Divest LA
https://www.facebook.com/pg/divestla
Contact: info@divestla.com
Our aim is to embolden Los Angeles city officials and residents to divest from corporations that act against the interest of the common good, and reinvest funds towards socially and environmentally conscious institutions. Rise up, resist, and rebuild for our collective future. #FareWellsFargo Sign our #DivestLA petition to Mayor Eric Garcetti and LA City Council: https://www.change.org/divestla Instagram @divestla Twitter @divest_la Divest LA is a coalition of political, environmental, indigenous, and ethical banking organizations. We call on Mayor Eric Garcetti and Los Angeles City Council to divest from Wells Fargo, and develop a socially and environmentally principled framework to guide all financial services and investments made by the City of Los Angeles. The institutions that the City chooses to support with public funds is a reflection of its values, and it is therefore incumbent on the City to ensure that institutions we sustain with taxpayer dollars also support socially and environmentally responsible endeavors, and desist from doing business with institutions that violate ethics that Angelenos hold. The Dakota Access Pipeline and the Standing Rock movement reflect a symptom of a greater problem- we have been implicit in our support of institutions that perpetuate fossil fuels and unethical business practices. Divest LA therefore does not merely seek a symbolic divestment from DAPL investors but new standards to proactively support social and environmental institutions and a refusal to be complicit in transgressions against people or the planet. We call on the City to: 1) Divest from Wells Fargo. Refrain from conducting business with financial institutions that engage in unethical business practices that compromise the integrity of the community by: predatory lending, fossil fuel investments, money laundering, private prison investments, fraudulent practices, irresponsible speculation, arms/war investments, border wall investments. 2) Strengthen the Responsible Banking Investment Monitoring Ordinance (Ordinance No. 18138) to include criteria for evaluating social and environmental responsibility, and community reinvestment. These factors, in addition to any recent history of unethical behavior should be utilized for the creation of a comprehensive scorecard for banks bidding on city contracts. 3) Advocate for a Municipal Public Bank. A public bank with a mandate for social good in its charter can encourage community development, save hundreds of millions in fees, tailor its strategy to city needs and invest in public works more cost effectively while encouraging and incentivizing sustainable development. 4) Develop ethics standards for city’s investment portfolio. Implement social and environmental criteria. Divest from socially and environmentally destructive institutions and reinvest into renewables, social good funds, and renewable energy in accord with the City’s goals of having a 100% renewable energy portfolio (CF 16-0234). 5) Conduct a feasibility study for consideration by the City Council on a Municipal or State Public Bank with a social community development mandate. One of the single most effective actions to create a democratic structure in our financial system is the development of a public bank. A public banking system would provide an alternative savings and loan service with a social responsibly charter with the people as shareholders. In 2016, The City paid fees to private banks in the amount of $109,821,552 (City Controller). A public bank would invest in community development and all interest earned counts as income for the state which, rather than providing profits and bonuses for private shareholders, can be reinvested into the city or reduce the tax burden. If the City of Los Angeles is to be a leader in innovative policy and environmentalism, all financial endeavors of the City must reflect these values. Our local leaders must commit to baseline standards for socially responsible banking performance, and leverage our city’s financial resources to penalize corruption and reward financial institutions for socially and environmentally conscious business practices, ensuring that consumers and communities thrive.