Developments for the creation of locally oriented municipal Public Banks are gaining traction in tandem with state Public Bank initiatives. Santa Fe, Oakland and Los Angeles, among other cities, have taken important steps in exploring the feasibility of a local Public Bank owned by their cities and operating in the interest of their communities.
On Friday, September 29th, a gathering of international Public Banking experts met with interested Councilmembers, legislative directors and the Head of the Budget and Finance Committee at Los Angeles City Hall for a very fruitful discussion on how a Bank of Los Angeles can be feasible, profitable and beneficial for the city's residents.
In this meeting, many of the concerns of those in City Hall were addressed with data and evidence from other successful public banking models. The numbers showed not only is a Los Angeles bank feasible, but also it would save the City money, streamline services, and provide all the other benefits we know a Public Bank can provide, on a local level. Read more about the value of a Los Angeles Public Bank here.
The reception by officials was very good. While initially skeptical, they became much more convinced with each presentation and already have reached out to schedule additional presentations to other legislative bodies.
In July, LA City Council put forward a motion to determine feasibility, requirements, and any legislative barriers for creating a state-chartered Public Bank for the City of Los Angeles. The motion was sponsored by Councilmember and Chair of the Budget and Finance Committee Paul Krekorian, Council President Herb Wesson, and Councilmember Gil Cedillo. Read the motion here.
This development is extraordinary since Los Angeles is a major metropolitan area significantly larger than North Dakota in both population and amount of money circulating, which means the development of this bank would have far reaching effects on the Public Banking movement.
The vision is to create Public Banks on all scales: from municipalities or regions serving local needs, to state Public Banks, to a national genuinely public bank for the people. As this new paradigm is fully underway, it pushes forward a major economic paradigm shift of our time that will succeed in transforming the economy.
This latest meeting made strong strides in the Los Angeles Public Banking movement which we think will be a major catalyst for this process.