Georgia Communities First Magazine Summer 2013 by Community Bankers Association of Georgia

SUMMER 2013 Official Publication of the Community Bankers Association of Georgia

C B A i s . . . Pa s s i o n . P u r p o s e . Po w e r.

Inside • Executive Changes at the Association • Highlights of the Leadership Division Convention & Mini-Trade Show • Annual Meeting & Trade Show Preview • Fall Schools, Classes and Conferences

Don't Miss the CBA's 45 Annual Meeting & Trade Show Wednesday - Sunday, September 11 - 15, 2013 | Sandestin Golf & Beach Resort, Destin, FL Member:

StokeS LazaruS & CarmiChaeL LLP attorneyS at Law

Our firm has provided legal services for the banking community in the areas of credit and collections litigation, fraudulent transfer litigation, bankruptcy representation, and bank loan workouts since our inception in 1972. We pride ourselves on “Real World Legal Solutions®.” We welcome the opportunity to discuss how we can help you optimize recoveries.

Stokes Lazarus & Carmichael LLP 80 Peachtree Park Drive, NE Atlanta, Georgia 30309 Tel. 404-352-1465

The Power of Legal Knowledge® Visit us online at www.slclaw.com

GEORGIA

Communities S U M MER 2 0 1 3

FIRST

CBA STAFF Rob Braswell President & CEO rob@cbaofga.com Carolyn Brown President & CEO, Emeritus carolyn@cbaofga.com Steve Bridges Executive Director of Legislative & Regulatory Affairs steve@cbaofga.com Shera Banks Marketing Coordinator shera@cbaofga.com Donna Coutant Education & Special Events donna@cbaofga.com

INSIDE

Carolyn Brown Retiring; Welcome Rob Braswell

Highlights from the 35th Annual Leadership Division Convention

Welcome Aboard 2013-2014 Leadership Division Board of Directors and CBA Leadership Division Raises $30,000 for Children's Healthcare

Winners of the 2013 Hester Scholarships

2013 Winner of the Walraven Scholarship

Lindsay Greene Vice President Marketing & Member Services lindsay@cbaofga.com

2013 PAC/PR Golf Tournaments Raise Funds for the CBA's PAC/PR Funds

Ally Hellenga Marketing Intern intern@cbaofga.com

Previewing the 4th Annual Georgia Bank Directors' College & FDIC Workshop

Amanda Lee Education Intern educintern@cbaofga.com

When BOLI Holdings Exceed Regulatory Guidelines

Tammy Maass CFO tammy@cbaofga.com

Jodi Swilley Vice President Education & Professional Development jodi@cbaofga.com

Charlie Watts Lobbyist Nick Wilborn Operations Assistant nick@cbaofga.com

page 3 | Carolyn Brown Retiring; Welcome Rob Braswell

Gearing Up for the 45th Annual Meeting & Trade Show

Teresa Day Receptionist / Administrative Assistant teresa@cbaofga.com

FEATURES

page 4-5 | Highlights of the Leadership Division Convention

Outside the Box and Discover Debit: A Better Choice in Signature Debit In Order to Win,You Must First Compete. Let's Talk Marketing

page 8-9 | Annual Meeting & Trade Show Preview

S ta y co n n ecte d

Peake Wilson Vice President peake@cbaofga.com

Scan with your smartphone to view our website.

Cover photo: Sandestin Golf & Beach Resort, Destin, FL; site of the 2013 Annual Meeting & Trade Show

page 14-15 | Meet the Winners of the 2013 Hester and Walraven Scholarships Community Bankers Association of Georgia 1900 The Exchange, Suite 600, Atlanta, GA 30339 (770) 541-4490 or (800) 648-8215 • Fax (770) 541-4496 www.cbaofga.com • cba@cbaofga.com

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FINER

POINTS

Seeking Regulatory Possibility

By Cam Fine President & CEO, Independent Community Bankers of America

“The rule is, jam tomorrow and jam yesterday—but ICBA and every community banker strongly support the never jam today.” ―Lewis Carroll, “Alice’s Adventure principles of fair lending. No community bank wants to turn away any worthy and viable loan, to anyone. in Wonderland” But community banks must operate in the real world. Did you hear about the Maryland community bank When regulatory rules, directives or actions create accused recently of discriminating against white confusion or conflicts, and when mandates become males? The bank was given a fair lending violation for impractical or impossible to implement, regulatory creating a loan program designed to help minorities burden becomes paralyzing. And that’s extremely and women obtain more affordable credit. destructive. I’m not kidding. The absurdity of the bank’s "Alice in Wonderland" predicament might tempt a few chuckles—except it illustrates a deadly serious problem associated with excessive regulatory burden. ICBA has always championed common-sense regulation for community banks. Regulations must be fair, balanced and relevant to a bank’s scale and real-world risks and activities—but they must also be possible to achieve. Citing compliance achievability as a standard might sound flippant, but I’m serious. It’s vitally important, and becoming increasingly so.

So when the Consumer Financial Protection Bureau issued new “qualified mortgage” lending standards earlier this year and then recently endorsed the use of disparate impact, this regulatory paradox became a pressing matter. Currently, a lender that decides to issue only qualified mortgages to avoid new legal and litigation risks created by the CFPB rules could trigger a fair lending violation. Conversely, working to avoid a fair lending violation by issuing non-qualified mortgages could expose a bank to unacceptable reputational damage and lender liability.

Without formal clarification and assurances from the The direction of today’s fair lending enforcement in CFPB and HUD, community banks and other mortgage pursuit of a “disparate impact” legal theory represents lenders face a serious, no-win regulatory double the most troubling case in point. bind. So last month ICBA joined several other trade Several years ago the Department of Housing and groups to ask HUD and the CFPB to provide guidance Urban Development began using disparate impact, a to resolve the conflict and uncertainty. Otherwise legal premise not yet affirmed by the court system. mortgage lending could fast become an unworkable By examining statistical patterns in lenders’ loan mess throughout the country, for both lenders and portfolios, disparate impact attempts to determine borrowers. whether lenders might be discriminating against As the industry’s champion of proportionally tiered borrowers. Under this controversial approach, HUD regulation for community banks, ICBA believes has given itself extra leeway to initiate damaging regulations should be clear and balanced, but also fair-lending investigations, even against lenders with possible to achieve. Yes, this is obviously common sense credit practices that are specifically developed not to (as rare as hen’s teeth in Washington these days). But discriminate against anyone. eradicating this new and even more dangerous form of regulatory burden is not only necessary for already In short, HUD is looking for problems to fix that don’t exist, and that’s dangerous. The potential for overburdened community banks; it’s imperative to mischief and harm is too great. ICBA has spoken out maintain the full and proper functioning of Main Street against disparate impact and has met with top Justice America’s economy. Nothing less is acceptable. Department officials and other policymakers about our Member: concerns.

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Carolyn Brown Retiring from the CBA Rob Braswell Named President & CEO

his spring, Dan Oliver, President & CEO, Vinings Bank, Smyrna, and 2012-2013 Chairman of the Board of the Community Bankers Association of Georgia (CBA), announced the retirement of Carolyn Brown, President & CEO, after 25 years with the Association. Robert M. Braswell, CEM, former Commissioner of the Georgia Department of Banking & Finance, has been named President & CEO, joining the Association on June 10, 2013. According to Mr. Oliver, Ms. Brown led the CBA to expand educational offerings, networking opportunities, endorse new products and services for member banks and worked diligently to ensure Georgia's community banks and associate members received accurate information in a timely fashion. “We are grateful for the strong leadership Carolyn has provided and thank her for her willingness to facilitate a smooth transition. She leaves with utmost respect and sincere appreciation from both bankers and financial services providers from across the country,” Mr. Oliver commented.

