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Vol. 9 No. 35

Des Moines, Iowa

Farm Credit A ct Amendments Passed
UST before it finally adjourned,
the “ lame duck” Congress
finally passed the Farm Credit A ct
Amendments bill (H.R. 7548) at
5:00 p.m. December 13. After some
political maneuvering to adopt a
funding measure to keep federal
agencies operating until the new
Congress convenes, legislators
adjourned December 15.
The Senate adopted only minor
amendments to the House passed
bill that had been supported by the
Independent Bankers Association
of America and strongly opposed by
the American Bankers Association.
ABA maintained that the bill would
establish a government commercial
type bank exempt from all controls
to which chartered banks are
subject, and would make deep
inroads into farm lending now done
by private banks. IB A A disagreed
with this assessment, and looked to
the provision for ag banks to
discount loan paper at the discount
window of the Federal Intermediate
Credit Bank. A B A termed this
provision “ Bait” for support of the
A B A President Lee E. Gunder­
son, president of the Bank of
Osceola (Wis.), said, after passage
of the bill: “ The outcome might
have been different had it not been
for the confused message sent to
C ongress, exem plified by the
I B A A ’ s support o f a single


provision that would benefit less
than 20% of the nation’s total
14,500 commercial banks.”
Mr. Gunderson stated further,
“ An army of A B A commercial and
ag bankers can be proud of their
efforts to identify the dangers that
this bill poses for all regulated
lenders. Working up to the final
hour, they were almost able to have
the legislation deferred.”
On the same day the A B A
statement was released. IB A A sent
a letter to its 7,400 member banks,
signed by President Thomas F.



Bolger, president, McHenry State
Bank, McHenry, 111., explaining the
IB A A ’s position on the bill. That
letter stated.
“ It’s fair to say this legislation
would never have passed the lame
duck session if it did not have the
full support not only of the incoming
administration but also of every
major farm group. Many of the
provisions to expand the Farm

December 22,1980
Credit System had won broad and
early Congressional support, put­
ting them out of the reach of further
“ As it is now well known, the
A B A asked IB A A to join with them
in negotiating outstanding differen­
ces on this legislation with the FCS
June 2 and 3, and members of the
Senate Agricultural Committee and
others were anxious to see these
differences resolved. The negotia­
tions, which were conducted in the
A B A board room, were apparently
successful and led to the introduc­
tion of H.R. 7548. Then, responding
to the protests of some money center
banks upset with the negotiated
product, A B A policy bodies backed
away from the agreement. After
careful evaluation, IB A A sustained
the position of its negotiators.
“ We recognize our effect on the
W ashington scene, but w e’ re
amazed by the suggestion that
IBAA is responsible for passage of
this legislation and by unsupported
allegations that it will create a new
financial octopus. We believe this
legislation will complement the
efforts of banks financing agricul­
ture, thousands of which make up
our IB A A constituency. The bill as
passed carries the clear Congres­
sional direction to the Farm Credit
System to give assured access to the
Federal Intermediate Credit Bank
discount window to thousands of
small and medium sized banks
serving American agriculture.
“ The A B A position essentially

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Call 1-800-362-1688, toll-free in Iowa

Don Caxmody

Banking Department

Des Moines, Iowa 50304
Member FDIC,
Federal Reserve

looked toward maintaining the
status quo, while promoting the
illusion that equal access for all
banks indeed was possible and
desirable. And, to prove that point,
not even the House sponsor of the
ABA-supported access amendment
agreed with this assessment.
“ The battle of the Farm Credit
Amendments has not been without
political cost, both in terms of
banking’s relationships with the
farm lobby and the respective
agricultural committees of the
Congress. We bankers have many
important battles ahead, and these
battles would be even more difficult
if an alienated farm community and
their elected representatives worked
against us.
“ It is clear that the door to the
Farm Credit Administration and to
the ag committees will be open to
the IB A A as regulations on the law
and FICB access policy are written.
Links that have been forged with
Jarm groups (by IBAA) will be
useful to us when the all important
inter-state structure issue is joined
in the near future in Washington.’ ’
As interpreted by IB A A legisla­
tive counsel, the bill lists four
criteria which banks must meet to
be eligible to use the discount
Signed commitment to agri­
culture, amounting to probably at
least 15 % of the loan portfolio being
devoted to agriculture. This would
include instalment and commercial
on the call report going to farm
Digitized forloans
people and agriculture.
Federal Reserve Bank of St. Louis

