About the GBA
I Professional Development I
Government Relations I
Services
July 16, 2004
The Georgia Bankers Association’s annual Group Meetings will be held in each of the ten GBA groups during the month of September. These meetings will begin on
September 8 in Cartersville and conclude on September 23 in
Statesboro. “Group meetings are a great opportunity to network with
your colleagues. We hope to have record breaking attendance from our
bankers and associate members this year,” said GBA Chairman Dan
Blanton, President and CEO of
Georgia Bank & Trust Company of Augusta. “Attending your
group meeting shows your support of the association.” This
year’s Group Meetings will feature an informative discussion about
some recent innovative services available from the GBA as well as
good dialogue about the major state and federal issues before the
industry. New this year, four of the ten Groups will host luncheon
meetings. Please check the Group Meetings
schedule to see if your group will
have a luncheon or dinner meeting. Please call GBA’s
Susie McGehee at (404) 420-2010 with questions.GBA BankPAC Update
Since our last report, the following companies have participated by contributing to the GBA StatePAC:
· Walt Moeling, Partner, Powell, Goldstein, Frazer & Murphy, Atlanta
· Andy Williams, President, United Community Bank - Blairsville
· Mike Odom, CEO, The Savannah Bancorp, Inc.
In addition, officers and directors of the following companies have contributed to the GBA FedPAC:
· Steve Melton, President, Columbus Bank and Trust Company
· Steve Wood, CEO, First Nation Bank, Covington
· Wes Smith, CEO, Northwest Georgia Bank, Ringgold
· Mike Odom, President, The Savannah Bancorp, Inc.
Thanks to all for your support. If you have questions or need additional information, please contact Elizabeth Chandler at (404) 420-2027.
DBF Proposes New Rules
State-chartered banks should be reviewing a proposed new set of rules being considered by the Department of Banking and Finance on a variety of issues. The GBA is in the process of reviewing the proposed rulemaking and encourages our members to advise us of any concerns you would like us to include in our comment letter to the Department. The Department has made every effort to address concerns raised by their regulated entities. Among the key provisions in the new regulations:
· A combined facility incorporating a loan production office, a deposit production office and a deposit-taking ATM or cash-dispensing machine will not be considered a branch. OCC has taken a similar position and the courts have upheld the decision.
· Clarifies the definition of a “closing date” on a loan to mean the date the documents were signed and the funds disbursed. Special clarification is made if the loan is a refinance.
· Proposes definitions of terms to be used when a credit union applies to become a community-based institution instead of an occupation-based institution.
This last provision is of special interest to bankers and credit union executives alike. Most bankers believe federal credit unions have taken undue advantage of the community-based charters to greatly expand their field of membership. There have been press reports of applications for entire states to become a credit union’s “community.” The Department is defining the terms and procedures they will be using to consider any such charter requests. The Department is also proposing an exception to their rules to allow the publication of their approval of any such application. GBA’s Elizabeth Chandler will be coordinating GBA’s response to these proposed rules, so please give her a call at (404) 420-2027 if you have any questions or comments.
US Unveils New $50 Note
Federal Reserve banks will begin distributing a new $50 note to the public through
commercial banks on September 28. The new note features subtle
background colors of blue and red, images of a waving American flag
and a small metallic silver-blue star and will be safer, smarter and
more secure: safer because they will be harder to fake and easier to
check; smarter to stay ahead of tech-savvy counterfeiters; more
secure to protect the integrity of U.S. currency. The new $50 bill
retains three important security features that are easy for
consumers and merchants alike to check:· Watermark: a faint image, similar to the portrait, which is part of the paper itself and is visible from both sides when held up to the light.
· Security thread: also visible from both sides when held up to the light, this vertical strip of plastic is embedded in the paper and spells out the denomination in tiny print.
· Color-shifting ink: the numeral in the lower right corner on the face of the note, indicating its denomination, changes color when the note is tilted.
SBA 7(a) Funding
The House has approved an amendment to an appropriations bill to provide critical funding to the Small Business Administration's (SBA) 7(a) loan program. The amendment, sponsored by House Small Business Committee Chairman Don Manzullo (R-IL) and Committee Ranking Member Nydia Velazquez (D-NY), would provide $79.1 million for fiscal year 2005, fostering $14 billion in loans to small businesses. The Administration has taken a strong position on this program being self-supporting without additional revenues used to subsidize its operation. The Senate will be a battleground on the issue. If your bank is involved in the SBA 7(a) program, we suggest you share with Senators Chambliss and Miller some specific stories of small businesses that your bank was able to help with the program. We will keep you informed as the appropriations process proceeds.
Credit Union Hearing Slated
The House Financial Services Financial Institutions and Consumer Credit Subcommittee has scheduled a hearing on “Credit Union Regulatory Improvements” for Tuesday, July 20. Almost certain to be discussed is H.R. 3579, legislation GBA opposes. H.R. 3579 would greatly expand credit union commercial lending authority while at the same time undercut the regulation of capital levels at federally insured credit unions. No Georgia member of Congress has cosponsored the bill yet, but please take advantage of sending a letter to your Member by logging on to the site maintained by the American Bankers Association. You are two clicks away from letting your views be heard.
GACHA Payments Conference
Solutions 2004, GACHA's 4th annual conference, will bring together payments professionals from financial institutions and companies who are looking for quality payments education from today's industry experts. The two-day conference offers over 20 sessions on a wide variety of timely topics that impact payments professionals, including Automated Clearing House (ACH) applications, fraud and risk management, Check 21, image-based solutions, cash management, and government initiatives. The speakers include a broad range of experts from the top echelons of the payments industry. Beginners and veterans alike will benefit from the variety of educational and networking opportunities offered. Solutions 2004 will be held at the Doubletree Hotel Atlanta-Buckhead on September 13 and 14. Please call GBA’s Marybeth Jones at (404) 420-2032 for further assistance.
