October 5, 2021
IBANYS Weekly E-Newsletter
  • Visit our website at www.ibanys.net to review our daily updates on COVID-19.
The President's Message
By John Witkowski, President & CEO

 A reminder: Our new address is: 
Independent Bankers Association of New York State
194 Washington Ave, Suite 420
Albany, NY 12210

  • Senator Gillibrand praised the announcement that the U.S. Postal Service has launched pilot programs in several locations, including the Bronx, to offer some financial services to unbanked and underbanked Americans. https://dingo.telicon.com/NY/library/2021/2021100471.PDF.) Gillibrand has long pushed her legislation, the Postal Banking Act, to create a postal bank which she claims would provide low-cost basic financial services to those “who simply do not have access, or have limited access, to America’s banking system.” ICBA and IBANYS strongly oppose postal banking, and have offered alternatives for reaching the unbanked. See full details in today's newsletter under the Washington section.

  • We also have the latest information from Albany and Washington on programs, policies and issues ranging from proposed regulations to taxes to the budget to new leadership in the federal and state financial regulatory bodies.

  • EMPIRE STATE DEVELOPMENT has partnered with IBANYS to announce the COVID -19 Small Business Recovery Grant Program. Please distribute the information (Link below) to your small business clients so they can take advantage of the $800MM in grants from NYS. www.nysmallbusinessrecovery.com  

2021 Directors College -
October 14, 2021 - Virtual Meeting
Once again, IBANYS, NJ BANKERS and the FDIC have teamed up to offer the FDIC Directors College for your bank Board of Directors. 
The FDIC Directors College will be held on Thursday, October 14th from 9 a.m. to 1 p.m. as a virtual meeting.
The detailed agenda and registration information is in the attached brochure. 
Any questions, please contact John Witkowski or Linda Gregware via email. 

Mark your Calendars and Save the Dates - IBANYS 2022 Meeting Schedule

  • January 11 - Human Resources - ZOOM
  • March 1 - Compliance - ZOOM
  • April 4-5 - Mid-Year Conf. - ZOOM
  • April 11 - Directors - ZOOM
  • May 3 - Lending - ZOOM
  • June 13-15 - Annual Convention - Turning Stone Resort & Casino - in-person
  • July 12 - Human Resources Update - ZOOM
  • September 12-13 (tentative) - West Point - in person
Bank Investment Strategies for
4th Quarter 2021 Webinar
Friday, October 15, 2021
10:30 a.m. CDT
  • General topics will include:
  • Economic Update and Fed Policy Outlook
  • Industry Trends and Regulatory Hot Button Issues
  • Current Investment Strategy Recommendations
  • Interest Rate Risk and Liquidity Management Guidance

2021 Financial Institutions Seminar: Vital not Virtual
Join us for our annual Financial Institutions Seminar, along with our co-hosts from Luse Gorman and Piper Sandler for an in-person* and complimentary event as we deliver informative presentations and industry updates on topics ranging from strategy, cybersecurity, mergers and acquisitions, & more. Including breakout sessions specific to banks or credit unions.

Event Details:
Wed, October 27, 2021
9:30 AM – 3:00 PM EDT
Attendees will receive 4 CPE Credits
del Lago Resort & Casino
1133 New York 414
Waterloo, NY 13165
Registration, session, & CPE information:
Wolf & Company's 2021 Financial Services Leadership Annual Summit
Join Wolf & Company every Friday in November from 1 - 3 p.m. for a panel discussion and educational session!
The financial services industry is evolving, and in order to excel, institutions must analyze their operations, anticipate the changing needs of their customers, and embrace the advancements emerging in their sector.
Wolf’s Annual Leadership Summit will offer a series of sessions and panels harnessing advanced expertise from both fintechs and financial institutions. From efficient IT system management and cybersecurity enhancements, to workplace culture evolution and fintech integration initiatives, we’ll offer inventive ways to promote growth and new techniques to adapt in this ever-changing environment.
During our 3 – part series experts and executives involved in the financial services, technology, and fintech industries will gather to discuss:
  •  The latest trends affecting financial institutions today
  • Creative techniques employed by executives to foster innovation
  • Ways to improve and empower your strategic vision 
Part I
Friday, November 5, 2021
1:00 p.m. - 3:00 p.m. EST
Platform: Zoom
Initiating Efficient IT: A CIO’s Perspective
Preparing to Mitigate and Respond to Ransomware
Part II
Friday, November 12, 2021
1:00 p.m. - 3:00 p.m. EST
Platform: Zoom
Fostering Foundation Fintech
Improving Legacy Core Processing Deals in the Age of Fintech
Part III
Friday, November 19, 2021
1:00 p.m. - 3:00 p.m. EST
Platform: Zoom
Engaging Employees & Evolving Your Workplace Culture
Cryptocurrency Session
Register Now - use discount code: IBANYS and save 10%
View this week's Balance Sheet Insights report here.
Save the date
It's time for our 2021 Balance Sheet Strategy Seminar! Join us in person for an update on the challenges and opportunities in today's depository landscape. Scott Hildenbrand and the Piper Sandler financial strategies group will discuss weaponizing the ALCO process, liquidity, strategies vs tactics, policy management, relative value in the investment portfolio, funding and hedging opportunities, balance sheet advisory services, and the broader economy.
Additional highlights will include guest speakers and panelists, as well as updates on M&A and capital markets.

