Inside this issue: Supervisory 2 Manager Changes Cybersecurity 2 Assessment Tool Transition Plans 4 for the Emergency Communications System Georgia 4 Residential Mortgage Act Fee Semi-Annual Reporting and Payment Process Action on 5 Applications for the Month News and topics of interest to financial institutions regulated by the Department of Banking and Finance June 2015 Department of Banking and Finance Adopts Final Rules On June 15, 2015, the Department of Banking and Finance ("Department") adopted Final Rules that have been filed with the Secretary of State's Office. Pursuant to O.C.G.A. 50-13-6, the Final Rules were effective on July 5, 2015. Prior to adopting the Rules, the proposed Rules along with a synopsis were distributed on May 12, 2015. The Department received two (2) written comments regarding the proposed Rules. The Department fully considered the comments it received and made the following substantive revisions: Rule 80-2-6-.01 was revised to remove the requirement that the independent accountant or firm of accountants be licensed in this state and instead to provide that the independent accountant or firm of accountants simply be licensed. Rule 80-12-4-.05 was revised to reflect that employee criminal background checks for an MALPB must be completed and found satisfactory prior to employment as required by the express terms of House Bill 184. The Department believes that the Rules as adopted encourage safety and soundness, encourage safe and fair mortgage lending, and conform to the law. To view or download the Final Rules, go to the Regulations page on the Department's website (http://dbf.georgia.gov/dbf-regulations) and select the appropriate link for the Final Rules, OR you may access them directly from: http://dbf.georgia.gov/documents/2015-dbf-final-rulemaking -6-15-2015. DBF Outreach AND UPCOMING SPEAKING ENGAGEMENTS District Director Janet Bryan will be participating on a regulatory panel at the upcoming 6th Annual Community Bankers Association of Georgia's (CBA) Georgia Bank Directors' College on August 5th in Greensboro, GA. Read more or register for the event. Commissioner Hagler will be participating on a regulatory panel at the upcoming CBA Banker Regulatory Forum on August 6th in Macon, GA. Read more or register for the event. Page 2 June 2015 Supervisory Manager Changes The Department has made some internal, strategic changes regarding distribution of workloads for Supervisory Managers with oversight of state-chartered institutions. Please welcome Susan Andrews in her new role as Supervisory Manager! Effective July 6, 2015, assignments for Supervisory Managers are as follows: Pam Keane, Director for Supervision: Central Point of Contact for Credit Unions pkeane@dbf.state.ga.us 770-986-1636 Susan Andrews, Supervisory Manager: SunTrust Bank, Synovus Bank sandrews@dbf.state.ga.us 770-986-1642 Mark Pressler, Supervisory Manager (Capital Markets Specialist): Holding Companies, Banks and Credit Unions - District 1 mpressler@dbf.state.ga.us 770-986-1643 Lori Binford, Supervisory Manager: Holding Companies, Banks and Credit Unions - District 2; United Community Bank binford@dbf.state.ga.us 770-986-1627 Murali Ramachandran, Supervisory Manager (Applications): Holding Companies, Banks and Credit Unions - District 4 murali@dbf.state.ga.us 770-986-1645 Brittany Bohannon, Supervisory Manager (Trust Specialist): Holding Companies, Banks and Credit Unions - District 5; Reliance Trust Company bohannon@dbf.state.ga.us 770-986-5049 Cybersecurity Assessment Tool On July 2, 2015, the Federal Deposit Insurance Corporation ("FDIC"), in coordination with the other members of the Federal Financial Institutions Examination Council ("FFIEC"), issued the FFIEC Cybersecurity Assessment Tool to help institutions identify their cybersecurity risks and determine their preparedness. The Cybersecurity Assessment Tool and a variety of supporting resources, including an executive overview, user's guide and instructional presentation, are available on the Cybersecurity Awareness page of the FFIEC.gov website at https:// www.ffiec.gov/cybersecurity.htm. The Financial Institution Letter ("FIL") is applicable to all FDIC-supervised institutions and can be accessed from the FDIC's website at https://www.fdic.gov/news/news/financial/2015/fil15028.html. (Continued on page 3) June 2015 Page 3 Cybersecurity