Archive for category: Advocacy

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Community Advocate Spotlight: Emily Dahl, Bank of Ontario, Westby

The following is a brief interview between WBA President and CEO Rose Oswald Poels and Bank of Ontario, Westby Executive Vice President and Chief Financial Officer Emily Dahl.

Rose: How did you first get into the banking industry?

Emily: After graduation from the University of Wisconsin – La Crosse with a degree in political science and history, I was looking for a temporary job. I was hired at Bank of Ontario as part of the internal auditing department.

It was important to our president that I also learned how to teller. I’m so thankful for the roles I started in; these duties gave me an understanding of operations, the front line, and loan files. It was the ideal foundation for a career in banking. What I thought was a temporary job started to become more of a career as I took on additional duties and responsibilities as the bank secrecy act (BSA) officer and regulatory compliance officer. As the bank evolved, I became responsible for the call report, ALM, information technology and security, and leading the safety and soundness exam preparation and was promoted to senior vice president. 2023 marks 12 years at Bank of Ontario, where I now serve as the chief financial officer (CFO) and executive vice president (EVP).

What is your favorite aspect of your role at your bank?

Like all community bankers, I wear many hats. I love that I am involved in so many different aspects of the bank. My passion though is asset liability management and liquidity. Many of my duties at the bank are in the background, but I love my role and being a resource for our employees. Whether it’s a regulation, accounting question, or helping them troubleshoot an issue with their email, I enjoy being the go-to person that keeps our bank thriving.

What do you wish the general public understood about the banking industry?

Community banks — like Bank of Ontario — want our customers to prosper. We want the members of our community and the businesses in our community to be successful. Community banks want to create a place where people choose to live, work, and raise their families. Every day, we strive to contribute to an environment that makes this possible. Daily, we invest in individuals, local businesses, and farmers to make our communities strong. We want people to know our banks are a place they can trust and count on, always.

Where do you believe the industry’s greatest challenges are in the next three to five years?

First, we need to continually remain competitive with the products and services we offer. We need to be open and ready for change, specifically when it comes to how people want to bank and access their money. Banks must be able to move forward with the technology that our customers want. From an organizational standpoint, banks, like many other companies, need to be open to new ideas to not only attract new talent, but also retain the talent we have. A community bank is nothing without dedicated employees. The market and regulatory environment will always present challenges and we need to have the right people to navigate those challenges at our banks.

Please describe your current role at your bank and share with us one of your more rewarding experiences.

I serve the bank in many different capacities as CFO, EVP. In addition to that role, I also serve as the BSA officer, as a member of the IS/IT committee, ALCO committee, asset quality and loan committee, compliance committee, and as the Board of Director’s secretary.

While the majority of my roles at the bank do not give me much face-to-face time with our customers, and most of my duties — like the call report and exam and audit preparation — are behind the scenes, I honestly have so many amazing memories.

However, a few years ago, I was given the task of implementing the Paycheck Protection Program (PPP) at the bank. At the time, the bank  was not an SBA lender, and this required additional set-up on the bank’s part.

I worked with our lenders and customers on PPP applications, gathering documentation and tracking data, and then eventually applying for forgiveness. Acting in this role allowed me to work one-on-one with our business customers to help provide much-needed relief and payroll funds for their employees in the incredibly difficult time of COVID-19 shutdowns.

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Chair’s Column: Shaping the Association and Industry

By Daniel J. Peterson

When I first became Chair of the Wisconsin Bankers Association’s (WBA) Board of Directors in June of last year, I encouraged all members to consider deepening their engagement with the Association.

As my time as WBA Chair concludes on May 31, I look back on all the ways in which bankers across the state have found new ways to participate. Despite rising inflation, new regulatory proposals and rulings, and continued difficulties with talent recruitment, WBA members have stepped up this last year as advocates for the banking industry.

