FOUND
FOUND THAT SOME BANKS ARE CARVING A LARGE PART OF THE CITY
OUT IN THE AREA.
>> Reporter: EAST AND NORTH AND
WEST.
WEST.
WEST. YOU
WEST. YOU MAY NOT REALIZE HOW
IT CARVES DALLAS IN TO.
I-30 IS
I-30 IS
I-30 IS ALSO THE LINE THAT LARGELY
SEPARATES FINANCIAL OPPORTUNITY
IN THE NORTH FROM FINANCIAL
BARRIERS IN THE SOUTH.
WHY IS
WHY IS
WHY IS THAT?
THAT?
THAT? WELL, WE HAVE FOUND NEW
EVIDENCE OF PRACTICES THAT
EXCLUDE BLACK AND HISPANIC
RESIDENCE AND GETTING BELOW
I-30.
I-30.
I-30. >>
I-30. >> HE SAYINGS THAT HE WENT TO
HOUSTON TO GET FINANCES AFTER
SEVERAL LOCAL BANKS TURNED HIM
DOWN.
DOWN.
DOWN. HE
DOWN. HE SEES THE PROBLEMS AS
TYPICAL.
TYPICAL.
TYPICAL. WANTING TO EXPAND, BUT
GETTING LITTLE TO NO +@SUPPORT
FROM THE FINANCIAL INSTI+@TUTIO.
>> IT'S AN ECONOMIC ENVIRONMENT.
THERE'S A HOUSING PROBLEM.
WE
WE
WE WOULD
WE WOULD NOT HAVE HAD UNEMPLOYMENT
PROBLEM OR POLICE PROBLEM.
>> Reporter: THAT WAS 32 YEARS
AGO.
AGO.
AGO. TODAY ROBERT IS STILL IN
BUSINESS AT THE SAME LOCATION IN
SOUTH DALLAS.
SOUTH DALLAS. THE THINGS THAT
YOU TALKED ABOUT IN 88, I MEAN
IS ANYTHING BETTER OR IS IT ALL
THE SAME?
THE SAME?
THE SAME? >> I WOULD+@ SAY WORSE.
>> Reporter: TODAY HE OWNS
132 ACRES OF LAND INCLUDING A
LARGE EVENT CENTER CALLED
SKYLINE RANCH.
SKYLINE RANCH. HE SAYS THAT ALL
OF THAT COMES DESPITE THE LACK
OF THE ACCESS TO THE BANK LOANS.
>> THEY FEEL THAT THE BLACK
COMMUNITY AND BLACKS DO NOT
DESERVE OPPORTUNITIES.
DESERVE OPPORTUNITIES. WE'RE
WE'RE
WE'RE GOING TO DENY THEM.
>> Reporter: THEY'RE NOT JUST
SITTING AROUND SAYING THAT IN
THE BOARD ROOM?
>> YEAH, THEY UNDERESTIMATE WHAT
WE CAN DO AS WELL.
>> Reporter: ABOVE I-30 THERE'S
A HIGH CONCENTRATION OF WHITE
PEOPLE IN THE NEIGHBORHOODS.
SOUTH OF 30 IS MOSTLY BLACK AND
HI+@SPAN+@IC PEOPLE WITH 38% OF
SOUTH OF 30 IS MOSTLY BLACK AND HI+@SPAN+@IC PEOPLE WITH 38% OFE
RESIDENCE LIVING BELOW THE
POVERTY LINE.
POVERTY LINE. >> Reporter: THIS AREA OVER HERE
IS THE CORNER OF THE DALLAS
NORTH TOLLWAY AND NORTHWEST
HIGHWAY.
HIGHWAY.
HIGHWAY. THERE ARE JUST BANK,
BANK, BANKS ALL OVER THE PLACE.
+@
BANK, BANKS ALL OVER THE PLACE. THERE'S A BANK OVER THERE.
THERE ARE 31 BANK BRANCHES
PACKED IN TO THIS CORNER.
ABOVE
ABOVE
ABOVE DALLAS COUNTY, THERE+@'S 474 BAK
BRANCHES.
BRANCHES.
BRANCHES. THE CITY HAS A LONG
HISTORY OF EXCLUDING BANKS FROM
BANK LOANS.
BANK LOANS. IT'S CALLED RED
LINE+@.
LINE+@.
LINE+@. CHECK OUT THIS MAP FROM
1937 AND RED LINES DRAWN AROUND
THE SOUTHSIDE COMMUNITIES THAT
WE'RE TALKING ABOUT.
FOR
FOR
FOR DECADES THEY DENIED+@ LOANS HERE
TO BLACK COMMUNITIES, AND THE
GOVERNMENT SAID IT WAS OKAY.
THEN IN 1977 CONGRESS ATTEMPTED
TO REMEDY THE PRACTICE OF RED
LINING WITH THE COMMUNITY
REINVESTMENT ACT.
