Business and Economic Development (BED)

Back to 2023 Ratified Policy Resolutions
Resolution BED-23-03

PROTECTING CONSUMERS IN A NEW FINANCIAL ENVIRONMENT

WHEREAS, fintech is an emerging industry in the United States and the world that uses technology to improve and expand ways of doing business with the area of finance and technology;

WHEREAS, according to Experian, as of March 2019, financial technology loans comprised nearly 50 percent of the non-credit card, unsecured consumer loan market;

WHEREAS, certain fintech companies are charging consumers an Annual Percentage Rate of over 350%;

WHEREAS, since fintech companies are relatively new, they are generally not regulated by the state and federal government levels, and there is an ability for these industries to take advantage of the most vulnerable communities;

WHEREAS, fintech can automate the following areas of finance: insurance, investments, banking services, risk management and trading;

WHEREAS, vulnerable populations, including communities of color, struggling small businesses, and low-income individuals, can fall prey to predatory lenders and this new financial industry;

WHEREAS, there is a need to promulgate laws and regulations to prevent predatory lending by fintech companies; some fintech companies have given out loans with an APR as high as 225%; reasonable caps on interest rates should be established; and

WHEREAS, many organizations, including Americans for Financial Reform Education Fund, Center for Responsible Lending, Consumer Action, Consumer Federation of America, Consumer Reports, the Leadership Conference on Civil and Human Rights, NAACP, National Association of Consumer Advocates, National Community Reinvestment Coalition, National Consumer Law Center (on behalf of its low-income clients), Public Citizen, and U.S. PIRG, have called for interest rate caps by states.

BE IT THEREFORE RESOLVED, that the National Black Caucus of State Legislators (NBCSL) will work with its partners to urge support in ending predatory loans by fintech companies by establishing reasonable caps on interest rates (APR) for loans;

BE IT FURTHER RESOLVED, that the NBCSL urges states to enact legislation to license the fintech industry to promote transparency, consumer protection, and corporate standards as is similarly done for other financial industries within the state; and

BE IT FINALLY RESOLVED, that a copy of this resolution be transmitted to the President of the United States, the Vice President of the United States, members of the United States House of Representatives and the United States Senate, and other federal and state government officials as appropriate.

  • Resolution ID: BED-23-03
  • Sponsored by: Rep. James Sanders (NY)
  • Policy Committee: Business and Economic Development (BED)
Download Resolution
Resolution BED-23-09

PROTECTING FUNDS ALLOCATED UNDER THE AMERICAN RESCUE PLAN

WHEREAS, the American Rescue Plan was signed into law on March 11, 2021 and provided $350 billion to state, local, and Tribal governments across the country to support their response to and recovery from the COVID-19 public health emergency;

WHEREAS, there are numerous other grants that have gone to help states recover from the pandemic beyond the $350 billion;

WHEREAS, these funds were sent to states because of the numerous fiscal challenges faced under of the COVID-19 pandemic to the states, but most importantly all of its residents; and

WHEREAS, one of the stated goals of the American Rescue Plan is to advance equity in the United States, so that communities that have historically struggled are given the resources necessary to succeed and close the racial disparities that exist in the United States.

THEREFORE, BE IT RESOLVED that the National Black Caucus of State Legislators urges the United States Congress to appoint a federal monitor to each state that receives funding under the American Rescue Plan Act of 2021 (Public Law No. 117-2) for the purpose of overseeing state expenditures of such funds in an equitable manner;

BE IT FURTHER RESOLVED, that the NBCSL further urges that these funds be distributed equitably between all communities in the state, to ensure that those communities that have long struggled economically are given the resources long need to improve their community; and

BE IT FINALLY RESOLVED, that a copy of this resolution be transmitted to the President of the United States, the Vice President of the United States, members of the United States House of Representatives and the United States Senate, and other federal and state government officials as appropriate.

