IBANYS Weekly E-Newsletter |
|
-
Visit our website at www.ibanys.net to review our daily updates on COVID-19.
|
|
The President's Message
By John Witkowski, President & CEO
A reminder: Our new address is:
Independent Bankers Association of New York State
194 Washington Ave, Suite 420
Albany, NY 12210
**********
-
IBANYS' partners at ICBA Securities and its exclusively endorsed broker/dealer, Vining Sparks, will present a webinar October 5th for CEOs, CFOs, investment managers, directors, and anyone responsible for balance sheet or investment portfolio management regarding the current economy, market conditions, and strategies designed to assist your financial institution looking for year-end opportunities and planning for the new year. Participants can earn up to 1 hour of CPE credit based on a 50-minute hour.Questions? Contact Jim Reber (info@viningsparks.com). Please see details and registration information below in today's newsletter.
-
On October 1, IBANYS will lead a group of new York community banks to a meeting with the New York State Department of Financial Services (DFS) to discuss the impact fintech’s are having on community banks and your business. DFS requested the session, noting they've had discussions with community banks concerned about the impact FinTech’s are having on their businesses and their expansion into businesses that appear to be banking businesses, including “banking as a service” platforms. DFS is interested in beginning a deeper dialogue on this topic.
-
IBANYS is also coordinating an introductory and informational session for a group of New York community banks with the new Chair of the NYS Assembly Banks Committee, Assemblywoman Patricia Fahy (D-Albany). We'll keep you posted.
-
EMPIRE STATE DEVELOPMENT has partnered with IBANYS to announce the COVID -19 Small Business Recovery Grant Program. Please distribute the information (Link below) to your small business clients so they can take advantage of the $800MM in grants from NYS. www.nysmallbusinessrecovery.com
-
The Federal Reserve Bank of New York, in partnership with the University of Pennsylvania's Housing Initiative at Penn, has released a white paper on the nation's looming eviction crisis, highlighting city and state programs that are keeping families in their homes. The paper, written as part of the New York Fed's community development efforts, also spotlights initiatives to collect reliable data on renters and landlords, as comprehensive data on both is limited. The paper: "Current Responses to Housing Insecurity: A Focus on Vulnerable Residential Renters and Landlords"
|
|
|
|
2021 Directors College -
October 14, 2021 - Virtual Meeting
|
Once again, IBANYS, NJ BANKERS and the FDIC have teamed up to offer the FDIC Directors College for your bank Board of Directors.
The FDIC Directors College will be held on Thursday, October 14th from 9 a.m. to 1 p.m. as a virtual meeting.
The detailed agenda and registration information is in the attached brochure.
Any questions, please contact John Witkowski or Linda Gregware via email.
|
|
|
|
Mark your Calendars and Save the Dates - IBANYS 2022 Meeting Schedule
- January 11 - Human Resources - ZOOM
- March 1 - Compliance - ZOOM
- April 4-5 - Mid-Year Conf. - ZOOM
- April 11 - Directors - ZOOM
- May 3 - Lending - ZOOM
- June 13-15 - Annual Convention - Turning Stone Resort & Casino - in-person
- July 12 - Human Resources Update - ZOOM
- September 12-13 (tentative) - West Point - in person
|
|
ASSOCIATE MEMBERS & PREFERRED PARTNERS |
|
Loan Review: Best Practice Trends
Webinar
October 5, 2021 - 2:00 pm (45 minutes)
Don’t be lulled into complacency. Regardless of what the numbers may show, regulators sense that uncertainty is looming in loan portfolios post COVID. To detect and minimize potential credit risk ahead, NOW is the time to consider best practices and industry trends that can help you conduct the most thorough and efficient loan reviews possible.
