The Arkansas Banker September 2018

September 2018

The

Leadership

Issue Volume CI, No. 9

INFORMATION = POWER Get in shape for your next exam!

Request a free Custom Exam Preparation Report and get prepared for your next exam.

Arkansas Bankers Association a proud member of

This report is driven by thousands of bankers who have anonymously taken our survey.

No more exam surprises!

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September 2018

DEPARTMENTS

COLUMNS

Volume CI, No. 9

Chairman’s Column

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Cathy Owen

Washington Update

THE LEADERSHIP ISSUE

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Naomi Camper

Millennial Minute with Melisha Harlow

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Member News

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Professional Development Live Events Webinars Spotlight: Bank Directors Workshop Spotlight: FDIC Banker Outreach AmBA Training 2018 Leadership Conference

Banker News & Moves

5 7 8 8 9 14

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ABA Event Calendar Gets an Upgrade

Reviewing the CFPB’s Complaint Report

by Zack Smith

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ELS Leadership Conference: November 5-6, 2018

3 Ways to Improve Your Strategic Thinking Skills

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by Elise Mitchell

20 The Arkansas Banker Online

Join us at www.arkbankers.org to read and share statewide banking news!

The Arkansas Banker (ISSN 004-1726) is published monthly by the Arkansas Bankers Association, 1220 West Third Street, Little Rock, AR 72201. Phone: 501.376.3741. Periodical postage paid at Little Rock, AR. Postmaster: Send address changes to Arkansas Bankers Association, 1220 West Third Street, Little Rock, AR 72201. Subscription to The Arkansas Banker magazine is included in the membership fees to the Arkansas Bankers Association. Cover price is $5.95 each. Annual subscription rates are $40.00 for members and $60.00 for non-members.

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The Proactive Approach to Employee Turnover

Yogi Leadership Planning

by Terri Luttrell

SURVEY SAYS

by Randy Dennis

CLICK HERE

Random question.

Random bankers.

Interesting results.

What is the best part about fall, y’all?

to take part in the next Survey Says!

46%

41% Football!

Cooler Weather

12%

Pumpkin Spice EVERYTHING! September 2018

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CHAIRMAN’S COLUMN Leadership

ABA OFFICERS

Leaders come in many shapes and forms, crossing all genres of age and diversity.

Leadership is often thought to only be derived from those at the top of an organization, when in reality those at the top generally wouldn’t be successful without leadership throughout the ranks. Leaders behind the scenes make a difference with our staff and customers, and within our communities. A truly successful organization develops and encourages a rich environment for success on many levels. To do this, it is important to develop a culture of support and provide the tools necessary to succeed. Recognizing and cultivating our staff results in employee pride and happiness, which provides additional positive impacts within and outside our organizations.

Cathy Owen, Chairman

There are many aspects of a leader. A leader has the ability to establish a clear vision, providing the information, knowledge and methods to realize that vision in a way that others will follow. A leader must have a depth of resources and reliable contacts, know when to reach out to them, and when to listen. A leader must be a good communicator and a motivator. A leader must be able to make the tough and right decisions, even when they aren’t the most popular decision. A leader must admit when they are wrong and be willing to accept the consequences. A leader should respect others and be willing to laugh at themselves. For the top leaders that I’ve known and admired, I could look at them and almost see the wheels spinning in their heads. They seem to constantly be analyzing a situation, thinking about a better way to do something, or how to solve a problem.

Arvest Bank, Little Rock

It is very fitting the theme of this month’s magazine is Leadership, as I want to recognize and thank Bill Holmes for his 15 years of service to the Arkansas Bankers Association, seven of which have been in the role of President and CEO. Bill has led our Association through good times and difficult times. He even continues to lead us through illness from his home during this challenging time.

Bill has given many bankers opportunities in their career, they may not have anticipated or experienced without him. His combination of wit, personality, tireless commitment, and connection to bankers within and outside our state is serving all of us well. He and Rita are the consummate hosts, always concerned about taking care of the bankers who are traveling or attending conferences with him.

If you have not heard, Bill’s cancer has returned. He went to the doctor on August 1 to have his gall bladder removed. Unfortunately, they were unable to remove the gall bladder, as they discovered his cancer has spread throughout his abdominal region.

The following Monday, a second surgery was performed to dilate his esophagus, which was successful, and gave him the ability to swallow again. At this time, they also removed all of the cancer they could. In a follow-up meeting with doctors, he and Rita received good news in that the doctors are hopeful they will be able to provide some positive results through the pursuit of several medical treatments. Bill will be home for a period of time, with his primary focus being to regain his strength.

He will be helping us from home on a limited basis, per strict doctor’s orders.

Rob Robinson, IV, Chairman-Elect Simmons Bank, El Dorado

Jonathan Harrell, Vice Chairman Generations Bank, Rogers

Jim Cargill, Treasurer Dave Dickson, Past Chairman Union Bank & Trust Co., Monticello

Bill Holmes, President & CEO

Arkansas Bankers Association, Little Rock

BOARD OF DIRECTORS Johnny Adams, Conway Craig Attwood, Pine Bluff Jeff Brecklein, Jonesboro Chip Blanchard, Russellville Gene Crawford, Batesville David Dowd, Wynne Don Gibson, Springdale Chris Gosnell, Magnolia David Jessup, DeWitt Lance Lanier, Van Buren Barry Ledbetter, Little Rock

At Bill’s direction and with his help, the Executive Committee has formed a Task Force to identify a new President and CEO for our Association. A second Task Force has been formed to identify both an outside Lobbyist and a new Association Government Relations Officer. I will keep you updated as these progress forward.

Wilson Moore, Little Rock

Cathy Owen | Chairman

Jason Tennant, Eureka Springs

Chairman of Eagle Bank & Trust, Little Rock

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Eagle Bank & Trust, Little Rock

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Marnie Oldner, Little Rock Mark Roberts, Malvern Lori Ross, Arkadelphia Randy Scott, Blytheville Lynn Wright, Little Rock

ABA PROFESSIONAL DEVELOPMENT

LIVE EVENTS Providing you with face-to-face interaction with expert instructors!

OCTOBER 2018 Advanced BSA Brush-Up

Branch Management Series

October 9, 2018 | Arkansas Bankers Association Who Should Attend: BSA Officers, Training Officers, and Anyone responsible for the BSA function

October 24-25, 2018 | Arkansas Bankers Association Who Should Attend: Supervisors, Retail Managers, Retail Banking Team Members

Bank Directors Workshop II

Foundations of Commercial Lending

October 10, 2018 | Arkansas Bankers Association Who Should Attend: Bank Directors, Executive Management, Shareholders

October 29-30, 2018 | Arkansas Bankers Association Who Should Attend: Credit Analysts, Loan Review & Administration, Credit & Loan Officers

IRA School October 16-17, 2018 | Arkansas Bankers Association Who Should Attend: New Accounts Representatives, Certificate of Deposit Personnel, Savings Counselors, Account Holder Service Representatives, Investment and Trust Personnel who are newly involved in the opening, selling, marketing, or administration of IRAs, Any officer/manager who oversees the IRA department and may be responsible for answering IRA account holder questions or concerns

NOVEMBER

5 PAC Golf Tournament 5-6 ELS Leadership Conference

13-14 Call Report Preparation 27-28

DECEMBER

5-6 Women in Banking Conference

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FEBRUARY

IRA Advanced

Save The Date!

Supervisor Boot Camp

29 FDIC Banker Outreach For more information about ABA Live Events, log on to www.arkbankers.org or call 501.376.3741.

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WASHINGTON UPDATE New Banks as Bellwethers When I joined AmBA as chief policy officer in June, a task force of bankers with experience launching and running new banks were mid-way through their analysis of why “de novo” activity had stalled in recent years.