REINVESTMENT ACT. THE CRA
THE CRA
THE CRA ENCOURAGED THE BANKS TO MEET THE
NEEDS OF THE ENTIRE COMMUNITY
WHERE THEY OPEN RATE.
UNDER THE
UNDER THE
UNDER THE CRA EACH BANK DRAWS AN
ASSESSMENT AREA MAP THAT
OUTLINES WHERE IT DOES BUSINESS.
THEY SAY THAT THE MAP CUSSED
CONTAIN THE CITIES OR TOWNS AND
IT CANNOT EXCLUDE LOW OR
MODERATE INCOME GEOGRAPHY. IN
THAT CASE THEY COULD USE
SOMETHING LIKE A HIGHWAY TO DRAW
THE BOUNDARY AS LONG AS THE NEW
MAP DOES NOT DISCRIMINATE.
OUR
OUR
OUR TEAM
OUR TEAM ASKED EVERY BANK IN DALLAS
COUNTY, ALL 105 OF THEM TO
PROVIDE US WITH THE ASSESSMENT
AREA MAPS.
AREA MAPS. THE AREA THAT THEY
DO BUSINESS.
DO BUSINESS. WHAT WE FOUND IS
THAT 20% OF THE BANKS IN DALLAS
COUNTY DRAW MAPS THAT EXCLUDE
ALL OR+@ SOUTHERN PARTS OF DALL.
>> I MEAN THE OPPORTUNITY IS
THERE FOR ANY BANK IF YOU WANT
TO MAKE A COMMITTED EFFORT TO BE
APART OF THIS COMMUNITY AND
EFFORT.
EFFORT.
EFFORT. I
EFFORT. I THINK THAT IT'S HERE.
>> Reporter: JAMES WAS A
COMPLIANCE MANAGER THAT USED TO HELP BANKS FOLLOW TH+@E RULES OF
THE CRA.
THE CRA.
+@
+@ NOW,
+@ NOW, HE ADVO+@CATES FOR
GREATER INVESTMENT.
GREATER INVESTMENT. WHEN THEY DRAW THE MAPS, IS THAT
DISCRIMINATION?
DISCRIMINATION? >> I THINK THAT IT'S
DISCRIMINATION.
DISCRIMINATION. YOU LOOK AT THE
DEMOGRAPHIC AND PEOPLE WHAT
WHERE THEY LIVE, AND THAT'S
DISCRIMINATION.
DISCRIMINATION. >> Reporter: HERE ARE SOME
EXAMPLES.
EXAMPLES.
EXAMPLES. DALLAS C+@APITAL BANK
HAS A BRANCH NEAR THE TOLLWAY
+@
HAS A BRANCH NEAR THE TOLLWAY +@AND 635.
+@AND 635. FROM THIS LOCATI+@ON
DALLAS CAPITAL PROVIDES SERVICES
TO ALL OF DENTON COUNTY AND HALF
OF COLLIN COUNTY AND COVERS
NOTHING IN DALLAS COUNTY BELOW
I-30.
I-30.
I-30. DALLAS CAPITAL BANK HAS
DECLINED TO COMMENT FOR THE
STORY.
STORY.
STORY. BENCHMARK HAS THREE IN
HILL CREST AND LOVERS LANE JUST
TWO MILES NORTH OF I-30.
BENCHMARK DREW A MAP THAT
EXTENDS NORTH IN TO PORTIONS OF
DENTON AND COLLIN COUNTY AND
PICKS UP THE KESLER PARK?
OAK
OAK
OAK CLIFF
OAK CLIFF BUT LITTLE ELSE BELOW
I-30.
I-30.
+@
+@ THEY
+@ THEY SAY THAT ALL AREAS
CONFIRM TO THE CRA REQUIREMENTS.
THERE'S ALSO THE BANK TWO DALLAS
COUNTY BRANCHES AT 75 AND
MOCKING BIRD AND THE TOLLWAY AT
LOVERS LANE.
LOVERS LANE. TO THE SOUTH OF
I-30, THERE'S BATCHES IN ELLIS
COUNTY AND ONE OF THEM IS JUST
COUNTY AND ONE OF THEM IS JUST+@ TWO MILE FROM THE DALLAS COUNTY
+@
TWO MILE FROM THE DALLAS COUNTY LINE.
LINE.
LINE. THEY SERVE ALL OF ELLIS
COUNTY, SUMMERVILLE, HOOD,
PARKER AND TARRANT COUNTIES.
ONLY HALF OF DALLAS COUNTY.
THEY DECLINED+@ THE REQUEST TO
COMMENT, BUT REGULATORS SAID NO
EVIDENCE OF DISCRIMINATION WAS
IDENTIFIED.
IDENTIFIED. WHY DO YOU THINK
THAT IT LOOKS LIKE THAT, THAT
MAP?
MAP?
MAP? >>
MAP? >> THEY MADE AN EFFORT TO CREATE
IT LIKE THAT.
THAT'S A SENIOR
MANAGEMENT DECISION THAT'S
DURING THAT.
