|
Have You Contributed to NYSIBPAC This Year?
If not...now is the time! We need your help in this statewide election year to support candidates and committees who understand community banks' needs. Can we count on you?
CLICK HERE for our 2016 PAC contribution form. Help support IBANYS' political action efforts in New York State.
|
 |
For more information, visit:
|
|
|
|
|
 |
|
NEWS FROM IBANYS:
A Message From The President
|
|
| IBANYS President & CEO John Witkowski |
This week is a good time to update you on a number of important matters.
First and foremost, the 2016 state legislative session is drawing to a close. IBANYS is actively engaged on a number of issues impacting New York community banks.
- We are strongly opposing legislation (S.3616/A.774) by Senator Funke (R-Rochester) and Assemblyman Rodriguez (D-Manhattan) would allow credit unions to receive certain public deposits is on the Assembly Banks Committee agenda this week. This is the same legislation IBANYS helped defeat last year through an aggressive member bank grass roots effort. We are asking you to again contact your local Members of the Assembly to oppose this bill, which is on the Assembly Banks Committee agenda. Here is a link to our Memo of Opposition. We have a full action alert below in this newsletter.
- We are also working to protect your interests in the ongoing negotiations over the foreclosure legislation sponsored by Senator Klein and Assemblywoman Weinstein -- and supported by the Attorney General -- which would among other things require lenders to maintain abandoned properties even before a foreclosure action.
Having held successful conferences for CFOs/Senior Management, Compliance Officers and Bank Directors earlier this spring, we are now preparing for two important meetings this month: a Human Resources Conference that IBANYS is co-sponsoring with NYBA June 23-24 in Saratoga Springs, and our Second Annual IBANYS Lending Conference June 28-29 in Fairport (Rochester), which is co-sponsored by T.Gschwender & Associates.
Of course, we're also building toward a memorable 2016 IBANYS Annual Convention -- Our 42nd -- in October.
Finally, we urge you to watch your mailboxes for the upcoming Second Quarter issue of our Banking New York Magazine due later this month. We'll have important articles on a number of our issues, activities and programs -- including an outstanding article co-wriitten by Bob Fisher (Tioga State Bank) and Pat Mackrell (NYBDC) on the Excelsior Growth Fund (EGF), a nonprofit Community Development Financial Institution
formed by NYBDC and endorsed by IBANYS.
All these and more are discussed in this week's newsletter. I hope you'll read through carefully, and take action on calling your local Assembly Members.
I look forward to seeing you later in June.
John
I
BANYS' Annual Lending Conference
June 28-29
In today's banking climate of rate environment, market conditions, steep competition and increased regulatory oversight, the lending and credit process offers community banks both opportunities and challenges -- in mortgage lending, consumer lending, commercial lending and small business lending. Join us June 28-29 at the Woodcliff Hotel & Spa in Fairport (Rochester) for IBANYS' Second Annual Lending Conference, co-sponsored by T.Gschwender & Associates. (See below for additional sponsorship opportunities!)
Who should attend? Your bank's Loan Officers, Mortgage Officers, Consumer Lending Officers, Commercial Lending Officers, Credit Officers, CFOs and other members of the bank's management team involved in there credit and lending process. The program
will review all aspects of the lending process, with presentations and discussions on loan review, risk, sales, portfolio management and the impact of CECL.
NOTE: SEE LINKS BELOW FOR UPDATED REGISTRATION, PROGRAM DETAILS
& SPONSORSHIP OPPORTUNITIES
Presentations will include:
- Stress Testing: How To Use Results & Current Areas Of Regulatory Focus, with Elizabeth Williams, Managing Director/Special Projects, CEIS Review
- C&I Lending: Should You Or Shouldn't You? with Craig Poms, SVP & Bank Partnership Director, LSQ Funding
- The New ALLL -- A CECL Primer For Lenders, with Emily Bogan, Director of Consulting, Sageworks
- Tapping Into Membership to Combat Emerging Competition, with a representative from the Federal Home Loan Bank of New York
- Mortgage Pipeline Management Best Practices, with Robert Perry, Managing Director of ALM Fist
- Disruption in the Online Lending Marketplace: Creating Value For Your Business Customers & Your Bank, with Bryan Doxford, SVP & Program Manager - Community Lending, New York Business Development Corp.