Their mission—as established by Ken Burgess, AmBA’s chair and die-hard de novo advocate—was to identify both challenges and solutions, in hopes of re-starting bank startups. As new as I was to AmBA, I had no doubt why this was a critically important endeavor.

Just as banks are central to the economic vitality of the communities they serve, new bank charters signify the economic vitality of the both the industry as well as our economy as a whole. New banks signal optimism, opportunity and growth potential.

The opposite—no new entrants—means less competition and fewer choices, which ultimately translates to less economic activity and growth, on which all banks depend for success. It may seem counter-intuitive, but existing banks are actually better off when we see a healthy pipeline of banks in formation—just as homeowners benefit when others are eager to buy into their neighborhood.

I first came to appreciate the importance of a dynamic banking industry—populated with banks old and new, large and small—when I worked for former Sen. Tim Johnson (D-S.D.) as staff director of the Senate Banking Subcommittee on Financial Institutions. The South Dakota bankers who visited the office made sure I knew it, and my later experience working for JPMorgan Chase only confirmed it.

That was in the early 2000s, when more than 100 new banks were chartered every year. Postcrisis, that number plummeted to fewer than two per year—and was yet another indicator that our economy and our industry had not yet fully recovered. The pace has started to pick up recently, along with the economy, but it’s still anemic. And that’s why Burgess convened the AmBA De Novo Task Force, a banker-led effort to identify the essentials for de novo success and major impediments to increased de novo activity. Many banks on the task force were started just before the financial crisis. Their resilience and success through the crisis and its aftermath reminds us that new banks can succeed in any environment.

The task force agreed that successful de novo formation starts with selecting an experienced board and bank management team. De novos are poised for success when they combine their experience with a strong business plan and the capital necessary to support that plan. Unfortunately, the current requirements for new bank formation prove to be more complicated.

We recently presented our findings and proposed solutions to the FDIC, and the timing couldn’t be better.

Not only is there new leadership at the agency willing to look into what may be impeding de novo activity, but the economy’s robust growth presents the opportunity to ensure bank entrepreneurs—and the customers and communities they wish to serve—benefit from the rising tide.

If we can help change the course of de novo activity and facilitate new growth in the industry, we’ll be shaping a vibrant future for banking.

Naomi Camper

Chief Policy Officer, American Bankers Association

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© 2018 American Bankers Association. All rights reserved. Reprinted with permission.

ABA PROFESSIONAL DEVELOPMENT

OCTOBER 2018 Monday, October 1

Appraisal Review for Residential Mortgage Decisions 1:30 p.m. – 3:30 p.m.

Tuesday, October 2

WEBINARS

Train multiple employees for one price, from the convenient location of your bank!

SBA CDC/504 Loan Guaranty Program 10:00 a.m. – 11:00 a.m.

SBA Express Loan Programs 2:00 p.m. – 3:00 p.m.

Key Ratio Analysis: Calculating and Interpreting the Numbers Correctly 10:00 a.m. – 11:30 a.m.

Friday, October 5

Wednesday, October 3 Dealing with Powers of Attorney 10:00 a.m. – 11:30 a.m.

Quarterly Compliance Briefing 10:00 a.m. – 12:00 p.m.

Identifying and Documenting CRA Community Development Activies 1:30 p.m. – 3:30 p.m.

Lie Detection for HR Managers 10:00 a.m. – 12:00 p.m.

You Bought It, So Why Don’t They Use It? 10:00 a.m. – 11:30 a.m.

Strategies for Family Banks 2:00 p.m. – 3:00 p.m.

Marketing & Advertising Compliance 10:00 a.m. – 12:00 p.m.

Thursday, October 4

Thursday, October 11 FFIEC Cyber Compliance Update 10:00 a.m. – 12:00 p.m.

Writing High-Impact Executive Summaries 10:00 a.m. – 12:00 p.m.

Landscape of Agriculture Today and Tomorrow Part II 10:00 a.m. – 11:30 a.m.

Tuesday, October 9

Opening Accounts for Nonresident Aliens CIP, CDD, and W-8BEN 1:30 p.m. – 3:30 p.m.

Legal Liabilities when Check Fraud Occurs 10:00 a.m. – 12:00 p.m.

Unparalleled Funding Opportunities Overview

Landscape of Agriculture Today and Tomorrow Part I 10:00 a.m. – 11:30 a.m.

2:00 p.m. – 3:00 p.m.

The UCC for Lenders 10:00 a.m. – 12:00 p.m.

Telephone Consumer Protection Act Compliance Issues 1:30 p.m. – 3:30 p.m.

Loan Denials & Other Adverse Action Notices 1:30 p.m. – 3:30 p.m.

Basic Personal & Business Tax Return Analysis 2:00 p.m. – 3:30 p.m.

SBA 7(a) Loan Guaranty Program 2:00 p.m. – 3:00 p.m.

Wednesday, October 10 Becoming an Employer of Choice 10:00 a.m. – 11:30 a.m.

Friday, October 12

Intro to Excel Dashboards 10:00 a.m. – 12:00 p.m.

Tuesday, October 16

Reg E Compliance – Five Best Practices for Handling Disputes 10:00 a.m. – 12:00 p.m.

For more information about ABA Webinars, log on to www.arkbankers.org or call 501.376.3741.

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PROFESSIONAL DEVELOPMENT SPOTLIGHT Check out these upcoming 1-day events geared toward c-suite bankers:

Bank Directors Workshop II In today’s environment, bank directors are under increased pressure from regulators, shareholders, and customers to keep the bank in good shape.

This program, led by David Kemp, will discuss the lending process from the director’s perspective — covering everything from lending policies to credit scoring and the problem loan process. The seminar also includes a discussion of the critical relationship between the board and regulators, board-driven strategic planning, and board and management review tools.

This Bank Director Training has been approved by the Arkansas State Bank Department.

On the Agenda

Credit Scoring Collateral Considerations Keys to Your Loan Committee Vote Formal and Informal Actions CEO Evaluations Regulation – O

Fulfill your annual Bank Director training requirement!

For more information, or to register for the Bank Directors Workshop II, log on to www.arkbankers.org or call (501) 376-3741.

Who Should Attend: Bank Directors Executive Management Senior Bank Officers

When:

Wednesday, October 10, 2018 9:00 a.m. – 4:30 p.m.

Where:

Arkansas Bankers Association 1220 West Third Street, Little Rock

FDIC Banker Outreach The Arkansas Bankers Association is partnering with the FDIC to bring bankers an important update on emerging bank issues facing the industry. This program will give bankers the opportunity to network with their state and federal regulators, hear what is going on within Arkansas, and what it means to our banks and the overall commerce industry.

FDIC speakers for the day include Stephen Kiser, Regional Manager; Evelyn Rainey, Supervisory Examiner; Darin Flake, Risk Examiner; Linda Finck, Information Technology Examiner; Misty Micenhamer, Risk Examiner; and Ashlea Moyers, Financial Institution Examiner.

On the Agenda FDIC State & Local Economic and Banking Industry Overview Corporate Governance Capital Adequacy Planning Information Technology / Cybersecurity Bank Secrecy Act Consumer Compliance Update Interest Rates & Liquidity “The Rise of Risk” For more information, or to register for the FDIC event, log on to www.arkbankers.org or call (501) 376-3741.

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Who Should Attend: Bank Directors CEO Bank Officers

When:

Thursday, November 29, 2018 9:00 a.m. – 3:00 p.m.

