WASHINGTON - The Senate has confirmed Joseph H. Neely to the Federal Deposit Insurance Corp. board of directors, bringing the board up to full strength for the first time since 1992.
The unanimous vote last Friday capped a six-month confirmation ordeal for Mr. Neely, who has served most recently as Mississippi's banking commissioner.
Mr. Neely said Tuesday that he will seek industry input in his new job, just as he did in Mississippi. "The industry we supervise pays for a product," he said. "They should expect superior service."
FDIC Chairman Ricki Helfer praised the Senate's vote. "It is terrific the FDIC at last has a full board," she said. "Vice Chairman Skip Hove and I look forward to working with Joe."
Mr. Neely said his starting date is not decided, but he will remain in Mississippi through Jan. 11.
In addition to three years as Mississippi's banking regulator, Mr. Neely spent 15 years as a banker, working most recently as senior vice president at Merchants National Bank, a $180 million-asset bank in Vicksburg.
"He's done a great job as commissioner in Mississippi, and I know he'll do a great job at the FDIC," said McKinley W. Deaver, executive director of the Mississippi Bankers Association.
Mr. Deaver praised Mr. Neely for improving the pay and training of Mississippi's bank examiners.
Mr. Deaver also said Mr. Neely was a great lobbyist. "He didn't always agree with our association, but we had a more informed legislature as a result of his efforts," Mr. Deaver said.
"He's going to make an outstanding FDIC director," agreed James B. Watt, president of the Conference of State Bank Supervisors. "His banking experience and his work as a state regulator give him a great perspective."
With Mr. Neely's arrival, independent appointees will again hold a majority on the FDIC board.
By law the FDIC board includes the comptroller of the currency and the director of the Office of Thrift Supervision, both of whom report to the Treasury Secretary. Before FDIC Chairman Helfer was appointed in 1994, board vice chairman Andrew C. "Skip" Hove was overruled on crucial votes by Comptroller Eugene A. Ludwig and acting OTS director Jonathan Fiechter.
In one vote, the Treasury appointees blocked an FDIC effort to examine problem national banks. "The Treasury has been exercising veto power over what the FDIC wanted," Mr. Watt said.
Despite the vacancy, neither the White House nor Congress hurried Mr. Neely's appointment. His name first surfaced as a candidate last December. Though he was soon considered the front-runner, President Clinton did not announce the nomination until July. His nomination then languished after the Senate Banking Committee recommended his appointment in October.
Mr. Neely said the delay has been difficult. "It's a relief to finally be confirmed," he said. "The wait has created a lot of anxiety for me and my family."
