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Friends of Traditional Banking(FOTB) is anindependent expenditure-only committee, or super PAC, with the aim of improving the political and regulatory environment for thebanking industry in theUnited States by decreasing federal regulation, particularly by repealing theDodd–Frank Wall Street Reform and Consumer Protection Act. As a non-partisantrade group, it selects a small number of Congressional races in each election cycle (typically two) and encourages their members to donate directly to these campaigns.[1]
 | |
| Abbreviation | FOTB |
|---|---|
| Formation | 2012 inSalt Lake City, Utah |
| Type | Super PAC Industry trade group Advocacy group |
| Legal status | non-partisan |
| Purpose | Decreasing federal regulation of banking by encouraging support for key races each election cycle. |
| Location | |
Region served | United States |
| Membership | 15,000 |
Chairman | John Boyer, Chairman, KANZA Bank,Kingman, Kansas |
Founder & Treasurer | Howard Headlee, President & CEO, Utah Bankers Association |
Executive Director | Mike Winder |
| Website | friendsoftraditionalbanking |
The organization is headquartered inSalt Lake City,Utah and has over 15,000 members. They are led by an executive committee including bank executives and bank association executives, advised by a Board of bank executives from each state, and an Advisory Council of bank association leaders.[2] Their membership and leadership includes execs affiliated with theAmerican Bankers Association,Independent Community Bankers of America, and other industry groups.
During the2012 senate elections, the group came out in support ofDean Heller, a former banker inNevada.[3] They also supportedScott Brown in the Senate race inMassachusetts againstCFPB creatorElizabeth Warren.[4] Although Warren won in Massachusetts, Heller won a narrow victory over CongresswomanShelley Berkley in Nevada.[5]
In the2014 senate elections, the group helped direct over 1,000 donations totaling over $500,000 toCory Gardner inColorado and another $500,000 plus toJoni Ernst inIowa. Both Gardner's opponent Sen.Mark Udall and Ernst's opponent Rep.Bruce Braley were defenders of theDodd-Frank Act and advocated for increased expansion ofcredit unions. Ernst and Gardner both won on Election Day.[6]
When first announced in 2012, Friends of Traditional Banking was described bySalon as a "smokescreen of a sobriquet," and that it was primarily an effort to revoke "a key provision ofDodd-Frank known as theVolcker Rule"[7] while theHuffington Post said it was part of the banks' "plan for world domination."[8]National Journal commented that "the bankers' non-super PAC super PAC" was "taking a novel approach" that promised to be both effective and transparent.[9]
After the 2014 elections,Politico commented that "The industry went to bat in a big way forGardner, routing him money through Friends of Traditional Banking,".[10]