The Missouri Banker September October 2023 : simplebooklet.com

contents573-636-8151Jackson HatawayPublisherLori BruceEditorThe Missouri Banker (USPS Number 000044, ISSN Number 0893-5637) is published six times a year by the Missouri Bankers Association, 207 E. Capitol Ave., Jefferson City, MO 65101. Second-class postage is paid at Jefferson City, Mo. Copyright© 1998 by the Missouri Bankers Association. All rights reserved. POSTMASTER: Send address changes to The Missouri Banker, P.O. Box 57, Jefferson City, MO 65102. Opinions expressed in any signed article in The Missouri Banker are those of the author and should not be construed as the viewpoint of the editors or of the Missouri Bankers Association. Neither should information provided in The Missouri Banker be construed as legal advice. The Missouri Banker does not provide legal advice, nor does it take the place of legal counsel hired by nancial institutions. While this publication makes a reasonable effort to establish the integrity of advertisers, it does not endorse advertised products or services, unless otherwise so stated. This issue may contain legislative advertising. Advertising copy is generally segregated from news and other information.Address ChangesSubmit address changes for The Missouri Banker to database@mobankers.com.The MissouriFrom our ChairmanHawley’s Misguided Proposal Opens Pandora’s Box ...................................... 2From our President and CEONow Is e Time to ink About AI .................................................... 5American Bankers Association PerspectiveAdvocating for ACRE: How Congress Can Help Rural America ............................ 6Department NewsGovernment Relations: A Call to Action: Leveraging Your Board of Directors for Advocacy .... . .8Legal: ‘I know the UCC. e UCC is a friend of mine. You, CBDC, are no UCC.’ ........... . 9Compliance: ARM Your Loans to Comply ............................................... 10MBA VEBA: VEBA Oers Worksite Insurance Products rough Allstate .................... 11 Membership Services: MBA Celebrates 15 Years With Segs4Vets ......................... 12Cover StoryBack In Action ........................................... 14Revitalized state banking board makes its presence knownGuest Commentary Developing a Cyber-Response Plan ..................................................... 18 State Proposes Changes to Historic Tax Credit Regulations. ............................. 20AI Versus Cybercrime: How Smart Technology is Securing Your Financial Future ........ 22Economic Uncertainty, Rising Interest Rates Challenge Banks ......................... 24 Around the State MBA Honors Ausmus With NextGen Award ................................... 26 Achievements ............................................................... 28Connect with MBA!facebook.com/mobankersfacebook.com/monextgenbankers@mobankers@mobankersMissouri Bankers Association THE MISSOURI BANKER 1

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Hawley’s Misguided Proposal Opens Pandora’s Box From our ChairmanAdrian Breen, MBA Chairman The Bank of Missouri, PerryvilleLooks can be deceiving. Some may think that a bank president wouldn’t know the rst thing about nancial struggles, but that’s not the case for me. I was raised by a single mother who worked multiple jobs to support my two siblings and me. At a young age, my siblings and I delivered newspapers, babysat and mowed yards to help out our mom. Money was tight at times, but we relied on each other to make ends meet. I share this because legislative activity in Washington, D.C., concerns me. A proposal may look good at rst glance but if you dig deeper, it poses a host of challenges that could lead to unintended consequences. Sen. Josh Hawley has proposed capping credit card annual percentage rates at 18%. His reasoning — the bill is necessary to ght ination and reduce the impact of rate increases on consumers’ debt load. Although I understand the senator wanting to help individuals, his bill is misguided. It’s bad federal policy that opens Pandora’s box on government intervention in our lives while having a devastating impact on the consumers he claims to be interested in helping.If Hawley’s bill were to become law, other lawmakers could follow suit with their own proposals. ese measures could potentially place caps on any type of consumer credit products. Commercial loans, mortgage loans, auto loans — all could be viewed as “too burdensome” based on economic conditions at a given time and in need of government intervention. Even more disturbing is that Hawley’s bill could set a government precedent for anything that lawmakers simply don’t like. Giving more power to the government to call the shots in business and banking operations is simply bad policy.is type of government intervention worries me, and it should concern you too because it never leads to what is promised. Rather than letting businesses operate in a free-market system that welcomes competition that benets consumers, the government would impose mandates that would force many credit card providers to leave lower credit borrowers behind. Rates for any credit product aren’t set in a vacuum. ey are based on risk and borrower behavior. If you limit rates, you remove risk controls, and that means credit providers simply cannot aord to serve lower credit borrowers. Millions 2 mobankers.com

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Hawley’s Misguided Proposal Opens Pandora’s Box Our Two Cents with MBAMBA’s podcast explores topics relevant and interesting to bankers. Our fun, engaging conversations help you stay ahead of what’s happening in banking. Our Two Cents with MBA is on MBA’s website, iTunes, Apple Podcasts, Google Podcasts and Spotify.of consumers will be denied access to credit at a time when they need it the most. Instead of ensuring they have access to aordable credit, Hawley would be leading these borrowers to use nontraditional credit providers that are largely unregulated and whose rates may be 10 times higher than credit card rates. Consumers throughout Missouri and the country would be devastated by this bill. It’s no secret that ination has caused prices to skyrocket and presents challenges for consumers. Passing legislation like Hawley’s bill won’t x this, and the government won’t solve the problem of consumer debt. However, consumers facing nancial challenges can turn to trusted resources in their own communities for help — their local community banks. at’s the best path to nancial health and well-being.Bankers across Missouri are here to assist individuals achieve nancial independence. By sharing our expertise and resources, we guide consumers to make informed decisions with their money. Having this type of relationship gives individuals somewhere to turn when challenges arise — someone who knows and understands them to provide direction to weather disruptions. at’s always been true with community banks. Just look at the incredible work of community banks across this nation these last few years — we were the ones that kept Mainstreet America alive.Individuals trust us with their livelihoods; our customers know we have their best interest at heart. e same can’t always be said about Washington. Relying on legislation from bills like Hawley’s only leads them on a path to nowhere. MBA has been urging us for several weeks to contact Hawley to voice our opposition to his proposal. I echo what MBA President and CEO Jackson Hataway has repeatedly shared — our industry must vocally and staunchly oppose all rate cap proposals on credit products. If you believe that someone else will x this, that there’s nothing you can do or that this issue doesn’t concern you — that’s your sign telling you to take action now.Tell Hawley not to make his inability to govern and legislate eectively create a crisis for millions of consumers and the community banks that keep their communities viable. Live Well. Stay Well. Bank Well! THE MISSOURI BANKER 3

