IBA Chairman Schipper Opposes FCS Expansion on WHO Radio

Iowa Bankers Association Chairman Jim Schipper appeared on the WHO Radio “Big Show” with Mark Pearson and Ken Root on Wednesday, November 7, to discuss the Farm Credit System’s non-farm lending initiative.  Schipper said the Farm Credit System is continuing their legislative and public relations campaign to open the door to corporate and mortgage lending.  Their efforts have fallen short in both the House Farm Bill and the Senate Ag Committee mark-up advanced by Chairman Tom Harkin (D-IA).  Their latest attempt is coming in the form of an amendment sponsored by Georgia Republican Saxby Chambliss on the Senate floor.  This amendment would authorize farm credit lending to investor owned bio-refineries and increase their residential real estate authority to communities under 7,500 in population.

Schipper said “Under their federal charter, as a government sponsored enterprise, Farm Credit has access to unlimited funding at favorable rates, along with preferential tax treatment.  The benefits they enjoy are being subsidized by American taxpayers”.

Schipper defended Senator Harkin’s handling of this issue and his commitment to “farmer-owned, value added agriculture”.  Harkin has been the recipient of recent criticism in the media, thought to be orchestrated by the Farm Credit lobby.  Shipper said “Instead of financing young, beginning farmers and rural homeowners, the System wants to put their resources into companies like ADM, Waste Management, Inc. and Pacific Coast Ethanol, which is partially owned by Bill Gates of Microsoft.”  To hear a podcast of the WHO interview go to www.whoradio.com and click on podcasts.

IBA President John Sorensen was in Washington on November 6 to meet with the Iowa Senate offices.  The Farm Bill became bogged down Tuesday evening over what amendments would be germane, and as a result has been put on hold at this time.   The Bush Administration has threatened a veto of the bill due to its cost and tax provisions.

Iowa bankers should contact Senator Harkin (202-224-3254) to thank him for his assistance with this issue.  As important, bankers need to call Senator Grassley (202-224-3744) and ask him to oppose the Chambliss amendment. Or, go to www.iowabankers.com, click on the Legislative Action Center and an email may be sent to both offices.

Hewitt a Candidate for Federal Reserve Board

Clear Lake Bank & Trust President & CEO Mark Hewitt is the Iowa candidate for the Federal Reserve Board Seventh District Class A Director seat. Fed member banks in Iowa, Indiana, Michigan and Wisconsin have until November 15 to vote for a new director.

“This seat on the Chicago Federal Reserve Board has been traditionally held by an Iowa banker,” said IBA President and CEO John Sorensen. “It will be important for eligible banks to cast their vote for Mark by the 14th of November.  His diverse experience and community involvement make him more than qualified to represent the interests of Seventh District banks.”

Married with three daughters, Hewitt joined Clear Lake Bank & Trust in 1998 after working eight years for Wells Fargo and five years for U.S. Bank. He is a graduate of Drake University and the Kellogg Graduate School of Management at Northwestern University.  Hewitt is active in numerous organizations in and around Clear Lake.

Hewitt is running for the director seat being vacated by Jeff Plagge of Midwest Heritage Bank in Des Moines.