  • Resolution ID: BED-23-09
  • Sponsored by: Rep. Larry Miller (TN)
  • Policy Committee: Business and Economic Development (BED)
Download Resolution
Resolution BED-23-20

COMMENDING AND RECOGNIZING DETAILERS ACROSS AMERICA

WHEREAS, professional automobile detailers contribute significantly to the automobile industry;

WHEREAS, education is required to prevent damages, and use of chemicals, removing bacteria, germs and removal of dirt, dust, and grime and avoiding damage to other substances, as well as preventing injury to oneself;

WHEREAS, for example any professional detailer offering services in the state of Georgia may require additional car care training due to the increase of the professionalism in the marketplace;

WHEREAS, owners and operators of car washes and car care facilities throughout the United States are often required to demonstrate standards of professionalism by retaining the proper credentials, providing quality services, and addressing the needs of customers; and

WHEREAS, there are numerous organizations that offer the automobile detailing industry a standard certification program to validate good industry practices for car wash detailing professionals.

THEREFORE, BE IT RESOLVED, that the National Black Caucus of State Legislators (NBCSL) commends and recognizes automotive detailers across the United States;

BE IT FURTHER RESOLVED, that the NBCSL supports attempts to increase minority participation in the auto detailing industry;

BE IT FINALLY RESOLVED, that a copy of this resolution be transmitted to the President of the United States, Vice President of the United States, members of the United States House of Representatives and the United States Senate, and other federal and state government officials as appropriate.

  • Resolution ID: BED-23-20
  • Sponsored by: Rep Doreen Carter (GA)
  • Policy Committee: Business and Economic Development (BED)
Download Resolution
Resolution BED-23-24

INCREASING MINORITY VEHICLE OWNERSHIP

WHEREAS, the National Black Caucus of State Legislators (NBCSL) recognizes the importance of reliable transportation and the benefits that vehicle ownership can bring to individuals, families, and communities;

WHEREAS, black households are three times more likely to lack a vehicle than white households;

WHEREAS, studies have shown the correlation between employment opportunities and vehicle ownership, and that the difference in employment rates between vehicle-owners and non-vehicle18 owners is considerably larger among minorities than among non-minorities;

WHEREAS, studies further indicate that raising minority vehicle-ownership rates to the level of whites would considerably narrow inter-racial employment rate differentials;

WHEREAS, vehicle ownership can contribute to financial security and stability, vehicle owners generally benefit from purchasing power, as well as the ability to secure loans with their vehicle as collateral and borrow at lower interest rates;

WHEREAS, vehicle ownership also helps families with taking children to school, trips to the doctor and dentist, and grocery shopping, offering a reliable transportation option in both urban and rural communities;

WHEREAS, the NBCSL understands the historic challenges that people of color have experienced in accessing affordable vehicle financing;

WHEREAS, minorities have faced historical disadvantages in accessing traditional credit; and

WHEREAS, if the terms of a car loan contain too high of an APR or the term of the loan is too long then the consumer will never fully own the vehicle; and

WHEREAS, technology can be used to enable wider access to vehicle credit and lower discrimination rates by automating a process that previously required a human decision-maker.

THEREFORE, BE IT RESOLVED, that NBCSL encourages policymakers to ensure that laws and regulations do not inadvertently reduce the availability of vehicle finance to minority families, either by limiting the use of technology in lending, or by any other means that might prevent regulated lenders from serving minority communities;

BE IT FURTHER RESOLVED, that NBCSL believes that such financing should be reasonable in nature with reasonable APR rates and loan terms in line with industry norms, and not predatory in nature;

BE IT FURTHER RESOLVED, that technology should be used to foster equality and not just a means to find other ways in which a person’s ethnicity can be determined and result in larger interest rates;

BE IT FINALLY RESOLVED, that a copy of this resolution be transmitted to the President of the United States, the Vice President of the United States, members of the United States House of Representatives and United States Senate, and other federal and state government officials as appropriate.