During the webinar we will discuss:
- What’s needed to ensure highly productive and effective loan reviews
- Attributes for selecting a loan review partner
- Why document expertise and credit experience are equally critical
- Trending approaches for managing problem credits
- How real-time exception clearing can accelerate the review process
- The new role that technology plays in making reviews faster and less complex
- Making better use of risk grades and their value to the institution
- The difference between data-driven and point-in-time loan reviews
|
|
2021 Financial Institutions Seminar: Vital not Virtual |
Join us for our annual Financial Institutions Seminar, along with our co-hosts from Luse Gorman and Piper Sandler for an in-person* and complimentary event as we deliver informative presentations and industry updates on topics ranging from strategy, cybersecurity, mergers and acquisitions, & more. Including breakout sessions specific to banks or credit unions.
Event Details:
Wed, October 27, 2021
9:30 AM – 3:00 PM EDT
Attendees will receive 4 CPE Credits
del Lago Resort & Casino
1133 New York 414
Waterloo, NY 13165
Registration, session, & CPE information:
|
|
|
|
Attached please find an article that has been created by Travelers. It features information on Automated Clearing House debit entry fraud. Because of the rising popularity in using ACH transfers and strict National Automated Clearing House Association rules, banks and financial institutions have never been more at risk.
|
|
|
|
Lessons Learned on CECL for Community Banks
Grigoris Karakoulas
|
Six quarters have passed since the implementation of the CECL standard by the SEC filing banks (excl Not Smaller Reporting Companies) on January 1, 2020. The community banks and credit unions are presently working towards an implementation deadline of January 1, 2023.
The purpose of this article is to highlight a few of the lessons learned so far in order to help financial
institutions with critical issues in the implementation of the new standard.
|
|
|
|
ICBA shared with IBANYS the following:
ICBA launches multi-state credit union ad push
I wanted to draw your attention to the lead article in this morning’s NewsWatch Today that reports upon IBCA’s launch of a print and digital advertising campaign calling on Congress to investigate the credit union tax exemption. The attached ad is going to run in USA Today in the following regions (Atlanta, Carolinas, Chicago, Cincinnati, Detroit, and Florida) today and Thursday and then again a couple of times next week. The article also directs readers to several pages on the ICBA Website dedicated to our credit union advocacy efforts, including a recent letter to the committee (also attached) from ICBA Chairman, Bob Fisher, a separate LinkedIn article, and the Wake Up Campaign.
|
|
 |
Michael Erhardt, CPA
Michael Erhardt is a Senior Vice President in the Investment Strategies Group at Vining Sparks. He works closely with financial institutions on balance sheet and investment portfolio strategies, liquidity management, evaluation of asset/liability exposure, and liability and loan pricing. Michael has over 18 years of experience with financial institutions, including serving as Executive Vice President and Chief Financial Officer for Paragon National Bank from 2004 until 2011. Prior to joining Paragon, Michael was employed by Enterprise National Bank from 1994 until 2004 where he served as staff accountant, accounting manager and Chief Financial Officer. Michael holds a Bachelor and Master of Accountancy degree from the University of Mississippi. He is a certified public accountant and a graduate of Louisiana State University’s Graduate School of Banking.
|
|
|
|
Planning for Year End and The New Year
ICBA Securities and its exclusively endorsed broker/dealer, Vining Sparks, will present a webinar on October 5th for the state associations that endorse ICBA Securities, as well as all other community banks. This is the 7th webinar of the series.
Financial institutions posted strong earnings thus far during 2021. Earnings have been supported by robust mortgage banking revenue and loan fees realized from participation in the SBA’s Paycheck Protection Program (PPP), while net charge-offs reached a record low. However, low interest rates combined with record deposit growth and tepid loan demand led to an abundance of liquidity and significant net interest margin compression. Margin compression may lead to earnings headwinds next year as PPP lending and mortgage banking revenues subside.
As year-end quickly approaches, please join us for a webinar regarding the current economy, market conditions, and strategies designed to assist your financial institution looking for year-end opportunities and planning for the new year.
What You’ll Learn:
- Investment portfolio and balance sheet trends
- Year-end investment strategies
- Portfolio administration suggestions
- Positioning the bond portfolio for 2022
- Relative value opportunities
This webinar will last approximately one hour.
|
|
|
|
Learn Portfolio and Balance Sheet Management with your Peers
The Balance Sheet Academy advanced seminar is designed to expose seasoned community bank portfolio and balance sheet managers to advanced products and concepts. The objective of this seminar is to enable the attendees to consistently outperform their peers.
