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OP-ED: Congress Is Right: Federal Reserve’s Reg II Will Hurt Minority Communities in America

NNPA NEWSWIRE — The Fed is taking every effort to promote income equality and workplace diversity and inclusion, but Regulation II would undercut its great work in this respect and cause potential harm to millions of minority families. Now that a congressional coalition has drawn the Fed’s attention to this concern, the central bank should respond by taking a closer, harder look at its Regulation II proposal. It is the only right and just thing to do.
The post OP-ED: Congress Is Right: Federal Reserve’s Reg II Will Hurt Minority Communities in America first appeared on BlackPressUSA.

Published

1 year ago

March 11, 2024

Oakland Post

By Dr. Benjamin F. Chavis, Jr., National Newspaper Publishers Association President and CEO

I am pleased to congratulate Rep. Nikema Williams (D-Ga.) who led a coalition of lawmakers who wrote to the Federal Reserve urging the central bank to withdraw Regulation II — its new proposal to reduce the cap on the debit card swipe fees merchants must pay to debit card processors — out of concern that it will hurt minority communities’ credit access.

I sympathize with the feelings of these congressional members. Having dedicated my life to advancing civil rights and promoting economic advancement for African Americans, I fear that this proposal, while well-intentioned, will create regressive outcomes that will ultimately hurt the very people it is intended to help.

While lowering the current cap on debit card swipe fees may appear like a reasonable measure to take in what has proven to be a lackluster economy for many merchants, my experiences — from coordinating youth activities with Rev. Martin Luther King to serving on the national board of directors for the NAACP — have underscored the importance of scrutinizing policies for their broader implications. When doing so with Regulation II, I — like the congressional coalition — concluded that lowering the swipe fees would hurt the same small financial institutions that minority communities depend on for credit access, which would thus widen the nationwide racial wealth gap and banking disparities.

Economic history tells this story well.

While reluctant to do so at the time, the Federal Reserve first limited swipe fees on debit card transactions on 2011. Studies, including one from the Richmond Federal Reserve, indicate that most retailers did not pass their savings onto consumers — a significant portion even raised prices. Meanwhile, as Main Street continues to struggle with the policy, Federal Reserve studies have found that large corporations have reaped nearly $8 billion annually since this rule was enacted.

Although large corporations benefited from not having to pay as much in swipe fees, this price control hit the small financial institutions that had to subsidize this giveaway for them hard. It gave many of them no choice but to reduce fee-free checking from 75 percent to 40 percent.

The Federal Reserve now estimates that six million Americans are “unbanked,” and many more are “underbanked ” — meaning they must use alternative financial products like check cashing services instead of traditional checking and savings accounts to make ends meet. The debit card cap has contributed significantly to this crisis.

Many financial institutions have also raised customer fees in response to interchange fee caps, with Rule II poised to intensify these challenges. Regulation II will increase them even further. According to Nick Bourke, former Director of Consumer Finance at The Pew Charitable Trusts, it may bring up to $2 billion in additional consumer costs. This escalation of fees threatens to sideline even more minority communities from the banking system, impeding their access to essential credit services required for entrepreneurship and homeownership.

The Board of Governors at the Federal Reserve are committed to advancing racial equity. By proposing Regulation II — are not intentionally doing the bidding of large corporations; however, they may be being misled by these companies’ advocacy efforts.

The Fed is taking every effort to promote income equality and workplace diversity and inclusion, but Regulation II would undercut its great work in this respect and cause potential harm to millions of minority families. Now that a congressional coalition has drawn the Fed’s attention to this concern, the central bank should respond by taking a closer, harder look at its Regulation II proposal. It is the only right and just thing to do.

Benjamin F. Chavis, Jr., an African American civil rights leader, is the President and CEO of the National Newspaper Publishers Association (NNPA). He is a former Executive Director and CEO of the National Association for the Advancement of Colored People (NAACP) and a former NC statewide youth assistant to Martin Luther King, Jr. and the Southern Christian Leadership Conference (SCLC).

The post OP-ED: Congress Is Right: Federal Reserve’s Reg II Will Hurt Minority Communities in America first appeared on BlackPressUSA.

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Black Feminist Movement Mobilizes in Response to National Threats

BLACKPRESSUSA NEWSWIRE — More than 500 Black feminists will convene in New Orleans from June 5 through 7 for what organizers are calling the largest Black feminist gathering in the United States.

Published

2 days ago

May 30, 2025

Stacy M. Brown

By Stacy M. Brown
Black Press USA Senior National Correspondent

More than 500 Black feminists will convene in New Orleans from June 5 through 7 for what organizers are calling the largest Black feminist gathering in the United States. The event, led by the organization Black Feminist Future, is headlined by activist and scholar Angela Y. Davis. Paris Hatcher, executive director of Black Feminist Future, joined Black Press USA’s Let It Be Known to outline the mission and urgency behind the gathering, titled “Get Free.” “This is not just a conference to dress up and have a good time,” Hatcher said. “We’re building power to address the conditions that are putting our lives at risk—whether that’s policing, reproductive injustice, or economic inequality.” Hatcher pointed to issues such as rising evictions among Black families, the rollback of bodily autonomy laws, and the high cost of living as key drivers of the event’s agenda. “Our communities are facing premature death,” she said.