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From our President and CEONow Is e Time to ink About AIEvery decade or so, Silicon Valley unveils a new technology that takes the world by storm. Some of those storms are microbursts, with rapid growth and equally rapid deation (a.k.a. the BlackBerry). Some of those storms, however, are historic, altering the landscape of business and consumer interactions in fundamental ways (a.k.a. iPhone). e most recent technological storm from Silicon Valley is generative articial intelligence. I think we can safely say that this one is an era-dening storm. e concept of AI is not new to banking. Large banks and technology vendors have used narrow AI systems to identify fraud, run chatbots on websites, automate digital product or service oerings, etc. e dierence between those AI uses and the power of generative AI boils down to a relatively simple statement: generative AI can create things that have never existed before.Jackson Hataway, President and CEO, Missouri Bankers AssociationChatGPT is the name most synonymous with generative AI. If you have not used ChatGPT, I encourage you to try it. With a simple prompt — something like, “Tell me about how Missouri was formed in the voice of Mark Twain” — ChatGPT will write an entire narrative that no one has ever previously written. To be clear, the AI has been fed mountains of data in the form of websites, books, news articles and more to inform its answer. However, it pieces all of that together in a way that allows it to “generate” new content. It can now do so with pictures, voices and, to a lesser extent, video.Why does this matter? Because for years, AI honestly wasn’t that smart. It could do some neat tricks with data, but it didn’t create anything. Now, it appears very smart. e smarter it becomes, the more risk and opportunity banks face. At a U.S. Senate Judiciary Committee meeting in May, Sen. Richard Blumenthal, D-Conn., chair of the Senate Judiciary Subcommittee on Privacy, Technology and the Law, opened the meeting with a pre-recorded audio statement in his own voice. He neither wrote nor recorded the statement. AI generated the entire dialogue and mimicked his voice. Imagine 1,000 elderly customers receiving calls on the same day from voices that sound exactly like their grandchildren asking for money to be transferred to their accounts. Fraudsters with access to generative AI technologies will be able to radically increase their attacks on customers and banks.On the opportunity side, imagine the power of being able to load an internal AI program with your nancial data and asking for three dierent ways to hit your targets for the year — and that’s the entire question. Or imagine asking a marketing AI program to develop seven dierent billboard or banners for your brand that speak to seven dierent markets. Again, in seconds, you can have the rst creative in your hands. e time and eort you will save will transform directly back into human-driven results.is is the time to be thinking about how generative AI will threaten or bolster your business. We must be prepared to implement security mechanisms that keep up with the era-dening storm ahead of us, but we also must be bold enough to know that this is an iPhone moment for organizations of every type — and you don’t want to be holding a BlackBerry as the winds fully shi.

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Advocating for ACRE: How Congress Can Help Rural AmericaABA PerspectiveRob Nichols, President and CEO American Bankers AssociationFarmers and ranchers today face numerous challenges: from the skyrocketing costs of materials to supply chain disruptions to difficulties purchasing rural land — all while interest rates are rising. As a result, many are relying more on credit than ever before. For those who are young, beginning or socially disadvantaged farmers, these obstacles can seem insurmountable — in fact, 69% of young farmers say that access to capital is a top challenge to beginning a career in farming. Fortunately, there is a simple solution that can help make credit more accessible to these agricultural borrowers: the bipartisan ACRE Act, a bill that the banking community is aggressively championing in Congress. Formerly known as ECORA, this bill would amend the IRS code to level the playing eld for banks — especially community banks — by allowing lenders to exclude from gross income any interest they receive on loans that are secured by farm real estate or aquaculture facilities. e bill also allows for the exclusion of interest on certain home mortgage loans in rural communities. Removing the taxation of interest will bring down the cost of making these loans, making them more aordable for farmers, ranchers and rural homeowners. In fact, ABA estimates that this important legislation could expand access to aordable agricultural and home loans to more than 4,000 rural communities across the U.S. and deliver approximately $1.4 billion in annual interest expense savings to farmers and ranchers in 2023 — savings that can make a crucial dierence to the nation’s producers. is simple, commonsense solution does not require the creation of new government payments or programs — quite the opposite. It provides an avenue for increasing competition and generating growth in rural communities eciently and organically. It also levels the playing eld between all agricultural lenders, which will result in more choices and lower rates for rural borrowers. ABA has been a vocal proponent of this bill, and we were pleased to see such a signicant response from lawmakers in this Congress. e ACRE Act already has 20 bipartisan co-sponsors in the House and has been 6 mobankers.com

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Department NewsThere may be no greater untapped resource for our advocacy efforts today than your board of directors. is dawned on me recently because of the eorts by a bank CEO who led the charge to convince a state representative not to le a bill that would expand the state’s credit union eld of membership law.rough numerous conversations — some of them hours-long — the arguments against the bill relayed by the CEO just didn’t seem to get through to this state lawmaker. However, through discussions with the bank’s board of directors, the CEO learned that one director had an existing relationship with this particular lawmaker.at relationship between the director and the state lawmaker was the key and led to a major turning point. e state lawmaker has given assurances that he will no longer pursue an expansion of credit union eld of membership. Words can’t adequately express what a huge win this is!GOVERNMENTAL RELATIONSA Call to Action: Leveraging Your Board of Directors for AdvocacyBy David Kent, Senior Vice PresidentA bank’s board of directors typically plays a pivotal role in shaping its strategic direction and ensuring its long-term success. Comprised of experienced individuals from diverse backgrounds, the board brings valuable insights and guidance to the table. Traditionally, the primary focus of boards has been on governance, risk management and nancial oversight.Advocacy involves taking action on policy issues that are important to our industry. By harnessing the strengths and relationships of your board of directors, we can become an even more powerful force when advocating for the causes we champion or oppose. I encourage you to use MBA sta as a resource for these eorts. We welcome the opportunity to visit with your board of directors and help educate them on the legislative issues that are important to our industry.Leveraging the expertise and inuence of your board of directors for advocacy is not just commendable, it’s a strategic imperative. By embracing advocacy at your bank’s highest levels of governance, you can help ensure the sustainability and success of our industry. e time to act is now, and the board of directors should be at the forefront of these transformative eorts. Submit your news! Send achievements, news and announcements to Lori Bruce, MBA communications director, at lbruce@mobankers.com for posssible inclusion in The Missouri Banker.8 mobankers.com8 mobankers.com

