U.S. Senator Tammy Baldwin Helps Introduce Bipartisan Legislation to Support Community Banks

WASHINGTON, D.C. – U.S. Senator Tammy Baldwin today, joined Senators Roger Wicker (R-MS) and Tammy Duckworth (D-IL) in introducing bipartisan legislation to help Wisconsin community banks by exempting them from requirements designed for larger financial institutions.

“It is unreasonable to require small community banks to meet the same capital requirements as large international banks,” said Senator Baldwin. “This bipartisan, commonsense reform will give Wisconsin community banks the relief they need and free up access to credit for Wisconsinites looking to start a small business or own their first home.”

The legislation would target the punitive treatment of Trust Preferred Securities held by community banks under Basel III capital rules.  These rules were created in the wake of the financial crisis and are being implemented over a four-year period which began January 1, 2015. Approximately 30 community banks, including five in Wisconsin, were affected by the rules. This legislation would provide a level playing field and ensure local communities have access to banking services.

The total amount of capital affected by the Basel III rules is estimated to be approximately $250 million, which has directly impacted community banks’ lending capacity. If the provision is eliminated, community banks could realize additional lending capacity in excess of $2.5 billion.

The legislation was also cosponsored by Senator Thad Cochran (R-MS).

NOTE: This press release was submitted to Urban Milwaukee and was not written by an Urban Milwaukee writer. While it is believed to be reliable, Urban Milwaukee does not guarantee its accuracy or completeness.

Recent Press Releases by U.S. Sen. Tammy Baldwin

Senator Baldwin Introduces Bill to Provide Healthcare For All Troops

Aug 21st, 2025 by U.S. Sen. Tammy Baldwin

Roughly 130,000 men and women in the National Guard and Reserve do not have health insurance

Baldwin Presses Ascension on Decision to Outsource Staffing of Intensive Care Units to Private Equity-Backed Firm

Aug 15th, 2025 by U.S. Sen. Tammy Baldwin

TeamHealth, a private equity-backed firm, has history of business practices that compromise patient care and safety

Baldwin, Moore, Steil Call for Trump Administration to Provide Immediate Federal Support for Flood Damage in Southeastern Wisconsin

Aug 14th, 2025 by U.S. Sen. Tammy Baldwin

Lawmakers support Wisconsin’s request for assistance with federal damage assessment