Preverse effect of Dodd Frank's compliance costs is to create more Too Big To Fail banks

Property Loan Scrutiny Puts Chill on Local Banks is an example of the inexorable push toward consolidation generated by Dodd Frank's compliance costs. For example "at Ocean City Home Bank have gone up 50 percent because of the Dodd-Frank Act. When two other banks approached Ocean City Home Bank, Mr. Brady saw an opportunity. “We had the same rules and regulations as Chase, but we didn’t have the scale to do it.”" To stop the consolidation  the regulations should apply only to the trillion dollar financial institutions that the Act was dreamed up to counter. The small local banks on the other hand were not the problem and were well regulated by the FDIC before the crisis. If their compliance costs could be brought back to previous levels then the need to scale to spread these costs would diminish and thereby reduce the Act's perverse effect of creating more too big too fail banks.