MARCH/APRIL 2024 THE OFFICIAL PUBLICATION OF THE INDIANA BANKERS ASSOCIATION
DIRECTORS, STAFF AND CREDITS IBA BOARD OF DIRECTORS OFFICERS Benjamin J. Bochnowski, Chairman Peoples Bank, Munster Matthew W. Howrey, First Vice Chairman North Salem State Bank David M. Findlay, Second Vice Chairman Lake City Bank, Warsaw Jamie R. Shinabarger, Immediate Past Chairman Springs Valley Bank & Trust Company, Jasper Amber R. Van Til, President and CEO Indiana Bankers Association CONSTITUENT DIRECTORS Garry D. Kleer, ABA Membership Council First Bank Richmond Kent A. Liechty, ICBA State Director First Bank of Berne Michael J. Clampitt, IBA Future Leadership Division President North Salem State Bank Karen B. Woods, Non-Indiana Headquartered Banks First Financial Bank, Cincinnati REGIONAL AND AT-LARGE DIRECTORS Mark “Doc” Holt, At-Large First Farmers Bank & Trust Co., Converse Nicole S. Lorch, At-Large First Internet Bank, Fishers J. Daniel Maddox, North Region Citizens State Bank, New Castle Bradley J. Monts, North Region Hoosier Heartland State Bank, Crawfordsville Jacqueline M. Ruge-Perkins, North Region First State Bank of Porter Lisa Arnold, South Region Home Bank, Martinsville Mark E. Bruin, South Region The National Bank of Indianapolis Eric J. Lane, South Region First Federal Savings Bank of Washington IBA FUTURE LEADERSHIP DIVISION ADVISORY BOARD Michael J. Clampitt, President . . . . . . . . . . . . . . . . . NorthSalemStateBank Amanda Morris-Feldman, Vice President First Federal Savings Bank, Rochester Ryan Anderson . . . . . . . . . . . . . . . . The Fountain Trust Company, Covington Greg Barnes Jr. .. .. .. .. .. .. .. .. .. .. .. ..STARBank,FortWayne Jenilee Bransteter .. .. .. .. .. .. .. .. .. .. .. .. .FirstBankofBerne Jordan Briggeman Springs Valley Bank & Trust Company, Jasper Brandi Dunn . . . . . . . . . . . . . . . . . . . . . . .TheFarmersBank,Frankfort Larissa Fox Old National Bank, Evansville Brock C. Goggins German American Bank, Jasper Kyle Goodwin .. .. .. .. .. .. .. .. .. .. .. .. ..DeMotteStateBank Christopher Griffith . . . . . . . . . . . . . . . . . . . FirstHarrisonBank,Corydon Zach Hockersmith Hoosier Heartland State Bank, Crawfordsville Casey Johnson .. .. .. .. .. .. .. .. .. .. .. . HomeBank,Martinsville Jonathon Malin . . . . . . . . . . . . . . . Community First Bank of Indiana, Kokomo Laura Shake . . . . . . . . . . . . . . . . . . . . TheNationalBankofIndianapolis Casey Shireman NWSB, Charlestown IBA STAFF Amber R. Van Til President and CEO Rod Lasley Chief Operating Officer Dax Denton Chief Policy Officer Christina M. Bennett, CMP Vice President – Meetings & Events Evan Hoffmeyer Vice President – Communications Josh Myers Vice President – Member Engagement Laurie A. Rees Vice President – Education & Training Ross Teare Vice President – Government Relations Emily Brooks Digital Media Manager Maria L. Dowers Executive & Government Relations Coordinator Susan Clark Events & Products/Services Assistant Elizabeth DeHaven Education Manager AyZha Hazelwood Education Meeting Coordinator Timothy Fry Staff Accountant Tracy Kubly Technology Manager Silvia Peraza Administrative Assistant OUR INSPIRATION The Indiana Bankers Association strives to grow stronger banks and stronger communities. OUR VALUES In fulfilling our mission, we will: • maintain the highest ethics, integrity and respect for others; • provide service with professionalism, innovation and resourcefulness; • instill passion, a positive attitude and enthusiasm; and • remain mindful that the success of the IBA is judged by the success of its members. indiana.bank Vol. 108 No. 2 INDIANA BANKERS ASSOCIATION 8425 Woodfield Crossing Blvd., Suite 155E Indianapolis, IN 46240-7321 PUBLISHER Amber R. Van Til EDITOR Evan Hoffmeyer ADVERTISING Rod Lasley DESIGN The newsLINK Group SUBMISSIONS HB@indiana.bank ADVERTISING Media kits are available at indiana.bank. Advertising is reserved for members and associate members of the Indiana Bankers Association. DEADLINES Editorial and ad reservations are due the 20th of the month, two months before publication. SUBSCRIPTIONS Subscriptions are provided free of charge to members and associate members of the Indiana Bankers Association. ABOUT The flagship publication of the Indiana Bankers Association, Hoosier Banker is distributed to all banks and thrifts headquartered in Indiana, IBA-member banks headquartered out-of-state and IBA associate members. PUBLICATION DISCLAIMER Hoosier Banker (ISSN 0018 473X) is published bimonthly by the IBA Service Corp., a subsidiary of IBA Holding Company Inc., which is a wholly owned subsidiary of the Indiana Bankers Association. Material published in Hoosier Banker and on the IBA website is the property of the IBA. All rights reserved. CONTACT IBA Email IBA staff using first name initial and last name, plus “@indiana.bank” – example: JDoe@indiana.bank MARCH/APRIL 2024 3
26 Legislative Day 2024 By Dax Denton & Ross Teare, Indiana Bankers Association 29 Understanding the Tax Treatment of Discount Municipal Bonds By Dana Sparkman, The Baker Group 40 Forbearance Agreements The Benefits of a Timeout By John Waller, Dinsmore & Shohl LLP 4 HOOSIERBANKER IN THIS ISSUE
Features 6 Vantage Viewpoint By Amber R. Van Til, Indiana Bankers Association 7 Chairman’s Report By Benjamin J. Bochnowski, Indiana Bankers Associaiton 9 2024 IBA Education Calendar May-July COVER STORY 10 2024 Mega Conference May 6-8, 2024 12 Against a Rising Tide of Regulation, Banks Must Row Together By Robert S. Nichols, American Bankers Association 14 Continuing the Climb for Our Communities By Rebeca Romero Rainey, Independent Community Bankers of America 48 State Deposits in Indiana Financial Institutions July 1-Dec. 31, 2023 Articles AG BANKING 16 51st Annual Midwest Agricultural Banking School By Brady Brewer, Ph.D., Purdue University FLD FOCUS 18 Make the Most of Your Year With the FLD By Josh Myers, Indiana Bankers Association GR SUMMIT 26 Legislative Day 2024 By Dax Denton & Ross Teare, Indiana Bankers Association FINANCIAL MANAGEMENT 29 Understanding the Tax Treatment of Discount Municipal Bonds By Dana Sparkman, The Baker Group 40 Forbearance Agreements The Benefits of a Timeout By John Waller, Dinsmore & Shohl LLP HUMAN RESOURCES 32 Religious Discrimination in the Workplace By Debra A. Mastrian, Amundsen Davis LLC COMPLIANCE CONNECTION 36 Deceptive Marketing By Brett J. Ashton, Krieg DeVault LLP PSP SHOWCASE 38 Partnering with Experts Improves Performance By Bill Zumvorde, Profit Resources Inc. PRODUCT & SERVICES PROFILE 46 Still the Resource for Print & Office Supplies … But Now So Much More By Rod Lasley, Indiana Bankers Association BANKER PROFILE 50 W. Elaine Furnish Senior Vice President & Treasurer – First Farmers Bank & Trust Co., Converse 54 Scholarship Established in FNB President’s Memory Departments 6 Don’t Miss Out 13 In Memory Of … 13 IBA ‘High Five’ Awards 19 Mergers & Acquisitions 20 Bankers on the Move 30 Associate Members’ Corner 34 Honorable Mentions 35 From the Board Room 37 Anniversary Milestones 39 Taking It Easy 42 Banking on Community 54 Advertiser Index 32 46 MARCH/APRIL 2024 5 INTERACT WITH IBA
