BANK EXAM PREP CENTERPA BANKERS SCHOOLSPA BANKERS YOUNG PROFESSIONALS NETWORKIn this edition:In Memoriam: DAN BERNINGERCERTIFIED ACCOUNTSPromoting Financial Inclusivity
BRINGING TIMELY NEWS AND INFORMATION TO THE MEMBERSHIP OF THE PA BANKERSthisISSUEIN EVERY ISSUEFEATURES4 Chairman’s Insights8 From the CEO to the CEO10 Ten on Page Ten18 Community Corner32 From Your Peers38 Government Relations42 A Look Ahead46 Vendor Articles24 Go “Back to School” With PA Bankers This Summer26 New Resource: Bank Exam Prep Center28 COVID-19 Loan Modications31 PA Bankers 2021 Convention12BANK EXAM PREP CENTERPA BANKERS SCHOOLSQUARTER 2 | VOLUME 23.2PA BANKERS YOUNG PROFESSIONALS NETWORKIn this edition:In Memoriam: DAN BERNINGERCERTIFIED ACCOUNTSPromoting Financial Inclusivityon the cover31
PA Bankers Association » Quarter 2, 2021 3PA Bankers STAFF DIRECTORYGeneral Phone/Switchboard (717) 255-6900President & Chief Executive Ocer firstname.lastname@example.org | (717) 255-6916External RelationsExternal Relations Administrative Assistant email@example.com | (717) 255-6937Director, Advocacy & Government Relations firstname.lastname@example.org | (717) 255-6910Vice President, Government Relations email@example.com | (717) 255-6933Federal Government Relations & General Counsel Legal Assistant firstname.lastname@example.org | (717) 255-6936General Counsel email@example.com | (717) 255-6935Finance & Operations Registrar and Records Coordinator firstname.lastname@example.org | (717) 255-6927 Receptionist and Administrative Assistant email@example.com | (717) 255-6900 Director, Information Technology firstname.lastname@example.org | (717) 255-6921Director of Marketing & Communications email@example.com | (717) 255-6912 Director, Finance firstname.lastname@example.org | (717) 255-6938 Senior Vice President, Finance & Operations email@example.com | (717) 255-6923 Communications & Marketing Coordinator firstname.lastname@example.org | (717) 255-6915Member Relations, Professional Development & PA Bankers Services Corporation Vice President, Professional Development email@example.com | (717) 255-6939 Director, PA Bankers Services Corporation firstname.lastname@example.org | (717) 255-6928 Director, Member Relations email@example.com | (717) 255-6914 Member Relations Administrative Assistant firstname.lastname@example.org | (717) 255-6903 Senior Vice President, Member Relations and Professional Development, and Managing Director, PA Bankers Services Corporation email@example.com | (717) 255-6913 Vice President, Business Development firstname.lastname@example.org | (717) 255-6925 Director, Residential Schools & Meeting Operations email@example.com | (717) 255-6934magazineSTAFF Sara E. Hocker Editor Editorial J. Duncan Campbell III Jacqueline A. Catalano Tiani A. Chambers Daniel J. Reisteter Louise A. Rynd Michelle L. Staton Cynthia L. Wallett Wayne R. Whipple Courtney M. YoungPA Bankers Services Corporation Board of Directors and Ocers Jennifer A. Poulsen M. Theresa Fosko J. Duncan Campbell III Gerard A. Champi Trudy K. Everhart Scott E. Fritz Philip Freeman Thomas Graver Richard L. Greslick Timothy G. Henry Karl F. Krebs David E. Raven Tracy E. Watkins Dale A. Westwood Address Correspondence to: paBanker Magazine c/o Pennsylvania Bankers Association 3897 N. Front St., Harrisburg, PA 17110 Tel. (717) 255-6912 Email: firstname.lastname@example.orgBanker Magazine is published four times a year by the PA Bankers Services Corporation (Services Corporation), a subsidiary of the Pennsylvania Bankers Association (PA Bankers). The Association serves Pennsylvania banks and nancial institutions with educational programs, member services and represents members on the state and federal level. Since 1895, PA Bankers continuously worked to be the premier nancial services organization supporting a diversied membership through volunteer participation, a knowledgeable sta, state of the art technology and a commitment to excellence.paBanker Magazine is the ocial publication of PA Bankers.EditorialThe opinions expressed in articles by authors other than Association sta and ocers are the responsibility of the authors only and not necessarily those of the PA Bankers, the Services Corporation or its members. All articles, unless otherwise notied, have been written by paBanker Magazine sta. Questions and comments should be addressed to the Managing Editor. PA Bankers members may reproduce any non-commercial part of this publication with verbal permission from the editor. All others must receive written permission from the editor prior to reproduction of any part of this publication. Copyright ©2003 PA Bankers Services Corporation. All Rights Reserved.Printed by: HAAS Printing CoSponsored by:
4 » PA Bankers Association pabankers.comt is hard to believe that I took my oath as the PA Bankers chair more than 10 months ago. When the year began, we all had hopes that we could soon return to normal in our banks and in our personal lives. But here we are, over a year into social distancing, wearing masks and compulsively using “hand stuff,” still connecting in a virtual setting. We have all made it work to keep our families and banks healthy and strong. Although it has been a most unique and challenging year, I have never been prouder to be a banker. Fortunately, we entered the pandemic in a position of strength. Capital, liquidity, credit quality and lessons learned from the 2008 crisis supported our agility as we were forced to respond rapidly to a new set of circumstances. Our resilience was on full display as we not only survived the pandemic, but in many ways are stronger today because of the simply incredible dedication to customer and community.Our industry has worked tirelessly with our customers on an individual basis on fee waivers, deferred payments, loan modifications and the Paycheck Protection Program. On PPP specifically, since April of last year, Bettering the Industry During a Unique YearJ. BRADLEY SCOVILLPresident & CEO, C&N Pennsylvania banks processed more than 325,000 PPP loans for more than $30.2 billion in small business support – all while working within state and federal guidelines to support our customers and communities. While our lobbies re-open and it seems that our state and nation are moving toward normalcy, we must always remember the heroic way we stuck together to do our part and keep Pennsylvanians moving through one of the hardest times in history.While we worked hard to process PPP loans, adhere to health guidelines and support our communities, we never lost sight of our goal to continually better the industry. At the state level, PA Bankers worked with state legislators to improve the tools necessary to function during the pandemic and beyond. Specifically, the association spent significant time advocating for permanent remote notarization. In late October, Gov. Wolf signed HB 2370 into law as Act 97 of 2020. This legislation allows the Pennsylvania banking industry and others to effectively serve their customers and communities by providing notarization services with the tools needed to conveniently authenticate documents to ensure that business, commerce and trade continue at all times. Additionally, working with other state trade associations, we continue to advocate for amendments to the PA Department of Banking and Securities Code to discourage further transfers from the Banking Fund into the General Fund. PA Bankers has worked on legislation that would establish the Banking Fund as a trust fund, rather than a special fund. This is a key distinction and is something the association has continuously advocated for within the Senate and House. I am pleased to report that our supported legislation recently passed both the House and the Senate. The votes in both chambers were unanimous. We have some more work to do, but this demonstrates great progress on a very important issue! Protecting the Banking Fund has been and will remain a high priority of our Government Relations Policy Committee.On the federal level, we are opposing a concept that has been proposed, requiring the Federal Reserve to offer retail accounts in conjunction with the U.S. Postal Service with the goal of bringing more Americans into the banking system. While PA Bankers supports serving the unbanked/underbanked population, we believe chairman’sINSIGHTSAdapted from his 2021 Annual Meeting Remarks on May 14, 2021
PA Bankers Association » Quarter 2, 2021 5there are better ways to expand financial inclusivity through industry-led solutions and programs, such as the Bank On initiative, which you will hear more about in a few moments.Finally, on the federal level, PA Bankers continues to work with the Coalition of State Bankers Associations, which was formed to provide member banks with information to prepare for their regulatory exams. Ten years ago, the coalition launched the Regulatory Feedback Initiative, a survey tool allowing banks to anonymously share their post-exam experiences. Thousands of banks have completed the surveys, and the feedback provided has helped other banks prepare for their exams, as well as identified inconsistencies that can be shared constructively with the regulators for their awareness. To build upon the RFI, the coalition recently launched the Bank Exam Prep Center, a new online resource that is driven by survey data along with other regulatory information. The center provides bankers access to valuable information to prepare for upcoming exams, and I would highly encourage you all to explore its offerings. You can access the center by going to www.pabankers.com and clicking on “Bank Exam Prep Center” under the “Advocacy” tab. In addition to advocating for a better industry at the state and federal levels, we also made a conscious effort to expand our diversity, equity and inclusion (DEI) efforts across the association and our membership.Last summer, the board created a new Diversity, Equity and Inclusion (DEI) Advisory Group, which supports and advises the board and senior staff on all DEI efforts, including:• Establishing a sustainable DEI initiative for PA Bankers;• Ensuring a diverse and inclusive association board and organization;• Developing/facilitating DEI training for our members;• Developing, expanding and evaluating potential resources and partnerships that support our members’ recruitment, retention, and advancement efforts;• Developing supplier diversity partnerships or resources to assist members with their supplier diversity efforts;• Evaluating metrics used to measure DEI efforts across the entire organization; and • Other efforts and initiatives as needed. Since September, the DEI Advisory Group has quickly proven to be a key asset in the association structure. I would like to thank the members of this advisory group for their time and commitment to the association, industry and our members. In November, the group made several recommendations to the board, including revising and further developing the association’s DEI statement; adjusting board qualifications to include senior-level positions; and expanding the PA Bankers board to increase diversity at the board level. The association also conducted a survey to assess where our members are in their DEI journey. Nearly 60 percent of our members responded to the survey, and of those respondents, more than 60 percent stated that they do not have an existing DEI program—something we hope to address with meaningful programmatic support. In addition, PA Bankers hosted five focus groups in late March, featuring more than 50 bankers. Both the survey and these focus groups showcased the need for DEI engagement from PA Bankers and provided us with actionable ideas and strategies to assist the membership’s DEI efforts.These efforts reflect PA Bankers’ work to lean into this complex and important issue. While we have accomplished much this year, we know that DEI is evolving and will require ongoing focus moving forward. Fundamentally, we will always promote a diverse, equitable and inclusive culture that values and supports all voices, expands access and opportunity, and eliminates barriers across Pennsylvania’s banking industry.Consistent with our goal of supporting DEI efforts across the state, the association has partnered with BankWork$ for the last four years. Working in communities of need and with students who typically would not be considered qualified candidates for banking/financial services positions, BankWork$ creates opportunities to succeed in well-paying jobs that can lead to a lasting career in the banking industry. Each eight-week class is designed to train entry-level bank tellers, customer service representatives and personal banker candidates, and ultimately provide and connect those candidates to local banks and financial institutions. The program is currently operating in Pittsburgh and Philadelphia, but we are actively exploring expansion of Bankwork$ to central Pennsylvania, as we feel that this region would benefit from the advantages this program provides. We thank the 21 banks that participated in April’s discussion on this expansion to Central PA. We look forward to updating you as
6 » PA Bankers Association pabankers.comchairman’sINSIGHTSthis initiative develops further. The expansion beyond Philadelphia and Pittsburgh was a recommendation made by the DEI Advisory Group. Just as it is important to have a diverse, equitable and inclusive workforce, it is equally important to promote financial inclusivity among our customers and communities. An estimated seven million Americans are unbanked today. A recent FDIC survey found that most unbanked individuals do not utilize banking services because they believe they do not have enough money to have a bank account, or they are lacking in their trust of the banking industry. To overcome these obstacles and to help reduce the unbanked/underbanked population in our country, as well as address the threat of postal banking, the association is encouraging our members to offer Bank On certified accounts. Bank On is an initiative led by the Cities for Financial Empowerment Fund that promotes financial inclusivity by helping individuals to navigate the marketplace and easily identify accounts that meet their needs. You will hear more about this platform from our first speaker in just a few minutes, but it is important to note that by offering low-cost, basic accounts that meet the Bank On initiative’s national account standards, we can demonstrate our commitment to financial inclusion, while also adding new customers in the process. There are a few banks in Pennsylvania already offering these accounts, as well as two Bank On coalitions in Pittsburgh and Philadelphia to support efforts locally. The association will be creating a statewide coalition to support the local efforts and our members statewide to expand the Bank On program and offer these safe accounts to the entire unbanked/underbanked population across the state. Supporting the Bank On program statewide was also a recommendation by the DEI Advisory Group, endorsed wholeheartedly by the PA Bankers board. C&N will be introducing a Bank On certified account in the next couple of months, and I have no doubt many of you all are in process as well.HELPING BANKS STAY COMPLIANT & AHEAD OF THE CURVE BY PROVIDING RESPONSIVE, FORWARD-THINKING & INNOVATIVE SOLUTIONS• Internal Audit• Model Validation• Sta Augmentation• BSA & AML Consulting• Regulatory Compliance• SOX & FDICIA Consulting• Enterprise Risk Management• Information Technology Audits• Marijuana-Related Business ConsultingPrinceton, NJ - 609.689.9700 | Philadelphia, PA - 215.854.4059 Mercadien.comSalvatore Zerilli, CPA, CAMS Managing Director & Chair, Financial Institutions Servicesszerilli@mercadien.comFINANCIAL INSTITUTIONS SERVICES GROUP
PA Bankers Association » Quarter 2, 2021 7In conclusion, I want to thank all of you for your role in making my term as chair so special. Specifically, I would like to thank Immediate Past Chair Mike Price for his guidance, leadership and continued engagement this past year, along with fellow officers, Wes Weymers and Mark Ritter, for their support throughout this interesting period. Wes will have the unprecedented opportunity of leading the association as we “come out and come together” in-person to develop our post-pandemic strategy. Wes is excited and well-prepared for the job. I have no doubt that he and the team of officers will do a tremendous job, and I wish them luck as they enter their new roles.Although my year as chair was unique, I will always value the relationships we have formed and the miraculous efforts I witnessed by all of you. As I have said before, relationships matter. They take time and effort to build – you cannot be certain when you need them – and you cannot create them “just-in-time.” We do know they matter when we need legislative support on issues such as the Banking Fund; they matter when opposing efforts like postal banking; and they matter when, as an industry, we collaborate to deliver PPP loans to support our communities or expand financial inclusivity. We also know that they are tested and made stronger through shared experiences and adversity – something we faced this year. Our industry and this association passed the test, reflecting the character of the membership and the strong bonds we have built over the years.We have accomplished so much despite, and as a result of, the pandemic, and it is crucial that we continue to support our customers, communities, industry and economy every day and promote diversity in the workforce and financial inclusivity across all communities. Thank you, again, for all that you do. I am honored to stand beside you as we work to better the industry.
