Weekly Real Estate News
Summary
ICBA urges coordinated CRA rulemaking and a $10 billion small-bank threshold; federal proposals remain pending.
Source: Original announcement or official record.
The Independent Community Bankers of America is calling on federal regulators to coordinate Community Reinvestment Act modernization, saying that differing approaches could make compliance more complicated for smaller institutions. In comments discussed October 14, the trade association said the Federal Deposit Insurance Corp. and Office of the Comptroller of the Currency have taken constructive steps but should align their rulemaking with other federal regulators. ICBA is urging an increase in the small-bank asset threshold to $10 billion and clearer guidance identifying community development activities that qualify for CRA consideration. It also wants recognition of partnerships with minority depository institutions, community development financial institutions and mutual banks, plus limited exceptions concerning proposed indirect-cost restrictions and activities outside assessment areas.
The group supports assessments tied to banks’ physical market presence and major lending lines. These positions are advocacy comments, not adopted regulations. Other organizations have raised contrasting concerns about whether the proposed CRA changes would reduce incentives for affordable housing investment. WRE previously covered those objections.
The regulators will determine whether the final rules reflect ICBA’s recommendations.