2. A bank must demonstrate a
continuing need for funds. The main
criterion here would be a peak
loan/deposit ratio of at least 60 %.
3. A bank must not utilize the
window to expand its assets for an
artificial growth situation.
4. A bank must demonstrate it
does not have access to regional or
national capital m arkets. For
administrative purposes, IB A A
says it hopes FCA will pick some
size that would autom atically
include all smaller banks, perhaps
those under $100 million or $500
million. The law allows for a case by
case review, with built-in appeal

Iowa News
E A G L E G R O V E : Ronald C.
Milbach has been named vice
president and senior ag loan officer
at the Brenton State Bank. For the
past year and a half he has been a
loan officer for the Northeast Iowa
Production Credit Association of
Elkader. He graduated from Upper
Iowa University in Fayette.
ELDORA: Donald Poppen, presi­
dent of Hawkeye Bank and Trust,
has been elected president of the
Eldora Chamber of Commerce for
JEFFERSON: Mary Rhodes has
joined the staff of the Home State
Bank, according to Gerald Clause,
president. Ms. Rhodes graduated
from the University of Iowa in
accounting and marketing, and will
be cashier at Home State.
LYTTON: Dwight Conover, vice
president for Fidelity Brenton Bank
and Trust Co. of Marshalltown, has
been named chief executive officer of
the Lytton Savings Bank. Mr.
Conover is a graduate of Iowa State
U niversity w ith a degree in
agricultural business. He received a
masters in business from Drake
SIOUX CITY: John Dunleavy has
been appointed manager of Toy
National Bank’s trust division. Mr.
Dunleavy, an attorney, has been in
charge of the probate section of the
department since 1978.
SIOUX CITY: Registration forms
will be sent out for the Gr. I meeting
in mid-January. The meeting will be
at the Hilton Marina, South Sioux
City, February 13-14.
W AVERLY: The board of the State
Bank of Waverly has appointed
Fred W. Hagemann president and

IW IIr «




r r

& • • •

Robert Scott,


Correspondent (tanker



chief executive officer. Mr. Hage­
mann, formerly executive vice
president, has been with the State
Bank since 1972. Prior to this, he
spent four years at the Federal
Reserve Bank of Chicago.

South Dakota
ESTELLINE: The Farmers State
Bank has announced plans for the
observance of its 60th anniversary.
The event will feature an open house
of the banking facilities and a pork
and beef supper. The bank was
chartered in 1920 as the Farmers
National Bank of South Shore.


Minnesota News
DODGE CENTER: Northwestern
State Bank has announced two
recent promotions to the staff.
Barbara Cook has been promoted to
marketing and personal banking
officer, and James Watzek has been
promoted to instalment loan officer
and farm plan manager. Ms. Cook
joined the staff in 1978 and Mr.
Watzek joined in 1979.
ST. PAUL: The board of directors
of First Bank Saint Paul has elected



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913 Locust
Des Moines, Iowa 50309


Carleton D. Beh Co.
Investment Bankers/Financial Consultants
1300 Des Moines Building
Des Moines, Iowa 50309

Des Moines
Federal Reserve Bank of St. Louis

Supplement to Northwestern Banker Newsletter 12-22-80
Federal Reserve Bank of St. Louis


where comm on transactions are handled uncommonly well.

ir V







* *

13th & M Street • Lincoln, Nebraska 68501 • Member, F.D.I.C.

Gerald P. Nichols a senior vice
president and member of the bank’s
management committee. He will
also be responsible for the bank’s
operations group. Announcement
was made by Charles E. Amer,
chairman of the board. Mr. Nichols
has a degree in accounting from the
College of St. Thomas. He joined
the bank in 1958, was elected vice
president in 1968.
STILLW ATER: Charles R. Berg
has been elected controller by the
board of directors of Northwestern
State Bank, according to James C.
Graham, president. He started his
banking career with Northwestern
of Stillwater in 1955. Lorraine C.
Weber has been promoted to
manager of the Stillwater downtown
facility. Mrs. Weber started her
career with Northwestern of Still­
water in 1952.

