came from several years ago. And her younger brother, sister man and Alice just contributed. And they both super the Tulsa race. Mother Fletcher and Mr. panels were just children when a white supremacist burned down black homes and businesses and decimated the Greenwood district 100 years later, the memory of that tragedy the smoke in the streets, the piles of bodies, the spread fresh in their minds, as was the memory thriving sensationalist by their account, by every account the Greenwood district is a very special place. And I think we all know it was a very intentional place. It was not the product of fantasy or circumstance. It was a designer and intention in that way. And it was designed to be a community a thriving community within a community and economy in which black people supported on another, lift one another, and marveled excellence in which black people could determine their own future. Some of us refer to that as self determination to put equity firmly at the center of our economic policy. So I talk about that today. Because I believe we must draw from the lessons of freedom and freedom and a sweet offer in Waylon we must be intentional. Here's what I believe to be true. America is a nation that is driven by the ambition and the aspirations of our people. But I also know that in America today, deep racial disparities continue to hold people back from achieving all they can today the wealth gap persists. Today, the homeownership gap persists. Today. Access to Capital isn't only as one example, black entrepreneurs are three times more likely to report that a lack of access to capital negatively affects their profit margins. I believe that the actions we are taking and must take to address these disparities will define our nation's strength and economic strength in the 21st century. Our economy is growing faster than it has in decades. I'm climbing is down to 4.2% and nearly 6 million jobs have been added since January. As a nation, we cannot take this growth granted, and we must make sure that everyone shares some of this growth in order to sustain it. In a moment, the Secretary I'ma sit down here and we're gonna discuss some of the intentional actions that our administration is taking to lower cost families and to remove barriers to success within all communities. As one example, we are increasing access to capital by supporting community lenders, also known as CDFIs. And MT is one of the last actions that I took as the United States Senate was to team up with Senator Mark Warner Leader Chuck Schumer. Senator Cory Booker, Senator Mike Crapo, Chairman Sherrod Brown, and Chairwoman Maxine Waters was here today. Together, we secured $12 billion for community lenders as part of the COVID-19.
We released 1.2 billion of those dollars to through our Rapid Response Program, and we were very excited about that the Secretary and I did that together and so many of the leaders who are here and following up on that today I'm very proud to announce that almost $9 billion is now available to increase lending to small businesses in underserved communities. They'll say yes, that's a lot of money. A lot of money. There's a lot of dough. But what we also intend to do is to look to you, the leaders in the private sector to talk about how we can maximize the capacity of that institution in a way that everyone is participating in the potential to exponentially grow that investment in our communities. But needless to say, these $9 billion will dramatically increase lives of more than 175 Community lenders across our nation. This effort is close to my heart, I suppose to many of us, and it is certainly critical to our communities and everyone in terms of their potential and capacity and meeting their teams to support and encourage. Throughout the year, I have consulted for the most active community lenders in our nation. Those who serve rural communities in Oregon and urban communities in California in my hometown, both of those who serve low income communities in the Mississippi Delta bill. I'm thinking more here simply pouring capital into communities that are starved of it, providing financial services to communities that lack those services entitle communities, like in a beta, a town of 1800 with a median income of $17,000. Communities filled
with people with ambition,
with aspirations, with dreams for themselves and their children and their community. I have consulted with many community lenders who serve tribal communities in the plains of South Dakota where Native women are making films that are important to their community. Knowing there is a market for it based on the culture and traditions of those communities. And you needed a community and they needed to lend but it just so happens that the community lenders, understand text the needs of these communities and see the potential for growth. community managers understand the value in providing access to capital directly to these communities. This sits down with folks in these communities, that you listen to the folks in these communities. They identify with and understand these communities and that's what makes them so successful. And because they do they add significant value to these communities and then so here's the bottom line. I believe that when we look at the economic power of every community in America, there is nothing we cannot achieve in America. When we unlock that power, our families will be more secure. Our businesses will be more successful. And donations will be more competitive. When every community reaches its full potential, so too does and so ultimately, this is about the nation we are and the nation we want to be so welcome when I spoke with Mike Fletcher and Mr. Van Ellison it was clear how far we have come and how far we have yet to go. I promise that we will keep working to fulfill the vision of the district and the promise of America that we will keep working to build a nation in which every person has the support they need to determine their own future. And that is exactly what we have all gathered here today to do just that.