Where:

Embassy Suites 11301 Financial Centre Pkwy, Little Rock

ABA PROFESSIONAL DEVELOPMENT

AmBA TRAINING

AmBA Training includes extensive learning opportunities suited to specific job roles, in both facilitated and self-paced online formats, as well as in person. Flexible and cost-effective, AmBA’s online training opportunities are continually updated to provide a superior learning experience that can be accessed from anywhere, at any time.

UPCOMING COURSES

Analyzing Financial Statements 10/1/2018 - 2/1/2019

Consumer Lending 1/14/2019 - 5/3/2019

Building Customer Relationships 10/1/2018 - 10/26/2018

Fundamentals of Mortgage Lending 1/14/2019 - 2/22/2019

Intro to Agricultural Lending 10/1/2018 - 12/7/2018

Marketing in Banking 1/14/2019 - 2/8/2019

Commercial Lending 10/22/2018 - 1/25/2019

Bank Lines of Business 1/21/2019 - 2/15/2019

Basic Administrative Duties of a Trustee 11/5/2018 - 12/14/2018

Marketing Management 1/22/2019 - 2/15/2019

Consumer Lending 11/5/2018 - 3/8/2019

IRA Online Institute 2/25/2019 - 5/19/2019 The Banking Industry 3/4/2019 - 3/29/2019 Bank Lines of Business 3/18/2019 - 4/12/2019 General Accounting 3/18/2019 - 7/5/2019

Analyzing Bank Performance 1/28/2019 - 3/15/2019

Legal Foundations in Banking 3/25/2019 - 5/31/2019

Managing Interest Rate Risk 11/5/2018 - 1/11/2019

Managing Funding, Liquidity, and Capital 1/28/2019 - 3/1/2019

Marketing in Banking 11/5/2018 - 12/7/2018

Building Customer Relationships 2/4/2019 - 3/1/2019

Money and Banking 11/5/2018 - 3/8/2019

Commercial Lending 2/4/2019 - 4/26/2019

General Accounting 11/12/2018 - 3/15/2018

Money and Banking 2/4/2019 - 5/24/2019

Marketing Planning 12/10/2018 - 1/11/2019

Analyzing Financial Statements 2/11/2019 - 5/31/2019

The Banking Industry 1/14/2019 - 2/8/2019

Marketing Planning 2/19/2019 - 3/15/2019 Intro to Agricultural Lending 2/25/2019 - 4/19/2019

Introduction to Trust Products & Services 2/25/2019 - 3/29/2019

Managing the Bank’s Investment Portfolio 3/25/2019 - 4/26/2019 Marketing Management 3/25/2019 - 4/19/2019 Building Customer Relationships 4/1/2019 - 4/26/2019 Managing Interest Rate Risk 4/8/2019 - 5/31/2019 The Mortgage Lending Business 4/8/2019 - 5/17/2019 Basic Administrative Duties of a Trustee 4/15/2019 - 5/17/2019

For more information about AmBA Training, log on to www.arkbankers.org or call 501.376.3741.

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ABA Web Calendar Gets Facelift

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You asked. We listened. The web-based ABA Events Calendar received a facelift last month. With the update, came a much faster load time and upgraded search options.

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“The color coding of events in our old calendar was a great feature, but it came at the price of functionality,” said Jessica Sahene, who manages the ABA’s website.

“By categorizing events by subject matter and format, bankers have easy access to the types of learning that meets their needs. And it’s so, so much faster.”

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HOW TO GET THERE

If you’re on the hunt for professional development opportunities, simply log on to www.arkbankers.org. Hover over the “Professional Development” navigation at the top center of the page, and then click “Events & Registration” in the dropdown menu; this will take you directly to the current month’s event calendar. All events — including live events, webinars, and web-based courses — are listed on the calendar. You may navigate to future months using the arrow buttons. The full list of events can also be seen by clicking the “View List” tab.

SEARCHING BY CATEGORY

On the right side of the page is a listing of vocation-specific categories. This is a search feature that sorts all current course offerings by the positions they are best suited for. For example, a lender can simply click “Lending” to see a list of upcoming events focused on his or her career needs. The events are listed in reverse chronological order.

SEARCHING BY EVENT TYPE

This function allows you to search for the type of event you wish to attend. A list of event types is located on the lower right side of the page. Similar to the category listings, one must simply click on one of the following event types: AmBA Training. These self-paced web courses are offered through the

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1. Use these tabs to switch between Calendar and List View.

4. Use this menu to search by vocation category.

2. Navigate from month to month on the Calendar with these arrows.

5. Use this menu to search by event type.

3. Click on an event to view course description and registration information.

American Bankers Association and offer flexible and cost-effective training opportunities on a variety of vocationspecific subjects with courses lasting between four and twelve weeks.

Conferences. As live events, ABA Conferences provide face-to-face interaction with expert instructors, combined with peer networking opportunities. While conferences generally focus on an overarching theme (i.e. Women in Banking), they often have a range of topics.

Seminars. Another type of live event, ABA seminars are multiple-hour events honing in on a specific topic. Seminars typically have one instructor, and range in the number of participants.

Schools. The third type of live event, ABA schools take a deep dive into a

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6. Click Register to view course description and registration information.

specific topic, ranging from two to five days. Most schools have multiple instructors, and range between ten and thirty participants.

Webinars. These web-based courses, typically lasting two hours, give a variety of topic offerings. With one connection (and one price), multiple employees can be trained from your location. A dvd or on-demand copy of the live webinar can also be ordered.

Note: When searching by event type, live events (seminars, conferences, and schools) are denoted by a class location.

If you have any questions about the new event calendar, or would like assistance registering for an ABA Professional Development event, please contact the ABA at 501.376.3741.

QUICK TIPS:

Online Registration 6

1. Select which event you would like to attend 2. Log in to see the registration options available to you. If you do not know your username and password, please email jessica.sahene@arkbankers. org and she will send you that information.

3. Click the Register Myself button (to register someone other than yourself skip to step 5).

4. Click Proceed to Checkout 5. In the pop-up box, search for the name of the person you would like to register (if you do not see their name, send us an email and we will get them registered for you). If they are new employees, you can create a new contact with their information. Click Save & Close 6. Click Proceed to Check out 7. To check out you can either pay with your credit card and fill in the details or you can select Pay Later. If you select Pay Later you will notice a PO number box, please type your preferred purchase order number in this box.

8. Click Submit Order 9. You should receive an email to confirm that you just registered for an event

CLICK HERE

to see the new ABA Web Calendar in Action!

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Reviewing the CFPB’s Recent Complaint Report

by Zack Smith Compliance Alliance

The Bureau of Consumer Financial Protection (CFPB) routinely publishes reports breaking down complaints it receives. In a report published May 31, 2018 entitled, “Complaint Snapshot: Debt Collection (the Report), the CFPB discussed the average number of complaints received from January 1, 2018 through March 31, 2018, and compared those numbers to the same time period in 2017. The Report provided an overview of complaints the CFPB receives, as well as an additional section focusing on complaints regarding debt collection practices. An interesting trend was the significant increase in the number of complaints in the areas of “Money transfers or service, virtual currency” and “Credit or consumer reporting,” which have more than doubled in the past year.

The categories with the most complaints—representing approximately 74% of the total complaints in March 2018—were: “Credit or consumer reporting,” “Debt collection,” and “Mortgage.” “Credit or consumer reporting” complaints made up approximately 37%, “Debt collection” complaints made up approximately 27% and “Mortgage” made up approximately 10% of the total complaints for March 2018. These three categories combined to make up a majority (69%) of the total complaints since the Bureau began receiving complaints.