Date and location
Monday, December 6, 2021
111 East 48th Street | New York, NY 10017

Registration information coming soon.
ICBA Information

ICBA shared with IBANYS the following:

ICBA launches multi-state credit union ad push
I wanted to draw your attention to the lead article in this morning’s NewsWatch Today that reports upon IBCA’s launch of a print and digital advertising campaign calling on Congress to investigate the credit union tax exemption. The attached ad is going to run in USA Today in the following regions (Atlanta, Carolinas, Chicago, Cincinnati, Detroit, and Florida) today and Thursday and then again a couple of times next week. The article also directs readers to several pages on the ICBA Website dedicated to our credit union advocacy efforts, including a recent letter to the committee (also attached) from ICBA Chairman, Bob Fisher, a separate LinkedIn article, and the Wake Up Campaign. 

WSJ editorial targets IRS reporting plan

ICBA’s campaign against the reconciliation package’s IRS reporting proposal picked up additional steam with a Wall Street Journal editorial opposing the measure.

Details: The editorial reiterates concerns ICBA has repeatedly raised over the proposal’s impact on privacy and data security while raising questions over the estimated size of the “tax gap.”
More Press: ICBA’s campaign against the IRS plan has generated a growing number of headlines, including recent coverage by The Glenn Beck ProgramBloombergNewsweek, the Daily Mail, and more.

Campaign: ICBA continues calling on community bankers to use its customizable email and social media content to urge consumers to contact Congress in opposition to the plan, which an ICBA poll found 67% of voters oppose.

Call Alert: In addition to the consumer campaign, community bankers can call their lawmakers using an ICBA call alert and customizable script.
Learn Portfolio and Balance Sheet Management with your Peers
The Balance Sheet Academy advanced seminar is designed to expose seasoned community bank portfolio and balance sheet managers to advanced products and concepts. The objective of this seminar is to enable the attendees to consistently outperform their peers.

The dynamics of a community bank balance sheet require an investment professional to be versed in a widening range of topics.  Balance Sheet Academy provides discussion and practical strategies to equip the attendees for these demands. Examples of these topics include advanced interest rate risk management strategies, low cost funding strategies and strategies for serving bank customers while managing interest rate risk.

This year due to the concern for the safety of our customers and employees the event will be held virtually. Balance Sheet Academy's eight sessions will take place Monday through Thursday, October 18-21. The seminar will have two 1-hour sessions per day, and up to 8 CPE credit hours are available. 

Who should attend?
Balance Sheet Academy is structured for anyone involved in balance sheet management decision making, including CEOs, CFOs and Treasurers, particularly those who have attended Bond Academy.  It incorporates balance sheet strategies into the day-to-day management of an institution’s investment portfolio, wholesale funding and interest rate risk management. Bank personnel with an intermediate level of understanding of investments who are integral to the investment and balance sheet management process will benefit the most from this advanced course. New directors serving on the investment or asset-liability committee will also find this course beneficial.
Date and Time 
October 18-21, 2021 at 10:00 AM CDT and 2:00 PM CDT daily

There is no cost for Vining Sparks' customers and prospects.
Those working as CEOs, CFOs, investment managers, directors, and anyone responsible for balance sheet or investment portfolio management who possess the working knowledge necessary to benefit from the content of this webinar.
Instructions for Audio/Video
You will receive instructions to access the webinar after your registration is confirmed. If you do not receive a registration confirmation email, please contact your account representative.
Additional Information
Fields of Study: Specialized Knowledge & Economics
Advance Preparation: None
Program Level: Intermediate
Delivery Method: Group Internet-Based
Conference participants can earn up to 1 hour of CPE credit based on a 50-minute hour.
For additional questions regarding this webinar, concerns and/or cancellation policies, please contact Jim Reber (info@viningsparks.com) at 800-829-0321.
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. 
Subscription Tokens
The More You Buy, The More You Save
How does it work:
Tokens can be used to purchase live or recorded webinars anytime, with no expiration! Tokens for both live and recorded webinars are available for an additional fee. (What’s the difference? Click here for the full description.)
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

  • The State Office of Cannabis Management sought to make up for delays in the drug’s rollout by approving a chief equity officer and making immediate changes to the medical cannabis program during its inaugural meeting, Gannett Albany reports.  The state's new Cannabis Control Board appointed its top agency staffers.