Extraordinary you, who has been to me to be partners in this effort to crane Secretary.
Thank you so much, Vice President and welcome every month. We are honored to proceed with Treasury today. This is really interesting for and most of us are familiar with the history founded by Lincoln in 1865. newly freed slaves, build wealth, things books were in shambles by the 1874 Largely because for oversight by your congress that had we been interested in reconstruction. Frederick Douglass, where you read the things prison, tried to save cost him $10,000 of his own money. But the show of confidence didn't work. The bank failed and more than 61,000 African Americans lost their savings. Douglass's biographer data flight called the Fair win. Rate aspirations that also great tragedies of reconstruction. We're here today because too many ways are still living with both that aspiration and that tragedy. The vice president just described this very well. From reconstruction to shoe crow to the present day. Our economy is worth fairly for black Americans, or really for any American color. Well, since stepping foot in this building last January, we've tried to change that to finally meet the aspiration frequent basis by transforming our treasury works. We completed treasuries first equity review, looking across the department is asking, Where are our operations not as inclusive as the QuickBase with going on the most diversity leadership team to Treasury's history, and our senior appointees are people of color and retired departments first ever counselor on racial equity. If you haven't met Jess bow Baudrillard yet, you will in just a moment. I was recently they should though, is the news that the Vice President just mentioned. Two words emergency capital investment program for Treasury will be injecting nearly $9 million into community development financial institutions and minority depository institutions. The CDFI is empty eyes, serve communities, that financial standard historically, it's not served well. And most of the time, these are communities of color. If you're black or Hispanic or Asian, or native entrepreneur we know it's hard to get your hands on funding to open your shop, where to keep the lights on where to meet customer demand. And this is particularly true during the endemic in the small business credit survey. The fifth found that while roughly 40% of white oak firms reporting receiving all the non emergency funding they sought last year, the number for Hispanic owned firms was just 21% and for black owned firms. It was just 13%. Now, continue that 13% is a woman named brandy Shelton. I met brandy a few months ago when I visited her tea shop and Lanta just add honey is its name really, really sharp. She used the whole three just add on is in fact, the during the pandemic when money was tight, she needed credit to keep her through locations. Flow and no one with your funds or
fiscal policy can be a complex state. Sometimes it's very difficult to state with clarity and certainty how a particular program or statue will change. Someone's life. But that's not the case here. Because here it's very easy to make policy with a personal you can draw a straight line from the money were injected into high performing CDFIs and look at institutions to a tee shot in Atlanta. Because what this will do is prevent small business owners call from closing to fill locations and better yet it will help people open to more. It will ensure that our markets no longer provide just a small fraction of businesses with the funding they need. Of course, one program is not enough to fully make up for the tragedy or make good on the aspirations of the Freedmen's bank or the Greenwood district Vice President spoke about but it is a story and you should know this is just one example of how we're implementing individually with equity is the hardest next. The last thing I want to say is this. None of this has happened before. And I'm so glad that Chairwoman waters is here today. Because she helped push this program through Congress.
All minions Vice President, thank you because you helped design the new Silk legislation. When you were still Senator Harris. And you shepherded this program from a policy paper idea out into the world when Vice President Thank you and I'm looking forward to our conversation so.
