Kish Bancorp announces economic initiatives
STATE COLLEGE — Kish Bancorp Inc., together with its principal subsidiary, Kish Bank, has announced a series of decisions and initiatives following the recent enactment of the Tax Cuts and Jobs Act of 2017. As a consequence of the act’s passage and in anticipation of long-awaited regulatory relief legislation for community banks that is pending before Congress, William P. Hayes, Kish’s chairman, president and CEO, has announced a number of key initiatives that will provide positive benefits to the company’s communities and team members.
In making the announcement, Hayes said, “The Tax Cuts and Jobs Act will be very favorable for banking by reducing corporate income tax rates, stimulating the economy and providing incentives to invest in infrastructure and employees. In light of the improved outlook for the company, Kish’s board and executive leadership have decided to immediately expand its 2018 budget for support of community organizations and charitable organizations by a minimum of $50,000. That amount represents an increase of approximately 33 percent in Kish’s charitable contributions. Decisions about support for organizations, programs and charitable activities will be made as the year progresses, but we are beginning by increasing our corporate contributions to the local United Ways in each of the three counties we serve.”
Kish Bank serves Mifflin, Centre and Huntingdon counties.
Other significant decisions are as follows. The company has paid an immediate one-time bonus of $1,000 to all team members and $500 to part-time employees. This payment was in addition to and separate from upcoming profit sharing payments to all employees below the level of vice president.
Additionally, the company will elevate its starting minimum wage for all entry level personnel, together with an associated increase in the ranges for all non-exempt hourly employees. Expanded 2018 hiring plans will increase the number of employees equivalent 10 ten full-time personnel, with a corresponding expansion in payroll and benefits of approximately $400,000.
Kish is also committing to an enhanced investment in technology, infrastructure, capital equipment and facilities, with total projected expenditures of approximately $10 million over the next three years. Plans are now under development for a new Technology, Operations and Customer Service Center to be constructed at the intersection of Routes 655 and 322 in Reedsville. That facility will provide a technology and operations hub for the entire organization and will house a workforce of close to 100 employees. The company anticipates that construction on this project will commence in early 2019.