Foundation Chair Hazel Davis testifies to Congress

The U.S. House Committee on Small Business, chaired by Texas Congressman Roger Williams, held a hearing to “examine the state of small businesses in America amid unprecedented economic challenges and uncertainties.” The perspectives of community banks that serve small businesses were included with testimony provided by Hazel Davis of Jefferson Bank (San Antonio), a TBA Board Member and Chair of the Texas Bankers Foundation.

“Through proactive engagement and targeted investment, we have worked tirelessly to rebuild trust and forge lasting partnerships,” Davis testified. “However, escalating regulatory burdens and compliance costs threaten our ability to continue these efforts, as every dollar diverted to regulatory compliance is a dollar less reinvested into our community businesses.”

Following her statement, Davis was asked by Pennsylvania Congressman Dan Meuser if rules like Sec. 1071 will hurt or harm small business lending.

“It will absolutely harm it,” she replied. “Plain and simple.”

“For every compliance officer we have to hire to manage those data points and the examination ramifications, that’s one fewer banker that we have out in our community serving our customer needs,” Davis said.

Learn more about the hearing here.