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House Bill 1165 introduced in the 2023 session of the Missouri General Assembly sought to amend the Uniform Commercial Code based on recently completed 2022 UCC amendments from the Uniform Law Commission. e bill would update business and banking codes for electronic signatures and documents, as well as other housekeeping updates. A new Article 12 was added to address commerce, trade and banking in “controllable electronic records.” e Federal Reserve Bank and the Federal Home Loan Banks typically require banks provide “wet signature” paper documents for mortgage assets that are pledged to secure access to FRB and FHLB loans. Article 12 is the nal piece in electronic commerce, trade and banking (supplementing e-signature and e-notary laws) in a legal platform to enable FRBs and FHLBs to accept the pledge of electronic notes and security agreements as collateral. HB 1165 was heard Feb. 16 by the House General Laws Committee. As with past UCC update bills, the hearing was successfully boring and included a UCC expert who traveled to Missouri to testify in support of the bill. A few weeks later, lawmakers were ooded with phone calls and emails from constituents adamantly opposed to HB 1165. ey condemned UCC amendments as a wolf in sheep’s clothing and a scheme to enable the federal government to adopt a central bank digital currency.WHAT HAPPENED?Political commentator Glenn Beck interviewed South Dakota Gov. Kristi Noem in March about her veto of a UCC bill in her state. Her veto letter cited a provision in the 2022 UCC amendments that dened money to exclude cryptocurrencies like bitcoin but include CBDC. Noem expressed concern that this would make it more dicult for the public to use private cryptocurrencies. She believed it would pave the way for the federal government to issue CBDC and track every citizen’s private and business activities. Beck had voiced similar concerns previously and urged his audience to call their state legislators to tell them to vote no on any UCC bill. Beck reported that as a result people did call, and the UCC amendments were dead in most states. Noem indicated there LEGAL‘I know the UCC. e UCC is a iend of mine. You, CBDC, are no UCC.’ By Keith Thornburg, Vice President and General Counselshould be no hurry to pass the 2022 UCC amendments and that legislation could be more carefully considered and vetted in the future.WHAT IS THE TRUTH?In the 2022 amendments, the ULC draing committee did rework the denition of “money” at 400.1-201(24) (additions in bold): (24) “Money” means a medium of exchange that is currently authorized or adopted by a domestic or foreign government. e term includes a monetary unit of account established by an intergovernmental organization or by agreement between two or more countries. e term does not include an electronic record that is a medium of exchange recorded and transferable in a system that existed and operated for the medium of exchange before the medium of exchange was authorized or adopted by the government.is change was necessary because El Salvador adopted bitcoin as legal tender in September 2021. e draer’s intent was to distinguish private cryptocurrency from government-issued currency. e UCC is a commerce code for the private sector; the UCC does not regulate a sovereign nation’s treasury operations. is denition is not a preemption of private cryptocurrencies or path to CBDC. It is a recognition that CBDC and private cryptocurrencies already exist and merely distinguishes between them so that the application of the UCC is clear. Article 12 addresses transactions in “controllable electronic records.” is new article addresses the realities that nancial technologies have advanced beyond the existing UCC and that a new article is needed to address banking, trade and commerce in digital and electronic assets. Article 12 is not a threat to cryptocurrencies and will help bring them into mainstream commerce. With Article 12, parties will know the procedures to prove custody, control, transfer and to trade safely and legally in private cryptocurrencies such as bitcoin. MBA will continue to support the UCC 2022 amendments because they are crucial to maintain the UCC that underpins and enables safe and ecient commerce, trade and banking. Submit your news! THE MISSOURI BANKER 9

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Department NewsCOMPLIANCEARM Your Loans to Comply By Bryan Bradley, CRCM, Vice President of Compliance ServicesComputing the annual percentage rate on adjustable-rate mortgage loans can be a bit heavier lift than fixed-rate mortgage loans. With an ARM loan, a creditor must compute the APR using both the initial interest rate and the index and margin, or formula, at the time of consummation or right before. THE RULERegulation Z 1026.17(c)(1) discusses general disclosure requirements related to ARM loans. e underlying “basis of disclosures and use of estimates” rule states that “the disclosures shall reect the terms of the legal obligation between the parties.” e rule also states “if any information necessary for an accurate disclosure is unknown to the creditor, the creditor shall make the disclosure based on the best information reasonably available at the time the disclosure is provided to the consumer … ” Comment #8 in the ocial interpretations states for discounted or premium ARM loan transactions, the creditor should not base the disclosures (i.e., APR) solely on the initial interest terms. Rather, the disclosed APR should be a composite rate based on the rate in eect during the initial period and the rate that is the basis of the variable-rate feature for the remaining term. In addition, comment #10 in the ocial interpretations to this section focuses on discounted and premium ARM loan transactions. CALCULATION STEPSSo, what does this mean exactly? ARM loans vary as to the underlying index and margin, or formula, as well as the terms by which a rate and payment will change in the future. A creditor may oer a 3/1 ARM product, which means that the initial interest rate will be xed for the rst three years and then could change annually thereaer. Depending on how a creditor arrives at the initial interest rate, the “fully indexed rate” as of consummation could be dierent than the initial interest rate oered for the rst three years. is could result in a discounted or premium initial interest rate. e following is one example from comment #10 previously referenced.A 30-year loan for $100,000 with no prepaid nance charges and rates determined by the Treasury bill rate plus 2% (i.e., the margin). Rate and payment adjustments are made annually, so this is a 1/1 year ARM loan. e Treasury bill value at consummation is 10% and the creditor set the initial interest rate as 9% instead of the index value of 10% plus 2% margin, or 12%. In this instance, the disclosures should reect a composite APR of 11.63%, based on an initial interest rate of 9% for one year and 12% for the remaining 29 years.Of course, the above example can become much more complex, depending on the underlying obligation terms related to future rate changes. For example, the obligation also could address interim rate caps, interest rate rounding terms and oor and ceiling rate caps.WORDS OF ADVICEConsider the following when reviewing APRs on ARM loans.• Is the bank using the index source referenced in the underlying obligation?• What is the obligation’s “look-back period” referenced in the obligation for which the creditor will select the index value used to compute the APR and future rate changes? Most common noticed is 45 days before the rate change date. • Are index values for the creditor’s various ARM loan products updated in accordance with when they are available? For example, a common issue is a creditor states they use the weekly average yield on U.S. Treasury securities adjusted to a constant maturity of one year. However, when reviewed, the creditor is using the daily index value for the U.S. Treasury securities adjusted to a constant maturity of one year, which is dierent. This article is for information purposes and does not contain or convey legal advice. The information should not be used or relied upon in regard to any particular situation without consultation with your bank attorney. MBA Compliance Services and its Compliance Force program offer various programs to aid banks with compliance needs. For more information, call 573-636-8151.10 mobankers.com10 mobankers.com

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MBA VEBAVEBA Oers Worksite Insurance Products rough AllstateBy Lesley Weaver, Director of Business DevelopmentMBA VEBA is excited to now offer voluntary worksite products that provide tremendous value to both employers and employees. MBA VEBA members have access to whole life (with accelerated death benet for long-term care), accident insurance, critical illness insurance and hospital indemnity through our partnership with Allstate, one of the leading providers of supplemental product lines. Worksite benets are employee paid and allow an employer the ability to provide a wide range of additional benet programs and services to employees at no cost to the company. ey successfully ll gaps in the core benet program while helping employees oset out-of-pocket medical expenses and providing nancial protection in the case of an accident, injury or hospitalization, as well as peace of mind of nancial stability in the case of death. Because the benet needs of your employees vary, a voluntary worksite benets program allows each employee to enroll in additional coverages that t their lifestyle.WHOLE LIFE INSURANCE As people move through the stages of life, certain factors determine the type of life insurance needed. Help your employees prepare for the unexpected with group whole life insurance. Our whole life insurance can help provide nancial security for life and its uncertainties. Give your employees peace of mind and condence, knowing their loved ones are protected. e death benet can be used to help pay for funeral expenses, mortgage payments and more. In addition, there is an accelerated death benet for long-term care, accelerated death benet for terminal illness or condition rider, as well as an accidental death benet rider.ACCIDENT INSURANCE Expenses build quickly with an accident, and this policy provides benets that individuals can apply toward these unexpected costs. e benets for this type of insurance are typically paid based on a specied injury, such as a broken leg, fractured wrist, ambulance services, physical therapy and more. e cash benets can be used to help pay for deductibles, treatment, transportation, lodging costs and more.CRITICAL CARE INSURANCE Serious health events typically carry substantial expenses to the patient. is program will pay benets based on the diagnosis of critical illnesses such as cancer, heart attacks, strokes and major organ transplants. e designated at dollar payments are made to the insured, regardless of any other coverage the individual may have. e rationale for this is that there is typically a signicant nancial liability resulting from such illnesses, both medical (deductibles and coinsurance) and nonmedical (travel, child care, etc.).HOSPITAL INDEMNITY Life is unpredictable. Without warning, an illness or injury can lead to hospital connement, which oen means costly out-of-pocket expenses. Such strain can result in families that struggle to meet their nancial obligations. If you end up spending time in the hospital, you receive a xed benet amount paid directly to you to help cover expenses. e benet is paid directly to the policyholder and could be used for anything, such as deductibles, coinsurance, transportation, medications, rehabilitation or home care costs.MBA VEBA will oer these products through a designated Allstate Benets agent who will enroll and service the voluntary benets. If you are interested to learn more about this, please contact Lesley Weaver or Tina Woehr at 573-636-8151, or visit mobankers.com. THE MISSOURI BANKER 11

