Drouin Community Bank for our first meeting of 2017
Chairman Bob and Acting President Rex welcome Manager Rob Hutchinson and Bank Director Rod Dunlop (Center)
Chairman Bob Vogt introduced our guest speaker for the evening Rob Hutchinson. Rob took on his role as Manager of our community bank in October 2016, prior to this he had 20 years with the NAB and 10 years operating his own Financial Planning Business.
Rob told us that:
A Community Bank ® branch is a locally owned and operated company, which functions as a franchise of Bendigo and Adelaide Bank. The Bank provides the coverage of its banking license, a full range of banking products, training of staff and ongoing support.
Depositors are protected by the Bank's imposing track record when it comes to the security of depositors' funds. We are one of Australia's oldest financial institutions, we have operated since 1858 and have declared a profit in every year and we have without fail honoured our depositors.
The Bank and the community company are each entitled to agreed portions of the revenue of the local Community Bank® branch and the local company is responsible for paying branch running costs.
When the local company begins to make a regular operating surplus, after the payment of branch running costs, and the Bank's share of the revenue is received, the remaining funds are available to be reinvested back into the community through dividends to shareholders and grants to community groups and projects
The Community Bank® story first started in 1998 when Bendigo Bank partnered with the Victorian communities, Rupanyup and Minyip, to establish a banking pilot to return banking services to the towns. It succeeded, and since the twin branches inception a decade ago, they have channeled more than $700,000 in profits back into community projects.
In Drouin it all began in October 2000 when a group of volunteers went public with their plan to work with Bendigo Bank to open a Community Bank® branch in the town. Drouin Community Bank® got off to an early start with a temporary premise set up in the town in August 2001 before moving into the branch in Princess Way, officially opening its doors to the public April 2002.
The Drouin franchise employs 8 local staff and has 7 local directors with around 350 shareholders.
The focus for the Community Bank is to support Community Projects and organisations and to achieve this after paying overheads and dividends the bank makes grants available to various organisations on application. This so far amounts to approximately $4.3m and represents around 80% of overall profits paid back to the Community. Something for which all concerned are justifiably proud.
In thanking Rob, Acting President Rex spoke of the wonderful facility and service the Bank had provided to the Community, noting that Lyrebird Village alone had been the recipient of nearly $1m in support.