proposals to determine how its provisions will apply in practice. “We’re starting to see regulatory proposals implementing the GENIUS Act, and we expect that to continue throughout the year,” says Lilly Thomas, EVP, regulatory relations and strategy at ICBA. For community banks, the details of those rules will shape compliance expectations and competitive balance. Thomas says outcomes will depend on how regulators translate statutory language into supervision and oversight. “The devil’s in the details when it comes to the regulations,” she says. “We want to make sure there’s a level playing field for community banks.” ICBA is tracking agency rulemaking tied to the GENIUS Act and engaging as proposals emerge. Thomas says community bankers should stay engaged as regulators request feedback and refine their approach. “This is going to be top of mind as rules take shape,” she says. “How regulators implement the law will matter just as much as the legislation itself.” 4. CFPB ACTIVITY INTENSIFIES Consumer Financial Protection Bureau (CFPB) activity is shaping up as another major focus area for community banks in 2026. Questions around the bureau’s funding remain unresolved, while several high-impact rulemakings continue to move forward. Two of the most closely watched issues include Section 1071, Small business data collection and Section 1033, Consumer rights to access information. Regulators are expected to release further action on both, which could affect compliance obligations for community banks. ICBA is working to ease regulatory burden as rulemaking advances amid competing pressures from consumer groups and fintech firms. As agencies develop proposals and seek public input, Thomas emphasizes the importance of member participation. “As we draft comment letters and responses, we depend on community bankers to weigh in through our grassroots action center,” she says. “Watching for action alerts and responding is very important, and how we make sure the community bank voice continues to be heard.” Bridget McCrea is a writer in Florida. MAKE YOUR VOICE HEARD Visit icba.org/advocacy for information and tools that will help you lobby your legislators on community banking issues. Sometimes SBA lending decisions are difficult. But not this one. q ICBA’s only Preferred Service Provider for SBA and USDA lending Get started today. 800.340.7304 holtandmon.com ICBA’s only choice makes yours easy. Our industry experts handle the hard work at no net cost to your bank, while you empower small businesses and earn non-interest fee income. Over 40 years of serving community banks add up to trusted data, processes and procedures that meet stringent SOC 2, Type II security and privacy standards set by the American Institute of Certified Public Accountants. No other company comes close. TM Community Banker 25
RkJQdWJsaXNoZXIy ODQxMjUw