"After 25 years at the CBA, I believe this is a good time to create an opportunity for new leadership for the Association," Ms. Brown said. "While so many changes have taken place in the community banking industry over the past 25 years, the one thing that hasn’t changed is Georgia community banks’ commitment to their customers and their community. It has truly been an honor to work with such a fine group of individuals and I’m leaving the Association in good hands with a strong Board of Directors and a leader like Rob." Carolyn Brown

Ms. Brown was named President and CEO of the CBA in June 2009. Ms. Brown joined CBA in May 1988 and has served in various capacities. Ms. Brown served as Executive Vice President and Chief Operating Officer, where she managed day-to-day operations of the Association and all staff operations. Before joining CBA, Ms. Brown held a career in banking and worked at the state Capitol in Atlanta for five years. She holds a business degree from Forrest Business College in Anderson, South Carolina. Ms. Brown graduated Cum Laude from Georgia State University in Atlanta, where she received a bachelor’s degree in Business Administration. She will retire on August 31, 2013. Mr. Oliver shared the CBA Executive Committee conducted an aggressive search for several months to replace Ms. Brown. Mr. Braswell retired from the Georgia Department of Banking & Finance as of June 1, 2013. Rob served as Commissioner of the Georgia Department of Banking and Finance since December 2005. Prior to serving as Commissioner, Mr. Braswell was the Deputy Commissioner for Mortgage for approximately two years. He spent his entire professional career with the Department. Mr. Braswell previously served as district director and supervisory examiner for the District 1-Northwest region and held several financial examiner positions. He received his bachelor’s degree in business administration, with a concentration in finance, from Georgia Southern University.

Rob Braswell

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What is the CBA Leadership Division? The Leadership Division was created in 1980 to educate and inform future bank leaders on the current issues in the banking industry and to prepare them for further leadership roles in their institutions. One of the main principles of the division is to promote economic education by teaching students about banking, saving, spending, interest, credit and other related issues. Each year, the division also conducts fundraisers that benefit Children’s Healthcare and the CBA PAC/PR Funds.

35th Annual Leadership Division Convention & Mini-Trade Show - Driving Success! Bankers and community bank providers enjoyed the ride of their lives at the 35th Annual Leadership Division Convention & Mini-Trade Show, held June 20 – 24, 2013 at the Omni Amelia Island Plantation Resort. On Friday morning, bankers marked the official start of the convention with the Welcome Address from Steven Rigdon, Vice President, Pineland State Bank, Metter, 2012-2013 Leadership Division Chairman; Dan Oliver, President/CEO, Vinings Bank, Smyrna, 2012-2013 CBA Chairman; and, presentations from Eric Collinsworth, President, Appraisal Advisory Associates, LLC, Arrington, TN and Michael Paslawskyj, Regional Economist, Division of Insurance and Research, FDIC. Attendees enjoyed the popular Mini-Trade Show which featured 30 of the top financial services 4 | w w w .cbaof ga. com | Sum m e r 2 0 1 3

providers in the country. On Friday afternoon, the Julian Hester Memorial Golf Tournament was held. Attendees heard from a number of excellent speakers on Saturday including Stuart Walker, Partner, Martin Snow, Macon, and Steve Gilliland, Mocksville, NC, bestselling author and keynote speaker for the convention, who presented “Enjoy Steve Gilliland the Ride.” The action-packed convention included a discussion on Saturday from a technology panel of speakers including Chris Cochran, Vice President/Commercial Loan Officer, Affinity Bank, Atlanta; Frank Griffin, EVP, Senior Lending Officer, Flint Community Bank, Albany; Virginia

Heyburn, Vice President, Strategic Marketing, Fiserv, Brookfield, WI; Bret Skousen, EVP, First Data, Provo, UT; Sean Payant, Ph.D., Senior Executive Vice President, Haberfeld Associates, Lincoln, NE; and, Chris Cole, Senior Vice President/Senior Regulatory Counsel, ICBA, D.C. The 2013-2014 Leadership Division Board of Directors was elected, and awards were presented to Division 3 for 2013 Division of the Year; and, Corey Gibbs, President & CEO, Community Banking Company of Fitzgerald, was named 2013 Leadership Division Representative of the Year. Since the June 2012 convention, the Leadership Division raised $30,000 for Children’s Healthcare, almost $7,000 for the CBA PAC/ PR Funds and educated nearly 15,000 throughout Georgia on the importance of community banking.

Thank You

to our Sponsors... Platinum Elite

Fiserv

Platinum Harland Clarke | ICBA Federal Home Loan Bank of Atlanta Travelers

Silver | Jones Walker Bronze PULSE

Individual Event Sponsors Meyer Chatfield Compensation Advisors Board Appreciation Reception James-Bates-Brannan-Groover LLP Board Appreciation Dinner Stokes, Lazurus & Carmichael, LLP Hotel Key Cards Total System Services, Inc. (TSYS) Chairman's Reception & Golf Hole Sponsor Denyse Companies - Convention Signage ICBA - Convention Totes BankSmart - Registration Packet, Saturday Break First Data - Friday & Saturday Cash Prizes ServisFirst Bank - In-Room Gifts EverFi - Saturday Speaker - Steve Gilliland Shazam - General Session and Annual Business Meeting Womble Carlyle Sandridge & Rice Golf Tournament Boxed Lunches CRS Data - Friday Speaker - Eric Collinsworth Data Center, Inc. (DCI)Saturday Promotional Items LaGrange Banking Company - General Sponsor

...and to the Exhibitors!

ACG, Inc. ATM Response Banc-serv PARTNERS, LLC BankSmart Bankers Healthcare Group, Inc. CFS, Inc. CRS Data CSRA Business Lending Clarity Appraisal Management Consolidated Banking Services, Inc. (CBSi) Cummins-Allison Corporation DeNyse Companies Dell SecureWorks Ellie Mae, Inc. Executive Insurance Agency, Inc.

Federal Reserve Bank First Data GACHA Harland Clarke High Cotton Marquis Mortgage Services III, LLC PULSE Prater & York, LLC REPAY Renasant Mortgage SHAZAM Total System Services, Inc (TSYS) Travelers Triad Financial Services, Inc.

CBA Leadership Division Elects 2013-2014 Board of Directors Congratulations to the newly-elected Board of Directors: Chairman: Rhodes McLanahan – First American Bank & Trust Company, Athens; Chairman-Elect: Rusty Powell – Highland Commercial Bank, Marietta; 1st Vice Chairman: Kyle Ray – First Bank of Dalton; 2nd Vice Chairwoman: Terri Bunten Guthrie – First Landmark Bank, Marietta; Past Chairman: Steven Rigdon – Pineland State Bank, Metter

Members at Large: Clell Deaver – Atlantic Capital Bank, Atlanta; Richy Everly – State Bank of Cochran; Dave Fain – Commercial State Bank, Donalsonville; Heath Fountain – HeritageBank of the South, Albany; Jane Lawson – First Peoples Bank, Pine Mountain; Kevin Massey – Bank of Terrell, Dawson; Kay Stevenson – First State Bank, Wrens; Jamie Tallent – United Community Bank, Ellijay; Pam Wheeler – SunMark Community Bank, Hawkinsville; Peake Wilson – CBA of GA, Atlanta

Div. 1 Chair: Vice Chair:

Jim Cowart – Durden Banking Company, Twin City Cliff Wildes – HeritageBank of the South, Statesboro

Div. 2 Chair: Vice Chair:

Chip Davis – Family Bank, Bainbridge Jason Rooks – Flint Community Bank, Albany

Div. 3 Chair: Vice Chair:

Corey Gibbs – Community Banking Company of Fitzgerald Debra Weil – PlantersFIRST, Fitzgerald

Div. 4 Chair: Vice Chair:

Marlene Rhodes – HeritageBank of the South, LaGrange Greg Proffitt – Newton Federal Bank, Covington

Div. 5 Chair: Vice Chair:

