The House today passed the Main Street Capital Access Act by a 270-155 vote. The bill seeks to boost community banking through tailored regulation and by encouraging de novo bank formation.
Among its provisions, the bill would establish a three-year phase-in period for de novo financial institutions to meet federal capital requirements, a 90-day deadline for agencies to make decisions on bank merger and acquisition applications, and a new requirement for agencies to consider an institution’s risk profile and business model when issuing new regulations and supervisory decisions.
The legislation now heads to the Senate.
In a statement, American Bankers Association President and CEO Rob Nichols said the bill will allow America’s banks to do even more to spur economic growth across the country.
“We commend [House Financial Services Committee] Chairman French Hill, Subcommittee Chairman Andy Barr and Subcommittee Ranking Member Bill Foster for their hard work on this bipartisan legislation, which includes requirements to tailor regulation to a bank’s size and complexity, focus supervision on material risks and encourage new bank formation,” Nichols said. “We urge the Senate to act on this bill so banks can better support their customers, clients and communities.”
