Executive Letter: WBA Advocacy at Work: Reconciliation Bill Reflects Community Banking Needs

By Rose Oswald Poels

Momentum continues in Washington as the Senate moved forward Monday on H.R. 1, the “One Big Beautiful Bill Act,” following key votes on the reconciliation package. The measure includes several tax-related provisions that directly support community banks and the customers we serve. The bill moved to the House for deliberations.

WBA joined forces with the American Bankers Association (ABA) and state associations around the country in sending a letter to Senate and House leaders over the weekend urging support on critical issues that affect our banks. I am encouraged to see the reconciliation bill reflects many of the policies WBA has pushed for, including:
• Enacting a narrow provision of the ACRE Act to expand access to affordable credit for farmers and ranchers
• Making permanent the Section 199A deduction, which supports Wisconsin’s many S-corporation banks
• Extending enhanced estate tax exemptions to protect family-owned banks
• Strengthening the Low-Income Housing Tax Credit to support affordable housing
• Permanently establishing the New Markets Tax Credit for investments in economically-distressed communities
• Maintaining immediate R&D expensing to promote domestic innovation and entrepreneurship
• Allowing interest deductibility under the EBITDA standard to encourage reinvestment
• Reducing CFPB funding to improve accountability

These important measures help Wisconsin banks remain strong players in local economic growth, job creation, and uplifting our rural communities. WBA will continue to watch the reconciliation bill and advocate for its final passage with these provisions intact.

Thank you to all our members who have stood with us in advancing policies that support our industry and our communities. As always, we encourage you to join us on future advocacy trips to Washington, D.C. Your voice is critical — and your advocacy makes a powerful difference.