Katherine Kay – Georgia Commerce Bank, Atlanta Trae Dorough – Touchmark Bank, Alpharetta

Div. 6 Chair: Vice Chair:

Powell Griffith – Farmers & Merchants Bank, Eatonton Chuck Harwell – Community Bank of Dublin – Laurens County

Div. 7 Chair: Vice Chair:

Clark Hungerford – Vinings Bank, Smyrna Chad Thomason – MetroBank, Kennesaw

Div. 8 Chair: Vice Chair:

Adam Smith – First National Bank of Coffee County, Douglas Pam Horton – Guardian Bank, Valdosta

Div. 9 Chair: Vice Chair:

Mike Underwood – First Citizens Bank of Georgia, Dawsonville Robbie Stephens – Northside Bank, Adairsville

Div. 10 Chair: Shannon Fortson – Pinnacle Bank, Elberton Vice Chair: Andy Thomas – The Commercial Bank, Crawford

CBA Leadership Division Raises $30,000 For Children's Healthcare

eorgia’s community bankers continue to do what they do best – give back to their communities. Jane Lawson, COO/Vice President, First Peoples Bank, Pine Mountain, and 2012-2013 Children’s Healthcare Fundraising Chair, announces CBA’s Leadership Division reached the annual Children’s Healthcare Fundraising goal by collecting a net of $30,000. The funds will benefit the Children’s Strong4Life program, a program to improve child wellness and reduce childhood obesity. The CBA Leadership Division began raising funds for Children’s Healthcare in 1989 and community bankers in Georgia have raised a total of nearly $375,000.

“We are thrilled with the amount of money collected this year as well as the enthusiasm of our bankers for this cause,” said Rob Braswell, President & Chief Executive Officer, Community Bankers Association of Georgia. “Children’s Healthcare provides so much for the communities in Georgia, and we are proud to have given financial assistance. This need really resonates with our Leadership Division, many who have small children of their own and appreciate the easy access to this worldclass children’s healthcare facility.” 6 | w w w .cbaof ga. com | Sum m e r 2 0 1 3

Pictured from left are: Jane Lawson, COO/Vice President, First Peoples Bank, Pine Mountain, and 2012-2013 Children’s Healthcare Fundraising Chair, presenting a check for $30,000 to Lucy Klausner, Senior Development Officer, Children’s Healthcare Foundation, Atlanta.

HIGHLIGHTS:

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& 45MEETING TRADE SHOW th ANNUAL

Wednesday - Sunday, September 11 -15, 2013 Sandestin Golf & Beach Resort, Destin, Florida

Calling all bank CEOs, Presidents, CFOs, COOs, Senior Management and, Bank Directors - the 45th Annual Meeting & Trade Show is less than two months away! This event features dynamic speakers, a display of the latest products and services at the trade show, and the opportunity to leave armed with valuable information, strengthened relationships, and a game plan for success - all at the Sandestin Golf & Beach Resort in Sandestin, Florida!

Learn from industry experts including:

Let’s Get Banking and America Going Again William Isaac Global Head of Financial Institutions FTI Consulting

John Henrie Deputy Regional Director FDIC

Hotel Reservation Information:

Managing Investments Innovate to Survive, Grow in Today’s Regulatory and Win in a Financial Landscape Services World Jim Reber Virginia Heyburn President & CEO Vice President of Strategic ICBA Securities Marketing Fiserv

Oscar Harvey Associate Deputy OCC

ICBA Update Jeffrey Gerhart Immediate PastChairman, Independent Community Bankers of America (ICBA)

Thanks to Our Exhibitors*

To make hotel reservations at Sandestin Golf & Beach Resort, please call the reservation line at (800) 277-0800 and mention the CBA of Georgia group. The deadline to receive the CBA discounted room rate is Friday, August 16, 2013, or until the CBA block is full. Room type and rate options are per night and as follows*: Studio $139; 1-Bedroom $159; 2-Bedroom $229; or, 3-Bedroom $279. To reserve your room online, visit www.sandestin.com/22Y5C7. aspx. The GROUP CODE is 22Y5C7. A room deposit in the amount of one night will be required at the time the reservation is made. This deposit is fully refundable if the reservation is cancelled more than seven days prior to arrival date. *Taxes and additional resort fees apply. Deadline to recieve the discounted rate is August 16, 2013!

Meet Keynote Speaker – Ken Futch, CSP Take Your Best Shot - Turning Situations into Opportunities A single moment. How you react. This is how lives are changed. Learn from Ken’s astonishing true story of how he accidentally shot himself in the head – and how it opened his mind! Hilarious, inspiring and motivating, it’ll give you a (w)hole new outlook on life! In times of dramatic change, discover how you can position yourself to maximize your opportunities. Find out what critical factors impact your success and identify the silver bullets that will help you Take Your Best Shot! Ken Futch is president of Ken Futch and Associates, an Atlanta-based training company that teaches organizations and individuals how to recognize and capitalize on opportunities. Before founding his company in 1986, Ken was in sales and management with AT&T, where he was recognized for achieving the best results in a group of 6,000 salespeople. Ken's success led to his selection as a top trainer at AT&T's prestigious National Sales School and to being featured in Newsweek magazine. A native of the "Tar Heel" state, Ken received his Bachelor

of Science degree in business administration from the University of North Carolina at Chapel Hill. He was commissioned as a lieutenant and served three years in the U.S. Army, including a tour in Vietnam as a combat platoon leader. Ken delivers more than 100 high-impact programs annually and has trained over 100,000 people in seminars presented throughout North America and Europe. He is the author of the book Take Your Best Shot, which is filled with priceless insights and stories about turning situations into opportunities. A passionate believer in lifelong learning, Ken has continued his own development by earning the designation of certified speaking professional from the National Speakers Association—a five-year educational and experiential process. Spouses and guests are invited to attend this session on Saturday.

Sponsored by

Much of Stevenâ&#x20AC;&#x2122;s life was dedicated to improving his community and community banking. His banking career began in 1966 at the First National Bank of Atlanta. In 1982, Steven became President of the Peoples Bank of Bartow County in Cartersville. Steven continued his career in community banking as the President of United Bank and Trust in Rockmart in 1999. He continued to invest in community banking by serving as the Director and Treasurer of Community Bankers Association of Georgia.

GEORGIA FINANCIAL DIRECTORYâ&#x201E;˘ O R D E R A C O P Y TO DAY !

The Georgia Financial Institutions Directory is a complete resource of all Georgia businesses within the financial industry. All CBA of Georgia bank members and associate members receive one free copy each year. The directory contains information on banks, holding companies, savings & loans, banking products and services, and much more. Order a copy today! The member price of the directory is $45 per directory; and, the non-member price is $75 per directory.

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2013 PAC/PR Golf Tournaments Raise Funds for the CBA's PAC/ PR Funds MACON

1st Place Team

Bobby Crooms, Pineland State Bank, Metter; John Johnson, Sperry Van Ness/ Interstate Auction, Atlanta; Ted Fithian, ACG, Alpharetta and Steven Rigdon, Pineland State Bank, Metter First place team from left to right: Bobby Crooms, Pineland State Bank, Metter; John Johnson, Sperry Van Ness/ Interstate Auction, Atlanta; Ted Fithian, ACG, Alpharetta and Steven Rigdon, Pineland State Bank, Metter. The tournament was held at the Brickyard at Riverside Golf Club on April 9.