8 » PA Bankers Association pabankers.comarlier this year, I had the honor of hosting a “fireside chat” with Senator Pat Toomey as part of the American Bankers Association’s virtual Washington Summit. As you know, Senator Toomey is the ranking member on the Senate Banking, Housing and Urban Affairs Committee. As the ranking member, he is the most influential Republican member of the committee, and he was one Georgia run-off election away from chairing the committee. While the Republicans’ two losses in the Georgia Senate run-offs altered the balance of power in the U.S. Senate, for the banking industry at a more granular level, that change meant Senator Sherrod Brown, not our Pennsylvania Senator, would take lead of the committee of banking jurisdiction. Senator Toomey is arguably the only member of the committee who can balance theory with practice, as he is one of a very few members of Congress (and the only U.S. Senator) with banking experience, having organized, launched, and operated a community bank.During my interview with Senator Toomey, we talked through a litany of issues. From postal banking (he said he would need to think long and hard to come up with a worse idea) to cannabis banking (he remains open to a targeted legislative solution to fixing this issue for the banking industry) to fintech and cryptocurrency charters, GSE reform and ESG/climate change issues, we ran the gamut. And what I have always appreciated about Senator Toomey is his candor and common-sense approach to governing, which were both on display during our time together. We have been fortunate to have him represent us in Washington, as he is a banker who understands the intricacies of our industry, and we will certainly miss him when he retires in 2022 at the end of the current session.As follow-up to this virtual Washington Summit, PA Bankers members met with each of the 20 PA congressional offices via Zoom. Although we are all somewhat over the virtual format, these meetings were extremely effective. We kept them from three to five of our Direct Contact Bankers with the members or their staff, and in 30-45 minutes of time, we covered the waterfront of pressing issues for our industry. The reception was positive, and the discussions were engaging. And one thing was certain, coming out of this pandemic, our industry efforts on the Paycheck Protection Program and customer support, as economic first responders, have been acknowledged and appreciated. As a result, our efforts to advocate on issues of importance to the industry begin with a foundation of gratitude from the nation’s policymakers. That does not mean we get everything we ask for, but it does mean that we can have a meaningful and fair conversation on policy grounds.This opportunity for issue advocacy exists at the state level, as well, for the same reasons. Our legislators from both chambers and both sides of the aisle have expressed their thanks for the Herculean efforts of Pennsylvania’s banks during this crisis. The appreciation is sincere, and it has been evident as we work to protect the Banking Fund from further transfers, as has happened twice in Become an Advocate for the PA Banking Industryfrom the CEO to the CEODUNCAN CAMPBELLPresident & CEO, PA Bankers AssociationE
PA Bankers Association » Quarter 2, 2021 9the past three years. As an update, we have worked collaboratively with CrossState Credit Union Association and the Pennsylvania Association of Community Bankers on legislation that would turn the Banking Fund into a trust fund, rather than a special fund. While this legislation does not fully insulate us from future transfers, it establishes some guardrails at a time in our economy when everyone recognizes the need for a strong banking industry. As I pen this article, our supported legislation has unanimously passed both the House and Senate, and we look forward to hopefully pushing this issue to the finish line with the Governor’s signature in the not-too-distant future.At the heart of both our federal and state legislative agenda is the need for banker advocacy. Two years ago, we re-affirmed our commitment to advocacy as a core tenant of the PA Bankers mission by establishing an Advocacy Committee and populating it with leaders from the association’s committees (Women in Banking, Young Professionals, Professional Development, Member Relations, Agriculture and Rural Issues, Communications/PR, Information Technology and our GR committees, to name a few). What does advocacy have to do with professional development? Simply put, every part of the PA Bankers enterprise has a role—a responsibility—to advocate. For professional development, we want to train our bankers to understand the importance of advocacy and the successful approach to effective advocacy. Advocacy does not just mean the Pennsylvania Bankers Public Affairs Committee (PaBPAC), and it does not just mean government relations. While the state PAC and our legislative issues are beneficiaries of our advocacy efforts, they are pieces of a bigger advocacy picture. If we are going to make an impact with our policymakers in Washington and Harrisburg, all 76,000+ Pennsylvania bankers have a role to play. It can be as simple as adding your name to a call to action on credit union field of membership expansion; supporting your bank’s PaBPAC (State) campaign; or joining us for a virtual or in-person (yes, we will be back to in-person shortly) visit with your member of congress or the state legislature.Coming back to Senator Toomey, last month PA Bankers hosted the Senator for a roundtable with our Northeast PA members in Scranton. He was interested in hearing how bankers from the region and their customers were making it through the pandemic. We talked about the dedicated efforts of our banks in making 325,000 PPP loans with more than $30 billion in small business support; the workforce challenges that seem to be ubiquitous in all four corners of the commonwealth and everywhere in between; and the supply issues that are troubling our economy. And when the issue of President Biden’s tax proposals made it to the table, he was quick to assure us that he was strongly opposed to any tax increases. This position was met with great appreciation and applause.Our advocacy efforts were on full display that day in Scranton, and they need to be front of minds each and every day. The bankers in that conference room took their responsibility to advocate seriously, and they delivered their message with great passion, confidence and humility; and we all thank them for their engagement. That is really all it takes—being able to talk about your bank and the bank’s impact on your local community. I believe that all of our Pennsylvania bankers are more than capable of delivering this message. We invite you to become an advocate for the Pennsylvania banking industry and join us in this mission. Together, we will make a difference.Sincerely,That is really all it takes—being able to talk about your bank and the bank’s impact on your local community. I believe that all of our Pennsylvania bankers are more than capable of delivering this message.
10 » PA Bankers Association pabankers.com10 on 10 With Past Leadership Institute Graduates: Where Are They Now?tenONpageTENThrough the PA Bankers Leadership Institute, participants go “behind the curtain” to examine the success that comes from a strong organizational culture and assess how it relates to performance, leadership, engagement and communication to enhance the bank’s bottom line.As we approach another Leadership Institute class, we asked 10 past Leadership Institute graduates to reflect on their experiences with the program and share how it helped to shape their careers. See their responses below.I can personally say the instruction and knowledge that I received by attending the PA Bankers Leadership Institute prepared me to be a more prepared and effective leader in the face of a world-wide pandemic. From the discussion of the passion and traits of uncommon leaders that drove them to make a difference to the study of the laws of leadership we shared with each other, I gained such valuable insight from my classmates and from Dennis and Linda. While this virus has shaken our organizations, our country and the world to its core, leadership has never been more important. These are unpresented times and none of us have experienced this type of challenge before, but I know that I am better prepared and more confident to lead our teams through these unchartered waters because of the experience and knowledge that I gained from the program. Thomas Minichiello SVP, Director of Retail Banking Kish BankThe PA Bankers Leadership Institute was an eye-opening experience in the theory behind how great leaders operate. The instructors provided timely and effective techniques in organizational theory to allow me to further my career at my financial institution. Session by session, they coerced you out of your comfort zone and helped get you comfortable with being uncomfortable – allowing you to experience great personal growth. I would recommend this program to newly minted leaders and those who want to grow their skillset and overcome common management issues in a fun and relaxed setting.Lou Palumbo, CISA, CISM, CRISC, CDPSE, CISSP Chief Information Officer NexTier Bank12
PA Bankers Association » Quarter 2, 2021 11The knowledge I took away from the PA Bankers Leadership Institute is invaluable. My takeaways from this program cannot be found in a book or through a tutorial and are beyond any other leadership program in and out of our industry. The program teaches you how to connect with yourself and your team by focusing on a high care culture of profit and development. I will always cherish the connections and relationships I developed throughout the program. My focus and intent throughout my career will forever be impacted by Dennis and Linda’s guidance and extreme knowledge. I am grateful for the experience and would encourage my peers throughout the industry to attend. For myself specifically, I learned skills and techniques that have developed me to confidently take the steps necessary to be successful in my career without hesitation. For this, I am very grateful to PA Bankers for offering this program and taking a step outside the box to offer this relevant and important content through amazing instructors.LeeAnn Gephart EVP, Chief Marketing Officer Riverview BankThe PA Bankers Leadership Institute was one of the best training programs I have experienced in my 40-year banking career. I was undoubtedly one of the older attendees in our class, but new to my position of Chief Operating Officer. The program provided me the management skills to help navigate this new role and prepared me with tools that helped me to succeed. When an opportunity arose upon the sudden resignation of our CEO, I was placed in the Interim President/CEO position and named to the position permanently five months later. The knowledge I gained while attending the PA Bankers Leadership Institute was invaluable. Knowledge, combined with lifelong contacts established and relationships built, made this an overall excellent experience. I would recommend the PA Bankers Leadership Institute whole heartedly, no matter what your age!Elaine A Woodland President and CEO First Keystone Community BankThe PA Bankers Leadership Institute provided the right educational environment to develop the leadership skills that are not typically fostered while working on the job as a banker at your respective institution. The beauty of the program is separating yourself from the bank to learn among a diverse group of highly motivated peers of other institutions. It was an honor to be chosen and participate to benefit from the broad wealth of knowledge provided by top-notch instructors that want to bring out the best in you. Our leadership group quickly bonded as a small group with the knowledge that we could help each other to improve our skill sets. Experienced and well-known instructors Linda Eagle and Dennis Budinich worked very well together as a team, each bringing their own experiences in addition to deeper thought processes in terms of what motivates the mind of the individual and leadership styles that make successful team. In short, the program took you to a higher level in terms of how to bring out the best in you in working with others.Scott E. Lied EVP, Chief Financial Officer Ephrata National Bank345
12 » PA Bankers Association pabankers.comThe PA Bankers Leadership Institute has provided me invaluable experiences which have immediately impacted my management style and philosophy. Through a wide range of activities, including discussion, media, presentations and projects, I was educated and immersed in the tremendous impact that my influence has on my team and the entire organization. With a renewed focus on being mindful, engaged and accountable, I have altered my communication style as well as the priorities that I look for in recruiting and training management succession candidates. Upon bringing this knowledge and energy back to the bank as a whole, we have implemented the concepts into programs, including employee outreach, leadership development and activities focused on driving a positive and passionate culture. This program has without a doubt opened my mind to be more cognizant of how the way we think about and treat each other influences the way we work and lead, ultimately determining how successful and profitable we are in line with our strategic mission. My primary goal going into the program was to expand the depth and breadth of my leadership aptitude, and I credit the tenets learned at the program for advancement in my career to a senior management position. This in turn has afforded me additional opportunity to learn from and influence a broad network of teammates at S&T.Jon Costello EVP, Bank Operations S&T BankThe PA Bankers Leadership Institute brought a tremendous networking opportunity to bond with peers and see different approaches to similar issues at a much deeper level. The sessions were fun and introduced thinking outside of the box. Various topics were covered, such as psychology, culture and emotional intelligence, and the program inspired me to look at how I could create a better vision for the future. I learned new ways to be self-aware and intentional in my actions to engage with my coworkers more effectively. A clear message that was instilled is that leaders show themselves by the greatness of what they bring to those who surround them, not the title after their name. You show you are a leader by your actions. It was my honor to spend 18 months learning with remarkable people in an outstanding learning environment. I highly recommend the PA Bankers Leadership Institute!Deborah L. Unflat VP, Marketing The Dime Bank67tenONpageTEN10 on 10 With Past Leadership Institute Graduates: Where Are They Now?continued
PA Bankers Association » Quarter 2, 2021 13The PA Bankers Leadership Institute has been life-changing both professionally and personally for me. As a result, I have become very comfortable speaking at meetings and sharing knowledge and suggestions that influence other senior leaders and impact our bank. Several areas of direct impact involve brainstorming at Senior Management, ALCO and Branch Growth discussions. Both Linda and Dennis made the sessions interesting and entertaining! This was the single best experience of my entire banking career. I was heartbroken when it came to an end. If given the opportunity to attend, you will love every single minute!Shelly Hepler VP/Community Banking Administration Manager Woodlands BankThe PA Bankers Leadership Institute was a terrific experience. The program featured quality content and challenging tasks and assignments to help me build my leadership skills. The interaction, sharing of ideas and camaraderie with other banking leaders was a valuable part of the learning process. I would highly recommend the PA Bankers Leadership Institute to anyone looking to learn new ways to continue your growth as a leader and to enhance your career opportunities.Anthony F. Rocco President – WPA Market WesBanco Bank, Inc.The PA Bankers Leadership Institute was an incredible opportunity. Not only did I get to meet and create friendships with my peers from across the state, I learned so much about what I could do to provide and assist my coworkers with a path for additional growth opportunities. Because of my participation in the program, I was able to re-energize our customer service initiative bank-wide, since being appointed the chairperson of the committee, as well as establish book clubs for those who are considered to be our future leaders of the bank. Both of these experiences enabled me to put what I learned through the program into action. It's hard to put into words what a great feeling it was to know that people working in similar roles to mine experience all the same things I do - both the successes and the challenges. The program and my classmates served to reaffirm my career choices, while at the same time providing me with ways to reshape my skills - both in leadership and as a motivator while putting them into everyday practice. One of the greatest attributes of a good leader is always being willing to learn new things. The program showed me that I can do anything if I put my mind to it, while preparing me to be able to do it. I thoroughly enjoyed my experience and will always credit it with helping me to become the leader I am today.Kerri L. Mueller Senior Vice President, Retail Division AmeriServ Financial8910Interested in joining the next PA Bankers Leadership Institute class? Click here to learn more.
