FOR IMMEDIATE RELEASE
Virginia Community Banker Voices Support for Tiered CRA Regulatory System, Streamlined Examination for Community Banks
Washington, D.C. (July 19, 2010)-Jeff Dick, CEO and chairman of MainStreet Bank in Herndon, Va., testified today during a joint agency hearing on the Community Reinvestment Act (CRA).
The Virginia community banker, who testified on behalf of the Independent Community Bankers of America (ICBA), said that he and ICBA strongly support a tiered CRA regulatory system with a streamlined examination for community banks to minimize regulatory and paperwork burden. He also said that to be equitable, community banks should be evaluated against their peers, not in the same context as banks hundreds of times their size and stretching from coast to coast. "As current regulations recognize, assessing the CRA performance of a $500 million bank using the same criteria as for a $500 billion bank is inappropriate," he said.
Our nation's nearly 8,000 community banks are locally owned and operated and are an integral part of their communities. In addition to serving their local communities with deposit, lending and various banking services, they often engage in community reinvestment and community development projects on a daily basis and play a key role in many local civic activities.
Please contact ICBA if you have any questions or would like to speak with Jeff Dick or an ICBA staff expert about CRA and its impact on community banks. To read today's testimony, visit www.icba.org.