OCC Proposes Revisions to the Form DFAST-14A on Stress Testing

OCC recognizes that many covered institutions with consolidated assets of USD 50 billion or more are required to submit reports using the Comprehensive Capital Analysis and Review (CCAR) reporting form FR Y-14A. OCC also recognizes the FED has modified the FR Y-14A and, to the extent practical, OCC has kept its reporting requirements consistent with the FED's FR Y-14A, to minimize burden on covered institutions. Thus, OCC is revising its reporting requirements to mirror the FED's FR Y-14A for covered institutions with consolidated assets of USD 50 billion or more. In addition to the changes that parallel the FED's changes to the FR Y-14A, the OCC is also making two other changes. First, the OCC is modifying the OCC Supplemental Schedule. Second, the OCC is allowing federal savings associations to comply with the reporting requirements applicable to subsidiaries of large, noncomplex holding companies, as defined by the FED. Revisions to OCC reporting templates (DFAST-14A) that mirror changes by the FED consist of the following:

• Eliminating two schedules, the Regulatory Capital Transitions Schedule and Retail Repurchase Exposures Schedule
• Adding one item to the counterparty worksheet of the summary schedule to collect information of Funding Valuation Adjustments (FVAs) for firms subject to the Global Market Shock
• Modifying instructions to clarify reporting of “Credit Loss Portion” and “Non-Credit Loss Portion” information for available-for-sale (AFS)/held-to-maturity (HTM) worksheets in the summary schedule

In addition, OCC proposed to eliminate references to the term ‘‘extraordinary items’’ to align with Federal Accounting Standards Board (FASB) Subtopic 255– 30. FED has decided to delay this change with respect to its FR Y–14A; therefore, to promote consistency between the OCC DFAST– 14A and the FR Y–14A, OCC will also delay this change until further notice.

Related Link: Federal Notice

Comment Due Date: March 05, 2018

Keywords: Americas, US, Banking, Reporting, Stress Testing, DFast, FR Y-14a, FED, OCC