North Dakota News
The NDBA Legislative Commit­
tee will meet on Thursday, January
8, at 10:30 a.m. in the Cologne
Room of the Kirkwood Motor Inn,
Bismarck, to study pending bank
legislation and recommend postures
for Executive Council considera­
tion. The Executive Council will
then meet to make decisions on
these proposals and other business
on Friday, January 9, at 10 a.m. in
the same location.
During last month’ s N DBA
Agricultural Conference in Minot, it
was announced that farmers who
had suffered drought disasters
starting on or before July 2, 1980,
could apply for loan assistance from
the Small Business Administration
and that the deadline for such
applications was January 5, 1981.
Farmers with drought-related dis­
asters beginning after July 2 are to
apply for loan assistance through
the Farmers Home Administration
and their deadline is May 23, 1981.

Allyn A.


Banking,Financial & Business Personnel
Iowa and Nationwide


714 Central National Bldg. 515-283-2545

Des Moines, Iowa 50309
Federal Reserve Bank of St. Louis

cashier and insurance agent at the
Strasburg State Bank, has been
named president and chief executive
of that firm. Ownership of the bank
changed hands, being transferred
from one holding company to
another. The bank’s board of
directors now consists of Lester Van
Beek of Hague, R.D. Gaukler of
L inton, D onald Chewakin o f
Pollock, John M. Shonsey of
Winner, president, and Allyn Wald.

Wyoming News
Dwight Bonham, state examiner,
announced that the resources of
Wyoming banks as of Sept. 30
reached a total of $3.2 billion, an
increase of $366 million and another
all-time high volume.
MILLS: The State Bank of Mills
broke ground recently to begin a
$1.5 million construction project.
Currently located in a remodeled
house on Wyoming Blvd., the bank
will continue operations while
undergoing construction until the
planned completion date of August

OM AHA: The U.S. National Bank
has promoted three people to second
vice president and three to new
officer positions. Sylvia B. Myers is
a second vice president and
assistant manager of the bank’s
Regency office. Jim Per singer,
manager of the security depart­
ment, and John Rourke, manager of
accounting, also are second vice
presidents. New officers are Donna
J. Eltiste, loan accounting officer;
Curtis L. Koehlmoos, operations
officer, and R uby P. T iller,
investment officer.
OMAHA: AnnaT. Olsson, 96, who
retired as assistant cashier of the
Omaha National Bank in 1955, died
recently. In 1913 she joined the
Packers National Bank. She moved
to the Live Stock National Bank in
1918 and became its first woman
officer, a position she continued to
hold after the bank merged with the
Omaha National Bank.

Nebraska News
The Nebraska Bankers Associa­
tion annual convention is scheduled
for Thursday, Friday and Saturday,
May 7, 8 and 9 in Lincoln. All
sessions will be held at Pershing
Memorial Auditorium, where con­
vention displays again will have
special space. A golf tourney will
start at 1:00 p.m. Thursday. The
executive council and NETS board
will meet Friday morning, followed
by a general business session that
afternoon and a banquet and
entertainment Friday evening. The
second business session will be held
Saturday. The annual banquet
Saturday evening will feature the
Tex Beneke Orchestra for entertain­
ment and dancing, complemented
with another musical group that will
play during intermissions. The
NBA will send convention and
motel information to all member
banks at a later date.
DAVID CITY: Terry Novak, vice
president and cashier of the David
City Bank, has been elected 1981
president o f the D avid City
Chamber of Commerce.

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1- 800 - 332-5991

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□ I would like to sell my
majority bank stock.
□ I would like to buy ma­
jority bank stock.


LENDING— Rural Iow a bank seeking in d ivid u a l w ith
heavy experience in A g ric u ltu ra l loans. Needs
som eone th a t does not need tra in in g . $26,000.