In just the last year, bankers helped raise over $270,000 to support pro-banking and pro-business candidates as well as help the team effectively lobby for key issues impacting the industry. Hundreds of bankers also joined WBA in its advocacy efforts by attending the Association’s annual Capitol Day, traveling to Washington D.C. during a summit, or casting their votes in various Wisconsin elections.

More than ever, 2022–2023 has emphasized the importance of speaking with our elected representatives and making our voices heard. These actions are critical to the continued success of our industry and help to educate the general public as well as shape their opinion.

Beyond this, partaking in activities as simple as sharing WBA’s consumer resources with your customers, calling the Legal team with questions, or volunteering for a committee, all greatly assist the WBA staff in understanding the needs of the membership and the communities we each serve. While educational opportunities and resources for bankers lie at the heart of the Association, our input and engagement keep these materials relevant and high-quality every year.

As I prepare to help usher Donna Hoppenjan in as the 2023–2024 WBA Chair, I thank you, WBA members, for your continued efforts in assisting our Association in creating an environment where bankers grow, and communities thrive. While the task of bettering our industry is daunting when faced alone, our efforts, combined with those of Rose Oswald Poels and her dedicated staff, continue to prove effective in making the change we wish to see for the banking community, and beyond.

Peterson is president and CEO of The Stephenson National Bank & Trust, Marinette, and the 2022–2023 Chair of the WBA Board of Directors.

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Executive Letter: Take Action: Advancing the Association’s Advocacy Initiatives

Rose Oswald PoelsBy Rose Oswald Poels

This April, nearly 200 bankers from throughout Wisconsin gathered in Madison to address their elected officials on topics impacting our industry and communities. As part of the Wisconsin Bankers Association’s (WBA) efforts to advocate and assist members in positively impacting their local communities, the Association annually hosts Capitol Day to provide bankers with the opportunity to establish relationships and share experiences with their legislators. This year’s record attendance not only underscores the dedication WBA-member bankers have for their industry but highlights the desire bankers have to get involved.

During this legislative session, WBA will be working to guard against harmful credit union expansion and credit card swipe fees (interchange) as well as pass legislation that will help prevent elder financial exploitation, provide greater tax fairness, and support banking modernization, among many other key issues. In addition to familiar faces, we were happy to see many first-time attendees at the 2023 Capitol Day. Now is the time to keep the momentum going; attending Capitol Day is just one of the many ways bankers in Wisconsin can get engaged to support the banking industry and the Association’s advocacy initiatives.

Lead 

First and foremost, all banks should ensure that they have named an Advocacy Officer. As an Advocacy Officer, WBA members help coordinate regulatory, legislative, and community advocacy efforts in their bank, and beyond. This volunteer position serves as the point person between the WBA Advocacy Team and your bank. The Advocacy Officer shares key updates and opportunities to ensure your bank is up to speed on issues impacting your institution and your community.

In addition, your bank’s Advocacy Officer can help coordinate, in conjunction with WBA staff, Take Your Legislator to Work Days — an outreach program that provides lawmakers with the opportunity to learn more about the state’s banking industry by visiting a community bank. In addition, your bank’s Advocacy Officer can help coordinate or participate in trips to the State Capitol, Washington, D.C., and in-district offices to meet with state and federal elected officials and regulators.

Fundraise 

As we look ahead to the 2024 Election, engagement in all areas of the Association’s advocacy infrastructure is critical. Of course, active participation in events that help connect bankers with their elected officials is important. However, in order to proactively support the pro-banking legislators and candidates who stand behind our industry, fundraising continues to be one of the most significant components in our role as advocates.

While donations of any amount to Wisbankpac, Alliance for Bankers Conduit (ABW), and the Association’s issue advocacy fund greatly impact the work we do on the industry’s behalf, I encourage bankers to consider joining WBA’s Silver Triangle Club, Gold Triangle Club, Leadership Circle, and/or the Hall of Fame.

