Greetings, Gazette Editorial Board, George Ford and all—

The post below created huge interest in Monica Vernon's bank deal.  The following data is provided in response to requests.

Monica Vernon is running against Rod Blum for Iowa District 1 Congressional seat.


According to the Cedar Rapids Gazette, the owners of the NXT bank, formerly City State Bancorporation, discussed in the post farther below are: 

"Investors in City State Bancorporation include Roger and Angie Baker, Kay Hill, Kent Hill, Brian and Molly Scott, Thomas and Clare Slattery, Monica Vernon, Bruce and Jan Anderson, and the Elizabeth K. Dummermuth Trust, all of the Cedar Rapids area. The investors purchased control of MSB Corp. from the estate of Dorothy Maurice and several of her family members."


Here are the names of the 39 peer banks cited in the post farther below.  Data on these banks can be accessed on website:

  ID                      Name                City                State

214 Washington State Bank Washington IA

245 Raccoon Valley Bank Perry IA

254 First Whitney Bank and Trust Atlantic IA

950 Iowa State Bank Algona IA

951 Cherokee State Bank Cherokee IA

954 First National Bank Greenfield IA

963 The Home Trust & Savings Bank Osage IA

968 Security Trust & Savings Bank Storm Lake IA

1550 Central State Bank Elkader IA

1553 The Shelby County State Bank Harlan IA

1857 Waukon State Bank Waukon IA

4432 Midwest Heritage Bank, FSB West Des Moines IA

4444 The First National Bank in Creston Creston IA

4511 The Citizens First National Bank of Storm

Lake Storm Lake IA

5796 Earlham Savings Bank West Des Moines IA

5800 American Bank, National Association Le Mars IA

5817 Hardin County Savings Bank Eldora IA

8506 New Albin Savings Bank New Albin IA

8751 Iowa State Savings Bank Creston IA

8761 Kerndt Brothers Savings Bank Lansing IA

9299 Reliance State Bank Story City IA

10111 Ohnward Bank & Trust Cascade IA

10903 Central State Bank State Center IA

11347 Grinnell State Bank Grinnell IA

11767 FreedomBank Elkader IA

13411 Northwestern Bank Orange City IA

13656 United Community Bank Milford IA

13737 Farmers & Merchants Bank & Trust Burlington IA

14195 Farmers Trust and Savings Bank Buffalo Center IA

14522 PCSB Bank Clarinda IA

14704 Guaranty Bank and Trust Company Cedar Rapids IA

14812 Treynor State Bank Treynor IA

14867 Home State Bank Jefferson IA

15272 Marion County State Bank Pella IA

15334 Rolling Hills Bank & Trust Atlantic IA

16438 NXT Bank Central City IA

23189 Community Bank and Trust Company Muscatine IA

34849 Premier Bank Dubuque IA

34973 Peoples Savings Bank Indianola IA


Iowalive      A growing network of volunteer citizens and professionals for improving Iowa




Greetings, Gazette Editorial Board, George Ford and all—

In the 3-30-14 Gazette, George Ford reported Monica Vernon, and 7 others, apparently paid cash and purchased controlling interest in MSB Corp., owner of City State Bank and City State Insurance Agency of Central City.   The name of the bank was changed to NXT and it now has a subsidiary in Cedar Rapids.  Even though the Gazette has said little, if any more about it, Iowalive net workers thought it curious a politician would want controlling interest in about a $250 million bank, so gave it a closer look than did the Gazette. 

Owning the bank makes it much more convenient for Monica to make lucrative ‘insider’ deals with Cedar Rapids officials, at taxpayer expense, and to likely handle her congressional campaign finances, to fit her needs as well.  

But there is much more.  A bank evaluator would likely find the following numbers to be most curious, since NXT’s Insider Loans and Volatile Liability numbers are so far out of the performance norms of 39 other Iowa banks of comparable size, according to public bank data obtained on website: summarized as follows. 


Insider Loans:  NXT Bank is 380% higher than their 39 Iowa bank peers (Asset class ranging from $200M to $300M)

Insider Loans:

NXT  $15,772,000

39 Bank Peers  $128,257,000

Net Loans & Leases (Total):

NXT $208,661,000

39 Bank Peers $6,242,547,000

Percent Insider Loans:

NXT: 7.6% ($15,772,000 / $208,661,000)

39 Bank Peers: 2.0%  ($128,257,000 / $6,242,547,000)

Difference:  380%  (7.6 / 2.0) more insider loans at Monica’s NXT bank. 

Volatile Liabilities:  NXT Bank is 265% higher than their 39 Iowa bank peers (Assets ranging from $200M to $300M)

Volatile Liabilities:

NXT  $47,088,000

39 Bank Peers  $631,799,000

Total Liabilities:

NXT $236,434,000

39 Bank Peers $8,451,058,000

Percent Volatile Liabilities to Total Liabilities:

NXT: 19.9% ($47,088,000 / $236,434,000)

39 Bank Peers: 7.5%  ($631,799,000 / $8,451,058,000)

Difference:  265%  (19.9 / 7.5) more volatile Liabilities at ‘Monica’s’  NXT bank. 

So it appears ‘Monica’s’ bank relishes Insider Loans and Volatile Liabilities!

Will Monica therefore claim her unusual bank experience, with Insider Loans and Volatile Liabilities, highly qualifies her for a seat in government, that voter’s hold in bitter contempt, for Insider Deals and Reckless Spending!!

Anyone claiming to have better numbers than those herein is asked to provide them. 


Iowalive      A growing network of volunteer citizens and professionals for improving Iowa