Automated Systems of Iowa, Inc.
301 N. Ankeny Blvd., Suite 220
Ankeny, la 50021

Please C ontact: J. Mason Henry



Insurance for
Financial Institutions

ASST VP— 5 years experience in com m ercial lending
w ith large bank. Keen business ju d g m e n t is th e key.

Charles E. Walters Co., Inc.


P.O. Box 1313, Omaha, N ebraska68101
Phone: (402)553-6400



LENDER— A t least 2 years o f experience in handling
in s ta llm e n t loans, stu d e nt loans,
d ire ct & in d ire c t loans. $17,000.



VICE PRESIDENT-M arketing. Experience required.
A d d itio n a l du tie s inclu d e com m ercial and farm loans.
E xcellent pote ntia l in $50 m illio n bank. Good salary
and loca tio n . W rite file LBP, c /o N orthw estern

AG LOAN OFFICER— 3-5 years ag loan experience.

■ ■

LeaseP lan.Inc.

545 - 31st Street

Des Moines, Iowa 50312


Rates 50 cents per word per insertion.
Ad $2 for file numbers. Identity of file
number advertisers cannot be revealed.
Payment in advance, please.
306-15th St.
Des Moines, Iowa 50309

NCR 775 sin g le pocket proo f m achines. E xcellent
co n d itio n guaranteed back under NCR m aintenance.
$4,500.00each. Call (512) 250-0794_____________ (FS)
Burroughs T-8889 check prote cto rs w ith signer, dater
and accum ulator. R econditioned by Burroughs. C ost
$1,895.00 each new. W ill sell fo r $965.00 each. Call
DeLaine Data C orporation at (512) 653-1454._____ (FS)
□ My m a jo rity bank stock is fo r sale.
□ I w ant to purchase m a jo rity stock in a bank.

D egree p re fe rre d . S a la ry c o m m e n s u ra te w ith
experience. Excellent ben e fits, bonus program .
Phone B illin g s , M ontana, (406) 248-1860._______ (PA)
Opening fo r cashier. M ust have experience in
a ccou n tin g, regu la tion s, and o perations. Som e loan
experience h elp fu l. Salary open. W rite Farm ers &
Merchants B a n k & T ru s t, B u rlin g to n , Io w a 52601. (PA)
TRUST ADMINISTRATOR fo r g row ing $45 m illio n
central Iowa tru s t departm ent. W ill report to
departm ent head. Excel lent career o p p o rtu n ity . Salary
com m ensurate w ith e ducation and experience. Send
resum e to: F ile LBR c /o N orthw estern Banker.
LOAN OFFICER w ith consum er and ag lending
experience w anted fo r p o s itio n leading to m anager o f
co m m u n ity bank o ffic e in prim e Iowa farm area.
Excellent o p p o rtu n ity fo r grow th oriented person.
Salary com m ensurate w ith banking experience and
e d u c a tio n . S end re s u m e to : F ile LB S c / o
N orthw estern Banker_________________________ (PA)

AG LOAN OFFICER— Experienced college graduate
preferred. E xcellent benefits. Send resum e and salary
requirem ent to file L B T , c /o N orthw estern Banker(PA)
LOAN OFFICER - N orthw estern Illin o is $40 m illio n
co m m u n ity bank needs an o ff icer w ith a m in im u m o f 5
ye a rs g e n e ra l b a n k in g e x p e rie n c e . E x c e lle n t
o p p o rtu n ity in a good rural c o m m u n ity . Call A ndy
Rogers, F irs t National Bank o f Galena (815) 777-0344.

________________________________________________ (PA)


205 South Eaton St.
Lakewood, C olorado 80226
Phone: (303) 232-1189

. . . $23,000-$26,000

Operations Officer fo r $20 m illio n bank in C olorado ski
area ....................................................................... $25,000
W rite o r call M alcolm Freeland, Freeland Financial
Service, Inc., 3 0 6 -1 5 th S treet, Des M oines, la. 50309
Phone (515) 244-8163, E m ployer pays fee.___________

............... $20-26,000

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3920 Delaware
Des Moines, IA 50316

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For up-to-the-minute,
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LEND IN G — Rural bank seeks ind ivid u a l w ith 2 years
o f ag lending experience.
Bank D ivision


of iowa, inc

317 6th Ave.
Des M oines, IA 50309
(515) 244-4414

CEOs w ith ag lending backgrounds


Second Man w ith stro n g ag lending exp.