  • Silver Triangle: Minimum personal donation of $1,000 by an individual banker.
  • Leadership Circle: Minimum personal donation of $3,000 by an individual banker.
  • Hall of Fame: Minimum aggregate lifetime personal donations of $25,000 by an individual banker.
  • Gold Triangle: Aggregate personal donation, based on bank-asset size, from officers, directors, and employees.

These efforts to unify the voices of bankers in Wisconsin and shape our industry for the betterment of our communities are impossible to do alone. Annually, WBA also recognizes the individual banks that go above and beyond in their overall advocacy efforts with the BIGG (Bankers Involved with Grassroots and Government) Award.

With such an impressive turnout at this year’s Capitol Day, I look forward to seeing the energy and enthusiasm continue to take WBA’s advocacy efforts to new levels.

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Get to Know Meredith Strieff: WBA’s 2023–2024 BOLT Section Chair

Meredith Strieff describes herself as an accidental banker. In the over 15 years Strieff has worked at Horicon Bank, beginning as a part-time teller in 2007, she has worked her way through the ranks to her current role as vice president – retail branch & sales training, where she manages several teams of retail trainers and virtual bankers. Recently, she also completed her first year at the University of Wisconsin – Madison’s Graduate School of Banking.

What started as a part-time role soon amassed into a passion for the industry and serving the community. As the incoming 2023–2024 BOLT (Building Our Leaders of Tomorrow) Chair, Strieff is excited to inspire the over 500 members of BOLT to further develop their leadership skills, connect with other emerging leaders, and expand their engagement as advocates for professional development and the industry.

What put you on the path to a career in banking?

I was first going to school at UW-Green Bay, and I had nearly completed my degree to become a nurse. But life happens. I meet my husband, and we moved to Colorado. After a year, we moved back to Wisconsin and I began working part-time as a teller at Horicon Bank. During that time, I also shifted my focus to business management with an emphasis in finance. A year later I graduated with my degree from UW-Green Bay.

What inspires the work you do each day?

Our customers. My job is not necessarily customer facing — I don’t see as many customers as I use to — but everything I do, the decisions I make, and the strategic plans I help put in place, all impact our customers.

My role is mainly behind the scenes. I make sure that our team members have the tools and resources internally that help provide a great experience and enrich the lives of our customers with each and every interaction. As a community banker, I care about the communities we serve and am passionate about ensuring that they have access to resources that will make their lives easier and better. I am inspired to not only provide these tools for others, but to help my team members have the same ability and mentality to create these opportunities.

How did you first hear about BOLT? Why did this opportunity seem like a good fit for you?

I first heard about BOLT from one of my senior managers at the time. He had attended a previous summit and thought it would be a great opportunity for me and a handful of my peers at the bank. Of course, like many new bankers, I was skeptical and shy. However, since my first event, I have been hooked because of its applicability to so many roles and experience levels as well as the breadth of resources provided.

As I continued my involvement with BOLT, I never felt that I did not belong — BOLT has always been a welcoming and comforting environment. Even as a baby banker, the topics discussed helped me make sense of the industry and my role in shaping it. Even though I was not in the position to make organizational decisions 10 years ago, BOLT helped prepare me with the tools that would be make me ready for when that next step presented itself.

How has participating in BOLT impacted your career thus far?

BOLT provided me the opportunity to gain education that expanded beyond the training I received at the bank. At a high level, attending the BOLT summits helped me early on to understand how our industry works. Now, I continue to learn more about how the banking industry is evolving and how I can be proactive.

With so much information out there, it can be overwhelming for a banker — new to the industry or even those with decades of experience — to understand the intricacies. BOLT narrows that scope and helps future leaders understand where they can take initiative and ownership to educate themselves even further.

What is an experience that BOLT provided you with that you may have not otherwise had to chance to try?