The dynamics of a community bank balance sheet require an investment professional to be versed in a widening range of topics. Balance Sheet Academy provides discussion and practical strategies to equip the attendees for these demands. Examples of these topics include advanced interest rate risk management strategies, low cost funding strategies and strategies for serving bank customers while managing interest rate risk.
This year due to the concern for the safety of our customers and employees the event will be held virtually. Balance Sheet Academy's eight sessions will take place Monday through Thursday, October 18-21. The seminar will have two 1-hour sessions per day, and up to 8 CPE credit hours are available.
Who should attend?
Balance Sheet Academy is structured for anyone involved in balance sheet management decision making, including CEOs, CFOs and Treasurers, particularly those who have attended Bond Academy. It incorporates balance sheet strategies into the day-to-day management of an institution’s investment portfolio, wholesale funding and interest rate risk management. Bank personnel with an intermediate level of understanding of investments who are integral to the investment and balance sheet management process will benefit the most from this advanced course. New directors serving on the investment or asset-liability committee will also find this course beneficial.
|
|
Date and Time
October 18-21, 2021 at 10:00 AM CDT and 2:00 PM CDT daily
Cost
There is no cost for Vining Sparks' customers and prospects.
Prerequisites
Those working as CEOs, CFOs, investment managers, directors, and anyone responsible for balance sheet or investment portfolio management who possess the working knowledge necessary to benefit from the content of this webinar.
Instructions for Audio/Video
You will receive instructions to access the webinar after your registration is confirmed. If you do not receive a registration confirmation email, please contact your account representative.
Additional Information
Fields of Study: Specialized Knowledge & Economics
Advance Preparation: None
Program Level: Intermediate
Delivery Method: Group Internet-Based
Conference participants can earn up to 1 hour of CPE credit based on a 50-minute hour.
Questions?
For additional questions regarding this webinar, concerns and/or cancellation policies, please contact Jim Reber (info@viningsparks.com) at 800-829-0321.
|
|
IBANYS Webinars
Are you participating in IBANYS webinars? Now is the time! IBANYS webinars provide timely, important information on subjects of interest to New York community bankers including human resources, business development, investment, compliance and security and much more. They are valuable not only for their content, but for their convenience and low-cost. Take part from the comfort and privacy of your office, without leaving the bank.
|
|
Subscription Tokens
The More You Buy, The More You Save
How does it work:
Tokens can be used to purchase live or recorded webinars anytime, with no expiration! Tokens for both live and recorded webinars are available for an additional fee. (What’s the difference? Click here for the full description.)
Once you have your Subscription Token code, you can immediately register for webinars by using the code at checkout! (Subscription tokens not applicable for full series registrations, or other specials.)
|
|
-
Acting Superintendent of Financial Services Adrienne Harris announced a new proposed regulation that will improve transparency for small businesses seeking commercial financing. The new proposed regulation requires companies that offer commercial financing in amounts under $2.5 million to make standardized disclosures about the terms of credit. There is no standardized federal framework for how lenders provide information about offers of commercial financing. To address the lack of standardized disclosures in the commercial context, the New York State legislature passed a law earlier this year, codified at Article 8 of the New York Financial Services Law (the “Commercial Finance Disclosure Law” or “CFDL”), mandating disclosures for commercial financing effective January 1, 2022. The DFS proposed regulation implements the CFDL. As statutorily required, DFS is issuing the proposed regulation now in order to facilitate implementation of the CFDL in time for the January 1, 2022 deadline. The proposed regulation is subject to a 60-day comment period following publication in the State Register, which is forthcoming. The Department of Financial Services will then review all received comments and issue a final regulation. In the interim, a copy of the proposed regulation can be found on the DFS website.
-
There are 30 local governments in New York that have some form of financial strain made all the harder by the COVID-19 pandemic, State Comptroller DiNapoli noted in a new report assessing municipal budgets in the state. The full report can be found here.
