Democratic Central Committee
Resolution of the Curry County Democratic Central Supporting the Establishment of a Publicly Owned Oregon State Bank
From Oregonians for a State Bank:
The financial crisis brought on by the “Too-Big-To-Fail” banks plunged the country into the worst recession since the 1930s.
But while the federal government bailed out the nation’s biggest banks and corporations, the rest of the country has been left to fend for itself. Two years, six million foreclosures, and eight million lost jobs later, the financial system is not meeting the needs of America’s working families. We need to do something different, and the Oregon State Bank will tilt the playing field back in the favor of average Oregonians.
There is a model for this. The State of North Dakota has been successfully operating its own state bank — the Bank of North Dakota — for over 90 years to the exclusive benefit of the citizens of their state.
Read more here: http://oregoniansforastatebank.org/why-a-state-bank/
The Center for State Innovation performed an analysis of the impact on the Oregon economy of the establishment of an Oregon State Bank patterned ofter the State Bank of North Dakota (http://www.stateinnovation.org/Home/CSI-Oregon-State-Bank-Analysis-020411.aspx). The report concluded:
“This analysis is a first—and admittedly simplified in many respects—effort to estimate the effect of an Oregon State Bank on the state’s fiscal health, banking industry, and small businesses. While we were forced to make a number of assumptions, in each case we have endeavored make those as conservative as possible. With more time and the application of more powerful analytical tools, a more comprehensive analysis of the economic impact of a state bank is certainly possible. This first step does, however, strongly suggest that a state bank would have a positive effect on state revenue and could effectively strengthen the banking industry and create and sustain jobs through a revenue positive investment in a state bank.“ [emphasis added]
We the Curry County Democratic Central Committee (of Oregon) recognize that one of the primary causes of the ongoing world financial crisis was the failure of United States national banking system.
We support the concept of a well managed and regulated banking system that follows established banking practices, serves the interest of the community, and avoids risky and unproductive speculation.
Therefore, we support the establishment of a publicly owned and operated Oregon State Bank to:
Partner with community banks and credit unions in making loans to Oregon businesses, farms, students and homeowners,
Support the Oregon economic development by increasing access to capital for businesses and farms within the State in partnership with local financial institutions,
Reduce costs paid by the State of Oregon for basic banking services, and
Return profits, beyond those necessary to accomplish the mission and continued sound operation, to the Rainy Day Fund of the State of Oregon.
Ratified by The Curry County Democratic Central Committee on May 21, 2011.
Chairperson, Curry County Democratic Central Committee