2nd Place Team

Dan Speight, State Bank & Trust Company, Macon (also won Longest Drive) Zac Frye, Durden Banking Company, Twin City; Luke Lanier, Durden Banking Company, Twin City; Carl Newberry, Berryfield Hotel Group, Atlanta

Closest to the Pin

Stephen Hartsfield, Berryfield Hotel Group, Atlanta

ALBANY

1st Place Team

Jim Chism, Bank of Camilla; Jim Pack, ATM Response; JR Llewellyn, Meyer Chatfield Compensation Advisors (also won Closest to the Pin); Nick Schuster, Cash Transactions; Michael McGahee, Bank of Camilla

2nd Place Team

Charles Rooks and Mike Lewis, Family Bank, Pelham; Neal Hilliard, State Farm, Pelham; and, Clay Kolbie, The Market, Pelham

First place team from left to right: Jim Chism, Bank of Camilla; Jim Pack, ATM Response; JR Llewellyn, Meyer Chatfield Compensation Advisors (also won Closest to the Pin); Nick Schuster, Cash Transactions; Michael McGahee, Bank of Camilla. The tournament was held at the Stonebridge Golf & Country Club on April 18.

Longest Drive

David Sullivan, First State Bank of Randolph County, Cuthbert

Proceeds from the PAC/PR golf tournaments go to the CBA Political Action Committee (PAC) and Public Relations (PR) funds. The funds provide Georgia’s community banking industry a voice in state politics. The CBA maintains the only state PAC working exclusively for community banks.

Lifetime Service Awards The CBA is proud to present the Lifetime Service Award to community bankers who have devoted 30 or more years of service to the banking industry and who have been heavily involved in their community. The Association is extremely appreciative to these individuals who have served as a role model to the banking community. Honorees will be recognized at the Chairman’s Banquet at the Annual Meeting. Honorees receive a commemorative plaque; are featured in the local media and in various CBA publications; and, honorees with 50 or more years of service receive a customized gold and diamond pin. If you or someone in your bank is celebrating 30 or more years of service to the industry and their community, please let the CBA know by August 1, 2013. Email Peake Wilson at peake@cbaofga.com for more information.

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Hope to see you next year at the 36th Annual Leadership Division Convention and Mini-Trade Show Thursday - Sunday June 26 - 29, 2014 The Ritz-Carlton Amelia Island, FL

SAVE THE DATE

SPOTLIGHT YOUR BUSINESS – CBA Sponsorship and Advertising Opportunities If your goal is to target top decision makers in Georgia’s community banking industry, you won’t want to miss sponsoring at CBA’s 45th Annual Meeting & Trade Show. Sponsorships showcase your business and are available in a variety of price points. Whether you’re interested in sponsoring a carving station at the popular Thursday night dine-around or a refreshment break, the silent auction program or the golf tournament, we have something to suit your budget and goals. Sponsorships offer a world of benefits including recognition before, during and after a CBA event.

If you’re looking for year-round exposure, consider one of the many advertising possibilities at CBA. Advertising in the Georgia Communities First magazine, CBA Today eNewsletter, Georgia Financial Directory, or on the CBA website will keep your name in front of bankers on a regular basis. For more information, contact Lindsay Greene at lindsay@cbaofga.com. S u mme r 2 0 1 3 | Ge o r g i a C o mm u n i t i es Fi r s t | 17

8th Annual Information Technology (IT) Security Conference Thursday- Friday, October 10-11, 2013 The Lodge and Spa at Callaway Gardens, Pine Mountain

ardly a day goes by that cyber threats are not in the news. Lawmakers, businesses and government leaders, and security experts are doing all they can to fight cybercriminals who are out to reap trade secrets, personal information and money.

The CBA invites you to make plans to attend the 8th Annual InformationTechnology (IT) Security Conference and to come hear industry experts from Dell SecureWorks and the regulatory agencies discuss a variety of IT Security hot topics. CBA is pleased to partner with our endorsed member company, Dell SecureWorks, a provider of world-class information security services, to offer this educational conference designed specifically for Georgia community bankers. Register online at www.cbaofga.com.

WHO SHOULD ATTEND

Information Technology Officers, Auditors, and Risk Managers will benefit from this conference.

HOTEL ACCOMMODATIONS

Hotel reservations may be made bycalling the hotel at (888) 312-8002. The CBA hotel room rate being offered is $159. The deadline to receive this rate is Monday, September 9, 2013, or until the room block is full. Complimentary self-parking is available to guests and admissions to the Gardens for overnight guests. E CP its d e Cre liabl a Av

1 / 2Y DA 1

Agenda at-a-Glance THURSDAY, OCTOBER 10, 2013 8:00 a.m-8:30 a.m.

Registration/Continental Breakfast

8:30 a.m-8:45 a.m. Opening Remarks 8:45 a.m-9:45 a.m. The Ever Evolving Threat Landscape

We’ll show you how the threat landscape has changed in the past decade, and what malware can do to your network today that was unheard of just a few years ago. You’ll see why the regulatory agencies continue to increase their security guide lines and why just having fire walls and IDS/IPS systems are not enough.

9:45 a.m-10:45 a.m. Penetration Testing vs. Vulnerability Scans

There’s a time and place for both, but when do you know which one is right for your bank and when should you conduct these tests? We’ll explain.

10:45 a.m-11:00 a.m.

Break

11:00 a.m-11:40 a.m.

Incident Response

11:40 a.m-12:30 p.m.

What is Emerging Threat Intelligence and When Do You Need It?

What you don’t know can hurt you, so why wouldn’t you want to know whether attackers are collecting private information on your bank or its executives. Real threat intelligence catered to your environment differs highly from a normal RSS threat feed. We’ll share why emerging threat intelligence is important and what to look for in a provider.

12:30 p.m.-1:30 p.m.

Lunch

1:30 p.m.-2:25 p.m.

What Information You Need To Be Secure

Collecting log data without taking action is use- less. You can’t secure an environment if you don’t know what is going on. You’ll see what best practices are for security monitoring and what security analysts should be looking for daily in order for them to take swift action when alerts or possible incidents are spotted.

2:25 p.m-3:00 p.m. Cloud Security While you may think the cloud is pillowy soft,

The Lodge and Spa at Callaway Gardens 4500 Southern Pine Drive Pine Mountain, GA 31822

housing sensitive information there could be hard on you and your customers. We’ll talk about what things you should and should not store in the cloud, and how to take propercover.

3:00 p.m.-3:30 p.m.

Closing Remarks

3:30 p.m.

Adjourn

PRICING

CBA Members: $245 for the first attendee; $225 for each additional attendee from the same institution; Nonmembers: $300 for each attendee (prepayment required). 1 8 | w w w . cbaof ga. com | Sum m e r 2 0 1 3

FRIDAY, OCTOBER 11, 2013 8:00 a.m.-Noon Representatives from the regulatory and law enforcement agencies have been invited. And, the popular bankers panel is planned.

C O R R E S P O N D E N T S E RV I C E S

We provide the knowhow to help community banks thrive in a too-big-to-fail-bank world. In addition to our traditional correspondent services, AloStar Bank is proud to offer community institutions a suite of advisory services – Strategic Balance Sheet Management, Strategic Planning, Asset Liability Management, and Profitability Enhancement – expertise often found only in the largest institutions, and designed to help you grow with the biggest of them. We grow the banks that grow America.

– CORRESPONDENT SERVICES –

– ADVISORY SERVICES –

BALANCE SHEET MANAGEMENT | BOND ACCOUNTING | BROKERED

STRATEGIC BALANCE SHEET MANAGEMENT

CERTIFICATES OF DEPOSIT | CLEARING FUNDS MANAGEMENT | FED FUNDS

STRATEGIC PLANNING | PROFITABILITY ENHANCEMENT

INTERNATIONAL SERVICES | INVESTMENT STRATEGIES | SAFEKEEPING

ASSET LIABILITY MANAGEMENT

MEMBER FDIC

LEARN MORE: C B S . A LO S TA R B A N K . C O M | 8 6 6 - 2 1 9 - 9 0 3 5

6th Annual Advanced BSA Officer School Tuesday-Friday, July 30-August 2, 2013 The King & Prince Golf & Beach Resort St. Simons Island

The Bank Secrecy Act (BSA), also known as the Financial Recordkeeping and Reporting of Currency and Foreign Transactions Act of 1970, was enacted to help in the investigations of money laundering, tax evasion and other criminal activity. The BSA is sometimes referred to as an anti-money laundering law (AML) or jointly as BSA/AML. The legislation is enforced by the Financial Crimes Enforcement Network (FinCEN). Compliance with the Bank Secrecy Act (BSA) continues to be a top priority of the regulators, as well as community banks. The CBA’s Advanced BSA Officer School is designed to provide community bankers with valuable information, tools, tips and checklists to help you ensure your BSA program is designed to comply with BSA/AML regulatory requirements. Don’t miss this one-of-a-kind school! Register today at www. cbaofga.com and contact the King & Prince Beach & Golf Resort at (800) 342-0212 for hotel reservations.