I was asked to facilitate a round table at one of our summits, and I was extremely nervous! It was my first opportunity to be in the spotlight. But with the great support of my peers and the team at WBA — I just dove in. It ended up being the best conversation and experience that started with something as simple as leading a discussion, asking the questions, and helping people get that first conversation going.

Having the opportunity to take part in this experience really gave me the confidence I needed to navigate conversations and in speak up about my thoughts. Oftentimes, we see speakers and presenters at events and think to ourselves “there is no way I could do that,” or “they are that good because they do it all the time.” BOLT helped me realize — just by giving me the opportunity to try in a real, low stakes setting — that I can do these things too.

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Advocacy Update: Make a Difference with WBA

It’s time to step up, speak up, and support the banking industry

By Lorenzo Cruz

The barrage of political advertisements ended in April after another record turnout of voters for the Spring Election in 2023. Liberals scored a major victory with Democratic-backed Judge Janet Protaseiwicz defeating Republican-backed former Supreme Court Justice Dan Kelly by a double-digit margin. In addition, this year’s State Supreme Court race shattered the previous $15 million campaign spending record in hitting over $45 million.

After 15 years of Conservatives controlling the State Supreme Court, the ideological power swings back to the Liberals with a narrow 4–3 majority. With Protaseiwicz taking office in August, the new majority could act to reverse court decisions on redistricting, voting rights, and other issues impacting the business community.

Despite the landslide victory in the State Supreme Court race for progressives, State Rep. Dan Knodl (R-Germantown) held on to defeat Democratic challenger Jodi Habush Sinykin in the 8th Senate seat by a 2-point margin. The GOP victory gives Republicans a supermajority, which provides them the ability to impeach civil officers.

The close State Senate race is another illustration of the changing trend in suburban areas where once leaning Republican strongholds are becoming more Democratic. If the Supreme Court redraws state and congressional maps, this seat and others will be in play for majority control of the Wisconsin Legislature and Congress in the fall 2024 general election.

Legislative Priorities

With April elections over, the Wisconsin Bankers Association (WBA) is navigating through the budget and legislative process under Democratic Governor Tony Evers and a State Legislature controlled by the GOP. The Government Relations team has been meeting with key legislators and the Governor’s office since last summer to advocate for WBA’s public policy priorities.

Bank advocates from across the state supported WBA’s efforts and visited the state capitol in Madison at the end of April during WBA’s annual Capitol Day. Legislative leadership and the Governor’s administration shared their insights on the budget and legislative priorities during the morning program. In the afternoon session, bank advocates met with legislators and staff to discuss and lobby on a variety of topics including:

  • Credit Union Expansion (WBA-opposed)
  • Banking Modernization (WBA-supported)
  • Interchange Fees (WBA-opposed)
  • Environmental Social Governance (ESG) (WBA-opposed)
  • Elder Financial Abuse (WBA-supported)
  • Trust Code (WBA-supported)

Get Involved

As WBA’s GR team continues to work closely with bank advocates to educate and lobby legislators and staff on WBA’s budget and legislative priorities, we also encourage our members to become more engaged in advocacy efforts.

In addition to participating in annual events such as Capitol Day or lobbying in D.C., WBA urges bankers to become an Advocacy Officer; a Leadership Circle or Silver Triangle member; to achieve Gold Triangle or BIGG (Bankers Involved in Grassroots and Government) recognition; or to contribute to the Wisbankpac, Alliance of Bankers Conduit, or the Association’s issue advocacy fund.

Thank you for supporting WBA’s grassroots and political fundraising efforts — your voice and active participation makes a difference!

Involvement Opportunities
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Columbia Savings & Loan Association Positively Impacts Black Communities, Banking Industry

Wisconsin’s first Black-owned bank nears 100 years of service

By Hannah Flanders

In 2024, Columbia Savings & Loan Association, Wisconsin’s first — and currently, only — African American-owned bank, will reach 100 years of service. The institution primarily serves low- and moderate- income families of Milwaukee County. Since 1924, the institution, founded by Ardie and Wilbur Halyard, has prioritized providing access to capital to members of its community.

