August 21, 2014CBAI leadership bankers and staff met with Illinois Senator Richard Durbin on August 21st to discuss issues of importance to Illinois community banks. The Bank of Springfield hosted this roundtable discussion during the Senate’s August recess.
CBAI thanked Senator Durbin for cosponsoring the Brown and Vitter Too-Big-To-Fail bill (S. 798) last year and for cosponsoring the Privacy Notice Modernization Act (S. 635) after meeting with CBAI in Washington D.C. this spring. The Privacy Notice Modernization Act eliminates the requirement that financial institutions mail annual privacy notices for most community banks. This legislation passed the U. S. House last year and CBAI urged Senator Durbin to press for passage in the Senate in the remaining months of the 113th Congress. CBAI bankers expressed support for other legislation including:
- S. 1349 – the Community Lending Enhancement and Regulatory Relief Act of 2013 which will provide much needed regulatory relief for community banks particularly with respect to Qualified Mortgage status in the Ability-to-Repay rules for mortgages held in portfolio, and mortgage escrow and servicing requirements.
- S. 727 – the Financial Institution Fairness and Reform Act which establishes standards for regulators including firm deadlines for exit interviews and examination results, establishes a FFIEC Ombudsman separate from the prudential regulators, grants financial institutions the right to appeal material supervisory determinations, requires the Ombudsman to determine the merits of an appeal, and binds the agency after a hearing before an administrative law judge.
- S. 2252 – the Community Bank Preservation Act of 2014 amends the Federal Reserve Act to require membership on the Fed’s Board of Governors to include at least one person with a demonstrated experience working in or supervising community banks having less than $10 billion in total assets.