FCS Financial: One Hundred Years July 2016 | Page 72

The last St. Joseph PCA board meeting was held in 1985. Shown here (L to R):
Doris Leakey, Meredith Kapp, Chairman Carl Spencer, President Don Trickey,
Kenton Schwarz, Phill Hull.

With the viability of the Farm Credit System in jeopardy, they
explored several options: an infusion of government capital, a
government guarantee of Farm Credit bonds, and a governmentbacked “warehouse” for problem loans that would give lenders and
some of their member/borrowers time to work their way out of
trouble. Getting non-performing loans off their books could avoid a
surge in liquidations and stabilize land values. “No one really likes the
idea of federal assistance,” Banner was quoted as saying. Nonetheless,
it looked like a necessary evil in order to keep the system solvent.

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Selected References