Now led by Ernest Jones and Will Martin, Columbia Savings & Loan Association — the sixth oldest Black-owned bank in the U.S. and oldest Black-owned bank in Wisconsin — continues to see its mission to ensure low- to moderate-income families have access to capital where others may see risk.

Black-owned Banks in America

Like all banks, the history of Black-owned banks in America is storied and complex. The first Black-owned bank — True Reformers Bank — was founded in 1888 in Richmond, Virginia. While the bank didn’t open until April of the following year, narrowly following the opening of Capital Savings Bank in Washington D.C. in October 1888, True Reformers operated in 24 states and spearheaded the idea of closing the racial wealth gap. Although True Reformers Bank closed in 1910, by 1934, the number of financial institutions owned by people of color numbered over 130.

According to the Federal Reserve Bank of Chicago, only nine Black-owned banks — including Columbia Savings & Loan Association — remained in business during the Great Depression. During and following the civil rights movement of the 1950s and 1960s, which encouraged Black individuals to empower themselves, Black-owned banks throughout the U.S. again experienced growth. In 1970, the Department of the Treasury began the Minority Bank Deposit Program, which would help strengthen and preserve minority-owned banks. One year later, in 1971, North Milwaukee State Bank was chartered.

In addition to the pressure Columbia was facing as one of 50 Black-owned banks nationwide, the institution also was severely impacted by the savings and loan crisis of the 1980s. The disaster, caused by excessive lending and taxpayer bailout guarantees, claimed nearly 45 of Wisconsin’s savings and loan associations and 35 Black-owned banks across America. Although Columbia Savings & Loan endured, the Federal Reserve Bank of Chicago (FDIC) notes that losses caused by the crisis fell disproportionately on to the minority-owned sector.

At the turn of the 21st century, Milwaukee welcomed Legacy Bank as its third Black-owned bank. However, the Great Recession of 2007–2009 claimed both Legacy Bank and North Milwaukee State Bank, and only 23 Black-owned banks, including Columbia Savings & Loan, remained throughout the country.

While many Black-owned banks continue to recover from the obstacles of the last several decades, the need for institutions willing to invest in low- to moderate-income communities is becoming even more critical.

Ingrained Discrimination

When Columbia Savings & Loan Association began operations in January 1925, the beginnings of redlining were just emerging in Wisconsin. Published in the Milwaukee Journal just months before, members of Milwaukee’s Board of Realtors discussed the development of a City Negro District or “Black Belt,” restricting housing for Black residents to the west side of Milwaukee. Ultimately, the concept of racially based redlining was implemented, and thousands of Black families were forced to live within a concentrated space of fewer than 40 blocks. This discrimination in housing remained solidly in place until the Civil Rights era, when the Fair Housing Act of 1968 was signed into law.

As time progressed, and the Federal Housing Administration (FHA) was created as part of President Franklin D. Roosevelt’s New Deal and the National Housing Act of 1934, home affordability for people of color became even more difficult. With the FHA identifying low-risk neighborhoods as predominantly white communities, white families had the ability to access inexpensive, insured mortgages that allowed them to move to suburban areas and build the generational wealth to start businesses or enroll in college.

On the other hand, minority populations across the U.S. were segregated into urban neighborhoods where FHA-insured mortgages were not available. With lower home values and less homeowner wealth to be reinvested into repairing aging homes or starting new businesses, cities struggled to expand their schools and other infrastructure.

Unfortunately, the poverty cycle continued, making it difficult for individuals to qualify for mortgage loans. Legislation such as the Fair Housing Act of 1968 was enacted into law to protect people from discrimination when engaging in housing-related activities such as renting or buying a home. The Brookings Institution suggests that “channeling the flow of [credit] to specific neighborhoods and demographics is key, as across-the- board increases in [credit] supply to all racial groups lead to the growth of urban segregation.”