Assessment Tool (Continued from page 2) CYBERSECURITY: What every institution should be doing now Cybersecurity is an area of intense focus for the financial services industry. One thing to keep in mind is that education is the first line of defense against cybercrime. You may ask, "what should I be doing right now?" 1. Bankers should review the materials published through the FFIEC. To access the website, visit www.FFIEC.gov. This website created a dedicated cybersecurity page where valuable information can be found. FFIEC highlighted key focus areas for senior management and boards of directors of community institutions as they assess their institutions' abilities to identify and mitigate cybersecurity risks, including: Setting the tone from the top and building a security culture; Identifying, measuring, mitigating, and monitoring risks; Developing risk management processes commensurate with the risks and complexity of the institutions; Aligning cybersecurity strategy with business strategy and accounting for how risks will be managed both now and in the future; Creating a governance process to ensure ongoing awareness and accountability; and Ensuring timely reports to senior management that include meaningful information addressing the institution's vulnerability to cyber risks. 2. Bankers need to have a good source of information about cyber threats. The FDIC published a list of free resources last year. Institutions are encouraged to join FS-ISAC the Financial Services Information Sharing and Analysis Center. Memberships are as low as $200 for community banks. This gives you real-time access to threat intelligence and actual indicators that you can check against your systems. FS-ISAC is also publishing a weekly community bank CEO cyber update 2 to 3 pages with the latest threat information in non-technical terms. 3. Bankers should practice their response to a cyber event just as they practice their response to a physical event through their business continuity plan. Bankers can use the FDIC Cyber Challenge program which will be mailed to all state nonmember banks and available to anyone on the FDIC website. FDIC will issue three new cyber challenge vignettes this year. 4. Bankers should engage in "cyber hygiene" by talking about cyber security with their staff and their customers. According to the Verizon 2015 Data Breach Indicator Report, people are responsible for 90% of all security incidents. The next greatest source is failure to patch known vulnerabilities some as old as 7 years. Bankers should warn employees about the dangers of phishing emails and the increasing skill of criminals. Everyone should limit the amount of personal data they share through social media channels. The criminals are mining this data to guess passwords and to mimic bank employees. FFIEC has made available on its webpage a brochure to aid banks in discussing cyber security. The FDIC has a FIL on good patching practices. Educating people and patching will eliminate the vast majority of security incidents. 5. Lastly, Bankers need to know who they will notify if they have an incident: local law enforcement first and their regulators second. Bankers should know who their law enforcement contacts are ahead of time e.g., local law enforcement, FBI and Secret Service. Page 4 June 2015 Transition Plans for the Emergency Communications System Since 2011, the Department has utilized the Emergency Communications System ("ECS") of the Federal Reserve Bank of St. Louis ("FRB St. Louis"), a system that allows financial institution regulators to communicate with statechartered financial institutions during emergency situations. Since that time, the Department has also continued to maintain its own online emergency contact websites to capture Georgia state-chartered bank and credit union emergency contact information and periodically provide the contact data to FRB St. Louis for upload into the ECS. Effective July 28, 2015, the Department will no longer maintain its online emergency contact websites in an effort to reduce administrative burden and provide efficiencies and improved functionality that are offered through the ECS. When utilized during an emergency situation, ECS will allow the Department to quickly establish a two-way communication channel (using mediums such as voice, text or email messages) with financial