Chris Pinkham from the Maine Bankers Association

Posted by Naomme Paris on Nov 30, 2016
 
 
           
 
 
Maine Bankers Association:
  • 1893/31 member banks/ voluntary membership
  • Industry is larger than $27 billion dollars (Maine’s budget is $6.7 billion)
  • Just over 9200 employees working at 485 branches
    • 26 Maine-based banks, 5 out-of-state
    • 19 state-chartered, 11 OCC charters & 1 FRB
    • 19 mutuals HQ’d (KSB Savings #8 of 19), 12 stock banks
Office
  • Team of 12 providing group services:  provide health insurance, educational opportunities, and peer groups from security officers to CFOs to HR professionals to Directors to trust & wealth management teams. 
  • Advocacy is job ONE both in Augusta and Washington – defining advocacy
  • What we do best
    • Nearly $10.3 million in 2015 charitable donations
    • $717,800 --Dollars raised for community causes by bank employees
    • 170,000 -- Hours volunteered by bank employees to their communities
    • $1.96 Billion in Residential real estate loans
    • $3.0 Billion in Commercial loans to business
  • Banks make a difference – they deliver on dreams
  • CREDIT UNIONS
    • Chronic CEOs concerns about CU image campaign:  Credit Unions – the myth and the reality
    • No state or federal income taxes
    • No sales tax (ATMs), no CRA requirements, no 990s and no meals & lodging tax in DC when on membership business.
ADVOCACY - Some Statistics from the Maine Legislature (last session)
  • 1703 bills introduced in the 2-year session
  • 428 became Public Laws (18 P&SL + 78 Resolves)
  • Governor has vetoed 182 bills (previous record with Governor Longley @ 118)
 
The Association‘s role at the Legislature in a 2-year cycle
  • Track over 200 bills – 25% we testify at hearings or have reportable lobbying time
  • More defense than offense
Expanded Political Advocacy for MBA
  • Financial literacy for High School students
    • Partnership with Junior Achievement & Jobs for Maine Graduates
  • Senior$afe – elder financial fraud – front line staff
    • Partnership with State, local Agency on Aging, Legal Services for the Elderly & FIs
State UPDATE – this session
Legislature – One message – We need to grow the economy & the train the workforce
BALANCING the STATE BUDGET
TAXES - Estate Tax, personal income tax, non-profits, broaden the sales tax
FORECLOSURES – nothing on the agenda.
Maine House - Speaker Mark Eves was termed out and Sara Giddeon was nominated
            Was 78-69 and 4Is   Now: 77 Ds 72 Rs 2 Independents
Maine Senate - Senate President Mike Thibodeau – Waldo - wants to stay
            Was 20Rs and 15Ds now, 18 Rs and 17 Ds
Referendum questions
  1. Legalization of recreational marijuana – 2,620 vote difference RECOUNT
  2. Minimum wage question 55% - 45%
    1. $12 Maine’s minimum wage of $7.50 per hour to $9 in 2017, then by an additional $1 each year until it reaches $12 in 2020, after which it’ll be indexed to inflation. It also would raise Maine’s tipped minimum wage from $3.75 per hour to $5 in 2017, after which it will rise each year until it reaches the non-tipped minimum wage.
  3. Do you support K-12 education at 55% 3% tax over the 7.15%   9,580 LOSS – NO RECOUNT
FEDERAL UPDATE – before I mention specific Legislation, we do have Election 2016 
 
  • CD 2    Bruce Poliquin vs. Emily Cain  55% to 45%
  • CD 1    Chellie Pingree vs Mark Holbrook (Brunswick, Clinical psychologist & PhD – social services, corrections and police) 58% to 42%
    • No Senate Race (King in ’18, Collins in  ’20)
 
 
federal REFORMS – Implementation
All new regulatory world
 
Open season on administrative rules
 
Next phase of federal reform (specifically what this means for your bank)
  • Housing Reforms continue
    • Consolidation of Fannie and Freddie & FHA finally recognizing losses - a $16.3b shortfall
    • Housing Reform agenda continues with HMDA revisions this fall
    • Role of CFPB to regulate and control non-bank lenders?
      • Next target for CFPB – overdraft checking fees Q4
  • Plans to study marketplace lenders – On Deck, Kabbage, Lending Club, etc.
 
 
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