune at the Bottom of the Pyramid" Community focused banks are best positioned to play a role Supplie...