New Network Member
Blue Cross and Blue Shield of Georgia has added Hughston Sports Medicine Hospital, Columbus, to the PPO, HMO, and PAR networks effective July 1, 2004. The GBA Insurance Trust welcomes this addition to the networks. Please call GBA’s Susan Kelley at (404) 420-2017 if you have questions.
Good Investment Performance Continues
GBA Retirement Services, Inc. is pleased with the year-to-date investment returns of both investment managers, Atlanta Capital Management and Reliance Trust Company, as of June 30, 2004. Both firms are still outperforming most of their comparative long-term benchmarks and continue to show solid performance for the 10-year history of the funds. The Trust’s Board of Directors sets strict quality standards for both firms. Please refer to the update for detailed returns. Retirement plans are a great incentive for banks to offer employees. They help to ensure employee morale and superior performance. The programs offered through the GBA Master Trust provide flexibility to meet the needs of any bank or associate member who may be looking at adding or changing their qualified retirement plan. Please contact Mandy Richards at (404) 420-2025 for information on how GBA Retirement Services can help design a retirement plan for your bank.
Overtime Exemption Assessment
The Fair Labor Standards Act requires the payment of one and a half times the regular hourly rate for all hours worked in excess of forty during the workweek. The misclassification of employees as exempt continues to be a major area of exposure for banks. On April 21, the United States Department of Labor issued the first major reform of the white-collar exemption in almost seventy years of its existence. The new rules go into effect on August 23, 2004 and offer an opportunity for banks to review their classification of exempt and non-exempt employees, and to bring the exempt/non-exempt treatment of positions into line with the regulations, while minimizing exposure to employee claims based on misclassification. The Overtime Exemption Assessment provides step-by-step guidance specifically designed for the banking industry on how to meet the August deadline for compliance. Through GBA’s Strategic Partnership with Employment Law Compliance, GBA members will receive the Assessment at a special price of $395. If you have questions or would like to order the Assessment, please call GBA’s Renee Valdez at (404) 420-2036.
Would you like to close a loan for under $100?
GBA’s Strategic Partner, DSD Enterprises combined with Insurance Agency, has the answer for you – Bundled Closing Services. Our solution is an Internet-based program designed to assist lenders with processing and closing equity, second mortgage and refinance loans more quickly with less cost. With the use of this system, lenders now have the opportunity to order all of the products and services necessary to process and close real estate loans of all types through one contact point and one-time data entry. There are no exclusive use requirements, minimum volumes, or set up fees to take advantage of this technology. The menu-driven system offers a full product line that includes credit reports, flood determinations, automated property valuations, and the Mortgage Loan Report (MLR). The MLR allows a lender to view the borrower’s entire mortgage secured liens in 30 seconds, thereby allowing for quick closings. The provider of the MLR maintains Errors & Omissions coverage for the life of the loan. The cost to close an equity or second loan can be as low as $100 and refinance loans for $250. Other real estate loan closing products are also available. If you are interested in learning more about this unique program, please contact Debra Evans at (478) 625-8978 or GBA’s Renee Valdez at (404) 420-2036.
2004 Summer Financial Directories
The Summer 2004 Financial Directory has arrived. The directory provides quick access to information on all commercial banks and thrifts in the state of Georgia as well as information about our GBA standing committees. If you are on our standing order list, you will receive your copy within the next few weeks. If you need additional copies or would like to order yours, please call GBA’s Renee Valdez at (404) 420-2036 or Kenyetta Parks (404) 420-2035.
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 Renee Valdez (404) 420-2036 or Kenyetta Parks (404) 420-2035.
For Sale
Modular Bank Building: 2,485 sq. ft. building with HVAC, entrance canopy, drive-up window canopy, night deposit box with vault, cash vault, security cameras, under-counter teller cabinets and drawers, installed counter tops and cabinets in operations area, carpet and window coverings. Please contact John Hall at (770) 505-3609 for more information.
Latest Bank to Link
Welcome to New Horizons Bank, East Ellijay, Kent Sanford, CEO, as the latest bank to link to GBA’s website. Call Lydia Thomas at (404) 420-2039 when your bank is ready to link.
Congratulations to the following:
Athens, Athens First Bank & Trust Company
Ashlie David has been promoted to Banking Officer and Angela Willis has joined the bank as Assistant Vice President and Branch Manager; Cynthia Lester as Vice President and Trust Officer; Christine Thornton as Vice President and Personal Banker; and Grant Caldwell as Planning and Insurance Specialist.
Atlanta, Porter Keadle Moore, LLP
Patrick Tuley has been promoted to Partner.
Augusta, Georgia Bank & Trust Company
Herbert F. Dickson, III has been named Vice President-Marketing Director and Susan Young has been promoted to Banking Officer and Office Manager.
Jackson, McIntosh State Bank
Suzie Perkins has been promoted to Assistant Banking Officer and George C. Barber and J. Paul Holmes, Jr. have been named to the Board of McIntosh Bancshares, Inc., the bank’s parent company.
Mount Vernon, Mount Vernon Bank
Ronnie Green has joined the bank as President.
Savannah, First Chatham Bank
Chris Lovell has joined the bank as Vice President, Commercial Loans.
Thomasville, Farmers & Merchants Bank
Michael Blankenship has joined the bank’s Board of Directors.