Columbia Savings & Loan is keenly aware of its unique ability to help local individuals and families buy homes, fund businesses, and build places of worship. Located in the heart of Milwaukee’s Amani neighborhood and serving communities living in Wisconsin’s poorest ZIP code, Columbia Savings & Loan Association has been dedicated, from the very beginning, to helping strengthen the surrounding neighborhoods by helping families gain and sustain the capital necessary to own their own homes.

“We see ourselves as a bank that makes a social impact,” states Will Martin, Columbia Savings & Loan Association’s executive vice president. “With the community fabric in many of our neighborhoods being torn away, many of the families that approach us are seeking a place where they will be respected and understood. These individuals are commonly intimidated by the financial sector or have not had success in the past with other lenders — it is our responsibility to, in a culturally respectful manner, find a solution that best serves their needs.”

Shaping Milwaukee

As Forbes highlights in an article titled “Black-owned Banks Are Key to Lifting Economic Fortunes of Black Communities,” Black-owned banks have historically held an in-depth understanding of the disenfranchised communities they serve. These banks have the unique ability to introduce many un- and underbanked communities — including 54.8% of Black households, according to the Federal Deposit Insurance Corporation’s (FDIC) 2021 National Survey — to the financial sector. In addition, many minority-owned banks have made capital more accessible to low- to moderate income populations as they commonly approve a higher percentage of loans to Black applicants.

The Independent Community Bankers Association (ICBA) echoes this sentiment in its article, “Why We Need Black-owned Banks.” The article states that, in order to begin closing America’s racial wealth gap, it is necessary that our society strengthens the institutions dedicated to making a positive impact on underserved and underbanked communities.

“A diverse banking sector is critical to meeting the unique needs of our diverse country,” states WBA President and CEO Rose Oswald Poels. “Banks such as Columbia Savings & Loan Association play a unique role in integrating individuals into the financial sector and providing them with the resources for financial security. By equipping all banks to economically empower disenfranchised individuals, we are ensuring that all banks, and their surrounding communities, succeed.”

As the bank has largely been credited for the development of the Halyard Park neighborhood — named for the founders of Columbia Savings — the institution is dedicated to helping residents of Milwaukee obtain mortgages.

As of March 2023, only around 29% of Black individuals throughout Wisconsin owned their own home, according to the National Association of Realtors. While homeownership remains low among all people of color, Black individuals have a higher likelihood of facing disadvantages such as appraisal bias and loan denial.

“As banking attorney for Wisconsin’s Department of Financial Institutions (DFI), I had the sorrowful task of helping close one of the two Black-owned banks Milwaukee lost in the wake of the Great Recession and vowed to do all I can to preserve Columbia Savings & Loan Association,” explained Ernest Jones, Board Chair and CEO. “Homeownership is the first step toward building generational wealth, and Columbia has helped thou-sands of families achieve that first step. However, with seven out of every ten Black families in Wisconsin renting — often at greater expense than owning — our community needs Columbia Savings & Loan Association more than ever.”

Looking Ahead to the Next Century

Looking ahead, Martin emphasizes the benefit of partnerships throughout the industry.

“In our first 100 years, Columbia focused on building personal relationships; walking with our customers through their challenges,” says Martin. “In this new century of service, we hope to amplify our impact and serve exponentially more families by leveraging technology.”

Port Washington State Bank was the first financial institution to make a contribution toward Columbia’s Centennial Fund. Additional contributions from several others are currently pending.

As such, Columbia Savings & Loan Association announced in February 2023 its Centennial Fund. With Columbia’s growing role in its community, the fund is a means for financial institutions and other corporations to help the bank through non-depository funding to modernize operations, digital infrastructure, and staff training, in addition to helping to increase the impact Columbia has on the local, underserved community. At the time of this writing, the bank has raised over $50,000 in corporate contributions and more than $2 million in new deposits which, according to Martin, will help up to 25 low- to moderate-income families buy homes and take the first steps towards their financial security.

