SENATE CONCURRENT RESOLUTION NO. 6

(By Senator Lucht)




Expressing the concern of the West Virginia Legislature over mounting regulatory and reporting costs imposed upon the banking industry by the federal government and encouraging the United States Congress to consider legislation which would significantly lessen such costs.

Whereas, West Virginia banks and their parent-holding companies have an extraordinary history of safety and soundness in the context of volatile economic markets in recent years; and
Whereas, West Virginia banks remain healthy and profitable, notwithstanding the challenges faced by each of them; and
Whereas, West Virginia banks perform extraordinary service in supporting economic growth and development in West Virginia; and
Whereas, The continued vitality of the banking industry is of critical importance to the future of West Virginia; and
Whereas, The federal government has imposed various regulatory and reporting requirements on commercial banks, compliance with which the American Bankers Association survey indicates to cost over ten billion annually, a staggering sum which is paid by both banks and their customers; and
Whereas, West Virginia's share of this extraordinary cost isestimated to be in excess of one hundred one million dollars; and
Whereas, Banking organizations in America have individually and collectively proposed various reforms whereby most of this burden can be relieved without hampering the safety and soundness of banking institutions, thereby freeing capital for more productive purposes; therefore, be it
Resolved by the Legislature of West Virginia:
That it is the sentiment of the West Virginia Legislature that the representatives of West Virginia in the United States Senate and United States House of Representatives should be alert to reforms designed to lessen the regulatory and reporting burden and costs placed upon the commercial banks in America by unneeded and duplicative legislation and study carefully the requests for reform now pending in Congress which relate to the regulatory and paperwork burden of commercial banks; and, be it
Further Resolved, That the members of the West Virginia delegation are fervently urged to be supportive of reform proposals which have the effect of reducing paperwork and compliance costs without unduly hampering efforts to maintain the safety and soundness of banks throughout America.