User:Mimiwrites1985/Federal Home Loan Bank Board

Organizational history
The FHLBB was established as an independent agency by the Federal Home Loan Bank Act, July 22, 1932. The Home Owners' Loan Corporation was established as an emergency agency under FHLBB supervision by the Home Owners' Loan Act of 1933, June 13, 1933. FHLBB and its components (Federal Home Loan Bank System, Federal Savings and Loan System, Federal Savings and Loan Insurance Corporation, and Home Owners' Loan Corporation) were made part of newly established Federal Loan Agency by Reorganization Plan No. I of 1939, effective July 1, 1939.

FHLBB was abolished and its functions and components assigned to the Federal Home Loan Bank Administration (FHLBA) in the newly established National Housing Agency, by EO 9070, February 24, 1942. FHLBA was abolished and its functions and components assigned to Home Loan Bank Board (HLBB) in the newly created Housing and Home Finance Agency, by Reorganization Plan No. 3 of 1947, effective July 27, 1947. HLBB was made an independent agency and redesignated as the FHLBB by the Housing Amendments of 1955, August 11, 1955.

This redesignated FHLBB was abolished effective October 8, 1989, by the Financial Institutions Reform, Recovery, and Enforcement Act of 1989 (FIRREA). The Office of Thrift Supervision would regulate the thrift industry, while the Federal Housing Finance Board would manage the federal home loan banks.

Contributions to redlining
'''Many of these organizations contributed to redlining — which officially began in the 1930s. It was a great contributor to the segregation of neighborhoods based on race. The practice of selectively refusing or restricting financial services, including insurance or loans, to specific communities on the basis of their racial or ethnic origin is known as redlining. The Federal Home Loan Bank Board (FHLBB) helped with the perpetuation of systemic discrimination in housing finance though discriminatory standards mainly based on race and ethnicity. Minority residents, particularly African Americans, were denied access to affordable credit, homeownership opportunities, and the wealth-building benefits associated with property ownership. Racial privilege allocated many economic and social resources to neighborhoods of white privilege, higher class, and greater wealth.'''

'''The Home Owners' Loan Corporation (HOLC), which produced color-coded maps to evaluate the risk of lending in different communities, was the organization that formalized this practice in the 1930s. Sections known as high-risk areas primarily targeted minority populations. Most commonly, African Americans. These areas were marked red on the maps leading to large concentrations of minority populations where little investment occurred. Homes, businesses, infrastructure, and municipalities in redlined areas were unable to be maintained and run down. redlining had a significant impact on the physical environment by establishing and maintaining patterns of urban deterioration, residential segregation, and disinvestment in some districts, especially those with a high concentration of minority residents.'''

'''Even after the FHLBB and other organizations were abolished, they left a lasting and negative impact on the urban landscape. To help mitigate the unfair practices that these organizations and others practiced, Washington DC passed legislations for the rebuilding of these under-invested and redlined neighborhoods. From 1970-1995, the reinvestment movement included the Home Mortage Disclosure Act (HMDA) and the Community Reinvestment Act (CRA) where efforts to boost homeownership based on social needs was the goal.'''