CRA


COMMUNITY REINVESTMENT ACT STATEMENT FOR FIRST STATE BANK OF PAINT ROCK

STATEMENT OF NEED AND DEFINITION

The Community Reinvestment Act (CRA) was implemented by the Federal Reserve as Regulation BB in 1978 following the congressional adoption of Title VII of the Housing and Community Development Act of 1977. Its intent is to encourage all financial institutions to assess and meet the credit needs of their local communities including low-to-moderate-income areas consistent with the institutions’ business strategies. CRA does not prohibit any activities nor does it require specific allocation of credit.

The board of directors of First State Bank of Paint Rock understands and recognizes its responsibilities regarding CRA. By remaining in this location and continuing to conduct business in a safe and sound manner, we feel that we have demonstrated our commitment to this community. In addition, the following statement to comply with Regulation BB has been adopted.

THE PURPOSE

It is the policy of this bank to comply with the letter and intent of all applicable consumer and fair lending laws. No individual will be denied the services of First State Bank of Paint Rock due to discrimination because of race, color, religion, national origin, sex, marital status, disability, or age. Employees are instructed to treat all persons fairly and not to discourage any individual from applying for credit. First State Bank of Paint Rock will accept and consider all written applications for credit and will grant such credit based on safe and sound banking principles.

GENERAL OBJECTIVES OF COMMUNITY REINVESTMENT

The general objectives of this policy is to express First State Bank of Paint Rock’s commitment to its various communities and its desire to extend credit to all its customers, including those with low to moderate income.

SPECIFIC GOALS

The specific goals of this CRA policy are to:

A. Delineate the bank’s trade territory. B. Assess the entire trade area needs and meet those needs consistent with First State Bank of Paint Rock’s strategic plan. C. Develop and market products to all areas within our trade area, including low-and moderate-income areas. D. Extend credit to all applicants who meet underwriting standards, regardless of race, creed, marital status, age, religion, and nationality. E. Develop certain products that will help meet the needs of low-to moderate-income citizens and to participate in government subsidy programs and guarantees. F. Encourage employee participation in community service through civic and charitable groups.

POLICY ELEMENTS

Community Delineation

First State Bank of Paint Rock has delineated its trade area based on its size, lending expertise, management, and competition. Consistent with past practices, First State Bank of Paint Rock designates the trade area as Concho County and Tom Green County.

Our customers are located in all towns and communities in the trade area, which include, but are not limited to Paint Rock, Eden, Millersview, Eola, Lowake, and Concho, San Angelo, Ballinger, and Winters. Our bank provides all the credit needs to a large number of minorities and low-income people in the trade area.

Program Administration

The CRA program and related elements will be reviewed annually by the board of directors. First State Bank of Paint Rock meets its community bank obligation in every way to all people of our trade area. Our bank is one of the largest contributors to most of the community organizations and worthwhile projects. A CRA file is maintained which contains evidence of all contributions and support the bank gives to the community organizations and projects. A bank management team member will be appointed CRA officer.

Credit Service Offered

The following credit services are offered within our trade area as of this date:

A. Consumer Loans

  • Auto loans
  • Debt consolidation loans
  • Personal loans
  • Recreational vehicle loans

B. Commercial Loans

  • Working capital loans
  • Lines of credit for agriculture, our main industry
  • Dealer floor plans
  • Industrial revenue bonds
  • Commercial letters of credit
  • Standby letters of credit
  • Real Estate

First State Bank of Paint Rock has traditionally been a consumer-oriented bank that has made loans to small and medium-sized business. We will continue to take applications from all areas of our trade area without discrimination as to religion, race, color, nationality, age, or marital status.

Deposit Services

First State Bank of Paint Rock has a wide array of competitively priced checking, savings, and money market accounts. The following is a list of such services:

A. Low-cost checking B. Interest-bearing checking C. Savings and time deposits D. Safe deposit boxes E. Financial advisory

CRA ACT NOTICE

The following notice has been posted in our lobby:

THE FEDERAL COMMUNITY REINVESTMENT ACT (CRA) REQUIRES THE FEDERAL DEPOSIT INSURANCE CORPORATION (FDIC) TO EVALUATE OUR PERFORMANCE IN HELPING TO MEET THE CREDIT NEEDS OF THESE COMMUNITIES AND TO TAKE THIS EVALUATION INTO ACCOUNT WHEN THE FDIC DECIDES ON CERTAIN APPLICATIONS SUBMITTED BY US. YOUR INVOLVEMENT IS ENCOURAGED.

You should know that:

You may obtain our current CRA statement for our delineated community in this office.

You may send signed, written comments about our CRA statement or our performance in helping to meet community credit needs to:

  • Dana Routh Internal Auditor/Compliance Officer/CRA Officer
    First State Bank of Paint Rock 402 Smith Blvd.
    San Angelo, TX 76905

  • And to:

  • Regional Director
    Federal Deposit Insurance Corporation
    1600 Bryan St., Suite 2000
    Dallas, Texas 75201

  • Your letter, with any response by us, may be made public.

  • You may look at a file of all signed, written comments received by us within the past two years, and responses we have made to the comments, and all CRA statements in effect during the past two years at our office.

  • You may ask to look at any comments received by the Regional Director of the Federal Deposit Insurance Corporation (FDIC).

  • You also may request from the Regional Director of The FDIC announcement of applications covered by the CRA filed with the Director.

  • You may obtain the public section of our most recent CRA Performance Evaluation, which was prepared by the FDIC from the First State Bank located at Truehart & Moss St. Paint Rock, TX 76866 or at our office located at 402 Smith Blvd., San Angelo, TX 76905.

Community Needs and Services

For a number of years, First State Bank of Paint Rock has participated in many community programs to assess and meet our community’s needs and to support redevelopment. Many of the programs are specifically designed to meet the needs of low-to moderate-income people. The following is a list of these programs:

A. Financial counseling for low-income people B. Provide tours of the bank and present programs at county schools educating young people about banking C. Senior citizens programs D. Volunteer fire organization E. All community Fall and Ethnic Festivals F. Upper Concho Life Support Unit G. United Way

Employee Responsibility

First State Bank of Paint Rock encourages all of its employees to become involved in community programs. The following lists many of the programs that our employees lead and participate in:

A. Concho County Junior Livestock Association and Stock Show B. Senior Citizens Organizations C. Young Farmer Organizations D. FmHA Loan Programs E. Civic Clubs F. Christmas in April G. Soil and Water Conservation Organizations H. Neighborhood Crime Watch I. Church Service Organizations J. United Way

Employees also receive training on the importance of giving customers equitable and fair treatment.

Outreach, Marketing, and Community Service

First State Bank of Paint Rock will continue to develop a special minority advertising program to better inform all areas of our community about our services. This program periodically includes radio, television, and newspaper advertising of credit services on local stations and in community newspapers.

Officer calling programs and market surveys will also include special questions regarding community needs in minority and small business areas.