January 13, 2021
IBANYS Weekly E-Newsletter
  • Visit our website at www.ibanys.net to review all our daily updates on COVID-19 beginning on March 16.
The President's Message
By John Witkowski, President & CEO

Needless to say, this is an eventful week -- for our community banking industry, and in Washington and Albany. The next round of PPP is launching (in stages), and the SBA Upstate New York District office scheduled two online sessions to discuss changes to the program, and others, that were impacted by the recently enacted Economic Aid Act. Here is ICBA's summary of the stimulus package's community banking provisions.
Congress is embroiled in the aftermath of the assault on the Capitol last week, with a likely second impeachment of the president and preparing for the inauguration of a new president and start of a new administration. We also heard a brief preview from the incoming chairman of the U.S. Senate Banking Committee, and learned that the Acting Comptroller of Currency will step down and the identity of the next SEC Chairman.

The State Legislature has begun its 2021 session, with the state's fiscal situation front and center -- amid reports that the FBI is warning of possible armed protests at all 50 state capitals by supporters of the president and opponents of the certified presidential election results.

Governor Cuomo is delivering his annual "State of the State" address in four daily installments, focusing on the efforts to defeat the COVID-19 virus, how to safely but efficiently reopen the state's economy, and the state’s financial crisis. 

And, the virus continues to surge across New York, and vaccine roll outs are off to a slow start.

IBANYS will continue to closely monitor all developments at the state and federal level, and keep you fully informed as the situations evolve. Stay safe and healthy!


The IBANYS team is looking forward to working with and supporting all of our Preferred Partners, Associate Members and Community Banks in New York State in 2021.

Daniel Reininga, President & CEO
Lake Shore Savings, Dunkirk, NY
Daniel Reininga, President & CEO Lake Shore Savings, Dunkirk, NY and IBANYS Board of Director speaks with Kenneth Kraetzer on #cbsiTalkingBusiness January 8, 2021

IBANYS 2021 Virtual Education Meetings
Community Bank Compliance Update - Live Webinar
Compliance is one of the most crucial and consuming issues in the financial industry today. The Regulatory agencies encourage all banks to have a comprehensive and well managed compliance program. Compliance officers are responsible for developing and maintaining a bank wide compliance program that includes monitoring and training.
This regulatory update will offer insight and instruction from regulatory agencies and subject matter experts on developing and maintaining a solid compliance program.
Mark Your Calendars & Save These dates -- More Information Coming Soon!!
  • Tuesday, March 2, 2021 - Directors Webinar - 8:30 a.m. - 2:00 p.m.

Watch your emails and the weekly newsletter for more information on these programs and additional dates to be added.
Vikar Technologies combines modern technology and deep industry experience to help banks digitally transform their business. Our Loan Lifecycle Management and Client Onboarding solutions provide workflow automation and data aggregation with open APIs for the front, middle, and back-office; enabling customers to onboard and maintain clients and loans in a complete, end-to-end digital experience.
With the second round of PPP funding imminent, Vikar Technologies is excited to announce our complete PPP solution now including loan origination, closing, and forgiveness. Vikar is accelerating the adoption of digital solutions for community banks that are critical to remove friction from the lending process and to improve the experience for both new and existing borrowers and their lenders. Read more about our PPP solution here.
QwickAnalytics & IntelliCredit: Powerful Bundle for 2021 Issues
Thursday, January 14 at 2:00 pm ET 
Duration: 45 minutes
In 2021, community banks must face critical challenges: credit risk management and loan reviews, regulatory compliance, performance analysis, competitive research and more. Attend this webinar to learn about these practical, extremely affordable solutions  — IntelliCredit™ and QwickAnalytics® — that easily power bank staffs through these issues. No exorbitant vendor charges required. And no outside help needed. QwickRate is offering a special discounted bundled savings on these two products through 1/31/2021. Register today.