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BBackack inin A ActionctionMiles, who served as the board’s chairman until August 2023, said the initial challenge was guring out how to get started.“Because there wasn’t a template to follow, we worked from scratch,” he said. “We discussed what we wanted to accomplish as a board and the best way to do that.”One of the board’s main responsibilities is advising the commissioner of the Division of Finance about state banking laws and making recommendations to the Missouri General Assembly regarding changes in those laws. e most pressing issue for the newly appointed board was to take a deep dive into Missouri’s banking regulations.“Because the board was defunct for nearly 15 years, there was a lot of cleanup that had to be done with the banking regulations,” Miles said. “ere was inconsistencies and antiquated regulations that didn’t align with current laws.”e board and the Division of Finance sta dove deeply into the state banking regulations. e division’s legal counsel went through each regulation, tweaking them so they would not counteract with one another and to eliminate those that had just simply become outdated.“We’ve still got some more work but by and large, the biggest bulk of it is complete,” Miles said. “It’s a process that will never end because regulations will always need to be updated.” Just as the board continues to review state banking regulations, it also has focused its attention on compensation levels for division examiners. ese examiners ensure the safety and soundness of nancial institutions by monitoring their compliance with laws and regulations. As examiners acquire experience and knowledge through their years of service, they reach a certain point where a pay increase is just minimal, falling behind the salaries oered by agencies such Jay Knudtson First Missouri State Bank, Cape GirardeauBoard ChairmanBrad Weaver Systematic Savings Bank, Springfield Board SecretaryHarold Miles Bank of AdvanceThane KiferBolivarMissouri State Banking and Savings and Loan Board Membersas the Federal Deposit Insurance Corporation and Federal Reserve Banks.“You only have quality examiners if you compensate them properly. If you don’t, they’re going to go to the to the competition,” Miles said. “We’ve got to combat that. You just don’t hire somebody to come in and be an examiner. It takes years to develop the experience that they need to manage exams properly.”e state banking board had the opportunity to share this concern directly with Parson during a meeting. ey expressed their perspectives and what they themselves had learned in their own banks and as new state banking board members.“We brought to light items that have been in the darkness for 15 years,” Knudtson said.Knudtson, who succeeded Miles as the board’s chairman this past August, said fair compensation for state examiners benets the banking community. THE MISSOURI BANKER 15

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BANCMACCOMMUNITY BANC MORTGAGE CORP.YOUR COMMUNITY BANK MORTGAGE PARTNERbancmac.commortgages@bancmac.com888.821.7729|NMLS# 571147BancMac provides correspondent lending and is your Community Bank Mortgage Partner to help your ﬁnancial institution originate ﬁxed-rate secondary market loans including:PROGRAMS• Conventional Loans• USDA Rural Development Loans• Rural Living (Hobby Farm) Loans• VA Loans• Jumbo Loans• FHA LoansOUR CORRESPONDENTS RECEIVE:• Superior Service & Competitive Pricing• No Minimum Volumes• Signiﬁcant, Non-Interest Fee Income• Non-Solicit Protections & Morerevitalized board to advise the division and advocate for the banking industry. Together, these eorts proved vital to restoring the state banking board. at vision carries on with Barrett’s successor, current Division of Finance Director Mick Campbell. He and his sta meet regularly with the board, whose primary goal is to serve as an advocate and strategic supporter for Missouri banks.“e value of the board is its constant engagement and exchange of ideas with the division,” Miles said. “We have a seat at the table, and it’s a welcomed seat because they want to hear from us.” WHY?Lending ServicesOperational ServicesAudit ServicesEver since I met Chris Bryan, I have been impressed with how professional & knowledgeable he is in his work for MIB. Chris knows what MIB can do for Banks and he knows what he can do for your Bank. He brings energy and enthusiasm to everything he is associated with. Chris has the “IT” factor and he makes everyone around him better. He is who you would want on your team and he makes the MIB team better.800-347-4MIBmibanc.comMEMBER FDICChris Bryan Brock NuckollsBrock Nuckolls, President/CEOCitizens Bank and Trust of Rock Port THE MISSOURI BANKER 17

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Guest CommentaryBy Missouri Bankers Insurance ServicesDeveloping a Cyber-Response Plan Since 2004, the U.S. president and Congress have declared October as Cybersecurity Awareness Month. is is a dedicated month for public and private sectors to work together to raise awareness about the importance of cybersecurity.Missouri Bankers Insurance Services wants to ensure all MBA members are prepared for worst-case scenarios. It is imperative for all organizations to develop a cyber-response plan. is plan should be available to all employees to reference before and/or during a cyberattack. MBIS has spent the last few years helping member banks adjust to this new environment of cybercrime. Together with our insurer partners, we have developed valuable information that should be included within response plans and training manuals. MBIS is here to help implement and explain these checklist items. Immediately aer a potential cyber breach, keep the following checklist in mind. IMMEDIATE ACTION ITEMS• Secure premises to stop additional data loss and preserve evidence. Engaging a forensics expert or additional IT expertise may be necessary.• Activate your inside and outside response teams and promptly investigate the incident.• Limit access into aected areas, as necessary, and take steps to limit further data loss until investigation is complete.• Determine steps necessary to eliminate system weaknesses and prevent a recurrence.• Document all known facts: date and times of breach discovery; dates and times when response eorts began; who discovered breach; interviews of all those involved in discovery; type of breach; data stolen, including type; devices impacted; any other additional pertinent information.• Consult your data breach coach and/or legal counsel on notifying law enforcement and regulators. Notify as required.18 mobankers.com

