Memo to PA Congressional Delegation

As you know, the Farm Bill is expected to be considered on Thursday, July 26 and we are urging your support and vote for the Frank-Bachus Amendment. The amendment would remove the harmful provisions that expand the Farm Credit System (FCS) at the expense of private sector lenders, while leaving in place other provisions benefiting the FCS.

On behalf of the 175 community banks PACB represents, this is a matter of great importance to the continued ability of community banking to compete fairly. Without adoption of the Frank-Bachus amendment, the Farm Bill would allow Farm Credit Institutions – which are government-sponsored lenders created to lend to farmers – to lend to a host of commercial businesses not owned by farmers and provide mortgages to non-farm families in many of our nation’s largest suburbs. The Farm Bill shifts the focus away from farmers toward general commercial and mortgage lending and with the tremendous advantages enjoyed by government-sponsored lenders would devastate community banks and harm millions of consumers with the outcome being fewer credit choices.

The Frank-Bachus Amendment is critical to restore fairness and common sense to the Farm Bill. We appreciate your consideration of this vital issue. Please do not hesitate to contact Dave Transue of our staff if you have any questions.

Thank you.