Commercial Lending Academy
March 22-26, 2021
Virtual Training

This intensive, week-long workshop is designed to provide immediate, tangible training for employees new to commercial lending and to improve skills of less-experienced commercial lenders.
  • Branch managers
  • Credit analysts
  • Personal and private bankers
  • Entry level lenders
  • Mid-level lenders needing a refresher course
  • Any employee assuming commercial lending responsibilities
  • Loan structuring
  • Loan packages and business writing skills
  • Loan policy concepts and risk ratings
  • Loan pricing concepts
  • Analyzing personal financial statements and tax returns
  • Introduction to business financial statements and tax returns
  • Real estate lending fundamentals
  • Business development and sales skills

  • 42 hours of instruction are scheduled.
  • Enrollment will be limited to ensure greater interaction with the instructor case leaders and peers.
Tuition is $1,195
Richard Hamm
President of Advantage Consulting and Training
  • Barret Graduate School of Banking
  • Graduate School of Banking at Wisconsin 
  • Pittsburgh RMA Commercial Lending School
  • BAI Graduate Schools of Banking
  • Published 20 articles in The RMA Journal
  • On the RMA Journal Editorial Advisory Board
  • ABA Commercial Lending Graduate School
  • Over 15 years as a Commercial Lender
  • Received MBA from the University of Alabama
  • Southwestern Graduate School of Banking
News from ICBA
ICBA is pleased to announce ICBA Connect to be held on March 9-10, 2021. Get ready for a virtual experience unlike anything you’ve seen before!
This event will bring together great minds from across the nation to celebrate and focus on community banks. Through diverse topics ranging from leadership and strategy, to innovation and inspiration, ICBA Connect will dive into the content that matters most today – all through the lens of community banks. Connect is a chance to discover how community banks are not only navigating the current landscape but leading the way for their communities.

Robert Fisher, President & CEO of Tioga Bank, former IBANYS Chairman and longtime IBANYS board member, is Chairman-Elect. We hope you will join IBANYS and attend virtually as we congratulate Bob, a fifth generation New York community banker.
Earvin “Magic” Johnson and
Matthew McConaughey

This is an opportunity that doesn’t come around every day — to hear from two legends — one of the most talented and decorated players in the history of the NBA and an Academy Award-winning actor, philanthropist, and storyteller.

ICBA is proud to announce during ICBA Connect (March 9-10), a virtual event for your whole team, Earvin “Magic” Johnson and Matthew McConaughey will empower, entertain, and leave you thinking about how you can make a difference in your community.

Connect with these influential figures who have shaped the world—in profoundly positive ways.
Earvin “Magic” Johnson kicks off ICBA Connect with "The Magic of Winning." Magic tells his story of transitioning from the basketball court to the boardroom. Already with a legacy on the court, Johnson currently serves as chairman and CEO of Magic Johnson Enterprises, which provides high-quality products and services that focus primarily on ethnically diverse and underserved urban communities. Johnson takes you on a quest to make a difference in your community.
Matthew McConaughey closes out the program with a one-on-one conversation with ICBA’s very own president and CEO, Rebeca Romero Rainey. After penning "Greenlights," what he calls a love letter to life, McConaughey shares lessons from his life and career, the impact of philanthropy, and the importance of following your passion. McConaughey reminds you to connect with grace, truth and the beauty of being alive. 
Questions to answers
Net interest margin in jeopardy? Here are some solutions.
By Jim Reber
To start out the year, I’d like to both properly memorialize the late, great Alex Trebek and provide some helpful suggestions for investment management for this challenging rate environment in which we find ourselves. And I’d like to do it in the space of this column, so let’s pick up our signaling devices and see what answers we have in front of us.

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. 
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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.)
Albany Update

State and local law enforcement authorities in Albany are preparing for the possibility of unrest in New York's capital after the FBI warned of protests nationwide in the days leading to President-elect Joe Biden's inauguration on Jan. 20. Governor Cuomo said the state was aware of the threats and there will be “increased security during that period of time.” The state Capitol building already is closed to the public and most lawmakers and their staff are attending session — which began on Jan. 6 — virtually.

Governor Cuomo is delivering his annual State of the State remarks in four daily installments this week. In part two, he unveiled his  “2021 Agenda: Reimagine, Rebuild, Renew” – his plan to “Reopen New York Safely and Smartly Following COVID-19 Pandemic”. Here’s the news release of the remarks.

More from the Legislature:

  • New York is facing a $15 billion budget deficit, the largest in its history. Lawmakers and Governor Cuomo stand divided on how to make up this revenue shortfall. In his State of the State address, the Governor pointed to the federal government for failing to provide resources in the fight against COVID-19, and said it is up to Congress to provide the aid. “Washington passed the buck without passing the bucks, and … in December, Congress … failed to pass state and local financing during their last legislative session.”
  • On Monday, the Governor said in his first State of the State installment that “this is not the time to hike taxes in New York.” He noted that increasing taxes on the state’s wealthiest earners – (the so-called “millionaires tax”) would only generate $1.5 billion a year. In terms of enacting the state budget, timing is an issue. The governor and legislative leaders need to reach agreement on a budget by April 1, but it’s not clear when New York will know how much federal assistance it may receive in any federal relief package.