2013 Commercial Lending School Monday-Friday, August 12-16, 2013 - 4 1/2 Days Julian Hester Training Center CBA Headquarters, Atlanta

This comprehensive, week-long school is offered twice a year and is designed for mid-level commercial loan officers or seasoned consumer lenders. This school will take the student through the process of commercial lending and allow the student to develop and enhance the skills necessary to successfully administer quality commercial loans in today's community bank. Numerous in-class case studies and exercises will be utilized to assist with comprehension and retention of these skills. This school is the only commercial lending school in Georgia designed specifically for community bankers. To learn more and to register, please visit www.cbaofga.com or contact the CBA.

Mortgage “Final Rules” Now Available via Webinars Affordable, Professional Training, When and Where You Choose! In April and May, the CBA provided community bankers from across the state the opportunity to attend twoday face-to-face programs in five cities to learn all about the CFPG Mortgage “final rules”. For those who could not attend these programs and for those who would like to hear the information again, the CBA is pleased to provide the webinars listed below. To learn more about these webinars and to register, visit the CBA website. Additional webinars on this topic may be added to the CBA calendar. For the most current listing of webinars, visit www.cbaofga.com. Previously Held Webinars: Available via Web Link Only 4/15/2013 Escrow Rule Changes for High-Priced Mortgages: Deadline June 1, 2013, Including January 2014 HOEPA Rules 6/20/2013 Ability to Repay Part 1 – New Rules that Impact Your Policies & Products: Effective January 10, 2014 Upcoming Webinars: 8/2/2013 Ability to Repay Part 2-What Your Lending Staff Needs to Do to Comply: Effective January 10, 2014

Scenes and Graduates from the 2012 BSA Advanced Officer School.

8/14/2013 Interagency Appraisal & Evaluation Guidelines: Including New Requirements Effective January 18, 2014 9/5/2013 CFPB Examination Procedures for Mortgage Loan Originators: Effective January 10, 2014

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The 4th Annual Georgia Bank Directors' College & FDIC Workshop Wednesday, August 14, 2013 The Lodge & Spa at Callaway Gardens, Pine Mountain

It continues to be critically important for bank directors to be as knowledgeable as possible. Our industry, while quite strong, continues to face challenges and opportunities. One of the keys to successfully meeting them is to have bank management and the directors fully informed of the issues, responsibilities, rules, and regulations. This annual program is designed to help you stay abreast of the issues and to help you meet the annual training requirements for bank directors. The CBA is honored to partner once again with Mr. Tom Dujenski, Regional Director, FDIC, Atlanta and other FDIC senior officials to offer this annual program. In addition to the partnership with the FDIC, the CBA is also partnering with Mark Kanaly, Partner and Chair of Banking Practice of the law firm Alston + Bird LLP, Atlanta. Mr. Kanaly will serve as the moderator for the college, as well as a presenter. The CBA invites you to make plans now to attend this informative program and come hear the latest about the economy and other current issues facing community banks. To learn more and to register, email Jodi Swilley at Jodi@cbaofga.com or visit www. cbaofga.com. To make your hotel reservation at the Lodge and Spa at Callaway Gardens, please contact the hotel at (888) 312-8002.

Agenda 7:30 a.m.

Registration / Continental Breakfast

8:00 a.m.

Welcome / Opening Remarks

8:15 a.m.

Overview of Program Mark Kanaly, Partner and Chair of Banking Practice, Alston + Bird LLP, Atlanta

8:30 a.m.

“Economic Update with Highlights of GA Economy” Marlon Cook, Regional Manager, FDIC Division of Insurance and Research, Atlanta

9:15 a.m.

Break

9:30 a.m.

“Current Issues Facing Community Banks” Rob Braswell, President & CEO, Community Bankers Association of Georgia Mark Kanaly, Partner and Chair of Banking Practice, Alston + Bird LLP, Atlanta

10:15 a.m.

Break

10:30 a.m. Bankers Point/Counter Point Panel Discussion Moderator: Mark Kanaly, Partner and Chair of Banking Practice, Alston + Bird LLP, Atlanta Panelists: Sal Inserra, Partner, Crowe Horwath LLP, Atlanta, Kevin O’Keefe, Principal, Investment Banking, Sandler O’Neill + Partners, Atlanta Dexter R. “Butch” Floyd, Chairman of the Board of Directors, KeyWorth Bank, Johns Creek 11:30 a.m.

Lunch

12:45 p.m. 1:15 p.m.

“FDIC CAMELS Workshop Overview” Tom Dujenski, Regional Director, FDIC, Atlanta Frank Gray, Assistant Regional Director, FDIC, Atlanta

2:00 p.m.

Break

2:15 p.m.

“CAMELS Case Study Group Discussion”

3:00 p.m.

Closing Remarks

3:30 p.m.

Adjourn (Dinner at Your Leisure)

“CAMELS Case Study” (Facilitated by various regulators)

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• • • • • • • •

Channel Letters Directional Signage Exterior Wayynding Backlit Monuments Digital Displays Pylon Signs Branding package Logo Design

• • • • • • •

Commercial Awnings LED Signage Neon Signage Vinyl Graphics Digital Prints Signage Acquisition Re-Branding

3rd Quarter Compliance Program

Topic: Bank Secrecy Act/Anti-Money Laundering Five Convenient Locations! Recent Congressional focus and well-publicized Bank full-day seminar covers in detail the major issues and Security Act (BSA) enforcement actions and fines opportunities in the ever-expanding environment continue to support a climate where BSA compliance of the Bank Secrecy Act. Personnel who have remains of paramount importance to all financial management-level responsibilities for BSA compliance institutions. Treasury continues to rely on financial and individuals with retail banking, risk management, institutions to serve as the “front-line gatekeepers” for compliance, audit, operational, corporate banking, and law enforcement efforts to safeguard the U.S. financial training responsibilities will benefit from this program. system from the abuses of financial crimes, including Register today at www.cbaofga.com for a city most money laundering and terrorist financing. The federal convenient for you. regulatory agencies continue to rely on financial institutions to take “every reasonable step” to identify, SPEAKER: minimize, and manage any risks that illicit financial DATES/LOCATIONS: activity may pose to the individual institution and to Mark Dever September 10 - Brunswick the industry. AAP, CAMS September 11 Tifton Senior Ongoing initiatives by the Financial Crimes Enforcement Consultant, September 12 Macon Network (FinCEN) and the continued expansions in the Professional federal examination procedures reinforce the need September 17 - Rome Bank Services to have a strong BSA program at your institution. This September 18 - Duluth Louisville, KY Is your bank hosting a fun event or honoring someone in your community? Send us your news and you could be featured in a future issue of the Georgia Communities First magazine! 2 2 | w w w . cbaof ga. com | Sum m e r 2 0 1 3

8th Annual Compliance School

Monday - Thursday, October 21 - 24, 2013 Brasstown Valley Resort & Spa, Young Harris A community bank compliance school designed to cover the federal lending regulations and a Dodd-Frank Update on the CFPB Mortgage "Final Rules." During these challenging times, complying with federal banking regulations continues to be a demanding task which requires a thorough understanding of the applicable rules. CBA Compliance School helps financial institutions meet the compliance challenge by providing intensive training on the various regulatory requirements. The curriculum is designed for all community bank staff that has compliance responsibilities and provides the most effective compliance training available. Once again, the CBA is honored to partner with Professional Bank Services (PBS), Louisville, KY, to present this one-ofa-kind compliance school. The school curriculum includes prominent federal regulations covered in onsite compliance examinations by federal regulatory agencies. The CBA invites you to consider attending the only compliance school designed specifically for Georgia community bankers! You may elect to attend the entire school or you may elect to attend just the three-day Lending Module or the one-day Dodd-Frank Update. Watch for additional details to arrive at your office soon.

