Community impact and economic development are at the heart of our business. From the banker helping parents open a college savings account for a child, to helping a family purchase their first home or providing a loan to a small business, we take the time to help our customers navigate financial milestones to make their possible happen.
Scroll through the data points below to learn more about how U.S. Bank is in the business of economic, workforce and community development.
U.S. Bank offers a variety of mortgage programs and products for first-time, veteran and low- to moderate-income (LMI) borrowers in the country. Our proprietary American Dream home loan is widely considered to be one of the best home loans for first-time LMI borrowers and neighborhoods and is one of the only home loans on the market that allows for a low down payment and has rehabilitation options available. In 2016, the American Dream loan program offered more than 1,200 loans totaling $145.7 million.
In addition to the American Dream home loan, U.S. Bank participates in a number of national programs such as VA, FHA and Home Possible Advantage, Freddie and First Step loan programs and Housing Finance Agency products. Our combined lending through all our supportive homeownership programs reached $22 billion in 2016.
Beyond lending, U.S. Bank is committed to supporting all homebuyers through the process of home ownership. We partner with several housing counseling agencies to provide first-time home buyer training and participate in numerous down payment assistance programs. In 2016, nearly 1,500 U.S. Bank mortgage customers benefitted from down payment assistance programs.
Last year, we revitalized communities with a total of $4.7 billion in community development loans and U.S. Bancorp Community Development Corporation (USBCDC) investments.
USBCDC is a division of U.S. Bank and the nation’s most active investor in building affordable housing, helping growing companies expand, preserving historic buildings and investing in renewable energy. USBCDC has been making investments across the nation for the past 30 years in tax credits to help developers, nonprofits and business owners bridge gaps in funding.
In 2016, USBCDC invested $3.2 billion in tax credit projects across the United States, committed to increasing opportunities for individuals in need.
U.S. Bank contributes to the growth and strength of its communities through its Community Development Lending program. Our lending programs range from multi-family and senior rental to special-needs and military housing and commercial redevelopment projects. In 2016, U.S. Bank made $1.5 billion in community development loans, creating 9,730 housing units and supporting the creation of 3,500 new jobs.
At U.S. Bank, we care deeply about promoting sustainable business practices while supporting economic growth — it is one of the reasons that we have invested $2.6 billion in environmentally beneficial business opportunities in 2016.
We are also a leader in developing Community Solar Garden (CSG) programs in four states and have been recognized for our leadership nationwide. CSGs can lead to easier access and adoption of solar, which creates job opportunity and spurs economic development in these subject markets.
Our tax equity investments helped finance 61 megawatts of community solar projects in Minnesota, Massachusetts and New York. This includes a 20 megawatt community solar project in Massachusetts that is the largest community solar project in the nation. This project alone will support approximately 1,500 jobs during construction and 40 permanent jobs. Our investment in community solar will offset approximately 1.8 MM metric tons of CO2. And best of all, it will provide access to solar for those who do not have an appropriate roof, do not own their own home or business, residents in multi-unit buildings, and low-income housing residents.
A community prospers when small businesses thrive, and U.S. Bank stands as a strong partner to the small business community having $2 billion in Small Business Administration (SBA) credit balances to more than 10,000 customers as of year-end 2016, encouraging business expansion, startup companies and job creation. U.S. Bank is a leading participant in the SBA lending programs.
At the end of SBA’s fiscal year 2016, U.S. Bank maintained its third-largest SBA lender by volume and fourth-largest lender by units with 3,285 total loan commitments. SBA-backed loans can be used for a variety of business expenses from equipment and real estate to working capital.
Additionally, we support small businesses by partnering with Community Development Financial Institutions to help create jobs and economic opportunities in communities across the country.
The mission of the U.S. Bank Supplier Diversity program is to identify, develop and build strong relationships with certified small and diverse business enterprises that are qualified to supply U.S. Bank with quality products and services.
In 2016, U.S. Bank spent more than $400 million with minority- and women-owned businesses and was named the 2016 Corporation of the Year by Minnesota Minority Supplier Development Council.
Supplier Diversity demonstrates our commitment to the process of promoting business opportunity at the bank for certified minority- and women-owned business enterprises (MWBEs) as well as certified veteran-owned and LGBT businesses. This includes identifying opportunities for diverse suppliers to participate in the competitive bid process on an equal basis with all other bidders and to promote business development of diverse suppliers.
At the end of 2016, U.S. Bank had more than $85 million in client asset value invested in impact investing funds. These are investments made in companies, organizations and funds with the intention to generate social and environmental impact alongside a financial return.
Social impact investments strive to provide opportunities for better life through health and wellness, microfinance, affordable housing, small business development and environmental impact. Environmental impact investments seek to reduce strain on the earth’s finite resources through natural resources conservation, water conservation and sanitation, clean energy production and environmentally-conscious real estate.
At U.S. Bank, we have a team of experts in impact investing ready to serve our clients who wish to invest while promoting positive environmental and societal impacts, customizing their portfolios to address their unique passions and concerns.
We build balanced portfolios of varied risk levels that look like traditional investment portfolios, drawing upon our global investment platform of external fund managers in stocks, bonds, private equity and private debt.
Strong communities are built upon strong foundations. To build those strong foundations, U.S. Bank invests in innovative programs designed to serve local community needs. We add strength and vitality to our communities through the U.S. Bank Foundation and corporate contributions reaching a combined total of $54.2 million in 2016.
Through the U.S. Bank Foundation Community Possible platform, we invest our time, resources and passion in economic development by supporting efforts to create stable jobs, better homes and vibrant communities. In 2016, the U.S. Bank Foundation provided $26.2 million in grant funding, matching gifts and Dollars for Doing contributions.
Nonprofit donations and sponsorships are an integral part of our Company’s philanthropic initiatives. In 2016, U.S. Bank contributed $28 million in corporate contributions and nonprofit sponsorships.
U.S. Bank empowers every employee to be a leader both at work and in the community, and through our volunteer program, employees can help our communities thrive. Our volunteer program offers employees up to 16 hours of paid time off as well as options for converting their time into funds for the nonprofits they serve in our Dollars for Doing program. Employees also have access to Employee Matching Gift and Board Matching Gift grant programs. In 2016, the value of the 219,000 hours of U.S. Bancorp employee volunteer time is estimated at $5.2 million using the valuation tool provided by Independent Sector.1
Investing in education is an investment in our future. Creating opportunities for children and adults to equip themselves with the information they need to develop brighter futures helps build communities that are progressive and self-sufficient. U.S. Bank empowers its employees and its customers to grow their financial knowledge through programs like Financial Genius, Student Union and financial education seminars.
At U.S. Bank, financial education refers to a set of skills and knowledge that enable an individual to make informed and effective decisions in regard to their personal finances. Financial education seminars have the power to teach individuals about the benefits of building a banking relationship with a financial institution. Among these benefits are economical access to funds and credit, the ability to establish a positive financial history, consumer protection and perhaps most important, a higher propensity towards saving, which increases net worth.
Through our grassroots efforts, U.S. Bank volunteers employ their expertise to educate and motivate local members of the community to achieve their financial goals. In 2016, more than 150,000 individuals were served through financial education seminars and online workshops in local communities.