Edison Reyes, Associate, Communications and Outreach

Prior to the onset of the COVID-19 pandemic, unemployment in the United States was at historical lows, and the economy was enjoying a record expansion. But, the headline numbers and positive data trends notwithstanding, a disproportionate number of American families were struggling with low-paying jobs and rising levels of household debt. Now, the pandemic has damaged all sectors of the economy and has led to the highest rates of unemployment since the Great Depression. Low- and moderate-income communities and communities of color in particular have borne the brunt of the economic recession, which has only magnified health and racial inequities and the urgency of building a more equitable economy for all. Arts and culture are central to an equitable recovery, as they highlight local needs not reflected in the data, encourage participation by groups often left out of plans and discussions, and allow many community members to benefit from economic transformation and growth. Here, we highlight resources for identifying arts and culture strategies that may support this vision for the economy during the recovery from COVID-19.

Michelle Park Lazette, Senior Writer, Federal Reserve Bank of Cleveland

The night before certain Kansas City restaurants stopped smelling like barbecue, Justin Ikerionwu paused the TV to look out of his apartment window at downtown. He felt himself going down a rabbit hole of fear, consumed with what was known and unknown about COVID-19 and the way his Missouri community was shutting down. The streets below were empty.

Michelle Park Lazette, Senior Writer, Federal Reserve Bank of Cleveland

Rocky Ridge Gas + Market doesn’t have an address — not a number, not a street name. Instead, those headed for it are told it’s one mile south of Rocky Ridge Boarding School in Navajo Nation down a dirt road, the one that curves around the market’s lone gas pump before continuing across brown and barren land.

Michelle Park Lazette, Senior Writer, Federal Reserve Bank of Cleveland

This story explores the experience of a small, minority-owned business in Los Angeles that received a Paycheck Protection Program (PPP) loan through a community-based lender to keep paying its employees during the COVID-19 shutdown. It is the second in a series published by the New York Fed on behalf of Fed Communities, a project that connects the Fed’s data, tools, and expertise with community-serving audiences that can use them.

Michelle Park Lazette, Senior Writer, Federal Reserve Bank of Cleveland

This story explores the experience of a small, minority-owned business in San Francisco that received a Paycheck Protection Program (PPP) loan through a community-based lender to keep paying its employees during the COVID-19 shutdown. It is the first in a series published by the New York Fed on behalf of Fed Communities, a project that connects the Fed’s data, tools, and expertise with community-serving audiences that can use them.

Anne O’Shaughnessy, Communications Director, Fed Communities Project

Whether they’re serving margaritas to go, providing accounting services on an IOU, or trying to maintain stock at a small market deep in the desert, small businesses are finding creative ways to stay open amid the COVID-19 pandemic.

Laura Callanan, Founding Partner of Upstart Co-Lab

Editor’s note: In January, the New York Fed hosted “Transforming Community Development Through Arts & Culture,” a forum focused on an evolving era in community development that infuses art and cultural practice. This guest column was contributed by one of the New York Fed’s community development partners as a follow-on to that program. The views presented are the author’s alone and are offered to contribute to discussions on this topic.

Marisa Casellas-Barnes, Associate Director, Communications and Outreach, New York Fed; and David Dante Troutt, Distinguished Professor of Law & Founding Director of the Rutgers Center on Law, Inequality and Metropolitan Equity (CLiME)

In recent years, the New York Fed’s community development team has focused on solutions for equitable growth — or economic development that aims to maximize resources for underserved neighborhoods, residents, and institutions. The goal has been to identify ways to raise living standards and create shared prosperity in Second District communities. With the coronavirus pandemic, that focus has now shifted.

Chelsea Cruz, Associate Director of Community Development Finance; Carmi Recto, Community Development Finance Associate; and Arlinda Berdynaj, Community Development Finance Analyst, Communications and Outreach

In response to the coronavirus pandemic, the Federal Reserve has taken extraordinary actions to support the economic and financial stability of the nation, including the establishment of a number of lending facilities to improve access to credit and liquidity for affected businesses and communities. At the same time, community engagement remains critical to informing the Fed’s work, and a major area of concern is how the COVID-19 crisis is affecting low-income communities and people of color. To spotlight this critical issue, which is deeply influenced by existing financial and economic disparities, the New York Fed launched a new event series called “The Fed and Main Street,” which convenes business, community development, nonprofit, and policy leaders to focus on the effects of the COVID-19 crisis and efforts to support the recovery.

Carmi Recto, Community Development Finance Associate, Communications and Outreach

During this time of extreme economic shock, community development financial institutions — commonly known as CDFIs — have demonstrated their ability to deliver capital to underserved communities, many of which are reported to be taking the brunt of the coronavirus pandemic’s impacts. Many CDFIs acted early in infusing much-needed capital to address financing gaps resulting from the pandemic, and their expertise could help ease the tension between timely delivery of capital and accountability to ensure responsible lending. They would benefit from a broad set of partners to continue in that role.