State Regulators Submit Economic Proposals to Senators Crapo, Brown for Consideration

CSBS has submitted a letter to the Senate Banking Committee today that urges Congress to take action on five policy proposals in order to boost economic growth in the United States.

The letter was a response to a request from Senate Banking Committee Chairman Mike Crapo (R-ID) and Ranking Member Sherrod Brown (D-OH) for ideas on how to grow the economy. In the letter, CSBS proposes Congress take five actions:

  • adopt an activities-based approach to community bank regulation;
  • simplify the complexity of community banks’ capital requirements in order to encourage more lending;
  • encourage mortgage lending by granting QM status for loans held in portfolio;
  • empower and encourage examiner discretion in compliance examinations; and
  • amend the Bank Service Company Act to foster more information sharing among state and federal regulators

The request from Crapo and Brown comes as Congress prepares for an overhaul of the Dodd-Frank law this summer. And according to recent media reports, Rep. Jeb Hensarling, Chairman of the House Financial Services Committee, expects to reintroduce his financial Choice Act by the end of April.