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In a comparison between the first quarters of 2017 and 2018, the “Money transfers or service, virtual currency” complaint-category increased 184%— from an average of 352 complaints to 1,000 complaints. The Bureau also noted a majority of those complaints arose from issues with the availability of funds from virtual currency exchanges. In 2017, virtual currency (cryptocurrency) became a popular investment, and the leading currency was Bitcoin. Investors used virtual currency exchanges to purchase cryptocurrency, which, as with the development of all technology, experienced difficulties. The spike in complaints coincided with the drop in price of Bitcoin in January 2018 as investors sought to sell and withdraw their funds.

The second most significant increase from the first quarter 2017 to 2018 involved the average number of complaints regarding “Credit or consumer reporting,” which increased 129% from an average of 4,848 complaints to 11,107 complaints. The Bureau attributed this increase in the average to improvements made to the complaint submission process in April 2017.

January 2018 was an anomaly for the number of complaints in this category.

In fact, January 2018 was the first time that the Office received more than 1,000 complaints for this category and coincided with the large price drop in Bitcoin.

Since there are three more days in March than February, the amount of complaints was expected to increase slightly from February, which is what occurred with a 7% increase in complaints in March. Notably, “Prepaid card” complaints increased 21% and “Debt collection” complaints increased 14% in March.

Also, the Report includes a list of the average complaint per capita by state.

It does not break down the type of complaints by state, but the list is interesting nonetheless as it shows the location of the complainants.

Washington D.C. is the location of the most complaints per capita by a wide margin – nearly 60% more complaints per capita than the state with the second-most complaints, Delaware. In fact, Washington D.C. has more than 4 times the amount of complaints than 18 other states. This large discrepancy may likely be attributed to the fact that D.C. is the nation’s capitol, and, thus, the D.C. citizens are more aware of the CFPB’s ability to handle complaints. Generally, there are fewer complaints per capita in the Midwest states.

An interesting decrease for March was that “Money transfer or service, virtual currency” decreased approximately 14% to 696. As noted previously, that category averaged 1,000 complaints each month for the first quarter of 2018.

Comparing January 2018 to March 2018, there was an approximately 54% decrease in the number of complaints in March. The statistics indicate that

This report also compares the changes in the number of complaints per state from the first quarter of 2017 to the first quarter of 2018. The three states with the largest increase in complaints were: Mississippi with a 30% increase, Alaska with a 29% increase, and Louisiana with a 19% increase. South Dakota, North Dakota, and Maine all had a significant decrease in the number of complaints

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Debt collection remains one of the areas that consumers complain about most. When the CFPB receives a debt collection complaint, it contacts the companies for review and response.

Over half of the debt collection complaints come from the “Other debt” and “I do not know” categories. Nearly 40% of those complaints were for “Attempts to collect debt not owed.” A prevalent issue was the lack of written notifications about the existence of debt. Some consumers did not learn of existing debts until the debts appeared on their credit report. In fact, they had to request information about the debt, including the amount in collection, from the debt collector. with decreases of over 40%. Overall, there was an increase in the number of complaints in only 13 states.

the ability to monitor the practices that are causing consumers the most problems, and an opportunity to correct any potential issues that may arise. To investigate the entire report, find it here: https://s3.amazonaws.com/files. consumerfinance.gov/f/documents/ bcfp_complaint-snapshot_debtcollection_052018.pdf

Zack Smith serves as Associate General Counsel for Compliance Alliance working on our hotline aiding members with compliance questions. Prior to joining C/A, Zack specialized in tax law where he represented clients in front of the IRS.

Tracking the types of complaints will be interesting over the coming months and years. Using the reports published by the CFPB, bankers have

MILLENNIAL MINUTE

MELISHA HARLOW

What is the best piece of advice you’ve received from a fellow banker?

The best advice given to me in banking would have to be patience. You can only wait on one customer at a time, don’t worry about the lines, accuracy is time! Always remember good things come to those who wait. In this day and time, we want to move mountains overnight and in reality that doesn’t happen. God has a plan, it’s on his time not ours.

Bank

Southern Bancorp Bank, Trumann Position

Branch Manager How Long Have You Been with Southern?

11 Years Family

Husband John, Daughter Haley (15), Sons Drake (10) & Ridge (5)

Southern is a bank with a mission…. What outreach project has touched you most?

Southern is a different kind of bank and we are also a social bank on a mission. Southern Bancorp loves to be involved in the communities as much as possible. This year in Trumann, we are starting a program with Trumann Elementary. I feel like this program is going to make huge impact on the kids and their families.

This program is designed to teach the kids the importance of saving. We are all looking forward to seeing the sweet kids’ faces each week on their bank days.

What’s the most used app on your phone?

My most used app would have to be social media; Instagram and Facebook.

These two apps are used for so many different things. I love using them for shopping, keeping in touch with family and friends, looking at photos, saving recipes, and buying/selling items.

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2018 Emerging Leaders Conference Join #ARHometownBankers in Little Rock November 5-6

Be ready to network, engage, and grow at the 2018 Arkansas Bankers Association Emerging Leaders Leadership Conference, November 5-6 at the Hilton Garden Inn in downtown Little Rock. Beyond a slate of speakers, the event offers networking opportunities and the chance for young bankers to meet with peers, including an evening rooftop reception, election day updates, and mixers.

New in 2018: Bankers will have the chance to update their headshots at no charge! Every banker needs some go-to pictures for social media, bios, etc. — there will be a portrait photographer on site at the Leadership Conference, so bring your “like a boss” smile!

Bonus: The 2018 ABA PAC Golf Tournament will be held November 5 at the Maumelle Country Club, so Emerging Leaders can maximize their networking opportunities and still make it back in plenty of time to kick off the Leadership Conference! Leadership Conference registrants will receive $25 off their golf tournament fees.

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Think, Act, Lead with Elise Mitchell Award winning PR maven Elise Mitchell will share the neuroscience principles and cognitive strategies that enable you to put the science behind the brain to work. Learn how to shift your perspective and optimize your thinking to achieve greater results.

MESSAGE FROM THE PRESIDENT: Dear Emerging Leaders,

Practical lessons include: Focus for impact Say less, ask more Possible in the world, possible for me Stay cool under pressure

Build Effective Leadership with Don Musso True leadership is not a single skill, it is a collection of traits utilized in a given circumstance. Longtime banker and founder of FinPro, Don Musso, will speak to the truth that people are the most important element of banking and they need to be led. In an environment of ever-changing generations, it is extremely important to lead effectively.

This presentation will help you begin building your bank’s leadership culture around the lessons of America’s great leaders.

Discuss Economic Development in Arkansas with Clint O’Neal At the Arkansas Economic Development Commission, Clint O’Neal’s business is to create economic opportunities, attract higher paying jobs, and expand state and local economies. Join us as he shares the strategy behind AEDC’s mission: the marketing and sales process for identifying new opportunities for growth and how AEDC supports local communities around the state.

As the outgoing president of the Emerging Leaders Section Council of the Arkansas Bankers Association, I would like to cordially invite you to attend our Leadership Conference this fall in Little Rock. This is a wonderful opportunity to meet and greet your fellow bankers from around our state, and to take in an educational conference that will broaden your banking horizons.

Personally, this will be my seventh ELS Conference to attend and I have yet to be let down — I expect 2018 to be no different!

A rooftop celebration in downtown Little Rock on Monday evening will get the conference kicked off in spectacular way!

The Tuesday agenda is jam-packed full of great speakers and events for the majority of the day. I encourage any and all current members of the Emerging Leaders Section as well as any potential future members to sign up and join us for this outstanding event!

Sincerely,

View Leadership Through a Different Lens with Jon Harrison

John Thomas Anderson 2017-2018 President Emerging Leaders Section Council

There is power in having values-driven, Informed and passionate people on the front lines of your bank. Former Caterpillar exec Jon Harrison will focus on engaging your people, but at the same time, holding them to high standards of behavior and performance.

CLICK HERE

to learn more about Leadership Conference!

