Pub. 9 2019 Issue 2

9 ISSUE 2. 2019 C OMMUNITY BANKS ARE THE LIFEBLOOD OF ARIZONA’S SMALL BUSINESSES. FROM THE CREDIT THEY EXTEND SO BUSINESSES CAN MAKE PAYROLL, TO BUY THE SUPPLIES THEY NEED TO OPERATE, OR TO THE SMALL BUSINESS LOAN THAT ALLOWS AN ENTREPRENEUR TO BUILD OUT HER FIRST LOCATION, COMMUNITY BANKS MAKE IT POSSIBLE FOR SMALL BUSINESSES TO OPEN, GROW, AND THRIVE. This week during a U.S. Senate Committee on Banking, Housing and Urban Affairs hearing I spoke with Michelle Bowman, who was nominat- ed by President Trump for an addition - al 14-year term to the Federal Reserve Board. I pressed her on how the Board is working to ensure that any reforms that are taken are properly tailored to help these community banks do what they do best – provide the credit need- ed for their communities to grow. More specifically, community banks reach Arizona’s rural and underserved populations that larger banks typical- ly have a harder time serving. They are critical to the economy of these communities and their presence is truly felt there. During the hearing I asked Bowman to walk me through some of the problems she believes community banks are currently facing and what the Board is doing to address them. Bowman responded by saying that “Community banks are clearly important to our community, to our businesses, our families, and our communities. Let me first say that one of the first priorities for the Fed - eral Reserve Board is to implement the provisions of S. 2155, so through my chairmanship of the Smaller Regional and Community Bank subcommittee at the Federal Reserve we’re working very diligently to finalize the CBLR, the Community Banking Leverage Ratio proposal, which simplifies capital require - ments for community banks.” I am glad that Bowman and the Feder- al Reserve Board recognize the impor - tance of community banks. I believe that she, like me, understands that they provide the lifeblood for local economies throughout Arizona and that they provide the credit to allow our communities to grow. I will con- tinue fighting in the Senate to make it easier for them to extend credit in our rural and underserved communities. w To watch my entire line of questioning at the hearing, go to: https://www.drop - box.com/s/17kykerz8fsp0d6/6.5.19%20 Banking%20Hearing.mp4?dl=0 U.S. Senator Martha McSally’s Update from Capitol Hill