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Looking for a particular business to help with your bank’s operations? Through MBA’s associate membership program, banks can access various businesses offering professional products and services for the banking industry. Browse our directory at mobankers.com to find a vendor for your bank.MBA Associate Members• Contact your insurance agent/company to ensure timely notication of circumstances which may lead to a claim.Aer the immediate threat is mitigated, your bank will work with legal counsel and your insurance partner to make important decisions. BANK ACTION ITEMSIn consultation with counsel or data breach coach:• Determine if credit and similar monitoring services are necessary to provide to the aected parties.• Engage outside vendors as appropriate.• Determine if a public relations rm is necessary and engage as appropriate.• Begin communication and notication processes.• Establish procedures and point person(s) to respond to customer and press inquiries.Together with your legal counsel and insurance partner, you will need to address legal repercussions, as well as the state of cybersecurity moving forward with your bank. DATA BREACH COACH/LEGAL COUNSEL CHECKLIST• Analyze possible legal implications of the breach.• Identify and address security gaps.• Determine what parties, if any, must be notied of exposed data.• Provide direction or dra content for notications. Privacy laws vary by state. Some states have specic language requirements that must be followed.• Provide direction or develop timeframes required for notications. In some cases, only up to 60 days is allowed by law to send out notices.• Assess potential claims against culpable third parties.• Manage related litigation and regulatory defense for the bank.Lastly, during all of the breach work previously outlined, IT and forensics will be working in the background to perform the following tasked outlines. IT AND FORENSICS EXPERTS CHECKLIST• Analyze the data breach.• Identify the extent and type of data compromised and who is aected.• Delete malware and hacking tools.• Identify and address security gaps.• Replace infected machines.• Document breach containment and remediation.In the end, having an up-to-date cyber response plan will not only ensure your team is on the same page but could even help minimize total damage because of your team’s quick reaction. We urge your bank to refresh yourself on current cyber liability related topics and to familiarize yourself with your bank’s current cyber response procedures. For more information on this subject, contact Ryan Hillestad, insurance advisor, nancial institutions specialist, with MBIS, a Gallagher Company, at 217-891-3445 or Ryan_Hillestad@AJG.com. MBIS is an MBA endorsed partner.Source: used with permission from ABA Insurance Services (abais.com/banks/products/cyber-insurance) THE MISSOURI BANKER 19

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Guest CommentaryBy Garrett Fischer and Janette Lohman, Thompson Coburn LLCState Proposes Changes to Historic Tax Credit RegulationsThe Missouri Historic Structures Rehabilitation Tax Credit Program was launched in 1998 and provides eligible taxpayers with a credit equal to 25% of the qualifying costs and expenses for rehabilitating a commercial or residential property located in Missouri.e Missouri Department of Economic Development recently proposed to amend several of the program’s regulations. e proposed regulations are available in e Missouri Register. As described in the proposed regulations, the proposed changes are intended to: • ensure consistency in the denitions between the program statutes and regulations, add denitions to reect the three dierent stages when applications can be submitted and update certain denitions to reect technological advancements in ling and processing applications• amend the program rules to reect three dierent stages when an application may be submitted and clarify the steps within and the requirements for each application type or stage. Signicant changes to the regulations would include the following. 1. adding a 15-business day opportunity to cure an incomplete application2. eliminating the current three tier scoring system and replacing it with a simpler pass/fail scoring system3. eliminating the current two one-month application cycles per scal year and replacing them with a single cycle open for 12 months 4. changing the order in which credits are allocated from a statutory set-aside for projects in qualied census tracts5. providing for credit authorization upon a conditional approval from the State Historic Preservation Oce or the National Park Service, rather than authorization only upon receipt of an unconditional approval from SHPO 6. adding the ability to receive credits for certain hard costs incurred one year before the submission of a preliminary application for credits20 mobankers.com

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• clarify which applications require a net scal benet evaluation and require the applicant to submit the analysis of municipal net scal benet• clarify which applications are evaluated for overall size and quality• clarify which applications require a level of economic distress evaluation and add inclusion in an enhanced enterprise zone as a basis for receiving a higher score• clarify which applications require a letter of support from local ocials• clarify which applications result in an issuance of credits and add to the rule compliance with RSMo. Section 285.530 (regarding employment of unauthorized immigrants)• eliminate duplicative paperwork by allowing a phased project to submit a single preliminary application instead of a separate preliminary application for each project phase• remove the requirement that applicants and developers use a specic form for a developer fee agreement and combine percentage caps on contractor overhead and contractor prot to allow applicants more exibility in these arrangements• eliminate certain unnecessary provisions regarding not-for-prot entities• clarify how the MDED may notify an applicant of the administrative closure of inactive projectsOverall, the proposed regulations are intended to provide additional clarity and make the application process more ecient for developers seeking credits from qualifying historic rehabilitation projects. Financial institutions that nance developers or that desire to purchase credits from developers to oset their own Missouri tax liabilities should continue to monitor the proposed regulations and, when and if nalized, incorporate them into their credit diligence procedures. For further guidance on the proposed changes to the program regulations or the general transferability of state tax credits in Missouri and other states, contact Thompson Coburn LLP’s tax credit partners Garrett Fischer or Janette Lohman. Learn more atthompsoncoburn.com. Thompson Coburn is a MBA associate member. MBA JOB BOARDPromote your company’s jobs with MBA!Posted on MBA’s Online Job BoardPublished in weekly MBA e-newsletterShared on social mediaVisit mobankers.com for details. THE MISSOURI BANKER 21

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Guest CommentaryBy JMARK In today’s digitally connected world, the banking industry has become increasingly reliant on technology to streamline operations and deliver seamless financial services. is dependency also has made the sector susceptible to various security challenges and created an environment of constant management and oversight that oen puts a drain on community banks. We see the reasons why in the news, from our peers and in recent high-prole breaches that highlighted the urgent need for robust security measures that go beyond traditional approaches. is is where articial intelligence emerges as a game-changer, oering innovative solutions to tackle common security pain points while safeguarding sensitive nancial information.THE LANDSCAPE OF BANKING SECURITYTraditional security solutions can sometimes fall short in the face of evolving threats. Look at the 1st Source Bank breach earlier this year, where hackers exploited a vulnerability in the company’s soware to access sensitive personal information of 450,000 users. e aermath of this showed the dire consequences of inadequate security measures, including identity the and nancial fraud.AI-POWERED THREAT DETECTIONAI’s ability to analyze vast amounts of data at lightning speed presents a signicant advantage in threat detection. Machine learning algorithms can identify patterns, anomalies and potential security breaches that might go unnoticed by human operators. A prime example is JP Morgan Chase’s use of AI. By analyzing transaction data, user behavior and network trac, the nancial institution can swily identify unauthorized access attempts or unusual fund transfers. is proactive approach helps prevent potential breaches before they escalate into major security incidents.is is more important than ever, especially considering the rate at which bad actors are creating new strains of malware with the help of AI. SAP Insights reports that over half of the nancial leaders surveyed reported that investing in cybersecurity is one of their top priorities. Barracuda Networks reported that, on average, businesses with fewer employees are three times more likely to experience social engineering attacks compared to large organizations. Bankers are already seeing the benets of fortifying their safeguards because no matter the size, any nancial institution is at risk of being compromised.AI Versus Cybercrime: How Smart Technology is Securing Your Financial Future22 mobankers.com