Mike PayneExecutive Vice President & Corporate Counsel667-330-1131MPayne@appienergy.comThrough our program you can:PROVIDING CUSTOMIZED HOLISTIC, DATA-DRIVEN ENERGYMANAGEMENT SOLUTIONS TO PA BANKERS MEMBERS
PA Bankers Association » Quarter 2, 2021 15“Now, with the combined buying power of dozens of banks, we can keep costs relatively stable, even when we have experienced a year with higher claims.”M. Theresa SchwartzerExecutive Vice President, Chief Human Resources OcerUnivest Corporation of PAA unique health care alternative for nancial institutions and aliate members of the PA Bankers Association.Benets of Self-Funding with Bank Health Care Consortium of PAThe Bank Health Care Consortium of PA (BHCCPA) oers employee benets that provide you with strategic tools your organization can utilize to develop, retain and reward those who serve your institution and customers.Bank Health Care ConsortiumStand Alone Self-FundingFully-Insured Funding43 Groups | 6,000+ Enrolled | $93m Total FundingL.R. Webber Brad Webber, Marketing Manager814.317.4186 | email@example.comThe Benecon Group Claudia Burchstead, Senior Sales Director717.723.4624 | firstname.lastname@example.orgPA Bankers Services Corporation Wayne Whipple, VP, Business Development 717.255.6925 | email@example.comGuaranteed annual premium for the plan yearLower carrier administration costOnly pay your actual claims plus xed expensesGreater exibility in plan design & claim eligibilityEliminate PPACA premium taxes and federal benet mandatesStop-loss renewals based on actual projections not loss ratioNo lasering at renewal or late discovery of submission claimsMember manages all claim fund surplusesEnables mid-market employers (30+ employees) the safest method to self-fund their benet plan
16 » PA Bankers Association pabankers.cominmemoriamA Bankers mourns the loss of Past Chair Daniel (Dan) Berninger. Dan served as PA Bankers chair from 2009 to 2010 and president and CEO of Muncy Bank & Trust Company for 20 years. Dan was a true leader within our industry, playing a key role advocating for the development of financial restructuring legislation that resulted in the Dodd-Frank Wall Street Reform and Consumer Protection Act. Dan was also an active participant in our Washington, D.C. fly-ins, where he met with our Congressional delegation and regulatory agencies.Dan truly did it all – supporting the association, serving his community, advocating for the industry and managing his bank – all while maintaining his great sense of humor and kind personality. The PA Bankers staff was honored to know and work alongside Dan, and we send our deepest condolences to his wife, Becky, his family and the Muncy Bank & Trust Company family.PPA Bankers Mourns the Loss of Past Chair Daniel Berninger
bankersalliance.orgWhat’s Your Next Compeve Advantage?Two new services from Bankers Alliance were designed to give you an edge in your market by giving you access to our experts.Virtual Compliance Ocer (VCO) helps you take stock and move for-ward with ongoing monitoring, reporng and guidance from our remote experts. Review Alliance (R/A) kick-starts your compliance and BSA re-views through external audits of your processes and previous transac-ons. Together, they’re a set of remarkable tools — making you more eecve and accelerang your protability.Talk to us about your requirements today by calling (833) 683-0701 or by inquiring at: firstname.lastname@example.org
18 » PA Bankers Association pabankers.comcommunityCORNERDollar Bank Awards $200,000 to Neighborhood Allies in Support of the Centralized Real Estate Acceleratorupport from Dollar Bank will go towards the Accelerator’s agenda of wealth building through real estate for entrepreneurs of color, including:• Gaining a fuller and more nuanced understanding of the business districts in communities of color throughout Pittsburgh’s rapidly changing real estate market;• Engaging neighborhood entrepreneurs in the benefits and potential pitfalls of real estate ownership; and• Building a pipeline of investable projects that revitalize commercial corridors, improve business sustainability and resiliency, and increase wealth for entrepreneurs of color.With this support and partnership with Dollar Bank, Neighborhood Allies will be positioned to deploy the Accelerator to breakdown and address the common barriers that have long been weaved throughout traditional community real estate development and revitalization efforts. SThe Honesdale National Bank Foundation Supports the Wayne Pike Trails & Waterways Alliance$10,000 Donation will support the three river access projects along the Lackawaxen Riverhe Honesdale National Bank Foundation extended its support to the community with a $10,000 donation to the Wayne Pike Trails & Waterways Alliance. The funds will specifically support the three river access projects along the Lackawaxen River in Honesdale and White Mills and the grants submitted to the PA Fish & Boat Commission to improve those sites for anglers and paddlers. TSupporting the Region’s Future: Fidelity Bank Awards Over $1 Million in Educational Improvement Tax Credit (EITC) Contributionsidelity Bank recently presented nonprofit organizations and educational institutions with Pennsylvania Educational Improvement Tax Credit (EITC) funds totaling over $1.054 million. Ranging from $1,000 to $141,000 per organization, the amount of financial support the Bank has been able to provide to organizations has nearly doubled since 2019.
PA Bankers Association » Quarter 2, 2021 19NEW TO PA BankersWelcomeAFFILIATE MEMBERS:ADT CommercialBlanchard Consulting Group CRA PartnersLaBella AssociatesRivel, Inc.Shield ComplianceSofttek Integration SystemsWhen the Pace of Recovery Is Uncertain, Trust Boxwood Means to Deliver Predictable CRE Property Valuation Services®BOXWOODMEANS.COM/LENDERSPlace Your Next Order with Boxwood MeansON-TIMEFIXED FEESLESS COSTLYACCURATENATIONWIDEAUTOMATEDCOMPLIANT FASTRETAILPROACTIVETHOROUGHVETERAN APPRAISERSDATA RICHPRUDENT ANALYSISINTEGRATED INSPECTIONSEFFICIENTOFFICETRACKABLEINDUSTRIALTRUSTWORTHYCLIENT FOCUSEDHANDS-ONCOLLABORATIVERESPONSIVEFLEXIBLETECH-INTENSIVECONVENIENTMIXED USERUSH OPTIONSMULTIDASHBOARD ACCESSFAMILYFIELDSMART EVALUATIONS ■ FIELDSMART RESTRICTED APPRAISALS ■ PROPERTY INSPECTIONSContact Sales: Telephone 203.653.4100Email: info@BoxwoodMeans.comVALUE
20 » PA Bankers Association pabankers.comcommunityCORNERhe Farmers National Bank of Emlenton (Farmers) recently donated $144,000 to local educational organizations through the Pennsylvania Educational Improvement Tax Credit (EITC) program.For the 2020-2021 academic year, Farmers donated to the following organizations through the EITC Program: • Boy Scouts of America (Moraine Trails Council); • Brockway Center for Arts and Technology; • Brockway Schools and Community Education Foundation; • Brookville Area Raider Scholastic Foundation; • Butler County Community College Education Foundation, Inc.; • Clarion Limestone Area Scholastic Foundation, Inc.;• Clarion University Foundation, Inc.; • DuBois Area Schools Educational Foundation; • Elk County Community Foundation; • Keystone Elk County Alliance; • Keystone School District Education Foundation; • Keystone SMILES Community Learning Centers, Inc.;• Pennsylvania State University Philanthropic Fund; • Saint Marys Area School District Foundation, Inc.; • Seneca Valley Foundation; • The Union Enhancement Foundation, Children's Scholarship Fund of PA (Immaculate Conception Endowment Fund and Penn Christian Academy); • Christian Life Academy Scholarship Fund, Scholastic Opportunity Scholarship Fund (St. Kilian Parish School); • STAR Foundation (DuBois Central Catholic, Elk County Catholic, St. Leo's Catholic, St. Patrick’s Catholic, St. Stephen’s Catholic and Venango Catholic Schools); • WPA K-12 Education Scholarship Fund; • Phase 4 Learning Center; and• The Neighborhood Academy.The Farmers National Bank of Emlenton Donates $144,000 to Local Educational OrganizationsT
PA Bankers Association » Quarter 2, 2021 21F&M Trust donates $20,000 to Central Pennsylvania Food Bankhe funding will allow the Central Pennsylvania Food Bank to continue to purchase food and other necessities for individuals and communities that are facing financial setback. Specifically, the funding will provide more than 120,000 healthy, nutritious meals to communities in Central PA and assistance to thousands of familes, children, seniors and veterans who are still working to get back on their feet in the wake of the health and economic crisis.Do you have hometown happenings that you'd like to share?Send your bank's community news to Courtney Young, PA Bankers' communications & marketing coordinator (email@example.com), for a chance to be featured in paBanker Magazine or on PA Bankers' social media channels and website.T
22 » PA Bankers Association pabankers.comcommunityCORNER&T Bank employees loaded the Comfort Cases truck with about 700 completed bookbags (along with hundreds of items to fill more backpacks) donated by employees across our footprint. S&T Bank also presented a check to Comfort Cases totaling $6,080!On any given day, there are approximately 437,500 children in foster care in the United States. Most of them are removed from their homes with little more than the clothes on their backs. If they do have any personal belongings, they are given a trash bag in which to carry them.Comfort Cases believes that every child deserves to feel a sense of dignity. Every child deserves to pack their belongings in a special bag that they can call their very own. Every child deserves to have a cozy brand new pair of pajamas, a brand new warm blanket and a new stuffed animal to hug during the traumatic transition into foster care.S&T Bank Supports Comfort CasesSMid Penn Bank Donates to the New Hope Academy As part of the EITC program, Mid Penn Bank donated $7,000 to the New Hope Academy, which promotes education through inspiration and motivation.
