The House Rules Committee voted 8-4 today to advance a proposed bill to tailor bank regulation and encourage de novo bank formation, setting it up for a possible House floor vote this week.
The Main Street Capital Access Act (H.R. 6955) contains a host of provisions meant to boost community banks, including 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 bill is sponsored by House Financial Services Committee Chairman French Hill (R-Ark.). The American Bankers Association and 52 state bankers associations last week urged House leaders to support the legislation, calling it “an important step toward expanding banking access for both individuals and small- and medium-sized businesses while allowing community banks to focus on serving their customers.”
