The Neighborhood News: Wells Fargo Settlement of Pricing Discrimination Suit to Benefit Baltimore City Homebuyers

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  published by the Mayor's Office of Neighborhoods                                            Tuesday, August 7, 2012

Wells Fargo Settlement of Pricing Discrimination Suit to Benefit Baltimore City Homebuyers

Last month Mayor Rawlings-Blake was joined by Thomas Perez, assistant attorney general for the U.S. Department of Justice, to announce a major settlement of a fair lending case that started in Baltimore. In 2008, Baltimore filed suit against Wells Fargo Bank because of the subprime lending practices targeted at minority neighborhoods in Baltimore.

Baltimore City is entering into a collaboration agreement with Wells Fargo Bank. Under the terms of the agreement, the City will dismiss the lawsuit filed in 2008. Wells Fargo will provide $4.5 million as part of a Lending Assistance Program for individuals who want to buy or renovate homes and live in the city. Wells Fargo will also grant the City of Baltimore $3 million in additional funds for local priority housing and foreclosure-related initiatives.

The Lending Assistance Program in Baltimore will be run by an independent nonprofit agency and overseen by officials in the Department of Justice. The program will be launched in late 2012 or 2013 with a major community event, featuring home buying information and education for people looking to buy a home in Baltimore.

Finally, Wells Fargo has agreed to commit to lending $425 million for home buying in Baltimore City in the next five years. This commitment includes $125 million in loans for low and moderate income residents. The Department of Justice filed a settlement to resolve allegations that Wells Fargo Bank, the largest residential home mortgage originator in the United States, engaged in a pattern or practice of discrimination against qualified African American and Hispanic borrowers in its mortgage lending from 2004 through 2009.

The settlement provides $125 million in compensation for wholesale borrowers who were steered into subprime mortgages or who paid higher fees and rates than white borrowers because of their race or national origin. Wells Fargo will also provide $50 million in direct down payment assistance to borrowers in Baltimore and communities around the country where the department identified large numbers of discrimination victims.

Wells Fargo has also agreed to conduct an internal review of its retail mortgage lending and will compensate African American and Hispanic retail borrowers who were placed into subprime loans when similarly qualified white retail borrowers received prime loans. Compensation paid to any retail borrowers identified in the review process will be in addition to the $125 million to compensate wholesale borrowers who were victims of discrimination.

Announcements

Data on City Neighborhoods: View Baltimore Neighborhood Alliance Community Profiles
Data can help you solve challenges your neighborhood faces! Download CPHA's Tip Sheet about how to access BNIA-JFI's Community Profiles for easy-to-follow instructions to download your neighborhood's statistics on health, safety, housing and more! Also, learn how to download the raw data for neighborhoods and the data profile for the whole city!

Bicycle Parking Survey
The Baltimore City Department of Transportation, the Department of General Services, and the Parking Authority of Baltimore City are exploring secure bicycle parking options in the Parking Authority's Baltimore City garages. If you currently bike to work, or would consider biking, the City would like your feedback.

Baltimore Community ToolBank
The Baltimore Community ToolBank provides a wide variety of tools for churches, school groups, neighborhood organizations who are working on community improvement projects. Groups can sign up and order tools online at Baltimore.toolbank.org and make an appointment to pick them up at the ToolBank warehouse on the 1200 block of Wicomico Street (weekdays only). Groups are charged a nominal fee that is equal to the number of weeks to be borrowed, multiplied by 3% of the value of the tools. Only groups are eligible to use the Baltimore Community ToolBank, not individuals.

Artists, Craftspeople, Food Vendors, Volunteers Wanted for Arts in the Park
Each year GO NW Housing Resource Center & the Friends of Hanlon Park host Arts in the Park, a festival with live music, local food, wellness demos, arts & crafts and a children’s village. This year's festival is Saturday, September 15, in Hanlon Park at Gwynns Falls Parkway & Longwood Street. For information on the application & pricing, contact Mgoodman@go-northwesthrc.org or 410.947-0084 Ext 3.

On-The-Job Training Available for Unemployed Workers
The Mayor’s Office of Employment Development is currently offering an on-the-job training program that provides trainees with in-demand skills while reducing training costs for local employers. Trainees are paid a wage beginning their first day of training, and are guaranteed a job with the company they train with upon successful completion of the program. Training positions that are now available include cable installation technician, road construction worker, furniture installer and kitchen exhaust cleaner. For more information, please visit a One-Stop Career Center or call 410-396-3009 to be connected with a career center near you.