. . . $26,000

Operations o ffic e r w ith e xcellent experience desires
jo b in lo w a /N e b ra s k a a re a

.............................. $26,000

ISU Grad w ith property & casualty license seeks bank
p o sitio n in o r near larger co m m un ity.
W rite o r call M alcolm Freeland, Freeland Financial
Service, Inc. 306 - 15th Street, Des M oines, la 50309.
Phone (515) 244-8163. E m ployer pays fee.



MARKETING OFFICER— Managem ent p o s itio n w ith
progressive 75MM bank. R es p o n s ib ility fo r dep o sit
services and retail banking. Bank experience re­
quired .................................................................. $25,000
SECOND OFFICER— Good o p p o rtu n ity fo r lender

form al cre dit ana lysis experience. Several openings in
m ajor m etro areas o f M idw estern states. $18-20,000

n v r uO w lv/iinL r
nnivi ivirM'ir^ .. .Illin
. iiimuio.
o is . .. ..

20- 22,000

tru s t dept. M ust be proven a d m in is tra to r w ith good
m arketing sk ills . Prefer law degree ............... $35,000


.............................. $20-$28,000
................................................ $

VICE-PRES— Iowa bank seeking #2 person w ith heavy
experience in o perations and lending. P o sition open
due to p rom o tio n . $35,000.

w ith com m ercial and in s ta llm e n t loan experience.
Bank is 35MM and located in W estern state.


Please contact E llis Jones, Broker

TRUST OFFICER— Some experience in tru s t dept, or
legal firm . W ill eventually take on fu ll re s p o n s ib ility of
th e tr u s t d e p t. E x c e lle n t o p p o r tu n it ie s fo r
advancem ent. $20,000

TRUST HEAD— 100MM m etro area bank w ith grow ing

Commercial Loan Officer w ith three to five years
experience fo r m a jo r Iow a bank

m astercharge,

INSTALLMENT LOAN HEAD— P o sition requires 5

CEO. . . I o w a ....................................................$30-35,000
AG LENDING REP. . . I o w a ................................$20,000

years o f consum er lending experience inclu d in g
d e a le r c o n tr a c ts . D e p a rtm e n t is 1 0M M and
g ro w in g .................................................................. $25,000

COMMERCIAL LOAN—80MM suburban bank located
Since 1968, banks and o th e r ag related em ployers
have been paying us to fin d th e personnel they need.

in large M issou ri c ity . M inim u m 3 years com m ercial
loan experience in large ban k............................ $28,000

F o r more inform a tio n , give Linda (o ur banking sp ecia l­
ist) a ca ll today.

A d d itio n a l o p p o rtu n itie s available fo r ju n io r and
se nio r o ffic e rs . Please forw ard resum e and salary

m J


(515) 394-3145


New H am pton, IA 50659

2024 S w ift/P .O . Box 12346
N orth Kansas C ity , M issou ri 64116
_______________Phone (816)-474-6874______________

Tom Steffens

John Henderson

Vice President

Vice President

Asst. Vice President Asst.Vice President Bond Officer

Bond Representative





usi Commerce Bank of

Tony Paugoulatos

Jim McLaughlin

Rusty Reese

aty ion,.„,<i«.,1,,,

Member FDIC

Dave Wittenborn

(816) 234-2000


Voi. 9 No. 35 Northwestern Banker Newsletter [USPS 873-300] is published weekly by the Northwestern Banker Company, 306
Fifteenth Street, Des Moines, Iowa 50309. Subscriptions 25 cents per copy, $8.00 per year. Second class postage paid at Des Moines,

Iowa. Address all mail subscriptions, changes of address [Form 3579], manuscripts, mail items to above address.
Federal Reserve Bank of St. Louis