OUR MISSION
Our mission is to support the creation of socially and environmentally responsible public banks at the city, county, regional, and state levels across California, along with CalAccount, a statewide public option for no-fee banking. These institutions keep public dollars circulating locally, expand access to essential banking services, and help communities historically shut out of economic opportunity build lasting wealth. Each public bank will drive regional economic development through transparent, ethical, sustainable, and regenerative investments; strengthen local financial systems by partnering with community banks, credit unions, and CDFIs; and serve the whole community by prioritizing those long excluded from financial power.
ABOUT US
Public banking is a tool that keeps taxpayer dollars working in local communities. Right now, cities and counties hold billions of dollars in large corporate banks. These banks legally control this money and must use it to maximize profit, regardless of the environmental, social, or economic consequences. They routinely invest in harmful industries like private prisons, immigrant detention centers, weapons manufacturers, and fossil fuel pipelines, instead of supporting small businesses, affordable housing, regional infrastructure, and sustainable development. These âtoo big to failâ banks have also engaged in risky and fraudulent practices that mirror those that triggered the 2008 global financial crisis. Public banks offer a solution by investing directly in the needs and priorities of the communities they serve.
The California Public Banking Alliance (CPBA) was founded in 2018 by advocates committed to creating socially and environmentally responsible public banks. In 2019, members from Los Angeles, San Francisco, the East Bay, the South Bay, Santa Rosa, Santa Barbara, Humboldt-Eureka, the Central Coast, and San Diego came together to write and pass AB 857, the California Public Banking Act. This law made California the first state in the nation to allow the chartering of municipal public banks.
Since the law passed, several local governments, including San Francisco, Los Angeles, Oakland, Berkeley, Richmond, and the Central Coast, have adopted legislation to begin establishing public banks. These locally controlled banks will allow cities and counties to reclaim public funds and reinvest them in their communities.
CPBA is also working to provide basic financial services to over 7 million unbanked and underbanked Californians. In 2021, Governor Gavin Newsom signed the Public Banking Option Act (AB 1177) into law. Also known as CalAccount, the program will offer no-fee, penalty-free debit cards and services like deposits, check cashing, and bill payment to all Californians. In 2022, the 9-member CalAccount Blue Ribbon Commission, chaired by State Treasurer Fiona Ma, was created to evaluate the programâs scope, feasibility, and costs. The CalAccount Community Coalition, including over 200 racial justice organizations, faith-based groups, labor unions, financial advocates, and cities, endorsed the law, showing broad support for expanding access to essential banking services.
In July 2025, the California State Legislature approved $1 million to move forward with Phase 1 of CalAccount implementation. CPBA is working with coalition leads on the rollout strategy for 2026-27.
Beyond California, CPBA has advised on federal legislation to strengthen public banking on a national scale. The Public Banking Act (2023), co-sponsored by Congresswomen Alexandria Ocasio-Cortez and Rashida Tlaib, would make it easier for states and cities to establish public banks nationwide.