Community Calendar

Youth Bmore Summer Block Parties
The Baltimore City Youth Commission, in conjunction with wpbradio.com and DTLR, presents this free concert series. Enjoy refreshments, live music, and a variety of vendors. For more information, call 443-984-3587.
Friday, Aug. 3, noon-3 pm, Druid Hill Park Pool, 800 Wyman Park Drive.
Thursday, Aug. 9, 7pm-10 pm, Collington Square Recreation Center, 1409 Patterson Park Ave.
Thursday, Aug. 16, 7 pm-10 pm, Gilmor Elementary School, 1311 N. Gilmor Street.

Dog Days of August Pet Adoption and Fundraiser
Saturday, August 4, 10:00 am-1:00 pm, Phina's, 919 S. Charles Street. The Baltimore Animal Rescue and Care Shelter (BARCS), in cooperation with Phina's, presents this exciting pet adoption and fundraiser event. Phina's for the Home has invited BARCS to "set up shop" and present a selection of homeless cats and dogs available for adoption. Supporters can donate linens and towels to help the animals at BARCS. Phina's will offer specials on spa products and linens, and even offer a few giveaways. For more information, visit baltimoreanimalshelter.org or www.phinas.com.

LGBT Cookout And Talent Showcase
Saturday, August 18, 3-8 pm, Riverside Park, 1800 Covington Street. Join Baltimore City Health Department, The Status Update Campaign, And 3the Hardway for the LGBT Community Cookout. Free Raffles, card tournament and free HIV testing! Come out and sign up for the Talent Show and win a prize! For more information contact Keith Holt at 443-690-5044 or Keith.Holt@baltimorecity.gov

Commemoration of Middle Passage
Thursday, August 23, Fells Point Broadway Pier, dawn ceremony 6:00 am and dusk at 7:15 pm. The Middle Passage Ceremonies and Port Markers Project has selected Baltimore’s Fells Point Harbor for a commemoration of Africans who perished in the Middle Passage from Africa to the New World. Similar ceremonies are planned for approximately 175 seaports in North, Central and South America, the Caribbean and Europe. For more information visit www.middlepassageproject.org

Mayor's Back to School Rally
Thursday, August 23, 3pm-7pm, Baltimore City Public Schools, 200 E. North Ave. Get free immunizations and school supplies. Parents must bring their child's updated shot record to receive immunizations. Children must be present with a parent or guardian to receive free school supplies. Live music and performances. For more information call 443-984-1650 or email back2schoolrally@baltimorecity.gov

Heritage United Church of Christ Community Bazaar
Saturday, August 25, 11:00 - 5:00 pm, Denlynn Rd and 3100 blk Liberty Heights Ave. This is a community event full of fun and fellowship. Kids activities, merchant and food vendors, and live entertainment. For more information call 410-466-1627.

Cinema al Fresco - Open Air Film Festival
Fridays through August 31, 7:00pm-11:00pm, Little Italy, Corner of High & Stiles Streets. Live music 7 pm, movie 9 pm. Arrive early to set up a lawn chair, stroll the neighborhood and eat dinner before watching an Italian-related feature film. Folding chairs are provided on a first-come first-served basis. Free popcorn! Sponsored by the Little Italy Restaurant Association. www.littleitalymd.com/activities.htm

Films on the Pier
Wednesdays through August 29, Broadway Pier, Fells Point, 8:45pm. Presented by The Sound Garden and Su Casa. Showing new releases at dusk at the end of Broadway. Bring your own chair. www.fellspointmainstreet.org

Grand Prix of Baltimore
August 31 - September 2, Inner Harbor to Camden Yards. The Grand Prix of Baltimore brings three days of 180 mph excitement to the heart of Baltimore on Labor Day weekend. See the stars and cars of the IZOD IndyCar Series and the American Le Mans Series on a 12-turn course that snakes through the heart of downtown Baltimore and along the world-famous Inner Harbor.Tickets and more information at www.raceonbaltimore.com

Aqua Zumba
Saturdays through Sept. 1, Druid Hill Park Pool, 10-10:45 am. Join the Zumba pool party! Aqua Zumba blends Zumba with traditional aqua fitness in a safe, challenging workout that’s cardioconditioning, body-toning, and exhilarating beyond belief. Cost: $7 per person. Call 410-396-3838 for more information.

Ukrainian Festival
September 8-9, Patterson Park, Linwood and Eastern avenues, Saturday, noon-9pm and Sunday, noon-7pm. The Ukrainian Festival captures the essence of Ukrainian culture with unique arts and crafts, customary songs and dances, a beer garden, assortment of appetizing foods, children's activities and storytelling. www.ukrainianfest.net

Activate Your Inner Citizen: University
Saturday, September 15, Morgan State University. CPHA is partnering with the Community Law Center to provide a Community Association Boot Camp, as well as other critical courses. The event will feature an excellent selection of community engagement, neighborhood planning, and leadership courses. More information and registration at www.cphabaltimore.org