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3

Ways to

Improve Your Strategic Thinking Skills

and Make a

Bigger Impact

by Elise Mitchell Mitchell Communications Group

Do you remember a game from your childhood where you started with an unrecognizable collection of dots on a page, drew a line between them in just the right way, and an image emerged?

Connect-the-dots may be a simple pastime from your youth, but it’s also a metaphor for one of the most powerful capabilities of all successful leaders: strategic thinking.

Stop and think about a time you faced a situation where things were unfamiliar, disorganized, even chaotic. By carefully connecting the dots in all the right places – between people, ideas and resources – you created clarity and opportunity.

Your strategic thinking skills carried the day.

Making meaningful connections that allow you to make smart moves is a beautiful thing, especially when it leads to “Eureka!” moments like finding the perfect solution to a pressing problem or developing a creative approach to a new initiative.

Why we don’t think more strategically

One of my coaching clients recently told me that connecting the dots was one of her greatest strengths. Her face lit up as she talked about an interesting new trend she had observed and how she enjoys tackling challenges that seem to stump others.

Then, with a deep sigh, she explained her most daunting leadership dilemma: Not having enough time to think like this.

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September 2018

“I’m too much in the weeds,” she told me, leaving precious little time to think about bigger issues and opportunities.

It’s not just lack of time. Leaders face many other challenges when it comes to thinking strategically: Constant distractions such as meetings, phone calls and unexpected problems that you feel you must respond to.

Reasoning and analytical skills that have gotten a little rusty, making it that much harder to come up with solid solutions.

Lack of information or adequate resources to help fully understand the landscape when making critical decisions.

You can have a bigger impact

You don’t want to shirk your day-to-day responsibilities, of course, but you want to be more than a tactician. Most leaders want to be strategic thinkers and trusted advisors.

Holding this kind of sway gets you invited to the table to work on the big stuff. As a result, your impact on your team, your organization and your industry can be far greater.

Strategic leaders know what matters most and focus on delivering high value. In a practical sense, they have the ability to: See across the total enterprise and thinking collaboratively, not just about one team or business unit.

Focus on problems that have the greatest impact on key business goals and initiatives. © Copyright 2018 Velocity Collective, LLC. All rights reserved.

in a stress-free environment, not bound by time or place.

Where is your “happy place” — a favorite room in your house, a cabin on the lake, a quiet spot in your local library? Go there when you need to think deeply.

You also will have more success solving difficult problems by putting yourself in a positive state of mind. Carol Dweck’s TED talk on how students overcome challenges underscores the value of a positive mindset. As you approach situations where you need to think strategically, remind yourself an answer is within reach.

Another way to optimize your mental performance is by engaging in creative, stimulating activities outside of work such as hobbies or working out. This puts your prefrontal cortex into a high-performing state often referred to as “flow.”

This is because your brain releases just the right amount of adrenaline and dopamine – not too much, not too little.

During these times, the brain often works subconsciously on solving problems. Be sure to make regular time in your life for hobbies and “flow” so you can encourage these connections to happen and allow new ideas to surface.

2. Broaden Your Perspective If you keep listening to the same things or talking with the same people, you’ll find it much more difficult to be strategic when it comes to tackling your organization’s bigger issues.

Remember, new thinking comes when you connect the dots in new ways.

Spot important trends and know which ones will impact the organization.

Understand the competitive landscape and develop a strong positioning that attracts the best customers.

Envision where the business needs to go in a rapidly changing environment.

Develop plans to lead the organization into the future.

How to think more strategically

To lead at this level, let’s start with some learnings from neuroscience research and how you can optimize your prefrontal cortex, which is the part of your brain responsible for working through complex issues. Then we’ll take a closer look at some ways you can broaden your perspective and challenge status-quo thinking.

1. Optimize Your Brain It’s virtually impossible to think strategically when you multitask. Distractions such as email, phone calls, and visitors require us to shift gears too frequently to allow us to peel back the many layers of a challenge. To counter these distractions, find at least one two-hour block a week when you can work on a single pressing item without interruption. Literally, schedule it on your calendar.

When possible, especially on bigger projects, it’s best to leave your office. You will make more connections and have more of those coveted “Eureka!” moments when you can put yourself

Start by thinking about the information you access now. How can you broaden your perspective by mixing it up, adding new resources or meeting new people? Here are some things to consider.

Resources — Look at the blogs, e-newsletters, research reports, websites and other things you read to ensure you have a blend of: General business news locally, nationally and internationally.

Political, social and economic trends.

Industry-specific information.

Leadership advice, tools and techniques to develop yourself and those you lead.

Creative inspiration – poetry, novels, humor pieces, or anything that sparks a few “wows” and “cools” in your heart and mind.

Insights — Subscribe to an insights service that can provide trends about the attitudes and behaviors of your customers and stakeholder groups, as well as thoughtful analysis about the future of your industry.

Conferences – Rethink the conferences you are attending.

Consider swapping out for – or adding — something outside your normal that offers: Speakers on innovation.

Futurists who can give you a better sense of how business and society are evolving.

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Case studies on new business models.

Best practices on leading through change.

Competitors — Pick three competitors to benchmark and do a deep dive on what’s working. Study their websites; get on their email distribution list; download and study their whitepapers. Don’t copy what they do. Instead, look at the unique way they solved a problem or acted opportunistically.

What do you observe? What lessons can you learn from their approach? How could this inform your thinking?

Other industries — You can learn a great deal from other sectors. Join a local or regional business group that includes leaders from outside your industry. By broadening your network, you’ll gain fresh perspectives on business challenges others are facing and addressing in different ways. Consider joining a national peer-topeer organization such as Young Presidents’ Organization, Women Presidents’ Organization or Vistage that offers advisory boards, business research and speakers.

3. Challenge Your Thinking In addition to looking outward, take stock of some critical internal business issues. Following are a few areas to take a closer look at, along with some questions to ask yourself and your team.

Products and services How is the marketplace changing? What market forces are impacting your industry?

Are you investing in staying at the forefront of your area of expertise?

Is your current branding reflective of the company you are evolving to become?

Revenue What business could you lose in two years? What would you replace that with and are you cultivating that now?

(Plan B clients) Do you have a client dependency issue?

Can you diversify revenue through new types of products/ services/markets?

Are you on firm financial footing (revenue growth and profitability)? What goals should you set and metrics should you track to stay closer to your finances?

Talent What talent will you need to carry you into the future?

What jobs do you need to create that you don’t have now?

How will your talent mix need to change? Specialist vs generalist? Strategic vs tactical? AI vs humans?

What succession plans need to be in place for key positions?

How does your employee turnover compare to the industry? Are you investing appropriately in retention strategies? If not, what needs to change?

Where are customers/clients shifting their spending? How does this impact your product/service mix? What plans do you have for new product/service development?

When you did those connect-the-dots visuals back in the day, it probably didn’t take long for you to begin seeing the pattern – bird, cowboy, doctor, frog, flower… It’s not always that easy or that clear for a leader. But seeing the patterns and creating a strategy for the future is one of the most rewarding parts of the job.

What are your clients’ biggest pain points? How do you know? How are you addressing these opportunities?

So, optimize your brain, broaden your perspective, and challenge your thinking. Then see what emerges.

Do you have the types of clients you want? If not, who do you want? Do you have a cultivation strategy in place to attract those types of clients?

Positioning What is your company the best at? Are you in your “sweet spot?”

Are you positioning yourselves optimally in the marketplace?

Do you have differentiating products/services that set you apart from the competition?

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Elise Mitchell is the founder and chairman of Mitchell Communications Group, one of the top 10 fastest-growing public relations firms globally.

She is a wife, mom, motorcyclist, author, and a passionate advocate for women entrepreneurs.

