Page 2 - §201 Capital Simplification for Banks <$10B

various criteria including asset size, size of off-balance sheet exposures, and
mortgage servicing asset (MSA) concentrations. Including various limiting criteria may
add unnecessary complexity to a proposal that seeks to simplify.

Where does Colorado stand?
• 95% of the 80 Colorado banks under $10 billion will be eligible if the community bank
leverage ratio is set at 8 percent. Only 55% will be eligible if set at 10 percent.
• Every single one of the Colorado banks eligible at 8 percent clearly meets other risk-
based capital requirements.

This proves the premise on which the provision in law was based and demonstrates that

banks with an 8 percent leverage ratio are well capitalized.