Equitable Access to Financial Services Act of 2025

COUNCIL OF THE DISTRICT OF COLUMBIA OFFICE OF COUNCILMEMBER BROOKE PINTO THE JOHN A. WILSON BUILDING 1350 PENNSYLVANIA AVENUE, N.W., SUITE 106 WASHINGTON, D.C. 20004

November 14, 2025 Nyasha Howard, Secretary Council of the District of Columbia 1350 Pennsylvania Avenue, N.W. Washington, DC 20004 Dear Secretary Howard, Today, along with Councilmembers Janeese Lewis George, Brianne Nadeau, and Robert White, I am introducing the “Equitable Access to Financial Services Act of 2025” to connect residents with banking services and promote economic prosperity. Approximately eight percent of District households are unbanked, meaning they do not have a checking or savings account.1 Unbanked residents are more likely to be low-income and to lack digital access.2 As a result, proximity to physical bank branches is especially important for low-income residents to have the opportunity to open a checking or savings account. Lack of access to financial services has a significant impact on residents’ financial wellbeing. In the District, unbanked households spend on average $800 more each year than their banked counterparts on alternative financial services, such as money orders and check cashing.3 The District government currently contracts with a financial institution to provide prepaid deposit cards as an alternative to direct deposit. These cards are used for a variety of purposes, including paying District employees, issuing tax refunds, and compensating participants in employment programs such as the Marion Barry Summer Youth Employment Program. Prepaid deposit cards can serve as a tool to connect unbanked residents with a financial institution and help them establish a trusted relationship with a bank. However, the District’s current contract4 is with a bank that has no physical branch locations in the District.5 While the bank partners with ATMs that do not charge withdrawal fees, there are only two in-network ATMs east of the Anacostia River and both are within a few blocks of one another.6 This is a missed opportunity and imposes additional financial and time costs on low-income residents. The Equitable Access to Financial Services Act would require that any contract the District enters into for prepaid deposit cards be with a financial institution that has physical branch locations in at least five wards. 1 Department of Insurance, Securities and Banking, Bank on DC, available here. 2 The Federal Reserve Bank of Philadelphia, Who Remains Unbanked in the United States and Why?, available here. 3 Department of Insurance, Securities and Banking, Bank on DC, available here. 4 Office of the Chief Financial Officer, Intent to Award Sole Source Contracts, available here. 5 US Bank, Find a U.S. Bank ATM or branch near you, available here. 6 Department of Employment Services, U.S. Bank ReliaCard Frequently Asked Questions, available here.

The legislation would also direct the District to give preference to banks with locations in census tracts where the median household income is less than $50,000. This bill takes a critical step forward in expanding financial opportunity for District residents. Should you have any questions about this legislation, please contact my Policy Advisor, Ella Hanson, at ehanson@dccouncil.gov. Thank you,
Brooke Pinto Councilmember, Ward 2 Chairwoman, Committee on the Judiciary and Public Safety Council of the District of Columbia

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_____________________________ _____________________________ Councilmember Janeese Lewis George Councilmember Brooke Pinto _____________________________ _____________________________ Councilmember Brianne K. Nadeau Councilmember Robert C. White, Jr A BILL __________ IN THE COUNCIL OF THE DISTRICT OF COLUMBIA _________________ To require that District contracts to provide prepaid debit cards to District employees and 1 residents be with a financial institution that has physical locations in at least 5 wards. 2 3 BE IT ENACTED BY THE COUNCIL OF THE DISTRICT OF COLUMBIA, That this 4 act may be cited as the “Equitable Access to Financial Services Act of 2025”. 5 Sec. 2. The District government shall only enter into a contract to provide prepaid debit 6 cards and associated services to District employees and residents with an entity that has physical 7 locations in at least 5 wards, with preference given to an entity with physical locations in census 8 tracts with a median household income of $50,000 or less. 9 Sec. 3. Fiscal impact statement. 10 The Council adopts the fiscal impact statement in the committee report as the fiscal 11 impact statement required by section 4a of the General Legislative Procedures Act of 1975, 12 approved October 16, 2006 (120 Stat. 2038; D.C. Official Code § 1-301.47a). 13 Sec. 4. Effective date. 14

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This act shall take effect following approval by the Mayor (or in the event of veto by the 15 Mayor, action by the Council to override the veto) and a 30-day period of congressional review 16 as provided in section 602(c)(l) of the District of Columbia Home Rule Act, approved December 17 24, 1973 (87 Stat. 813; D.C. Official Code§ l-206.02(c)(l)). 18