-
New York House Democrats could play a major role in how the final reconciliation bill in Congress is shaped amid a push to repeal a $10,000 cap on state and local tax (SALT) deductions. President Biden can't afford to lose any Democratic votes if he wants to get his signature, multi-trillion dollar social spending bill across the finish line, so every Democrat has a chance to influence negotiations. Rep. Tom Suozzi (D-L.I.) has led the charge to eliminate the cap on federal deductions for state and local taxes, often repeating the refrain, “No SALT, no deal. ”Read more here.
-
Barely a month after she ascended to the governor’s office after Andrew Cuomo’s resignation, Governor Hochul is revving up an aggressive fund-raising apparatus, seeking to build a formidable financial advantage — at least $10 million in donations by year’s end and as much as $25 million by next summer — to discourage or defeat potential rivals in what may be a fierce Democratic primary next year. Hochul’s political ramp-up has involved hiring a campaign manager and other senior aides. Several of her potential opponents have begun more assertively positioning themselves in recent days, with their allies acknowledging that the longer they wait, the stronger Ms. Hochul may be. Jumaane D. Williams, the left-wing New York City public advocate, made the first public move on Tuesday, launching an exploratory committee. Outgoing NYC Mayor de Blasio has had conversations with allies about the race. Representative Thomas Suozzi (D-L.I./Queens) is considering running. The biggest open question is whether Attorney General Letitia James will enter the contest. https://www.nytimes.com/2021/09/29/nyregion/hochul-letitia-james-governor.html
-
Governor Hochul issued a proclamation declaring a special election to fill vacancies in the 86th Assembly District and the 30th Senate District on Election Day, November 2nd, 2021. The special election will fill vacancies created by the resignation of Bronx Democratic Assemblyman Victor Pichardo (who had been Assembly Banks Committee Chairman, now succeeded in that position by Assemblywoman Patricia Fahy, D-Albany), and by the resignation of Harlem State Senator Brian Benjamin, who is now serving as Lieutenant Governor for the State of New York.
- Governor Hochul today announced Mary T. Bassett, MD, MPH, has been appointed Commissioner of the Department of Health. Her appointment is effective December 1, when she will succeed Commissioner Howard Zucker, who has announced his resignation. She was Commissioner of the New York City Department of Health and Mental Hygiene from 2014 through summer 2018, and currently serves as director of the François-Xavier Bagnoud (FXB) Center for Health and Human Rights at Harvard University and FXB Professor of the Practice of Health and Human Rights in the department of Social and Behavioral Sciences at the Harvard T.H. Chan School of Public Health.
|
|
SBA has issued two disaster declarations which include parts of New York State for weather related incidents occurring in July 2021. We appreciate you help passing this information along to co-workers, clients, and others which may benefit. If they are located in a declared disaster area, they may be eligible for financial assistance from the U.S. Small Business Administration (SBA) in the form of a Business Physical Disaster Loan, Economic Injury Disaster Loan, and/or a Home Disaster Loan (loans to homeowners or renters). The full Fact Sheet for each declaration is attached, summaries are below. Thank you.
NEW YORK Declaration 17159 & 17160 (Disaster: NY-00204)
Incident: SEVERE STORMS AND FLOODING occurring: July 14, 2021
in Rensselaer County, New York; the contiguous New York counties of: Albany, Columbia, Greene, Saratoga, and Washington; the contiguous Vermont County of: Bennington; and the contiguous Massachusetts County of: Berkshire.
Application Filing Deadlines: Physical Damage: November 8, 2021 Economic Injury: June 9, 2022
NEW YORK Declaration 17163 & 17164 (Disaster: NY-00206)
Incident: SEVERE STORMS AND FLOODING occurring: July 16-19, 2021
in Otsego County, New York; and the contiguous New York counties of: Chenango, Delaware, Herkimer, Madison, Montgomery, Oneida, and Schoharie.