Graduates of the 2012 Compliance School

Brasstown Valley Resort & Spa, Young Harris

ServisFirst Correspondent Banking. Our name is our mission statement.

Correspondent Banking Division 850 Shades Creek Parkway, Suite 200 Birmingham, AL 35209 correspondentbanking@servisfirstbank.com 855.881.0364

COATED 78c 58m

205.949.0302 www.servisfirstbank.com Member FDIC Equal Housing Lender

www.servisfirstbank.com | Member FDIC | Equal Housing Lender

BIRMINGHAM • DOTHAN • HUNTSVILLE • MOBILE • MONTGOMERY • PENSACOLA

Rodney E. Rushing Executive Vice President 205.423.2717 rrushing@servisfirstbank.com

Don G. Owens Senior Vice President 205.423.2735 dowens@servisfirstbank.com

Richard Lane Senior Vice President Correspondent Banking 478.733.0756 rlane@servisfirstbank.com

J. David Jordan Vice President 205.423.2719 djordan@servisfirstbank.com

Karen Grahn Manager, Credit Card Division 205.949.0330 kgrahn@servisfirstbank.com

S u mme r 2 0 1 3 | Ge o r g i a C o mm u n i t i es Fi r s t | 23

Commissioner Hagler Issues Declaratory Order

n order to achieve parity with national banks, Commissioner Kevin Hagler of the Georgia Department of Banking & Finance issued a Declaratory Order determining overdraft fees imposed by statechartered banks in connection with deposit accounts are not subject to state law usury limitations. In the order, Commissioner Hagler modifies the deposit-taking authority of state-chartered banks to provide overdraft fees on deposit accounts are noninterest fees and charges directly related to the receipt and withdrawal of deposits, in order to achieve parity with national banks. The Department will require statechartered institutions to comply with the provisions in 12 C.F.R. § 7.4002(b) if they have not already done s o as well as expect state-chartered banks to continue to implement the joint guidance and the FDIC guidance on overdrafts. The Commissioner has concluded this order will reduce the safety and soundness risks of state-chartered banks and

improve their safety and soundness ratings as these institutions will no longer be subject to usury claims related to overdraft fees. The order will also ease the administrative burden on management at statechartered banks by eliminating the need to engage in a usury analysis prior to imposing an overdraft fee. “Our state-chartered members greatly appreciate Commissioner Hagler and the Department of Banking & Finance issuing this Declaratory Order,” said Rob Braswell, President & CEO of the Community Bankers Association of Georgia (CBA). “It clarifies the longheld interpretation and practice that overdraft fees imposed by state-chartered banks on deposit accounts are not subject to state usury limitations. This Order ensures the playing field remains level for state and national banks throughout Georgia and is a welcome pronouncement.” To read the Declaratory Order on the Georgia Department of Banking & Finance’s website, please go to: http://dbf.georgia.gov/documents/declaratoryorder-overdraft-fees.

Community Bank Marketing Conference Thursday - Friday, October 3-4, 2013 Legacy Lodge & Conference Center | Lake Lanier Islands

Digital Marketing | Social Media | Mini-Expo | Multi-Channel Communications Database Marketing Media Relations | Much More It's back! The CBA is pleased to announce the only marketing conference designed specifically for community banks! The conference will be held October 3-4, 2013 at the beautiful Legacy & Lodge Conference Center at Lake Lanier Islands. With a panel of informative speakers, timely topics, peer networking and a mini-expo featuring the latest products and services designed for community bank marketers, you won't want to miss this conference.

Meet the Speakers

Mike Bartoo Regional Manager MARQUIS Lutz, FL

Jim Marous Senior Vice President New Control Cleveland, OH

Craig Eversole President, The Eversole Group LLC, Ridgeland, MS

Lanelle Henderson Regional Development Director Constant Contact Atlanta

Scott Mills President William Mills Agency, Atlanta

Register Today and Make Your Hotel Reservations! A block of rooms has been reserved at Legacy Lodge, and the room rate is $159* for single/double occupancy per night. Call the reservations department at 770.945.8787 or toll-free 800.840.5253 and request group code 131003CBAS; or, reserve online at www.lakelanierislands.com and use the group code. * Additional tax, resort and parking fees apply. 2 4 | w w w . cbaof ga. com | Sum m e r 2 0 1 3

Whatâ&#x20AC;&#x2122;s the difference between Wall Street and Main Street?

Authenticity and Integrity.

Grow your bank with us.

www.icba.org

Member Services News: CBA Expands Endorsement with ACG to Include Refurbished ATMs ACG and the Community Bankers Association of Georgia (CBA) have expanded endorsement to include refurbished Automatic Teller Machines (ATMs). Since 2004, the CBA has endorsed ACG for the Teller Cash Counting System and the Self-Service Coin Center. “We are delighted to expand the endorsement with ACG,” stated Rob Braswell, President & CEO of the CBA. “As a longtime Endorsed Member Company, our bankers know them for their Tellermate Cash Counters and Magner Self-Service Coin Center. Our bankers are looking for value and it makes sense to do business with the largest ATM refurbishment company, headquartered right here in Georgia,” continued Mr. Braswell. According to Brad Serff, President & CEO, Providence Bank, Alpharetta, and Chair of the CBA’s Member Services Committee, “ACG has been an active partner with the CBA. The company has undergone an extensive due diligence process and earned the approval of both the CBA’s Member Services Committee and the Board of Directors. Member banks will benefit from significant savings on refurbished

ATMs, the cash counters and self-service coin centers.” Since 1986, ACG has been a leader in providing comprehensive business solutions to community banks, including refurbished ATMs, branch equipment, marketing innovations, field service and maintenance, and web-based service support. “Since 2010, ACG has refurbished thousands of ATMs and delivered across the state, across the country and worldwide,” explained Phil Winn, President of ACG. “We are excited about this new partnership and telling our story to Georgia’s community bankers. These products will help branches increase branding and efficiency, while reducing operational costs.” For more information, visit www.ACG. US.COM, or contact Phil Winn at (770) 442-9800 or phil@acg.com.

CBA’s Marketing Alliance with Promontory Interfinancial Network, LLC The Community Bankers Association of Georgia (CBA) announces a marketing alliance with Promontory Interfinancial Network, LLC which includes Bank Assetpoint and Insured Cash Sweep (ICS). Promontory provides smart solutions that help banks to compete. Bank Assetpoint is a website that helps financial institutions make efficient connections and facilitates the sharing of information regarding the purchase and sale of bank assets. Promontory’s ICS enables banks to build strong, profitable, million-dollar relationships; manage their balance sheets; purchase cost-effective funding; and, ultimately, improve their bottom lines.

