Pub. 9 2014-2015 Issue 1

www.nebankers.org 4 Extraordinary Service for Extraordinary Members. 16 28 MAY/JUNE 2014 EDITORIAL: The Nebraska Banker seeks to reflect news and information relevant to Nebraska and other news and information of direct interest to members of the Nebraska Bankers Association. Statement of fact and opinion are made on the responsibility of the authors alone and do not represent the opinion or endorsement of the Nebraska Bankers Association. Articles may be reproduced with written permission only. ADVERTISEMENTS: The publication of advertisements does not necessarily represent endorsement of those products or services by the Nebraska Bankers Association. The editor reserves the right to refuse any advertisement. SUBSCRIPTION: Subscription to themagazine, which began bi-monthly publication inMay 2006, is included in membership fees to the Nebraska Bankers Association. 8 COVER PHOTO: The officers of the Nebraska Bankers Association celebrate a successful year during the 2014 NBA Annual Convention, held May 7-9, 2014. Pictured from left to right are: Richard Baier, NBA successor president and CEO; Mike Pate, NBA chairman-elect, United Republic Bank, Omaha; Craig Brewster, NBA chairman, Butte State Bank, Butte; John Stinner, NBA past chairman, Valley Bank & Trust Co., Gering; and George Beattie, NBA president and CEO. Read more about the convention in the May 14, 2014, Update at www.nebankers.org/index.php/publications/nba-update.html 7 President’s Message – Commit to the Political Process Find out what you can do to help ensure a strong industry and an even better Nebraska for the next generation. By Richard Baier, Successor President & CEO, Nebraska Bankers Association 8 Washington Update – Turning Up the Heat on the Credit Union Tax Exemption Our advocacy is forcing credit unions to play defense and to answer tough questions. By Frank Keating, President & CEO, American Bankers Association 10 Counselor’s Corner – Bitcoins & Banking: Bona Fide or Balderdash? Learn more about Bitcoin and its potential impact on banks in the medium-term future. By Bryan Handlos, Kutak Rock LLP 13 Your Bond Portfolio Does Not Live Alone Make sure your bank’s investment decisions and security selections are not carried out as if in a vacuum. By Lester Murray, The Baker Group 14 NBA Education Calendar 16 Security Officer’s By-Word – Night Depository Safe Dual Control Good procedures may prevent your employees from being exposed to unwarranted suspicion. By Charles M. Towle, President, Kansas Bankers Surety Co. 18 Tech Talk – Plans for Vendor Continuity & Contingency Are you prepared if one of your bank’s critical vendor relationships had to come to an end? By Leticia Saiid, Security+, CoNetrix 20 “Happy Together” – An Emerging Trend in Community Bank M&A? Read several examples based on actual deals. By Dwight Larsen,Vice President of BankValue™ Advisory Services, United Bankers’ Bank 22 Leading a Multigenerational Workforce If your bank wants to improve productivity, you must learn how to manage all four generations in today’s workplace. 26 Bert Ely’s Farm Credit Watch – USDA Promotes FCS Venture-Capital Investing Discover what may cause the next Farm Credit System crisis and how the FCS has insulated itself from congressional scrutiny in the matter. By Bert Ely, Alexandria, Va. 28 Time for Regulatory Transparency Learn about a tool that will lead to greater balance and accountability within the bank regulatory system.