Oh, you can help me to be on stage with two upright rows. I've spent the last two decades of my career advocating for people of color to be able to build the best day that will secure their retirement ends because they can share with their children. It is an incredible honor to join Australia. So this is a trend equity that is putting issues of economic justice on our agenda. Today, probably nearly two people who you've already met who need no introduction, who have been stalled for many years. I've had students now as Secretary Yellen whose work speaks for itself decades of centering women and people of color in her work. And as the Vice President, you may not remember this but we had a chance to meet you when you were at Harris. When you came to visit affiliated Angeles community to grow this and we were out in the streets in Boyle Heights talking with families who were at my pleasure. You simply cannot walk away from families who are at risk of losing everything to no fault of their own without feeling the weight of that tragedy. And so I know that for both of you, this comes from a place that is personal that builds on decades of experience. So that's where I would like to start, actually. And we'll start with you, Madam Vice President, if you could share with us how you got into issues of economic justice and equity. What brings you to this work as one of our passionate leading advocates
willing ways I was born into play. As many of you know, my parents were active in
terms of national
heroes and kind of fights in terms of important access into but it was it was up to me remember who was organizing the sanitation? Who was. And I think frankly, I think many of us too, that was part of why he's assassinated because he was starting to join intentionally the civil rights, justice, particularly, and building a powerful coalition. Understanding that the economic piece is something all people enter continuous periods depending on where they are. Not a Hero, growing food for spring, nice. Foreigners, and first meal
is incredibly forceful
labor. Leisure is because he was organizing a group of quarters confessional Blackfan families who is the challenge of organized workers but recognizing workers in a system where people were legally unchanged. In addition, to the workplace. Let's not forget to Tammy will remember that she thought about how she would create it basically provide for farmers free pays and finance which is about a capital investment. So that they can then grow the capacity of their farms, and by extension, their wealth and economic health. And so these were the these were very much in my childhood, to my mind. The examples of hindsight for justice and they tie that into my friend family justice as well. You mentioned off some recent events, but the foreclosure crisis so when I was reading general, an email number I called California, finances very controversial at the time. I want to again acknowledge congress
next August because you stood and in the foreclosure crisis that started to build let's remember that black and brown homeowners were charged twice as much in terms
of interest rates. And so by no coincidence after I became Attorney General, in 2011, it's an attracting business. You will know that by going around homeowners were twice as likely before is a very likely causal effect. And so throughout my career in my life, I have seen vivid examples of decision.
The Secretary talking about what it was like to come back to a fire, maternity leave at a time. That wasn't a common practice in the field.
Well, absolutely. So my son who was born in 1981 My specimen he and I both worked, and we realized that if we were both going to stay employed and have careers, it would be necessary to find, find affordable childcare. Now fortunately, we were able to find it and we could afford to hire someone took wonderful care of our son. But what I realized from that experience, and from all the work that I've done in labor economics, and we've done here reviewing the childcare situation is that childcare in the United States is simply unaffordable for the vast majority of working families. It consumes for those who get it something like 13% of their income, and it's many women particularly women back so that they're not able to advance were couriers. And in addition, it's a very important because families simply can't afford that. It's an occupation pays very low wages. And has very poor working conditions. And many, especially women of color are employed doing that, and trapped in jobs that are tremendously important to us, as commonly as human beings. But really not able to make ends meet. So we'll talk about that when you're working on your policy statement. This ministration vice president Harris or you're focused on chiefly situation and our build out better to legislation, which is in Congress now, with maybe a more or less change to this tribal here for most families, no more than 7% of their income. And we would like to two years of universal early childhood education, which is not only important for families to promote their ability to work, but also show these investments shown to make a great difference to the system for children and Child Tax Credit, which is tremendously important. Making sure that families can support their children.
It makes us wonder how many other secretaries out there, but more than the ability to big child care to have the kind of investment that has been more limited in our communities. These unrealized potential that is left on the table so we know that COVID Excited exacerbated health inequities. We knew that that was already there. But so were pre existing racial economic inequities, structural racism. And that's why as we think about recovery, it's important that the center equity is part of that agenda. Otherwise, we're just going to continue to move along and of reinforcing a gap that exists and as has been alluded to, the administration has done so much on this already. So as we come to the close of our first year, believing families. What are some of the administration's biggest accomplishments?
