Thank you to everyone who attended this year’s retreat and annual meeting of the Independent Community Bankers of South Dakota. I want to share with you information given to those community bankers in attendance regarding the business of your association.
The steady piling of regulations on community banks has brought Washington to a crossroads. Policy makers can either reform the system to ensure regulations proportional to bank size and complexity, or they can continue toward a future of fewer, larger and riskier financial institutions. Left unchecked, regulatory overkill threatens the very survival of the Community Banking industry and the local businesses who depend your services.
Well capitalized and less leveraged than larger institutions, community banks stepped up lending following the 2008 financial crisis. Regulatory burdens, which have significantly increased since the crisis, pose a disproportionate cost to smaller community financial institutions. Washington must move quickly if it is to reverse the damaging effects of these post-crisis one-size-fits-all regulations to community banks. Left unchecked regulation will kill off your community bank.
The ICBSD which represents 52 community banks across South Dakota, has called time and again for regulations to be tiered and proportionate to the size and complexity of your community banks. Your board and leadership continue to spread the message that less-complex institutions should be subject to less-complex regulation, while the largest and riskiest firms should face the strictest oversight.
We have been working with our friends at the ICBA to identify a number of rules needing reform that would provide regulatory relief to community banks. ICBA’s “Plan for Prosperity” was unanimously endorsed by your ICBSD board of directors earlier this year.
Aaron Stetter from ICBA who attended the retreat this year went into further detail on ICBA’s efforts for regulatory reform. This has truly been a team effort and I thank ICBA for all they are doing for our membership.
I believe we have a friend in Senator Mike Rounds. Just last month Senator Rounds introduced the Community Bank Access to Capital Act of 2015. No other financial services trade association was listed as supporting this bill on the Senators press release besides the ICBSD and the ICBA.
Here is a list of just a few of the bills we worked on this year.
• Senator Rounds RESTORE ACT, Letter of Support
• S. 961 Co-Sponsorship Request Sen. Rounds
• S. 961 Co-Sponsorship Request Sen. Thune
• H.R. 1523 Co-Sponsorship Request
• H.R. 2205 Co-Sponsorship Request
• H.R 1295 Section 603 Removal Support
• Opposition to Treasury Under Secretary
• FHFA Proposed Rule; Members of Federal Home Loan Banks, RIN 2590-AA39
• Eligible Investments for Farm Credit System Associations and Funding Banks
• Request to Cosponsor S. 2252
• HB4466 Support Letter
We are going to continue to advocate for community banks and only for community banks, we are fortunate to have Senator Rounds in our corner and serving us in Washington D.C.
Now a quick update on the other activity of your association
We secured one new bank member this year, the Farmers State Bank, Canton along with 3 new Associate Members; NuSource Financial, Davenport Evans, Advantage Credit Bureau.
The new Emerging Leaders Program continued into 2015. 12 joined our Emerging Leader Program this year from 9 different organizations, Dillion Kjerstad was the recipient of an all-expense paid trip to the ICBA Washington Policy Summit. We also want to thank this year Corporate Sponsor Federal Home Loan Bank of Des Moines.
Our partnership with Secure Banking Solutions continues, the SBS Institute is in its second year and have plans to not only continue this partnership but see it grow.
Along with our Retreat and CEO/Directors’ College, this year we had the opportunity to host the FDIC Bankers College in Sioux Falls. We had 123 in attendance and the feedback provided was very positive.
Save the Date November 5th will be our CEO/Directors College. This year the format will be a little different. We have worked with Eide Bailly to offer our programs back to back. Eide Bailly will hold their annual event of November 4th and will host the dinner for not only the Eide Bailly event attendees but also all attendees to the ICBSD event. Our hope that you will chose to attend both.
At a celebration earlier this year of the grand opening of the new First State Bank of Roscoe I was again reminded of what great people community bankers are and was also reminded of the dedication each of you has to your community. I want to personally thank each of our members for the opportunity serve your banks and your industry Thank you for your tireless service to your local communities.
McCurry, a native of MN and resident of Mitchell, SD, holds a Bachelor of Arts degree in Communications / Marketing from the Minnesota State University, Mankato. Prior to joining the ICBSD as President and CEO, he directed the marketing, sales and government relations efforts at Santel