The Financial Accounting Standards Board has announced upcoming workshops designed to help community banks and credit unions of all sizes implement the standard on current expected credit losses.
The CECL Implementation Workshops are a series of 90- to 120-minute interactive sessions presented by FASB staff at various conferences and other venues around the country. The workshops focus on credit loss reserve estimation techniques, including the Weighted Average Remaining Maturity (WARM) method; answers to frequently asked questions; and other common implementation issues banks may face.
Upcoming dates include Oct. 28 in Monterey, Calif.; Nov. 19 in Philadelphia; and a webinar that will be held Dec. 19. New sessions will be announced on FASB’s website as more information becomes available.
“The FASB is committed to ensuring community banks, credit unions, and lending institutions of all sizes can successfully implement the credit losses standard,” stated FASB Chairman Russell G. Golden. “To support their success, FASB staff experts are taking our CECL Implementation Workshops to conferences and other gatherings of these institutions throughout the United States. It’s yet another way we’re promoting a smooth transition to the standard for all.”
Last week, FASB voted to delay the effective date for CECL for some companies. Public business entities (PBEs) that aren’t Securities and Exchange Commission filers or smaller reporting companies as defined by the SEC and private companies will now have until fiscal years beginning after Dec. 15, 2022, including interim periods within those fiscal years, to comply with the standard, as opposed to January 2021.
PBEs that are SEC filers will still be expected to comply for fiscal years beginning after Dec. 15, 2019, and interim periods within those fiscal years. For calendar-year-end companies, the date is Jan. 1, 2020.