Independent Banker - May 2020 - 37

and consumer clients with ready access to credit. "
Since the beginning of the crisis, ICBA has had intensive
discussions with community bankers to gather their
ideas for effectively addressing the crisis. ICBA continually
communicated those recommendations to congressional
leaders in both the House and Senate as well as the leaders
of the relevant congressional committees of jurisdiction
that were charged with crafting the bill.
And lawmakers on Capitol Hill heard your voices. The
Coronavirus Aid, Relief, and Economic Security (CARES)
Act, passed at the end of March, included many ICBA-advocated
stimulus measures. The legislation will:
Q enhance the Small Business Administration's 7(a) loan
program by providing $350 billion in small business
" paycheck protection " loans for eligible borrowers, including
businesses with fewer than 500 employees affected
by COVID-19
Q provide net-operating-loss (NOL) tax relief by creating
a five-year NOL carryback for tax years 2018, 2019 and
2020 to allow businesses with losses to recover taxes paid
in prior years
Q authorize robust FDIC deposit insurance coverage for
transaction accounts delay implementation of the current
expected credit losses (CECL) accounting standard, a provision
of the bill that expires at the earlier of year-end 2020
or at the expiration of the national emergency declaration
Q ensure coronavirus-related loan modifications are not
classified by regulators as troubled debt restructurings
(TDR) under U.S. Generally Accepted Accounting Principles
(GAAP)
Q reduce the community bank leverage ratio from 9% to 8%
during the COVID-19 national emergency, which provides
relief from complex capital calculations for qualifying community
banks
Q fund USDA Commodity Credit Corporation (CCC) support
for livestock and specialty crop producers, by providing
$14 billion to replenish the USDA's CCC and a separate
$9.5 billion to support livestock, dairy and specialty crop
producers through the CCC
ICBA is also working to help America's farmers by ensuring
community banks can continue to provide credit during
this time of financial distress. While much of this was
addressed in the CARES Act, suggestions have included:
Q enacting the Enhancing Credit Opportunities in Rural
America (ECORA) Act (H.R. 1872 and S. 1641.) to exempt
from taxation interest on loans secured by farm real estate
or primary residences in rural communities with fewer than
2,500 residents
Q expanding the USDA Guaranteed Lending Program
ICBA is leading the fight
to ensure community
banks have access to
every available tool to
help consumers and
small businesses.
by increasing loan limits, reducing fees, funding USDA's
interest-rate buy-down program, and giving banks and
borrowers the ability to choose which USDA office they
borrow from
Q excluding the amount of a loan insured by crop insurance
from a bank's lending limits
Q enacting regulatory forbearance allowing banks to work
with troubled ag borrowers instead of foreclosing
Q exempting USDA- and SBA-guaranteed loans and refinancings
from environmental impact statements under the
National Environmental Procedures Act (NEPA), which was
covered in the CARES Act
Q maintaining crop insurance funding
As community banks continue to support their customers
and communities, make time to reach out to your members
of Congress and encourage them to introduce and pass
legislation that will make it easier for community banks to
fulfill their important role in our country's economy.
COVID-19 response resources
ICBA has amassed resources and guidance
from government, regulatory and global health
agencies in one place: the Crisis Response
and Preparedness Center. ICBA will continue
to update the resources listed as the situation
develops. Visit icba.org/crisis-preparedness
to access the page.
If you have any questions or require
assistance in planning for potential disruptions
due to the coronavirus pandemic, send an
email to crisisresponse@icba.org to reach
ICBA's crisis response experts.
independentbanker.org Q 37
http://www.icba.org/crisis-preparedness http://www.independentbanker.org
Independent Banker - May 2020

Table of Contents for the Digital Edition of Independent Banker - May 2020