A Amber R. Van Til President and CEO Indiana Bankers Association AVanTil@indiana.bank Vantage VIEWPOINT BY AMBER R. VAN TIL, INDIANA BANKERS ASSOCIATION As I write, we are at the halfway point of the state legislative session. With the aggressive schedule that lawmakers are keeping this year, it’s entirely possible that they will have adjourned by the time you read this. Even with the condensed timeframe, there has been plenty to keep our talented government relations team busy. I am so proud of our team, the reputation they have built at the Statehouse over decades of high-quality work, and the way they unabashedly speak for our members both in and out of Session. They have already made progress this year in neutralizing problematic legislation and building an alliance for bills we are actively supporting to create the best business environment for the Indiana banking industry — and by extension, the communities our members serve. Dax Denton and Ross Teare gave our members an in-depth look at those bills at our annual Legislative Briefing and Reception on Jan. 23 and again for our Future Leadership Division on March 5. Read more about the Briefing on pages 26-27 of this issue and FLD Day at the Statehouse in our May/June issue. Thomas C. Fite, director of the Indiana Department of Financial Institutions, addressed bankers at the IBA’s annual Legislative Briefing & Reception at the Hyatt Regency Indianapolis, Jan. 23, 2024. Looking to the future, this is the final year of our current strategic plan. Your IBA staff is working on hundreds of tactical tasks across five strategic areas of focus: Next-Level Government Relations, Next-Level Banking Talent, Next-Level Operational Effectiveness, New Ventures for Indiana Banks and Position IBA for Future Opportunities. As we finish this year strong, we will also begin discussing our focus areas for our next three-year strategic plan. As I conduct my bank visits this summer and fall, be sure to let me know of any areas that you see as points of need for our industry. And we are excited to join Lucas White as he is sworn in as chairman of ICBA in March. This will mark only the second time in IBA history when we have had one of our members serve as chair of a national trade, and Lucas is more than deserving of the honor. I look forward to seeing many of you in Orlando as we celebrate this truly momentous occasion. 1 Mega Conference May 6-8 Mega is the largest, most comprehensive state banking event in the nation. 2 Commercial Lending School June 10-14 Mid-level bank officers and commercial loan officers receive a thorough understanding of commercial lending administration. 3 FLD Leadership Conference Aug. 1-2 Emerging leaders build skills and strengthen networks at this Future Leadership Division event. DON’T MISS OUT 6 HOOSIERBANKER
Benjamin J. Bochnowski Chairman Indiana Bankers Association Chairman and CEO Peoples Bank, Munster ▶ May 6-17 (2 weeks): The voting period is open. The IBA will distribute a survey via email with all the nominees submitted in April. The CEO of each IBA member bank within the FHLB system will be allowed to cast a single vote. ▶ May 22: Results are announced. The top two vote-getters will receive the endorsement of the IBA. With the IBA endorsement comes: ▶ an announcement in the July/August issue of Hoosier Banker with a clear call from me as IBA chairman for all IBA member banks to support the top two vote-getters in order to maximize our chances to get bankers in both open seats; ▶ a reminder email to all IBA members who are eligible to vote in the FHLBI election ahead of the voting period; and ▶ 1-2 email reminders during the FHLBI voting period. The IBA does not show favoritism among its members, but we fight to preserve the voice of banks in the Federal Home Loan Banks, particularly at this crucial time when the FHLB system is under scrutiny. It is the Board’s position that the process I have laid out here represents our best foot forward in doing that. Feel free to reach out to me or the IBA team with any questions about this process or our decision to make this change. I Chairman’s REPORT BY BENJAMIN J. BOCHNOWSKI, INDIANA BANKERS ASSOCIATION It’s election season already in Indiana. While national politics remain divided, members of the Indiana Bankers Association have maintained unwavering support for our industry. Last year, the Federal Home Loan Bank of Indianapolis had two open positions on its board for Michigan-based financial institutions. As you have likely heard, credit unions won both of those seats. Effectively, the bank vote was split between five candidates while credit unions rallied behind their only two nominees, clinching the victories. This year, two spots are open for Indiana-based financial institutions. As the voice of the Indiana banking industry, it is my firm belief that the IBA needs to guide our members to speak in a unified manner to prevent what happened in Michigan from repeating here at home. To that end, we are changing how we interact with the FHLBI nomination process. For the first time in our history, the IBA will endorse two candidates to fill the two Indiana seats up for election on the FHLBI board. The credit union leagues have organized their members like this for years, to their success and our chagrin. We cannot allow them to speak with one voice while we remain split. This endorsement process is an IBA Board initiative, but it is not a time for us as Association leadership to pick favorites. The IBA membership will decide who they want in an internal “primary” process, then we will rally all IBA member banks to support the top two vote-getters in the FHLBI election. Here’s how the process will work: ▶ April 1-26 (4 weeks): The nomination period is open. An email announcement will include a nomination form where you can put forth a nominee, including yourself, for the open seats. This is also the time for candidates to conduct their campaign for support. Ben is chairman and CEO of Peoples Bank, Munster, and its holding company, Finward Bancorp. He also serves on the board of directors of the Indiana Department of Financial Institutions, a position he was appointed to by Gov. Eric Holcomb in 2019. MARCH/APRIL 2024 7
