STATE GOVERNMENT RELATIONS
Braun announces transition councils
Gov.-elect Mike Braun announced the formation of transition councils, along with their appointed leadership and members, to guide state agency reviews, drive policy development across Indiana's government and prepare the incoming administration to implement Braun's agenda from day one.
Indiana House committees keep leadership; only 1 new chair for 2025
The leadership of Indiana House committees will remain consistent for the upcoming session, with only one new chair among the 22 panels. The one change is Rep. Jake Teshka, R-North Liberty, becoming chair of the House Financial Institutions Committee.
Houchin elected secretary of House Republican Conference
Indiana U.S. Rep. Erin Houchin was elected secretary of the House Republican Conference, a role that will involve helping the conference chair oversee communications and direct meetings of membership.
Plan to 'reinvent' high school set for December vote, education secretary says
Education officials have coalesced around a single diploma that could be customized to prepare students for their post-high school goals, starting with the class of 2029.
FEDERAL GOVERNMENT RELATIONS
Household debt rises in Q3, but card delinquencies slow
U.S. household debt increased 0.8% to nearly $18 trillion in the third quarter, but the number of credit card delinquencies fell slightly, the Federal Reserve Bank of New York says in a report. Roughly 8.8% of credit card balances became delinquent in Q3, compared with 9.1% in Q2, suggesting more stability in household financial stress, although auto loan delinquencies increased slightly, the report says.
Read more from American Banker
Thune chosen to serve as Senate majority leader
With projections that Republicans will retain a majority in the House, Speaker Mike Johnson, R-La., won his party's nomination to remain in his post. Meanwhile, in the Senate, Republicans chose Sen. John Thune of South Dakota to serve as the new majority leader, and Sen. Elizabeth Warren of Massachusetts is set to be the top Democrat on the Banking, Housing and Urban Affairs Committee.
Read more from the Wall Street Journal
Swipe fees returning to spotlight in Senate panel hearing
The Credit Card Competition Act, which has stalled in Congress despite garnering bipartisan support, will be the focus of an upcoming Senate Judiciary Committee hearing led by Sens. Dick Durbin, D-Ill., and Roger Marshall, R-Kan. The legislation seeks to reduce the dominance of Visa and Mastercard by mandating that large banks provide merchants with alternative card network options. The legislation is unlikely to become law in the near term, but it could remain in play as Republicans seek tax-cut extensions.
Read more from American Banker
Unbanked households hit record low of 4.2%, FDIC says
The percentage of unbanked households in the U.S. fell to a record low of 4.2% last year, while 14.2% of households were designated as underbanked, according to a Federal Deposit Insurance Corp. survey. Consumer Bankers Association President and CEO Lindsey Johnson said in a statement that "the nation's leading retail banks continue to work tirelessly to bring more Americans into the well-regulated, highly competitive financial system." However, some recent regulatory proposals "could ultimately debank many Americans while also restricting access to the valuable banking services they rely on for everyday needs."
Bank capital, SEC regulation top Wall Street policy wish list
Following Donald Trump's victory in the presidential election, the banking and finance industries are quickly drafting a regulatory wish list for his incoming administration. These include requests to roll back Basel III endgame proposals, ease fair-lending regulations, maintain lower corporate tax rates, and alter the Securities and Exchange Commission's agenda. Trump's transition team is engaging with industry groups, indicating a more organized approach than in his first term.
Powell: FOMC in no hurry to lower rates
The Federal Open Market Committee can take its time lowering rates given the strength of the U.S. economy, Federal Reserve Chairman Jerome Powell said Thursday during a speech in Dallas. He also briefly addressed the use of artificial intelligence in the banking sector.
Earlier this month, the FOMC trimmed the target range for the federal funds rate by 25 basis points, lowering it to 4.5-4.75%. Powell said the labor market remains in solid condition and inflation is on "a sustainable path" to the Federal Reserve's 2% goal, but he cautioned that the path to reaching that target is not preset.