Richard's Rapid Fire - May 4, 2018

D.C. MEMORIAL DAY SHOT CLOCK

What’s on the D.C. Docket ahead of Memorial Day? – Here is your cheat sheet to guide you through the month:
 
  • Monday RFI Deadline –The BCFP RFI process continues with comments on administrative adjudications (May 7), enforcement processes (May 14), supervision processes (May 21) and external engagements (May 28) due this month. CBA will be submitting comment on these RFIs.
  • Next Week: House Set to Repeal BCFP’s 2013 Auto Guidance – The House is set to pass a resolution repealing the BCFP’s 2013 auto guidance. House passage would send the resolution to President Trump’s desk, as the Senate has already passed it. CBA has supported this effort.
  • This Month: Modernizing CRA – An Advanced Notice of Proposed Rulemaking on the Community Reinvestment Act issued jointly between the FDIC, Fed and OCC is expected this month. Per reports, the draft is expected to include the idea of eliminating assessment areas in favor of a broader definition of banks’ customer base.
  • This Month: McWilliams to be Confirmed at FDIC Head – President Trump’s nominee to head the FDIC Jelena McWilliams is expected to receive a confirmation vote in the Senate (FDIC Vice Chair Thomas Hoenig recently stepped down as well). 
  • This Month: House Vote Expected on Senate Banking Bill – The Senate’s regulatory relief bill, which CBA supports, is expected to receive a vote in the House.
  • New BCFP Director Coming Soon –The clock is ticking for President Trump to nominate a permanent BCFP Director as Mulvaney’s tenure as Acting Director comes to a close at the end of June. However, if the President nominates a permanent director before June 22, Mulvaney can serve until the nominee is confirmed. Mulvaney has previously stated he expects to serve until the end of the year.
 
 

THE BUREAU FORMERLY KNOWN AS THE CFPB

Dear BCFP – Get ready to readdress your correspondence with the agency formerly known as the CFPB. Acting Director Mick Mulvaney has changed the name of the agency to the Bureau of Consumer Financial Protection (BCFP). According to Mulvaney, the BCFP is the proper language used in the Dodd-Frank Act. Former CFPB Directors Richard Cordray, Raj Date and Elizabeth Warren wanted to call the agency the CFPB and we complied. Going forward, we will comply with the current Acting Director and refer to the Bureau as the BCFP. Under the next director, be prepared for the possibility of another name change. But I digress – I am more concerned about what the agency does rather than what it is called.
 
 
 
ELECTION 2020 CHATTER
 
Elizabeth Warren Leads Democratic Presidential Primary in New Hampshire – A poll released by the Suffolk University Political Research Center shows Senator Elizabeth Warren (D-Mass.) leading the pack among potential suitors for the 2020 Democratic Presidential nomination in New Hampshire. While we still are 21 months out from the state’s Democratic Primary, this is an important state to carry during primary season and it could make or break Warren’s candidacy, should she decide to run for President.
 
 
 
TRENDING IN RETAIL BANKING
 
4 Months Later: CBA’s Internal Audit Committee – Since becoming a Committee just four months ago, our Internal Audit Committee has made great strides under Committee Chair Dan VanSciver of Sallie Mae and Vice Chair Mark Weintraub of Wells Fargo.I have to say the discussion at their in-person meeting this week was full of great content. Below are my top takeaways:
 
  • The group is looking forward to more engagement with federal regulators and is particularly interested in having more regulators on the ground at their bank from the OCC;
  • Regulators are increasingly bringing in risk and compliance employees into the exam process; and
  • The group wishes to collaborate more with our Risk and Talent Management Committees, in particular.
 
 
CBA's Internal Audit Committee met in Washington, D.C. this week to discuss a variety of issues including engagement with federal regulators, customer impact, talent management, credit reporting and third-party relationships.
 
 
Thank You Protiviti – The Committee greatly appreciated insights from Protiviti’s Monica DeBellis, Dave Lehmann and Andrew Struthers-Kennedy.
 
 
Interest Rates Hold Steady… For Now – The Federal Reserve will keep interest rates between 1.5% -1.75% in the short-term, saying that inflation is likely to remain near the central bank’s 2% target. But, rate hikes are on the horizon in the coming months.
 
 
Fifth Third Welcomes Babies Born on Its Namesake – For the second year in a row, Fifth Third gifted $1,053 to babies born in Chicago-area hospitals on May 3 (5/3). The funds must be used for a 529 college-savings plan for the child.
 
 
Happy Small-Business Week – CBA’s membership has provided consumers with more than $270 billion in small business loans, according to loans remaining on their balance sheets. Once again, your work is financing the American Dream.
 
 
 

CBA LEADERSHIP

CBA Community Reinvestment Committee Chair Sue Whitson – For nearly two decades, Sue Whitson has served as a member of the BMO Harris team and we are thankful to have her as our Community Reinvestment Committee Chair. Sue has been heavily involved with CBA’s Joe Belew Award and she helps score banks’ applications each year. More so, she has been a member of the CBA family for quite some time and even attended our CRA conference way back in 2008.
 
 

LAGNIAPPE

Keycorp's Bruce Murphy Set to Retire – Keycorp’s Head of Corporate Responsibility Bruce Murphy, who served on CBA’s Community Reinvestment Committee for years, is set to retire this summer. We wish Bruce well. 
 
 
Glad FICO and EverFi Could Stop by CBA HQ – Good to see Nikhil Behl and Daniel Nestel of FICO, and Lauren Bernstein, Mike Lovell and Evan Willingham of EverFi this week.
 
 
15 Years of Service: ICBA’s Cam Fine – After 15 years, today is Cam Fine’s last day as President and CEO of ICBA. Thanks to our conversations about the banking industry, politics and our mutual love of baseball, I have developed a deep respect for Cam on both a professional and personal level. Before he departed, I had the chance to sit down with him for an episode of Suite 550 – CBA’s podcast series – which you may listen to here. I wish Cam and his family the best. 
 
 
Happy 84th Birthday to My Momma – This weekend, I will be spending time with my family in Jennings to celebrate my Momma’s 84th birthday. Family always comes first and I am excited to be spending the weekend celebrating a woman who is one of my three heroes in life. To those back home, I will also be stopping by Sonic, my favorite restaurant Boudin King, and the hub of local activity in rural Louisiana – Walmart. As I noted at CBA LIVE 2016, there are dozens of payday lenders in my small hometown and I will also be visiting them to hear their view of the economy.