Economic Development

Americans confront a tenuous economic recovery, enduring weakness in the housing market and persistently high, chronic under and unemployment. The recovery is more depressing in African American communities than in any other. The overall unemployment rate has hovered between 7 – 8% since the onset of the recession, but for African Americans it hovers between 12-13% (click here for more infomation). This context alone demands that lawmakers sharpen their focus on strong economic growth, enhanced competiveness, and increased job creation. Moreover, minority businesses are under attack—legally and economically. The attacks remain despite the fact that minority-owned firms employ 4.7 million people with annual payroll totaling $115 billion. Legally, challenges continue to mount against many of our businesses with protected status under SBA rules. Economically, despite having “protected status” many businesses cannot survive because they cannot receive loans or even worse, they are informed that they do not have the capacity to do business for or with a particular entity.

In the 1970s, the CBC fought for the Community Reinvestment Act. This law helped reduce redlining, ensured financial institutions were located in communities of color, and provided access to capital. The Congressional Black Caucus remains committed to working hard to ensure better economic opportunities for all. As a part of the Dodd- Frank bill the CBC established Offices of Minority and Women Inclusion in the financial services entities within the Executive Branch. The taskforce also assisted in drafting the Workforce Investment Act to address job training and development needs, especially the chronically unemployed.

The Economic Development and Wealth Creation Taskforce works to develop initiatives that accelerate economic recovery and ensure underserved communities get on a path towards economic growth. The taskforce directly analyzes programs that have been beneficial including neighborhood stabilization funds, community development block grants and empowerment zones. Additionally, it specifically addresses topics related to the Agriculture, Financial Services, Small Business and Ways and Means Committees, overseeing issues related to: economy; banking system; housing and insurance focusing on job creation and economic development; protection of small and minority businesses; and stabilization of distressed communities.

• Committee on Agriculture
• Committee on Financial Services
• Committee on Small Business
• Committee on Ways and Means