Home : Investor Relations : Compensation Committee Charter Learn More » Investor Relations » Board of Directors » Code of Ethics » Audit Committee Charter » Nominating Committee Charter Compensation Committee Charter » Company News » » » » Transfer Agent Contact Us Home Federal Bank 500 12th Avenue South Nampa, Idaho 83651 Phone: (800) 871-9505 Related Links » Deposit Rates » Special Offers/New Products » Find a Home Federal Bank location near you COMPENSATION COMMITTEE CHARTER FOR THE COMPENSATION COMMITTEE OF HOME FEDERAL BANCORP, INC, AND THE COMPENSATION COMMITTEE OF HOME FEDERAL BANK I. Purpose The primary function of the Compensation Committee of Home Federal Bancorp, Inc. (“Corporation Compensation Committee”) and the Compensation Committee of Home Federal Bank (“Bank Compensation Committee,” and together with the Corporation Compensation Committee, the “Committees”) is to work together to coordinate the compensation paid to the directors, officers and employees of both Home Federal Bancorp, Inc. (“Corporation”) and Home Federal Bank (“Bank”). In achieving this goal, the Committees shall operate separately but shall coordinate their efforts in order to achieve a coordinated policy. The Corporation Compensation Committee shall set the policies and compensation levels for directors, officers and employees of the Corporation, while the Bank Compensation Committee shall set the policies and compensation levels for directors, officers and employees of the Bank. The Committees shall coordinate their efforts to ensure that compensation policies are administered fairly and consistently. II. Composition The Committees shall each be comprised of three or more directors as determined by the Board of Directors of the Corporation or the Bank, as appropriate. Each member shall be an independent director of the respective entity, who is free from any relationships that, in the opinion of the relevant Board, would interfere with the exercise of his or her independent judgment as a member of the Committee. Member independence will be in conformity with rules established by the Securities and Exchange Commission and the National Association of Securities Dealers. The members of the Committees shall be elected by the Board of Directors of the Corporation or the Bank, as appropriate, at the annual organizational meeting of the relevant Board and shall serve until their successors are duly elected and qualified. Unless a Chair is selected by the relevant Board, the members of each Committee may designate a Chair by majority vote of the full Committee membership. III. Meetings The Committees shall each meet at least annually, or more frequently as circumstances dictate. As part of the job to set executive compensation levels, each Committee should meet at least annually with the appropriate Chief Executive Officer in order to discuss the Chief Executive Officer’s evaluation of the senior officers and recommendations for compensation levels. In addition to the separate meetings of the Corporation Compensation Committee and the Bank Compensation Committee, the Committees shall meet together at least annually, or more frequently as circumstances dictate, to ensure that compensation policies for the Corporation and the Bank are administered consistently. IV. Responsibilities and Duties To fulfill its responsibilities and duties, each Committee shall (with the understanding that the Corporation Compensation Committee shall take all action with respect to the Corporation and the Bank Compensation Committee shall take all action with respect to the Bank): Compensation Policies 1. Develop guidelines and policies for director compensation, coordinating actions between the Corporation Compensation Committee and the Bank Compensation Committee. 2. Develop guidelines and policies for executive compensation, coordinating actions between the Corporation Compensation Committee and the Bank Compensation Committee. 3. Make regular reports to the appropriate Board of Directors. 4. At least annually, review the compensation policies to ensure that they are effective in meeting goals for compensation and make new recommendations, as needed. 5. Review and approve the list of a peer group of companies to which the Corporation and the Bank shall compare themselves for compensation purposes. 6. If necessary, engage independent consultants and outside counsel to provide comparative information regarding compensation and benefits, and advice on issues involving laws and regulations governing compensation. 7. Review and approve other large compensation expense categories such as employee benefit plans. 8. At least annually, review and update (if necessary) this Charter, as conditions dictate. Compensation 9. Review director compensation levels and recommend, as necessary, changes in the compensation levels, with equity ownership in the Corporation encouraged. 10. Receive and review an annual report from the Chief Executive Officer which includes the performance assessment for all senior officers and recommendations for compensation levels, and which also includes salary recommendations for all employees. 11. Set compensation for all senior officers, other than the Chief Executive Officer, based on the recommendations of the Chief Executive Officer. 12. On an annual basis, review and approve goals and objectives relevant to compensation of the Chief Executive Officer, evaluate the Chief Executive Officer’s performance in light of those goals and objectives, and determine the Chief Executive Officer’s compensation based on this evaluation. 13. For the senior officers, annually review and approve (i) employment agreements, severance agreements and change in control agreements or provisions, in each case, when and if appropriate, and (ii) any special or supplemental benefits. 14. Adopt, administer, approve and ratify awards under incentive compensation and stock plans, including amendments to the awards made under any such plans, and review and monitor awards under such plans. Succession Planning 15. In conjunction with the Corporate Governance/Nominating Committee, recommend to the appropriate Board of Directors a policy on succession planning for the Chief Executive Officer. Reporting 16. The Committee will take its recommendations to the full Board of Directors for discussion, amendment, and / or final approval. 17. Prepare a report on executive compensation for inclusion in the Corporation’s annual proxy statement, consulting with the Corporation’s legal counsel, if necessary. Equal Housing Lender    Member FDIC.    ©2005 All rights reserved. 1-800-888-7283   /   208-466-4634    Privacy    Security