Honor the shining stars of banking in your community by nominating the leaders, past and present, who have helped lead your institution to excellence. For more information about the annual IBA Leaders in Banking Excellence awards and nomination process, please contact Rod Lasley at the IBA, 317-387-9380, RLasley@indiana.bank. This prestigious distinction, IBA’s highest honor, celebrates exceptional bankers throughout Indiana’s history who have left their mark in Banking Community Service Civic Involvement Please consider the current and past presidents, CEOs, directors and others who have played an integral part in the success of your institution at the local level, as well as in the Indiana banking community. 2024 class of the IBA Leaders in Banking Excellence. Now through March 30, 2024, the Indiana Bankers Association is accepting nominations for the
2024 IBA EDUCATION CALENDAR EDUCATION CALENDAR See all education opportunities at indiana.bank/calendar. MAY Retail Management Series – Part 3: Serving with Excellence and Growing the Bank May 1: IBA Center Senior Retail Banking Officer Forum May 2: IBA Center Mega Conference May 6-8: Indiana Convention Center, Indianapolis BSA Officer Forum May 14: IBA Center Leadership Development Program – Session 2 May 20-22: Abe Martin Lodge, Brown County State Park Community Bankers for Compliance Program – Session 2: UDAAP and Regulation X - Real Estate Settlement Procedures Act May 21: IBA Center & Virtual Essentials of Commercial Credit Analysis Series – Part 4: Putting It All Together – Credit Memos, Loan Grading, Portfolio Management and Effective Communication May 22: IBA Center & Virtual Retail Lending Series – Part 3: Retail Lending Compliance, Documentation and Portfolio Management May 23: Virtual Bank Security Officer Forum May 23: IBA Center Compliance Officer Forum May 29: IBA Center JUNE General Banking School (in partnership with the Kentucky Bankers Association) June 3-7: Griffin Gate Marriott, Lexington, KY CFO Forum – Group 1 June 6: IBA Center CFO Forum – Group 2 June 7: IBA Center Commercial Lending School June 10-14: IBA Center Senior Lender Forum – Group 1 June 12: IBA Center Senior Lender Forum – Group 2 June 13: IBA Center Chief Operations Officer Forum June 14: IBA Center Emerging Leaders Digital Program – Part 1: Managing and Performance June 18: Virtual Retail Lending Series – Part 4: Building Client Loyalty and Growing the Bank June 20: Virtual Marketing Directors Forum June 25: IBA Center Information/Cybersecurity/IT/Operations Officer Forum – Group 1 June 26: IBA Center Information/Cybersecurity/IT/Operations Officer Forum – Group 2 June 27: IBA Center JULY Retail Management Series – Part 4: Raising the Bar for Sustainable Growth July 9: IBA Center Emerging Leaders Digital Program – Part 2: Influence & Relationships July 16: Virtual Professional Development/Education/ Training Forum July 17: IBA Center Supervisory Bootcamp July 23-24: IBA Center Risk Management Forum July 25: IBA Center MARCH/APRIL 2024 9
2024 Mega Conference MAY 6-8, 2024 THE WESTIN INDIANAPOLIS & INDIANA CONVENTION CENTER Embark on a transformative journey at the 2024 Mega Conference themed “Change, Engage, Evolve: A Journey Through Banking Transformation.” Immerse yourself in a dynamic atmosphere where change is not just anticipated but embraced, engagement goes beyond transactions, and evolution becomes a strategic imperative. Explore the latest in digital banking, discover the keys to fostering resilience and unravel the secrets to delivering quality customer service. Join forwardthinking discussions on innovative banking products that pave the way for a progressive future. This conference is your gateway to navigating the winds of change, actively engaging with industry shifts, and evolving toward a future of unparalleled success and adaptability. Register today at indiana.bank! REGISTER TODAY! 10 HOOSIERBANKER
Coveted CUSTOMER EXPERIENCE GROW YOUR BUSINESS BY FOCUSING ON 3 THINGS YOUR CUSTOMERS TRULY CARE ABOUT JAY BAER TUESDAY, MAY 7, 2024 Customer expectations never move backward. They want it right, and they want it right now. Given that customer experience is at least as important as price in most scenarios, getting those interactions perfect has a big impact on your success. You can’t magically get better at every component of customer experience, but you CAN get better at the ingredients that matter most. This fast-paced, dynamic, inspirational and hilarious presentation backed by real data will show you how to gain and keep more customers by improving on the three things that really matter to them. PURPOSE or Perish CULTIVATING THE FUTURE OF EMPLOYEE EXPERIENCE JOSHUA EVANS WEDNESDAY, MAY 8, 2024 In the modern world, people face a level of uncertainty that has never been experienced, and it’s significantly impacting our teams and our work. It’s causing people to become overwhelmed, burned out, unfulfilled and lost. But it doesn’t have to be this way. We all started our work from an engaged and purpose-driven place, but after months or years in a role, we lose sight of why we cared so much. We get stuck in the day-today minutia, the tasks, functions and responsibilities in our roles. We forget what doing great work means to all those who depend on us. In this session, leaders will obtain tools for cultivating a unique employee experience, learn how to enhance resilience and eliminate workplace toxicity, discover the secret for finding fulfillment and purpose beyond pay and benefits, and find out how to rediscover, reclaim and reconnect to a deeper sense of purpose. Sponsored by KEYNOTE KEYNOTE Sponsored by MARCH/APRIL 2024 11