PA Bankers Association » Quarter 2, 2021 23SUSQUEHANNA COMMUNITY BANK DONATES $7,500 TO LOCAL SCHOOLS Susquehanna Community Bank recently donated $7,500 to local schools through the EITC Program. received $2,500 towards their Tuition Scholarship Program. SUSQUEHANNA COMMUNITY BANK DONATES $2,500 TO GREATER SUSQUEHANNA VALLEY YMCA Susquehanna Community Bank donated $2,500 to the Greater Susquehanna Valley YMCA through the Educational Improvement Tax Credit (EITC) Program. This donation will go towards their Pre-Kindergarten Counts program. The Pre-K Counts staff has worked hard this year to continue to provide preschool education for the children in the program while still keeping everyone as safe as possible. received a $2,500 donation from the EITC program. This donation will benefit the Mifflinburg Area School District. received $2,500 through the program. These funds will greatly assist the students and families; especially those impacted by COVID-19. Susquehanna Community Bank Donates to Local Organizations
24 » PA Bankers Association pabankers.comWill You Truly Get the Same Experience Virtually? Just ask our 2020 Advanced School of Banking attendees. “We all know virtual wasn't ideal, but PA Bankers did a great job making school eective in a virtual environment. Great job, PA Bankers!""I was a big fan of the virtual delivery...I really was happy that we were able to have our laptops and take notes during the sessions. That has helped me understand material better, as well as have good notes to refer back to when doing homework. I really enjoyed this year immensely. Thank you for all the hard work putting it together.""Thank you all for making this a valuable week! I really learned a lot and appreciate the thought and commitment from the instructors!"There’s still time to register for the PA Bankers Schools. Join us VIRTUALLY this summer for the same fully immersive, week-long experience you have come to expect.Questions? Gowith PA Bankers This SummerfeatureARTICLE
PA Bankers Association » Quarter 1, 2021 25Ideal for bankers beginning their careers, the School of Banking is similar to 100-level college course study and examines the four primary areas of banking: leadership, sales and marketing, bank environment and nance.REGISTER NOWTHE FOUNDATION ON WHICH SUCCESSFUL BANKING CAREERS ARE BUILTIdeal for individuals looking to attain well-rounded business development and/or commercial lending skills, the School of Commercial Lending allows students to dive into business development, credit structuring, the practical application of commercial lending knowledge, and client and internal communication. This school’s curriculum is similar to 200- and 300-level college course study.REGISTER NOWGAIN A BROAD-BASED UNDERSTANDING OF COMMERCIAL LENDING & BUSINESS DEVELOPMENTJoin us for the Advanced School of Banking, a three-year program analogous to 200-, 300- and 400-level college course study. A variety of learning techniques - including lectures, small group teamwork, computer simulations, online learning, case studies, peer presentations, independent study and home extension problems (HEP) - will be used, providing you with a full curriculum to help you enhance your skills and prepare for leadership within all levels of your institution.REGISTER NOWGAIN A GREATER UNDERSTANDING OF THE MULTIPLE BANKING DISCIPLINES
26 » PA Bankers Association pabankers.comhe PA Bankers Association is one of 38 members of the Coalition of State Bankers Associations, which was formed to provide member banks with information to prepare for their regulatory exams. Ten years ago, the Coalition launched the Regulatory Feedback Initiative (RFI), a survey tool allowing banks to anonymously share their post-exam experiences. Thousands of banks have completed surveys, and the feedback provided has helped other banks prepare for their exams.To build upon the RFI, the Coalition recently launched the a new online resource that is driven by survey data along with other regulatory information. The exam center provides bankers access to the following valuable information to prepare for upcoming exams: • Keys to successful exams;• Exam focus areas;• Exam takeaways;• Hot topics;• Expert advice;• Trends; and• What bankers wish they knew before their last exam.We hope you find this information useful. Please contact the or the with any questions or for more information.Knowledge is power.As we progress through this pandemic, you’ll very likely be faced with unique challenges during your upcoming examination. Are the results of your bank examination really that important? Absolutely. The answers to your exam questions could very well determine the future of your institution… and our industry. Get the knowledge you need by reviewing important data from your fellow bankers, such as how the examiners’ are focusing on your COVID-19 lending practices, your response to pandemic operational challenges, and your compliance with risk policies. If you recently had your examination, this is a great opportunity to share your experience. Please join us in this important mission to ensure that exams are fair, predictable and consistent; and most importantly, that each banker is well prepared for their exam. Simply go to allbankers.org and take just a few minutes to prep for your exam or to provide us with your anonymous exam feedback. Together, we can keep the process fair to all.TNe Reuc:featureARTICLE
PA Bankers Association » Quarter 2, 2021 27Knowledge is power.The pandemic has challenged the way banks operate. You'll likely be faced with unique challenges during your next exam. Get exam knowledge you need by reviewing feedback from your peers before your next exam.Bank Exam Prep Center is your regulatory exam central. Prep before your exam and be sure to return after to take a survey and share your experience.• What questions are examiners digging in on?• What are the hot topics as ﬁeld examiners meet with your peers?• How are regulators addressing COVID-19 lending practices?• What discussions are taking place over pandemic operational challenges?Visit the Bank Exam Prep Center
28 » PA Bankers Association pabankers.comany banks across the country are at risk of CAMELS downgrades, increased deposit insurance assessment premiums, and regulatory enforcement actions due to inadequate risk management practices for their COVID-19 Loan Modification Program.Loan modifications have been part of most banks’ lending operations for many years. Before the coronavirus, such modifications were often prompted by a borrower’s “financial distress.” Banks would attempt to work with the financially distressed borrower by granting a “concession” that the bank otherwise would not consider for other borrowers with a similar risk profile. An example of such a loan modification might be an interest rate reduction. Generally speaking, this type of loan modification would be categorized as a Troubled Debt Restructure (“TDR”) under accounting literature (ASC 310-40) and reported as such in Call Reports. When the country became engulfed with the coronavirus, both Congress (Section 4013 of the CARES Act, extended by Section 541 of the Consolidated Appropriations Act 2021) and the Regulators (April 2020 Interagency Guidance) issued information to guide banks on TDR designations for COVID-19 related loan modifications. It is critical for bankers to understand that COVID-19 LOAN MODIFICATIONS More Than Just Financial Reporting IssuesKnowledge is power.As we progress through this pandemic, you’ll very likely be faced with unique challenges during your upcoming examination. Are the results of your bank examination really that important? Absolutely. The answers to your exam questions could very well determine the future of your institution… and our industry. Get the knowledge you need by reviewing important data from your fellow bankers, such as how the examiners’ are focusing on your COVID-19 lending practices, your response to pandemic operational challenges, and your compliance with risk policies. If you recently had your examination, this is a great opportunity to share your experience. Please join us in this important mission to ensure that exams are fair, predictable and consistent; and most importantly, that each banker is well prepared for their exam. Simply go to allbankers.org and take just a few minutes to prep for your exam or to provide us with your anonymous exam feedback. Together, we can keep the process fair to all.featureARTICLEwhile Section 4013 and the April 2020 Interagency Guidance both discuss the applicability of TDRs, they have materially different requirements (modification duration, date of record for current/delinquency status, etc.) for determining when the TDR designation is necessary. FinPro urges all banks to specifically designate whether the COVID-19 Loan Modification was approved under Section 4013 of the CARES ACT or under the April 2020 Interagency Guidance. This documentation should be in each loan modification file and address the following items:Was borrower impacted by COVID-19? Yes/NoWas the modification pursuant to Section 4013? Yes/No• If yes, was the loan current as of December 31, 2019? Yes/No• If yes, was the loan modification between March 1, 2020 and the earlier of 60 days after the termination of the national emergency or January 1, 2022? Yes/NoWas the modification pursuant to the Interagency Guidance? Yes/No• If yes, was the loan current at time of modification? Yes/No • If yes, was the loan modification short term (i.e., 6 months)? Yes/NoAlso, remember that banks must maintain records on the number and dollar amount of loan modifications approved under Section 4013 and under the Interagency Guidance and report this data to the Board of Directors on a regular basis.Over the course of the last year, bank regulators have issued several additional Interagency documents which include guidelines on Loan Modifications. These documents have encouraged banks to work with borrowers who have been negatively impacted by COVID-19. However, these guidelines also consistently
PA Bankers Association » Quarter 2, 2021 29reference “prudent” efforts to work with borrowers and modify loan terms and further state that examiners will not criticize “prudent” efforts to modify terms on existing loans. The basic focus of “prudent” efforts to modify loan terms implies that the bank is acting to enhance the collectability of modified loans and is doing what is in the bank’s best interests and not just what is in the borrower’s best interests, although hopefully in most cases these interests will be the same. And while there have been changes in the requirements for designating modified loans as “TDRs”, other important considerations have not changed. Banks must properly “Risk Rate” COVID-19 loan modifications and incorporate such risk ratings into their ALLL/ACL calculations. Loans modified under Section 4013 or the Interagency Guidance pertain ONLY to borrowers who have been impacted by the coronavirus. By definition, these borrowers have financial performance less robust than before COVID-19. In some cases, these borrowers may have serious cash flow problems driven by the coronavirus that impact their ability to service their debt. It is incumbent on banks to accurately “Risk Rate” these borrowers at the time of loan modification and on a regular basis going forward. FinPro has observed that some banks have internally “risk rated” their COVID-19 loan modifications to a “watch” category where more severe risk ratings may be warranted. In May 2020, the regulators issued “Interagency Guidance on Credit Risk Review Systems” which every bank should be familiar with. The argument that banks and examiners should not adversely classify loans because the borrower has been negatively impacted by COVID-19 will not prevail.As stated earlier, these new risk ratings must be incorporated into the ALLL/ACL calculations. One “best practice” observed for community banks across the country is to establish a “homogenous pool sub-tier” within the ALLL/ACL methodology to break out all such loan modifications within each homogenous pool. Noteworthy, this approach is often used in conjunction with a new “COVID-19 Q-Factor” that many banks now incorporate into their ALLL/ACL methodology. Some banks have actually appended a one- or two-digit code to COVID-19 loan modifications to ensure easy identification over time. The rules for placing credits on nonaccrual have not changed. For regulatory reporting purposes, an asset is to be reported as being in nonaccrual status if: (1) it is maintained on a cash basis because of deterioration in the financial condition of the borrower, (2) payment in full of principal or interest is not expected, or (3) principal or interest has been in default for a period of 90 days or more unless the asset is both well secured and in the process of collection. Further details can be found in the Call Report instructions.Corporate Governance is critical to avoid CAMELS downgrades and enforcement actions. Corporate Governance starts with a comprehensive documentation process. As noted earlier, banks must maintain records of all COVID-19 loan modifications, specifically noting whether such modifications were executed under Section 4013 of the CARES Act or the Interagency Guidance. Remember, modifications cannot fall under both categories since they have different (and competing) requirements. This information should be reported to the Board of Directors on a regular basis. Similarly, management must inform the Board of Risk Rating trends for COVID-19 loan modifications and how such ratings have impacted the Bank’s ALLL/ACL. In cases where a bank has a significant volume of modified loans, stress testing of these loans as well as other loans in the bank’s portfolio is a critical element in evaluating risk. And perhaps most importantly, the bank needs to have loan workout officers with the skill sets needed to deal with troubled credits. While this may result in increased expenses, the benefits of having the right staff in place will most likely result in less expense than the losses which could result from missteps in collecting problem continued on page 26
