Tennessee Bankers

This Week Newsletter

October 09, 2017 - Issue No. 1740

TBA Debuts Refreshed Website

TBA is excited to announce the launch of our refreshed website. Visit us at our same web address—www.TNBankers.org—but experience a new look, design and fresh content.

Our new homepage features large graphics, simplistic organization and navigation, and social media modules that keep our viewers connected. A content-first approach is complemented with new categorization tools, helping visitors find the information they need as quickly as possible. Click here to visit the website.

Senate Confirms Randy Quarles As Fed Board Member

The Senate last Thursday voted to confirm Randy Quarles as a member of the Federal Reserve board. Quarles will become the first-ever Vice Chairman for Supervision, which is a position mandated by the Dodd-Frank Act, but never filled until now. He will have significant influence over the industry’s capital and liquidity, as well as enforcement of Dodd-Frank measures. As one of seven governors of the Federal Reserve, he’ll also serve on the Federal Open Markets Committee.

Banking Groups File Suit Over CFPB Arbitration Rule

The U.S. Chamber of Commerce, ABA, the Consumer Bankers Association, the Financial Services Roundtable as well as several other national and regional trade associations on Sept. 29 filed suit in federal court to block the CFPB’s arbitration rule from taking effect. The groups challenged the rule on several grounds: The bureau itself is unconstitutional (a claim currently being appealed), the CFPB violated the Administrative Procedures Act in its rulemaking, and the bureau violated the Dodd-Frank Act by precluding use of a consumer-benefiting dispute mechanism.

“For years, our organizations have tried to work with the CFPB to promote strong consumer protection while maintaining a functional arbitration system,” the plaintiffs said in a joint statement. “Unfortunately, the CFPB chose to instead finalize a rule that will harm consumers and businesses by effectively banning arbitration and increasing speculative class action litigation.”

By ignoring the results of its own study, which showed that consumers who prevail in disputes under arbitration win 166 times the award that successful class action plaintiffs do, the bureau acted arbitrarily and capriciously in violation of the APA, the lawsuit said. More evidence has emerged to demonstrate the harm to consumers under the rule, which virtually bans mandatory arbitration agreements in contracts for financial products and service.

TDFI Bulletin: Most Senior Bank Executive Must Serve on Board

Last week, the Tennessee Department of Financial Institutions posted a bulletin clarifying current law [TCA § 45-2-401(e)] that requires banks to designate only one officer as president and the president must serve on its board of directors. This language raised some concerns as some banks have both a CEO and President, with the CEO being the officer serving on the board.

TDFI’s bulletin resolves these concerns by clarifying that the term “president” means the “senior most management official of the bank, regardless of title” and such person shall be the one to serve on the board, if certain requirements are met. Read the Bulletin.

Sonny Melton Scholarship Fund Established

The Sonny Melton Scholarship Fund was established at Apex Bank to honor the life and legacy of Sonny Melton, a Big Sandy, Tenn., native who was the first identified victim of the Las Vegas tragedy. Sonny’s mother has been a member of the Apex Bank family for more than 40 years.

Sonny Melton and wife, Dr. Heather Gulish Melton, attended the Route 91 Harvest Festival the night of October 1, 2017, when the tragic events occurred. Sonny Melton gave his life protecting his wife.

Sonny Melton graduated from Union University in 2015 with a Bachelor of Science degree in Nursing. He was a registered nurse at Henry County Medical Center in Paris, Tenn. The Sonny Melton Scholarship Fund was created to celebrate Sonny’s life by assisting graduating Big Sandy High School seniors who desire to pursue a career in nursing. To assist in endowing the fund, Apex Bank has committed to match the first $50,000 in private contributions to the fund. To honor Sonny’s life and professional work, we invite you to join us in contributing to Sonny’s fund.

Call 865.500.5454, e-mail donate@sonnymeltonfund.com or visit www.sonnymeltonfund.com to join our efforts.

President Trump Appoints Pathway Lending President to Community Development Advisory Board

President Donald Trump has appointed Clint Gwin, president of Pathway Lending, to serve as a member of the Community Development Advisory Board. The Board advises the U.S. Treasury Department's CFDI Fund on policies and activities. Gwin will serve a term of four years on the board.

Webinar Partnership Offers More Than 300 Programs Annually

The Tennessee Bankers Association has partnered exclusively with Total Training Solutions (TTS) to provide you with the industry's best webinars. TBA is no longer affiliated with CBFE Webinars or any other webinar vendor. This will enable us to offer webinars to your financial institution on topics most important to the success and compliance of your bank. Please notify your IT staff of the switch to TTS so you can accept communications from them.

Benefits include:

  • Choose from more than 300 training webinars annually, including soft skills.
  • Take part in the webinars when it's convenient for you and your staff. From watching live to purchasing a CD-ROM for your training library, learn at your own pace. Miss a webinar? No problem—buy a recorded version to watch.
  • Hear from the industry's best presenters, including Carl Pry, Jack Holzknecht, and Honey Shelton.

Click here to see upcoming webinars.

2017 TBA Compensation & Benefit Survey Results

We are proud to offer the results of our Tennessee Bankers Association and Crowe Horwath LLP 2017 Bank Compensation and Benefits Survey. This survey represents our commitment to providing you with information to help you gain a competitive advantage within your banking segment.

TBA members that participated in the survey received a complimentary copy of the results. TBA members that did not participate may purchase a copy of the results for $475. The survey will be provided in .pdf format with breakdowns by asset range and are available for certain regions and states.

Get the latest benchmarks for salary and bonuses for 263 job positions and also useful information on:

  • Projections for salary raises
  • Benefit programs
  • Incentive programs
  • Directors’ compensation
  • Employee turnover
  • Training programs
  • Top human resource concerns
  • Other human resource practices

If you would like to order the 2017 TBA Compensation and Benefits Survey results, please click here. For assistance, please call Sharon Justice-McCray at 615-244-4871 ext. 101.

Women In Banking Conference Photo Recap

TBA held its 2nd annual Women in Banking Conference on Oct. 5. The conference featured a variety of informative speakers. Pamela Atherton talked about how to communicate, empower, and lead in predominantly male industries or teams, and Rev. Becca Stevens offered ways we can increase our community impact through working together, staying for the long haul, and loving the whole world. The conference gave attendees the opportunity to network with other professional women and discuss similar challenges and solutions. Click here to see a photo recap.

TBA On the Road

  • Tennessee bankers gather in Nashville and Memphis Wednesday and Thursday, respectively, for TDFI’s Cybersecurity Exercise. The Exercise will take place in Knoxville next week.

See where TBA goes while "on the road" by following @TNBankers.