Pub. 7 2017-2018 Issue 5

4 O V E R A C E N T U R Y : B U I L D I N G B E T T E R B A N K S - H E L P I N G C O L O R A D A N S R E A L I Z E D R E A M S Banks Paying It Forward In Wake Of National Tax Reform Chairman’s Message I n December, President Trump signed sweeping tax reform legisla- tion the likes of which had not been seen in decades. The reform pinned the C corpora- tion tax rate at 21 percent, eliminated the corporate alternative minimum tax and provided a 20 percent deduction for pass-through businesses, and the new rates became effective this year. The top individual tax rate was dropped to 37 percent and individuals are now allowed to deduct up to $10,000 in either proper- ty taxes or state and local income taxes. Heralded by businesses across the country, the changes are already proving to be a shot in the arm for the nation’s economy and job growth. Already, banks are passing the tax savings onto their employees, customers and communi- ties. That is happening with new hires, bonuses, increased wages, expanded philanthropic efforts, fewer fees and better rates for customers. As of the end of January in Colorado, a dozen banks had already announced plans to reinvest in their institutions and communities. They joinedwithmore than 60 other banks to pass along the tangible benefits of tax reform. While exciting and invigorating, those efforts don’t surprise me at all. The banking industry – particularly in Colorado – has a lengthy history of generosity and commitment to community. According to estimates by the Col- orado Bankers Association based on FDIC data, Colorado banks make $100M in voluntary contributions annually, supporting myriad causes and projects, ranging from arts and culture, educa- tion, social causes and health programs. And the work doesn’t end there. In Colorado, banks support programs to help launch careers in the industry, participate in and contribute to organiza- tions aimed at helping the unbanked and underbanked access financial services and to assist some of ourmost challenged communities in securing access to credit. We know of no industry that can match banks’ generosity, social con- science and role in a community’s in- frastructure. That said, it cannot be stressed enough, how important it is to give back to community. Not only is it an oppor- tunity to strengthen relationships and demonstrate your bank’s values, it’s a chance to create bonds. Now, more than ever, your bank’s future may depend on its success in being a part of, and mat- tering to, its community. If your bank doesn’t have a communi- ty engagement strategy, I encourage you to develop one. Nomatter the size of your bank, how many or how few resources you might have, the effort will bring your institution and your employees great reward. Tips on how to strategize your bank’s community involvement From Jim Gibbons, president of Gibbons-Peck Marketing Communication, Provided to ABA Bank Marketing • Create and promote a com- munity involvement strategy. • Be disciplined about imple- menting the strategy. • Own a cause. • Invest in things that support your brand. • Engage your employees. • Name something. • Go big or go home. As Aesop said, “No act of kindness, no matter how small, is ever wasted.” n Mark Driscoll First National Bank of Fort Collins 2017-2018 CBA Chairman Generosity and community service are all in a day’s work for Colorado banks