Advancing the Mentor-Protege Program for Small Financial Institutions Act
Floor Speech
I rise in support of H.R. 3709, the Advancing the Mentor-Protege Program for Small Financial Institutions Act sponsored by our colleague and former chair of our Diversity and Inclusion Subcommittee, Representative Joyce Beatty.
She has been such a strong leader in supporting our community banks and credit unions across the country, including our Community Development Financial Institutions, or CDFIs, and our Minority Depository Institutions, or MDIs.
Now, H.R. 3709 will enhance the Treasury Department's Mentor-Protege Program, which pairs larger banks with smaller ones so they have a mentor they can get advice and support from to grow and thrive.
The House first passed a similar version of Representative Beatty's bill by voice vote in 2020 and several more times since. However, this time we are debating this bill as President Trump attacks community lending by trying to wipe out the CDFI fund.
I am so pleased Chairman Hill agreed to take up Representative Beatty's bill to continue our longstanding bipartisan tradition to support Minority Depository Institutions, or MDIs, alongside other community financial institutions like rural banks.
Let me remind Members that during Trump's first term, Congress, led by Ranking Member Velazquez and myself, we had to set aside $60 billion for MDIs and CDFIs and other community financial institutions because the biggest banks were not providing Paycheck Protection Programs-- remember, the PPP loans to the smallest businesses. MDIs and other community lenders are critical to getting those funds to small businesses quickly so they could keep their lights on during the pandemic.
Later, Democrats and Republicans worked together to pass a historic $12 billion package of capital investments and grants for CDFIs and MDIs, and those funds continue to support $130 billion in lending to underserved communities all across America. But there is more that we can do, like encouraging more partnerships to benefit rural banks and MDIs, as Mrs. Beatty's bill does.
I urge my colleagues to support this bill, and I reserve the balance of my time.
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