Philadelphia City Council’s Finance Committee has approved Councilman W. Wilson Goode, Jr.’s 2009 Depository Compliance Bill. The legislation will remove three banks from the authorized list of city depositories.

The 2009 Depository Compliance Bill enforces Goode’s Fair Lending and Community Reinvestment Ordinance, which requires City depositories to annually submit goals for lending in low and moderate-income communities, as well as a long-term strategic plan to address any lending disparities disclosed in an annual study.

Three banks – Advance, Mellon and Sovereign – did not comply with the Goode ordinance. The banks that will remain as city depositories have complied with the Fair Lending and Community Reinvestment Law, and have committed to making about 10,000 small business, home mortgage, home improvement and home refinance loans in low and moderate income neighborhoods.

“Under Section 6-300 of the Philadelphia Home Rule Charter, City Council has the authority to designate City depositories and fairly broad power to place conditions on such depositories,” Councilman Goode said.

Goode, recipient of a National Achievement Award from the National Community Reinvestment Coalition, has been advising Los Angeles City Council on similar legislation.