03.06.18

Daines Votes to Repeal Crippling Dodd-Frank Regulations

Dodd-Frank has put Montana’s rural banks and credit unions out of business

U.S. SENATE —U.S. Senator Steve Daines today voted to open debate on the Economic Growth, Regulatory Relief, and Consumer Protection Act, legislation that would work to repeal some of the crippling regulations placed on Montana’s small rural community banks and credit unions under the Dodd–Frank Wall Street Reform and Consumer Protection Act. 

“Dodd-Frank regulations are suffocating Montana’s rural banks and credit unions and ultimately are hitting their customers the hardest,” said Daines. “This bill takes a long overdue step in the right direction and begins to give local community banks and credit unions the relief they need to stay in business.”

Since the passage of Dodd-Frank, the number of state chartered banks in Montana has fallen from 64 to 44 – over a 31 percent decline – largely due to consolidation as small community banks have not been able to keep pace with the demands of the Obama Administration’s regulations. The number of federally insured credit unions in Montana has also fallen from 57 to 51 – an over 10 percent decline.

A section-by-section outline of the Economic Growth, Regulatory Relief, and Consumer Protection Act can be found, HERE

Statements of Support:

“The members of the Montana Bankers Association thank Senator Daines for his support for Montana's community banks by supporting the passage of S. 2155, Economic Growth, Regulatory Relief, and Consumer Protection Act.  This important bipartisan measure will allow our banks to do what community banks are designed do, help our customers, grow businesses and invest in our communities.” - Steve Turkiewicz, President/CEO of Montana Bankers Association

“I appreciate Senator Daines support of this important legislation. Senate Bill 2155 will allow credit unions to finance 1-4 family properties as real estate loans (rather than business loans) which provides credit union members access to additional lending sources. I am happy that my members will be able to choose their credit union for these types of loans.” - Tom Boos, President/CEO, Billings Federal Credit Union 

“Montanans are concerned about fraud and ensuring the safety of one of our most targeted populations: the elderly. Senate Bill 2155 adds additional provisions to prevent elder financial abuse. On behalf of Montana’s credit unions, I thank Senator Daines for his support of this critical bipartisan legislation that will protect the vulnerable.” - Tracie Kenyon, President/CEO, Montana Credit Union League

Background:

On February 15, 2017, Daines introduced the Consumer Financial Protection Bureau (CFPB) Accountability Act of 2017 to address regulations passed under Dodd-Frank and make the bureau accountable to the American people by bringing it under the Congressional appropriations process.

On May 16, 2017, Daines cosponsored the TAILOR Act of 2017, which requires financial regulators to tailor their rules to consider the size, risk profile, complexity, and business model of financial institutions impacted.

On June 14, 2017, Daines cosponsored the CLEAR Relief Act, which provides a CFPB qualified mortgage safe harbor for small financial institutions with $10 billion or less. Key provisions from this bill are included in the Economic Growth, Regulatory Relief, and Consumer Protection Act.

On September 18, 2017, Daines cosponsored the Home Mortgage Disclosure Adjustment Act, which exempts small community banks and credit unions that issue less than 500 mortgages annually from onerous demographic reporting requirements. This bill has been included in the Economic Growth, Regulatory Relief, and Consumer Protection Act.

 

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