protracted period of high interest rates and ongoing geopolitical tensions. These policies will also have devastating effects for consumers. Banking is, after all, a business. For banks to offer the full range of financial products and services to meet the needs of communities, they need to be profitable and have an operating environment that supports growth. The current regulatory landscape will do the opposite. Banks that are already considered well-capitalized by regulators’ own admission will be forced to hold even more capital in reserve, which means less capital will be available to lend to the local small business looking to expand or to the young family looking to buy their first home. Simultaneously, W F E ATUR E Whenever a new election cycle comes along, it’s not uncommon to hear pundits make mention of “red waves” or “blue waves,” denoting potential power swings in Congress. But as bankers contemplate the future of our country and the policy environment that will shape the future of our industry, there’s another wave that we need to talk about: a tsunami of complex regulation that’s hitting the banking sector as we speak. To be sure, the tide turned quickly: Last year’s turbulent spring ignited a rulemaking frenzy at the banking agencies. Suddenly, new proposals sprang up to increase bank capital levels, impose a new long-term debt requirement and make the resolution planning process more complex. Simultaneously, the Consumer Financial Protection Bureau imposed long-awaited small business reporting requirements under Section 1071 of the Dodd-Frank Act that went far above what was outlined in the statute. The Federal Reserve issued a proposal to cap interchange fees under Regulation II, and the Federal Deposit Insurance Corporation is now pursuing significant changes to its corporate governance guidelines. Against all that, the agencies finalized a long-awaited update to the Community Reinvestment Act framework — a staggeringly complex, 1,500-page final rule that creates significant new requirements that have the potential to fundamentally alter banks’ business strategies. Meanwhile in Congress, banks face the resurgent threat of the so-called “Credit Card Competition Act,” which would apply Durbin Amendment-like provisions to credit cards — the equivalent of lawmakers taking money from banks and putting it into the cash registers of mega-retailers. Taken together, these policies place a tremendous cost and compliance burden on banks of all sizes at a time when they already face a tough operating environment due to a Against a Rising Tide of Regulation, BANKS MUST ROW TOGETHER BY ROBERT S. NICHOLS, AMERICAN BANKERS ASSOCIATION The sobering reality for banks right now is that rougher seas are likely ahead, but our best hope is to row together. “ 12 HOOSIERBANKER
Grant Morris Walmoth, co-founder of Floodplain Consultants Inc., a Preferred Service Provider of the Indiana Bankers Association, passed away after a nine-year battle with cancer. He passed on Dec. 30, 2023, one day before his 61st birthday. He co-founded the company 33 years ago with his lifelong friend Wayne Capek. Walmoth’s unwavering commitment to excellence, tireless work ethic and enthusiasm were instrumental in the success and growth of the organization. Beyond his leadership and professional accomplishments, he was a cherished friend to many within the company, always ready with a smile, kind word or helping hand. Walmoth is survived by his wife, two daughters, a son-in-law, five grandsons, his mother and brother. changes to the fee income streams upon which banks have long depended could spell the end of free or low-cost checking products and popular rewards programs that consumers value. What’s perhaps most concerning, however, is the fact that regulators don’t seem to understand the full impact of their actions. As we observed with the Reg II rulemaking and the so-called “Basel III endgame” proposal, regulators are failing to adequately assess the potential costs of the individual regulations on banks and consumers, let alone contemplate what the cumulative impact of all these rules would be. ABA is sounding the alarm. We need to make sure policymakers in Washington — from members of the administration to lawmakers in Congress and regulators holding the rule-writing pens — understand that regulatory burden has a real-world cost, not just for banks but for consumers, small businesses and the American economy. If you’re reading this, I urge you to help us tell that story. Join our Bank Ambassador program to rekindle relationships with your congressional delegation and help educate policymakers about banking. Stay informed and send a letter about an issue that will affect your bank through ABA’s grassroots platform, SecureAmericanOpportunity.com. The sobering reality for banks right now is that rougher seas are likely ahead, but our best hope is to row together. IBA ‘HIGH FIVE’ AWARDS Congratulations to Susan Clark and Emily Brooks, who were honored with the Indiana Bankers Association High Five Award in December 2023 and January 2024, respectively. Clark serves as the IBA’s events and products & services assistant, and Brooks is the IBA’s digital media manager. The High Five Awards support professional development by inviting Association members and staff to submit names of IBA employees who perform outstanding acts of service. Nominations are read at monthly staff meetings, and a drawing determines the winner. To nominate an IBA employee for the High Five Award, call (317) 387-9380 or email HB@indiana.bank. Robert S. Nichols President and CEO American Bankers Association RNichols@ABA.com Rob Nichols has been president and CEO of the American Bankers Association since 2015 after 10 years at the helm of the Financial Services Forum, a nonpartisan economic policy and advocacy organization. He also served in the George W. Bush administration as assistant secretary for public affairs at the Treasury Department. Susan Clark Emily Brooks IN MEMORY OF … MARCH/APRIL 2024 13
