U.S. Sen. John Hoeven (R-ND) joined his home-state GOP colleagues to ensure the nation’s community financial institutions are able to work with their farm clients amid the coronavirus pandemic.
Specifically, Sen. Hoeven and the lawmakers are concerned about “the ability of community financial institutions to work with their farm clients to restructure loans and maintain their farming operations” during the current economic crisis caused by COVID-19, according to an April 1 letter sent to the leaders of the Federal Reserve System, the Office of the Comptroller of the Currency, the Federal Deposit Insurance Corporation, and the National Credit Union Administration.
“Given the ongoing economic uncertainty due to the spread of COVID-19, we need to ensure that farmers and ranchers who are impacted be provided relief,” wrote Sen. Hoeven and his colleagues, U.S. Sen. Kevin Cramer (R-ND) and U.S. Rep. Kelly Armstrong (R-ND). “This unique market disruption calls for immediate attention.”
According to their letter, the lawmakers said they think that community financial institutions in North Dakota — working with federal examiners and regulators — “can exercise sound judgment in serving their communities, while also ensuring that the appropriate protections remain in place.”
“Many community financial institutions, including those in North Dakota, have substantial experience lending in the agricultural economy, and in enduring the natural fluctuation of a commodity-based market,” the North Dakota lawmakers wrote. “We urge you to encourage your examiners to continue valuing their judgment when it comes to providing capital to producers.”