House Passes GBA-requested Tax Bill Unanimously/FHLB Letter of Credit Bill Sent to Governor
The Georgia General Assembly was in session four days this week and passed the 30th legislative day on Tuesday.  The Legislature's operating rules require a bill to have passed at least one legislative body by the 30th day in order to be considered by the other body.  Bills stuck in one body could also be amended to other legislation that is moving, so there is still a chance for those bills to be resurrected later in the session.  Our members will be pleased to know the House unanimously passed H.B. 441 on "crossover day."  This bill would revise tax code provisions relative to the adjustment of taxable income with respect to income from federal obligations and certain other obligations. In 2005, the legislature adopted a change in tax policy which disallowed any interest expense attributable to tax exempt dividend or investment income.  The result for some of our members has been an increase in their overall state tax liability.  Our thanks to Rep. Johnny Floyd (R-Cordele) who ably handled the bill on the House floor.  The bill was referred to the Senate where it was heard by the Senate Finance Committee and reported out to the Senate Rules Committee.  Our thanks to Committee chairman, Sen. Chip Rogers (R-Woodstock) for allowing the bill to be heard so quickly and to Sen. Jack Murphy (R-Cumming) who will be handling the bill in the Senate.  The bill would apply to tax years beginning January 1, 2007.  In other legislative news this week:

• The Senate passed H.B. 96, the bill introduced at GBA's request which adds Federal Home Loan Bank Letters of Credit to the authorized list of investments financial institutions may use to collateralize public deposits upon the approval of the director of the Office of Treasury and Fiscal Services.  Our thanks to Senate Banking and Financial Institutions Committee chairman Bill Hamrick (R-Carrollton) for handling the bill on the floor.  The Senate action clears the bill for the Governor's signature - one of the first bills to pass both chambers this session - and passing with unanimous votes in both bodies.

• The House Banks and Banking Committee met this week and reported out S.B. 70, the housekeeping bill for the Department of Banking and Finance.  Among the provisions of most interest to bankers:  provides parity between state and federally chartered banks by removing certain limits on real estate loans for state banks; statutory capital base is redefined to limit the impact of goodwill and other intangibles after a merger to prevent artificial increases in loan limits, investments and fixed assets; clarifies that proxy voting by electronic means is allowed; and, eliminates the need to form an interim bank when a share exchange transaction occurs.

• The House voted down H.B. 163 by Rep. Steve “Thunder” Tumlin (R-Marietta), the bill that would bring back the payday lending industry to Georgia.  We were following the bill as some of the supporters of the concept continued to talk about payday lending being a better alternative than bank overdrafts.

• The GBA co-hosted the House Banks and Banking Committee at their annual dinner on Thursday.  This event has been a tradition for many years to thank the members for their service to the state.

• Several of our members have been closely following legislation which would have pitted private property rights against the rights of individuals to bear firearms.  The Georgia Chamber of Commerce took the lead in opposing the legislation, S.B. 43, which would have prohibited certain employers from from prohibiting employees from carrying and possessing firearms in locked motor vehicles on the employer's property.  The bill was not considered by the Senate and therefore fell victim to "crossover day."  However, the bill could come back as an amendment to another bill which has already passed the House.

After today, the Legislature will be in recess until April 10 when they will return for the 34th day of their 40 day session.  With questions about any issues of interest to our industry, please contact GBA's Elizabeth Chandler at (404) 420-2027.

