Romero Rainey: Contrasting views on special assessment show need for community bank voice

The American Bankers Association position that the entire banking industry is responsible for covering the cost of recent large bank failures shows why community banks need their own voice in Washington, ICBA President and CEO Rebeca Romero Rainey said.

Special Assessment Exemption Push: In a new post on LinkedIn and email message to community bankers, Romero Rainey noted that ICBA has said since the immediate aftermath of the Silicon Valley Bank and Signature Bank of New York failures that community banks should not have to pay a penny to cover the cost of any special assessment. Since then, the White House has called on the FDIC to exempt community banks from the special assessment, demonstrating the value of community bank-focused advocacy.

Serving One Mission: “As the ABA takes the position that the entire industry is responsible for footing the bill for the SVB and Signature Bank failures, I say no,” wrote Romero Rainey, citing her personal experience that taught her the importance of ICBA’s exclusive focus on community banks and ignited her passion for community bank advocacy. “ICBA would never advocate for community banks to pay the price for these failures, and this is just another example of why it’s essential that community bankers have an association in Washington that is dedicated to serving one mission rather than one voice.”

Capital Summit: With Washington continuing to debate its response to the recent bank failures, Romero Rainey called on community bankers to attend next month’s ICBA Capital Summit in Washington for in-person meetings with policymakers. Scheduled for May 14-17 in the nation’s capital, the event will also feature remarks from Senate Banking Committee Chairman Sherrod Brown (D-Ohio), House Subcommittee on Financial Institutions Chairman Andy Barr (R-Ky.), and others.

READ MORE