Rep. Mooney introduces ABA-backed bill to help small banks raise capital

Rep. Alex Mooney (R-W.Va.) this week introduced a bill that would raise the threshold for small bank holding companies from $3 billion to $10 billion. The ABA-backed bill, H.R. 4346, would enable more banks to operate at higher debt levels, which can allow them to raise capital more cheaply. The bill does not change capital rules and regulations for subsidiary banks. Five House Republicans also co-sponsored the bill.

“This important legislation will strengthen America’s community banks by making it easier for smaller institutions to issue debt and bolster their capital,” said ABA President and CEO Rob Nichols. “The bill will allow community banks to better meet the needs of their customers, clients and communities, while preserving their commitment to safety and soundness. We thank Rep. Mooney and the other co-sponsors for their leadership on this legislation and look forward to its timely consideration.”