- The Role Of Risk Tolerance and Risk Culture In Managing Portfolio Credit Risk, with David Ruffin, Co-Founder & Managing Partner, Credit Risk Management Analytics
- Friend Or Foe: The Rise Of Peer Lenders & What It Means For Banks, with Armistead Boyd, VP of Product Marketing, nCino
- Managing Credit Risk, with Bharpur "Bo" Singh, President & Owner, T.Gschwender & Associates
- The Loan Participation Puzzle: The Key To Diversification, with Lori Bettinger, Executive Vice President, Alliance Partners
- Navigating The Headwinds Of Change: Lessons Learned From The Great Recession, with Karl Nelson, Founder & CEO, KPN Consulting
- Understanding Environmental Risk, with Daria Milburn, Chief Environmental Risk Officer, LCS, Inc.
. . .to register & for UPDATED program
. . .for UPDATED sponsorship opportunities
_______________________
New York Community Bank
Human Resources Professionals:
IBANYS & NYBA Co-Sponsor
2016
H.R. Management Conference
The Independent Bankers Association of New York State and New York Bankers Association are co-sponsoring a 2016 Human Resources Management Conference
June 23 - 24 at the Holiday Inn in Saratoga Springs, New York. Presentations and discussions will focus on topics such as
employee benefits; r
ecruiting strategies/talent acquisition; d
eveloping and retaining high potentials; p
erformance reviews/performance management. . .plus, employment law, regulatory updates for affirmative action employers, new FLSA exemption rules, creating a high-performance culture, building a collaborative workplace, implementing a culture survey, compensation issues, health care strategies and financial benchmarks, and demonstrating HR performance to senior management.
For details on the program and registration, please click on the link below:
GOVERNMENT RELATIONS
Albany
SPECIAL IBANYS ACTION ALERT:
Stop Bill Allowing Credit Unions To Receive Public Deposits
Legislation to allow credit unions to receive certain public deposits is on the Assembly Banks Committee agenda this week. This is the same legislation (S.3616, Funke/A.774, Rodriguez) that IBANYS helped defeat last year through an aggressive member bank grass roots effort. Please contact your local Member(s) of the NYS Assembly to strongly oppose this legislation, which would make what is already an uneven competitive playing field even more unfair. It would permit s
tate and federal credit unions to receive deposits of taxpayer funds.
Remind your Assembly Members that credit unions pay no federal, State or local income taxes or sales taxes.
To find the phone numbers and/or email addresses of your local
Assembly Members, please visit:
www.assembly.state.ny.us/mem/
Foreclosure Update
The Legislature returns to Albany today, as the 2016 session begins its closing weeks. With adjournment set for June 16, there are only nine session days left on the calendar.
A number of key issues are still to be resolved, including proposals related to foreclosures, abandoned or vacant properties and expedited foreclosure processes. Legislation introduced by Sen. Klein (D-IDC, Bronx) and Assemblyman Weinstein (D-Brooklyn) -- urged by Attorney General Schneiderman -- would require lenders to maintain properties prior to a foreclosure judgement. IBANYS is working hard in discussions with all parties to preserve community banks' interests as the negotiations continue. The bill has passed the Assembly, and referred to the Senate Housing, Construction and Community Development Committee chaired by Sen. Betty Little (R-North Country). The issue is high profile, and will likely be decided by the full majority conference. It has been in the press lately as well.
The Assembly also passed other foreclosure-related bills before leaving for Memorial Day: A.247 (Weinstein)/S.5241 (Savino) says that a defense of "lack of standing" in a foreclosure action could not be waived due to the defendant's failure to raise that defense in a responsive hearing, and A.1298 (Weinstein) S.5242 (Savino) would expand provisions regarding mandatory settlement conferences in residential foreclosure actions by requiring new requirements for the conference. The industry is concerned these bills would worsen the already lengthy foreclosure process in New York State.
In other legislative activity:
- S.4305 (Griffo)/A.7096 (Brindisi) would authorize state chartered banking institutions to pledge investment grade corporate bonds to secure state and municipal deposits, and authorizes the pledging of municipal bonds having a maturity of more than five years. IBANYS opposes this legislation.
- The Senate passed S.5506-A Savino/A.7930-A Dinowitz would limit the loan assignee liability with regard to motor vehicle retail installment contracts. The Assembly Consumer Affairs Committee also moved the Dinowitz version last week.
- S.5776 (Valesky)/A.7848, Lupardo) was on the Senate Finance Committee agenda this week. It would grant land bank access to tax delinquent property to assess environmental and structural conditions.
- S.579-C (Squadron)/A.6621, Kim), which would increase micro loans in small business revolving loan fund, is on the Senate calendar and the Assembly debate list.
