Texas banks & PPP: A monumental labor of love

In large communities and small, the human impact made by Texas banks cannot be understated.

On April 16, initial Paycheck Protection Program (PPP) funds ran dry. As the dust began to settle, the data was clear. Texas banks led the way, making more than 134,737 approved loans — the highest number among the 50 states. The amount of approved loans totaled more than $28 billion. More than once this week, I had to correct a reporter by saying that the figures were into the “billions” — with a “B.”

What’s more impressive, is that these figures were achieved in just 13 days. To put it into perspective, Texas banks processed in two weeks what the Small Business Administration typically moves in a year. It has been a monumental effort with mind-blowing numbers.

But Texas community bankers know that it is not about the statistics or data. It is about helping small business owners and the working families they employ. In large communities and small, the human impact made by Texas banks cannot be understated. For each of the 134,737 businesses that received a loan through a Texas bank, there are an exponential number of jobs saved and hundreds of thousands of families with food on the table.

Danny Skarda of Interstate Bank shared a message from a manufacturing business that employs 100 workers in the Panhandle:

“… Without the funding, we were getting ready to have a large lay-off. On behalf of the employees and their families whose livelihoods were kept safe for the foreseeable future, many thanks!!!”

A small business owner in El Paso wrote David Osborn of WestStar Bank to thank his team for their long hours and overtime:

“I myself employ eight amazing people and it truly broke my heart the day I had to tell them I would have to lay them all off — March 16, I will never forget. This has been the hardest thing for me as a business owner. I called them today on a group chat to share the great news of my PPP approval. I wish you could have seen their faces and reactions when I told them I was approved for this loan and would be able to put them back on payroll.”

There are thousands of similar stories from banks across the state and I wish I could share them all. They speak to the character and goodness of the Texas banker in good times and emergencies.

Your work is not done, but the COVID-19 pandemic, like disasters before, shall “come to pass.” When it does, history will recount the magnitude of your contributions and the speed with which Texas bankers have acted. You have endured government technology issues and a lack of clear policy guidance. You have placed trust in regulators to be fair and risked your reputation by executing on an incomplete government plan. But you did so as a labor of love. You know your neighbors and communities need help. And in the proudest of Texas traditions, your bank and employees are always there for those in need.

Governor names bankers to re-opening strike force & advisory council

Gov. Greg Abbott established a Strike Force to Re-Open Texas on April 17 that includes several Texas bankers to help guide the state’s economic recovery in the wake of the COVID-19 pandemic. The complete team, which includes nationally recognized medical experts as well as other private and public leaders, will “safely and strategically restart and revitalize all aspects of the Lone Star State — work, school, entertainment and culture.” Several bankers from across Texas have been named to the panel, including James Huffines, who will lead the strike force as its chairman.

Strike Force Special Advisory Council members include:

• J. Bruce Bugg, Jr.: Chairman of the board, Bank of San Antonio
• Scott Dueser: Chairman, president & CEO, First Financial Bank
• Rick Francis: Chairman of the board, WestStar Bank Holding Company Inc.
• Dennis Nixon: CEO and chairman of International Bank of Commerce
• Sam L. Susser: Chairman of BancAffiliated Inc.

TBA is grateful to Gov. Abbott for his leadership in this crisis and for recognizing the important role community banks are playing in saving jobs and the Texas economy. We are proud that these respected bankers have agreed to serve Texas in this critical capacity.

Convention postponed

May is typically convention month for TBA. It is the Texas banking community’s premier celebration, an opportunity for great fellowship and the opportunity to honor our bankers. But, sadly, we have had to postpone our 136th Annual Convention due to the Coronavirus pandemic. Your health and safety are paramount. This is a rare occurrence for a TBA convention. Events such as the world wars have led to previous convention delays, which speaks to the historic nature of this emergency. But we intend to only POSTPONE this year’s convention.

Prior to the emergence of COVID-19, our TBA convention registrations were up 85% over the previous time last year. With scheduled speakers to include Comptroller of the Currency Joseph Otting, Dallas Fed President & CEO Rob Kaplan, former White House Press Secretary Sean Spicer and country music star John Michael Montgomery, it is easy to understand why. Many thanks to Keefe, Bruyette & Woods and to all of our sponsors and exhibitors. TBA is working to re-schedule and will keep our members and great partners updated. In the meantime, TBA continues many of our peer forums, schools and events in online formats. See the homepage of our www.texasbankers.com website for event updates.

We look forward to seeing you all again soon — and in person — when it is again safe to gather.