MEMORANDUMSubject: Proposed CSR Program for Columbia Bank This memorandum proposes a corporate social responsibility program for Columbia Bank with a focus on student loan debt in our community. This CSR program could be implemented in addition to the community and customer events currently held at the branch level. Columbia Bank and the local communities we serve would benefit greatly from offering a CSR program focused on educating high school students, college students, parents and any potential borrowers about the long-term implications of excessive debt for student loans. Our Community The first sentence of our mission statement reads: "We will increase shareholder value and enrich the communities we serve by creating financial success together with our customers and professional success together with our employees." One of the biggest obstacles individuals face in achieving financial success in our country, and particularly in the Washington DC area, is student loan debt. According to a Washington Business Journal article written by Jeff Clabaugh (2013), “credit monitoring firm Credit Karma Inc. says the average student loan debt among borrowers in Washington in August was $42,873, up nearly 50 percent. more than the national average. Maryland ranks second in student loan debt, with an average balance of $31,791 (par. 1-2).” This debt prevents many college graduates from purchasing a home, saving for retirement, and investing. Student Loan Debt and Its Financial Impact According to comments cited in an article from the Consumer Financial Protection Bureau (2013), “The current generation of first-time homebuyers is inhibited by heavy student debt that could compromise their ability to qualify to attend a state college, save for college before attending, and work during college We will provide a budgeting and financial planning worksheet We will also discuss and distribute a brochure describing student banking and other services offered by Columbia Bank. Next steps in the process Through this CSR program, Columbia Bank has the opportunity to help the citizens of our community make better financial decisions that could have a positive impact for the rest of their lives Tuesday, November 26 at 4:30 pm for a detailed presentation followed by a question and answer session to learn more about the program. I will also provide a checklist for implementing the program by January 1, 2014. Contact me at ashley.baker@columbiabank.com for any questions and to confirm your presence at the November presentation 12.