GBA Supports 888-995-HOPE Foreclosure Prevention Hotline
We were pleased to join our colleagues with the Consumer Credit Counseling Service of Greater Atlanta (CCCS) in launching the HOPE foreclosure prevention campaign.  A broad spectrum of organizations, businesses and public officials have come together to support this new resource for individuals in danger of losing their homes to foreclosure.  According to RealtyTrac, in 2006 Georgia had one of the nation’s highest foreclosure rates and metro Atlanta ranked second among the top 100 metropolitan areas for home foreclosures.  Georgia reported a total of 75,975 foreclosure filings during the year, the sixth most of any state, and a 67 percent year-over-year increase. The Atlanta metro area accounted for 63,737 foreclosure filings. Also in 2006, Fulton County had 13,697 homes and DeKalb County had 12,311 homes enter the foreclosure process.  To address this problem, CCCS, the Fannie Mae Foundation, the Homeownership Preservation Foundation (HPF), NeighborWorks^® America, and United Way have joined together to provide free counseling to Georgia homeowners.  The HOPE program consists of the toll-free 1-888-995-HOPE hotline supplemented by face-to-face counseling provided by local NeighborWorks^® organizations.  The hotline is staffed 24 hours a day, 7 days a week by expert counselors, who provide free, confidential advice for those facing foreclosure.  This service is available to anyone statewide.  For those homeowners in the metro-Atlanta area who want or need in-person counseling, they will be referred to organizations locally. Counseling is available in English and Spanish.  If your bank has customers who are in danger of foreclosure or to assist new homebuyers avoid foreclosure, the HOPE campaign has developed a reproducible flyer to distribute.  There is some good news on the foreclosure horizon.  According to RealtyTrac's February 2007 U.S. Foreclosure Market Report published March 26, Georgia had 7,294 households in some state of foreclosure last month, down 22.6 percent from February 2006 and down 12.4 percent from January 2007.

Murray Banks Slated as Closing Speaker at Annual Convention
Registrations are pouring in for GBA’s 2007 Annual Convention scheduled for June 17-20 at the Ritz-Carlton, Grand Cayman.  Each year, the closing speaker is chosen to speak to the bankers, spouses, guests and children attending the convention.  Closing this year’s event will be Murray Banks.  As an honored educator and world class athlete, Banks knows something about life balance.  He will discuss how your life comes to work with you and leaks out all day. And how you can't avoid it. He will talk about your well-being and balance affect your creative thinking, problem-solving abilities, and interactions with customers and co-workers—not to mention your productivity.   Banks’ humorous and thoughtful presentation will show you how you can become a healthy, positive person and gain the stamina and focus to stick with challenging tasks, work long hours, and deal with stress. Spouses and older children are encouraged to attend this session.  Please click here to register online or contact GBA’s Susie McGehee at (404) 420-2010 with questions about the Convention.

Last Call for Analyzing Commercial Financial Statements Seminar
There’s still time to register for GBA’s Analyzing Commercial Financial Statements seminar scheduled for Wednesday, April 4th – Thursday, April 5th at the Ramada Plaza, Macon (formerly Crowne Plaza) from 9:00 a.m. to 4:00 p.m.  The registration fee is $295 per person and Mike Allen, President of Georgia Trust Bank, Buford will be the instructor. Designed for commercial lending officers, credit trainees and analysts, this two-day workshop is designed to introduce and utilize a comprehensive and consistent approach to analyzing commercial financial statements.  Emphasis is placed on a practical methodology to assist bankers in evaluating the creditworthiness of a company.  Some of the topics to be covered include:

 

• Cash Flow Analysis: Various approaches to measure cash flow and evaluate repayment of debt
• A Systematic Framework for Applying Ratio Analysis:  Liquidity, leverage, debt service
• Financial Projections
• Case Studies for Practical Application of Concepts Discussed
• Early Warning Signals:  Discussion of issues that contribute to problem accounts

Please click here to register online or contact GBA’s Courtenay Pope at (404) 420-2015 or Susie McGehee at (404) 420-2010 with questions.

Winter 2007 AIB Classroom Courses
Here are three upcoming AIB classroom courses for late Winter 2007.  AIB classes meet three hours each week for 2 to 15 weeks and will be held at a local financial institution.  If you would like to see a specific AIB course offered in your area or if you have any questions about AIB classroom courses, please contact GBA’s Alison Moreau at (404) 420-2034.

• Economics for Bankers, taught by Kevin Taylor of Northwest Georgia Bank, Ringgold
  Beginning April 2, 10 weeks, $195, text $79

• Principles of Banking, taught by Steve McFarland of Gwinnett Community Bank, Duluth
  Beginning April 10, 10 weeks, $195, text $60

• Commercial Lending, taught by Steve McFarland of Gwinnett Community Bank, Duluth
  Beginning April 12, 10 weeks, $195, text $90

Register Today for AIB Online Courses
Just a reminder that the following AIB Online classes begin on April 23.  Please register two weeks in advance to secure a seat in the class.  These courses are instructor-facilitated with weekly assignments.  They can be taken from the comfort of your home or the convenience of your office. All you need is a computer, printer and Internet access. (Classes with an asterisk * require Microsoft Excel Software.)

