Pub. 11 2021 Issue 1

25 PUB. 10 2020 ISSUE 4 provisions on troubled debt restructurings and other pandemic- related relief and extension of the current expected credit loss implementation date. “We would have all hoped that would have come and gone by now,” says Rieniets. “Well, the pandemic’s still here, and these PPP loans are still sitting on bank balance sheets.” Nine months after he cautioned clients doing OK to hold back in applying for PPP loans, he reports that some of those clients are still doing just fine, describing the results in Nashville as a “mixed bag.” Insbank clients in core Nashville businesses like entertainment, tourism and hospitality are experiencing challenges, but the effect of social distancing and stay-at-home orders has fallen irregularly. “If you’re a high-end steakhouse in the downtown district, you’re having a hard time of it,” Rieniets says. “If you’re a barbecue restaurant and your food still tastes good after it’s been in a Styrofoam container for 45 minutes, you’re doing pretty well.” Meanwhile, Nashville continued to see in-migration from across the country. Over the past several decades, the Music City wasn’t just about music and tourism — it developed a diversified professional economy driven by health care, technology, manufacturing and publishing, attracting corporate headquarters like CVS Caremark, Bridgestone and Amazon’s future third-largest U.S. corporate base. “Companies have been consistently opting to expand to Nashville. That’s put a lot of fuel behind the growth here,” says Rieniets. The corporate growth has been symbiotic with population growth — the Nashville metro is home to nearly 2 million residents, up 23% in the past decade and nearly 50% since Insbank was founded in 2000. That continued in 2020 as residents left stricter coastal areas for larger homes and a more business-friendly environment in middle Tennessee, Rieniets says. Beyond the pandemic response, Rieniets sees several other issues on the table for 2021, including cannabis banking, which is expected to be addressed by the Democratic Congress. Rieniets describes it as a public safety issue in states that have authorized various uses for marijuana. “Regardless of the way bankers may or may not think about this issue, they want to see a resolution to what we see as a real challenge,” he says. “We look forward to seeing some headway.” Other focus issues will include brokered deposit reform and policies affecting environmental, socially responsible, and corporate governance, or ESG-related investments. “We’re going to be working with the administration on best practices and rules of the game for how we address those issues.” Rieniets adds that bankers should not fear the political realignment in Washington. “Regardless of what you think politically, if your team is not in charge, you always think it’s going to be worse than it is,” he says. “That’s something I’m quick to point out to bankers who’ve expressed concern about a change in the balance of power.” Battle-Tested He brings firsthand experience to the bank advocacy arena, having previously chaired government relations activities for the Tennessee Bankers Association. “Seeing some of those challenges is what first spurred me to get involved at the state level,” he says. There, he successfully championed elder financial abuse prevention legislation that allowed banks to delay suspicious transactions, notify close family members of any concerns and refuse to accept acknowledged powers of attorney when elder financial exploitation is suspected. The law became a model for other states. Rieniets also played a role in stopping unfavorable legislation — an advocacy task equally important to supporting good bills. His successful efforts included blocking bills or removing provisions that would drastically increase the state’s homestead exemption amount, removing banks’ lien priority on commercial construction projects, says TBA President and CEO Colin Barrett. “Jim has been an outspoken and effective advocate on behalf of the banking industry throughout his career,” adds Barrett. “He’s a student of the industry with knowledge of banking regulations and legislation that is second to none. Jim’s leadership of the TBA government relations efforts in Tennessee moved meaningful legislation through the state’s General Assembly, and I know he will have the same impact in Washington.” “Members of our team are working diligently to access the Small Business Administration’s systems” to make Paycheck Protection Program loans, he says. “To get these funds distributed as quickly as everyone would like is akin to drinking water from the release of a hydroelectric dam.” continued on page 26