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ENHANCING CUSTOMER AUTHENTICATIONOne of the pain points in banking is the vulnerability of customer authentication methods. Traditional methods like passwords and PINs are susceptible to breaches because of weak user habits or social engineering attacks. AI introduces biometric authentication methods that oer a higher level of security and convenience.Facial recognition technology is an example of how AI systems can help ensure secure customer authentication. is has been embraced by banks like HSBC, which allows customers to access their accounts through facial recognition on their mobile apps. Not only does this improve security, but it also enhances user experience by eliminating the need to remember complex passwords.FRAUD DETECTION AND PREVENTIONAI’s capabilities in fraud detection and prevention cannot be overstated. Advanced machine learning models can learn from historical data and identify patterns associated with fraudulent activities. As fraudsters continuously evolve their tactics, AI evolves alongside them, adapting to new techniques and staying one step ahead.An example is the Capital One breach in 2019, where a former employee exploited a vulnerability in the bank’s system to gain access to sensitive customer data, aecting more than 100 million users in North America. AI-powered systems can analyze employee behavior, agging unusual activities such as unauthorized access attempts or excessive data downloads. is level of scrutiny helps prevent insider threats and ensures the security of customer information.WHAT YOU CAN DOAs banking professionals, safeguarding sensitive nancial information is paramount. Here are six proactive steps to fortify cybersecurity eorts and ensure a safer future for both institutions and clients.1. Cultivate a culture of cybersecurity. Foster a culture of cybersecurity awareness among employees. Regularly train sta on the latest threats, best practices and how to respond eectively. Empower them to be the rst line of defense against potential cyberattacks.2. Implement multilayered security. Rely on a multilayered security approach that includes rewalls, encryption, intrusion detection systems, multifactor authentication and continuous monitoring. is comprehensive strategy creates multiple barriers for potential attackers, reducing the likelihood of a successful breach.3. Collaborate with industry experts. Engage with cybersecurity experts who specialize in the nancial sector. eir insights and guidance can help tailor your institution’s security strategy to the evolving landscape of banking threats.4. Regularly update systems. Keep all soware and systems up to date to patch vulnerabilities. Regular updates ensure that your institution is fortied against known security risks.5. Conduct regular penetration testing. Periodically conduct penetration testing to identify vulnerabilities in your systems. is proactive approach allows you to identify and address potential weaknesses before attackers exploit them.6. Have an incident response plan. Prepare for the worst by having a well-dened incident response plan in place. is plan should outline the steps to take in the event of a security breach, minimizing potential damage.MOVING FORWARD As banking security continually evolves and new threats arise, AI emerges as a beacon of hope. By addressing common pain points and oering innovative solutions, AI empowers nancial institutions to stay ahead of cyber threats and safeguard sensitive data. From real-time threat detection to predictive analytics and enhanced customer authentication, AI’s capabilities have the potential to revolutionize banking security. Want to learn how you can create a culture of cybersecurity or discover any gaps in your organization’s security? Visit JMARK.com to read our QuickStart guide on how you can create a company that prioritizes security, and then review our cybersecurity checklist to see if you’re equipped to battle the bad guys. JMARK is an MBA associate member. THE MISSOURI BANKER 23

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Guest CommentaryBy Carl White, Federal Reserve Bank of St. LouisThe U.S. banking system is sound and resilient, with strong capital and liquidity, according to the latest report on bank supervision and regulation from the Federal Reserve Board of Governors. Nevertheless, bank supervisors are actively monitoring risks associated with credit, liquidity and interest rates. ese risks have risen in 2023 because of prevailing economic conditions and uncertainty about the future path of the economy.e banking system was challenged earlier this year by the failures of three large banks (Silicon Valley Bank, Signature Bank and First Republic Bank). Although those failures were largely triggered by concentrated funding sources and poor interest rate risk management at the institutions themselves, fear of contagion led to an anxious couple of months for depositors, investors and regulators. Of greater concern for the industry has been the eects of rising interest rates on the cost of deposits and other funding (causing costs to rise) and the fair value of investments in xed-rate securities (causing the value to decline). Loan delinquency rates in some loan Economic Uncertainty, Rising Interest Rates Challenge Bankscategories have begun to inch up, albeit from very low levels, leading many banks to increase the funds set aside to cover future credit losses. Higher interest rates when loans reprice means some borrowers may be challenged to make loan payments.FUNDING COSTS RISEOne of the most noteworthy developments in banking over the past year has been an increase in funding costs. Deposits — typically the lowest-cost liabilities — fell almost $1 trillion between April 2022 and April 2023 aer a pandemic-led surge pushed them to an all-time high of $18 trillion in April 2022.e most signicant outows have occurred at institutions with high levels of uninsured deposits. In turn, many banks have had to rely more on costlier wholesale funding — fed funds (overnight borrowing from other banks), brokered deposits, Federal Reserve facilities and Federal Home Loan Bank borrowings, for example — to meet loan demand. Rising interest rates have increased funding costs, regardless of type.24 mobankers.com

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Another potential source of liquidity — the sale of investment securities held as assets — is problematic because the increase in interest rates has lowered their value; selling these assets would turn unrealized losses into realized ones.Examiners are closely monitoring supervised banking organizations with signicant underwater securities holdings and other interest rate risk exposures, conducting targeted exams as needed. Exams have been focused on deposit trends, the diversity of funding sources, the current value of investment securities and the adequacy of contingent funding plans.COMMERCIAL REAL ESTATE CONCERNSExaminers also are paying close attention to banks with signicant commercial real estate portfolios. Concerns about credit quality typically rise when economic conditions are uncertain and interest rates are rising, but this cycle has the additional twist of a secular decline in demand for oce space related to the rise in remote work. If this dip in demand leads to a downturn in property values, CRE mortgage holders may nd it much harder to renance maturing loans. Furthermore, as interest rates increase, capitalization rates tend to increase as investors expect a higher rate of return. Many properties may be unable to produce the desired rate of return, limiting investment in commercial real estate.Since 2006, the Federal Reserve has increased its monitoring of CRE loan performance and has established expectations for expanded risk management practices for banks that are heavily concentrated in CRE. In June 2022, the Fed expanded exam procedures for banks with signicant CRE concentration risk. In addition to focusing on banks’ nancial condition, capital planning and risk management, examiners are taking a close look at construction and land development activities because construction lending typically accounts for a large share of losses when CRE markets deteriorate. Other loans to businesses — called commercial and industrial loans —also are under scrutiny as examiners assess the eects of rising interest rates on their performance.CYBERSECURITY AND CRYPTO-RELATED RISKSAs noted in previous supervision reports, regulators are paying close attention to cybersecurity risks. Vulnerabilities noted in exams are being addressed, and examiners are testing banks’ preparedness for ransomware attacks and other security breaches.Upheaval in crypto markets in late 2022 and early 2023 led to extreme deposit runos at banks that service the crypto industry: Silvergate Bank, an $11 billion bank with close ties to the industry, voluntarily liquidated in early 2023; and crypto-related business exposure was partially responsible for the failure of Signature Bank around the same time. In early August, the Federal Reserve released additional information about a new supervision program for banks that engage in “novel activities” related to crypto-assets and other ntech-related lines of business.WHAT’S AHEADAs we look ahead to the remainder of 2023, it is likely that bank funding costs will remain elevated. Recent data from the Federal Reserve’s Senior Loan Ocer Opinion Survey also point to ongoing tightening in credit markets, and we’re seeing rising delinquencies on consumer loans. ese data point to the need for continued vigilance by bankers and bank supervisors and highlight the importance of ensuring adequate access to contingency funding lines. Despite some positive market signals, there are still signicant headwinds ahead. Carl White has more than 35 years of experience in the supervision division of the Federal Reserve Bank of St. Louis. He is currently senior vice president of the supervision, credit and learning division. He has served in various other roles within safety and soundness, beginning his career as an examiner. Visit stlouisfed.org to learn more. THE MISSOURI BANKER 25