  • Resolution ID: BED-23-24
  • Sponsored by: Rep. Karen Camper (TN), Rep. Kim Schofield (GA), Rep. Sandra Scott (GA)
  • Policy Committee: Business and Economic Development (BED)
Download Resolution
Resolution BED-23-25

USING DATA TO FIND AND ADDRESS INEQUALITY

WHEREAS, the National Black Caucus of State Legislators (NBCSL) believes that the vision of a free and fair America has always faced challenges due to the fact that specific communities. have suffered from a noticeable lack of resources;

WHEREAS, the lack of critical resources, commonly called deserts, causes individuals in under resourced and under-served communities to be insufficiently prepared to grow, prosper, and improve their well-being equitably, that is, to be socially mobile;

WHEREAS, there are organizations like the Equitable Growth Fund, a 501c(3) non-profit that focuses on addressing deserts by investing financial and human resources into zip codes that lack access to health, finances, food, education, transportation, and other resources;

WHEREAS, it is important to precisely identify and measure where these deserts exist so that. resources can be appropriately surged into areas to improve the quality of life and upward mobility of people in every zip code throughout this country;

WHEREAS, the NBCSL ratified Resolution BED-22-47, ELIMINATING HEALTH CARE, FOOD, AND CREDIT DESERTS, endorsed efforts to identify deserts and direct resources to the communities that are most in need;

WHEREAS, it is critical to measure every zip code in this country to improve the likelihood that every citizen has access to resources that are necessary to enhance their quality and quantity of life;

WHEREAS, there are resources like the Community Resource Vulnerability Indices to measure and help address health, financial, food, education, transportation, and other vulnerabilities and deserts;

WHEREAS, the Social Mobility Index (SMI) is an index prepared by the Equitable Growth Fund that measures the lifespan and ability of residents in any zip code to build wealth and improve their social, health, and financial conditions;

WHEREAS, the Social Mobility Index is focused on studying opportunities and limitations that impact residents in every zip code and their ability to improve their conditions measurably;

WHEREAS, the Community Resource Vulnerability Index (CRVI) is an index prepared by the Equitable Growth Fund that measures the susceptibility of communities to build wealth and

improve their social, health, and financial conditions due to lacking access to appropriate healthcare, educational, food, banking and financial, and housing resources, and

WHEREAS, the CRVI also focuses on violent crime, political under-representation due to gerrymandering, women’s choice, an environment poisoned by chemical or industrial waste, and flooding, fires, or other symptoms of extreme weather owing to climate change in every zip code in a city, state, and throughout the country;

WHEREAS, the Community Resource Vulnerability Index is focused on studying and encouraging public and private investment in every zip code to ensure the equitable access toneeded resources for every resident;

WHEREAS, qualitative measurement tools are critical to determine and ensure the equitable allocation of desperately needed resources in every zip code resulting in measurable improvements in the lives of residents; and

WHEREAS, it is critical to develop organizations like Georgians for Equitable Resources (GFRE), an organization that uses the indices to improve the quality of life of under-resourced zip codes throughout Georgia.

THEREFORE, BE IT RESOLVED, that the National Black Caucus of State Legislators applauds the development of and encourages the use of the Social Mobility Index (SMI) and the Community Resource Vulnerability Index (CRVI) and other similar indexes to measure and invest in zip codes that have been historically denied suitable access to desperately needed resources;

BE IT FURTHER RESOLVED, that the NBCSL will continue to work with organizations like the Equitable Growth Fund to measure the mobility and resource vulnerabilities in every zip code throughout this country;

BE IT FURTHER RESOLVED, that the NBCSL will encourage the use of these indices by local, state, and national elected and appointed leaders to increase the likelihood that every zip code is equitably allocated needed resources to improve residents’ quality of life; and

BE IT FINALLY RESOLVED, that a copy of this resolution be transmitted to the President of the United States, the Vice President of the United States, members of the United States House of Representatives and United States Senate, and other federal and state government officials as appropriate.

  • Resolution ID: BED-23-25
  • Sponsored by: Rep. Kim Schofield (GA), Rep. Sandra Scott (GA), Rep. Karen Camper (TN)
  • Policy Committee: Business and Economic Development (BED)
Download Resolution