Washington, D.C. (June 6, 2025) — The Independent Community Bankers of America (ICBA) applauded Federal Reserve Vice Chair for Supervision Michelle Bowman on today’s remarks outlining a fresh approach to the agency’s supervision and regulation.
“ICBA and the nation’s community bankers welcome the confirmation of Federal Reserve Vice Chair Bowman and strongly support her calls for a fresh look at the agency’s regulation and supervision,” ICBA President and CEO Rebeca Romero Rainey said. “Vice Chair Bowman’s community banking experience and pragmatic approach to banking regulation are essential to promoting the safety and soundness of the banking industry. We look forward to continuing to work closely with Vice Chair Bowman to support tailored regulations that ensure community banks can continue meeting the needs of local communities.”
In today’s remarks in Washington, Vice Chair Bowman announced plans for a conference on community bank issues later this year, with an emphasis on listening to community banker input on streamlining regulation and supervision. Echoing many of the priorities outlined in ICBA’s “Repair, Reform, and Thrive” plan, Vice Chair Bowman also called for:
An independent community bank supervisory and regulatory framework to clearly insulate community banks from requirements designed for larger institutions.
Indexing thresholds to inflation or growth, as current thresholds leave many community banks subject to heightened requirements more suitable for larger and more complex firms.
Expediting the remediation process from check fraud after it occurs.
Refocusing examination and ratings processes to emphasize material financial risk over process-related concerns or factors subject to examiner discretion.
Better calibrating the community bank capital framework and improving rules on mutual banks to promote capital formation.
Simplifying Fed regulations and ensuring the federal regulatory review process is effective in identifying and addressing regulatory requirements that are no longer necessary or are overly burdensome.
Improving transparency in the application process, including a review of the requirements and processes for chartering new banks and applying for mergers.
Vice Chair Bowman made history as the first person to fill the Fed’s community banking seat, which exists because of ICBA’s successful advocacy for Congress to require community bank representation on the Fed board. Before that, she served as a fifth-generation community banker and as Kansas state bank commissioner.
Given her experience and perspective, ICBA and 44 affiliated state banking associations earlier this year sent a joint letter to Treasury Secretary Scott Bessent urging the Trump administration to nominate Bowman for vice chair for supervision, citing her understanding of the unique role of community banks in fostering locally based growth and prosperity.
ICBA looks forward to continuing to work with Vice Chair Bowman, the Trump administration, and the 119th Congress to advance pro-community bank reforms outlined in its “Repair, Reform, and Thrive” plan.
About ICBA
The Independent Community Bankers of America® has one mission: to create and promote an environment where community banks flourish. We power the potential of the nation’s community banks through effective advocacy, education, and innovation.
As local and trusted sources of credit, America’s community banks leverage their relationship-based business model and innovative offerings to channel deposits into the neighborhoods they serve, creating jobs, fostering economic prosperity, and fueling their customers’ financial goals and dreams. For more information, visit ICBA’s website at icba.org.
