Minority Business Commission JLARC Report -

Transcript:Minority Business Commission JLARC Report -:
Minority Business Commission JLARC Report - Response Update Presented by: Howard F. Pisons, Executive Director September 27, 2021 Adress the fundamental need for small, women owned and minority owned businesses to obtain access to capital HOW: Offer loans to small businesses and child care providers Offer loans to small businesses in EDA/IDA projects to attract or retain them Help small businesses obtain loans from banks Incentivize investors to invest in small businesses Howard F. Pisons Joined VSBFA 9/30/2019 36 years of prior business and banking know how 16 years Community Bankers’ Bank (Richmond, VA 2002-2018) 16 years National Banks (Chicago, IL 1984-2000) 4 years Multinational Corporations (CA, IL 1980-84) New Positions added this year! Accounting and Operations Manager SSBCI Grant Manager Open Positions filled this year Executive Assistant Open Positions (in process) Regional Lending Manager Future Positions (on the drawing board) Sales Team Manager Loan Administration Specialist Portfolio Specialist Grant Specialist ORGANIZATION JLARC Report of August 2020 – Recommendations Status Update Recommendation 6: Set annual utilization goals for each program 90% utilization target Goals are uniquely tied to each program type, economic and lending environment, capacity and resources Strategies to establish annual goals and increase utilization for each VSBFA program is under development. Steps underway: Resource capacity assessment (underway/finalize with Oct EWP process) Add capacity – Fill regional lending manager position (underway/finalize Oct) Increase – Borrowing limits (underway/finalize 10/12) Decrease – Borrowing costs (complete) Develop – New products (on-going) Amplify Awareness – Webinars, social media, website (planning phase) Amplify Awareness –SBM, MBL, AWBO, VBA, SBDC, RFBR (on-going leveraging partnerships) Recommendation 7: Regularly track utilization and report to the Board annually A “Dashboard” to report program utilization was accepted by the Board on 4/13/2021 The Dashboard will evolve with other key success drivers for reporting to the Board The Dashboard is presented to the Board quarterly; next due 10/12/2021 Recommendation 8: Develop policies and risk standards that reflect the public mission for Board approval A comprehensive Credit Policy Manual (“Policy”) was presented to the Board on 9/14/2021 for review Additional review will be conducted on 10/12/2021 to approve the Policy The Policy will be updated and approved annually by the Board The Policy is comprehensive and responds to JLARC recommendations: #9, #10, #11 and #12 Recommendation 9: Develop a risk assessment tool for Board approval A loan Risk Rating System (RRS) was developed and accepted by the Board on 4/13/2021 The