Visit us online: Website | NCBA LinkedIn | NCEL LinkedIn NCBA Welcomes New Chairman and Directors At a luncheon hosted by the ICBA during the Annual Convention at The Homestead Resort in Hot Springs, Virginia, NCBA Chairman Bob Washburn handed over the gavel of leadership to Jim Marshall, President & CEO of Blueharbor Bank, Mooresville.  Upcoming Professional Development: Fraud Academy August 12-14 CAVA RMA Commercial Lending School October 20-24 Upcoming Annual Conferences: 2025 North Carolina School of Banking July 21-25 NC Emerging Leaders Conference November 3-4 Pictured: Outgoing NCBA Chairman Bob Washburn, LifeStore Bank, passes the gavel to incoming NCBA Chairman Jim Marshall, blueharbor bank.  “I’m honored to succeed Bob and proudly accept the challenge of building on his legacy,” Marshall said. “The board is in a unique position because we play many roles at the NCBA, including being the eyes and ears of our members and making sure the most relevant issues are being addressed.” This year's Annual Convention also marks the beginning of the terms of four new directors on the board: Read More ▶   State Legislative & Regulatory Update Your Calls and Emails Have Made a Difference As we shared earlier in the week at approximately 9:00 PM on Monday night, House Finance Senior Chair Julia Howard released a House Finance Committee substitute for Senate Bill 595 (Various Revenue Law Changes). Under the political maneuver, she took a bill – a bill whose primary sponsors in the Senate are the Senate Finance Chairs Tom McInnis and David Craven – and tacked on a new Part XI, the Credit Union Update.  L-to-R: Rep. Julia Howard, Sen. Tom McInnis, and Sen. Dave Craven The new part of the bill is an insertion of the NCBA-opposed House Bill 187. That legislation, which has to date failed to advance in the Senate, would open fields of membership up so that anyone, anywhere in the world and any business could be a member of a North Carolina state-chartered credit union. Thus, it would effectively turn credit unions – which are supposed to serve people of modest means who share a common bond – into tax-exempt banks, with practically every possible competitive advantage without supervising, regulating, and taxing them like banks.  You answered our appeal – to call and email your legislators to press for the removal of Part XI from the bill and the NC Senate to vote not to concur with the House changes. Your actions are having a meaningful impact on the discussion surrounding the issue. Read More ▶   Continued March Toward Adjournment Legislators are predicting an adjournment of the General Assembly this week, most likely on Thursday, with the return date to be determined.  If the return is in late August or early September, legislators may opt to memorialize the return date and schedule through an adjournment resolution.  Although there has been no breakthrough on the state budget, legislators have sent a number of bills to Governor Stein and positioned others within striking distance of passage when they return. Please see the attached Bill Tracker for a summary of recent activity.  Federal Legislative & Regulatory Update Status of ‘Trigger Leads’ Bills On Monday, the House passed the Homebuyers Privacy Protection Act (HR 2808), which, with only limited exceptions, restricts credit reporting agencies from selling mortgage applicant information to other lenders who then send unwanted solicitations. The bipartisan bill’s cosponsors include Rep. Tim Moore and Rep. Deborah Ross. A related bill (S 1467) with the same titling, which is cosponsored by Senator Thom Tillis, passed the Senate on June 12.  L-to-R: Rep. Tim Moore, Rep. Deborah Ross, and Sen. Thom Tillis House and Senate leaders will now work to resolve what form the final bill should take as the House version also includes a provision calling upon the U.S. Government Accountability Office to study the value of trigger leads received by text message. Reputational Risk Removed as Component from Bank Exams The Federal Reserve has started the process of removing references to reputation and reputational risk from its supervisory materials. However, the Fed’s announcement notes that it may, where appropriate, replace those references with more specific discussions of financial risk. The change is not intended to impact whether and how Fed-supervised banks use the concept of reputational risk in their own risk management practices. Rethinking ‘Leverage Ratios’ According to Federal Reserve Vice Chair for Supervision Michelle Bowman, the Fed is rethinking the enhanced supplementary leverage ratio (eSLR), which requires large U.S. banks to hold additional capital based upon their size. The FDIC is also expected to discuss the concept this week when the Fed board meets to consider changes to the eSLR standard.  FinCEN Data on BSA Filings Financial institutions filed 4.7 million suspicious activity reports and 20.5 million currency transaction reports in fiscal year 2024, according to a recent report. The report notes that collectively, 432 federal, state, and local law enforcement, regulatory, and national security agencies have access to BSA reports and BSA Search, and over 12,000 authorized personnel have access to BSA data. DOJ Seizes Funds Linked to Crypto Investment Scams  The U.S. Department of Justice has seized $225.3 million in funds linked to cryptocurrency investment scams. The action is the largest cryptocurrency seizure in U.S. Secret Service history.  CFPB Rethinks How It Uses Civil Penalty Funds  The CFPB is proposing to stop using funds from its civil penalty fund to finance consumer education and financial literacy programs. The Bureau said the practice created incentives to bring enforcement actions “for the purpose of aggrandizing the operational scope of the agency.”  