Week of Dec. 10

December 11, 2018

In This Issue…

• Federal Reserve needing comments on new payment system
• Gov.-Elect Stitt: information on inaugural ball, banker involvement
• Economic, social costs of legalized marijuana
• Free webinar upcoming on how donations can support rural schools
• OBA education corner …

Federal Reserve needing comments on new payment system

As we’ve mentioned several times, the deadline is approaching for commenting on the Fed’s proposal to create the first new payment system in more than 40 years. The comment deadline is Friday, Dec. 14, 2018, and it is important for all banks to be heard.

We strongly encourage you to submit comments on behalf of your own bank that clarifies your bank’s concerns from your perspective. Your bank’s letter may be brief; you do not have to respond to all the questions posted in the Federal Register Notice.

If your bank has strong opinions on only two or three issues, then address only those in your letter. Submitting the letter is most important. From our perspective, it appears as if cost would be the biggest concern for our state’s traditional community banks, but we’re certain there are others.

Here’s where to send your comments:

Ms. Ann Misback, Secretary
Board of Governors of the Federal Reserve System
20th Street and Constitution Avenue, N.W.
Washington, D.C. 20551

Re: Potential Actions to Support Interbank Settlement of Faster Payments
Docket No. OP – 1625

Gov.-Elect Stitt: information on inaugural ball, banker involvement

With the upcoming change in administration, we have a chance to make a positive statement on behalf of the banking industry by sponsoring a table at the Inaugural Ball following the new governor’s inauguration earlier that day (Jan. 14, 2019). We’re trying to raise $10,000 with specific recognition of each bank that contributes to this effort.

Corporate contributions are permitted and all we need is 10 banks that are willing to contribute $1,000 each, or 20 banks willing to contribute $500 each or 40 banks willing to contribute $250 each. Certainly, the OBA will contribute to this effort, but the most important element is recognition for each bank that contributes both at the Ball itself and beforehand to individually show as many banks participating as we can.

Please consider having your bank participate.

Economic, social costs of legalized marijuana

We have been told on many occasions that legalizing marijuana, either for medical or recreational purposes, would be a huge source of new tax revenue for the state. While that may or may not be accurate, the question of what impact, if any, will legalization have on the more difficult question of what does that mean for the costs of making that choice.

The Centennial Institute at Colorado Christian University recently commissioned a study to better understand the economic and social costs of legalized marijuana. That report – Economic and Social Costs of Legalized Marijuana – can be viewed here:
http://www.ccu.edu/centennial/policy-briefs/marijuana-costs/.

Here are some of the important findings contained in this report:

For every dollar gained in tax revenue, Coloradans spent approximately $4.50 to mitigate the effects of legalization.
Costs related to the healthcare system and from high school drop-outs are the largest cost contributors.
While people who attended college and use marijuana has grown since legalization, marijuana use remains more prevalent in the population with less education.
Research shows a connection between marijuana use and the use of alcohol and other substances.
Calls to poison control related to marijuana increased dramatically since legalization of medical marijuana and legalization of recreational marijuana.
About 15 people are severely burned as a result of marijuana use per year.
People who use marijuana more frequently tend to be less physically active, and a sedentary or inactive lifestyle is associated with increased medical costs.
Adult marijuana users generally have lower educational attainment than non-users.
Research does suggest that long-term marijuana use may lead to reduced cognitive ability, particularly in people who begin using it before they turn 18.
Yearly cost-estimates for marijuana users: $2,200 for heavy users, $1,250 for moderate users, $650 for light users.
Sixty-nine percent of marijuana users say they have driven under the influence of marijuana at least once, and 27 percent admit to driving under the influence daily.
The estimated costs of DUIs for people who tested positive for marijuana only in 2016 approaches $25 million.
The marijuana industry used enough electricity to power 32,355 homes in 2016.
In 2016, the marijuana industry was responsible for approximately 393,053 pounds of CO2 emissions.
Marijuana packaging yielded over 18.78 million pieces of plastic.

The researchers felt strongly Colorado needs to have an important conversation about the presence of THC in fatal car crashes and suicide and they included these numbers in the report without attaching a monetary value to the loss of life. They pointed out these are preventable deaths, and if we’re serious about stopping THC-related car crashes and suicides, we need to explore these issues further

The research firm used to create the report is QREM, a third-party evaluation firm serving non-profits and many of Colorado’s most reputable foundations.

Free webinar upcoming on how donations can support rural schools

The Oklahoma Public School Resource Center is offering a free webinar on how Catalyst Education Fund donations support innovative programs in rural schools and also provide donors with tax credits. OPSRC Executive Director Brent Bushy will run through all the benefits of the program and answer any questions you may have.

The webinar will take place from 10-11 a.m. on Friday, Dec. 14. You can access and register for the webinar by clicking here.

OBA education corner …

Christmas and New Year’s looms ever closer … these past few months have just FLOWN by! With that in mind, don’t let continuing education opportunity through the OBA fly by you and your fellow bankers! Take note of the following:

2019 Compliance Updates, Jan. 29-Operations, Tulsa; Jan. 29-Lending, Tulsa; Jan. 30-Operations, Oklahoma City; Jan. 30-Lending, Oklahoma City — The 2019 Compliance Updates will provide a review of issues and concerns facing every bank’s compliance team. The sessions will focus on “hot” topics, trends and areas that may need more emphasis. Common compliance mistakes also will be covered.
Reg. E Error Resolutions & Disputes, Dec. 18, webinar — ACH, ATM and Debit Card error resolution rules are confusing. There are Regulation E rules and VISA or MasterCard rules that don’t always sync up. While the math behind zero liability is easy, the rest can be very hard to understand. This webinar will help.
BSA Year-End Round Up, Dec. 19, webinar — This year-end wrap up will focus on looking at the 2018 year including beneficial ownership, new CTR, and new SAR.