- S.7184, Savino/A.9480, Jean-Pierre -- This legislation extends provisions relating to participation in the banking development districts program to January l, 2023. This is the same as A. 9480 Jean-Pierre. The bill would amend S4, Chapter 526 of 1998 by extending provisions relating to participation in the banking development districts program to January 1, 2023. The legislation has been approved and delivered to the Governor.
- S.7183, Savino/A.9746, Richardson -- This bill relates to defining consummation of a mortgage loan. It would amend Section 2 of the New York State Banking Law as it related to defining consummation of a mortgage loan. It clarifies that consummation occurs when the mortgage applicant executes the promissory note and mortgage. The legislation has passed the Senate and is on third reading in the Assembly.
New Siena Poll: Ethics Reform Top Issue;
Good Numbers For Schneiderman, Cuomo, Clinton
The latest Siena Poll found the top issue remains ethics reform in state government. A plurality of voters said passing new laws to address corruption is still the top end of session issue. 81% called it 'very important'
. . .40% believed corruption is a more serious problem in the Legislature, while 31%  said it's a more serious problem in the Executive branch controlled by the Governor.
Governor Cuomo's favorability and job performance ratings were virtually unchanged over the last month, and he is seen as an ethical public official by a two-to-one margin, although a near majority of voters would prefer 'someone else' if he runs for re-election in two years.
Voters most trust State Attorney General Schneiderman most to investigate corruption in state government. He
is most trusted by 50 or 51% of Democrats, Republicans, independents, upstaters, and downstaters, and by between 47 and 55% of every demographic group. In the presidential matchup in New York State, Hillary Clinton leads Donald Trump 52-31%, down slightly from her 56-30% lead in early May. Reminder: Siena pollster and top political analyst Steve Greenberg will be our closing keynote speaker at IBANYS' Annual Convention October 3-5 at The Turning Stone Resort, and will provide insight and analysis of the 2016 election and impact for community banks.
Washington, D.C.
Hensarling To Outline Plan For Replacing
Dodd Frank, Build Economic Growth
House Financial Services Committee Chairman Jed Hensarling (R-Texas) plans to release his plan next Tuesday, June 7 to replace the Dodd Frank Act and
 promote economic growth. The Chairman will outline his blueprint for reform, and will follow it up with legislation. ICBA has been working with Chairman Hensarling (as well as other members of Congress) to urge inclusion of important community bank regulatory relief provisions as detailed in the "Plan for Prosperity" that has been endorsed and advocated for by IBANYS.
New York community banks: Send your bank's specific examples of how increased regulatory burden/compliance has negatively
impacted your bank's bottom line, operations and business model.
Have you seen a decline in ability to lend? Have you seen an increase in your compliance person-hours, at the expense of your ability to lend, or reinvest in your local communities? A number of the congressional offices we met with have requested such data. Send us your specific examples, so we can send them to our elected officials and help document why there should be tiered regulation--and why community banks should not be required to meet the same regulatory oversight and standards as larger institutions. Email your examples to John Witkowski at [email protected].
INDUSTRY INSIGHTS
Consumer Confidence, Consumer Spending:
Mixed Signals?
The Conference Board's Consumer Confidence Index released Tuesday found consumers were less optimistic for the second month in a row.
The Index fell to 92.6 in May; economists expected the index to rise to 96 in May, up from April's revised reading of 94.7 in April, according to a Thomson Reuters consensus estimate.
The survey is a closely followed barometer of  consumer attitudes. It measures sentiment toward business conditions, short-term outlook, personal finances and jobs. Meanwhile, a separate report Tuesday found consumer spending surged in April and recorded its biggest increase in more than six years. Consumer spending accounts for more than two-thirds of U.S. economic activity. It surged 1% last month as households bought a range of goods and services. The increase was the largest since August 2009 and beat economists' expectations for a 0.7 percent rise.
The U.S. Commerce Department attributed the 1% bounce partially to more automobile purchases in households. The University of Michigan Consumer Sentiment index released last week also showed a slight uptick in May.
Cyber Breaches At Federal Reserve
The Federal Reserve detected more than 50 cyber breaches between 2011 and 2015, with several
 incidents described internally as "espionage," according to Fed records obtained by Reuters under Freedom of Information Act requests.
The records represent only cases involving the Washington-based Board of Governors, subject to public records laws. Reuters did not have access to reports by local cybersecurity teams at the central bank's 12 privately owned regional branches.
U.S. home price appreciation remained strong in March, matching the previous month's year-over-year gains.
The S&P/Case-Shiller 20-City Composite Home Price Index rose by 5.4% in March from the same month last year.