This article was originally published on her blog at elisemitchell.com.

Hear more from Elise at the er 6!

ABA Leadership Conference on Novemb

First Tennessee The DIFFERENCE When you work with First Tennessee Correspondent Services, you’ll get the personal attention that has made us a continuous provider of correspondent services for over 100 years. Contact R. Chuck Hunt, Senior Vice President, Correspondent Services, about your bank’s needs at rchunt@ftb.com or call 901-523-4261.

Holding Company Loans • Fed Funds Letters of Credit • International Services Image Cash Letter • Settlement Services Commercial Safekeeping

©2018 First Tennessee Bank National Association operating as First Tennessee Bank and Capital Bank. Member FDIC.

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The Proactive

Approach

to Employee

Turnover

by Terri Luttrell Banker’s Toolbox

In the business world, turnover is inevitable. We no longer live in a time where people stay with the same organization from day one until they retire, resulting in increased training costs and operational disruption if your organization isn’t prepared. The banking industry is not immune to this problem.

Staff sizes at financial institutions run the gamut from small community banks to worldwide corporations. All of them are affected when there are gaps left by turnover. With increased regulatory scrutiny and emerging digital trends, the banking industry has its own unique set of challenges when it comes to retaining employees, but you and your staff need to be prepared to overcome those challenges and minimize the disruption to your operation.

Here are four key things to consider when facing employee turnover:

Train up

There might only be one BSA officer or analyst at your bank. So, what happens if he or she leaves? Make sure you train your staff “up” so that you have all of the processes in place to keep your BSA program successfully operating with his/ her departure.

Implement and grow your internal programs to mitigate risk to your institution should the primary (and

possibly only) officer leave. Form a contingency plan for those positions that are pertinent to the success of the bank. If something were to happen to a key staff member, make sure you can continue to operate with as few hiccups as possible. Ensure that the contingency plan is written down and accessible to those who need it. It should also be a live document, allowing changes to be made to it as positions and responsibilities increase or shift.

Continuing Education

We preach the importance of creating a culture of compliance in the financial world, but what about a culture of learning? It is important to encourage your staff to continue self-development and provide them with opportunities for more structured professional development.

Schedule regular (monthly, bimonthly, quarterly) “Lunch & Learns,” inviting guest speakers (C-Suite presenters, outside guests with leadership experience, etc.) to speak to the staff.

Invest in training programs with your state banking association. They

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are not only affordable but are also a great resource when it comes to things specific to your state.

There are numerous free resources for team member development available online, from white papers and webinars to professional networking groups and thought leadership blogs on social networking sites like LinkedIn. Take advantage of these and encourage your staff to do the same.

Recommend (but do not mandate) self-development books and keep a library of these books in the office to encourage their use. True leaders will read to improve.

Encourage your staff to block time off on their calendars for both professional and self-development. The work they do on development is just as important as the reports you asked them to work. When it comes time to fill open positions or promote individuals, your staff will be more prepared for those opportunities, resulting in less operational downtime and fewer training costs.

Cross Train

If you want more structured training for your staff, think about instituting a Leadership Training Program. An advantage of this program is it gives team members a feel for different departments throughout the institution, resulting in an overall knowledge of how the bank operates. They can apply for a 3-6 month management training program and rotate to different areas of

their desired leadership concentration.

Remember to include presentation skills with each rotation, as this is critical to functioning as an effective leader. Allow the trainee to present key leadership lessons learned to an executive team at the end of their program to give them visibility and credibility. It not only allows your staff to grow, but also gives the executive team a chance to see the future leaders that exist within the organization.

The Final Act

Keely Freeman and Rick Jernigan coined an important quote in their book “C.O.A.C.H”, “The final act of leading is leaving.” Know when you, as a leader, have taught your staff everything you can and need to step aside to let someone else lead. That’s not to say you’re giving up on your

team, but you recognize there may be someone else on staff coming up the corporate ladder who has a unique viewpoint and can share their wisdom with the staff, helping them grow even further. It is also a nod to you, as a leader, that you have trained someone else up to take your place and effectively lead the charge.

Employee turnover is something that every institution faces in some form or another. By keeping your staff welltrained and prepared to advance within the organization, you can minimize the disruptions to your operation and grow great leaders internally. Promoting from within is a great morale boost for your entire institution.

Terri Luttrell, CAMS-Audit is a seasoned AML professional with over 20 years in the banking industry, working both in medium and large community and commercial banks ranging from $2 billion to $330 billion in asset size.

Terri is currently Senior Manager of Strategy & Evangelism at Banker’s Toolbox. Banker’s Toolbox is a risk management solution for financial institutions, offering a suite of products to help mitigate risk and streamline compliance. For more information, visit www2.bankerstoolbox.com/arkbankers.

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Its Déjà-vu All Over

Again

Yogi Leadership Planning

by Randy Dennis DD&F Consulting Group

As I survey the banking scene in Arkansas, I am amazed at how something as simple as getting older can affect the future of community banking. Of course, you may think that everything is going great and you are wondering whether aging or more specifically, dementia, is settling in on this consultant. I assure you, while I am not getting any younger, I still remember to show up to work and I am doing my best to help our industry be more successful. To that end, this article is about how aging and our lack of planning is severely affecting future leadership and thus potentially the sustainability of our time tested community banking industry.

Several years ago, my wife surprised me and whisked me off to Punxsutawney, Pennsylvania for a birthday trip that will be forever etched in my mind. You may think that a trip to PA is kind of lame unless you realize that my birthday is in February – the second day of the month to be exact. More particularly, it’s on the greatest and least appreciated holiday of the year, Groundhog Day. Unfortunately, there is no Parade of Roses nor Macy’s Day Parade to honor the humble and ever faithful prognosticator of the weather, the groundhog.

Punxsutawney, Pennsylvania, to you people who aren’t sensitive to critter

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and underappreciated birthdays, holds the largest Groundhog Day celebration in America, or perhaps even the world. Groundhog Day received widespread attention as a result of the 1993 film Groundhog Day, which was set in Punxsutawney and portrayed Punxsutawney Phil, Pennsylvania’s favorite son (groundhog?). The movie starred Bill Murray. In the flick, Murray plays Phil Connors, an arrogant and egocentric Pittsburgh TV weatherman who, during a hated assignment covering the annual Groundhog Day event in Punxsutawney, finds himself in a time loop, repeating the same day again and again, waking up over and over to the Sonny and Cher song, “I Got You Babe”. Phil could have been Yogi Berra’s inspiration for his “deja-vu all over again” quote.

How long, you may ask, was Phil stuck?

Although no one really knows, in 2014, the website WhatCulture combined various time duration assumptions and estimated that Phil spent a total of 12,395 days—just under 34 years— reliving Groundhog Day. The good news is that after indulging in numerous self-destructive activities including multiple creative suicide attempts, he re-examined his life and priorities and ultimately broke the loop to settle down with the love of his life. Hopefully you and I can learn our life and banking lessons in less than 34 years.

September 2018

Now, you might ask, what in the world do Bill Murray and the movie Groundhog Day have to do with the future of our community bank leadership? A fair question but in short, I think that too many of our banks and bank boards are stuck in a loop year after year thinking that the problem of executive succession will solve itself. Therein lies our industry problem, year after year management and board continue to wake up to Sonny and Cher and no successor.

As I meet with banks around the country, several things are apparent.

First, many of the executive officers are starting to look more and more like my parents: they’re old. Second, when I meet with their boards of directors, the age issue becomes even more pronounced - they are even older than

the executive officers. Third and most important, few are giving the attention they should to planning for the next generation of management, the board or aging stockholders. To make matters even worse, the communities many of these banks are serving are aging out as well. Very few young bankers are willing to move their families to Nowheresville, Arkansas. This creates a toxic aging mix and a very serious problem for all the banks and the regulators that are charged with oversight of our community banks.

who were passed over left the bank or retired.