• ABA Online Review Course for the CTFA Exam (open enrollment), 12 weeks, $795

• Commercial Lending, 16 weeks, $385

• General Accounting, 16 weeks, $485

• Principles of Banking, 16 weeks, $385

• Trust Operations, 15 weeks, $385

• Today's Teller: Developing Basic Skills* (open enrollment), 8 weeks, $285

There is still availability in the following AIB Online classes beginning the week of April 16.  Please register as soon as possible to secure a seat in the class.

• Analyzing Bank Performance, 7 weeks, $695

• Consumer Lending, 16 weeks, $385

• Financial Accounting*, 16 weeks, $485

• Managing the Bank’s Investment Portfolio*, 6 weeks, $545

• Principles of Banking (2 credits), 10 weeks, $315

Please see the AIB Online Course Schedule for a complete listing or call GBA’s Alison Moreau at (404) 420-2034 with questions.

Loan Documentation for Lenders Seminar
Originally scheduled for March 29th, GBA’s Loan Documentation for Lenders seminar will be held on Thursday, April 12 at the Holiday Inn, Cartersville.  Peter Faser, Senior Vice President, Security Bank Corporation, Macon, is the instructor.  Designed for lenders and loan documentation support personnel, this essential one-day seminar will lead participants through a case study covering the basics of loan documentation.  Some of the topics to be covered include:

• Recognizing  your lenders and their liabilities

• Differentiating makers, co-makers, endorsers and guarantors

• Promissory notes - what they cover and what are the events of default

• Analyzing a UCC search

• Reviewing a title insurance policy

• Identifying collateral and perfecting a lien on personal property and real estate

• Identifying and  preparing documents for the borrower Protecting against tax liens

• Letters of credit and other documentation-related issues

• Credit Memos and why they are important

Please click here to register online or contact GBA’s Courtney Pope or Susie McGehee with questions.

National Teach Children to Save Day Scheduled for April 24
Many young Americans don’t know the financial facts of life.  For many schools, financial education, like art or music classes, is a luxury they just can’t afford.  At present, as many as 86% of students have never taken a course in personal financial education. That’s why ABA Education Foundation, along with Leadership GBA, is again taking steps to lead kids on the path to a positive financial future.  On Tuesday, April 24, bankers nationwide will trade in their balance sheets for blackboards and teach young people their financial ABCs on National Teach Children to Say Day.  “Bankers are experts at money management so it’s a natural fit for us to be involved in financial education efforts,” said Leadership GBA President Jay Forrester of Georgia Bank & Trust Company in Augusta.  “Just as your local firefighters and police officers are knowledgeable in community safety courses, we have the knowledge and skills to fill the financial education gap.  We should do everything we can on National Teach Children to Save Day to help fill that gap and prepare our children for a positive financial future.”  Preparation for your presentation is easy, thanks to the ABA Education Foundation.  They have created two turnkey resource kits (Grades K-6 and Grades 7-12) that are easy to use and cost-effective.  Included in the kits are lesson plans, age appropriate activities, a quiz for parents and website suggestions.  Kids will learn the concept of saving, how to budget and how to determine needs vs. wants.  To order either resource kit, simply call the ABA at 1-800-BANKERS or visit the ABA website.  If you have any questions about National Teach Children to Save Day, please call GBA’s Jennifer Stevens at (404) 420-2024 or PEP Chairman Pete Garrett with Bank of Upson in Thomaston at (706) 647-5426.  Please join your colleagues in reaching even more students and make this one of the most successful educational events in GBA and ABA history.

Rural Development and Lending Conference on May 17-18
The Rural Development and Lending Conference will be held on May 17-18 at the King & Prince Beach and Golf Resort on St. Simons Island.  This year's agenda will include topics such as market trends and the economy, analyzing Ag credits, FSA Guaranteed Lending, current legal issues, commodity hedging, and GPS potential savings.  A block of rooms has been reserved until April 16 so call (912) 638-3631 as soon as possible to make your reservations.  Please click here to register online or contact GBA’s Marybeth Jones at (404) 420-2032 with questions.

