Tennessee Bankers

This Week Newsletter

January 09, 2017 - Issue No. 1701

Kustoff Named to House Financial Services Committee, Congress Convenes 115th Session

The first session of the 115th Congress convened on Tuesday, January 3.  Republicans remain in control of both chambers with a majority in the Senate of 52 Republicans, 46 Democrats and 2 Independents. In the House, Republicans outnumber Democrats 241 to 194. Among those members are 52 freshmen, including David Kustoff (R-Tenn.), who will serve on the House Financial Services Committee. Congressman Kustoff talked with The Tennessee Banker about the banking industry, West Tennessee, and more. Click here to read the interview. 
When President-elect Trump takes the oath of office on January 20, it will mark the first time since 2007 that Republicans controlled both the executive and legislative branches of government.  

Credit Conference Hotel Deadline Approaching

TBA's Credit Conference, the largest gathering of bankers in Tennessee each year, will take place February 7-8, 2017 at the Omni Nashville Hotel. With the conference being a little over a month away, be sure to reserve your hotel room and register today!


TBA has reserved a block of rooms at the Omni Nashville Hotel at a special group rate of $229. The room block expires on January 16 and will not be extended. To reserve accommodations at the Omni for the conference, click this link or call 800-THE-OMNI (800-843-6664) and refer to the Tennessee Bankers Association's Credit Conference.

110th General Assembly Convenes Tuesday

The state House and Senate will convene the first regular session of the 110th General Assembly on Tuesday, January 10.
Republicans return to Nashville with continued supermajorities in the Senate (28-5) and the House (74-25). Their first task will be to elect Senate and House speakers. The GOP caucuses have already met and selected Sen. Randy McNally (R-Oakridge) and Rep. Beth Harwell (R-Nashville) for the positions, but it will not be official until the full membership of both chambers votes. Once completed, the Speakers will appoint chairman of committees, with vacant positions for Senate Finance, Ways and Means, and House Insurance and Banking. 
The General Assembly will then take a two-week organizational recess before reconvening for regulator session, which is expected on Monday, Jan. 30. Lawmakers will then tackle several priority issues, including funding of highways and roads, increasing the gas tax; and requiring out-of-state retailers to collect sales tax on internet sales.

TBA Hosts Bi-weekly Legislative Update Conference Calls

The best way to stay on top of banking issues during legislative session is participating on TBA's legislative conference calls hosted every-other Friday by the TBA government relations team. All calls begin at 2:30 p.m. CT and last approximately 30 minutes.
The first call is scheduled for Friday, Jan. 13. Because the General Assembly is taking a two-week recess, the calls will resume on Feb. 3, and then be held every other Friday.
Coverage of top issues likely to unfold during legislative session will include reforms to financial elder abuse laws; whether local governments and third parties should be in the business of making loans for energy efficient improvements to homes; and removing the super priority status of HOA liens. If you would like to participate in these calls, please contact Amy Heaslet.
Plus, save the date for these important TBA government relations events:
February 6: Legislative Reception
March 8: Young Bankers Day on the Hill
May 8-10: TBA Washington Conference

ABA's Nichols to Outline 2017 Policy Goals on Webinar

With a potentially very productive legislative and regulatory environment ahead in 2017, ABA leaders will present a free webinar for bankers next Tuesday, Jan. 10, at 1:00 p.m. CT on what the industry can expect from Washington in the next year. ABA president and CEO Rob Nichols will join ABA's executive VPs James Ballentine and Wayne Abernathy to outline opportunities on regulatory relief, tax reform and other policy priorities. Register for the Jan. 10 webinar.

Corker, Alexander Reappointed Senate Committee Chairmen for 115th Congress

Senate Majority Leader Mitch McConnell (R-Ken.) last Tuesday, Jan. 3, announced the Republican committee rosters for the 115th Congress. Sen. Corker (Tenn.) will continue to serve as Chairman of the Foreign Relations Committee, while Sen. Lamar Alexander (Tenn.) will continue to serve as Chairman of the Health, Education, Labor, and Pensions Committee. 

