The New Paradigm - Federal Reserve Bank of Dallas

28
Banking Supervision;
Discount and Credit
The Eleventh District’s banking
industry posted another year of solid
performance, with continued strong
loan growth, stable net interest margins,
healthy earnings and high capital
levels. The year culminated with
the passage of the most significant
piece of banking legislation since
1933. The Gramm–Leach–Bliley Act,
signed into law November 12, repealed
Depression-era laws that
barred banks from insurance and
securities activities.
Banking Supervision staff worked
with federal agencies to conduct Y2K
compliance checks for all statemember
banks, bank holding companies,
and key service providers
and vendors in the District. Discount
and Credit staff worked with banks to
file borrowing documents and identify
collateral for possible loans from
the Dallas Fed. As 1999 rolled over
into the year 2000, all District financial
institutions were armed with
plans for business resumption and
management of liquidity during the
century date change period.
The Dallas Fed held workshops for
boards of state member banks and
others on their roles and responsibilities
as well as the expectations of
examiners. The Bank also hosted an
interagency conference of senior federal
banking regulators and a
national forum for veteran consumer
affairs examiners. The Dallas Fed was
selected as the site for a national help
desk for Federal Reserve System and
state banking examiners using automated
community bank examination
products.
Research and
Public Affairs
The Dallas Fed focused major
research on public policy issues of
interest to the business community
and opinion leaders. Conferences,
publications, briefings and presentations
provided information and
analysis on dollarization, the euro,
the changing U.S. fiscal outlook, the
monetary policy implications of oil
prices, unilateral trade liberalization,
minimum wage legislation and hightech
industries.
The Bank addressed international
issues by sponsoring, together with
the World Bank, a major conference
on banking privatization. The Dallas
Fed joined the World Bank, the Central
Bank of Argentina and two major
universities to cosponsor a conference
on economic and financial
issues Latin America faces.
An El Paso Branch conference on
NAFTA drew economists, trade
experts and other participants from
the United States, Canada and Mexico.
At the San Antonio Branch, civic
leaders from around the country
attended a conference on the economics
of urban planning. The Bank
also cohosted five forums with the
National Center for Policy Analysis.
In 1999 the Bank launched its
new, award-winning Internet site
(www.dallasfed.org). The site features
information on Dallas Fed
operations, the Center for Latin
American Economics, money and
banking, technology, free enterprise,
and regional, national and global
economies.
The Dallas Fed continued to support
economic education by conducting
conferences and workshops for
university faculty, high school teachers
and students in the Eleventh District.
Among them was a new conference
to help teachers prepare
students for advanced placement in
economics. The Bank also encouraged
the study of economics by
sponsoring a student essay contest
and the Fed Challenge competition.
The Dallas Fed’s Community Affairs
division provided information on
public/private partnerships, resources
and innovative models that help promote
community and economic
development and fair and impartial
access to credit. The Bank cosponsored
a national conference on business
access to capital and credit and
held a District symposium on transportation’s
importance to rural economic
development.
1999 ANNUAL REPORT Federal Reserve Bank of Dallas