• Bank Assetpoint posting fees are generally waived for an introductory period through December 31, 2013. Bank Assetpoint is operated by Assetpoint Services, LLC, a wholly-owned subsidiary of Promontory Interfinancial Network, LLC. ICS, the Insured Cash Sweep® service, is a low-cost, reciprocal deposit sweep service with the flexibility of a demand option (where funds can be placed into demand deposit accounts) and/or a savings option (where funds can be placed into money market deposit accounts). ICS can help banks to:

Bank Assetpoint is the best place to connect with banks and specialty service providers and to post bank assets for sale. • Compete on dimensions other than price and feature access to significantly higher levels Benefits include: of FDIC coverage than banks of any size can offer on • Access to a large number of eligible buyers, facilitating their own faster disposition • Replace higher-cost funding • The ease of posting and monitoring a wide range of bank • Reduce ongoing collateralization and tracking burdens, assets in a single, secure place and help improve asset liquidity • An online platform that doesn’t compete with brokers or banks, promoting greater transparency and market • Attract and retain loyal, large-dollar relationships that can generate cross-selling opportunities. efficiency • Trust in a marketplace created by Promontory, To learn more at www.promnetwork.com, or contact a company founded by banking experts from the most Danny Capitel at 866.776.6426, ext. 3476 or dcapitel@ promnetwork.com. senior levels of policy making and practice 2 6 | w w w . cbaof ga. com | Sum m e r 2 0 1 3

2013:The Year Your Financial Institution Starts Acting Like a Start-Up Jim Ghiglieri Senior Vice President Corporate Communications SHAZAM A CBA Endorsed Member Company

t’s easy to write statements like “improve customer experience,” “streamline processes” or “create a culture of innovation” in your financial institution’s (FI’s) strategic plan. These are all admirable and valuable strategies toward making your FI more efficient and competitive.

•

Reward the customer: Trying to get more customers to utilize mobile banking? Start-ups often reward their early adopters through special offers delivered in frequent and tailored communications.

•

Get social: Partner with other innovative companies (maybe some of your commercial customers) or economic development groups to host educational events that give you face time with potential customers. Talk to them about your offering in a more relaxed environment.

Yet sometimes these lofty strategies are hard to pull down into tactics that can actually be implemented. Stretching out of comfortable patterns is difficult. But often approaching change in a completely new way is exactly what it takes to make measurable improvements. One way to shake up your approach: Challenge your FI management and staff to think like a start-up company. With limited capital, a wealth of energetic ideas, and people power, start-ups are forced to be both creative and aggressive when it comes to addressing challenges. Here are a few ways to apply start-up thinking to some common FI strategies:

If your strategy in 2013 includes becoming the preferred FI employer in your market, think about these start-up strategies: •

Think time: It’s easy to get caught in the day-to-day work loop in any FI. Require key employees to spend an hour a week doing nothing but thinking about and researching solutions to specific challenges. Or pull a cross-functional team together for lunch to attack a problem and map out a plan for implementing the solution.

If your strategy calls for delivering services faster, think about these start-up techniques: •

Become more nimble and eliminate bureaucracy: Within the confines of compliance, what steps in current processes are unnecessary? Are there new software packages or apps that can speed time to delivery?

•

Reward the rebels: You may have an incentive program for new accounts or customer service, but do you also reward those who make radical suggestions that streamline processes or save money?

•

Flatten your organization to get closer to the customer: Look at your organizational chart and redefine roles and responsibilities. Maybe there are supervisory roles that can be combined to assign someone to a new customer experience position?

•

Eliminate silos: In a start-up, everyone does a little bit of everything, which means all employees understand how their performance effects the next person in the process. Cross-functional teams can simulate this startup environment so the entire staff can think about the best way to address a challenge, even if it’s not in their department.

Celebrate success: In a start-up, employees are often pulling long hours and eating takeout food, but they are energized by the thought of being a part of something new and exciting. Make sure to communicate your FI’s vision and goals to your employees and reward them when they take steps to help you get there. The smallest and most unexpected gestures are the ones your top performers will remember the most. From a gift card from their favorite restaurant to a sincere handshake and a “thank you,” celebrating even small successes can be memorable. These are just a few examples of how your FI can approach your strategic goals like a start-up; undoubtedly, there are many more. By acting more like a start-up, you can become closer to your customers, develop a culture of innovation and challenge your best employees to bring you their best ideas for the most effective

If your strategy directs that your FI should become more customer-centric, consider these start-up tactics: •

Engage the customer: Through social media, surveys or one-on-one conversations, ask your customers what they need and really listen to their responses.

To learn more, contact Mark Fucci at (866) 644-9314 or mfucci@shazam.net

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F o c u s

o n

s o l u t i o n s

Time spent on report generation reduces time spent on income growth. Increasing demands from regulators and shareholders place a heavy reporting burden on banks, diverting resources and adding costs.

employees

30%

reporting duties

Cut Hours in half

7,800

extra man-hours per year

Reducing report prep time while re-purposing your staff will boost your bottom line.

‹ Financial Management

SNL Banker’s easy-to-use reporting platform will empower your team to spend less time creating reports and more time acting on revenue opportunities.

›

Credit Quality ›

Community Bankers Association of Georgia members: Learn more about reducing your reporting burden. Contact Julie Jones at 434.951.4419; JJones@SNL.com.

When BOLI Holdings Exceed Regulatory Concentration Guidelines Brian Miller Managing Principal Banc Consulting Partners A CBA Endorsed Member Company

ank Owned Life Insurance (BOLI) has long been a popular tool for banks across the nation to help offset the rising cost of all of types of employee benefits. Under a BOLI plan, bank’s make a premium investment on a select group of employees that grows on a tax advantaged basis and has historically been a high yield, low risk source of non-loan income. Banks purchasing and maintaining BOLI must comply with guidelines jointly established by all four federal regulatory agencies—OCC, FRB, FDIC, and OTS— on December 7, 2004. The interagency guidance provides a BOLI concentration of capital guideline of 25%, with some variation in the calculation based on the specific regulatory agency.

• Be able to demonstrate that senior management and the board have effective oversight and a thorough understanding of the product and the risks involved. • Make sure that you have comprehensive policies and procedures in place that outline an ongoing system of risk assessment and internal control processes. • Have documentation on hand to demonstrate that the BOLI holdings are not excessive in relation to the employee benefit expense to be recovered, such as health insurance expenses, 401(k) matching expenses and other employee benefit expenses.

Through the financial crisis of the past several years, • Perform a thorough plan review and risk community bank BOLI products have performed well assessment at least once per year, with and provided steady cash value returns to financial supplemental reporting on a quarterly basis. institutions. As capital levels have diminished during this same period, many Georgia banks have found • Frequently monitor and review your BOLI themselves with BOLI holdings that exceed the 25% carrier’s ratings and financial results. guideline. For example, in 2005, 9 banks in Georgia had BOLI holdings in excess of 25% of Tier I Capital. As of the end of the first quarter 2013, 29 banks have The rewards of a BOLI program are attractive and hard to overlook, especially in today’s interest rate holdings in excess of the 25% guideline. environment. But if your bank finds itself with a capital An institution holding BOLI in an amount that concentration of BOLI that exceeds the regulatory approaches or exceeds the concentration guideline guideline, adhering to the guidelines listed above can expect examiners to more closely scrutinize its will ensure that management and board are well risk management processes and documentation. versed on the program, and provide documentation Therefore it is important to be proactive and diligent to help determine whether or not your BOLI holdings when it comes to monitoring potential BOLI risk represent an imprudent capital concentration. factors such as credit risk, interest rate risk and liquidity risk. Listed below are a few best practices: To learn more, contact Brian Miller at (770) 485-8559 or bmiller@yourbankpartner.com. • Work with a consultant / vendor that has specific experience and expertise in this marketplace.