Well, there are actually really, I would say, the overriding has been disapproval appreciated, we have really taken the time to sit back and think about what will provide the greatest return on our investments. And we have decided that investing in America's workers investing in people investing in families with the greatest return on investment. And so you can look at everything from as the Secretary has said, the child tax credit. We know that as of today. The latest numbers on a song we have raised 40% of America's children. In fact, last week, which was the first time that we brought on terminal health to the White House stage, and we did that because as the New York Fed has pointed out, healthy economies requires us to be honest. And so paying attention to the fact that we spend millions of dollars a year as a nation is literally what we don't recognize that black women are three to four times more likely to die in connection with childbirth. When we don't recognize that when we're looking at Native women, they're twice as rural women are 60%. So we're thinking about where do you get the greatest need of your investment. What we did at the beginning of the round Crescent fan, in addition to the child tax credit, was about recognizing that part of the economic lifeblood of all families. are small businesses. That they are not only for the economic life, but he was meant to a thriving and thriving community. And understand that our small business leaders are also civic leaders. They are also communicating in what we did with the PPP program and also what we did to recognize how previous outreach to a minority and women owned businesses have not worked. And so let's do a better job of engaging them. And the long term goal there was that through what we did to better engage in a rescue approach would be what we will do to engage in terms of continuing investment approach. So these are some of the many things I did an event yesterday in Maryland on electric vehicles are very excited about that. I believe that the future of transportation is electric. And let's take a look at in particular I'm very excited I must confess about electric school bus. Yes, I went to school, nothing no school bus, so I did. I have good memories of that. I hope you all do too. But here's the other piece of it. At least pre COVID 25 million children in America that day, was breathing those toxic fumes from diesel buses. Studies have shown what that will do to impact their ability to learn. And when we're the children who go school on bus, usually the children who don't have the neighborhood school, children who don't have their parents may not have a car to take them to school. We know who is likely demographically to go as warm as we know demographically who is likely to drive that lesson. We can also predict those. So I could go down a long list but I think that the general point that I know the Secretary and I both in the midst of very long days. That gets us going every day is knowing that we have to invest in the people of our country.
And you will notice a great moment us.
And, Madam Secretary, we are living through other seismic shifts in our economy as well, for example, the way that climate change is affecting the economies of Native nations and disrupting the financial experiences of other communities of color. So you've mentioned some of this in your opening remarks but Singapore before about how Treasury essentially the most vulnerable in our work to rebuild the American economy.
Well, six years let me just say the Treasury has been focused like a laser on racial equity since day one, and we've conducted a top to bottom review of what we do both internally in terms of our own hiring gradient promotion plans, and also in terms of all of the policies and programs that the implement and it was my pleasure, Janice to preview on December 1 ever racial equity counselor, I'm thrilled that you joined us to make this real mission to focus systematically on everything that treasurer does. And we're also establishing a new racial equity Advisory Committee and we'll be making appointments for sure. But vice president talked about the various programs that we have in place that are intended in the future to build back better to promote racial equity. Treasury also has the enormous privilege and responsibility of implementing almost a trillion dollars worth of programs under the American rescue plan. And we very intentionally focus in our management of these programs on racial equity, on making sure that it gets as Congress intended to those who need it most and the rules that we set up and parameters for running this program. Don't disadvantage the people that these programs are intended to help. You mentioned. Vice President, the PPP program, which we initially found, just listen to getting money into communities of color and when we began to manage that program, we focused very much on ensuring that CDFIs would have access those who were best able to get some money into these communities, that they would have privileged access to the funding to make sure that no one got there. And really, this has been true in our management of all of the programs. Just to give an example we mentioned the child tax credit, he said, an enormous a 40% reduction in poverty rates is just extraordinary, but we have to make sure that it gets to all those Republicans. And this was something that it wasn't an easy program to implement, but it was relatively easy to get relief to get monthly checks. People who filed tax returns, but for many low income people, particularly in communities of color that are already firing filed tax returns, and they're going to go for that crevice and it's a lot more work to make sure they know about it that they have the tools to apply for it. And that's the kind of thing that we've been focused on. Emergency rental assistance and other appropriate Well, you know, we want to make sure that these programs that money gets to people who really qualify. And you could imagine establishing criteria that willing enough to have five years worth doing tos and rental contracts and canceled checks to show that you're eligible for this support in a real appropriate and adequate probably jury. If you are renters. We're really in need of that. So it was through the roof so for their ends, for the adult getting help. So and that could be particularly true in communities of color. So we focused in our implementation on sulfat distinction, we make sure that in our implementation, we're not excluding people who want to benefit and I can give you a blackboard snowballs, but I want to say that it's the conscious goal to ensure that everything was implemented. So that money goes to the communities and helps the people
and effects that's what the Secretary has been doing throughout the career. And as Secretary of Treasury is also recognizing that some of these designs are just designed or designed to benefit others. People who have access that information, already have capital live in buildings. And so it's not only about the state of mind in terms of this, it's about restructuring the system. And it's really important to understand that that's part of the work that that is at play, is think about how we actually can and must restructure these systems so that they work for everyone and again, it's it's always important to see.
