ICBA urges tiered regulation at EGRPRA outreach meeting

ICBA urged regulators gathered for an Economic Growth and Regulatory Paperwork Reduction Act outreach meeting to tailor regulation and supervision to reform regulations that are outdated, unnecessary, or unduly burdensome for community banks.

ICBA Representation: ICBA Senior Vice President and Regulatory Counsel Michael Emancipator, ICBA Vice President of Safety and Soundness and Regulatory Counsel Amy Ledig and ICBA Vice President and Regulatory Counsel Mickey Marshall appeared on separate panels on regulatory, supervision, and innovation issues.

Details: During the event, the ICBA staff members offered specific regulatory recommendations, including:

• Right-sizing supervision through a tiered approach tailored to banks’ size and risk profile.

• Implementing a true short-form call report for community banks.

• Streamlining the application process to promote the formation of de novo community banks.

• Recognizing the value of bank-fintech collaboration.

• Easing Community Reinvestment Act regulatory burdens for community banks.

Background: EGRPRA requires the federal banking agencies to review their regulations every 10 years to identify outdated, unnecessary, or unduly burdensome regulations, allowing community bankers to articulate concerns with regulatory burden and its impact on local communities.