April 13, 2010
MEDIA RELEASE
Conference of State Bank Supervisors
1155 Connecticut Avenue, NW, Fifth Floor, Washington, DC, 20036
CSBS Applauds Extension of the TAG Program by the FDIC
By Neil Milner
President and CEO
WASHINGTON—The Conference of State Bank Supervisors (CSBS) applauds the actions taken
today by the FDIC’s Board of Directors to extend the Transaction Account Guarantee (TAG)
Program through December 2010, with the option to further extend the deadline through
December 2011.
The actions taken by the FDIC today will do much to provide continued stability to the nation’s
financial system. While there are signs of a positive recovery, there are still parts of the country
and the financial system which remain vulnerable to current economic conditions.
Past policies that created a system of “too big to fail” institutions made the TAG Program a
necessity as prior federal recovery efforts were almost entirely focused on stabilizing only the
nation’s largest institutions. Yet while the biggest banks were saved by extraordinary
government interventions, the community and regional banks were largely allowed to fail as
they struggled to operate in an economic environment not of their making. Extending the TAG
Program will do much to assure consumers and small businesses in the strength of community
and regional banks, thereby further contributing to the national economic recovery.
Finally, CSBS commends Chairman Sheila Bair for her commitment to the future of the TAG
Program, which throughout the financial crisis has proven to be one of the most successful
federal stabilization and recovery efforts.
State regulators look forward to working with Chairman Bair, the FDIC, members of the
industry, and members of Congress to address the need for a permanent insurance program to
provide full coverage of transaction accounts.
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Media Contact: Catherine Woody, Director of Public Relations for Policy, cwoody@csbs.org or
202.728.5733.
CONFERENCE OF STATE BANK SUPERVISORS
1155 Connecticut Ave., NW, 5th Floor • Washington DC 20036-4306 • (202) 296-2840 • www.csbs.org
The Conference of State Bank Supervisors (CSBS) is the nationwide organization for state bank
regulation, representing the bank regulators of the 50 states, the District of Columbia, Guam, Puerto
Rico, and the Virgin Islands. State authorities supervise approximately 6,000 state‐chartered financial
institutions. Further, the majority of state banking departments also oversee mortgage providers and
other financial service providers. CSBS is also responsible for improving the quality of state bank
supervision by providing performance evaluation and accreditation programs for the banking
departments, as well as supervisory education and training programs for state personnel.