PORTLAND, Ore. – City fathers here are exploring an initiative that would make it easier to move Portland’s deposits to locally-controlled credit unions and banks.
Portland Mayor Sam Adams is proposing to take some of the $7 million it has deposited in Wells Fargo and $30 million in Portland-based Umpqua Bank and distribute some of the money to local institutions.
“This is part of my pledge to address some of the founding frustrations of the Occupy movement, including economic inequity, banking practices, and the influence of corporations and money in politics,” Adams said in a statement on his website.
The mayor’s “responsible banking” resolution would change Portland’s current investment policy, which blocks investments in credit unions, and allow the city to immediately invest up to the federally insured amount of $250,000 in as many as 10 credit unions in 2012. Then, in 2013, it would allow the city to invest more than the current limit in at least one local credit union.
In his online blog Mayor Adams said his initiative was born from the Occupy Portland movement, which prompted many of his constituents to express a desire to see more of their tax dollars invested in local credit unions and community banks. “While the City of Portland recognizes the importance of national banks and the indispensible services they provide, the city also recognizes the value of having a portfolio that includes local investments in community-based institutions,” he wrote.
“Investments in credit unions and community-based banks have been correlated with positive impacts on local economies and job creation, through increased proportion of loans to local businesses and focus on local customer needs,” wrote the mayor.
Mayor Adams is collecting public comments on his resolution until Feb. 10.
