Wells Fargo received an historic "double downgrade" from the Office of the Comptroller of the Currency (OCC) as a result of its Community Reinvestment Act (CRA) examination.
"Wells Fargo failed its recent Community Reinvestment Act (CRA) examination," reports Oscar Perry Abello. The result: the bank's rating feel from "outstanding" to "needs improvement." The downgrade even skipped the "satisfactory" rating on its way down.
The bank announced the news about its CRA performance between 2009-2012 with a press release. "Despite citing Wells Fargo Bank, N.A.’s overall 'Outstanding' performance on the exam’s components, the Office of the Comptroller of the Currency (OCC) downgraded the bank’s final rating to 'Needs to Improve' due to previously issued regulatory consent orders," reads the release. The bank also made the entire report from the OCC available online.
Perry Abello's coverage offers additional insight about the significance of the bank's downgrade, which will implement "a number of hurdles or constraints on the bank until its next rating, including restrictions or constraints on new branch openings, branch closures, and any mergers and acquisitions." The review process is mandated by the Community Reinvestment Act of 1977, which was implemented to protect minorities from discrimination in the home loan market.
The article also devotes significant real estate on the page to consideration of the historic nature of the "double downgrade"—especially historic considering Well Fargo has a reputation for investing in low- and moderate-income communities. At a recent gathering of the National Community Investment Coalition, some attendees told Perry Abello that the OCC might have skipped "satisfactory" and given the bank the "needs to improve" rating due to the fake accounts scandal that erupted in late 2016.
FULL STORY: Wells Fargo Gets Downgrade in Community Reinvestment Exam
Depopulation Patterns Get Weird
A recent ranking of “declining” cities heavily features some of the most expensive cities in the country — including New York City and a half-dozen in the San Francisco Bay Area.
California Exodus: Population Drops Below 39 Million
Never mind the 40 million that demographers predicted the Golden State would reach by 2018. The state's population dipped below 39 million to 38.965 million last July, according to Census data released in March, the lowest since 2015.
Chicago to Turn High-Rise Offices into Housing
Four commercial buildings in the Chicago Loop have been approved for redevelopment into housing in a bid to revitalize the city’s downtown post-pandemic.
Google Maps Introduces New Transit, EV Features
It will now be easier to find electric car charging stations and transit options.
Ohio Lawmakers Propose Incentivizing Housing Production
A proposed bill would take a carrot approach to stimulating housing production through a grant program that would reward cities that implement pro-housing policies.
Chicago Awarded $2M Reconnecting Communities Grant
Community advocates say the city’s plan may not do enough to reverse the negative impacts of a major expressway.
City of Costa Mesa
Licking County
Barrett Planning Group LLC
HUD's Office of Policy Development and Research
Mpact Transit + Community
HUD's Office of Policy Development and Research
City of Universal City TX
ULI Northwest Arkansas
Town of Zionsville
Urban Design for Planners 1: Software Tools
This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.
Planning for Universal Design
Learn the tools for implementing Universal Design in planning regulations.