  • Under the New York State Minimum Wage Act, minimum wage rates in New York increase each year on December 31 until reaching $15.00 per hour. In New York City and for large fast-food companies throughout the state, the minimum wage has already reached its $15.00 maximum. On Sept. 22, 2021, the New York State Division of the Budget issued its report on the minimum wage rates scheduled to take effect on Dec. 31, 2021. Nassau, Suffolk and Westchester counties will now join New York City and large fast-food companies with a minimum wage of $15.00 per hour, which is an increase from the current rate of $14.00 per hour. For companies upstate (outside of fast food), the minimum wage will increase to $13.20, which is an increase from $12.50 per hour. The Division of Budget’s report also examined the labor market recovery in the wake of the COVID-19 pandemic. View source.

  • Governor Hochul has witnessed a bright spot on the state budget, as  officials recently reported that general fund overall receipts, driven by personal income tax revenues, have come in $2.1 billion higher than projected when the 2021 state budget was enacted April. Projected budget gaps two and three years down the road have been shaved dramatically and revenues are now expected to be more than $8 billion higher over the coming four years. However, State Comptroller DiNapoli has urged caution and urged Hochul to increase reserve funds and be more prudent about borrowing. https://buffalonews.com/news/state-and-regional/new-yorks-fiscal-picture-improving-but-with-much-still-to-worry-about/article_2f3f45e6-17ec-11ec-b0d1-476296698f52.html

  • From the Tax Foundation, here's a look at how New York State ranks nationally in terms of its top individual income tax rate (8.82%), state and local individual income tax collections per capita ($2877) and state and local tax burden (12.7%). https://taxfoundation.org/state/new-york.

  • Time Magazine profiles looks at Governor Hochul's first month in office and her focus on three major priorities: curbing COVID-19, delivering relief money to New Yorkers and investing in infrastructure.  https://time.com/6102203/kathy-hochul/

On Behalf of SBA's Office of Financial Assistance for 7a Fee Relief and Waiver ( 90% guaranty and 0% upfront and Annual Fee)
As of late September 29, 2021 , appropriations for 7a fee relief and fee waivers (90% guaranty , upfront and annual fee waivers) were expended.
Loans approved between the time stimulus funding expired and have “ an approved pending funding” status will be reviewed by SBA and the lender will be contacted directly for those applicants impacted.
Loans approved after funds were expended are subject to SBA’s regular FY21 fees through midnight September 30, 2021. (See  Information Notice 5000-20048).
Beginning October 1, 2021 through September 30, 2022, loans approved on or after October 1st and are subject to the FY22 fees.(See Information notice 5000-818641)
Keep in mind, all 7a loans $350,000 and less approved on or after October 1, 2021 through September 30, 2022 (subject to funding) will receive fee relief of zero percentage (0%) Upfront guaranty and Annual fee.
For all SBA Express loans made to veteran-owned small businesses, the upfront guaranty fee will be zero in accordance with section 7(a)(31)(G) of the Small Business Act (15 U.S.C. § 636(a)(31)(G)).
Valerie Shoudy, Lender Relations Specialist       Grace Conners, Lender Relations Specialist
Valerie.Shoudy@sba.gov                                       Grace.Conners@sba.gov
U.S. Small Business Administration
224 Harrison St., Suite 506 | Syracuse, NY 13202

Washington Update

  • The U.S. Postal Service has launched a pilot program in several locations, including the Bronx, to test ICBA-and IBANYS-opposed postal banking. According to NBC News and The American Prospect, the pilot offers check cashing, bill paying, ATM access, and expanded money orders and wire transfers. Customers may reportedly cash payroll or business checks to buy single-use gift cards worth up to $500 for a flat fee of $5.95. IBANYS joins with ICBA in strongly opposing postal banking and supports alternatives for reaching the unbanked. (See ICBA's congressional testimony earlier this year in a hearing statement, a three-part series of issue briefs, and a letter opposing a postal banking pilot project under fiscal 2022 spending legislation.) The pilot program is being promoted as a way to offer some financial services to unbanked and underbanked Americans.  https://dingo.telicon.com/NY/library/2021/2021100471.PDF.) Senator Gillibrand has praised the programs, and has long pushed her legislation, the Postal Banking Act, to create a postal bank. ICBA continued its pushback. On NBC News and in The Washington Post, ICBA’s Paul Merski said the postal service isn’t equipped to provide complex financial services. ICBA’s Aaron Stetter told the Washington Examiner that community banks can more effectively reach the unbanked population. ICBA and IBANYS strongly oppose postal banking and have offered alternatives for reaching the unbanked. ICBA so informed Congress in a hearing statement, a three-part series of issue briefs, and a letter opposing a postal banking pilot project under fiscal 2022 spending legislation. 

