ICBA appreciates Tarullo’s call for Congress to consider revising the Small Bank Holding Company Policy Statement as doing so would give many of our nation’s community banks more access to capital—which means more loans to Main Stree
Washington, DC (PRWEB) November 07, 2014
The Independent Community Bankers of America® (ICBA) released this statement on today’s remarks from Federal Reserve Gov. Daniel Tarullo who said during a speech at the Community Bankers Symposium in Chicago that Congress should consider a legislative change to make it easier for small banks to take on debt to finance acquisitions.
“ICBA appreciates Federal Reserve Daniel Tarullo’s call for Congress to consider revising the Small Bank Holding Company Policy Statement as doing so would give many of our nation’s community banks more access to capital—which means more loans to Main Street.
“Raising the threshold under the Small Bank Holding Policy Statement is part of ICBA’s Plan for Prosperity regulatory relief platform. Under the Plan for Prosperity, the Policy Statement, which makes it easier for small bank holding companies to raise additional Tier 1 capital by issuing debt, would be revised to apply to both bank and thrift holding companies and the qualifying asset threshold would be raised from $500 million to $5 billion. This would ease capital requirements for small bank and thrift holding companies and would allow them to downstream more capital to their banking subsidiaries.
“ICBA has advanced a number of bills in the House and Senate that would require the Federal Reserve to revise the Small Bank Holding Company Policy Statement by increasing the qualifying asset threshold. These bills include H.R. 3329, the CLEAR Relief Act (H.R. 1750 and S. 1349) and the JOBS Act (H.R. 4304).
“ICBA will continue pressing for action on this important issue in the remainder of the 113th Congress and in the new 114th Congress.”
For more information about community banks and ICBA’s Plan for Prosperity, visit http://www.icba.org.
The Independent Community Bankers of America®, the nation’s voice for more than 6,500 community banks of all sizes and charter types, is dedicated exclusively to representing the interests of the community banking industry and its membership through effective advocacy, best-in-class education and high-quality products and services. For more information, visit http://www.icba.org.