At the first House Small Business Committee hearing of the 119th Congress, the Independent Community Bankers of America (ICBA) urged lawmakers to implement regulatory and tax relief measures to enhance lending to small businesses. Representing community banks, ICBA Vice Chair Alice Frazier, who is also the president and CEO of Bank of Charles Town in West Virginia, advocated for policies aimed at promoting economic growth and job creation.
Frazier stated, "The new Congress and administration present an opportunity to transform the regulatory environment for community banks, sparking economic growth in rural, suburban, and urban markets." She emphasized that while community banks are ready to lend to qualified borrowers today, their capacity could be further increased with regulatory and tax relief.
Community banks play a significant role in providing small-business loans due to their relationship-based business model. Frazier encouraged policymakers to provide relief from certain Consumer Financial Protection Bureau requirements through Chairman Roger Williams’ proposed legislation. She also suggested advancing tiered regulations by updating regulatory thresholds and preserving a pro-growth tax environment by extending specific provisions from the Tax Cuts and Jobs Act.
Additionally, Frazier called for facilitating new sources of capital for community banks to support small business lending and promoting the formation of new community banks through Rep. Andy Barr’s legislative proposal.
The ICBA's complete testimony is available on its website. The organization has outlined a comprehensive plan titled "Repair, Reform, and Thrive" along with an open letter addressing policy challenges faced by the nation.
The Independent Community Bankers of America aims to create an environment where community banks can thrive through advocacy, education, and innovation. Community banks leverage their relationship-based models to channel deposits into local neighborhoods, fostering economic prosperity.