CBA Signs Letter of Support for Regulatory Relief
The financial regulatory reform issue has moved to the Senate now that the House has passed the Financial Choice Act on a party-line vote. CBA joined 51 other state banking associations in a joint letter to Senate leadership urging support for a regulatory relief bill that is currently in development under the direction of Senate Banking Committee Chairman Mike Crapo and Ranking Member Maxine Waters. The goal is to create a regulatory relief bill with bipartisan support that would help create economic growth and improve the availability of credit to consumers.
CBA and the other state banking associations encouraged lawmakers to support several measures including a Qualified Mortgage safe harbor for mortgage loans held in portfolio, more tailored supervision based on an institution’s risk profile and business model, greater flexibility for savings associations, relief from various reporting requirements, and repeal of the Volcker Rule. We also called for a review of arbitrary asset thresholds, and for regulators to consider changes to capital and liquidity requirements.
Given the recently expressed support of the Treasury Department, regulators and individual lawmakers for various regulatory reform initiatives, there is optimism that a bipartisan bill will move through the Senate.