Now, don’t get me wrong, I will be the first to admit that I’m just as bad as my clients when it comes to this “succession” issue. Like Murray in Groundhog Day, most of us are waking up every day to “I Got You Babe” and are ignoring the potential problems related having no “babe” to wake up to in the event of an untimely death. Unlike Murray, we don’t have 34 years to get it right.

So, how do we break the time loop, recognize our need for successors, identify qualified leaders and live happily ever after?

Although most companies recognize the importance of succession planning in attracting and retaining excellent employees, According to a 2017 Bank Director Compensation Survey, sponsored by Compensation Advisors, a member of Meyer-Chatfield Group, “forty-eight percent of bank directors and executives—including chief executives, human resources officers and chief financial officers—say their bank does not have a successor to replace the CEO when the top executive retires or leaves…. Yet, just 17 percent say that developing a CEO succession plan is a top compensation challenge.

Perhaps in a metropolitan or regional banking market this would not be a problem. For Arkansas, though, 50 of our community banks are located in rural markets like Dumas, McGehee, Delight, Salem and Corning to name just a few of our more isolated rural markets.

To compound the pain, according to one survey, 44% of the respondents who had identified a potential internal candidate were very concerned about losing the internal candidate if he/she did not get the job, thus exacerbating the succession issue and kicking the can down the organization chart. Turns out they were right to be concerned.

Almost a third of the internal candidates

Hopefully by now, you’ll agree that we community bankers have a problem.

Even if some of us are calendarchallenged and still believe that we’re only as old as we feel, I can assure you that our state and federal supervisory examiners are not so chronologically deceived. In fact, they have identified succession as one of our major risks for the upcoming several years. They are going to consider our age in their risk matrix, even if we don’t want to.

First, recognize that succession has to be a priority, not just a recurring conversation, for the executives, board of directors and stockholders. Your bank is too important to your community to leave it to chance. Second, identify the most critical links in the executive chain of command. You may be a healthy 42 year old CEO but have a 64 year old chief of operations whose untimely demise would be devastating to your bank. He or she needs to be first on the board’s list to begin planning for. In some banks, the loss of a chief operations officer would be far worse than the loss of the CEO. This does not give you permission to defer planning for a new CEO or board member.

Third, establish a succession team made up of key board members (usually including the chairman of the board) and at least the bank’s CEO to come

up with a board approved succession plan. Fourth, before you begin your search for Mr. or Ms. New CEO or COO, identify the job responsibilities of the executive that’s at the top of your list for a successor. I warn you that this process can be even scarier than the loss of the person, in that it may begin to dawn on your team how critical that person really is. We find that some banks may have to materially reallocate job responsibilities across several positions to be able to identify a viable or realistic successor for some executives or CEOs. Last, don’t wait until the last minute to begin the identification process. It takes time to find a viable successor for key jobs. Unfortunately, 41% of banks tended to only do succession planning on an as-needed basis according to the Meyer survey. At a minimum, regardless of the executive’s age, the succession team should prepare an emergency plan (for those worse case scenarios) and a 3 to 5 year plan. In more rural markets, a longer planning horizon will be needed to take into consideration younger existing employees who need grooming to assume leadership positions in the future.

In today’s uncertain banking and regulatory environment, our banks have plenty of issues that need some improvement or clarity. Punxsutawney Phil, while an adorable weather icon, is not a very good weatherman.

His weather predictions have only been correct 39% of the time. With succession planning, our average needs to be higher. It is such a critical issue that it needs to be addressed sooner rather than later so we can all get on with our lives and live happily ever after.

Oh, and by the way, if you ever get the chance to go to the Groundhog Day celebration in Punxsutawney, you would be joining me and visitors from across America and the world in a uniquely and highly entertaining American experience!

Randy Dennis is President and founding partner of DD&F Consulting Group. During his career, he has served as the Principal or Senior Consultant for 400+ bank and thrift mergers and change in control and holding company applications, and has chartered 100+ banks across the country.

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MEMBER NEWS Farmers Bank & Trust Celebrates Outstanding Employees

Farmers Bank & Trust recently held an awards luncheon honoring 10 outstanding team members. This awards ceremony celebrated the Bank’s core values which are built into the word HEART: Honor, Excellence, Adaptability, Respect, and Teamwork.

The following employees received HEART recognition awards: Ashley Staggs, Customer Care Center Supervisor in Magnolia; Ashley Sutton, Loan Assistant in New Boston; Haleigh Guidry, Retail Banker in Texarkana; Jennifer Cheatham, Trust Ops Clerk in Magnolia; Jessie Watson, Loan Assistant in Magnolia; Keisha Hearn, Retail Banker in Malvern; LaChunda Thomas, Branch Supervisor in Camden; Lashunda Browning, Teller in Camden; Matthew Griffin, Facilities Coordinator in Magnolia; and Tommie Coon, Teller in Camden. Each of those employees received a $250 cash award.

Farmers Bank & Trust is proud to share the story of HEART. Farmers team members strive daily to embody our core values for superior internal and external customer service and wear a HEART lapel pin with their nametags as a constant reminder. CEO Chris Gosnell stated, “Farmers Bank & Trust has a rich history as a community bank serving South Arkansas and Northeast Texas. We are committed to continually raising the bar for our customers and being a devoted leader in the communities we serve with HEART.”

2018 ABA Salute to Veterans The Arkansas Bankers Association is proud of the 20,000+ men and women who work within the Arkansas banking industry and the dedication they have to making our hometown banks successful.

Many of those individuals have not only served their communities and banks, but also our country.

In the October issue of The Arkansas Banker, the ABA will be recognizing banker veterans, active and reserve military personnel, and families for their service, sacrifice, and contributions to our nation. We will also highlight our veterans and the banks who employ them throughout the month. Please help us in compiling an accurate listing by submitting the names of banker veterans working in your bank to Traci Logsdon at traci.logsdon@arkbankers.org, no later than Friday, September 28, 2018.

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Simmons Bank Receives Disaster Rebuilding Program Assistance Grant Simmons Bank has been awarded the first Disaster Rebuilding Assistance Program grant through the Federal Home Loan Bank of Dallas, Texas (FHLB Dallas). The funds will go to a low-income Arkansas homeowner who was impacted by the severe storms, tornados and flooding that led to a federally declared disaster for the state in June 2017.

Simmons will work with CrawfordSebastian Community Development Council, Inc. of Fort Smith, Arkansas to assist the homeowner.

“We value the communities where we operate and continually seek ways to be a good corporate citizen and community partner,” said Martie North, Simmons Bank senior vice president and Community Reinvestment Act director.

The Disaster Rebuilding Assistance Program, founded in 2018, was designed to direct $500,000 in grant funds toward the repair of owner-occupied housing in federally declared disaster areas within FHLB Dallas’s district. FHLB Dallas operates in Arkansas, Louisiana, Mississippi, New Mexico and Texas. Aided properties must be a household’s primary residence and be located in an area designated for Individual Assistance by the Federal Emergency Management Agency.

The Disaster Rebuilding Assistance Program’s grant funds are distributed to member institutions on a first come-first serve basis until funds are exhausted or the member institution reaches a set cap.

Arkansas Bankers Receive Graduate from GSB-Colorado The Graduate School of Banking at Colorado (GSBC) is pleased to announce the graduation of five Arkansas banking professionals as a part of the class of 2018.