  • Senate Majority Leader Stewart-Cousins, while hopeful for federal aid, said the state cannot continue to wait. “We need to rebuild our economy. . . we can’t just wait for Washington.”

  • Assembly Speaker Heastie noted that the state will “have needs beyond just closing the budget deficit" and estimated it could require “multiples of billions" beyond what is needed to close the budget gap. Heastie and Stewart-Cousins have said raisingrevenue is "absolutely on the table."  The Speaker also noted the state needs forgiveness from the federal government for unemployment insurance borrowing. “With small business, we don’t want the unemployment insurance to go up. A lot of money that the states had to put forward for unemployment insurance we had to borrow from the federal government.”

  • Democrats in the NYS Senate unveiled their committee chairmanships for the 2021-22 legislative term last week, as the conference now holds a supermajority in the chamber. Senate Banks Committee Chairman James Sanders (D-Queens) will continue in that position. Democrats created new committees, including one overseeing cities outside of New York City as the party now holds multiple seats in upstate cities like Buffalo, Rochester and Syracuse. 

  • The NYS Legislature released its session calendar for 2021. The session opens January 6, and is scheduled to adjourn June 10. There are currently 60 session days scheduled. As in 2020, the session will be primarily virtual. This year, the Legislature changed its rules to allow for virtual/remote voting and meetings, and a similar model will likely be used in 2021. As of now, it appears that the State Capitol will remain closed to lobbyists and the general public.
Washington Update

  • Paycheck Protection Program (PPP) lending reopened Monday for certain community financial institutions. The SBA said the program will open to additional lenders in “a few days,” with more information coming this week. The SBA has released forms and guidance for the next round of PPP lending, including instructions for accessing the updated lender portal, forms for first- and second-draw loans, and procedural notices on approved lender status and reimbursing lenders for EIDL advances deducted from forgiveness amounts. These and other resources are available on the SBA and Treasury PPP pages, ICBA's webpage on PPP and EIDL news, the Independent Bankers Association of Texas’s matrix of PPP updates in the stimulus law, and ICBA's summary of the stimulus package's community banking provisions.

  • ICBA has updated its webpage on the Paycheck Protection Program and Economic Impact Payments.  The PPP and EIP News page provides news and information about the latest round of PPP and EIPs, answers to frequently asked EIP questions, ICBA Community Bank Briefing recordings, and more. Additional resources are available on the SBA and Treasury PPP pages, the Independent Bankers Association of Texas's matrix of PPP updates in the stimulus law, and ICBA's summary of the stimulus package's community banking provisions.

  • President-elect Biden is expected to name Gary Gensler as chair the Securities and Exchange Commission (SEC), likely signaling tighter oversight of Wall Street in the new administration. Gensler previously served as chair of the Commodity Futures Trading Commission during the Obama administration, where he imposed new swaps trading rules mandated by Congress in the aftermath of the 2008 financial crisis . 

  • Acting Comptroller of the Currency Brian Brooks is reportedly expected to step down this week from his post at OCC, which would leave the agency's chief operating officer, Blake Paulson, in charge for the remainder of the Trump administration. 

  • The SBA said it has forgiven more than 1.1 million Paycheck Protection Program loans worth $100 billion out of more than 1.3 million forgiveness applications totaling $170.5 billion. The agency said it has approved forgiveness applications for 88 percent of the smallest borrowers with loans up to $50,000.

  • Senator Sherrod Brown (D-Ohio), the next Chairman of the Senate Banking, Housing and Urban Affairs Committee, said the Committee will spend the first months of 2021 focused on the economic fallout of the coronavirus pandemic before tackling broader changes to the financial sector. Brown has previously indicated he plans to address corporate influence and financial sector power, but that his first priority is extending the Centers for Disease Control and Prevention (CDC)’s eviction moratorium and approving more money for rental assistance programs. Brown is also making housing affordability and access to housing a long-term priority of the committee.

  • President-Elect Biden is expected to unveil a proposal tomorrow on further coronavirus economic relief, including $2,000 stimulus payments, an extension of enhanced unemployment insurance and funds for vaccine distribution, among other measures. Biden aides have been briefing congressional staffers and want bipartisan support for the measure instead of using a budgetary tool that would allow him to push through the legislation using only Democratic votes, according to several people with knowledge of the discussions.