I Our national campaign goes hand in hand with this work. By telling the compelling stories of the ways in which you make a difference, we’ll continue to bolster the work you do. In advocacy, education and innovation, we are working alongside you to power your potential and help you surmount the trials you face along the journey. And while this climb may be difficult, it will lead to new opportunities. As I reflect on my career, I realize some of the greatest learning moments were in the most challenging situations. That’s how I know community banks will find a way as an industry, as a network of community bankers, to find the right next step to provide for our communities. Hikers will stand at the bottom of the peak and realize it looks a lot higher than it did when they were farther away, but they made the climb. As we take our first steps into 2024, it’s that same “bring it on” mentality that will continue to bring us strength and guide us. We’re ready to see what lies ahead, embrace the challenge and create forward momentum. Because while the path from the valley to the summit may be circuitous, community bankers will always continue the climb for the good of their customers and communities. Continuing the Climb FOR OUR COMMUNITIES BY REBECA ROMERO RAINEY, INDEPENDENT COMMUNITY BANKERS OF AMERICA F E ATUR E I recently came across a quote from the Pulitzer Prize-winning poet Theodore Roethke: “Over every mountain, there is a path, although it may not be seen from the valley.” As an avid hiker myself, it resonated because as you look up toward the climb ahead, you may not see the route, but you know it’s there — not unlike the situation we face in community banking today. We see a steep climb amid so many headwinds, including volatile interest rate and supervisory environments, emerging regulatory reforms, constant pressure on margins and more. Yet with every step on the journey, we just get stronger. As we look back on 2023, we felt the impact of numerous challenges — failures of large, risky banks, fluctuating interest rates, increased competition and more — and we not only survived but thrived. We championed new solutions like FedNow. We successfully advocated for the vast majority of community banks to be exempted from the FDIC’s proposed special assessment. We expanded our innovation programs, creating a center for community bank innovation. These previous experiences have positioned our strength, and today, as we climb toward that next peak, we’re honing new skills. Each step is an investment in the future to further fuel the community banking model. Rebeca Romero Rainey, president and CEO of ICBA, is one of the nation’s foremost advocates of the community banking industry, with a focus on regulatory reform for our country’s nearly 5,000 community banks. A thirdgeneration community banker, she is the former chairman and CEO of Centinel Bank of Taos, N.M. In advocacy, education and innovation, we are working alongside you to power your potential and help you surmount the trials you face along the journey. “ Rebeca Romero Rainey President and CEO Independent Community Bankers of America Rebeca.RomeroRainey@ICBA.org 14 HOOSIERBANKER
Is your community bank secure? Meet Dina. Dina provides clients with the guidance they need to steer clear of card fraud all year long. Working together with ICBA Payments partners, she ensures client banks are receiving the level of care and support they deserve. Even when she’s waiting to pick up her kid from practice, she’s scribbling notes on how we can better protect banks from fraud. By working with ICBA Payments, your bank has Dina’s ongoing support. Learn more at icbapayments.com
T The Midwest Agricultural Banking School is an investment in your career and the future of agricultural finance. Whether you’re a seasoned banker seeking to refine your skills, a young professional building your expertise, or an agribusiness professional seeking a deeper understanding of the financial landscape, this program offers valuable knowledge and connections. The next Midwest Agricultural Banking School will be held Dec. 2-5, 2024, at Purdue University. Contact me at (765) 494-4324, BEBrewer@Purdue.edu, or Laurie Rees at (317) 387-9380, LRees@indiana.bank for more information about the 2024 Midwest Agricultural Banking School. We congratulate the graduates of the 2023 Midwest Agricultural Banking School! 51st Annual MIDWEST AGRICULTURAL BANKING SCHOOL BY BRADY BREWER, PH.D., PURDUE UNIVERSITY AG BANKING The Midwest Agricultural Banking School, a partnership between Purdue University and the Indiana Bankers Association in coordination with Illinois, Ohio, Kentucky and Michigan bankers associations, was held on the campus of Purdue University Nov. 27-29, 2023. This program equips bankers and agribusiness professionals with the practical knowledge and skills needed to navigate the ever-evolving landscape of agricultural finance. Twenty-three agricultural bankers participated in the school. Since 1973, the Midwest Agricultural Banking School has been a cornerstone for ag finance education, serving agricultural bankers from across the Midwest. This year’s program welcomed a new generation of learners eager to deepen their understanding of critical topics like emerging technologies and their impact on agricultural production and risk management, analyzing and managing farmland values and lease arrangements, and building strong relationships with agricultural clients and understanding their unique needs. The school’s curriculum, crafted by agricultural economists and experienced bankers, offers a blend of classroom instruction, real-world scenarios and networking opportunities. Faculty members, chosen for their expertise and engaging teaching styles, included Purdue University agricultural economists and extension faculty, bankers with extensive experience in agricultural lending and risk management, agricultural consultants, and specialists with insights into the latest trends and challenges. Students of the 2023 Midwest Agricultural Banking School gathered at Purdue University in November 2023. Brady grew up on a family farm in Oklahoma that raised wheat, soybeans, alfalfa and cattle. He is now director of the MS-MBA in Food and Agribusiness Management dual degree program at Purdue University. His research agenda includes the broader topics of agribusiness and profitability, agricultural finance and production/supply chain issues at the farm level. Brady Brewer, Ph.D. Associate Professor, Agricultural Economics Purdue University BEBrewer@Purdue.edu 16 HOOSIERBANKER
