Congress is on the cusp of passing a bill aimed at relieving the nation's home foreclosure crisis, just as a new report released today showed that foreclosure filings doubled in the second quarter of 2008 over the same time period last year. Last month, half a dozen writers for the Philanthropic Initiative for Racial Equity's new Critical Issues Forum blog wrote how the foreclosure crisis has disproportionately affected communities of color:
The disproportionate impact of subprime mortgage foreclosures on racial minorities is clear: Foreclosure means a loss of the wealth invested in a home, the abandoned buildings cause declines in neighborhood property values, and the vital asset wealth that minority homeowners have long sought is lost. The structural racism analysis does not assert that any individuals involved in mortgage finance were motivated by prejudice or bigotry. Rather it suggests that the cumulative effect of regulatory policy, institutional practices, and self-interest has been to harm minorities disproportionately – but to ultimately impact society more broadly.
Having located the causes of racial disparity in the subprime crisis, we can consider possible remedies. For example: greater regulation of mortgage finance would prevent the proliferation of high cost loan products which precipitated the crisis in the first place; financial education in poor minority communities would minimize the capacity of predatory lenders to mislead their clients; municipal efforts to manage abandoned foreclosed properties would prevent neighborhood decline. The contention of the structural racism analysis is that as we explore these and other viable policy solutions, we must specifically consider the problem of racial disparity, and how new policies and programs will reduce that disparity.
Read more of their analysis and call to action here.
The Pine Bluff (Arkansas) Commercial newspaper editorialized today about the energy generated by this week's town meeting of Pine Bluff 20/20 - a Vision of What Can Be. The process is going well, the newspaper said, but there's always room for even more involvement. "We’re grateful to those who are participating in the 20/20 process. If you would like to see the goals achieved, why not become involved? Nine-hundred people who helped set the goals and 250 who are actively involved can do a lot, but with your help, we can do a lot more." Pine Bluff has about 55,000 people.
Ohio Gov. Ted Strickland kicked off a Conversations on Education tour this week that will include stops in a dozen cities. Jim Provance of the Toledo Blade wrote: "The governor has said he would consider his administration a failure if it did not address a school-funding system dependent on property taxes - ruled unconstitutional by the Ohio Supreme Court - that places students in poorer districts at a competitive disadvantage." Citizens at the Columbus kickoff advocated for more early childhood education, especially for special needs children of poor parents.