Application Filing Deadlines: Physical Damage: November 8, 2021 Economic Injury: June 9, 2022
Valerie Shoudy, Lender Relations Specialist Grace Conners, Lender Relations Specialist
U.S. Small Business Administration
224 Harrison St., Suite 506 | Syracuse, NY 13202
|
|
-
SBA: PPP portal tops 1M submissions The SBA said its Paycheck Protection Program Direct Borrower Forgiveness Portal has topped 1 million applications for $17 billion in relief since it launched Aug. 4. Portal: The portal allows borrowers with PPP loans of $150,000 or less to directly apply for forgiveness. Lenders may opt in, but they still must review borrower-submitted information on the PPP platform and make a forgiveness decision. Participation: The SBA said more than 1,400 PPP lenders have opted in, while 65% of all loans eligible for direct forgiveness have been submitted. Advocacy: In congressional testimony earlier this month, ICBA said the SBA must respect lenders that choose not to use the portal, which led the agency to withdraw its threat to audit PPP lenders that don’t participate. Resources: Additional PPP information is available on ICBA's PPP Resources page.
-
Credit union push continues with hearing today ICBA’s print and digital advertising campaign on the credit union tax exemption continues this week as lawmakers meet today on consolidation and the future of banking. Ads :In print ads running again this week in editions of USA Today in Florida, Georgia, Illinois, Indiana, Michigan, Minnesota, and Wisconsin, ICBA notes the tax exemption subsidizes credit union acquisitions of local community banks. Hearing: ICBA launched the campaign as it works to focus today’s House Financial Services subcommittee hearing on credit union-bank acquisitions. Call to Action: The campaign—which also features online digital ads in the coming weeks—directs readers to icba.org/cuhearings for more information on the acquisition trend.Grassroots: Community bankers can continue urging Congress to hold hearings on credit union acquisitions via a customizable message to lawmakers on ICBA’s Wake Up page and its Wake Up Messaging Playbook.
-
ICBA testifying tomorrow on 7(a) reform ICBA is scheduled to testify tomorrow in opposition to legislative proposals that would authorize the SBA to provide direct loans through its 7(a) program. Hearing: Bank of Charles Town, W.Va., President and CEO Alice Frazier is scheduled to testify at the House Small Business Committee hearing on small-business access to capital. Background: An ICBA-opposed provision of the $3.5 trillion budget-reconciliation package would provide $4.5 billion to the SBA to make direct 7(a) loans of $150,000 or less, which ICBA spoke out against in a recent letter to lawmakers.
-
IRS reporting plan spotlighted at Senate hearing Senate Banking Committee members pressed Biden administration officials on an ICBA-opposed IRS reporting proposal during a committee hearing. Hearing: With Treasury Secretary Janet Yellen testifying, Sen. Cynthia Lummis (R-WY) cited the proposal’s privacy concerns for taxpayers and regulatory burdens on community banks. Sen. Bill Hagerty (R-TN) questioned the IRS’s ability to keep the information it collects confidential. Adjustments: The hearing follows reports confirming that lawmakers are working to adjust the proposal in response to criticism, though ICBA has repeatedly said tweaking the plan’s reporting threshold would not address its fundamental problems. Campaign: ICBA continues calling on community bankers to use its customizable email and social media content to urge consumers to contact Congress in opposition to the plan, which an ICBA poll found 67% of voters oppose. Call Alert: In addition to the consumer campaign—which has resulted in more than 400,000 consumer messages to lawmakers—community bankers can call their lawmakers using an ICBA call alert and customizable script.
-
Fed adjusting supervisory approach: Bowman The Federal Reserve is working to adjust its supervisory approach as the banking industry evolves, Federal Reserve Governor Michelle Bowman said. Initiative: In public remarks, Bowman said the future of community banking and banking supervision are deeply interconnected and the Fed is studying the implications of industry changes on its supervision. Pandemic: Bowman said the pandemic has shown that amid increasing financial services choices, consumers have sought the security of FDIC-insured institutions. She noted deposits at FDIC-insured institutions rose by 22% from 2019 to 2020, while community bank small-business lending rose 39%.
|
|
|
|
|
|
|