30 » PA Bankers Association pabankers.comcredits. These actions, together with updated policies and procedures to incorporate coronavirus actions, robust MIS and Risk Management practices, and comprehensive Internal Controls will properly prepare banks to address regulatory concerns. Of course, there will undoubtedly be situations where the decision on whether to downgrade a credit to classified status or place a credit on nonaccrual is a close one. This decision can be complicated in cases where payments on a credit have been deferred and are not yet scheduled to begin. As a result, the ability of the borrower to perform on even modified terms has yet to be demonstrated. In these cases, some banks have conservatively opted to place such loans on nonaccrual, in part to prevent having to ultimately reverse income which would continue to be accrued. Typically, these credits will also be downgraded to adversely classified status. The safest course of action to avoid regulatory criticism would be to take the conservative approach. Rarely, if ever, have regulators criticized a bank for aggressively placing loans on nonaccrual or adversely classifying them. However, a bank can expect criticism if a regulator thinks the bank has been too slow to do so. And regulators will be less aggressive in dealing with a bank if management can demonstrate a willingness and ability to identify problems and put plans in place to deal with them.Why is all of this of significant importance? In June 2020, the regulators issued “Interagency Examiner Guidance for Assessing Safety and Soundness Considering the Effect of the COVID-19 Pandemic on Financial Institutions.” FinPro recommends that this document be shared with every bank’s senior management and board of directors. Included in this document are some statements regarding CAMELS ratings and how regulators will deal with a bank as follows:“When assigning the composite and component ratings, examiners will review management’s assessment of risks presented by the pandemic, considering the institution’s size, complexity, and risk profile. When assessing management, examiners will consider management’s effectiveness in responding to the changes in the institution’s business markets and whether the institution has addressed these issues in its longer-term business strategy.”“An examiner’s assessment may result in downgrading component or composite ratings for some institutions. In considering the supervisory response for institutions accorded a lower rating, examiners will give appropriate recognition to the extent to which weaknesses are caused by external economic problems related to the pandemic versus risk management and governance issues.”“When considering whether to take a formal or informal enforcement action in response to issues related to the pandemic, the agencies will consider whether an institution’s management has appropriately planned for financial resiliency and continuity of operations; implemented prudent policies; and is pursuing realistic resolution of the issues confronting the institution.”In other words, if banks can demonstrate that they are taking “prudent” actions to deal with borrowers adversely impacted by COVID-19, regulators will take that into consideration in deciding how to respond to asset quality issues that arise as a result.ABOUT THE AUTHOR: Prior to joining FinPro, Pat had a 32-year career with the FDIC that included six years as the regional director (Division of Supervision) for the Boston Region. He earned a Juris Doctor degree from Loyola University School of Law and is also a graduate of the Stonier Graduate School of Banking.Pat holds a license to practice law in the State of Illinois. to help member banks prepare for upcoming examinations. We ask every bank to complete our anonymous Post Exam Survey after each examination so that we can help bankers identify hot topics and exam trends and regulators resolve inconsistent application of exam practices from agency to agency and region to region. For more information, go to Knowledge is power.As we progress through this pandemic, you’ll very likely be faced with unique challenges during your upcoming examination. Are the results of your bank examination really that important? Absolutely. The answers to your exam questions could very well determine the future of your institution… and our industry. Get the knowledge you need by reviewing important data from your fellow bankers, such as how the examiners’ are focusing on your COVID-19 lending practices, your response to pandemic operational challenges, and your compliance with risk policies. If you recently had your examination, this is a great opportunity to share your experience. Please join us in this important mission to ensure that exams are fair, predictable and consistent; and most importantly, that each banker is well prepared for their exam. Simply go to allbankers.org and take just a few minutes to prep for your exam or to provide us with your anonymous exam feedback. Together, we can keep the process fair to all.featureARTICLE
PA Bankers Association » Quarter 2, 2021 31Experience four days packed with dynamic speakers, lively discussions about the bankingindustry, inspirational programs, fine dining, entertainment, community service and more at thePA Bankers 2021 Convention*.Speakers, topics and agenda information will be released at a later date, but we encourage youto register for the convention and book your room and tours as soon as possible.*Due to COVID-19, PA Bankers reserves the right to convert in-person events to virtual delivery with as much advancenotice of the change(s) as is practical under the circumstances.Questions? Contact: Fill out our registration form to register today.Oct. 29- Nov. 1, 2021 • JW Marriott Marco Island Beach Resort • Marco Island, Fla.PA BANKERS 2021 CONVENTIONEXCLUSIVE AAA APPROVED EVERGLADES AIRBOAT EXCURSIONSaturday, Oct. 30 | 9 a.m. – 1 p.m. | $188/person Journey into nature's secretly preserved wilderness, made up of 1.2 million acres of grasslands and hardwoodhammocks, aboard one of our Safari airboats. Recognized as the most unique ecosystem in the world, our tourguide will lead you through this natural wonder where you will encounter breathtaking panoramic views of the"River of Grass,” lush vegetation and tranquility. After your airboat ride, experience an authentic wildlife sanctuary,situated on 259 lush acres surrounded by Big Cypress National Park. At the sanctuary, you'll have the opportunityto see 100+ alligators, some of the biggest crocodiles in captivity, as well as various wild cats, a snake and reptileexhibit, and a live alligator show.HAPPY HOUR BOURBON TASTINGMonday, Nov. 1 | 4 - 5 p.m. | $148/person | Restrictions: This activity is provided for persons 21 years or older.This tasting will provide an introduction into America's whisky, bourbon. We will begin with a brief overview of thehistory of bourbon and then learn about the differences between bourbon and other spirits. The instructor willguide you through the proper steps in tasting and give you the knowledge to pick and choose your favoritebourbons at home. The tasting consists of three choice bourbons, all explained in great detail. Come away with anewfound appreciation for America's greatest spirit.OPTIONAL TOURS - Preregistration & Additional Fees RequiredfeatureARTICLECLICK HERE TO REGISTER TODAY. | | (717) 255-6939
32 » PA Bankers Association pabankers.comEach year, the Women in Banking Recognition of Excellence Program honors rising stars and leaders throughout our industry that continually "go the extra mile" to promote and inspire women to reach their full potential within the banking industry, her financial institution and the community.FOUR INDIVIDUALS WILL BE HONORED IN THE FOLLOWING THREE CATEGORIES:• The Patricia A. Husic Woman of Influence Award;• Tomorrow's Promise Award; and• Champion for Women Award (2 awards - one Affiliate Member and one financial institution member).from yourPEERSNominations are now open!Click here to nominate your peers before June 30, 2021. Please note that you must first download the nomination form before editing it.All questions and nominations should be submitted to Karen McDermott, (717) 255-6914.Winners will be announced at the Women in Banking Conference on Sept. 27, 2021.Honoring Influential Women & Champions for Women in the PA Banking IndustryNominate Your Peers Today:Women in Banking Recognition of Excellence ProgramThank you to our co-sponsors, Schneider Downs and Pillar+Aught, for their support of this program.
Member: FINRA and SIPCOklahoma City, OK | Atlanta, GA | Austin, TX | Indianapolis, IN | Long Island, NY | Salt Lake City, UT | Springfield, ILThe Baker Group LP is the sole authorized distributor for the products and services developed and provided by The Baker Group Software Solutions, Inc.www.GoBaker.com | 800.937.2257Successful ﬁnancial institution managers know the importance of achieving a high-performance plan. Establishing such a plan requires not only sound data and accurate information, but also an insightful partner; The Baker Group is that partner.Leaders in innovation. The Baker Group remains the industry leader when it comes to innovation. We are truly a one-stop shop that never outsources our customizable reporting services. To ﬁnd out how The Baker Group can assist your institution in deﬁning and meeting its ﬁnancial objectives, call your Baker representative or Ryan Hayhurst at 800.937.2257.Investment Portfolio ServicesBalance Sheet ManagementEducationPublic FinanceStrategic PlanningFundingBond Accounting and AnalyticsOur Experience Will Guide Your Institution to the Next LevelHigh-Performing Financial Institutions Have High-Performing Partners
34 » PA Bankers Association pabankers.comEmerging Leaders Updatefrom yourPEERShe Emerging Leaders Committee continually works to promote careers in the banking industry to younger bankers and find ways to retain talent. To expand on this initiative, earlier this year the committee worked to rebrand the Emerging Leaders Network to encompass its goals and strategies for the future. MISSION STATEMENT:The PA Bankers Young Professionals Network aims to provide a diverse and inclusive platform for engagement and growth with the primary focuses of:• Professional development, educational and mentoring opportunities;• Inspire, promote and broaden awareness of careers within the banking as well as advocacy for the industry;• Recognition of young professionals for their contribution to the industry; and• Champion community engagement and outreach. AWARDS PROGRAM:The brand-new Future Under 40 program will allow for a broader array of young professionals to be recognized for their contributions to the banking industry. Honorees will be announced at the annual Young Professionals Conference (formerly Emerging Leaders Conference).T
PA Bankers Association » Quarter 2, 2021 35PA Bankers Association 50 Volume 21.1 | Quarter 1SOMEONE IS MAKING MONEY ON TITLE INSURANCE. IT SHOULD BE YOU.It’s like owning your own title insurance company, only better. PA Bankers Services Corporation – along with Investors Title Insurance Company – will help you become part of a multi-bank owned title insurance agency and share in the proﬁts every time title insurance is written. To learn more, simply give us a call at (717) 255-6925 and we’ll show you how your bank can earn non-interest income from title insurance.
36 » PA Bankers Association pabankers.comhe Bank On Program is an effort led on a national level by the Cities for Financial Empowerment Fund (CFE Fund) with a singular goal of ensuring everyone has access to safe and affordable financial products and services. The CFE Fund created Bank On National Account Standards to ensure all haveaccess to accounts with low minimum opening deposits; low costs; no overdraft fees; robust transaction capabilities, such as debit cards; and online bill pay. Research from the Federal Deposit Insurance Corporation suggests the following reasons consumers may not have a basic transaction account - not enough money for the minimum balance; distrust of financial institutions; high or unpredictable fees; or identification, credit or banking history problems. As a result, they are driven to use expensive alternative financial services, including check cashers, payday lenders and pawn shops that charge high fees for financial services that fail to help people get ahead. Without a checking account, families wind up paying too much for basic financial transactions and are hard pressed to build savings and assets.A basic transaction account is an important first step in establishing a mainstream banking relationship, from yourPEERSBank On Certified AccountsT
PA Bankers Association » Quarter 2, 2021 37depositing earnings securely, accessing credit and saving for the future. Unbanked and underbanked individuals lose the cost savings and stabilizing benefits that basic transaction accounts provide, such as:The average unbanked person spends 5 percent of net income on unnecessary fees for alternative financial services. This can amount to $40,000 over a lifetime—a significant amount for those who can least afford it.Without a bank account, a family lacks the ability to save reliably or automatically or establish a banking relationship that can lead to accessing affordable credit for opportunities like a car, small business or home mortgage.Without a safe place to deposit their money, unbanked people may be more likely to be a victim of crime because they often carry large sums of cash with them or keep cash in their homes. Elderly, disabled or undocumented immigrants can be particularly vulnerable.Research shows that being unbanked makes it harder to achieve financial goals like reducing debt and improving credit scores.The PA Bankers Association is urging its member banks to expand access to banking services and reduce the number of unbanked and underbanked residents in the commonwealth by offering Bank On certified accounts. The association announced its intent to expand the Bank On program in PA at its annual member meeting, followinga presentation by David Rothstein with the CFE Fund. Increasing bank access to the unbanked and underbanked is a key component of the association’s diversity, equity and inclusion initiative. Supporting Bank On certified accounts was a recommendation by the association’s DEI Advisory Group, and it is whole-heartedly supported by the PA Bankers board of directors.The association is also working to establish a statewide Bank On coalition that will support existing efforts in Philadelphia, Allegheny County and Allentown, as well as other parts of the state not currently part of a local coalition, to provide safe and affordable access to banking services to the unbanked/underbanked.The association will host an informational session with the CFE Fund for our members in August to learn more about the benefits of offering Bank On certified accounts and how to get their accounts certified. More information to come, so please stay tuned. If you have any questions in the meantime, please contact Quick Facts: • Close to 5 percent of U.S. households (approximately 12 million adults) are “unbanked,” without a checking or savings account.• Almost 11 percent of U.S. households (approximately 24 million adults) are underbanked, meaning they still use some fringe financial services.• Nearly 34 percent of unbanked and 45 percent of underbanked households earn less than $30,000 per year.• Nationally, 48 percent of Black households and 42 percent of Hispanic households are unbanked or underbanked, compared to less than 14 percent of white households.