A global survey of millennials by Manpower Group found many
doubt they will be able to retire in the traditional manner of the previous generation. More than one-third expect to work well into their 70s, and approximately one in eight believe they will have to continue working until the end of their lives. Student debt, expensive housing and "sluggish" wage growth contribute to their beliefs.
In the United States, millennials are somewhat more optimistic: Only 12% believe retirement is out of reach. Just 17% of American baby boomers who are 65 or older are still working.
IBANYS' 42ND ANNUAL CONVENTION
Turning Stone Resort
IBANYS' 42nd Annual Convention will take place at The Turning Stone Resort October 3-5. We'll have a  full menu of top notch speakers and presenters, including Steve Greenberg, a veteran political analyst and commentator who will preview the critically important 2016 election for community banks. With every member of the New York State Legislature and New York Congressional Delegation up for election, and control of the State Senate expected to be hotly contested, it will be a timely presentation. Steve Greenberg will be our closing keynote speaker Wednesday morning, October 5.
Ray O'Conor will be our opening night Keynote speaker
Monday evening, October 3
. Ray is a former President of Saratoga National Bank & Trust and former IBANYS Chairman. He is the author  of
She Called Him Raymond: A True Story of Love, Loss, Faith and Healing --
a candidate for the 2016 Pulitzer Prize for non-fiction.
Ray has also been a newspaper columnist,
Special Agent with the U.S. Department of Defense and U.S. Border Patrol Agent. His presentation will share the story behind his book, and provide a look into the true tale of two ordinary people who led extraordinary lives during the most tumultuous of times.
Of course, we'll also have:
- A full menu of speakers, panel discussions and presentations on the most important issues and trends impacting New York community banks
- And, our traditional business show, silent PAC auction and much more! Watch for program details and sponsorship opportunities.
Is YOUR Bank Taking Advantage Of These IBANYS-Endorsed Programs?
During the past year or so, IBANYS has introduced several new initiatives that can provide real value and benefits to community banks. Take a look at these programs, and if you have questions, contact us or visit our website at www.ibanys.net. We hope you'll decide to take full advantage of these exciting opportunities.
- The "My Wellness Resource Card" offers a low-cost, non-traditional program to help community banks to save time and money. It helps provide on demand health care from U.S. board-certified doctors who provide
 diagnosis, treatment options and necessary prescriptions via unlimited telephone medical consultations. The My Wellness program offers discounts and significant savings on a variety of medical and dental products, and is designed to improve productivity, decrease absenteeism and boost morale without straining your bottom line. It's an exciting new way for community banks to provide health care benefits, reduce cost and retain employees. For more information, contact Alan Justin, Managing Partner at (716) 907-5500.
- We also joined the "Cure the Blue" effort to raise funds and awareness regarding prostate
 cancer in New York State. We are partnering with the Buffalo Bills Alumni Foundation, and hope to see a number of IBANYS members participate. Please join us in supporting this worthwhile cause. Visit www.curetheblue.com to get involved!
WEBINAR UPDATE:
Latest In Cyber Series:
FFIEC Cyber Security Risk Assessments:
Recent Findings & Recommended Actions
"Learning from Recent Cyber Security Risk Assessments"
Wednesday, June 8, 2016
3:00 pm - 4:30 pm ET
Cyber security is now considered the number one risk faced by financial institutions. Cyber security preparedness and risk management will be key areas of focus during upcoming exams. This webinar will review case study results from first and second quarter regulatory exams with an eye towards the FFIEC cyber security governance requirements and how financial institutions are successfully utilizing the FFIEC Cybersecurity Assessment Tool (CAT). Join us for practical advice on how to utilize the CAT to define inherent risk, measure control effectiveness (i.e., maturity), and assess residual risk.
This informative session is designed for individuals with oversight or responsibility for information technology, including internal audit, IT audit, IT risk management, and IT operational management.
Continuing Education:
Attendance verification for CE credits upon request
PLEASE NOTE:
Webinar content is subject to copyright and intended for your individual financial institution's use only.
Presenter Randall J. Romes (CISSP, CRISC, MCP, CliftonLarsonAllen LLP)
will cover:
-- Updates to FFIEC audit requirements over the last two years leading to the release of the CAT
-- Significant changes to the FFIEC
IT Handbook
that influence completion of the CAT including:
- Inclusion of cyber security as a key component throughout the handbook
- Enhanced focus on IT risk management
- Change removing vendor management as a standalone section and integration throughout all 14 sections
-- Inherent risk assessment and maturity profile completion.