institutions, provide key updates, ascertain the operational status of an institution and provide ongoing updates throughout an emergency situation or crisis. What this means for Georgia state-chartered banks and credit unions After July 27, 2015, the Department's online emergency contact websites referenced below will no longer be accessible and will be discontinued: Georgia state-chartered banks: https://bkgfin.dbf.state.ga.us/BkEmergCont.html Georgia state-chartered credit unions: https://bkgfin.dbf.state.ga.us/CUEmergCont.html Maintenance of emergency contact information, registration and updates to contact data will be made directly by financial institutions into ECS beginning July 28, 2015. In the next few weeks, existing emergency contacts at financial institutions should expect to receive a direct communication via e-mail from FRB St. Louis that will provide further information about the transition to ECS. If you have any questions or concerns please contact the ECS support center at ECS.Support@stls.frb.org Georgia Residential Mortgage Act Fee ("GRMA") Semi-Annual Reporting and Payment Process The GRMA fee on-line reporting and payment process changed substantially effective January 2, 2015. Refer to the Department's website for a more detailed discussion of these changes at http://dbf.georgia.gov/changes-georgiaresidential-mortgage-act-10-loan-fee-reporting-and-payment-process. To avoid fines for failure to remit GRMA fees when due, reporting and payment must be completed online at https:// bkgfin.dbf.state.ga.us/GRMAFee.html by the deadlines established in Rule 80-5-1-.04. Please be reminded that zero ($0) reporting is no longer required. Fees collected for the period January 1 through June 30, 2015, should be remitted to the Department through the online reporting and payment site no later than the first business day of September. For the current GRMA semi-annual period, any filings made after September 1, 2015, are considered late and must be made by submitting the hardcopy fee statement form, along with the GRMA fees and any late fees due. On June 30, 2015, the Department sent an e-mail notification to the contact person that submitted the prior semi-annual report through the Department's online reporting and payment site and to the current contact for the licensee that is listed (Continued on page 5) June 2015 Page 5 Georgia Residential Mortgage Act Fee ("GRMA") Semi-Annual Reporting and Payment Process (Continued from page 4) in the NMLS. For state-chartered institutions and Georgia mortgage licensees, the Department also sent a similar notification to the primary institution/licensee contact. IMPORTANT NOTE: Most of the Department's payment sites perform better using the Mozilla Firefox browser. If you use Internet Explorer, please ensure that you have version 10 or higher. Keep in mind that you may also need to refresh your browser and clear your browser's cache to ensure that you see the current, active page. Action on Applications for the Month: The following is a summary of official action taken on applications by State Financial Institutions under Title 7, Chapter 1 of the O.C.G.A. and petitions for Certificate of Incorporation of Financial Institutions and other matters of interest during the month of June 2015. PREVIOUS NAME Robins Federal Credit Union FINANCIAL INSTITUTION CONVERSIONS CONVERTED TO Robins Financial Credit Union Warner Robins Houston County APPROVAL Pending EFFECTIVE FINANCIAL INSTITUTION Farmers State Bank Lumpkin, GA 31815 APPLICATIONS FOR DISSOLUTION APPROVAL Pending EFFECTIVE APPLICATIONS TO ESTABLISH A BRANCH OFFICE FINANCIAL INSTITUTION Community & Southern Bank Atlanta BRANCH OFFICE Bogart at University Plaza Branch Office 1252 Virgil Langford Road Bogart, GA 30622 Oconee County APPROVAL 06-26-2015 Community & Southern Bank Atlanta Carrollton Branch Office 100 Tom Reeve Drive Carrollton, GA 30117 Carroll County 06-26-2015 Community & Southern Bank Atlanta Veterans Parkway Office 7320 Veterans Parkway Columbus, GA 31909 Muscogee County 06-26-2015 Community & Southern Bank Atlanta Cornelia Branch Office 920 Level Grove Road Cornelia, GA 30531 Habersham County 06-26-2015 BEGIN BUSINESS Page 6 FINANCIAL INSTITUTION Community & Southern Bank Atlanta Community & Southern Bank Atlanta Community & Southern Bank Atlanta Community & Southern Bank Atlanta Community & Southern Bank Atlanta Community & Southern Bank Atlanta Community & Southern Bank Atlanta Community & Southern Bank Atlanta PeoplesSouth Bank Colquitt PeoplesSouth Bank Colquitt PeoplesSouth Bank Colquitt PeoplesSouth Bank Colquitt BRANCH OFFICE Dalton Branch Office 1378 Dug Gap Road Dalton, GA 30720 Whitfield County Franklin Branch Office 101 Main Street Franklin, GA 30217 Heard County Lake Oconee Branch Office 1011 Park Place Boulevard Greensboro, GA 30642 Greene County Mandarin Branch Office 10970 San Jose Boulevard Jacksonville, FL 32223 Duval County Jefferson Branch Office 1465 Old Swimming Pool Road Jefferson, GA 30549 Jackson County Bass Road Branch Office 1701 Bass Road Macon, GA 31210 Bibb County Forsyth at the Prado Branch Office 4077 Forsyth Road Macon, GA 31210 Bibb County Walnut and Third Branch Office 501 Walnut Street Macon, GA 31201 Bibb County Fourth Street Branch Office 58 Fourth Street Apalachicola, FL 32328 Franklin County Central Avenue West Branch Office 20455 Central Avenue West Blountsville, FL 32424 Calhoun County Highway 71 Branch Office 2260 Highway 71 Marianna, FL 32448 Jackson County West 23rd Street Branch Office 400 West 23rd Street Panama City, FL 32405 Bay County APPROVAL 06-26-2015 June 2015 BEGIN BUSINESS 06-26-2015 06-26-2015 06-26-2015 06-26-2015 06-26-2015 06-26-2015 06-26-2015 Pending Pending Pending Pending June 2015 FINANCIAL INSTITUTION PeoplesSouth Bank Colquitt PeoplesSouth Bank Colquitt Synovus Bank Columbus Synovus Bank Columbus Morris Bank Dublin The Brand Banking Company Lawrenceville The Brand Banking Company Lawrenceville Ameris Bank Moultrie Ameris Bank Moultrie Ameris Bank Moultrie Ameris Bank Moultrie Ameris Bank Moultrie BRANCH OFFICE Cecil G Costin Sr Boulevard Branch Office 418 Cecil G Costin Sr Boulevard Port Saint Joe, FL 32456 Gulf County Capital Circle Branch Office 2721 Capital Circle NE Tallahassee, FL 32308 Leon County Demonbreun Street Branch Office 1033 Demonbreun Street Nashville, TN 37203 Davidson County Ellis Building Branch Office 1605 Main Street Sarasota, FL 34236 Sarasota County Warner Robins Branch Office 464 S. Houston Lake Road Warner Robins, GA 31088 Houston County Dacula Branch Office 485 Dacula Road Dacula, GA 30019 Gwinnett County Suwanee Branch Office 480 Industrial Boulevard Suwanee, GA 30024 Gwinnett County Albany Mall Branch Office 2630 Dawson Road Albany, GA 31707 Dougherty County East Albany Branch Office 2111 E. Oglethorpe Expressway Albany, GA 31705 Dougherty County Slappey Drive Branch Office 1100 Dawson Road Albany, GA 31707 Dougherty County Blountstown Branch Office 16763 SE Pear Street Blountstown, FL 32424 Calhoun County Cross City Branch Office 79 NE 121st Street Cross City, FL 32628 Dixie County APPROVAL Pending Page 7 BEGIN BUSINESS Pending 04-09-2015 06-01-2015 06-01-2015 06-17-2015 Pending Pending 03-11-2015 06-12-2015 03-11-2015 06-12-2015 03-11-2015 06-12-2015 03-23-2015 06-12-2015 03-23-2015 06-12-2015 Page 8 FINANCIAL INSTITUTION Ameris Bank Moultrie Ameris Bank Moultrie Ameris Bank Moultrie Ameris Bank Moultrie Ameris Bank Moultrie Ameris Bank Moultrie Ameris Bank Moultrie Ameris Bank Moultrie Ameris Bank Moultrie Ameris Bank Moultrie Ameris Bank Moultrie Ameris Bank Moultrie BRANCH OFFICE Defuniak Springs Branch Office 138 US Highway 90 E Defuniak Springs, FL 32435 Walton County Dublin Mall Branch Office 2101 Veterans Boulevard Dublin, GA 31021 Laurens County Fitzgerald Branch Office 115 East Central Avenue Fitzgerald, GA 31750 Ben Hill County High Springs Branch Office 35 North Main Street High Springs, FL 32643 Alachua County Fort Stewart Branch Office 102 W General Screven Way Hinesville, GA 31313 Liberty County Jasper Branch Office 105 N.E. 2nd Avenue Jasper, FL 32052 Hamilton County Gleason's Mall Branch Office 2357 W US Highway 90 Lake City, FL 32055 Columbia County South 1st Street Branch Office 355 SW Bentley Place Lake City, FL 32025 Columbia County Live Oak Branch Office 201 Ohio Avenue S Live Oak, FL 32064 Suwannee County S. Main Street Branch Office 300 S. Main Street Moultrie, GA 31768 Colquitt County Thomasville Gateway Branch Office 14977 US Highway 19 South Thomasville, GA 31792 Thomas County Tifton Main Branch Office 127 First Street Tifton, GA 31794 Tift County APPROVAL 03-23-2015 June 2015 BEGIN BUSINESS 06-12-2015 03-11-2015 06-12-2015 03-11-2015 06-12-2015 03-23-2015 