The graduates are pictured from left to right: Brant Ward, Signature Bank of Arkansas, Fayetteville; Jennifer Hardin, The Bank of Fayetteville, Fayetteville; Beth Graves, Arvest Bank, Siloam Springs; Brad Smith, Farmers Bank & Trust, Magnolia; David Alexander, Farmers Bank & Trust, Magnolia.

GSBC awarded 164 total graduates from across the nation with a diploma in banking during a ceremony on Thursday, July 26 at the Folsom Field Stadium Club on the University of Colorado campus in Boulder, Colo.

GSBC prepares bank-industry professionals to take on senior management roles within their organizations. Each student has been

recognized by his or her bank CEO, president and supervisor as a rising star within their organization. During the 25-month program, which meets two weeks each July for three consecutive

years, students are required to complete six intersession research projects, oncampus coursework, exams and a bank management simulation.

There ... impeccable.

You’re proud of your bank for good reason—you’ve kept your house in order. Accounting for your aesthetic is important to us. Our diligent, disciplined accounting and consulting pros can help you boost your financial street appeal, so you can concentrate on growing wisely.

Everyone needs a trusted advisor.

Who’s yours?

bkd.com/fs | @BKDFS

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BANKER NEWS & MOVES Citizens Bank Promotes Branscum to EVP, NWA Market President Citizens Bank has announced the promotion of Ron Branscum to the position of Executive Vice President, Northwest Arkansas Market President, according to Phil Baldwin, Chief Executive Officer.

“Ron Branscum has proven his leadership capabilities as City President for our operations in Rogers,” Baldwin said, “and we look forward to impressive results as he assumes command for our bank’s presence in all of Northwest Arkansas.”

Citizens Bank expanded into Northwest Arkansas in 2015, establishing offices in Rogers and in Fayetteville, where it recently opened an additional branch at 3971 West Wedington Drive.

Branscum is a member of the Board of Trustees of Northwest Arkansas Community College, a current Board member of Family Council, Blackwood Industries Inc., and was recently nominated to serve a three-year term as a Director on the Board of the RogersLowell Area Chamber of Commerce.

He and his wife, Deedra, live in Rogers with their seven children: Cade, Parker, Payton, Carrie, Jeremiah, Caroline and Daniel. The family attends Boundless Grace Baptist Church in Rogers. n

“As we continue to expand our presence in this important region, we are confident that Ron Branscum’s strategic approach to business will be critical to serving our customers, soliciting new clients and motivating our employees,” said Adam Mitchell, Citizens Bank President and Chief Lending Officer.

Nick Austin Leads Citizens Bank in Crossett Market Citizens Bank has announced the employment of Nick Austin as City President for the bank’s Crossett market.

Nick Austin, an Ashley County native, previously served as assistant vice president, branch manager and loan officer for both the Crossett

Prior to joining Citizens Bank as City President in Rogers, Branscum had many years of experience in the financial industry, including responsibilities as Senior

26 The Arkansas Banker

Vice President, Commercial Lending, for Arvest in Rogers, where he led a group of commercial lenders with a combined portfolio of $400 million, and as a Senior Examiner with the Arkansas State Bank Department. He is a graduate of the University of Colorado Graduate School of Banking, and holds a Bachelor’s degree in Business Administration with a major in Accounting from the University of Central Arkansas.

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September 2018

and Portland branches of Parkway Bank, which Citizens Bank acquired in 2015. Most recently, Austin has been a senior analyst with an oil and gas company in Oklahoma.

“We are excited to have Nick Austin lead our efforts in this growing market in Ashley County and the surrounding area,” said Chris Lampkin, Market President for Citizens Bank in Southeast Arkansas. “We recognize the importance of having someone locally that knows and cares about the area and the clients we serve. Citizens Bank is committed to all the markets it serves as an Arkansas based community bank.”

“The addition of Nick Austin expands the growing base a committed, professional executives that are guiding Citizens Bank into the future,” said Adam Mitchell, Citizens Bank President. “We welcome Nick to the bank and look forward to our customers benefiting from his leadership.”

Austin earned a Bachelor’s degree in Professional Studies-Applied Leadership from Arkansas Tech University in Russellville and an Associates degree in Business Administration from Bossier Parish Community College in Bossier City, La. He also is pursuing a Master’s degree in Operations management at the University of Arkansas in Fayetteville.

He is a graduate of the Arkansas Bankers Association Lending and Banking School and his community involvement has included his previous service on the Board of the Crossett Area Chamber of Commerce.

Austin and his wife, Kasey, are pleased to return to the area with their son, Henry. n

First National Bank of North Ark Hires LaCour and Hudgens Doug Carr, President and Chief Lending Officer of First National Bank of North Arkansas is proud to announce the hiring of Taylor LaCour as Operations Officer and Jack Hudgens as Junior Loan Officer.

Taylor LaCour went to Berryville High School and is a graduate of the University of Arkansas with a Bachelor degree in Agriculture Business.

Jack Hudgens also went to Berryville High School and is a graduate of the University of Arkansas with a double major in Agriculture Business and Animal Science.

Carr stated, “We are delighted to have Taylor and Jack on board! Banking in a rural area is all about relationships that are passed on from one generation to another and having a vested interest in the local community you serve. With Taylor and Jack having lived here their entire lives, they are naturally vested and already have a network of relationships and anxious to build more. We welcome them both to the FNBNA team.” n

Snapp, Wilson Join Stone Bank in Mountain View Stone Bank has added two new employees in Mountain View.

Donna Snapp has joined the bank as a loan assistant at the Agri Lending Center. She was formerly with Mountain View Eye Center and has extensive experience in accounting including seasonal tax preparation with H&R Block.

Pam Wilson joined the bank as a teller and customer service representative.

She previously owned and managed Wilson’s Food Mart in Mountain View. n

Stone Bank Little Rock Adds Two in Customer Service Stone Bank has added two bankers to its staff in Little Rock.

Kylan Compton, who is serving the bank as an Assistant to the Deposit Operations

Department, is completing a master’s degree at the University of Central Arkansas.

Breanna Jackson, a Customer Service Representative at the bank, is a graduate of the University of Arkansas at Little Rock and was formerly with Simmons Bank. n

Stone Bank Adds Three in Harrison Stone Bank has added three new customer service representatives in Harrison.

Sabrina Berry of Harrison completed an associate arts degree at Northark College and attended the University of Central Arkansas.

Ransey Methvin of Harrison was formerly with Bear State Bank and Kesa Sisco, also of Harrison, was formerly with the Bank of the Ozarks and also attended Northark College. n

Griffin and Lowry join Stone Bank in White Hall Britanny Griffin who joined Stone Bank in White Hall earlier this year as a customer service representative and teller has been promoted to the position of Loan Assistant. She attended the University of Arkansas at Little Rock and was formerly with Peoples Bank in Sheridan.

Angela Lowry, a 10year banking veteran formerly with Simmons Bank, has joined the White Hall staff as a customer service representative/teller. n

Holly Wheeler Joins Grand Savings Bank

brings a comprehensive and impressive background in consumer, commercial, and mortgage lending and personal wealth management to GSB. An active and devoted member of the NWA community, she earned her degree from the University of Arkansas and has been certified by the American Banking Association Lending School.

Involved with the Junior League of NWA, Holly has maintained active membership since 2004 and served on the board in 2010 and 2011. She is also a Director and officer of the Tri Delta House Corporation and the NWA Tri Delta Alumni Chapter.

“Holly’s civic mindedness and demonstrated commitment to her customers and community fit beautifully with GSB’s mission and promise. We are excited to have her on our team,” said Natalie Bartholomew, Grand Savings Bank CMO. n

Grand Savings Bank is pleased to announce the hiring of Holly Wheeler as Vice President and Fayetteville Team Lead.

With more than 17 years in the banking industry, Holly

September 2018

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