Community Bankers announce ‘Plan for Prosperity’

The Independent Community Bankers of American unveiled its 2017 Plan for Prosperity regulatory relief platform for the 115^th Congress.

The new Plan for Prosperity, which was also shared with the Trump transition team and key Congressional offices, is described as a pro-growth regulatory relief agenda.

“Community banks are on the cutting edge of financial investment within their communities—excessive regulation should not prevent them from powering small businesses that will innovate and create jobs at the local level and beyond,” said CEO Camden R. Fine. “As the new Congress and administration start their work in Washington, ICBA will be here every step of the way to ensure that community banks have a seat at the table so real progress can be made for the betterment of communities nationwide.” 

 Delaware member banks of the association are WSFS and Artisans’ Bank.

ICBA’s  builds on the foundation of its past installment, which advanced last year in both the House and Senate through more than 60 bills.Community bank-specific provisions were also included in the House Financial Services Committee’s Financial CHOICE Act, which will continue to be a major focus in 2017. 

Regulatory paperwork and compliance issues have led even profitable community banks to seek merger partners, with the pace picking up after the financial crisis of 2008 and 2009. 

“Much more work needs to be done for our nation’s nearly 6,000 community banks and the small towns, suburban and urban areas they serve,” Fine said. “ICBA’s Plan for Prosperity is the unequivocal place to start.” 

 The proposal includes

• Relieve community banks from excessive Securities and Exchange Commission rules
• Address minority bank capital challenges
• Balance consumer regulation through more inclusive and accountable Consumer Financial Protection Bureau governance
• Ensure the viability of mutual banks through new charter and capital options
• Support rigorous cost-benefit analyses of all new rules to determine if they are justified and indeed needed 
• Modernize the Bank Secrecy Act
• Cut the red tape in small business lending by eliminating burdensome data collection
• Preserve access to investment advice for middle-class savers  

• Preserve the ability for community banks to continue servicing mortgage loans 
• Reform the closing process and accompanying paperwork

• Strengthen accountability in bank exams and create a workable appeals process

• Reform bank oversight and examination to better target risk
• Lower marginal rates needed for individuals, corporations, and businessesIncentivize credit for low- and middle-income customers and American agriculture
• Modernize Subchapter S constraints
• Create a limited liability corporation option for community banks
• Repeal the estate tax 

• Update the bank qualified bond issuer limitation 
• Address arbitrary agricultural loan concentration limits 
• Institute tax relief for rural lending

 To access ICBA’s Plan for Prosperity, visit ICBA’s website.