“Like all banks, Black and minority-owned institutions are subject to intense regulatory burden and challenges in attracting talent,” says Oswald Poels. “However, these institutions also lack access to capital and are subject to the changing urban demographics. It is critical for the continued success of these institutions and the communities they serve that we all consider the ways in which we can assist banks like Columbia Savings & Loan in gaining the capital they need to reinvest and help empower disenfranchised individuals.”

Centennial Fund

In February 2023, Columbia Savings & Loan Association announced its Centennial Fund. The fund is a way for financial institutions and other corporations to help the bank through non-depository funding to modernize operations, digital infrastructure, staff training, and to also help increase the impact Columbia has on the local, underserved community.

The $50,000 in corporate contributions and more than $2 million in new deposits raised so far, will help up to 25 low- to moderate-income families buy homes and take their first steps towards financial security. For more information on how you can partner with Columbia Savings & Loan Association, Wisconsin’s only Black-owned bank, contact Will Martin at 414-374-0486, or WMartin@ColumbiaSLA.com.

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Executive Letter: Ask Your Member of Congress to Stop CFPB’s Section 1071 Rule From Taking Effect

Rose Oswald PoelsBy Rose Oswald Poels

As I have previously reported, the Bureau of Consumer Financial Protection (CFPB) released its final rule, which will require nearly all of Wisconsin’s banks to collect and report data regarding their small business customers who seek credit.

CFPB’s Section 1071 rule will require banks who make at least 100 business loans in each of the two preceding calendar years to collect and report 21 data points for each credit requested by businesses that have $5 million or less in gross annual review.

Despite several Wisconsin bankers, and myself, speaking directly with Director Chopra regarding our grave concerns of the negative impact an overly broad rule will have — including concerns of data privacy for small business customers — CFPB finalized a rule, which largely disregarded our concerns.

I urge you to share this information among staff and ACT NOW to ask your member of Congress to support Joint Resolution H.J. 50 to express disapproval of CFPB’s final rule and ask that such a rule should have no force or effect. You may use the ABA or ICBA action tools below to make such request.

ABA’s Take Action Tool ICBA’s Take Action Tool
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May/June 2023 Wisconsin Banker

From the WBA Associate Member Directory to partnering with Wisconsin’s oldest Black-owned bank, the May/June Wisconsin Banker is sure to feature something of interest for every member of the bank.

Learn more about the 2023–2024 BOLT Section Chair, the requirements for flood insurance force placement, and how you can make a difference by getting involved with the Association.

Featured inside are the chair’s column by Dan Peterson, current WBA chair and president and CEO of The Stephenson National Bank & Trust, Marinette; the Community Advocate, Emily Dahl, executive vice president, chief financial officer at Bank of Ontario; and Ashley Clemons, vice president – marketing at The Peoples Community Bank in Mazomanie.

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Executive Letter: Banks Power Wisconsin

Rose Oswald PoelsBy Rose Oswald Poels

Six years ago, the Wisconsin Bankers Association (WBA) brought forth the Power of Community Week campaign to encourage bankers to share their activities during April — which also aligns with Financial Literacy and Capability Month, Community Banking Month, and Volunteer Month. As participation in the campaign only continues to increase, I wish to remind all WBA members of the value in highlighting their community-focused efforts.

As we all are well aware, embracing a community-focused mindset is deeply ingrained into the day-to-day functions of a career in banking; community service is a foundational component to the work bankers do each day. While CRA requirements are an aspect bankers must consider, many go far beyond what is expected — both in and out of the office — simply because they are committed to fostering growth in the communities in which they live, work, and play.

As I have stated previously, the credit union industry continues to be extremely vocal regarding their community-focused activities and, unfortunately, many of these profit-driven organizations are under the guise of a mission-focused institution. It is critical, for the continued prosperity of our industry and of our communities, that bankers remain proactive in informing our elected officials and the public of the work our teams do to serve our neighbors.