Absolutely, I think what's incredible to me just touching on is that we are facing structural challenges that require structural solutions. And this administration has put forward on my second generation Tyson investments that are completely reimagining the way that our economy is going to work for communities of color. We know I'm sitting here at this table that we can't do that work with. So I want to pause for just a moment and take it in this room. Because we have here with us in the world and our live stream are really incredible brain trust. Leaders from corporate America leading advocacy, nonprofits, academics, think tanks. I think we have communities in this room to really solve the challenges that we're facing. So Vice President, what would you say two folks here? How can they get on board and support our shared goal of eradicating the racial wealth divide?
Well, I'll start with this and the Secretary mentioned this. And we all know part of the challenges of ensuring equal access and equitable distribution of resources as we, the people need to know their roles. They need to know what's available to them, and they also need to have the tools to navigate a system and the information about what that system is. And so that is about using our collective voice, hopefully always fueled the the goal of increasing the coalition so that we can improve information and access you know, there is a reality of what we're also dealing with at this moment in our country, which is informed I think, most recently by the pandemic of the extraordinary loss that people have experienced. loss of life, loss of jobs loss normalcy. And, and there is a feeling also combined with a number of other factors about whether folks can trust the system, whether they believe in the system, whether it is working overseas. And I do believe one way one way to address that is to make sure that we are always empowering subjects about their rights, and what is available to them so that they don't have to experience things happening to them. They can actually exercise as I said earlier, self determination. And so I would, I would ask us to let us continue to work together on how to talk about what we need to do and I'm never going to this may not seem connected to this topic, but is as I can I just I was a little late coming here because I was with the president of the Oval Office. He and I go through the daily briefs, the complex detail and returning my classified information about threats for national security and threats around the world. One of the threats that everyone is, is is really increasing debate around the globe, about autocracies versus democracies, which is more efficient, which is more effective, which can survive, which has been an experiment that may have a shelf life of a couple of centuries. And I think we can all agree that when we're talking about free and fair markets, when we are talking about investing in passive people investing in adaptation, encouraging all that democracies are very, very imperfect. They may be that kind of spirit of coaching relevant strength. And so when we think about something like this ongoing latent challenge to one of the strongest and most important closing democracies I would ask us to think about the connection between national conversation because our democracy is being threatened by certain particular things, including this attack. And we should see the natural progression of where this on many issues including the show whether we have a society that allows small businesses to drive communities to grow and there isn't there is a relationship, and I believe it is a direct relationship. And so please participate in helping us fight to save our democracy. And that it was as the most evident a presentation by for the bank
to. Carry on to give you the last word, what can we say to the audience here?
Well, let me let me also say our objective is to partner with everyone in this room. The government by the administration ministration is very focused on using new resources to inject lending capacities in businesses, communities of color, but this is not something that we accomplish on our road without the help of everyone in this room. We're injecting some capital to support institutions that have a capacity to make a difference in their communities. But we need you to co invest with us to provide resources that we have leverage those investments to really make a meaningful difference in in these communities, and we need so much more that you can do. And I had the pleasure of discussing this. Some of you this morning business leaders who are here today. You can help train people to work and to be employable in your businesses. That are going to be created or in America's businesses today. We can prove diversity and inclusion, making sure that leadership starts from the top and that you you focus on this your own organizations. You can provide technical training and resources to the CDFIs in MDI, so we're investing and to the organizations that the companies that they're going to fund to make sure that they're successful. You can be the customers of those companies to make sure the thing of business opportunities and as these investments in scale, and we need to work together to make sure that all of our resources are going to support viable and self sustaining foods.
Thank you all for joining us this week in memory, three minutes bank, as well. We are committed to this meeting at the annual event. We don't want this to be a once a year dialogue. We want to be in conversation with you throughout the year ahead. So for those of you who are joining us on Livestream, thank you much for joining us before you take a break for lunch. We will be back over