Taye Cairnes to Provide Leadership Training at Leadership Conference
Brochures have been mailed for Leadership GBA’s 47^th annual Leadership Conference scheduled for July 15-18 at the Ponte Vedra Inn & Club in Ponte Vedra, Florida.   The Executive Committee has planned a great program to help you prepare for the constant changes in the banking industry. This year’s conference will feature leadership training by Taye Cairnes of Charlotte, NC.  Taye will give you valuable information on how to create a language of leadership that will strengthen your  leadership skills and create a culture of respect for those who work with you.  Learn more about how respected employees work harder and have less absenteeism.  For additional information about the Conference, please contact GBA’s Susie McGehee at (404) 420-2010 or Jennifer Stevens at (404) 420-2024.  You may also click here to register online.

Telecommunications for Your Bank
NationsLink Communications, Inc., a Valdosta, GA based company, is a converged communications provider specializing in consultative solutions with the latest technology and most competitive pricing in the industry for business customers.  NationsLink has been a GBA Strategic Partner since 1998, proudly serving approximately 50 banks.  Through NationsLink’s multi-vendor relationships, banks can be assured of an un-biased telecommunications solution.  NationsLink’s services include integrated T-1 with integrated voice and internet, PRI service, Internet T-1, basic telephone services, LAN to LAN connectivity (connecting multiple sites), teleconferencing services, calling cards, VoIP services, telephone systems (all types including VoIP systems) and data networks.  If you are looking to make a change to your telecommunications system, whether it is the service provider and/or your telephone system, NationsLink can provide your bank an un-biased solution through multi-vendor relationships.  For more information, or a free no-obligation analysis, please contact NationsLink’s Michael Woodruff at (800) 546-5875, or GBA’s Chad Wilson at (404) 420-2022.

GBA Job Bank
The Georgia Bankers Association offers free job posting resources for our member banks.  These listings can be viewed online or through our bi-weekly publication included in the GBA Bulletin.  Resume postings are also available.  For more information, please contact GBA’s Kenyetta Parks at (404) 420-2035.

Some of the Services Available Through GBA Services, Inc.

Bond and D&O Insurance	Internet Loan Closing Program
Checking Club Programs	Job Bank
Discounted Check Program	Non-Qualified Executive Benefits (BOLI)
Discounted Local & Long Distance Program	Pledging Pool Program
Financial Industry Pre-Employment Assessments	Record Retention Guide
FinCrime	Senior Housing Crime Prevention Foundation
Georgia Financial Directory	Strunk & Associates
Georgia Laws Code Book	Thumbprint Signature Program
Holiday Decals	Trust and Investment Services
Human Resources Solutions

GBA Services, Inc. is governed by a board composed primarily of community bank presidents who look for the best products and services available.  They do the due diligence for you and you can rely on their efforts.  For more information or to order any of these products or services, please call (404) 522-1501.

Newsmakers:

Acworth - NorthWest Bank & Trust Joining the bank are Stacy Bradshaw, Relationship Manager/Mortgage Originator and Lisa McCollum, Personal Banker. Albany – HeritageBank of the South Fred F. Sharpe has been named to the bank’s Board of Directors. Alpharetta – Synovus Stephanie Nicholson has been promoted to Regional Human Resource Manager for the North Georgia Region. Atlanta – RockBridge Commercial Bank Anne Cross has joined the bank as Senior Vice President and Team Leader and Lucia Hayes as Senior Vice President of Credit Administration. Savannah – First Chatham Bank Joining the bank’s Community Advisory Board are Bill Richard, State Farm Insurance, Savannah; Cindy Robinett, partner with Seacrest Partners, Inc., Savannah; Jim Sheffield, owner of Sandfly Convenience Stores, Chatham County; and Susan Speros, owner of Speros Telecommunications, Savannah. Woodstock - First Cherokee State Bank Bob Binkley has been promoted to President of the bank's Cobb Division.

Nicholson Sheffield

Cross Speros

Richard Binkley

Robinett

Serving the needs of Georgia Bankers since 1892 Search I Staff I Contact Us Georgia Bankers Association - 50 Hurt Plaza, Suite 1050, Atlanta, GA 30303 • Phone 404.522.1501 • Fax 404.522.9848