Avoiding Bank Impersonation Scams and Fake Banks  The FDIC has published an article that provides advice for consumers on avoiding bank impersonation scams. Citing the FTC, the article notes that bank impersonation scams were the most reported scam occurring through text messages in 2022, up nearly twentyfold since 2019.  OCC to Outline Process for Criminal Referrals  The OCC plans to issue guidance detailing which regulatory violations can be referred to the U.S. Department of Justice for criminal prosecution. The issuances is in accordance with Executive Order 14294, “Fighting Overcriminalization in Federal Regulations.” OCC Bank Merger Rule  President Donald Trump  has signed into law a joint resolution – S.J. Res. 13 – that provides congressional disapproval of an OCC rule during the Biden Administration that changed how the OCC reviews proposed bank mergers. Senator Thom Tillis was an original cosponsor of the resolution.  List of Jurisdictions with AML Deficiencies  FinCEN has published an updated list of jurisdictions with strategic deficiencies in countering anti-money laundering, the financing of terrorism and the financing of proliferation of weapons of mass destruction. The changes add the British Virgin Islands and Bolivia to the list of Jurisdictions Under Increased Monitoring and remove Croatia, Mali, and Tanzania. The list of High-Risk Jurisdictions Subject to a Call for Action remains the same, with Iran, the Democratic People’s Republic of Korea (DPRK), and Burma subject to calls for action.  NCBA Announcements Banks of the Carolinas Compensation Survey Closing Soon! Do not miss out on this opportunity to gain valuable insights and enhance your HR strategy. Contact Rhonda Snyder at rhonda.snyder@pearlmeyer.com and she can help create a submission for you!  This survey will close for participation on Friday, but the deadline may be extended for a few days as needed. Why is this survey so important? Comprehensive Insights: Gain access to detailed data on base salaries, salary ranges, short-term and long-term incentives, total cash compensation, and overall compensation. This extensive information will help you make well-informed decisions that benefit your organization. HR Policies & Practices: Obtain in-depth information on crucial aspects such as salary increases, merit increases, structure adjustments, outsourcing, turnover, and recruiting. This data will empower you to refine your HR policies and practices effectively. Strategic Advantage: Utilize this valuable tool to stay competitive and make informed decisions about your pay programs. The survey is designed to help you navigate the complexities of employee compensation with confidence. Pricing: Participants: $650 Non-Participants: $1,495 We look forward to your participation! Get Inspired at the 2025 Women Lead Symposium | July 17, 2025 Bold Leadership. Real Conversations. Unmatched Insights. Ready to lead with confidence and make a lasting impact? The Women Lead Symposium is a half-day virtual program designed to equip you with the insights and skills to grow as a leader, no matter your title or experience level. Hear from inspiring speakers, engage in real conversations about leadership in banking, and walk away with the tools to elevate your career and your institution. This collaborative event—hosted by the ABA, NCBA, and a coalition of state bankers associations—also offers valuable guidance for navigating key leadership roles, expanding your professional network, and driving long-term success at your bank. Registration Fees:  Individuals - $149  Groups (5 Bankers) - $499 View Program   Register Now   Earn Credits through Online Professional Development AI and Microsoft Excel - July 1 - 2 CPE Credits Total TRID Training - 4 Part Series - July 7 - 10 CRCM Credits Consumer Lending - July 7 - October 24 (ABA) The Banking Industry - July 7 - August 1 (ABA) The Board Secretary Role: Organizing, Planning, Tracking & Maintaining Accurate Records - July 10 Red Flags for Money Laundering - July 10 Consumer Lending Training Program - July 15 Hot Topics in the IT Examination - July 18 Small Bank Community Reinvestment Act (CRA) Workshop- July 21 - 3 CRCM Credits Analyzing Financial Statements - July 21 - November 7 (ABA) Building Customer Relationships - July 28 - August 22 (ABA) Managing The Bank’s Investment Portfolio - July 28 - August 29 (ABA) Navigating New RTP and FedNow Rules - July 30 - 1 APRP Credit Unclaimed Property Compliance for Financial Institutions - July 30 Test Before You Test: AAP Exam Strategies Workshop - July 31 - 3 AAP Credits Need credits? Earn SHRM, AAP, APRP, CRCM, CPE and more with our partnered webinars! Industry Update HomeTrust Bank Recognized for Strong Financial Performance and as a Most Loved Workplace HomeTrust Bancshares, Inc., the holding company of HomeTrust Bank, announced that the Bank has been named one of Forbes’ America’s Best Banks for 2025 and recognized as a Top 50 Community Bank in the 2024 S&P Global Market Intelligence annual rankings.  These awards are based on key metrics assessing the overall financial performance and strength of financial institutions. This is the second consecutive year that HomeTrust has been recognized in each of these publications. Words of Wisdom I am a slow walker, but I never walk back. -  Abraham Lincoln NC Bankers Association | 3601 Haworth Drive | Raleigh | NC | 27609 | US If you no longer want to receive emails regarding the NCBankers Bulletin, please profile.