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Next Generation in Bankingtreasury and technology side of banking by the time she retired. Ausmus is inspired to follow in her grandmother’s footsteps to positively impact the banking industry and open doors for others. Ausmus is a 2023 graduate of MBA’s Banking Leadership Missouri program. She earned a business degree from the College of St. Benedict in St. Joseph, Minnesota. Ausmus serves on the auxiliary board of Children’s Mercy Cancer Center, mentors children with Lead to Read and serves as a board member for Zonta International to support women’s rights. The Missouri Bankers Association honored Rachael Ausmus, vice president of commercial lending for Country Club Bank in Kansas City, with the 2023 Next Generation in Banking Leadership Award. is award from MBA recognizes the outstanding achievement of a Missouri banker employed by an MBA-member bank. Ausmus, who was chosen by a selection committee of bank leaders from across the state, was recognized Oct. 12 during the 2023 Next Generation in Banking Leadership Conference in Osage Beach.“Rachael has consistently proven to be a remarkable asset to our organization,” said Joe Close, president of Country Club Bank. “She has excelled in her role as a commercial lender and has gone above and beyond by assuming leadership responsibilities and serving as a mentor to her colleagues.”is platform allows the lending team to access the status of any loan at any point in time, streamlining the loan process. Ausmus was selected for the Clarity of Message Committee, which is responsible for the multichannel strategy and messaging of the bank’s newly created vision, mission and values. Ausmus’ banking career is inuenced by her grandmother, who broke barriers for women in banking during the 1980s and 1990s. Beginning as a teller, her grandmother worked her way up and was on the forefront of the MBA Honors Ausmus With NextGen AwardAusmus served as co-leader in the bank’s Paycheck Protection Program eort during the COVID-19 pandemic, working with co-workers to ensure smooth operations. She collaborated with the marketing department to raise customer and community awareness of the bank’s PPP activities, which resulted in the acquisition of new customers. “Her dedication contributed signicantly to the bank’s success in supporting businesses in need during challenging times,” Close said.Since joining Country Club Bank in 2018, Ausmus has served on several committees within the bank. As a member of the Loan Origination Soware Platform, she helped lead the design and implementation of a loan origination soware platform used by commercial, small business and private banking units. Rachael Ausmus, vice president of commercial lending for Country Club Bank in Kansas City, was honored with the 2023 Next Generation in Banking Leadership Award. Ausmus served as co-leader in the bank’s Paycheck Protection Program effort and helped lead the design and implementation of a loan origination software platform that allows the lending team to access the status of any loan at any point in time, streamlining the loan process. 26 mobankers.com

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JEREMY KIPPINGVice President of Computer Operations Carroll County Trust Company, CarrolltonProtecting customer data and keeping customer information secure may be the most important responsibility for today’s bankers, and it’s a responsibility entrusted to Jeremy Kipping at Carroll County Trust Company in Carrollton.Kipping joined the bank in 2009 as a network specialist in the IT department and currently oversees cybersecurity in his role as vice president of computer operations. Kipping has remained steadfast in enhancing his knowledge and skillset throughout his 14-year career with the bank, embracing educational opportunities that assist him and his team in enhancing services for the bank’s customers. He has attended several MBA conferences and seminars and is a member of multiple online training sites tailored to technology. Kipping also maintains certications in areas focusing on cybersecurity and information security.Kipping earned a degree in telecommunications-information technology from DeVry University. An entrepreneur, Kipping has operated two businesses in addition to his career in banking. He has served on the city’s planning and zoning board. Kipping is an assistant junior high basketball coach for the local school district. In addition, he coaches youth baseball and football and has overseen golf clinics for youth. DANIEL TOOSLEYSenior Vice President, Chief Lending Officer Central Bank, Jefferson City An opportunity as a part-time teller was more than a job for Daniel Toosley; he made it his goal to make banking a successful career. at same determination motivates Toosley to mentor those who share his passion for banking.While attending college, Toosley worked as a part-time teller for Central Bank. Aer graduation in 2008, he began working full time for the business banking division to establish relationships with business customers and eventually led the business banking team. From there, he started a new path as a commercial loan ocer and rose through the ranks. Named chief lending ocer in 2022, Toosley now leads the Jeerson City lending team.Toosley’s career at Central Bank encompasses 18 years, and he is part of the bank’s mentor/mentee program to develop future leaders within bank. He is a founding member of Central Bank Leadership 865, which is designed to educate and motivate emerging leaders and develop their potential for additional leadership roles by exposing them to opportunities, realities and challenges of the bank.Toosley earned a degree in business administration with emphasis in nance from Westminster College in Fulton and completed MBA’s School of Lending. As an active community member, Toosley teaches nancial literacy courses to youth and volunteers with the Council for Drug Free Youth, Jeerson City Chamber of Commerce and United Capital Soccer Committee. MBA congratulates the nalists for the 2023 Next Generation in Banking Leadership Award. THE MISSOURI BANKER 27

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AchievementsAround the Statee Bank of Franklin County in Washington promoted Becky Buhr to executive vice president. She is responsible for frontline retail, mortgage and consumer lending personnel, deposit-related products and services, branch operations and management of the Missouri Valley Wealth Management. Buhr, who joined the bank in 2001, most recently served as senior vice president of nance and retail operations.Jennifer Frey was promoted to retail branch manager for Central Bank of Audrain County in Mexico and oversees retail management for Mexico and Vandalia. Frey started as a teller in 2004 and has worked as a customer service representative and retail bank ocer.Central Bank of Boone County in Columbia promoted Scott Pummill assistant managing ocer to oversee the operations of the Boonville and south county markets. He has been with the bank for 12 years and graduated from MBA’s Bank School of Management in 2019. Kyle Nielsen was promoted to branch manager. He joined the bank in 2018 as a nancial associate and then worked as an assistant branch manager.Several individuals joined Central Bank of the Ozarks in Springfield. As a branch manager, Jacob Raulston oversees the daily operations of the Springeld Plaza branch. He has eight years of banking experience. As a business development specialist, Nathan Francis manages relationships with clients, providing nancial advice for customers and oering business banking solutions for a variety of complex business situations. Joyce Wong-Hsu, a private banking relationship manager, focuses on building strong client relationships and business development. She has 10 years of banking experience in wealth management.Becky BuhrCentral Trust Company, a division of The Central Trust Bank, promoted sta in its Springfield market. Jason Flores, executive vice president and chief investment ocer, works with the asset allocation committee and the entire investment team to improve investment management processes, technology suite programs, investment options and performance. Todd Hughes, executive vice president and chief administration ocer, has led the Retirement Services Division for four years. He assists each market in implementing the company’s vision and strategies, structuring processes and the hiring and training of employees. Kristin Carter, senior vice president and chief tax ocer, is responsible for the day-to-day management of the company’s tax operations. With more than 16 years of experience, she educates sta and clients on current tax-related issues and changes in legislation. Chris Endres joined the Kansas City market as a wealth management advisor. He is responsible for developing relationships with potential clients and matching client investments, estate planning and trust administration needs. Zechariah Shown was named vice president and portfolio manager for the Jefferson City market. He assists clients with structuring and managing customized investment portfolios that meet their individualized needs and goals.FCNB Bank in Cuba promoted Johnni Byrd to assistant vice president and human resources manager. She has been with the bank since 2019.Jennifer FreyKyle NielsenJacob Raulston Nathan FrancisJoyce Wong-HsuJohnni ByrdZechariah ShownScott PummillJason Flores Todd HughesKristin Carter Chris Endres28 mobankers.com