TAKE-AWAY TOOLKIT Will Include:
-
- Sample cyber security assessment tool report document
- Employee training log
- Quiz you can administer to measure staff learning and a separate answer key
To register and for additional details, please click on the link below:
https://financialedinc.com/a/ibanys/webinar/cyber-series-ffiec-cyber-security-risk-assessments-recent-findings-recommended-actions
All IBANYS Webinars Are Specifically Designed For Community Banks!
Are your officers, directors and employees getting all the information they need on the latest trends, issues and developments impacting the bank? New York's community banks cope with a wide array of challenges. Your bank's officers, board members and employees know their responsibilities and potential liabilities are not about to diminish. Are you doing everything you can to ensure that they have access to the very latest information and tools they need to meet their responsibilities, and to properly prepare the bank for the future? One way to do so is by signing them up for
IBANYS' webinars. Our programs are specifically designed to meet the needs of community banks, and are both effective -- and, cost-effective. Your bank's officers, directors and employees can participate directly from their offices.
There's a good reason
why a rapidly growing number of your industry and association peers are taking advantage of these webinars.
Review our upcoming programs by clicking the link below:
https://ibanys.fed.financialedinc.com/store/webinar
|
. . .SHAZAM
The SHAZAM Network was founded in 1976 and is one of the last remaining member-owned and -controlled financial services providers and debit processors in the industry. SHAZAM's vision is to be THE trusted partner providing answers, choice and innovation through delightful experiences. SHAZAM is a single-source provider of the following services: core, risk management, card, ATM, marketing, merchant, mobile, and automated clearing house (ACH).
Their board of directors are leaders from community financial institutions, and strive to make decisions that will benefit you and your customers. Their mission is to strengthen community financial institutions. They believe people and relationships matter and that trust, above all, creates strong business relationships. You have a voice at SHAZAM.
SHAZAM is a not-for-profit corporation. They believe all financial institutions, regardless of size, are entitled to the same features, services, and affordable rates. This continues to be the driving force behind every decision they make.
SHAZAM consistently strives to keep entry costs the lowest in the industry; while continuing to provide the personal service and reliability they are known for. You are important to your community and to the financial industry. SHAZAM's job is to help you succeed by offering the best technology and convenience for your customers. They remain committed to providing cost-effective products and services that help you compete effectively and meet your business goals, including:
- Core Services
- Platform Services
- Compliance Services
- ATM Services
- Card Services
- Merchant Services
- Marketing Services
- Risk Management Services
- ACH Services
- Data Services
- Support Services
SHAZAM works because we believe financial institutions, like yours, should remain in control of the financial services industry. At SHAZAM, we're your partner; not your competitor.
Contact Senior Vice President James Ghiglieri, Jr. at (309) 678-9021, e-mail [email protected] or visit the website at www.shazam.net.
|
- Credit unions were chartered by Congress to enable people of small means with a "common bond" to pool their resources to meet their basic deposit, savings and borrowing needs.
- Some credit unions operate that way today, but many have grown their membership and their markets well beyond their statutory mission.
- In just the last four years, the total assets of federally insured credit unions have grown by nearly $70 billion and membership has grown by more than 10 million...while the total number of credit unions has declined by over 1,000.
- Credit Unions are now a $1 trillion industry, competing for the same business and offering the same products as community banks.
- There are 208 credit unions with more than $1 billion in assets - in 1991, only 11 credit unions were this large.
- Since 2001, credit unions have increased the deficit by not paying an estimated $20.5 billion in federal income taxes.
- In the 1940s and 1950s, mutual insurance companies and mutual savings banks, with ownership structures similar to credit unions, lost their tax exemptions, and continue to operate, and thrive, while paying taxes.
Do YOUR local members of the New York State Legislature and Congress know there facts?
|
| New York community banks play a key role in our state and local economies. Help spread the good news among your customers, business and elected leaders and media! |
| Click here for quotes from Governor Cuomo and DFS Superintendent Lawsky extolling the performance and value of New York community banks. |
| Click here for the full NYS Study on community banking. |
| Click here to read IBANYS President & CEO John Witkowski's comments on the new tax changes and benefits for New York community banks as approved in the 2014-15 State Budget. Click here for IBANYS' letter to the Editor of Consumer Reports Magazine correcting failure to mention community banks as an alternative to using "big banks." _________________________________ |
|
John J. Witkowski
President and Chief Executive Officer
Stephen W. Rice
Director of Government Relations and Communications
Linda Gregware
Director of Administration and Membership Services
William Y. Crowell, III
Legislative Counsel
|
|
|
|
|
Business Development Corporation (
