US Agencies Finalize Rule to Streamline Reporting for Small Banks
US Agencies (FDIC, FED, and OCC) adopted a final rule to streamline the regulatory reporting requirements for small institutions. The rule would permit insured depository institutions with total assets of less than USD 5 billion that do not engage in certain complex or international activities to file the most streamlined version of the Call Report FFIEC 051. The rule would reduce, by approximately one-third, the number of existing data items to be reported for the first and third calendar quarters. These revisions to the FFIEC 051 Call Report would take effect as of the September 30, 2019 report date. This rule will be effective from July 22, 2019.
The final rule implements Section 205 of the Economic Growth, Regulatory Relief, and Consumer Protection (EGRRCP) Act and is one step in the agencies' efforts to meaningfully streamline reporting requirements. The agencies are committed to actively exploring additional revisions to Call Reports that would further reduce reporting requirement burdens. All institutions, regardless of size, submit a quarterly Call Report that includes data used by regulators to monitor the condition, performance, and risk profile of individual institutions and the industry as a whole. The agencies are committed to exploring further burden reduction and are actively evaluating further revisions to the FFIEC 051 Call Report, consistent with the guiding principles developed by FFIEC. The agencies are also considering ways to simplify the Call Report forms and instructions.
Subject to OMB approval, these revisions to the FFIEC 051 Call Report would take effect as of the September 30, 2019 report date. The less than USD 5 billion asset-size test for determining eligibility to file the FFIEC 051 Call Report in 2019 would be based on the total assets reported on an institution’s Call Report as of June 30, 2018. An institution eligible to file the FFIEC 051 Call Report also has the option to file the FFIEC 041 Call Report. Beginning in 2020, an institution should file whichever version of the Call Report for which it is both eligible and chooses to file in the first quarter of that year, for the remainder of that year if it meets the asset-size threshold for eligibility as of June 30, 2019 and continues to meet the non-asset-size criteria. An institution with less than USD 5 billion in total assets may begin reporting on the FFIEC 051 Call Report as of the December 31, 2019 report date if it:
- Qualifies to use the FFIEC 051 Call Report for the first time as a result of the agencies’ increase in the asset-size reporting threshold for the FFIEC 051 Call Report from less than USD 1 billion to less than USD 5 billion
- Desires to use that report form but is unable to do so for the September 30, 2019 Call Report date
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Effective Date: July 22, 2019
Keywords: Americas, US, Banking, Reporting, FFIEC 051, Small Banks, EGRRCP Act, US Agencies
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