ABA Banking Journal - November/December 2017 - 23

Over the past two decades, FirstCapital Bank of Texas has
grown organically to $1 billion in assets and four markets
sprawled across west and central Texas.
BURGESS SHAVED HIS HEAD WHEN FIRSTCAPITAL BANK STAFF
BLEW THROUGH THEIR BANKPAC FUNDRAISING GOAL.

Burgess held steady, avoiding excessive concentrations in
oil and gas. And while the Midland economy overall is tied to
oil, when prices inevitably plummeted to $40-50 per barrel in
2015, FirstCapital Bank was insulated from the worst effects
because of its diverse markets. Amarillo is a hub for ranching
and defense, while Lubbock centers a farming region and
hosts a major university. The newest market, fully opened
in 2016, is Horseshoe Bay, a lakeside resort and retirement
community in the Texas hill country west of Austin.
Burgess didn't just help FirstCapital Bank diversify-he
helped its hometown economy do the same. Burns-the
former mayor who is now president and CEO of the local
chamber of commerce-credits Burgess for being a
visionary in that effort when he chaired the chamber board.
He helped to create a fund that generates $10-12 million
per year to promote a more diverse economy.
"His leadership has had a big long-term impact on
Midland," says Burns, pointing to the growth of the
aerospace sector. Midland's airport has been recently
designated as a spaceport, and spaceplane and spaceflight
materials company XCOR and spacesuit manufacturer
Orbital Outfitters are located there. "A lot of that comes from
Ken's work years ago, laying the groundwork, giving us the
tools to get there," Burns adds.

'Leading edge, not bleeding edge'
When teenage Ken Burgess first started working at a bank,
ATMs were only a few years old, magnetic stripe cards were
a novelty and most customers interacted with their financial
institutions during those constrained time frames known as
"banker's hours." His career has traced an arc of constant
change, and he's infused FirstCapital Bank with an attitude
that welcomes technological evolution.  "If you don't like
change, you don't need to be at this bank," says Robin Richey,
SVP and trust officer at FirstCapital Bank. She joined in 2000
as the bank's 15th employee (there are more than 200 today),
and "it's been on a rapid pace ever since I got here."
A big part of the FirstCapital Bank story has been Burgess'
practice of investing in new technologies. While he's quick
to mention that he likes to be "on the leading edge, not the
bleeding edge," he's also willing to make a jump when he
thinks it might pay off.

Case in point: interactive teller machines, a story that
illustrates Burgess' vision and hands-on leadership. He got
curious about the concept in 2011 as a way of addressing
both the rising cost of hiring employees in boomtown
Midland and growing customer expectations of service
availability. "We need to make sure that we can deliver the
service that they're looking for," Burgess says. "I've always
felt that we need to provide service at the time the customer
wants it and not just when we want to be open."
Thanks to research by SVP and IT manager Chris McGinnis,
Burgess and his team visited a North Carolina credit union
to check out the technology and was deeply involved in
vetting the concept and developing the product. FirstCapital
was the first bank in West Texas to launch the video product,
which provides banking services seven days a week from
6 a.m. to midnight. TellerConnect machines are available
at drive-throughs, free-standing locations and even branch
lobbies-where, Burgess says, some customers prefer the
video service.
Key to the concept as it works at FirstCapital is that there's
a real person on the other end of the transaction. The
Lubbock branch is home to the TellerConnect team that
serves ATMs across the network. The bank has had success
recruiting Texas Tech students on a part-time basis to staff
the center-collegians being much more amenable to late
night hours or hungry enough to take the 6 a.m. shift. "It
allows us bean counters to meet the numbers, but at the
same time we serve our customers better than before," says
Tony Pena, the bank's Lubbock market president, who notes
that TellerConnect allows customers to do about 95 percent
of what they can do at the counter.
After TellerConnect rolled out, Burgess was very deliberate
about talking to other bankers and sharing FirstCapital
Bank's experience-including mistakes made-with peers
in the industry. Chief deposit and technology officer George
Reeves notes that about 30 banks have called to ask
questions or learn more. "It's been a lot of fun to visit with
those banks and share our knowledge with them," he says.
As part of his commitment to helping bankers pool their
expertise and share insights about technology, shortly
after he served as chairman of ABA's Community Bankers
Council in 2012-13, Burgess became the founding
chairman of the ABA Endorsed Solutions Banker Advisory
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23


