[Federal Register Volume 90, Number 232 (Friday, December 5, 2025)]
[Proposed Rules]
[Pages 56066-56070]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2025-22015]
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Proposed Rules
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains notices to the public of
the proposed issuance of rules and regulations. The purpose of these
notices is to give interested persons an opportunity to participate in
the rule making prior to the adoption of the final rules.
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Federal Register / Vol. 90, No. 232 / Friday, December 5, 2025 /
Proposed Rules
[[Page 56066]]
FARM CREDIT ADMINISTRATION
12 CFR Part 621
RIN 3052-AD63
Loan Performance Categories and Financial Reporting
AGENCY: Farm Credit Administration.
ACTION: Proposed rule and request for comment.
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SUMMARY: The Farm Credit Administration (FCA, we, or our) proposes to
amend our regulatory high-risk loan performance categories by removing
``Formally restructured loans (TDR),'' also known as troubled debt
restructurings. In 2022, changes in generally accepted accounting
principles (GAAP) eliminated the accounting guidance for TDRs, enhanced
disclosure requirements for certain loan refinancings and
restructurings undertaken when a borrower is experiencing financial
difficulty and changed existing vintage year disclosure requirements
for public business entities. We propose removing TDRs from our
regulatory loan performance categories to reflect changes in GAAP.
Further, we seek comments on our determination no regulatory changes
are needed for the enhanced disclosures related to loan refinancings
and restructurings or the amended vintage year disclosure requirements,
as these disclosures are already required under applicable GAAP.
Additionally, comments are requested on retaining the ``90 days past
due still accruing interest'' loan performance category.
DATES: Comments on this proposed rule must be submitted on or before
February 3, 2026.
ADDRESSES: For accuracy and efficiency, please submit comments by email
or through FCA's website. We do not accept comments submitted by fax
because faxes are difficult to process. Also, please do not submit
comments multiple times; submit your comment only once, using one of
the following methods:
Send an email to fca.gov">reg-comm@fca.gov.
Use the public comment form on our website:
1. Go to https://www.fca.gov.
2. Click inside the ``I want to . . .'' field near the top of the
page.
3. Select ``comment on a pending regulation'' from the dropdown
menu.
4. Click ``Go.'' This takes you to the comment form.
Send the comment by mail to the following: Autumn R.
Agans, Deputy Director, Office of Regulatory Policy, Farm Credit
Administration, 1501 Farm Credit Drive, McLean, VA 22102-5090.
We post all comments on the FCA website. We will show your comments
as submitted, including any supporting information; however, for
technical reasons, we may omit items such as logos and special
characters. Personal information that you provide, such as phone
numbers and addresses, will be publicly available. However, we will
attempt to remove email addresses to help reduce internet spam.
To review comments on our website, go to https://www.fca.gov and
follow these steps:
1. Click inside the ``I want to . . .'' field near the top of the
page.
2. Select ``find comments on a pending regulation'' from the
dropdown menu.
3. Click ``Go.'' This will take you to a list of regulatory
projects.
4. Select the project in which you're interested. If we have
received comments on that project, you will see a list of links to the
individual comments.
You may also review comments in person at the FCA office in McLean,
Virginia between 9:00 a.m. and 3:00 p.m., Eastern Time, Monday through
Friday of each week except Federal holidays. Please call us at (703)
883-4056 or email us at fca.gov">reg-comm@fca.gov to make an appointment.
Assistance to Individuals with Disabilities in Reviewing the
Rulemaking Record: On request, we will provide an appropriate
accommodation or auxiliary aid to an individual with a disability who
needs assistance to review the comments or other documents in the
public rulemaking record for the proposed regulation. To schedule an
appointment for this type of accommodation or auxiliary aid, please
contact (703) 883-4056.
FOR FURTHER INFORMATION CONTACT:
Technical information: Sherita J. Olla, Senior Policy Analyst,
Office of Regulatory Policy, Farm Credit Administration, 703-883-4414,
TTY (703) 883-4056.
Legal information: Laura McFarland, Senior Counsel, Office of
General Counsel, Farm Credit Administration, 703-883-4020, TTY (703)
883-4056.
SUPPLEMENTARY INFORMATION:
I. Objectives
The objectives of this proposed rule are to:
Amend FCA's high-risk loan performance categories due to
changes in GAAP; and
Clarify Farm Credit bank and association reporting
expectations for vintage disclosures and disclosures of loan
modifications to borrowers experiencing financial difficulties.
II. Background
The Farm Credit Act of 1971, as amended (Farm Credit Act),
establishes Farm Credit System (System) institutions as federally
chartered instrumentalities of the United States.\1\ The Farm Credit
Act, at section 5.19(b), requires each System institution to prepare
audited financial statements in accordance with GAAP \2\ for inclusion
in the respective institution's annual report of condition.\3\ This
provision of the Farm Credit Act also requires annual reports to
``contain such additional information'' as FCA, by regulation, may
require. Various FCA regulations in 12 CFR parts 620, 621, 630 and 655
implement the Farm Credit Act's financial reporting requirements.\4\
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\1\ See, for example, 12 U.S.C. 2011, 2071, 2091 and 2121.
\2\ GAAP, as issued and revised by the Financial Accounting
Standards Board, are the standard accounting rules for preparing,
presenting, and reporting financial statements in the United States.
\3\ 12 U.S.C. 2254(b).
\4\ FCA regulations in Part 621 generally apply to all chartered
System institutions. However, the Federal Agricultural Mortgage
Corporation (Farmer Mac) is required to follow only those provisions
where specifically indicated, which would include section 621.6. For
purposes of this preamble, we do not include separate exceptions for
Farmer Mac but expect Farmer Mac to self-identify those areas. Refer
to 12 CFR 621.1 and 621.2 (which defines the term ``institution''
within part 621 to include Farmer Mac).