06-12-2015 03-11-2015 06-12-2015 03-23-2015 06-12-2015 03-23-2015 06-12-2015 03-23-2015 06-12-2015 03-23-2015 06-12-2015 03-11-2015 06-12-2015 03-11-2015 06-12-2015 03-11-2015 06-12-2015 June 2015 FINANCIAL INSTITUTION Ameris Bank Moultrie Fidelity Bank Norcross Fidelity Bank Norcross Fidelity Bank Norcross Fidelity Bank Norcross Fidelity Bank Norcross Fidelity Bank Norcross Fidelity Bank Norcross Fidelity Bank Norcross Fidelity Bank Norcross FINANCIAL INSTITUTION SunTrust Bank Atlanta Page 9 BRANCH OFFICE Waycross Main Branch Office 401 Carswell Avenue Waycross, GA 31501 Ware County Howell Mill Road Branch Office 1583 Howell Mill Road NW Atlanta, GA 30318 Fulton County 53rd Avenue Branch Office 415 53rd Avenue West Bradenton, FL 34207 Manatee County Cortez Branch Office 2412 Cortez Road West Bradenton, FL 34207 Manatee County Manatee Branch Office 4601 Manatee Avenue West Bradenton, FL 32409 Manatee County Mt .Vernon Branch Office 9819 Cortez Road West Bradenton, FL 34210 Manatee County State Road 70 Branch Office 3005 53rd Avenue East Bradenton, FL 34203 Manatee County Village Green Branch Office 7051 Manatee Avenue West Bradenton, FL 34209 Manatee County Longboat Key Branch Office 5390 Gulf of Mexico Drive, Suite 101 Longboat Key, FL 34228 Sarasota County Haben Branch Office 995 North Haben Boulevard Palmetto, FL 34221 Manatee County APPROVAL 03-11-2015 BEGIN BUSINESS 06-12-2015 05-19-2014 06-08-2015 06-22-2015 06-22-2015 06-22-2015 06-22-2015 06-22-2015 06-22-2015 06-22-2015 06-22-2015 APPLICATIONS TO CHANGE LOCATION CHANGE LOCATION OF APPROVAL Orange Blossom & Oak Ridge Branch Office 06-26-2015 From: 6900 South Orange Blossom Trail Orange County, FL 32809 Orange County To: 5748 S Orange Blossom Trail Orange County, FL 32839 Orange County EFFECTIVE Page 10 PREVIOUS NAME LaGrange Banking Company LaGrange FINANCIAL INSTITUTION (SURVIVOR) United Community Bank Blairsville, GA United Community Bank Blairsville, GA Hamilton State Bank Hoschton, GA FirstBank Lexington, TN State Bank and Trust Company Macon, GA Renasant Bank Tupelo, MS NOTICE OF CHANGE IN NAME NEW NAME Calumet Bank June 2015 APPROVAL EFFECTIVE 06-02-2015 FINANCIAL INSTITUTION MERGERS MERGED INSTITUTION First National Bank Lenoir City, TN The Palmetto Bank Greenville, SC Highland Commercial Bank Marietta, GA Northwest Georgia Bank Ringgold, GA First Bank of Georgia Augusta, GA HeritageBank of the South Albany, GA APPROVAL EFFECTIVE 06-26-2015 Pending Pending Pending Pending 06-25-2015 APPLICATIONS TO BECOME A BANK HOLDING COMPANY AND/OR TO ACQUIRE VOTING STOCK OF A FINANCIAL INSTITUTION BANK HOLDING COMPANY TO ACQUIRE APPROVAL FORMATIONS NOA Bancorp, Inc. Duluth, GA NOA Bank Duluth, GA Pending ACQUISITIONS United Community Banks, Inc. Blairsville, GA Hamilton State Bancshares, Inc. Hoschton, GA Palmetto Bancshares, Inc. Greenville, SC Highland Financial Services, Inc. Marietta, GA Pending Pending June 2015 DEPARTMENT OF BANKING AND FINANCE 2990 Brandywine Road Suite 200 Atlanta, Georgia 30341-5565 Phone: (770) 986-1633 Fax: (770) 986-1654 or 1655 Email: dbfpress@dbf.state.ga.us Page 11 The Department is the state agency that regulates and examines Georgia state-chartered banks, state-chartered credit unions, and state-chartered trust companies. The Department also has responsibility for the supervision, regulation, and examination of Merchant Acquirer Limited Purpose Banks (MALPBs) chartered in Georgia. In addition, the Department has regulatory and/or licensing authority over mortgage brokers, lenders and processors, mortgage loan originators, check cashers, sellers-issuers of payment instruments, money transmitters, international banking organizations, and bank holding companies conducting business in Georgia. Our Mission is to promote safe, sound, competitive financial services in Georgia through innovative, responsive regulation and supervision. Our Vision is to be a willing and able partner with our regulated entities in order to support vibrant and economic growth and prosperity in Georgia. We're on the Web! Visit our website at: dbf.georgia.gov Sign-up to Receive this Publication: This publication is delivered to interested parties via e-mail and is also available from the Department's website at: http://dbf.georgia.gov under Publications, Financial Institutions Bulletin. 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