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Carrie Hutcherson Greg HallCam ElliottAmanda Lansford Kelly WarrenF&C Bank in Holden promoted Carrie Hutcherson to president. Since joining the bank in 2000, she has been inuential in the bank’s growth and success in her former role as executive vice president of lending. Her 31 years in banking, as well as her long-standing bank and community involvement, has created strong connections that will continue to help the bank grow and develop. Greg Hall was promoted to senior vice president and chief credit ocer. Hall has been a great asset in the lending department since joining the bank in 2020. He has more than 25 years of lending experience. Cam Elliott was promoted to senior vice president and chief credit risk ocer. Elliott joined the bank in 2015 and has used his vast commercial and ag lending experience to assist existing customers and expand his customer base. He has more than 22 years of banking experience.Guaranty Bank promoted two sta members to assistant vice president of treasury management. Amanda Lansford, who works in Joplin, joined the bank in 2017 as a treasury management ocer and has 25 years of banking experience in southwest Missouri. Kelly Warren, who works in Springfield, joined the bank in 2021 as a treasury management ocer and has 15 years of banking experience in southwest Missouri. MRV Banks in Ste. Genevieve named Dan Abts business development ocer. With more than 35 years of experience, Abts focuses on developing new business opportunities for the Festus and Ste. Genevieve banking centers.Peoples Bank in Cuba promoted Erin Huskey to branch manager. She manages the daily operations and leads the deposit teams at the Bourbon and Sullivan branches. Huskey joined the bank in 2011 as a teller/deposit counselor and has held various roles during her time with the bank. Dan AbtsErin Huskey13. Publication Title 14. Issue Date for Circulation Data BelowMBA BANKERS SERVICE CORPORATION, INC./MISSOURIBANKER (THE)07/01/202315. Extend and Nature of CirculationAverage No. Copies Each IssueDuring Preceding 12 MonthsNo. Copies of Single IssuePublished Nearest to Filing Datea. Total Numbers of Copies (Net press run)1750 1700b. PaidCirculation(By MailandOutsidethe Mail)(1)Mailed Outside County Paid Subscriptions Stated on PSForm 3541(include paid distribution above nominal rate,advertiser's proof copies, and exchange copies)(2)Mailed In-County Paid Subscriptions Stated on PS Form3541(include paid distribution above nominal rate,advertiser's proof copies, and exchange copies)(3)Paid Distribution Outside the Mails Including SalesThrough Dealers and Carriers, Street Vendors, CounterSales, and Other Paid Distribution Outside USPS(4)Paid Distribution by Other Classes of Mail Through theUSPS (e.g. First-Class Mail)1482 145652 520 030 50c. Total Paid Distribution (Sum of 15b (1), (2), (3), (4))1564 1558d. Free orNominalRateDistribution(By MailandOutside theMail)(1)Free or Nominal Rate Outside County Copiesincluded on PS Form 3541(2)Free or Nominal Rate In-County Copies included onPS Form 3541(3)Free or Nominal Rate Copies Mailed at Other ClassesThrough the USPS (e.g. First-Class Mail)(4)Free or Nominal Rate Distribution Outside the Mail(Carriers or other means)0 00 00 030 50e. Total Free or Nominal Rate Distribution (Sum of 15d (1), (2), (3), (4))f. Total Distribution (Sum of 15c and 15e)g. Copies not Distributedh. Total (Sum of 15f and 15g)i. Percent Paid ((15c / 15f) times 100)30 501594 16080 01594 160898.12 % 96.89 %16.If total circulation includes electronic copies, report that circulation onlines below.a. Paid Electronic Copiesb. Total Paid Print Copies(Line 15C) + Paid Electronic Copiesc. Total Print Distribution(Line 15F) + Paid Electronic Copiesd. Percent Paid(Both Print and Electronic Copies)0 00 00 00.00 % 0.00 % I Certify that 50% of all my distributed copies (Electronic and Print) are paid above a nominal price.17. Publication of Statement of OwnershipPS Form 3526Statement of Ownership, Management, and Circulation(All Periodicals Publications Except Requester Publications)1. Publication Title 2. Publication Number ISSN 3. Filing DateMBA BANKERS SERVICE CORPORATION, INC./MISSOURI BANKER (THE)44 15203298 09/29/20234. Issue Frequency 5. Number of Issues Published Annually 6. Annual Subscription PriceBIMONTHLY 6 $ 0.007. Complete Mailing Address of Known Office of PublicationPO BOX 57JEFFERSON CITY, NA, MO 65102-0057Contact PersonMO BANKERS ASSOCTelephone(573) 636-81518. Complete Mailing Address of Headquarters or General Business Office of PublisherPO BOX 57JEFFERSON CITY, MO 65102-00579. Full Names and Complete Mailing Addresses of Publisher, Editor, and Managing EditorPublisher (Name and complete mailing address)Jackson HatawayPO Box 57Jefferson City, MO 65012-0057Editor (Name and complete mailing address)Lori BrucePO Box 57Jefferson City, MO 65102-0057Managing Editor (Name and complete mailing address)Lori BrucePO Box 57Jefferson City, MO 65102-005710.Owner (Do not leave blank. If the publication is owned by a corporation, give the name and address of the corporation immediately followed bythe names and addresses of all stockholders owning or holding 1 percent or more of the total amount of stock. If not owned by a corporation, givenames and addresses of the individual owners. If owned by a partnership or other unincorporated firm, give its name and address as well asthose of each individual owner. If the publication is published by a nonprofit organization, give its name and address.)Full Name Complete Mailing AddressMissouri Bankers Association PO Box 57, Jefferson City, MO 65102-005711.Known Bondholders, Mortgagees, and Other Security Holders Owning orHoding 1 Percent or More of Total Amount of Bonds. Mortgages, or OtherSecurities. If none, check boxXNoneFull Name Complete Mailing AddressPS Form 3526, September 2007 (Page 1) PRIVACY NOTICE: See our privacy policy on www.usps.comX If the publication is a general publication, publication of this statement is required. Will be printed Publication not required.in the 10/01/2023 issue of this publication.18. Signature and Title of Editor, Publisher, Business Manager, or Owner Title DateLori Bruce Communications Director 09/29/2023 11:17:56 AMI certify that all information furnished on this form is true and complete. I understand that anyone who furnishes false or misleading information onthis form or who omits material or information requested on the form may be subject to criminal sanctions (including fines and imprisonment) and/orcivil sanctions (including civil penalties).PS Form 3526, September 2007 (Page 2) PRIVACY NOTICE: See our privacy policy on www.usps.com THE MISSOURI BANKER 29

The Missouri Banker September October 2023

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