  • ICBA congratulates Chopra on CFPB confirmation ICBA congratulated Rohit Chopra on his confirmation as the next Consumer Financial Protection Bureau director. In a statement, ICBA said community banks are committed to the highest standards of consumer protection and that it will continue advocating tiered and proportionate regulations for community banks. The Senate voted 50-48 to confirm Chopra, with no Republican support. Chopra is expected to take a more aggressive stance toward the finance industry compared to the agency's approach during the Trump administration. He served at the Federal Trade Commission for the past three years, and helped Senator Warren (D-MA) set up the CFPB after the 2010 Dodd-Frank law was enacted. Politico 

  • ICBA's Credit union push continued with a print and digital advertising campaign on the credit union tax exemption. continues this week as lawmakers meet today on consolidation and the future of banking. Ads :In print ads, ICBA notes the tax exemption subsidizes credit union acquisitions of local community banks.  The campaign—which also features online digital ads in the coming weeks—directs readers to icba.org/cuhearings for more information on the acquisition trend.Grassroots: Community bankers can continue urging Congress to hold hearings on credit union acquisitions via a customizable message to lawmakers on ICBA’s Wake Up page and its Wake Up Messaging Playbook.

  • IRS campaign continues making news. ICBA’s campaign against the reconciliation package’s IRS reporting proposal continued generating headlines in recent days. Press Hits: Following last week’s appearance by ICBA’s Paul Merski on The Glenn Beck Program, the campaign has also been covered by Bloomberg, Newsweek, and the Daily Mail. Meanwhile, Citizens Bank President and CEO Jeffrey Standafer continued the campaign with a Milwaukee Biz Times op-ed. Campaign: ICBA continues calling on community bankers to use its customizable email and social media content to urge consumers to contact Congress in opposition to the plan. Call Alert: In addition to the consumer campaign, community bankers can call their lawmakers using an ICBA call alert and customizable script.

  • Crapo op-ed targets ICBA-opposed tax hikes. Senate Finance Committee Ranking Member Mike Crapo (R-Idaho) spoke out against efforts to eliminate the “stepped-up basis” tax policy, whereby capital appreciation during a decedent’s lifetime is not subject to tax. Op-ed:In an Idaho Falls Post Register op-ed, Crapo said ICBA-opposed proposals to do away with the policy while raising capital gains taxes and broadening the estate tax would harm small businesses and job creation. Grassroots:ICBA’s Be Heard grassroots action center allows community banks to send customizable messages to their lawmakers opposing these proposed tax hikes.

  • Call reports due Oct. 30. The FDIC said call reports for the Sept. 30 report date are due Saturday, Oct. 30. The agency noted new call report data items related to brokered deposits and interest rate restrictions are effective as of the Sept. 30 report date for FFIEC 031 and FFIEC 041 filers and with the Dec. 31 report date for FFIEC 051 filers.

  • USDA planning loan guarantee initiative for food supply chain. The USDA announced plans to use $100 million from the American Rescue Plan Act to support lending that will address meat processing and food supply chain infrastructure issues. Notice: The department said it will issue a notice announcing eligibility requirements and the application window for the lending initiative to expand meat and poultry processing capacity. More: USDA said it will host a lender training webinar Oct. 14 and encouraged lenders and other interested stakeholders to sign up for email updates to receive updates on the program.

  • IRS reporting plan spotlighted at a recent Senate hearing Senate Banking Committee members pressed Biden administration officials on an ICBA-opposed  IRS reporting proposal during a committee hearing. Sen. Lummis (R-WY) cited  the proposal’s privacy concerns for taxpayers and regulatory burdens on community banks. Sen. Hagerty (R-TN) questioned the IRS’s ability to keep the information it collects confidential. ICBA continues calling on community bankers to use its customizable  email and social media content  to urge consumers to  contact Congress in opposition  to the plan, which an ICBA poll found 67% of voters oppose. Call Alert: In addition to the consumer campaign—which has resulted in more than 400,000 consumer messages to lawmakers—community bankers can call their lawmakers using an ICBA call alert and customizable script.