Tipton bill aims to ease burdens on small banks
A measure aimed at reducing the regulatory burden on community banks passed the House Financial Services Committee on Wednesday.
The measure by U.S. Rep. Scott Tipton, R-Colo., passed the same committee as a standalone measure and is now included in a larger package of bills contained with H.R. 5983, the Financial Creating Hope and Opportunity for Investors, Consumers, and Entrepreneurs (CHOICE) Act of 2016.
The package of measures would reduce what sponsors call burdensome federal regulations that have crippled community banks and credit unions as a result of the Dodd-Frank Act of 2010.
“The Dodd-Frank mandates were never meant to be applied to community banks and credit unions, and yet they were implemented in a one-size-fits-all fashion,” Tipton said. His original measure, called the “TAILOR Act,” H.R. 2896, would require federal regulators to take into account business models and risk profiles when structuring rules for financial institutions. Agencies also would be required to consider whether institutions have the resources available to comply with proposed regulations
The Financial CHOICE Act next goes before the full House.