The Financial Accounting Standards Board (FASB) issued a new accounting standard that will significantly change how Credit Union’s account for credit losses for most financial assets and certain other instruments. One key change is the requirement to measure certain credit losses under a new model, commonly referred to as the current expected credit loss (CECL) model. In 2023 all Credit Unions over $10 million in assets will have implemented CECL. The new standard affects accounting for loans, held-to-maturity (HTM) debt securities, certain off-balance-sheet credit exposures, and other financial assets. It also makes changes to the impairment model for available-for-sale (AFS) securities.
This presentation will cover the following topics the Audit Committee should be aware of to fulfill their corporate governance responsibility.
Mike Richards has held the position of CEO of Richards & Associates, CPAs for nearly forty years. He joined the firm in 1973 after earning a bachelor’s degree in business administration from the California State University at Los Angeles and becoming a Certified Public Accountant. In addition to managing the day-to-day operations of Richards & Associates, Mike has introduced many new services we now provide for our clients. He is responsible for quality control of all professional services offered by the firm.
2855 East Guasti Rd., Suite 202
Ontario, CA 91761
909.212.6000
1201 K. St., Suite 1050
Sacramento, CA 95814-3992
916.325.1360
c/o Great Basin FCU
9770 South Virginia Street
Reno, NV 89511-5941
202.638.5777 www.cuna.org
www.dfpi.ca.gov
Clothilde “Cloey” V. Hewlett — 415.263.8500
fid.state.nv.us
702.486.4120 (Las Vegas)
775.684.2970 (Carson City)