FannieMae & FreddieMac CEO’s in partnership with NCST, Racially discriminatory Foreclosure affordable housing program!
The following is a certified letter sent out this morning to both FannieMae & FreddieMac CEO’s regarding a program they just announced (in partnership with NCST) that is racially discriminatory and again excludes most all FL & US minority organizations from participation in a Foreclosure affordable housing program. They and NCST hand pick who will participate in this foreclosure program…………………………
November 16, 2015
Freddie Mac FannieMae
CEO Mr. Donald H. Layton & CEO Mr. Timothy J. Mayopoulos
8200 Jones Branch Drive 3900 Wisconsin Ave, NW
McLean, VA 22102-3110 Washington, DC 20016-2892
FHFA US Housing & Urban Development Department
Mr. Mel Watt Mr. Julian Castro
400 7th St, SW Constitution Center 451 7th Street S.W.
Washington, D.C. 20219 Washington D.C. 20410
RE: Racial Discrimination in New FreddieMac & FannieMae Foreclosure Initiative. FMCRC filing of lawsuit against FreddieMac & FannieMae if program is not opened up to all minority led/focused nonprofits in Florida (and across the United States) and LGBT-Veteran Focused nonprofits. (sent via certified mail)
“Dear Mr. Layton and Mr. Mayopoulos:
If the foreclosure initiative, in partnership with the National Community Stabilization Trust, announced this past week moves forward as stated, FMCRC will file a discrimination lawsuit against all three of your organizations. I am offended by these continued practices of your 3 organizations that has promoted systemic racial discrimination against hundreds of minority led and focused nonprofits in Florida and across the United States. We are demanding that this current and all future housing programs be opened up to all minority led and focused nonprofits, in addition to LGBT and Veteran focused nonprofits.
This announced program regarding foreclosed homes fall under the purview of business law since they engage For Sale properties. You simply cannot choose who is allowed or not allowed to purchase these foreclosure assets. You stating you will only allow 20 Florida nonprofits to engage this program will be fought hard legally to include extensive depositions of all management to get to the root of this racially discriminatory program. It is our hope that we can avoid this very public lawsuit and process by coming to an agreement to open up this program to all minority led and focused nonprofits as well as targeting Veteran and LGBT organizations to participate in this program.
Minorities now account for over 76% of all Florida poverty with African Americans accounting for a majority of this figure. Minority poverty is growing along with unemployment, income inequality and the racial wealth gap this is driven by both home and small business equity. Housing and Urban development are critical programs that help battle these rising negative economic numbers. Minorities must be provided the tools and resources to stem growing poverty in our neighborhoods. Nonprofit play a vital role in this war on poverty yet minority led and focused nonprofits continue to be placed on the sideline or employees of white led organizations to battle minority poverty. One only go to the annual Florida housing conference and one shall see that over 90% of the nonprofit and government agency attendees engaged in housing are White. This same pattern can be found as it relates to financial resources provided to address housing and economic development programs targeting minorities. This fact was substantiated in an FMCRC study on Florida foundations that showed that minority led and focused nonprofits received less than 1% of all grants. This systemic racism has resulted in a major intellectual gap between White and Minorities. In short, this racism has resulted in minorities being left on the sidelines to address the very issue of minority poverty. In short, to battle Florida minority poverty; White Need Only Apply.
Diversity & Inclusion is a critical foundation to creating a more just economic system that will lead to positive social change. This begins at your top executive leadership teams that must be diverse with Black, Latino, Asian and LGBT executives. The leadership team of FannieMae is extremely White and Exclusive as it stands today.
This same racial discriminatory pattern can be found in the organizations approved to do business with the National Community Stabilization Trust. I am disgusted by their ability to CHOOSE AND PICK which organizations and leaders they will work with. In short, they choose which nonprofits can participate or not participate in accessing foreclosures. In short; White Need Only Apply. As a note, our organization never would have been approved to participate in the NCST program if it were not for a key bank pushing them to allow us access to their programs. They have contributed significantly to this rising racial divide in Florida affordable housing. NCST has no “skin in the game” yet are determining affordable housing policy when it comes to the foreclosure sector. We at FMCRC will no longer stand by and allow this destructive pattern for our minority community in Florida to continue.
I am calling for an immediate phone meeting with FreddieMac and FannieMae executives with some minority nonprofit leaders to discuss this matter in more detail. This issue is much greater than just your foreclosure program. This is about the growing systemic racial discrimination in Florida and across our nation. This discrimination had led to social unrest in minority communities and is deeply rooted in pure economics. From Black Lives Matter to now unrest in college campuses by minority students. The message is clear; Enough is Enough. Your racially divisive program with NCST adds fuel to this growing tide and I for one will not stand by and allow you to discriminate against the thousands of caring minority nonprofit leaders who work hard daily to battle poverty and do so with little resources because most of it is given to White nonprofit leaders and organizations. I am a Pope Francis disciple and wear around my neck a medal blessed by Holy Father to remind me daily that I have a duty to battle poverty and injustice. Let me assure you that this commitment fuels me to battle those who fuel economic racism to the gates of hell and back. Trust me in that I have complete and utter resolve to battle you and your organizations on this matter if you choose to not address it adequately and provide adequate racial inclusion.
The Florida Minority Community Reinvestment Coalition (FMCRC) is an organization focused on addressing minority community development issues and to keep them at the forefront of our federal, state and local legislators, business leaders and financial institutions. The purpose of FMCRC is to create a paradigm shift in community reinvestment for minority community organizations, businesses and communities. FMCRC’s mission is to empower minority organizations in the area of affordable housing and small business in minority communities that will foster increased minority home ownership (and equity), business start- ups and expansion (and equity), create jobs that allows minority communities to participate in the wealth of this nation. At the core of this paradigm shift are the grass root minority led and focused community development organizations that will be the catalyst in reversing the rising trends of racial poverty, unemployment and income inequality Florida. Black Lives Matter, Minority Lives Matter and we will no longer stand by idly and allow racially discriminatory programs from your organizations deepen this economic divide between white and minorities.
Please contact myself directly at (813) 598-6361 so we can begin the process of engagement for our communities on this important issue. We thank you for your consideration on this critical matter.
FannieMae, FreddieMAc, and NCST hand pick who will participate in this foreclosure program. Let me assure you that I will fight this vigorously and with all that God has given me. Racial discrimination is on the rise for this very reason. I will not allow White leaders to pick who they want to be the “minority leaders” on economic issues that impact all our families. Racial poverty is on the rise in FL and across the US especially with Black communities and minority led and focused organizations MUST be central to the economic revitalization of our blighted communities. Right now over 90% of all housing directed at minority communities is by white led organizations. It is the responsibility of both FreddieMac and FannieMae to reach out to the thousands of minority organizational leaders and financially assist these organizations to become home builders in their communities. The banks are stepping up with dedicated housing construction capital for minority led and focused organizations and I will battle both FreddieMac and FannieMae until they follow this same path. and I will battle both FreddieMac and FannieMae until they follow this same path. This I promise you. AL Pina