Sen. Mike Crapo (R-Idaho) will lead the Banking, Housing, and Urban Affairs Committee, which will include Corker, among others. View the committee rosters.

Diane Black Named Interim House Budget Chair

Congressman Diane Black (R-Tenn.) on Tuesday, Jan. 3, was named the interim House Budget Committee Chairman. Black will assume the role in place of Rep. Tom Price (R-Ga.), whom President-elect Donald Trump picked to lead the Department of Health and Human Services. 
"As interim Chairman for the House Budget Committee, I am ready to work with my colleagues on both sides of the aisle to repeal [ObamaCare] that has burdened families and businesses and turn the page to a new healthcare system that lowers costs, spurs free market competition, and ultimately empowers patients—not Washington bureaucrats," she said
If Price is confirmed, the Republican Steering Committee would then choose someone to permanently serve as Chair of the Budget Committee.  

TBA Hosting Webinar, ICBA Issues Guidelines on ADA Website Compliance

As previously reported by TBA, predatory plaintiffs' attorneys have found a new way to financially exploit banks by sending demand letters alleging noncompliance with ADA website accessibility standards for individuals with sight and hearing impairments. 
TBA is aware of several banks in the state that have received such letters.  Unfortunately, there are no clear-cut ADA standards for websites at this time, making it difficult to determine whether a bank's website is compliant. However, ICBA has issued guidance to help banks respond if a demand letter is received. Read ICBA's guidance.
Additionally, TBA will host a webinar on ADA website compliance and common errors on Friday, Jan. 13. For more information and to register, click here.

CFPB Outlines Fair Lending Priorities for 2017

The CFPB will increase its efforts in 2017 to prevent credit discrimination and improve credit access, according to a blog post published recently on the CFPB website. Specifically, the bureau will investigate "redlining" issues to determine whether lenders have intentionally avoided lending in minority neighborhoods. It will also evaluate whether women and minority–owned small businesses experience discrimination when applying for credit and whether race or ethnicity creates greater difficulty when attempting to work out payment arrangements with servicers for student loans or home mortgages. Read more.

Federal Regulatory Agencies Issue CECL FAQs

The federal regulatory agencies on Dec. 19 published an FAQ document on FASB's Current Expected Credit Loss standard. The FAQs summarize key elements of the new standard, highlight changes to U.S. generally accepted accounting principles provide regulatory perspective on CECL processes and methodologies and outline steps banks can take to prepare for implementation. CECL will be effective in 2020 for SEC registrants and in 2021 for all others. View the agency FAQs.

Congress Blocks TVA Ban on Floating Homes

President Obama has signed into law the Water Resources Development Act of 2016, which includes a provision that prevents the Tennessee Valley Authority from removing floating homes from its lakes.
The TVA board voted 7-2 in May to impose a 30-year sunset on floating homes on lakes it oversees. North Carolina's Congressmen in September filed an amendment to the Water Resources Development Act of 2016 to override the TVA board vote. Both the House and Senate approved the legislation with the amendment and Obama signed it into law on Dec. 16.
TBA advocated against TVA's ban on floating homes, which would have caused their value to significantly diminish over the next 30 years.  

Welcome New Associate Members

TBA welcomes new associate member Asylas in the category of security services. Please thank this company for their support of the Tennessee banking industry through membership, and when evaluating vendor partners review the list of all TBA associate members in our online directory.

TBA On the Road

  • Colin Barrett and Stacey Langford conduct membership visits in Middle Tennessee.
  • Senior Bank Marketing Director Series session 2 is held in Nashville.
  • TBA's government relations team will attend political events all week as session prepares to get underway.

See where TBA goes while "on the road" by following @TNBankers.

In this Issue

Past Editions