FOR IMMEDIATE RELEASE
November 21, 2018

Media Contact
Sylvia Chi
info@calpba.org
415-946-4002

Public Banking Proponents See Victory in Outcome of Measure B Vote

(Los Angeles) Although Measure B, which proposed amending the Los Angeles City Charter to authorize the city to establish a municipal financial institution, was defeated on November 6, public banking advocates, united as the California Public Banking Alliance (CPBA), remain focused on advancing statewide legislation to enable localities to establish public banks.

CPBA is confident that as it continues to advocate for this enabling legislation and educate the public about public banking, more and more Californians will join the momentum currently building for public banks across the country.

Public banking: a nationwide movement
On June 29, 2018, the Los Angeles City Council responded to a rapidly growing movement in favor of public banking by placing Measure B on the ballot, making it the first referendum on public banking in the United States since the Bank of North Dakota was established in 1919. According to a map created by the Public Banking Institute, over 20 U.S. cities and states, from Washington state to Washington, D.C., are currently working toward public banks.

The Green New Deal put forward by Alexandria Ocasio-Cortez and other Congressional progressives proposes a public banking system as a way to finance their plan for a just transition of the U.S. economy to becoming carbon neutral. Germany’s public banking sector has been key to the country’s transition to renewable energy, providing over 70% of investments in renewables, totaling 10.3 billion euros, in 2016 alone.

From near-zero to 44% in a few months
Public Bank LA, the grassroots group spearheading the Yes on B campaign, claims victory despite the ballot measure’s defeat. As organizer Trinity Tran explains, “Council President Wesson made a bold and progressive move to place public banking on the ballots. Even with limited resources as a volunteer-run group, we committed to fight for Measure B’s success. 44 percent of the votes, in the second largest city in the nation, shows an incredible level of support given our short time frame to secure endorsements and educate voters on the benefits of public banking. Our campaign has since propelled public banking onto the national radar… We’ve gained a lot of momentum.”

Over 420,000 Angelenos voted in favor of a policy that they had likely never heard of before 2018. 44% in favor is a strong baseline measure of support that public banking advocates look forward to building upon through sustained outreach and education.

The statewide alliance
Earlier this year, Public Bank LA helped launch the California Public Banking Alliance, a coalition of local public-banking advocacy groups across the state. The Alliance aims to introduce a bill in the state legislature in the 2019 legislative session.

This enabling legislation will allow for localities to establish a system of public banks in the state and provide appropriate terms, exceptions, and constraints.

Tran said, “[Public Bank LA’s] original strategy has always been to get this bill passed first, and then push for establishing the bank. Having this legal framework in place will give L.A. and other cities a solid template to work from in setting up our banks.”

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California Public Banking Alliance is a coalition of public banking activists working towards creating socially and environmentally responsible municipal and regional banks.

http://www.californiapublicbankingalliance.org
Facebook: @californiapublicbankingalliance
Twitter: @calpba

Public Banking Proponents See Victory in Outcome of Measure B Vote Press Release

The Next System Project – This week on the Next System Podcast David Jette from Public Bank LA and Juleon Robinson from the New Economy Project, a member of Public Bank NYC, a broad-based coalition of community, worker rights, economic justice, and environmental groups to sit down to discuss the transformative potential of public banks. These institutions aim to hold finance publicly accountable, directing credit into the real economy with the public goods prioritized over profit.

Adam Simpson: I am here today with two guests to talk about two public banking campaigns, coast to coast. David Jette is the co-founder and legislative director of Public Bank LA. David is a financial analyst and consultant with 10 years in the tech real estate and start-up sector, as well as a life-long activist and organizer. David, welcome to the program.

David Jette: Thank you for having me.

Adam Simpson: We also have with us Juleon Robinson, a program associate at the New Economy Project, where he co-produces and hosts the organization’s podcast and conducts research to support campaigns like the ongoing campaign to establish a municipal bank in New York City. Juleon, welcome to the program.

Juleon Robinson: Thanks for having me as well.

Adam Simpson: Before we get into public banks, let’s talk about the problem first with our current system. Our current financial system is dominated by enormous, powerful intuitions. It’s owned by and operated for the benefit of a handful of shareholders. What are the consequences of such a system, and in your work what motivates you to pursue reform in this sector as you do?

Juleon Robinson: I think most people are aware of the consequences of the financial system, especially at the national level. We’ve seen companies like Wells Fargo commit widespread fraud and maintain most of its business. We’ve seen the government bail out banks despite their having caused a financial crisis only 10 years ago through their reckless profiteering. And in a place like New York City that’s both home to many communities of color, many immigrant communities, we’ve seen these mega banks that routinely extract wealth from those neighborhoods. The consequences are really present for our campaign, our coalition, and all the groups that we work with. The members of the public bank in the New York City coalition work in these neighborhoods all over New York City that are reeling from predatory lending, from foreclosures, from eviction, job loss, and other problems that are really caused by Wall Street.

Continue reading on The Next System Project.