DIRECTORS' PERSPECTIVE
Pause for Applause
Dale Wagner In my opinion, the role of the director consists of three major parts. Number one being to hire the CEO and hold him accountable to the policies and direction the board has set for GreenStone. The second is to make sure those policies and directions are in the best interest of the shareholder members. Number three is to monitor the financial health of GreenStone by reviewing the audit, finance, credit, and human resources reports, along with other reports from the senior leadership team to ensure we
continue to be a safe and sound source of credit. There are many other responsibilities as a director, including but not limited to approving patronage distribution, being involved in legislative and public policy that affects agriculture and rural businesses, communicating with members, and providing a positive image for GreenStone and the Farm Credit System. I think it is necessary the board is made aware of potential problems, but I believe it is equally as important the board is not involved in the day to day operations and loans decisions.
Cathy Webster When I became a director in 1992, I had no certain expectations. I had worked in the financial field for 25 years at that time and I felt I had the experience needed to make good decisions and looked forward to meeting whatever challenges there might be. I think that one of the biggest challenges is to make the right decision in selecting the CEO and also in regard to mergers. If your decision turns out to be wrong, it could be damaging to GreenStone and all of the member/borrowers. Director responsibilities have changed some over the years. We have become politically active in the past few years to advocate for agriculture, our farmers and ranchers, and for the Farm Credit System. Farm Credit Administration (FCA) now requires you to have a Compensation Committee and also an Audit Committee. In addition, GreenStone has a Finance Committee, a Legislative and Public Policy Committee and an Executive Committee. FCA would also like to see more direct involvement of directors in the business than in prior times. But we must also let management manage and not try to micro manage the business. Other than questions about interest rates, the question that surfaces the most from members is in regard to director involvement in approving loans and our access to member loan files. The only time a director has any involvement in a loan is when a borrower requests an appeal hearing in regard to their loan. Then, and only then, a director is asked to be a part of the hearing; yet, there is no access to the loan file. The director is given only the information needed to understand what is happening, and the information does not leave the office.
Several GreenStone customers were recently honored as Platinum award winners at the National Dairy Quality Awards. Congratulations to: Donald Beattie, Gordon Dick, Duane and Janet Molhoek, and Dennis and Doris Tubergen. Congratulations to GreenStone customers Paul and Renee Schmidt of Bonduel, Wisconsin, who recently received the Wisconsin Master Agriculturist Award. GreenStone operations intern, Jasper Cunningham, recently competed in the American Farm Bureau Collegiate discussion meet. The event was held in Virginia Beach, Va. in conjunction with the Young Farmers and Ranchers Leadership Conference. Jasper competed in two preliminary rounds and advanced to the sweet sixteen (semifinals)—receiving a scholarship from the CHS Foundation. Congratulations Jasper! Geert and Gertie van den Goor of Marlette, Michigan, were recently recognized for their outstanding achievements with the 2014 Michigan State University Dairy Farmer of the Year award. Congratulations Geert and Gertie! GreenStone customers Scott and Alissa Ferry of Litchfield, Mich., were recently selected as national winners at the National Outstanding Young Farmers Awards Congress. Congratulations Scott and Alissa! GreenStone member Ben LaCross had the honor of introducing President Barack Obama prior to the Farm Bill signing at Michigan State University. Thanks for representing Michigan agriculture at this important event, Ben!
Have something to share? Submit your "Pause for Applause" to: marketing@greenstonefcs.com Spring 2014
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