Georgia's community banks and regulators will be asked iffederal guidelines are hurting small business owners.

The House Financial Institutions and Consumer CreditSubcommittee said it will meet in Newnan, Ga., on Aug. 16 to askcommunity bankers and regulators if federal bank examinationstandards are impeding an economic recovery.

“With a struggling economy and high unemployment, smallbusinesses and small town banks need some relief from the growingregulatory burdens that block the creation of new jobs,” saidFinancial Services Committee Chairman Spencer Bachus (R-Ala.). “While officials in Washington urgebanks to lend more, bank examiners in the field apply restrictivestandards that make lending more difficult.”

In July, the House of Representatives passed H.R. 2056, a billsponsored by Rep. Lynn Westmoreland (R-Ga.) that requires the InspectorGeneral of the FDIC to review the impact of the agency's practicesand procedures on community banks and report back to Congress,according to the committee.

In addition to several representatives from the FDIC, theFederal Reserve and the Office of the Comptroller of the Currency,the witness panel will also include the CEOs of several Georgiabanks.

The field hearing will take place at 9 a.m. at the Coweta CountyPerforming Arts Center.