Bank of America Announces $3 Million for Revitalizing Communities in San Diego and Across the Country

25 Feb 2005 - San Diego, CA

LISC To Use Funds To Support Rebuilding Efforts in 19 Cities and Several Rural Communities

Bank of America today announced a significant milestone in providing lending and investment capital to revitalize the nation’s communities through its partnership with Local Initiatives Support Corporation (LISC). The bank will provide $3 million in funding over three years to LISC to support its programs in 19 urban markets and several rural communities across the country.

“As a leader in community development, Bank of America recognizes the tremendous accomplishments of LISC in helping community-based organizations transform distressed communities and neighborhoods,” said Doug Woodruff, President, Bank of America Community Development Banking. “Together, LISC and Bank of America share a dedicated focus on innovative ways to strengthen grassroots efforts to stimulate economic development. It’s the same dedication that motivates the Bank of America 10-year, $750 billion goal for community development lending and investing.”

“This grant provides critical support for LISC’s ongoing efforts here in San Diego and across the country to enhance the ability of community development organizations to envision and realize ambitious neighborhood renewal initiatives,” LISC President and CEO Michael Rubinger said. “It also marks the latest installment in a long history of support by Bank of America for LISC programming, which over our 25-year history has exceeded $625 million in grants, loans and equity investments.”

In addition to San Diego, the LISC markets designated to receive funding through Bank of America include: the San Francisco Bay Area; Chicago; Hartford, CT, and a separate grant for Connecticut programs outside of Hartford; Houston; Jacksonville; Kansas City; Los Angeles; South Florida; Newark/Jersey City; New York City; Philadelphia; Phoenix; Rhode Island; Richmond; Greater Tampa Bay; Washington, DC; and Washington State. In addition, funding will also be made available to nonprofits working in rural communities through LISC’s National Rural program.

Today’s announcement was held at the MAAC Community Charter School (MCCS) in Chula Vista, just outside of San Diego. An initiative of the Metropolitan Area Advisory Committee (MAAC), MCCS serves low-income, “at-risk” youth in grades 9-12 to help them earn high school diplomas and either learn a trade or move onto college. The school has grown from 55 students when it first opened in 2001 to 300 students and expects to graduate 60 students this year. Eighty-eight percent of the students are Hispanic, and more than half are identified as English Language Learners and/or the product of low-income single-parent households.

“This school, and the hope it represents not only for the students here, but also for their parents, demonstrates the potential of partnerships such as the one we celebrate here today between LISC and Bank of America to transform not only communities, but lives,” said Tommy Espinoza, President and CEO, Raza Development Fund, Inc., and Senior Business Advisor to the President of the National Council of La Raza.

The National Council of La Raza partnered with MAAC, LISC, Bank of America and other funding partners to develop MCCS. Each LISC program site will work with local Bank of America representatives and affiliated community development organizations to determine what types of development the grant funding will be used to support. The potential investments cover the spectrum from charter schools and other community facilities to affordable rental and for-sale housing construction to commercial and economic development projects.

“Neighborhood nonprofits are engaged in a wide variety of development efforts as they work to rebuild whole communities,” said Bob Tjosvold, San Diego Market President, Bank of America. “We look forward to supporting those efforts and working with LISC to bring other partners, both public and private, to the table.” As part of the bank’s overall commitment to neighborhoods, the Bank of America Foundation has announced a 10-year goal for making $1.5 billion in charitable investments and contributions.

About Bank of America

Bank of America is one of the world's largest financial institutions, serving individual consumers, small and middle market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk-management products and services. The company provides unmatched convenience in the United States, serving 33 million consumer relationships with more than 5,800 retail banking offices, more than 16,700 ATMs and award-winning online banking with more than twelve million active users. Bank of America is the No. 1 overall Small Business Administration (SBA) lender in the United States and the No. 1 SBA lender to minority-owned small businesses. The company serves clients in 150 countries and has relationships with 98 percent of the U.S. Fortune 500 companies and 85 percent of the Global Fortune 500.

About LISC

LISC combines corporate, government and philanthropic resources to help nonprofit community development corporations revitalize underserved neighborhoods. Since 1980, LISC has raised more than $6 billion to build or rehab nearly 160,000 affordable homes and develop 25 million square feet of retail, community and educational space nationwide.

Article Type: Press Release