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Outside the Box R. Keith Stayer Vice President Triad Financial Services A CBA Endorsed Member Company

his cliché has gained even more relevance as bankers consider ways to generate interest-income in a historically low interest rate environment. Community Bankers have found this even more challenging as they compete against large regional banks and national lenders who are entering their marketplace and capturing loan customers with aggressive terms and conditions. The challenge facing bankers is how to efficiently grow their loan portfolio in order to achieve maximum profitability. Indirect Lending is an option many bankers are exploring in order to grow and diversify their loan portfolio. By leveraging and maximizing partnerships with third-party providers, this has proven to be an extremely efficient and profitable way to produce quality loan volume. Of course, it is imperative that bankers conduct extensive due-diligence on these providers to ensure they are partnering with an experienced and reputable third-party provider. These

specialized lenders can be a valuable resource to your organization by providing cost-effective lending solutions in order to generate interest income. Triad Financial Services, Inc. is specialty finance company serving the manufactured housing industry since 1959. With over 100 financial institutions purchasing loans in 43 states, Triad is also an Endorsed Service Provider with CBA. A niche specialty lender focusing on prime credit borrowers, Triad has a long standing reputation for providing high quality, secured consumer loans in the most efficient manner possible. Consider Triad when exploring proven ways to deploy your deposits into high-performing loans. To learn more, contact Keith Stayer at (800) 522-2013 ext: 1203 or kstayer@triadfs.com.

Discover ® Debit: A Better Choice

in Signature Debit

Mark Reda Senior Management Business Development PULSE A CBA Endorsed Member Company

iscover Debit offers financial institutions an uncomplicated approach to signature debit. Its attractive revenue opportunities and competitive program features allow issuers of all sizes a chance to experience a fresh alternative to other debit programs. Discover Debit can deliver a more profitable signature debit program through highly competitive interchange, fully disclosed pricing and simplified billing, fraud prevention services, network stability and marketing support to grow your portfolio. We call it better debit. Better because of choice, flexibility and putting you in control. Consider the many benefits of Discover Debit: • Gain a competitive advantage with our uncomplicated approach • Improve your bottom line with superior revenue opportunities • Provide the security and convenience your account holders want

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• •

Build stronger, lasting relationships with your account holders Enjoy simple, easy operations that make implementation and program support efficient and worry-free

Discover Debit also offers your account holders broad acceptance that continues to grow nationally and internationally every day. Discover Debit offers merchant acceptance at 8.5 million locations. It also partners with merchant acquirers that process 99 percent of all bankcard transaction volume in the United States. Your bank and your account holders expect security, convenience and reliability from a debit program. Discover Debit meets – and exceeds – those expectations. To learn more, contact Mark Reda at (813) 854-2210 or markreda@pulsenetwork.com.

Bottom Line “It has saved our bank numerous times.”

In the early ‘80s, Mr. Heitkamp and ValueBank Texas were looking for a network partner that understood the needs of a community bank. PULSE was the perfect fit. Over the years, ValueBank has utilized many of our innovative products and services to help them grow. When it comes to fraud detection, they rely on DebitProtect®. It provides early warnings on fraudulent card activity, which has helped them significantly reduce their fraud losses. That’s good for ValueBank’s bottom line. “If you’re not using DebitProtect, you better take a good look at it.” To take a good look at DebitProtect and hear what else Mr. Heitkamp had to say, go to: pulsenetwork.com/debitprotect-cba

In Order to Win, You Must First Compete. Let's Talk Marketing. Craig Eversole President The Eversole Group, LLC A CBA Endorsed Member Company

our years ago, as our nation’s economic downturn began trickling down from Wall Street banks to community banks, many banks abandoned their marketing efforts. They did so in large part due to financial constraints, and have continued their minimal marketing efforts in order to downsize their banks for capital concerns. However, for the long-term strategy of the bank, let’s consider the following: We’ve fallen into communications apathy

Today, under an umbrella of increased regulatory burdens, many banks continue to go silent with their customers and prospects. Money is leaving the banking system for the attractiveness of a rising stock market and credit unions have stepped forward in their advertising efforts Yet, we have convinced ourselves that as long as our competitors are quiet, it’s okay for us to be silent, too. And sufficient time has passed that we’ve become, generally, apathetic toward marketing endeavors.

mobile banking, text banking and Facebook. You do so in the name of convenience, but at the expense of face-to-face relationships. For community bankers, these technologies meet the demands of their younger customer base; but at the same time diminish the strength of the bank to develop relationships and to deliver financial services in a personal manner. Consumers and business owners listen to the one who is talking It’s critical to remember that when few are talking, consumers and business owners are listening to the ones that are. It’s time to renew your commitment to communicating to your market and internally to your customers to shape the growth of your bank, to position it competitively and to define the difference you make as a community bank. To learn more about CBA Endorsed The Eversole Group, LLC, contact Craig Eversole at at (601) 977-5225 or craig@theeversolegroup.com.

We’re losing our identity as relationship-based, service-driven community banks The relationships you maintain are the foundation and core of your bank. You work diligently to provide top-drawer service and deliver solutions in a tailored, responsive way. That’s what community banking is all about. But if prospective customers don’t get the message, there is no foundation being laid for the future. Your bank is not being defined or positioned in the marketplace. We’re developing technologies that diminish the relationship aspect In lieu of selling deposit products and even loans, many community bankers are jumping headfirst into the world of developing social media, although many bankers really haven’t decided how to utilize these technologies. We have had online banking and now, 3 2 | w w w . cbaof ga. com | Sum m e r 2 0 1 3

STAY CONNECTED to all things CBA! Find us on Facebook and LinkedIn.

IT ALL ADDS UP

CBA Endorsed Member Companies Superior Products â&#x20AC;Ś Significant Discounts When itâ&#x20AC;&#x2122;s time to research new service providers or rethink current ones, your first call should be to the CBA of Georgia. Each of the Endorsed Member Companies below has already earned the seal of approval from the CBA members. Many offer special pricing to CBA members. Explore the revenue-enhancement opportunities with these vendors and improve your bottom line! ACG | Refurbished ATMs/Currency Counting Phil Winn | phil@acg.us.com | (770) 442-9800

IMPACT Financial Services | Overdraft Privilege Program Bob Flowers, Jr. | bflowers@impactfinancial.com | (770) 477-9452

Banc Consulting Partners | Executive Benefits/BOLI Brian Miller | bmiller@yourbankpartner.com | (770) 485-8559

PULSE | Debit Network Program Mark Reda|markreda@pulsenetwork.com | (800) 854-2210

banc-serv Partners, LLC | SBA Loans, Packaging, Sales & Servicing Brad Crawford | bcrawford@banc-serv.com | (317) 664-5247

Sageworks | Cash Flow Analysis Jessica Ballard| jessica.ballard@sageworks.com | (866) 603-7029 ext. 602

BankersEdge | Online /DVD Training Program Nora Ebersbach | nebersbach@bankersedge.com | (314) 542-6493

SHAZAM | Debit Card/EFT Processing Mark Fucci | mfucci@shazam.net | (866) 644-9314

BankSmart | Bank Operations/Vendor Management Jim Wilkson | jwilkson@banksmartusa.com | (813) 774-8000

SNL Financial | Financial Industry Data Julie Jones| jjones@snl.com | (434) 951-4419

Computer Services, Inc. | SecureConnect for Directors/Employees Bill Evers | Bill.Evers@csiweb.com | (800) 545-4274 ext. 19224

Southwest Financial Services, Ltd. | Flood Determination Insurance & Appraisal Management Stephanie Bennett | stephanie.bennett@sfsltd.com | (513) 621-6699

Give us a call at (770) 541-4490 or (800) 648-8215 or visit CBA online at www.cbaofga.com. S u mme r 2 0 1 3 | Ge o r g i a C o mm u n i t i es Fi r s t | 33

1900 The Exchange, Suite 600 Atlanta, GA 30339 www.cbaofga.com

freedom of choice

Choose an EFT Network Invested in You

While some would like community financial institutions to have fewer choices and less control, SHAZAM believes that community financial institutions must remain in control of their own futures. SHAZAM is owned and operated by community financial institutions. We understand who you are and what you believe in. Weâ&#x20AC;&#x2122;re here for you, providing the cost-effective technology that makes you more effective. You do have a choice in EFT networks. Choose the only EFT network invested in your success.

www.shazam.net

(800) 537-5427