FCS Financial: One Hundred Years July 2016 | Page 88

In 2007, several additions to the FCS Financial history revealed
an organization reaching its full maturity. Just the year before, the
Farm Credit Administration issued a new regulation requiring each
Farm Credit institution board include a financial expert. While
FCS Financial felt several of their board members met the financial
expert criteria, they also felt the new regulation afforded them an
opportunity to expand and strengthen the board’s knowledge base.
They then appointed Bruce Bjornson, PhD in finance, to a three-year
term beginning March 2007. Today, Troy Norton holds the position.
They also began the patronage program
Paid in Full
under the terms of a resolution adopted in
December of 2005 to further distinguish
Financial assistance by the government and new
FCS of Missouri, now FCS Financial, from
policies and enforcement authority helped the
other lending institutions. During 2006 they
Farm Credit System recover from the crisis years
experienced an impressive 22 percent growth
of the 1980s, regain safe and sound practices, and
rate despite rising interest rates and a net
become more efficient. A stronger economy in
income for the year of approximately $29
the 1990s and 2000s further stabilized the system
as farm prices and incomes rose. By 2005, twenty
million. At year end, their credit quality was
years after the peak of the agricultur al crisis, all the
an enviable 99.5 percent. As a result, during
federal capital provided during the emergency
the first quarter of 2007 stockholders received
had been repaid with interest, returning the Farm
a cash patronage based on their contributions
Credit System to fully borrower-owned status.
to the overall net earnings of the organization.
In paying patronage, the association was fulfilling the last remaining
ingredient of cooperative economics, an appropriate expression of
their new image. FCS Financial’s earnings grew again in 2007 and with
net earnings of $37.6 million, they were able to distribute $3.7 million
to their member/owners in 2008.
The Nominating Committee met in 2005 to provide names for the director election. As a
cooperative, FCS Financial is owned by its members who own stock and vote for the directors.

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Selected References