Webinar – The Impact of Proposed New FHLB-Chicago Membership Rules

Earlier this fall, the Federal Housing Finance Agency (“FHFA”) released proposed rulemaking regarding changes to Federal Home Loan Bank (“FHLB”) membership rules. These proposed changes would represent a fundamental change to the FHLBank System by imposing ongoing requirements that all FHLB members would need to meet in order to maintain their membership. If implemented, these requirements would, among other problems, greatly undermine the reliability of the FHLBs as sources of liquidity for members, particularly in times of economic stress and especially for smaller members that lack alternative liquidity sources.

The FHFA has requested comments on this proposed rule by January 12, 2015. CBAI will be commenting on the proposed rules and encourage CBAI members that are also FHLB-C members to participate in this webinar and submit their comments. This FHLB-Chicago webinar will be held on Thursday, December 11, 2014, from 9:00-9:30am CST and will explain the proposed rule, encourage members to make their voices heard, and answer questions about the rule.

After registering, you will receive a confirmation email containing information about joining the webinar.

To register for the FHLB-Chicago webinar, click here.


CBAI Opposes Expansion of the Farm Credit System

November 26, 2014

The Community Bankers Association of Illinois (CBAI) opposes the expansionist agenda of the Farm Credit System (FCS) which has allowed FCS lenders to become almost the equivalent of commercial banks while retaining the benefits of their Government Sponsored Enterprise (GSE) status. The funding and tax advantages of the FCS constitute an unfair competitive advantage over Illinois’ rural community banks. If the System chooses not to follow its narrow historic mission, it should be abolished or subject to taxation and rigorous oversight and regulation. Read More.


Illinois Congressman-elect Robert Dold (R-10th) Recommended for House Financial Services Committee

November 20, 2014RobertDold1

Illinois Congressman-elect Robert Dold has been recommended for appointment to rejoin the House Financial Services Committee (HFSC) when the 114th Congress convenes in January. Dold served on this important committee in the 112th Congress. During his previous tenure he was a consistent and strong supporter of Illinois community banks. We again look forward to working with Congressman Dold. 


Frerichs Wins Illinois State Treasurer Race

November 19, 2014

State Senator Mike Frerichs overcame a 19,000 vote Election Day deficit to become Illinois’ 74th State Treasurer. Absentee and provisional ballot counting came to a close on Tuesday, November 18, and when the dust settled Frerichs led State Representative Tom Cross by just under 9,500 votes.

Cross called Frerichs today to concede and congratulate him on the victory, and although there was no specific mention of a recount, that scenario is highly unlikely considering the cost and the number of votes Cross would have to overcome.

CBAI would like to congratulate Treasurer Elect Frerichs and we look forward to continuing the excellent working relationship we currently enjoy with him as an Illinois State Senator.


CBAI Urges CFPB to Address HMDA Concerns

October 29, 2014

The Consumer Financial Protection Bureau (CFPB) has proposed new rules to Regulation C to implement amendments to the Home Mortgage Disclosure Act (HMDA). After reviewing the proposal CBAI remains concerned about many of the same issues raised by community bankers, including CBAI member Greg Ohlendorf (President and CEO of First Community Bank and Trust, Beecher), during stakeholder outreach hearings in 2010.

To address these concerns CBAI urged the CFPB to minimize the regulatory burden on community banks by selectively increasing the number of new data points, exempt small community banks from reporting requirements, minimize the penalties for community banks’ unintentional errors in reporting HMDA data, and take all appropriate steps to eliminate the opportunity for others to discover the identity of borrowers through unnecessarily specific data collection particularly in rural and remote areas. Read CBAI Comment Letter.