DURING THAT. >> Reporter: BANKS WITH MAP THAT
IS INCLUDE ALL OF DALLAS COUNTY
+@
IS INCLUDE ALL OF DALLAS COUNTY GIVE 7% TO BLACKS.
THOSE NUMBERS DO NOT TOTAL 100%
BECAUSE NOT ALL BO+@RROWS REPORT
RACE DATA.
RACE DATA. BY COMPARISON, WE
FOUND THAT BANKS THAT EXCLUDE
DALLAS BELOW I-30 LEND 45% TO
WHITES AND 8% TO+@ HISPANIC AND
2%.
2%.
2%. WHAT
2%. WHAT ABOUT THE BANK
REGULATORS AND THOSE THAT DID IT
HOW WELL ON SERVING THE LOW
INCOME COMMUNITIES.
INCOME COMMUNITIES. WHILE, THEY
WHILE, THEY GIVE A PASSING GRADE TO BANKS,
98% OF THE TIME BASED ON THE
REVIEWS.
REVIEWS.
REVIEWS. JAMES SAYS THAT'S
HA+@PP+@ENING BECAUSE THEY DO NT
SCROTI NEWS HOW THE MAPS ARE
HA+@PP+@ENING BECAUSE THEY DO NT SCROTI NEWS HOW THE MAPS ARE+@
DRAWN.
DRAWN.
DRAWN. THEY JUST GRADE THE
BANKS ON WHAT HAPPENS INSIDE OF
MAPS.
MAPS.
MAPS. >>
MAPS. >> IT HAS TO BE HARD TO JUDGE BY
THE REGULATOR.
THE REGULATOR. IF WE'RE IN
SCHOOL AND EVERYBODY PASSES,
THERE'S SOMETHING WRONG WITH THE
TESTS.
TESTS.
TESTS. I
TESTS. I THINK THE BANKS WILL
BE DECLINED TO IMPROVE THE
STRATEGIES BECAUSE THEY'RE
BE DECLINED TO IMPROVE THE STRATEGIES BECAUSE THEY'RE+@
WORKING AND PASSING THEIR EXAMS.
>> Reporter: THREE DIFFERENT
GOVERNMENT AGENCIES WORK
TOGETHER TO EVALUATE THE BANKS.
THE FEDERAL RESERVE BANK FAILED
TO COMMENT ON THI+@S, BUT THEY
PROPOSED RULE CHANGES BECAUSE OF
THE WEAKNESSES IN THE ACT.
THE
THE
THE FEDERAL IN CORP.
RAKES OF FDIC
SAYS THAT IF THE EXAMINERS HAVE
A PATTERN O+@R PRACTICE OF
DISCRIMINATION AT AN
INSTITUTION, IT'S REFERRED TO
+@
INSTITUTION, IT'S REFERRED TO THE DEPARTMENT OF JUSTICE FOR
APPROPRIATE ACTION.
APPROPRIATE ACTION. THE OFFICE
THE OFFICE OF THE CONTROLLER OF THE
CURRENCY, THE OCC REGULATES BIG
NATIONAL BANKS.
NATIONAL BANKS. THE OCC HAS A
NEW RULE REQUIRING THAT
ASSESSMENT AREAS BE NO SMALLER
THAN A WHOLE COUNT+@Y.
THAN A WHOLE COUNT+@Y.+@ >> WHAT CAN THE REGULATORS DO?
>> WE'RE GOING TO MAKE THEM DO
THEIR JOBS.
THEIR JOBS. WE'RE GOIN+@G TO
FORCE THEM TO DO THEIR JOBS.
WE'RE GOING FORCE THE BANKS TO
MAKE LOANS IN OUR COMMUNITIES.
>> Reporter: NONE OF WHAT YOU
JUST SAW SURPRISES ROBERT PEACH
TREE AT ALL.
HE HAS BEEN
DISCOURAGED BY BANKS ALL OF HIS
LIFE.
LIFE.
LIFE. >>
LIFE. >> A LOT OF THE THINGS THAT ARE
HAPPENING HAS BEEN BY DESIGN.
NOW, THEY'RE FORCING THE DESIGNS
AND THESE PROBLEMS THAT WE FACE.
THAT'S RACISM.
THAT'S RACISM. >> THE TIME HAS COME TO BRING
THE BARE OF THE NON-ACTION
MOVEMENT+@ ON THE BASIC ECONOMIC
CONDIT+@IONS THAT WE FACE ALL OR
THE COUNTRY.
THE COUNTRY. >> Reporter: ECONOMIC JUSTICE IS
NOT ABOUT CHARITY.
+@IT'S ABOUT
+@IT'S ABOUT OPPORTUNITY TO BORROW MONEY, PAY
IT BACK, AND PARTICIPATE IN THE
LARGER ECONOMY.
LARGER ECONOMY. ON THE ROAD TO
OPPORTUNITY UNLIKE ANY OTHER
HIGHWAY IN DALLAS COUNTY,