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Table of Contents for the Digital Edition of ABA Banking Journal - November/December 2017

Chairman’s View
Upfront
Legal Briefs
Economic Outlook
Power Up Profile
Pitching In
Choices and Options Down on the Farm
Eager or Not, Every Board Needs an M&A Strategy
Adapting to Survive
More Than Just a Drink
Operations
Payments
Small Business Lending
Human Resources
ABA Compliance Center Inbox
From the States
Corporate Social Responsibility
Index of Advertisers
From the Vault
ABA Banking Journal - November/December 2017 - Intro
ABA Banking Journal - November/December 2017 - ebelly1
ABA Banking Journal - November/December 2017 - ebelly2
ABA Banking Journal - November/December 2017 - cover1
ABA Banking Journal - November/December 2017 - cover2
ABA Banking Journal - November/December 2017 - 3
ABA Banking Journal - November/December 2017 - 4
ABA Banking Journal - November/December 2017 - 5
ABA Banking Journal - November/December 2017 - 6
ABA Banking Journal - November/December 2017 - 7
ABA Banking Journal - November/December 2017 - Chairman’s View
ABA Banking Journal - November/December 2017 - 9
ABA Banking Journal - November/December 2017 - Upfront
ABA Banking Journal - November/December 2017 - 11
ABA Banking Journal - November/December 2017 - 12
ABA Banking Journal - November/December 2017 - 13
ABA Banking Journal - November/December 2017 - 14
ABA Banking Journal - November/December 2017 - 15
ABA Banking Journal - November/December 2017 - Legal Briefs
ABA Banking Journal - November/December 2017 - 17
ABA Banking Journal - November/December 2017 - Economic Outlook
ABA Banking Journal - November/December 2017 - Power Up Profile
ABA Banking Journal - November/December 2017 - Pitching In
ABA Banking Journal - November/December 2017 - 21
ABA Banking Journal - November/December 2017 - 22
ABA Banking Journal - November/December 2017 - 23
ABA Banking Journal - November/December 2017 - 24
ABA Banking Journal - November/December 2017 - 25
ABA Banking Journal - November/December 2017 - Choices and Options Down on the Farm
ABA Banking Journal - November/December 2017 - 27
ABA Banking Journal - November/December 2017 - Eager or Not, Every Board Needs an M&A Strategy
ABA Banking Journal - November/December 2017 - 29
ABA Banking Journal - November/December 2017 - Adapting to Survive
ABA Banking Journal - November/December 2017 - 31
ABA Banking Journal - November/December 2017 - 32
ABA Banking Journal - November/December 2017 - 33
ABA Banking Journal - November/December 2017 - More Than Just a Drink
ABA Banking Journal - November/December 2017 - 35
ABA Banking Journal - November/December 2017 - Operations
ABA Banking Journal - November/December 2017 - 37
ABA Banking Journal - November/December 2017 - Payments
ABA Banking Journal - November/December 2017 - 39
ABA Banking Journal - November/December 2017 - Small Business Lending
ABA Banking Journal - November/December 2017 - 41
ABA Banking Journal - November/December 2017 - Human Resources
ABA Banking Journal - November/December 2017 - 43
ABA Banking Journal - November/December 2017 - 44
ABA Banking Journal - November/December 2017 - ABA Compliance Center Inbox
ABA Banking Journal - November/December 2017 - From the States
ABA Banking Journal - November/December 2017 - 47
ABA Banking Journal - November/December 2017 - Corporate Social Responsibility
ABA Banking Journal - November/December 2017 - Index of Advertisers
ABA Banking Journal - November/December 2017 - From the Vault
ABA Banking Journal - November/December 2017 - cover3
ABA Banking Journal - November/December 2017 - cover4
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