38 » PA Bankers Association pabankers.comgovernmentRELATIONShe PA Bankers Government Relations Policy Committee met on Feb. 10 to establish initial priorities and positions on state legislative issues for the 2021-22 legislative session. The association’s highest priorities are as follows, in alphabetical order:• Transfers from the Banking Fund to the General Fund – PA Bankers opposes this issue. Advocate for as much protection from future transfers as we can achieve. Legislation has been introduced in the House and Senate as House Bill 859 and Senate Bill 432 that would designate the Banking Fund as a separate trust fund within state government, in order to discourage future transfers from the fund into the General Fund, as happened in 2018 & 2019 when $21 million was taken out of the fund each of those years. The Banking Fund is the fund within state government that state chartered banks and credit unions pay twice a year assessments into to fund the operations of the Department of Banking and Securities.• Better enable financial institutions and others to prevent elder abuse – Support enactment of legislation to authorize financial institutions to more effectively respond to suspected elder financial exploitation.• Breach of Personal Information Act amendments – ABA and the state bankers associations will advocate for a federally preemptive law on this issue that provides that all data holders meet the same standards that financial institutions currently must meet.• Financial Institution Data Match (FIDM)/asset attachment – Continue to work with the Department of Revenue (DoR) on implementation of its statutory authority to request financial institutions to match their account records against information DoR provides regarding delinquent state tax obligors.• Mortgage foreclosure/eviction moratorium – PA Bankers opposes this issue.• Trust de-canting & directed trusteeship and non-judicial trust termination amendments to Title 20 – Enact authorizing amendments that do not increase corporate trustee liability or afford a trust director/protector replacement authority. SUMMARY OF THE GOVERNOR’S BUDGET ADDRESSEarlier this year, Governor Wolf presented his proposed 2021-22 Fiscal Year General Fund Budget of $37.837 billion, an increase of $3.788 billion, or 11.1 percent over the prior year, in a prerecorded message to the Legislature on Feb. 3. He called for a major increase in the personal income tax rate to 4.49 percent to fund a record increase in spending for education; reiterated his call on the Legislature to increase to the state’s minimum wage to $12 per hour on July 1, 2021, with a path to $15 per hour; proposed combined reporting and lowering the Corporate Net Income Tax from 9.99 to 8.99 percent on Jan. 1, 2022, then incrementally to 5.99 percent by 2026; and called for the legalization of recreational marijuana usage. He did not propose an increase in the Bank Shares Tax rate or a transfer from the Banking Fund to the General Fund.PA Bankers’ Priorities and Positions for the 2021-22 Legislative SessionT
You are vital to community development.We’re here to help. Reliable Liquidity – Business Support Affordable Housing – Economic Development
40 » PA Bankers Association pabankers.comgovernmentRELATIONSt the end of May, the government’s Paycheck Protection Program is scheduled to come to a close. If Congress does not extend the program we can expect the “Monday morning quarterbacking” about the impact of the program on the economy, its design and implementation, and its ultimate cost to begin. Those are appropriate questions to ask as we consider the lessons learned from the nation’s response to the coronavirus pandemic. Here’s what I know already: The biggest small business rescue program in U.S. history would have been an unmitigated failure without the extraordinary efforts of America’s banks and their dedicated employees, and it would never have produced the positive results it did without the incredible collaboration between ABA and our state association alliance partners.It’s easy to forget what the world was like when PPP first launched in April 2020. The nation’s economy had largely shut down, many Americans were isolating in their homes and businesses of all sizes were dealing with the stark new reality posed by COVID-19.Banks across the country were trying to figure out how to keep the banking system fully functioning in the middle of a global pandemic and how to help their customers survive the economic disruption, while also trying to figure out how to protect the health and safety of their employees and customers from an invisible threat. It was against that backdrop that the federal government asked banks and other financial institutions to help the Small Business Administration launch the Paycheck Protection Program. On paper, the program dwarfed any previous SBA lending program in its history, and the agency was asked to launch it within days of lawmakers passing the CARES Act. That launch, to be generous, did not go perfectly. SBA’s technical systems, built for its more traditional 7(a) lending program, could not handle the incredible load demanded by a program of this scale. The agency staff was overwhelmed and was slow in issuing the guidance banks needed to begin processing loans and the guidance they did release was at times contradictory. From the start, ABA and our state association alliance partners encouraged banks to step up and participate in PPP despite all the obstacles, and step up you have. As of April 11, banks were responsible for 80% of the nearly 9.6 million PPP loans so far, and 93% of the $755 billion in PPP funding. I am particularly pleased to see how banks of all sizes supported the program. From our largest members to our smallest, the commitment to our small business customers has been truly remarkable. We have been united in this effort.Banks were able to step up because ABA, working with our state association partners, were able to keep members informed on the program and its many iterations. In daily Zoom calls in the early months of the pandemic, state association executives served as an early warning system, keeping us updated on operational issues popping up, which we relayed back to SBA. Meanwhile, ABA provided members and state associations the latest SBA changes in real-time. At one point, ABA hosted a PPP webinar for bankers, only to find that SBA employees in some parts of the country were trying to register. We APerspective on the Paycheck Protection Program
PA Bankers Association » Quarter 2, 2021 41ABOUT THE AUTHOR: came to learn that they were getting better information about PPP from ABA and the state associations than they were from SBA headquarters. ABA and the state associations also partnered on targeted ad campaigns to encourage minority- and women-owned businesses to consider applying for PPP loans. This was just one of many industry initiatives to try and make sure PPP funds reached every business that needed them. PPP will always have its critics. Some people remain fixated on the large businesses and public companies that applied in the first wave, only to be shamed into returning PPP funds. To be fair, many of those businesses met the initial eligibility requirements set by Congress. Government watchdogs remain rightfully concerned with inexcusable examples of fraud and abuse, many spotted by banks working with law enforcement. Others have suggested that banks earned a windfall from PPP. The reality is that for most banks, the cost of diverting staff from other lines of business to reset systems and oversee this massive new program made PPP lending a break-even business at best. And yet, all of those bankers also tell me they would participate again under similar circumstances because supporting PPP was the right thing to do for their customers, communities, and the country. CINNAIRE.COMTransforming Communities. Transforming Lives.It takes more than good intentions to transform communities. It takes capital, development capacity and trusted partnerships. In 25 years, we’ve delivered more than $7.3 billion in community impact. Overcoming challenges. Solving problems. Backed by a commitment to creating healthy communities that has never wavered.The Return on Investment: Safe, Aordable Homes. Healthy Communities. Better Lives.
42 » PA Bankers Association pabankers.comSCHOOL OF COMMERCIAL LENDING VIRTUAL TRAININGLENDING CONFERENCE THE HOTEL HERSHEY | HERSHEY, PA Lending & Credit6/14-1811/18-19SCHOOL OF BANKING VIRTUAL TRAININGADVANCED SCHOOL OF BANKING VIRTUAL TRAINING6/14-187/18-23General Association PA BANKERS 2021 CONVENTION JW MARRIOTT MARCO ISLAND BEACH RESORT MARCO ISLAND, FL. 10/29-11/1a aheadlook Please note: all dates and locations are subject to change.
PA Bankers Association » Quarter 2, 2021 43YOUR REINFORCEMENTSHAVE ARRIVED.A break from the traditional. Unfettered access to a team of attorneys with deep expertise and extreme responsiveness. Learn how we protect what you’ve built and how we've revolutionized the legal services experience.pillaraught. coma aheadlook2021-22 LEADERSHIP INSTITUTE PA BANKERS TRAINING ROOM | HARRISBURG, PAManagement DIRECTORS INSTITUTE VIRTUAL TRAINING 6/24FDIC DIRECTORS COLLEGE VIRTUAL TRAINING 11/1010/6-7 12/1-2 DATES IN 2022:2/2-3 | 4/6-7 | 6/8-9 | 9/14-15
44 » PA Bankers Association pabankers.comWOMEN IN BANKING CONFERENCE HERSHEY LODGE & CONVENTION CENTER HERSHEY, PA9/26-27NetworksYOUNG PROFESSIONALS CONFERENCE HERSHEY LODGE & CONVENTION CENTER HERSHEY, PA9/20a aheadlookWealth Management, Trust & Investment ServicesWEALTH MANAGEMENT & TRUST CONFERENCE HERSHEY LODGE & CONVENTION CENTER HERSHEY, PA10/27-29
PA Bankers Association » Quarter 2, 2021 45We’re Mobile! The PA Bankers App keeps you connected with PA Bankers like never before. SEE HOW YOU CAN UTILIZE THE APP BELOW:1DOWNLOAD THE FREE APP IN THE GOOGLE PLAY AND APPLE APP STORES TODAY.Register for events at your fingertips.2Update your personal/business information on the go.3Have all event details in one place (i.e., handouts, evaluations, speaker bios, etc.).4Access the updated PA Bankers calendar at all times.5Connect directly to the association’s social channels and stay up-to-date on association news.6Browse for products and services for your institution.Read paBanker magazine on the go.78 Access resources designed for PA Bankers' members. Receive "Instant Alerts" to stay informed.9Advocate for the industry from any location.10
46 » PA Bankers Association pabankers.comvendorARTICLEShe past year has highlighted the vital role community financial institutions play in helping businesses thrive and consumers maintain their financial well-being. It has also taught us a great deal about the industry's ability to overcome difficult obstacles in order to provide valuable services and advice to keep account holders and employees safe, maintain effective work environments and keep communities up and running. Throughout all of the uncertainty, community banks have implemented solutions to address both their specific circumstances and their customers’ changing financial needs. The ability to recognize evolving conditions and make adjustments along the way reinforces our industry's resiliency and the people who make it work.THERE'S TOO MUCH AT STAKE FOR ONE-SIZE-FITS-ALL SOLUTIONSAs we look ahead to 2021, community banks will continue to face operational challenges, increased demands for technology and ongoing performance concerns due to the impact of the coronavirus. Likewise, many consumers will continue to experience uncertainties due to job loss or underemployment that threatens their financial security and increases their need for safe, reasonably priced products and services to address short-term liquidity needs. With so many unknowns ahead, not implementing tailored solutions to fit your bank’s situation—or the needs of your customers—can be costly in terms of operational efficiency, profitability, compliance certainty, and service quality. FIND THE PERFECT FITFor example, a customizable overdraft strategy can improve your overall results—based on your bank’s specific operational and performance goals—with the following resources and support: • Proven program management consulting maps out an effective plan to increase revenue potential, minimize charge-offs, maintain consistent customer communication and achieve continuous program improvement.• In-depth employee education—that addresses your staffing situation—reinforces consistent program understanding, strengthens employee confidence and improves service quality.• Reliable compliance expertise—along with periodic updates and advice—reduces regulatory uncertainty and legal risk.• Fully disclosed, consumer-friendly processes and procedures strengthen customer loyalty.BUILD TRUST WITH CLEAR, CONSISTENT DISCLOSUREAt the same time, a fully disclosed solution—supported by effective messaging and transparent processes—empowers customers to better manage their finances. Armed with more information, they are aware of the option to access overdraft coverage for necessary expenses and unexpected purchases when dealing with occasional economic challenges. One-Size Strategies Don't Fit All Situations Customized overdraft approach offers tailor-made solutionsT
PA Bankers Association » Quarter 2, 2021 47Plus, the right messaging and communications recommendations provide support to program users in the following ways: • Initial program explanation introduces customers to the benefits and responsibilities of using the program option. • Ongoing communication re-educates them regarding how the program works, explains the service's value, describes the difference between available vs. actual balance, and offers other useful information and account management tips.• Disclosed overdraft limits—that are reviewed periodically for adjustment—fit individual customers’ situations and provide valuable peace of mind.• Periodic account activity notifications address specific circumstances and reinforce your institution's commitment to better service. TAILOR YOUR SOLUTION WITH AN EYE ON PLANNED GROWTHFinancial institutions will continue to experience uncertainties that add stress to staff time and resources. Some of the most common issues include addressing sustainable revenue generation, increased competition, business activity restrictions, the pandemic's ongoing economic impact and changing customer needs. Utilizing the recommendations and support provided by a professional overdraft consultant to implement and maintain customized program policies and procedures can reduce the burden on your staff. It is also an effective way to boost employee confidence, increase performance, strengthen compliance certainty, provide opportunities to create customer loyalty, and significantly increase your growth potential. ABOUT JMFA is one of the most trusted names in the industry. Whether it's recovering lost revenue, uncovering new savings with vendor contract negotiations, creating more value, serving customers better or delivering a 100-percent compliant overdraft service—JMFA can help you deliver measurable results with proven solutions. To learn more, please contact your local representative or call us at (800) 809-2307. ............................................................................................................................................................................................................... .......................................................................................................................................... ................................................................................................................................................................................................... .............................................................................................................................................................................................. ..................................................................................................................................................................................... .................................................................................................................................................................................... ....................................................................................................................................................................................................................... .................................................................................................................................. ..................................................................................................................................................................................... 6 .......................................................................................................................................................................................................... ......................................................................................................................................................................................... ................................................................................................................................................................................................33........................................................................................................................................... .......................................................................................................................................................................... adINDEX
48 » PA Bankers Association pabankers.comhe role of a board member of any organization is constantly evolving. Economic cycles, leadership transitions, market dynamics, competitive changes, governance activists and even political shifts can impact board composition and best practices in corporate governance seemingly out of the blue. Then add the unexpected challenges of a global pandemic, and the environment changes quickly again.There are certain constants, however, which have proven useful over time as essential elements of the most successful boards. In defining a great board, we suggest these for your consideration:Governance as a defining characteristic of a high performing board may feel like stating the obvious. Except the board’s role is precisely that—to govern and not manage. The old saying “nose in, fingers out” still rings true today. Boards exist in large part to oversee management on critical issues such as strategy, risk, CEO succession and transactions, and to provide sound counsel to the CEO and leadership team. Despite what some directors may still think, the board’s job is guide and advise management and not to run the business.Risk is a critical aspect of appropriate board oversight, and has become increasingly more complex over time. The impact of a “black swan” event like we have recently experienced with the global pandemic is a prime example. Boards should be regularly updated on the strategic risks facing the company, and must ensure that appropriate procedures for compliance, controls and reporting are in place and functioning well across the organization.Engagement as a director is often overlooked. Throughout our firm’s experience advising boards, it is all too common that we encounter directors who are simply not engaged in governing. Often these Directors do not properly prepare for meetings, worry about the time and length of the meeting, and do not partake in constructive conversations. Whether due to overly lengthy board tenure or outdated skills, a lack of consistent engagement may drive consideration for offboarding.Accountability. Boards in some organizations do not hold management truly accountable for results, which is a crucial element of governing. Such boards at times may find excuses for poor performance or reward management for underperformance or tenure, rather than pushing back to explore why goals may not have been achieved. Sometimes there are legitimate reasons why an organization does not perform (external factors; lack of resources; faulty expectations; global pandemic, etc.). Boards need to make sure the company leaders have what is needed to succeed going forward, and then hold them accountable to deliver. Talent-Centric. Well-governed organizations have boards that are consistently focused on CEO succession and executive talent development. Some firms are so focused on crafting an awesome strategy that they forget about the other side of the coin—execution of the plan. Talent is the biggest variable in execution, and boards need to make sure that the CEO and leadership team are consistently focused on and held accountable for the attraction, development and retention of talent above the norm.vendorARTICLESTThe Definition of a Great Board:2021 EditionGREAT
