The Call Report has been subject to many changes over the course of the past 18 months and continues to be impacted by economic, accounting and regulatory changes. Our recent challenges related to the economic crisis under COVID-19 have added to the reporting burden with changes impacting all financial institutions that continued into 2021 with the possibility of continuing to impact 2022.
A discussion of regulatory and accounting changes impacting the 2021 Call Report and those proposed to impact 2022 will be covered in detail. As new regulatory matters arise, they will be added to the agenda in order to provide participants with the most current training applicable for the December 31, 2021 reporting period with a look at what to expect for March 31, 2022.
Participants will receive handout materials to include a PDF version of the presentation and additional documentation required to support the topics covered in the webinar.
A summary of the reporting impact and the implementation timelines for selected new Accounting Standards Updates (ASU) related to the following will be discussed:
- Reference Rate Reform under ASU 2020-04.
- Lease Accounting under ASU 2016-02.
- Credit Loss Accounting (CECL) under ASU 2016-13 to include current regulatory reporting matters.
Regulatory impact items covered will include:
- Financial Institution Letters issued in 2021 impacting the Call Report to include recent guidelines on reporting deferred tax assets on a separate entity basis and use of the standardized approach for counterparty credit risk with new reporting item in RC-R Part 1 item 31.a. that will be effective for December 31, 2021.
- Accounting for loan modifications and reporting Troubled Debt Restructurings to include the 2021 current status for reporting modifications under Section 4013 of the CARES Act and the Revised Statement issued by the Regulators. A look forward to 2022 will be discussed.
- Off-balance sheet exposures to include a discussion on unconditionally cancelable commitments as provided in the Regulatory Capital Rules and applied to the Call Report.
Reporting Sweep Deposits under the newly added items in RC-E that will be applicable for all banks December 31, 2021.
- PPP loan reporting, income recognition and risk weighting now that forgiveness is in process.
- HELOC reporting in schedule RC-C and how to apply the new reporting rules when a loan converts to non-advancing status.
Who Should Attend?
Call Report preparation requires knowledge of bank accounting, bank regulations, and virtually all bank operations. Annual training is highly recommended by regulators. Banks should have a trained preparer and a trained reviewer. Anyone responsible for preparing, reviewing, or signing a Call Report will find this program valuable. Both new and experienced preparers and reviewers will benefit from this update and the continued discussion on accounting and financial reporting matters.