Congressional Subcommittee’s Georgia Trip to Explore Bank Lending
Georgia’s community banks and regulators will be asked if federal guidelines are hurting small business owners.
The House Financial Institutions and Consumer Credit Subcommittee said it will meet in Newnan, Ga., on Aug. 16 to ask community bankers and regulators if federal bank examination standards are impeding an economic recovery.
“With a struggling economy and high unemployment, small businesses and small town banks need some relief from the growing regulatory burdens that block the creation of new jobs,” said Financial Services Committee Chairman Spencer Bachus (R-Ala.). “While officials in Washington urge banks to lend more, bank examiners in the field apply restrictive standards that make lending more difficult.”
In July, the House of Representatives passed H.R. 2056, a bill sponsored by Rep. Lynn Westmoreland (R-Ga.) that requires the Inspector General of the FDIC to review the impact of the agency’s practices and procedures on community banks and report back to Congress, according to the committee.
In addition to several representatives from the FDIC, the Federal Reserve and the Office of the Comptroller of the Currency, the witness panel will also include the CEOs of several Georgia banks.
The field hearing will take place at 9 a.m. at the Coweta County Performing Arts Center.