PA Bankers Association » Quarter 2, 2021 49ABOUT THE AUTHOR: Alan J. Kaplan is founder & CEO of Kaplan Partners, a retained executive search and board advisory firm headquartered in suburban Philadelphia. You can reach him at 610-642-5644 or Broadly-skilled boards are comprised of people with an appropriate mix of relevant talents and experiences, to enable proper guidance and provide a variety of useful viewpoints. This skill mix should be both functional (for example, financial, technology, marketing, human resources) as well as industry (reflecting competitive dynamics, customer segments, emerging markets, etc.). Too many directors with similar backgrounds, or a lack of broad and current skills, compromises the value derived from the board table. Open-Minded. Boards benefit from directors who are informed, insightful, and inquisitive. In other words, willing to challenge assumptions, consider new ideas and approaches, and are able to think outside the box. A room full of directors with blinders on, who operate with “group think,” or who want to pretend that this is still “the good old days” does not enhance governance or add value. Awareness of the dynamics taking place outside the organization is important as well. This may apply to the competitive landscape in your market or industry, or knowledge of the external factors which could significantly impact the business. Also included here could be the potential for regulatory impact or strategic transactions—wanted or unwanted—which could quickly reshape the organization. Ongoing director education to remain current and relevant is critical. Respectful. Often times boards are called upon to make tough calls, or push back on management regarding critical issues. These types of messages are never easy, but need to be delivered firmly yet respectfully. Boards have an obligation to be courageous in the face of difficult decisions which may arise, including at times whether to allow underperforming directors to continue serving. Respect also needs to extend to the viewpoints of other directors, always, even when disagreeing. Diversity is the order of the day! As has been well documented, boards comprised of leaders with diverse perspectives generally make better decisions. Boards representing of a robust variety of backgrounds and life experiences—whether diverse by race, gender, ethnicity, or other criteria, are not only appropriate but vital for success in today’s business and social climate. In addition, having diverse role models on the board and at the top of the organization sends a very strong positive message to current and prospective employees.The willingness to truly govern and tackle the important business challenges are hallmarks of great boards. However, the dynamics of crafting a board with the right blend of skills, relevant experiences and diverse perspectives remains difficult for many institutions. A thoughtful approach to board composition, recruitment and succession will enhance both the quality of corporate governance as well as organizational performance.AR
50 » PA Bankers Association pabankers.comhen people in your community are looking for day-to-day advice on how to manage money, do they turn to your bank as the expert or search for answers on the internet? Bridge the gap by cultivating a culture of financial literacy in your community.Financial literacy simultaneously elevates the education of your employees and your account holders, builds brand awareness, and fosters financial security. What’s more, when you provide financial education resources, you’re supplying the tools consumers are already seeking.Studies show that people are searching for solid financial advice and money management tips now more than ever. In 2020, 62 percent of Americans reported experiencing financial stress. Around 22 percent dipped into their emergency savings and 19% increased credit card balances, according to the survey by John Hancock Retirement.Now is an ideal time for banks to show up as subject matter experts and promote financial literacy education in their communities—and Banzai is your ally.WHY FINANCIAL LITERACY MATTERSIt’s simple to see how financial education dovetails with a bank’s existing objectives in a community. Research suggests that financial literacy efforts positively impact money management. For instance, an understanding of how credit scores work generally leads to higher credit scores, while the same is true for lower debt and higher savings rates.When you create a culture of financial literacy and work to educate your employees and community members, you’re also creating your ideal account holders: informed, secure, and smart.On the flip side, your bank will better fulfill the community’s ideals as the bank’s reputation builds into a trusted hub for financial literacy. This trust leads to long-term loyalty and customer retention. It’s a win-win scenario.BENEFITS TO BANKSThe need for a culture of financial education is obvious—and the solution can be, too, with Banzai as your partner. Banzai is an award-winning financial education platform with turnkey solutions. It eliminates the need to create in-house financial literacy resources from scratch; Banzai has interactive, learn-by-doing resources for every age.Banzai partners with banks of all sizes who distribute the Banzai platform as they see fit. Used internally, these resources can greatly improve the depth of financial knowledge in employees, helping them better serve their clientele and retain customers in the long-term.Banks who partner with Banzai—referred to as “sponsors”—and share resources with their employees report a boost in their internal vendorARTICLESBecoming Your Community’s Financial Literacy ExpertBoost Your Brand and Transform Your Community
PA Bankers Association » Quarter 2, 2021 51ABOUT THE AUTHOR: Nikole is personally and professionally committed to teaching the value of a dollar. She leads a team that monitors, cultivates, and creates financial literacy curriculum for students and adults nationwide.culture of financial literacy. At one company, employees repeatedly play through courses and compete for high scores and prizes. Another uses resources for employee onboarding, establishing a culture of financial literacy from day one with new employees.It’s also common for sponsors to share resources with account holders, local schools, nonprofits, partner organizations, and more. Sponsors who offered these resources to account holders reported an increase in financial literacy and overall financial well-being. They also saw a boost in touchpoints and opportunities with community partners.TEACH THE VALUE OF A DOLLARBanzai products are designed for all ages and financial situations. The Banzai Coach is a virtual financial adviser that provides personalized feedback on dozens of financial topics through an interactive and easy-to-use interface.Customizable calculators use actual numbers and unique financial situations to explore possibilities like paying off a mortgage early, getting an auto loan, or the cost of relocating to another city.In addition to Coach sessions and calculators, the Banzai Wellness Center also includes more than 80 articles that provide a comprehensive overview on a wide range of financial topics, from creating a budget to boosting credit to building an emergency fund. It’s a great place to direct customers who have questions about financial best practices or simply want to learn to manage money better.Local schools sponsored by local banks work with Banzai’s flagship simulation courses: Junior, Teen, and Plus. These teach personal finance to kids and teens using trial-and-error decision making. They walk through things like income, budgeting, borrowing, insurance, taxes, credit scores, rent, and mortgages, all the while teaching the importance of financial tradeoffs and big-picture thinking.These programs introduce banks to local kids and teens at a young age. They foster brand recognition that can lead to loyal account holders years in the future, as kids and teens grow and see the sponsor as an ally in their financial success.A TURNKEY SOLUTIONPartnership with Banzai is more than just access to the award-winning product suite. It also includes the Banazi Manager, a behind-the-scenes toolbox for customizing, embedding, and tracking content. For instance, coaches and calculators can be incorporated on your website in a style that matches your brand, and designed to generate leads or include calls to action. Co-branded pages and presentations for community partners keep your brand top of mind as you share resources in the community.Robust analytics make it easy to track how users interact with Banzai content on your site. See a breakdown of page views or visitors to a specific resource, and even track data from Coach sessions.The Manager also includes a complete content marketing solution that’s basically a department in a box. Each Coach session (there are currently 27, with more added all the time) includes marketing materials such as a trifold brochure you can distribute digitally or physically, web banners, and social media images and posts already optimized for Facebook, Twitter, and Instagram. You’ll also get presentation slides and notes on several topics and marketing kits with copy and mock schedules for content rollout.When you partner with schools, Banzai handles all the outreach, hosts the online software, ships any printed materials, and provides technical support for users and teachers. It’s a truly turnkey solution.BE THE EXPERTIf you’re looking for a way to boost your brand and transform your community, financial education could be the golden ticket. Banzai has partnered with more than 750 financial institutions nationwide as they lead out on financial literacy education in their communities—each one with a unique customer-base. You have the power to make an impact in your community. Banzai can help.
52 » PA Bankers Association pabankers.comvendorARTICLESn March 9, 2020, the Federal Deposit Insurance Corporation (FDIC) issued guidance encouraging financial institutions to assist customers and communities affected by COVID-19. With the Coronavirus Aid, Relief, and Economic Security (CARES) Act, many banks were faced with its own set of challenges. During this time, many banks took steps to assist consumers including allowing loan modifications with no fees, waiving fees on accounts and offering in-home banking services. Many were also participating in providing Paycheck Protection Program (PPP) loans to small businesses. Because of all of these accommodations, many banks struggled with high volumes of COVID-related mortgage requests and questions from customers, and PPP loans. Banks were overcoming these overwhelming volumes while also maintaining their efforts to keep the physical locations of the banks safe for both customers and the employees. Through these difficult times, financial institutions created and revised policies and procedures to adjust and continue to provide excellent service to customers. Throughout the pandemic, the FDIC shifted to conduct all consumer compliance examinations and industry meetings virtually. In the beginning of the pandemic, the FDIC paused examination activities to allow financial institutions to focus on meeting the needs of their customers. As the examinations resumed, the FDIC allowed flexibility in scheduling to accommodate the institution’s needs. There were some hurdles in the earlier stages due to operational and staffing challenges that limited the ability of management to respond to supervisory requests because of the shift to the virtual examinations. However, the FDIC was still able to conduct all consumer compliance and Community Reinvestment Act (CRA) examinations within the timeframes established by the FDIC policies. The most common violations during the 2020 examinations involved: the Truth in Lending Act (TILA), Truth in Savings Act (TISA), Flood Disaster Protection Act (FDPA), Electronic Funds Transfer Act (EFTA), and the Real Estate Settlement Procedures Act (RESPA). The FDIC uses a risk-focused methodology in conducting is compliance examinations and the most frequently cited violations typically involve regulations that represent the greatest potential harm to consumers. The FDIC initiated 8 formal enforcement actions and 16 informal enforcement actions to address consumer compliance examination findings. The total voluntary payments to consumers totaled approximately $7.4 million to more than 67,0000 consumers.RESPA Section 8(a) prohibits giving or accepting a thing of value for the referral of settlement service business involving a federally-related mortgage loan. The FDIC continued to find RESPA Section 8(a) violations involving illegal kickbacks, disguised as above-market payments for lead generation, marketing services, and office space or desk rentals. Paying for leads is acceptable, but paying for a referral is prohibited. To distinguish between the two, examiners look to whether the person providing the lead/referral was merely giving information about a potential borrower to a settlement service provider or if was person was “affirmatively influencing” a consumer to select a certain provider. “Affirmative influence” means recommending, directing or steering a consumer to a certain provider. Often times, true leads The Pandemic and the Continuing Supervisory Guidelines
PA Bankers Association » Quarter 2, 2021 53ABOUT THE AUTHOR: Kevin Kim joined Compliance Alliance (C/A) after graduating from the Benjamin N. Cardozo School of Law in 2019. He currently serves our members as one of our hotline advisers, where he spends his days guiding our members and writing articles for our weekly and monthly publications. Before C/A, he worked at Galaxy Digital and Refinitiv (formerly Thomson Reuters Financial and Risk) as a law clerk. He also opened a cryptocurrency mining farm and founded an after-school program business in his native New York City. His unique experience and outlook have brought an invaluable new dimension to our group.are lists of customer contacts that are not conditioned on the number of closed transactions resulting from the leads or any other considerations, including the endorsement of a settlement service. To mitigate the risks associated with RESPA violations, banks could provide training to executives, senior management, and staff that are responsible for and involved in mortgage lending operations. Banks can also perform due diligence when considering new third-party relationships that the bank or any individuals employed at or under contract to the bank enters that generate leads or identify prospective mortgage borrowers. Lastly, the bank could develop a monitoring process for identifying, assessing, documenting and reporting risks to executive and senior management. The Truth in Lending/Real Estate Settlement Procedures Integrated Disclosure (TRID) Rule also led to many violations. The Loan Estimate helps consumers understand the key features, estimated costs, and risk of the mortgage loan for which they are applying. The Closing Disclosure helps consumers understand all of the actual costs of the transaction and provide them with the opportunity to review cost and resolve any problems before closing. Under the TRID rule, the Loan Estimate is based on the “best information reasonably available” at the time the disclosures are provided to the consumer and the bank must exercise due diligence in obtaining this information. The Closing Disclosure is based on an accurate disclosure standard. The FDIC found multiple instances involving Veteran Administration Loans where banks failed to comply with the “best information reasonably available” and due diligence standards under TRID by issuing Loan Estimates based on unavailable interest rates and loan terms. Additionally, examiners found potentially deceptive practices when banks represented certain terms for loans that were not generally available.Mitigating risks for TRID violations also include providing training to executives, senior management, and staff that are responsible for or are involved in mortgage lending operations. Additionally, the bank should establish policies and procedures to help staff in complying with regulatory requirements when preparing disclosures. Finally, the bank should also consider implementing a centralized process to complete or review disclosures to ensure accuracy. Fair lending was also a big concern when evaluating bank compliance. During the 2020 examinations, the FDIC found a bank that would automatically deny the application if the applicant was under 30 years of age. Furthermore, the source of income was provided using a drop-down menu and any applicant who did not choose employment was denied. There was also another case where a credit-scoring model scored younger applicants more favorably than it scored elderly applicants. It also negatively considered applicants that were on maternity leave. Additionally, there was a bank policy which provided that the loan officer should use the highest credit score of the two applicants when the applicants were married, but the primary applicant’s credit score would be used when the joint applicants were unmarried. To address the fair lending risks, banks could consider regularly reviewing credit policies to ensure the Equal Credit Opportunity Act and Regulation b permit such considerations. The FDIC finds that a strong compliance management system helps ensure that financial institutions are treating consumers more fairly. Moreover, the bank should review any filers or other criteria used for online leads, website applications, and/or credit scoring models. With such an unprecedented pandemic sweeping across the nation, there have been many areas that needed adjustments to adapt to the changing environment. Regardless of the impact of COVID-19, banks should still continue to setup and monitor compliance programs to ensure that the banks are complying with the appropriate regulations for their business activities.
