The Dodd-Frank Act passed by Congress was created to better regulate Wall Street, but appears to be causing problems on Main Street.
State Bank and Trust has locations in four area communities, but is closing its branch in New Hartford. Bank officials say the new regulations are too costly and they will have to close the branch to make up for the loss.
The bank could close as early as November 15th.
The city, local business, and local non-profits use the bank on a daily basis.
"The city conducts all their business though it. I know as a member of the Lions, we use it for a lot of things. It's convenient to get your money to run bingo and that other stuff and it's a necessity for the community," said New Hartford Mayor, John Anderson.
This closing isn't the first and it probably won't be the last for the community of New Hartford. The only convenience store in town closed a couple years ago, but was just recently replaced. There has also been talk about the post office closing. Local residents say it's getting tougher and tougher for these small communities to keep going.
"We're just really working hard to change things and start to grow and gain and we just keep running into a set back here and there and it becomes more of an uphill battle every time we turn around," said Anderson.
Only one person works at the bank and has been offered a position at another location.
State Bank and Trust bought the New Hartford branch two years ago and bank officials say they had no plans of closing it then.
City officials say they will continue to look for a bank to replace the one that's closing.
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