As IBAT members prepare to take the community banking message to the halls of Congress during next week’s 23rd Annual Congressional Visit, a number of pressing regulatory relief issues are making progress. In last week’s edition of the Bottom Line newsletter, we reported on the passage of two measures passed by the full House. These two bills were part of a package of eleven bills reported out of House Financial Services Committee.
Further action on the other nine bills up for consideration in the House is not anticipated until the Senate begins the heavy lifting on its own regulatory relief bill. Last week, Senate Banking Committee Chair Richard Shelby announced plans to mark up yet-unseen legislation on May 14. The markup comes a month later than initially planned, as Shelby has been working with committee democrats to find common ground for community bank relief.
“IBAT has worked directly with Senate Banking Committee staff to prioritize meaningful regulatory relief measures in the Senate bill,” said IBAT President and CEO Chris Williston. “We are confident that the committee will bring forward a bill that will loosen up some of the restrictions that current rules have placed on community banks’ ability to meet the needs of their customers.”
Regulatory relief, particularly in the mortgage arena, is at the top of IBAT’s agenda in the short term. However, IBAT supports the sentiment of FDIC Vice Chairman Thomas Hoenig, who advocated for a shift from asset-based thresholds in the applicability of statutes in favor of a model based upon the business activities of a financial institution.