54 » PA Bankers Association pabankers.comvendorARTICLESompliance management is a never-ending job. As soon as one regulation is implemented or training or testing is completed, another one immediately takes its place. It can be overwhelming, but there are ways to lighten your compliance management workload while still staying compliant and on task. Here are four tips. 1. IDENTIFY THE MENTAL LOADS YOU CARRY AND FIND A WAY TO PUT THEM DOWN. We all have projects that feel as though they are constantly hanging over our heads. It’s an invisible weight adding stress to our work lives. Psychologists call this work of constantly having to coordinate and remember activities as “mental load.” Mental load isn’t the weight of any single chore—it’s the collective burden of having to track so many pieces. (It’s a phenomenon often linked to parents, especially moms.) Take some time to make a list of tasks, activities, and projects that feel like a constant source of worry. Maybe it’s repeatedly reminding employees to complete compliance training, meeting a deadline for reporting data, or worrying if the institution is up-to-date in remediating all outstanding findings. Maybe it’s all of them at once. Then go through each one and think about why it’s such a mental burden. You may find that it’s not the individual task that’s the problem—it’s having to manage so many of them. 2. CREATE BLUEPRINTS OR WORKFLOWS FOR REPETITIVE ACTIVITIES. There’s a good chance that much of your mental load comprises repetitive compliance activities such as: • Identifying applicable regulatory changes • Drafting or updating policies and procedures in response to regulatory change • Sharing policy and procedure updates with appropriate staff • Confirming employee compliance training • Tracking consumer complaints • Testing regulatory compliance to ensure your compliance management system (CMS) is working • Reporting to the board and management Do you have workflows for accomplishing these tasks or do you approach them like a blank slate each time? If it’s the latter, creating a blueprint or workflow can lighten your mental load. Each of these tasks has repeatable steps. Think about implementing regulatory change. Each time a change needs to be implemented, it impacts a different department or business line and different How to Lighten Your Compliance Management Workload
PA Bankers Association » Quarter 1, 2021 55ABOUT THE AUTHOR: Michael Berman is the founder and CEO of Ncontracts, a leading provider of risk management solutions. His extensive background in legal and regulatory matters has afforded him unique insights into solving operational risk management challenges and drives Ncontracts’ mission to efficiently and effectively manage operational risk.staff, but the underlying process is the same, including identifying the rule, determining its impact to the institution, writing policies and procedures, etc. If you have a workflow for implementing regulatory change, you won’t have to spend as much energy planning how you’ll do it or remember what you did last time. 3. SOME TASKS ARE BURDENSOME—BUT DO THEY HAVE TO BE? Not every project can be made simpler with a workflow. Some are just heavy lifts no matter how you look at it. The question is: Should you be the one doing the lifting? Compliance professionals are highly trained and have the expertise that no one else in the institution shares. They can provide insights into strategic planning, offering advice on how to avoid compliance pitfalls when considering new products, services, and initiatives. They can conduct compliance testing to ensure policies and procedures are being followed and that controls to mitigate compliance risk are effective. You can think creatively to implement new regulations in a way that works best for your institution’s size, complexity, and product mix. That can be hard to do if you’re overwhelmed with day-to-day compliance tasks that don’t require your specialized institutional knowledge. Think about tasks that require compliance expertise, but not your in-depth knowledge of your institution. For example, many compliance professionals spend hours reading and interpreting pages of new regulations. In periods of significant regulatory change, reading regulations is basically a full-time job, but it doesn’t need to be. Tracking regulatory change is the type of task that can be cost-effectively outsourced to knowledgeable regulatory counsel. Even better, there is CMS software overseen by regulatory counsel that automatically identifies and alerts you to applicable regulatory changes and provides an action plan for implementation. It’s a huge time saver. 4. IMPROVE COLLABORATION. Compliance is a single department, but your work touches every department, so it’s important to be able to easily communicate and collaborate. Tracking policy changes and approvals is exhausting when it involves hunting down the latest version of the policy and documenting that it was approved by individual board members or management. It’s not a good use of your time. Instead of trying to find ways to politely hound board members and management to review your documents, consider introducing an automated compliance management system that comes with a central repository for compliance documentation, allowing you to track policy updates and approvals. An employee intranet also makes it easy for everyone at your institution to find policies when they need them, allowing staff to self-serve instead of taking up your time. While a compliance officer’s work is never done, it doesn’t have to be overwhelming. Take the time to consider your mental load and how you can reduce it. It may be easier than you think. Want more career advice? Here are 11 Can’t-Miss Compliance Management Tips From Top Compliance Officers.
56 » PA Bankers Association pabankers.comABA INSURANCE SERVICESBond, D&O, Cyber Insurance, and Employment Practices LiabilityPatricia Williams, (216) firstname.lastname@example.orgACCUME PARTNERSOutsourced Internal Auditing and Risk Management ServicesNicole Lloyd, (717) email@example.comAPPI ENERGYElectricity and Natural Gas Procurement Services, Utilities Management PlatformMargo Madden(667) firstname.lastname@example.orgANDERSON GROUPIntegrated Marketing and Communications and Business IntelligenceRay Melcher, (610) email@example.comAPPROVAL PAYMENT SOLUTIONS, INC.Merchant Processing, Search Engine Optimization, Website Design and Social Media ManagementDanielle Lausch, (717) firstname.lastname@example.orgTHE BAKER GROUP Asset/Liability Management Software and ServicesCharles Amis, (405) 415-7231Charlie@gobaker.comWayne Whipple, (717) email@example.com BANK HEALTH CARE CONSORTIUM OF PABANKTALENTHQ Diversity is Essential - Find Talent in all the Right PlacesWayne Whipple (717) 255-6925 firstname.lastname@example.orgCOMMONWEALTH CHARITABLEMANAGEMENTCristine Clayton, (570) email@example.comApplication and Administration of EITC ProgramsBANKERS ALLIANCEA Family of Bank Compliance Services That Includes Compliance Alliance, Review Alliance and Virtual Compliance OfficerWayne Whipple, (717) 255-6925 firstname.lastname@example.orgBITSManaged Service Provider for Voice and Data CommunicationChristian Ericson, (973) email@example.comBANZAI!Interactive, Award-winning Course Teaching Students Real-world Finance, No Upfront Cost Jake Finlinson, (214) firstname.lastname@example.org Banks Received Credits in Surplus ofOver $8.9 Million in 2018 With an AverageNet Funding Increase in Single Digits. Provide PA Bankers Members
PA Bankers Association » Quarter 2, 2021 57* Vendor selections and recommendations are made in accordance with PA Bankers Services Corporation’s stated mission. It is believed that the promoted products and services merit strong consideration by PA Bankers member banks. PA Bankers Services Corporation due diligence and selection criteria should not be construed as a guarantee, as the ultimate appropriateness may vary from bank to bank. In addition, member banks are encouraged to conduct their own due diligence reviews of recommended vendors. Remuneration received by PA Bankers Services Corporation is utilized in-part to support the PA Bankers Association through contracted agreements, corporate sponsorships and overhead coverage. This financial support expands resources and strengthens the services and programs of the PA Bankers Association.INVESTORS TITLE INSURANCE COMPANYMulti-Bank Owned Title Insurance ProgramKaren Barnett, (419) email@example.comTHE KAFAFIAN GROUPPerformance MeasurementRobert E. Kafafian(973) 299-0300 firstname.lastname@example.orgNCONTRACTSIntegrated Compliance, Vendor and Risk ManagementMichael Harrison (888) 370-5552 Michael.Harrison@ncontracts.comKEYSTATE CAPTIVE MANAGEMENTBrian Amend, (302) 425-5158 email@example.comGRADIENT CYBERAutomated CAT Tool & Digital Forensic Investigation, Network Consensus CybersecurityChris Warman, (412) 600-7860 firstname.lastname@example.orgDELUXE CORPORATIONCheck ProgramTodd Wroblewski, (724) email@example.comTHE FULCRUM GROUP INTERNATIONAL, INC. Reviewing, Re-negotiating and Bidding Check Printing RelationshipTed Amon, (770) 736-5787 firstname.lastname@example.orgGLOBALVISION SYSTEMS, INC.Anti-Money LaunderingCatherine Lew(818) 998-7851 email@example.comDEALERTRACK COLLATERAL MANAGEMENT SERVICES, INC.Electronic Lien and Title ProgramWayne Whipple, (717) firstname.lastname@example.orgCRA PARTNERSReceive High-Yielding CRA CreditTerry B. Rooker, (901) 529-4781terry.rooker@SHCPFoundation.orgCaptive Management and Investment Portfolio ServicesCORNERSTONE ADVISORSCore, Debit EFT, Card Program, Loan Origination, Bill Pay, Mobile Banking & ATM Contract NegotiationJennifer Wagner, (480) email@example.comL.R. WEBBERMultiple Medical, Drug, Dental & Vision Options and EB SolutionsBrad Webber, (814) firstname.lastname@example.orgPWCAMPBELLPlanning, Design Coordinationand Construction ManagementErin Campbell, (800) email@example.com PAYLOCITYHCM Solutions and Engagement SoftwareLisa DeJoy, (717) firstname.lastname@example.orgONE POINTOutsourced Internal Purchasing, OfficeSupplies, Inventory Control and IPAddress Marketing/SalesPat McMahon, (570) email@example.com NFP EXECUTIVE BENEFITSBOLI, Executive Compensation and Long-Term Care David Shoemaker, CPA/PFS, CFP® (901) firstname.lastname@example.org
TALENT GA T HERS HERETALENT GA T HERS HEREHiring quality employees has never been so easy! FIND THE NEWADDITION TO YOURTEAM TODAY!BankTalentHQ.comMake your jobs easy to findAttract qualified applicantsEndless HR resourcesEngage job seekersExclusive to the financial services industryWhen you post an available position on BankTalentHQ, that job isautomatically distributed to a network comprised of 15,500+community-based organizations including women, minorities,individuals with disabilities, veterans, LGBTQIA, older workers andmany more!
WE’REALL INWhy settle for a “good” relationship with an accounting firm when you can have a great one? We combine unrivaled banking expertise with a truly personal approach to every relationship—with powerful results.Unlike other accounting firms that “work in banking,” S.R. Snodgrass works only in banking. Every day, every week of every month, for more than 70 years. In fact, no other accounting firm has greater knowledge of the needs, challenges and operations of today’s community banks than S.R. Snodgrass. If you think our unique blend of unrivaled banking expertise and personalized service could benefit your bank, please allow us to introduce ourselves. We’d be delighted to meet you.www.srsnodgrass.com/banking(833) 404-0344