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TThe IBA Future Leadership Division is excited for 2024 and the new opportunities it will bring. There are many events to put on your calendar this year, including the FLD Networking Reception at Mega on May 7, FLD Leadership Conference on Aug. 1-2 and an FLD Topgolf Networking Lunch on Nov. 13. We’ll also host our regular FLD Networking Lunches and Coffee Club meetings this summer and fall, so be sure to sign up for FLD membership to stay updated throughout the year. FLD membership is a free benefit for all employees of any IBA member bank. Hundreds of FLD members are making the Indiana banking industry thrive, and the FLD is a great place to connect with others like you who are interested in a long-term career in banking, many of whom are featured in the IBA’s Hoosiers IN Banking social media campaign. If you have news to share, we’re always happy to share that as well. FLD Advisory Board Names Two New Members The IBA Future Leadership Division welcomes two new members to its Advisory Board this year. The Board advises the IBA Board of Directors and staff on matters related to events, offerings and strategies for reaching next-generation bankers and bank leaders, acting as ambassadors for the banking industry. Jordan Briggeman is an assistant vice president and business banker for Springs Valley Bank & Trust Company, Jasper, in the Washington area. He joined the bank in 2021. With over 10 years of experience as a commercial real estate agent and small business owner, Briggeman made the transition into banking and lending when the opportunity presented itself. He currently serves on the Daviess County Economic Development Corporation’s Board of Directors and sits on the board and finance committee of Our Community Foundation. He is an active member of the Washington Rotary Club as well as the varsity coach for Barr Reeve High School’s archery team. He also faithfully serves his church, Antioch Bible Church, and volunteers with Junior Achievement. Jordan earned a certificate in advanced commercial lending from the ABA. He initially skipped the textbooks, instead diving into depths of another kind — nine years in an underground coal mine, leading to a Ph.D. in grit and perseverance. Brandi Dunn, a banking professional with more than eight years of experience, serves as assistant vice president of talent acquisition and engagement at The Farmers Bank, Frankfort. She volunteers with IBA’s Banking on Women and Diversity, Equity and Inclusion (DEI) committees. Beyond her professional commitments, Brandi is a vital part of the Clinton Central Education Foundation and the Clinton County 4-H Council. Residing in rural Indiana, she navigates the demands of raising four active daughters with grace and determination. FLD 2 LDP Scholarship Winner Announced Collin Affolder, business banker with First Bank of Berne, has been awarded the 2023 Indiana Bankers Association FLD 2 LDP Scholarship. The scholarship provides $1,500 toward registration fees for the IBA Leadership Development Program. The FLD 2 LDP scholarship was created to provide an additional benefit to Future Leadership Division members in order to develop and inspire new leaders in the banking industry through LDP participation. Collin specializes in commercial lending, deposit growth and Treasury FLD FOCUS Make the Most of Your Year WITH THE FLD BY JOSH MYERS, INDIANA BANKERS ASSOCIATION 18 HOOSIERBANKER
First Busey Corporation, holding company of Busey Bank, Champaign, Illinois, is acquiring Merchants and Manufacturers Bank Corporation, the holding company for Merchants & Manufacturers Bank, Joliet, Illinois, in a merger transaction announced on Nov. 27, 2023. The transaction is anticipated to close in the second quarter of 2024. Should it gain regulatory approval, the combined pro forma franchise will have more than 60 full-service locations, including 18 in suburban Chicago markets and one in Indianapolis, with combined assets of $12.7 billion, $8.3 billion in gross loans, $10.7 billion in deposits and more than $11.5 billion in wealth assets under care. Mid-Southern Bancorp Inc., holding company of Mid-Southern Savings Bank, FSB, Salem, announced on Jan. 25 that it would be acquired by Beacon Credit Union, Wabash. Before purchasing the community bank, Beacon was already one of the state’s largest credit unions with 19 branches and five loan production offices, holding $1.5 billion in assets, nearly $1 billion in loans and more than $1.2 billion in member shares and deposits. The credit union will assume all the bank’s assets and its liabilities, except for leaving the bank $10 million of its own assets and paying an additional $45 million as a purchase price. The bank’s holding company will then dissolve and distribute its remaining assets to its shareholders, estimated at the time of the announcement to be between $15-17 per share. The transaction is expected to close in the fourth quarter of 2024, pending regulatory approvals. management services. He joined the company in 2018 and played an integral role in the establishment of its business team. He uses his expertise in public funds and CRE/C&I lending to add value to the bank’s most complex business clients. Collin holds a master’s degree from Purdue University and graduated from Bethel College. He is active in his community, serving on the boards of Junior Achievement (South Adams) and Building Futures of Adams County. Josh Myers Vice President – Member Engagement Indiana Bankers Association JMyers@indiana.bank Josh Myers is responsible for leading the Future Leadership Division, overseeing IBA grassroots advocacy and coordinating member engagement strategies. He first joined the IBA staff in 2009 after serving as an intern with the Indiana Senate Republican Caucus, legislative intern for Bose Public Affairs Group and field manager with the House Republican Campaign Committee. OLD NATIONAL BANCORP MERGERS & ACQUISITIONS Old National Bancorp, holding company of Old National Bank, Evansville, entered into a definitive merger agreement to acquire CapStar Financial Holdings Inc., holding company of CapStar Bank, Nashville, Tennessee, in October 2023. The transaction is anticipated to close in the second quarter of 2024. Should it gain regulatory approval and close as expected, the acquisition will add 22 banking centers to Old National’s portfolio in Tennessee and one in Asheville, North Carolina, representing $3.3 billion in total assets, $2.3 billion in total loans and $2.8 billion in deposits as of Sept. 30, 2023. MARCH/APRIL 2024 19
