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Jay Cahalan

Chairman of the Board at GREENE COUNTY BANCORP
Board

About Jay P. Cahalan

Independent Chairman of the Board of Greene County Bancorp, Inc. since 2015; age 66 (2025), with 10 years of board service. Retired President & CEO of Columbia Memorial Health (CMH), now Chairman of the CMH Foundation, with advanced degrees including an M.S. in Law (Champlain College), M.A. (University of Connecticut), and B.S. (Southern Connecticut State University). His healthcare operations background and governance experience underpin his role leading an independent board structure at a controlled company.

Past Roles

OrganizationRoleTenureCommittees/Impact
Columbia Memorial Health (CMH)President & CEO29 years; retired 2022Led large regional healthcare provider; continues as CMH Foundation Chair
CMH FoundationChairmanCurrentPhilanthropy leadership; community engagement
Hudson Health & FitnessPresident & part-ownerNot disclosed (prior to 2016)Local business leadership
Greene County Rural Health NetworkPresidentRetired 2016Regional health network governance
The Bank of Greene County Advisory BoardMemberSince 2012 (prior to board appointment)Bank advisory; community linkage

External Roles

OrganizationRolePublic/PrivateNotes
Columbia Memorial Health FoundationChairmanNon-profitOngoing governance role post CMH CEO retirement
Hudson Health & FitnessPresident & part-ownerPrivateLocal business ownership (historical)
Greene County Rural Health NetworkPresident (retired)Non-profitRetired as President in 2016

Board Governance

  • Structure and leadership: Board chaired by Independent Director Jay P. Cahalan; CEO and Chair roles are separated; independent directors set agendas and oversight priorities. Executive sessions were held twice in FY2025 and four times in FY2024.
  • Independence: Board determined Cahalan is independent; non-independent directors are CEO Gibson, retired executive Plummer (until independence effective July 1, 2027), and legal counsel/director Schaefer (firm provides services). GCBC qualifies as a Nasdaq “controlled company” (MHC owns 54.1%), exempt from majority independent board requirement.
  • Committees and activity:
    • Compensation Committee member (met 7x in FY2025; all members independent).
    • Nominating Committee member (met 1x in FY2025; committee includes non-independent Plummer and Schaefer given controlled company exemption).
    • Executive Committee comprises entire board; did not meet in FY2025.
    • Not on Audit Committee (met 11x in FY2025; chaired by Hogan, audit financial expert).
  • Attendance: Board held 12 regular meetings and one special session in FY2025; no director attended fewer than 75% of board/committee meetings. All directors attended the 2024 annual meeting.

Fixed Compensation

ComponentFY2024FY2025
Board Chair annual retainer (cash)$33,000 $33,000
Meeting fees (cash)$1,650 per meeting $1,650 per meeting
Total annual chair fee compensation$52,800 $52,800
Director Cash FeesFY2024FY2025
Fees Earned or Paid In Cash (Jay P. Cahalan)$52,800 $52,800

Performance Compensation

Phantom Stock Option and Long-Term Incentive Plan (cash-settled, book-value linked; three-year cliff vesting; single-trigger acceleration on change-in-control).

Metric/TermFY2024 GrantFY2025 Grant
Phantom options granted to Jay P. Cahalan (units)24,565 24,565
Strike (adjusted book value per share at grant)$12.02 $13.26
Vesting schedule3 years (cliff) 3 years (cliff)
Payout formulaCash = Adjusted book value at determination minus strike; paid at vest Same; paid at vest
Change-in-control treatmentFully earned at consummation; cash paid ≤75 days; performance measures deemed satisfied (single trigger) Same
Non-Equity Incentive Plan Compensation (Director)FY2024FY2025
Jay P. Cahalan$159,480 $134,640

Other Directorships & Interlocks

  • No other public-company directorships disclosed for Cahalan; current roles are in non-profit/private organizations.
  • Related-party transactions: Board notes director/officer loans follow standard terms under Federal Reserve Act; transactions must be Audit Committee/independent body-approved and arms-length; no specific related-party transactions disclosed for Cahalan.

Expertise & Qualifications

  • Healthcare system leadership, community health governance, and legal training (M.S. in Law) inform risk oversight and stakeholder engagement. Degrees: M.S. in Law (Champlain College), M.A. (University of Connecticut), B.S. (Southern Connecticut State University).
  • Prior advisory board service for the Bank of Greene County since 2012; integrates local market perspective with board priorities.

Equity Ownership

MetricFY2024FY2025
Beneficial shares owned27,380 31,124
Percent of class0.2% 0.2%
Shares outstanding (context)17,026,828 total; MHC 9,218,528 (54.1%) 17,026,828 total; MHC 9,218,528 (54.1%)
Hedging/PledgingProhibited; no exceptions approved by board Prohibited; no exceptions approved by board

Governance Assessment

  • Strengths

    • Independent Board Chair structure improves oversight; independent-led executive sessions indicate active engagement.
    • Consistent committee participation (Compensation, Nominating) and no attendance shortfalls reported.
    • Anti-hedging/anti-pledging policy and clear arms-length related-party safeguards enhance alignment and investor protection.
  • Compensation and Alignment

    • Director cash compensation for the Chair is modest, with additional at-risk compensation via cash-settled phantom options tied to book value, promoting balance-sheet discipline rather than stock price volatility.
    • Non-equity incentive payouts reflect vested phantom awards; grants and strike prices moved up YoY ($12.02→$13.26), aligning with book-value trends.
  • Risk Indicators and Considerations

    • Controlled company status (MHC owns 54.1%) reduces certain Nasdaq independence requirements and may concentrate voting power.
    • Presence of non-independent directors (legal counsel and recent retiree executive) on Nominating Committee reflects controlled-company exemptions; monitor committee composition and independence optics.

RED FLAGS

  • Controlled company governance exemptions could dampen minority shareholder influence; continued vigilance on committee independence and nomination practices is warranted.

Watch Items

  • Track future phantom plan payouts and grant sizing to ensure pay-for-performance remains tied to value creation (adjusted book value), and monitor any change-in-control acceleration risk.
  • Confirm no exceptions to anti-pledging policy and absence of related-party transactions involving Cahalan in future filings.