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Impacting
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The wealth gap between whites and minorities has doubled in the past 8 years. The poverty rate of minority women is twice that of white women. The economic distress of minority communities is one of the most pressing issues facing Florida and other states such as California. The lack of businesses and jobs fuels not only a crushing cycle of increasing poverty but also crippling social problems, increasing high school drop-out rates, drug abuse, and crime in our minority communities. The establishment of a sustainable economic base as well as increased access to affordable housing, employment opportunities, wealth creation, role models, and improved local infrastructure is critical to the future well-being of minority communities in the State of Florida and throughout the United States. Recent studies show that minority women have twice the rate of poverty as whites. To further emphasize this discrepancy, whites have 20 times the amount of wealth than minorities. Minorities also have marginal access to non subprime capital for both housing and small businesses. Across the United States, poverty and loss of hope and faith is on the rise among minority families. This will have a serious impact upon the economic future of the United States when you consider that minorities will represent over 50% of the population of all urban cities in 20 years. 

The racial wealth gap in Florida has widened to an historic level primarily driven by the impact of over 42% of minorities losing their homes to foreclosure. This is critical when you consider Home Equity is by far the largest component to household wealth. Yet in 2012 minorities account for less than 7% of all FHA-Conventional home loans in Florida by the largest five banks. Minorities account for over 73% of poverty in Florida with over 70% of African American children living at below the 200% poverty level. Over 80% of all African American Children (4th & 8th Graders) in Florida have below average reading and math proficiencies.

Currently minorities account for an average of 43% of the population of every major city, but contribute less than 5% of the GDP for those cities. This trend has serious economic implications for every citizen in Florida. This crippling economic tide that is engulfing our families is a result of the lack of home ownership, access to capital, access to financial opportunities, access to educational resources, and a lack of financial upward mobility. Banks have the ability to lead in changing this negative course in Florida for minorities. This will not be possible without race based programs and funding that includes the development and capacity building (including both intellectual and capital) of minority led nonprofits that focus on minority communities or businesses.


Recent News:

Tampa Mayor Bob Buckhorn Targets Black Neighborhoods (near downtown) For Racial Gentrification.  All White Tampa

Historic Board Create Historic Overlay Districts With Costly Housing Rehab Expense That Force Sales By Minorities

Click Here For FMCRC Letter To Mayor Buckhorn


2015 Federal Home Lending Data By Florida Banks Released. Top Banks fuel widening Racial wealth gap. Bank of American Discriminates Against African American home buyers Click here for copy of breakdown of 2015 Racial Home Lending Report


Washington DC Housing officials (FHFA, FannieMae, FreddieMac & NCST) Tour FMCRCTampa Housing Projects that Focuses on Raising Home Values in Minority Communities To Address The Rising Wealth Gap. To Date, FMCRC Has Been Successful in Raising Minority Home Values By Over $220 million dollars.

(click on this for attachment with photos and tour highlights)


Federal Reserve Board (Washington DC) Meets with FMCRC & Florida Minority Leaders in Miami to Discuss Rising Racial Wealth Gap and Racial Economic Exclusion By Banks. Meeting was result of FMCRC letter sent to Federal Reserve Board Chair Janet Yellen

Click Here For Meeting Recap and Photos


FMCRC Chair Al Pina Demands National Minority CRA Summit in DC; Official Letter to Federal Reserve Board Chair Janet Yellen (Proposed Hunger Strike) Click Here For Copy of Letter


FMCRC Goes After Bank of America CEO Brian Moynihan for Racial Economic Racism Bank of America Small Business and Home Loans to Minorities under 6% of all major U.S. Cities:

Click Here For BofA 2014 Home Lending To Minorities: Economic Racism

Click Here For FMCRC Cartoon of Moynihan Economic Racism


2014-2015 FMCRC-SDMCRC Annual Report: Click Here For Copy of Report


FMCRC-CCB Request Congressional Investigation of Bank of America on Predatory Lending To Latinos and Blacks as part of City of Miami Federal Lawsuit Against BofA. Click Here For Copy of Congressional Letter


FMCRC Creates and Leads Launch of Florida First Race Based Race Focused Community Development Fund to Fight Poverty With New Market Driven Non Profits. FMCRC Calls on Wells Fargo and Bank of America to Conduct National Racial Audit of Community Funds they Invest into Click Here For Copy of Press Release


Florida Racial Wealth Gap Report:  Rebuilding Minority Communities: Click here for copy of report


Federal Reserve Chair Janet Yellen states rising income inequality harmful to United States. Federal Reserve Study (Income Inequality/Racial Income Inequality):

  • 2010-2013: White Median Net Worth +2% ($142,000) San Diego +4% ($168,200) Florida +3 ($157,330)
  • 2010-2014 Minority Net Worth -17% ($18,100) San Diego -27 (12,300)
    Florida -21 ($16,600)

For link to Federal Reserve Study and Rising Racial Wealth Gap: click here


Federal study shows racial wealth gap grows under minority President. Click here for recap of report


Florida Racial Wealth Gap Summit Coming to Tampa in September. Will address economic impact on Florida future economy. Click here for save the date flyer


University of Berkley study (HAAS Institute) show Florida #2 with homes underwater with minorities leading the way. Click here for study of report


Harvard study finds minority home purchases & ownership down significantly in 2012. Click here for copy of study


 

 

Home Equity Loss by Race
(2007 - 2010 Chart)
Click here

Racial Wealth Gap Data
Click here
Wealth Components 1983 2010 graph
Click here
The US Racial Wealth Gap   The Florida Racial Wealth Gap
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