KBA Chairman Mike Ewy, Community State Bank in Coffeyville, welcomed the nearly 150 Kansas Bankers to the Topeka Country Club for the 2022 Harold A. Stones Public Affairs Conference on February 9 after a three-year interruption because of COVID. Bankers were clearly energized to see each other and come together to advocate on behalf of the industry before state policymakers.

The group welcomed the day’s first presenter, Kansas Gubernatorial candidate and Kansas Attorney General Derek Schmidt. He acknowledged the critical role that banks played in deploying billions of dollars of PPP funds to small businesses across Kansas, which helped businesses not just stay alive, but for some, even thrive during the pandemic. However, he cautioned that while the state general fund is looking very healthy and that there needs to be some action on tax policy and helping fund the Kansas Public Employee Retirement System (KPERs), the legislature needs to remain diligent in their discussions with so much uncertainty that continues to exist. He concluded his remarks by talking about his office’s work on a constitutional amendment that would give the legislature more power over regulations proposed and enforced by regulatory agencies.

Next in the line-up was special guest Kansas Governor Laura Kelly. She began her address by thanking bankers across Kansas for continuing to help their communities during the pandemic. She touted her administration’s work on the first state housing study in decades and the need for legislation in this session to address the shortage of housing in both rural and urban communities. She hoped it would lead to more houses available to enable the state to bring more jobs to various communities. Governor Kelly also highlighted her administration’s work on trying to land the mega $4 billion economic development project, otherwise known as Attracting Powerful Economic Expansion Act (APEX).

This year’s information-packed conference included a state legislative leaders panel discussion moderated by KBA’s AVP — Government Relations & Staff Attorney Kelly VanZwoll. The panel showcased different views on how the state legislature should address tax reform, redistricting, KPERs funding, and best practices for getting engaged in the political process. Panelists included Senate Majority Leader Larry Alley (R-Winfield) and Senate Minority Leader Dinah Sykes (D-Lenexa). House Majority Leader Dan Hawkins (R-Wichita) and House Minority Leader Tom Sawyer (D-Wichita) were scheduled to participate, but couldn’t make it due to legislative floor work.

Following lunch, KBA President & CEO Doug Wareham and KBA Board Chairman-Elect Shan Hanes of Heartland Tri-State Bank in Elkhart hosted a panel discussion with ABA VP-Congressional Relations Dan Martini. Martini talked about the status of KBA supported Enhancing Credit Opportunities in Rural America Act (ECORA) which would provide an exemption from federal taxation, agricultural real estate, and rural home loans. Martini also talked about the status of President Biden’s nominees before the U.S. Senate and his thoughts on what Congress will look like after the 2022 election.

The 2021 Bank Leaders of Kansas (BLOK) class finally received recognition for completing the BLOK training regimen after two years of rescheduling and patience due to COVID-19. They were presented the traditional BLOK awards from KBA Board Chairman Ewy.

The 2022 BLOK class also attended the conference as part of their first training session in the year-long program. The class also had an opportunity to participate in KBA’s Board meeting and visit the statehouse to be recognized by Kansas Senate and Kansas House leaders.

KBA President and CEO Wareham and Alex Orel, KBA’s SVP — Government Relations, provided bankers with updates on KBA’s state and federal legislative issues. In addition, Wareham gave a federal election outlook and updated attendees on other legislation, including legislation to provide regulatory relief on the community bank leverage ratio, the current state of the IRS reporting proposal, and efforts to oppose postal banking. Mr. Orel gave a state election outlook and updated attendees on statehouse efforts to reduce the tax burden on KBA’s Association Health Plan, increasing penalties for ATM “smash-and-grabs,” modernize the Kansas trust code, and efforts to make housing development more attainable.

Following the issues update, KBA’s EVP & General Counsel Kathy Taylor and KBA Board Chairman Ewy welcomed Acting Comptroller of the Currency Michael J. Hsu to Kansas. This was the first time an OCC Comptroller has attended the Public Affairs Conference. Ewy and Taylor held a fireside chat with Comptroller Hsu, where he highlighted initiatives in Washington D.C. and within the OCC. In addition, Mr. Hsu talked about the banking industry’s challenges that keep him up at night, bank capital ratios, fintech companies growing into the banking space, and CRA. After the fireside chat, Mr. Hsu held a separate roundtable with those national bank participants in attendance.

The day concluded with a packed special legislative reception for bankers, state legislators, staff, and other state leaders at the Topeka Country Club. Thank you to everyone that made it to Topeka in February, and it was great to see everyone. Go ahead and mark your calendars for next year’s Public Affairs Conference, scheduled for Feb. 8, 2023, at Topeka Country Club!