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BANK ON CALIFORNIA/SANTA ANA <br />MEMORANDUM OF UNDERSTANDING <br />OFFICE OF THE GOVERNOR, CITY OF SANTA ANA, AND <br />ORANGE COUNTY UNITED WAY <br />July 1, 2009 -June 30, 2010 <br />I. BACKGROUND <br />Bank accounts are an onramp to economic mobility and affordable financial <br />services. But millions of California working families don't have them. Bank on <br />California is a collaborative, voluntary initiative that will bring together the Office <br />of the Governor, local Mayors' offices, local financial institutions, local community <br />organizations, regional United Ways, and federal and state regulatory agencies <br />to tackle this problem head-on. Bank on California, through the Bank on Santa <br />Ana program has a goal of assisting 6000 "unbanked" Santa Ana residents per <br />year open starter bank accounts and enter the financial mainstream, where they <br />can begin saving, build a credit history, gain access to lower-cost sources of <br />credit, and invest for their future. We will also connect community residents with <br />financial education opportunities provided by financial institutions and community <br />groups. The initiative will build on the success of the Bank on San Francisco, <br />Bank on California, and other similar programs in other cities. The initiative will <br />launch in first quarter of 2010. <br />II. OVERALL PARTNER ROLES AND RESPONSIBILITIES <br />The Bank on California/Santa Ana coalition will include a variety of institutions <br />and individuals who will bring their unique capacities to help local unbanked <br />residents enter the financial mainstream. <br />1. Financial institutions-banks and credit unions-will: <br />• Develop and market starter accounts with baseline criteria. <br />• Connect customers with local financial education opportunities. <br />• Share data on accounts opened. <br />• Identify challenges to opening new accounts for targeted <br />customers. <br />2. Bank regulatory agencies will: <br />• Assure financial institutions that Bank on Santa Ana is in <br />compliance with federal banking laws. <br />• Encourage banks to meet their obligations under the Community <br />Reinvestment Act. <br />• Inform them they will receive positive consideration under CRA for <br />offering low-cost bank products and services. <br />Exhibit 1 <br />25Q-3 <br />