Bankers on THE MOVE CENTIER BANK / MERRILLVILLE Skyler Balmer has been promoted to business resiliency officer within the bank’s enterprise risk management division. He joined the bank’s internal audit team in 2019 before moving to enterprise risk management in 2020. Before his time with the bank, Balmer was an auditor with the Indiana State Board of Accounts, auditing local political entities in the state. He earned a bachelor’s degree from Purdue University Northwest, is a certified public accountant (CPA) in Indiana and is also a certified business continuity professional. Janet Gary has been promoted to officer of the bank. She worked for the bank for two years in the mid-2000s then came back in 2011 after a time working in education. Gary volunteers with Phil’s Friends, a nonprofit organization that supports cancer patients and their families. She earned her bachelor’s degree from the University of Illinois. Diana Gromley has joined the bank as branch manager with more than 30 years of experience in the banking industry. Outside of the bank, she volunteers with Bauer Family Services, United Way, Junior Achievement and the YWCA of Greater Lafayette. Gromley graduated from Leadership Lafayette. COMMUNITY FIRST BANK OF INDIANA / KOKOMO Bob Hickman has been promoted to executive vice president, chief banking and credit officer. He was one of the bank’s founding members in 2003 and joined its board of directors in 2022. DEPARTMENT Carlonda Davis has been promoted to vice president, chief administrative officer/DE&I. She completed the Graduate School of Banking at Colorado. Janelle Campbell has been promoted to senior vice president, director of consumer banking. She is on track to complete the Graduate School of Banking at Colorado this year. Jonathon Malin has been promoted to senior vice president, director of commercial banking. He completed the Graduate School of Banking at Colorado. Nate Hasto has been promoted to vice president, financial advisor. He has seven years of financial services experience since graduating from the State University of New York – Brockport. Ryan Pettit has been promoted to vice president, branch manager. He has 20 years of experience since graduating from Purdue University. Pettit is passionate about educating members of the community about financial literacy topics and is a board member of the United Way of Howard County. Lainey Schroer has been promoted to vice president, director of marketing. She has 10 years of marketing experience, including four in banking. Schroer serves on the Greater Kokomo Downtown Association Council. She graduated from the Indiana University Kelley School of Business, is a 2021 graduate of Leadership Kokomo and completed the American Bankers Association Bank Marketing School. 20 HOOSIERBANKER
CJ Clingler has been promoted to assistant vice president, compliance officer. Previously, she held the position of bank officer, compliance officer. She has six years of experience in the financial services industry after graduating from Ball State University. Clingler is a dedicated CASA volunteer and a graduate of the 41st cohort of Leadership Kokomo. Stacy Chemelewski has joined the bank as assistant vice president, branch manager. She brings 20 years of banking experience to the team with an extensive background in commercial lending and retail banking. Chemelewski graduated from Ball State University and has earned the Risk Management Association’s credit risk certification and Moody’s Analytics (formerly Omega Performance) certification. Tammy Burton has been promoted to assistant vice president, assistant branch manager. She has been with the bank since 2013, most recently serving as bank officer, assistant branch manager. Sarah Pitzer has been promoted to assistant vice president, training coordinator. She has 14 years of banking experience. Pitzer serves as treasurer for the Boy Scouts of America Troops 528 and 628, and volunteers with the Distinguished Young Women Scholarship Program, the United State of Women, the Greater Kokomo Chamber of Commerce Women’s Business Council and Kokomo CEO. She holds degrees from Indiana University – Kokomo and Indiana Wesleyan University. Kiersten Clifford has been promoted to bank officer, branch manager. She has seven years of banking experience since graduating from Western Governors University. Allison Hopkins has been promoted to bank officer, marketing/media production specialist. She has five years of banking experience since graduating from Indiana University – Kokomo. Hopkins recently ended a three-year term on the Greater Kokomo Downtown Association Council. Avery Ray has been promoted to bank officer, training specialist. She has three years of banking experience since completing her associate degree at Ivy Tech Community College. Megan Karnafel has been promoted to bank officer, assistant branch manager. She has four years of banking experience. Jake Salway has been promoted to bank officer, assistant branch manager. He has 10 years of leadership and management experience, including three in banking. Sharice Williams has been promoted to bank officer, assistant branch manager. She has 12 years of banking experience. Matt Sparks has joined the bank as a credit officer. A graduate of Asbury University, he brings over 20 years of banking experience with a uniquely diverse skill set within personal and business banking. Brittany Davis has been promoted to branch manager. She has been with the bank since 2021 and brings over 10 years of customer service experience. MARCH/APRIL 2024 21
