Washington, D.C. (March 30, 2023) — Independent Community Bankers of America (ICBA) President and CEO Rebeca Romero Rainey issued the following statement on today’s White House announcement on community banks and the Deposit Insurance Fund.
“ICBA strongly supports today’s White House announcement calling on the Federal Deposit Insurance Corp. to ensure community banks are not required to bear the costs of replenishing the Deposit Insurance Fund after recent failures at larger, riskier financial institutions.
“The White House policy is in line with this week’s House and Senate testimony from FDIC Chairman Martin Gruenberg that his agency is considering tailoring its pending special assessment and is authorized to consider the types of entities that benefit from any action taken or assistance provided.
“As ICBA has said since the immediate aftermath of the Silicon Valley Bank failure, Washington’s response to recent closures at Silicon Valley Bank and Signature Bank of New York should not affect the community banks that continue to appropriately manage risk and do right by their customers.
“ICBA thanks the White House for its support and looks forward to working with the FDIC to ensure it uses its authority to exempt community banks when it issues its special assessment proposal in May to ensure Main Street community banks do not bear any financial responsibility for losses caused by larger and riskier entities.”
The Independent Community Bankers of America® creates and promotes an environment where community banks flourish. ICBA is dedicated exclusively to representing the interests of the community banking industry and its membership through effective advocacy, best-in-class education, and high-quality products and services.
With nearly 50,000 locations nationwide, community banks employ nearly 700,000 Americans and are the only physical banking presence in one in three U.S. counties. Holding more than $5.8 trillion in assets, over $4.8 trillion in deposits, and more than $3.5 trillion in loans to consumers, small businesses and the agricultural community, community banks channel local deposits into the Main Streets and neighborhoods they serve, spurring job creation, fostering innovation and fueling their customers’ dreams in communities throughout America. For more information, visit ICBA’s website at www.icba.org.