Banc of California and Rise Economy Announce $4.1 Billion Community Benefits Plan

Banc of California, a subsidiary of Banc of California, Inc., and Rise Economy (formerly the California Reinvestment Coalition) have unveiled a comprehensive $4.1 billion, three-year Community Benefits Plan. The plan is a result of collaborative efforts between Banc of California and Rise Economy leaders in connection with the bank’s merger with Pacific Western Bank, a subsidiary of PacWest Bancorp.

The Community Benefits Plan aims to make a meaningful and positive impact on the communities served by the combined institution. It includes various goals and targets, such as increasing lending to low-income and minority communities, supporting affordable housing initiatives, promoting small business development, and enhancing financial literacy programs.

Banc of California and Rise Economy worked together to identify the most impactful initiatives for low-income and BIPOC (Black, Indigenous, and People of Color) communities. The bank welcomed input from Rise Economy members and engaged in productive discussions to better understand areas of need. As a result, the Community Benefits Plan incorporates direct community feedback, ensuring a focused and impactful approach.

John Sotoodeh, Chief Operating Officer of Banc of California, expressed excitement about the collaboration with Rise Economy and the positive impact the merger will have on underserved communities. He emphasized the bank’s commitment to expanding services, investments, and products in areas that need them the most.

Paulina Gonzalez-Brito, CEO of Rise Economy, praised Banc of California’s commitment to helping communities and acknowledged the bank’s efforts to address priority issues for Rise Economy members. She highlighted the importance of supporting Special Purpose Credit Programs, affordable housing, climate resiliency, broadband access, and Community Land Trusts, as well as Community Development Financial Institutions (CDFIs) and affordable housing nonprofits led by people of color.

The proposed merger between Banc of California and PacWest Bancorp is expected to create a combined bank with over $36.1 billion in assets and more than 70 branches in California, as well as branches in Colorado and North Carolina. The Community Benefits Plan will be submitted to regulators as part of the public application file for the merger and will become effective upon the completion of the transaction.

Banc of California, Inc. is a bank holding company that provides customized banking and lending solutions to businesses, entrepreneurs, and individuals throughout California. The bank is committed to supporting organizations that promote financial literacy, job training, small business support, and affordable housing.

Rise Economy, formerly known as the California Reinvestment Coalition, is a member-led alliance focused on creating a more equitable society. They advocate for policies and practices that promote racial and economic justice, addressing the root causes of inequality, redlining, and systemic racism.

With the Community Benefits Plan, Banc of California and Rise Economy are taking significant steps towards improving the lives of underserved communities and fostering economic growth and opportunity.