Whitney Wright has been promoted to branch manager after four years as assistant branch manager. She has twice been voted as “Kokomo’s Best Bank Teller” in the Kokomo Tribune’s Readers’ Choice Awards. Tyler Radcliff, facilities manager, has been promoted to an expanded role also serving as security officer. He has been a part of the bank’s team since 2019. Radcliff served the global community as a board member for One 17 International for eight years and now also volunteers locally at Northview Church and Acacia Academy. Alyssa Horton has been promoted to electronic services supervisor. Previously, she held the position of digital banking specialist. Horton has seven years of experience in the financial services industry since graduating from Indiana Wesleyan University. CROSSROADS BANK / WABASH Kolby Rosemeyer has joined the bank as vice president, commercial/agricultural lender with 15 years of financial institution experience. He earned his bachelor’s degree from Indiana Wesleyan University. FIRST FINANCIAL BANK, NA / TERRE HAUTE Bob Renock has joined the bank as chief marketing officer. He worked at advertising agencies, including founding his own, for nearly 10 years before shifting to in-house marketing teams at several banks. Renock volunteers his time in local schools, engaging students interested in advertising, design and marketing. Darin Hadley has joined the bank as vice president, agricultural commercial lending officer with 20 years of industry experience. He serves as vice president of Allen County Farm Bureau and operates a farm of his own. In 2020, he became the youngest farmer to be awarded the River Friendly Farmer Award by the Indiana Association of Soil & Water Conservation Districts. Hadley earned a bachelor’s degree from Purdue University and holds the Indiana Property and Casualty License. HENDRICKS COUNTY BANK & TRUST COMPANY / BROWNSBURG Seth Cromer has joined the bank to lead its new wealth management services division. He has more than 10 years of experience as a licensed financial advisor, including work with commercial and agricultural businesses and nonprofit organizations. The new division overall can also help with individual retirement accounts, college savings plans, trust accounts and more. JCBANK / SEYMOUR Peymon S. Torabi has joined the bank as chief financial officer with 20 years of banking experience. He earned his bachelor’s and master’s degrees from Purdue University Northwest and has completed the American Bankers Association Stonier Graduate School of Banking. LAKE CITY BANK / WARSAW Chad P. Douglass has joined the bank as vice president, commercial banking officer with 33 years of financial services experience. He earned his bachelor’s degree from Western Michigan University and his master’s degree from Indiana University-South Bend, and he holds the chartered financial analyst (CFA) and certified public accountant (CPA) designations. Katrina L. Beverly has been promoted to assistant vice president, electronic banking manager. She has been with the bank for nine years. Beverly is a member of the IBA Future Leadership Division and volunteers with Junior Achievement and the bank’s Reality Store. She earned a certificate in applied organizational leadership studies from Ivy Tech Community College. Lindsay A. Ignasiak has been promoted to assistant vice president, ACH electronic banking officer. She has been with the bank for six years. Ignasiak volunteers with Habitat for Humanity and the bank’s Reality Store. She earned an associate degree from Ivy Tech Community College. BANKERS ON THE MOVE CONT. 22 HOOSIERBANKER
Imelda Herrera has been promoted to retail banking officer. She has been with the bank for eight years. Herrera volunteers with Junior Achievement and Goshen Community Schools’ Spring Into Reading program. MERCHANTS BANK OF INDIANA / CARMEL Derek Elston has joined the bank as Treasury management sales officer. He earned his bachelor’s and master’s degrees from Indiana University. Elston also played basketball at IU. After a time playing professionally in Europe, he returned to his alma mater as director of player development, building and maintaining donor relationships, supporting community outreach efforts and mentoring the next generation of players. MUTUAL SAVINGS BANK / FRANKLIN Paul Arab has joined the bank as chief financial officer. He has 15 years of banking experience. Arab has received two international awards — the Elijah Watt Sells Award for Accounting and the Williams S. Smith Gold Award for Internal Audit — in recognition of his achievements. He earned his bachelor’s degree from East Tennessee State University, holds the certified public accountant (CPA) designation along with five other certifications, and has completed the American Institute of CPAs’ Annual Leadership Academy. OLD NATIONAL BANK / EVANSVILLE Heather Thompson has been promoted to serve as president of the bank’s Lafayette market while also continuing in her role as a business banking relationship manager. She has been with the bank for 20 years. Thompson is a member of the Market Executive Committee and volunteers with several area nonprofits, including Junior Achievement and Read to Succeed. She earned her bachelor’s degree from Indiana University. Melanie Farr has joined the bank as trust counsel and trust officer after a 25-year career in the private practice of law, including estate and trust administration, estate Maximize Your Portfolio’s Potential Gain direct access to Bankers’ Bank’s investment team, ensuring exceptional service and expertise tailored to your bank’s investment needs. Optimization Address your liquidity needs with advance notice of safekeeping payments and final funds each morning. Connectivity Utilize online and personal messaging for convenient access to account activity. Unlock Portfolio Liquidity Expedite pledging for portfolio liquidity, advances, public deposits and borrowing Federal Funds. Visit BankersBank.com to learn how we can solve your safekeeping needs. Phone: 800.955.4468 CONTACT US SafeKeeping@BankersBank.com Website: BankersBank.com MARCH/APRIL 2024 23
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