In order for WBA to spotlight the activities bankers take part in to give back to their communities, underscore the value of community banking, and work through the legislative process this session, I ask that you please take the time this month to share with us how your bank is involved by completing the 2023 Power of Community Week participation form (if you haven’t already) and sharing your event photos with us by using the hashtag #BanksPowerWI on social media.

Of course, the efforts demonstrated in serving and supporting Wisconsin communities is not just an annual event for banks. Throughout the year, these bankers across the state take part in volunteer activities, make donations, and support the families, business owners, farmers, and non-profit organizations around them. Participating in WBA’s Power of Community campaign helps our Association amplify the message that banks are devoted to serving Wisconsin.

Additionally, if your team will be venturing into local schools for Teach Children to Save Day on or around April 27, or are planning to host any financial education-related presentations by May 31, 2023 (of which all “count” for Power of Community Week participation), I encourage you to share these details with the Wisconsin Bankers Foundation to be recognized with an Excellence in Financial Education Award at the WBA FLEX: Retail and Marketing Summit this fall for your outstanding efforts to improve the financial capability of all Wisconsinites.

On behalf of all of those who have been or will be impacted by the work you and your team do this April, thank you for going above and beyond to demonstrate your commitment to your communities and Wisconsin’s banking industry. Your extensive efforts have not gone unnoticed.

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Executive Letter: CFPB Releases Final Section 1071 Business Data Collection Rule

Rose Oswald PoelsBy Rose Oswald Poels

Last Thursday, the Bureau of Consumer Financial Protection (CFPB) issued its long-awaited final Section 1071 business data collection rule. The Wisconsin Bankers Association (WBA) has been engaged in the rulemaking process since the proposal’s inception. While I know the general requirements for this rule came directly from the Dodd-Frank Act, CFPB chose to add in many more data points than what the law required which have made this rule very burdensome for the banking industry and intrusive for banks’ small business customers.

Just this past fall, I, along with several Wisconsin bankers, shared specific concerns of the proposal directly with CFPB Director Rohit Chopra. I am disappointed our concerns were largely disregarded given the requirements within the final rule. Our concerns of data privacy for small business customers remain.

Given the low threshold for rule applicability, the amount of data to be collected and reported, and the changes in process that will need be implemented, the rule will be burdensome to implement. While I and the WBA Legal team are currently working through the final rule and accompanying resources, below are highlights of the final Section 1071 rule. WBA will certainly be hosting educational events and will be creating resources around the final rule in the forthcoming months.

Highlights

  • The final rule applies to banks that originated at least 100 covered originations in both of the two previous years.
  • “Small business” means one with gross revenue of $5 million or less in the preceding fiscal year.
  • Small businesses will be able to self-identify as women-, minority-, or LGBTQI+ owned.
  • Lenders will be able to rely on financial and other information provided by the small business applicant.
  • Mandatory compliance dates are staggered based upon the number of covered originations made by each bank, in particular:
    • A bank must begin collecting data and otherwise complying with the final rule on October 1, 2024, if it originated at least 2,500 covered originations in both 2022 and 2023.
    • A bank must begin collecting data and otherwise complying with the final rule on April 1, 2025, if it:
      • Originated at least 500 covered originations in both 2022 and 2023;
      • Did not originate 2,500 or more covered originations in both 2022 and 2023; and
      • Originated at least 100 covered originations in 2024.
  • A bank must begin collecting data and otherwise complying with the final rule on January 1, 2026, if it originated at least 100 covered originations in both 2024 and 2025.

As mentioned above, the CFPB has created resources which accompany the final rule. The resources include an executive summary, quick reference guides, and a data point chart.

View the Final Rule and Related CFPB Resources
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4721 S Biltmore Ln.
Madison, WI 53718

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