Workshops and plenaries will focus on direct action, policy advocacy, and practical organizing skills. Attendees will participate in training sessions that include how to resist evictions, organize around immigration enforcement, and disrupt systemic policies contributing to poverty and incarceration. “This is about fighting back,” Hatcher said. “We’re not conceding anything.” Hatcher addressed the persistent misconceptions about Black feminism, including the idea that it is a movement against men or families. “Black feminism is not a rejection of men,” she said. “It’s a rejection of patriarchy. Black men must be part of this struggle because patriarchy harms them too.” She also responded to claims that organizing around Black women’s issues weakens broader coalitions. “We don’t live single-issue lives,” Hatcher said. “Our blueprint is one that lifts all Black people.”

The conference will not be streamed virtually, but recaps and updates will be posted daily on Black Feminist Future’s YouTube channel and Instagram account. The event includes performances by Tank and the Bangas and honors longtime activists including Billy Avery, Erica Huggins, and Alexis Pauline Gumbs. When asked how Black feminism helps families, Hatcher said the real threat to family stability is systemic oppression. “If we want to talk about strong Black families, we have to talk about mass incarceration, the income gap, and the systems that tear our families apart,” Hatcher said. “Black feminism gives us the tools to build and sustain healthy families—not just survive but thrive.”

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Hoover’s Commutation Divides Chicago as State Sentence Remains

BLACKPRESSUSA NEWSWIRE — Hoover was convicted of murder and running a criminal enterprise. Although some supporters describe him as a political prisoner, the legal and public safety concerns associated with his name remain substantial.

Published

3 days ago

May 29, 2025

Stacy M. Brown

By Stacy M. Brown
Black Press USA Senior National Correspondent

The federal sentence for Gangster Disciples founder Larry Hoover has been commuted, but he remains incarcerated under a 200-year state sentence in Illinois. The decision by Donald Trump to reduce Hoover’s federal time has reignited longstanding debates over his legacy and whether rehabilitation or continued punishment is warranted. The commutation drew immediate public attention after music executive Jay Prince and artist Chance the Rapper publicly praised Trump’s decision. “I’m glad that Larry Hoover is home,” said Chance the Rapper. “He was a political prisoner set up by the federal government. He created Chicago Votes, mobilized our people, and was targeted for that.”

But Hoover, the founder of the Gangster Disciples, is not home—not yet. Now in federal custody at the Florence Supermax in Colorado, Hoover was convicted of murder and running a criminal enterprise. Although some supporters describe him as a political prisoner, the legal and public safety concerns associated with his name remain substantial. “There is a divide in the Black community here,” said Chicago journalist Jason Palmer during an appearance on the Let It Be Known morning program. “Some view Hoover as someone who brought structure and leadership. Others remember the violence that came with his organization.” Palmer explained that while Hoover’s gang originally formed for protection, it grew into a criminal network responsible for extensive harm in Chicago. He also noted that Hoover continued to run his organization from state prison using coded messages passed through visitors, prompting his transfer to federal custody.

Illinois Gov. J.B. Pritzker, who is widely considered a potential 2028 presidential contender, has not issued a statement. Palmer suggested that silence is strategic. “Releasing Hoover would create enormous political consequences,” Palmer said. “The governor’s in a difficult spot—he either resists pressure from supporters or risks national backlash if he acts.” According to Palmer, Hoover’s federal commutation does not make him a free man. “The federal sentence may be commuted, but he still has a 200-year state sentence,” he said. “And Illinois officials have already made it clear they don’t want to house him in state facilities again. They prefer he remains in federal custody, just somewhere outside of Colorado.”

Palmer also raised concerns about what Hoover’s case could signal for others. “When R. Kelly was convicted federally, state prosecutors in Illinois and Minnesota dropped their charges. If a president can commute federal sentences based on public pressure or celebrity support, others like R. Kelly or Sean Combs could be next,” Palmer said. “Meanwhile, there are thousands of incarcerated people without fame or access to public platforms who will never get that consideration.” “There are people who are not here today because of the violence connected to these organizations,” Palmer said. “That has to be part of this conversation.”

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WATCH: Five Years After George Floyd: Full Panel Discussion | Tracey’s Keepin’ It Real | Live Podcast Event

Join us as we return to the city where it happened and speak with a voice from the heart of the community – Tracey Williams-Dillard, CEO/Publisher of the Minnesota Spokesman-Recorder.

Published

4 days ago

May 28, 2025

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https://youtube.com/watch?v=OsNLWTz6jU0&feature=oembed

May 25, 2020. The world stopped and watched as a life was taken.

But what has happened since?

Join us as we return to the city where it happened and speak with a voice from the heart of the community – Tracey Williams-Dillard, CEO/Publisher of the Minnesota Spokesman-Recorder.

She shares reflections, insights, and the story of a community forever changed. What has a year truly meant, and where do we go from here?

This is more than just a date; it’s a moment in history. See what one leader in the Black press has to say about it.

Recorded live at UROC in Minneapolis, this powerful discussion features:

Panelists: