PBEB Model
A Wholesale Partnership Bank
The Public Bank East Bay will be a wholesale bank allowing cities and counties in the East Bay to invest their funds locally. It will not take any retail deposits from citizens, but fulfill its mission by reinvesting public funds (money collected as taxes, fines and fees) into the local economy prioritizing the environmental, social and economic needs of the East Bay community.
As mandated by the California Public Banking Act (AB 857) and following the example of the Bank of North Dakota, it will achieve its mission primarily in partnership with existing local financial institutions, like community banks, credit unions and Community Development Financial Institutions (CDFIs). Different from Wall Street Banks which currently manage most of our cities’ and counties’ money and invest it primarily abroad and in extractive industries, these institutions have roots in the East Bay and are committed to invest local money locally. Through partnership programs the Public Bank will scale existing programs and launch new loan programs to fund important initiatives like housing electrification, affordable housing or micro-loans for entrepreneurs of color.