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Relevant to this proposed rulemaking is FCA regulation Sec. 621.6
on high-risk
[[Page 56067]]
loan performance categories, located in subpart C of 12 CFR part 621,
``Loan Performance and Valuation Assessment.'' \5\ The current Sec.
621.6 high-risk loan performance categories include TDRs. We have
historically based our part 621 regulatory performance categories on
information from various sources, including SEC Industry Guide 3,
``Statistical Disclosure by Bank Holding Companies,'' \6\ the Federal
Financial Institutions Examination Council's (FFIEC) \7\ guidance on
nonperforming loans, and GAAP. FCA last updated the Sec. 621.6
regulatory high risk performance categories in a 2020 rulemaking on
nonaccrual loans.\8\
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\5\ FCA first adopted regulations on accounting for high risk
assets on March 13, 1986 (51 FR 8644), explaining at the time that
performance categories serve two purposes: (1) to communicate to
readers of the annual report the risks associated with loans that do
not perform according to contractual terms, and (2) to establish
objective standards consistently applied by System institutions for
both FCA oversight purposes and the consolidation of ``accurate and
meaningful aggregate [financial] data'' in the Systemwide Report to
Investors.
\6\ SEC Guide 3 was rescinded, effective January 1, 2023.
\7\ The FFEIC is an interagency body that establishes consistent
principles, standards, and report forms for the banking regulators'
federal examinations. Neither FCA, nor the System, is subject to the
FFIEC's reporting standards. However, FCA's high-risk accounting
classification rules are generally similar, though not identical, to
FFIEC standards.
\8\ 85 FR 52253, August 25, 2020.
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On March 31, 2022, the Financial Accounting Standards Board (FASB)
\9\ issued Accounting Standards Update (ASU) No. 2022-02, ``Financial
Instruments--Credit Losses (Topic 326): Troubled Debt Restructurings
and Vintage Disclosures,'' which, in part, eliminated TDR recognition
and measurement guidance under GAAP.\10\ Now, entities that follow GAAP
are to evaluate those loans, which previously would have been TDRs, in
a manner consistent with the guidance for other loan modifications.
Additionally, ASU 2022-02 requires enhanced disclosures for certain
loan modifications when a borrower is experiencing financial
difficulty.
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\9\ FASB is an independent, private sector organization
responsible for establishing accounting and financial reporting
standards in the United States for nongovernmental organizations
that follow GAAP.
\10\ The updates in ASU 2022-02 eliminated the accounting
guidance for TDRs in Subtopic 310-40, ``Receivables--Troubled Debt
Restructurings by Creditors'' and enhanced disclosure requirements
for certain loan refinancings and restructurings by creditors when
borrowers are experiencing financial difficulty.
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The ASU 2022-02 updates related to TDRs affect all entities
adopting ASU 2016-13 ``Financial Instruments--Credit Losses (Topic
326): Measurement of Credit Losses on Financial Instruments'' and the
current expected credit losses (CECL) methodology.\11\ Under ASU 2022-
02, when evaluating loan modifications made to borrowers experiencing
financial difficulty (hereafter referred to as ``loan modifications''),
entities must assess whether the loan modification should be accounted
for as a new loan or a continuation of an existing loan.\12\
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\11\ The System adopted the CECL methodology in accordance with
the FCA final rule, ``Implementation of the Current Expected Credit
Losses Methodology for Allowances, Related Adjustments to the Tier
1/Tier 2 Capital Rule, and Conforming Amendments.'' (87 FR 27483,
May 9, 2022). The CECL final rule went into effect on January 1,
2023.
\12\ The loan refinancing and restructuring guidance in ASC
2022-02 used to evaluate whether a loan modification to a borrower
experiencing financial difficulty is a new loan or a continuation of
an existing loan was carried forward from the prior ASC paragraphs
310-20-35-9 through 35-11.
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ASU 2022-02 also introduced qualitative and quantitative disclosure
requirements for loan modifications provided in the form of principal
forgiveness, interest rate reductions, other-than-insignificant payment
delays, or term extensions (or a combination thereof) in the current
reporting period. For each period the income statement is presented,
the disclosures are to provide information on the type and magnitude of
loan modifications, the financial effect of the loan modifications (by
modification type), and their performance in the 12 months after
modification.
On December 30, 2022, FCA issued Informational Memorandum,
``Accounting standards update on troubled debt restructuring (TDR)'' to
provide interim guidance to the System on the changes in GAAP related
to TDRs until FCA regulation Sec. 621.6(b) is amended.\13\
Specifically, the informational memorandum instructed System
institutions to implement the change in GAAP and disclose modifications
to borrowers experiencing financial difficulty beginning with the first
quarterly report for fiscal year 2023.
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\13\ See Accounting standards update on troubled debt
restructuring (TDR) (fca.gov).
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III. Proposed Rule Changes to Loan Performance Categories. [Existing
Sec. 621.6]
This proposed rule would revise our accounting and reporting
regulations in subpart C of 12 CFR part 621 to incorporate changes in
GAAP that took effect January 1, 2023.\14\ Specifically, we propose to
remove references to TDRs and to make conforming technical changes.
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\14\ The GAAP changes took effect when the System adopted CECL.
January 1, 2023, was the effective date of the System's adoption of
CECL.
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Our regulation at Sec. 621.6(b) currently requires System
institutions to categorize high-risk loans as TDRs when required to do
so under GAAP and FASB guidance. ASU 2022-02 eliminated TDR recognition
and related measurement guidance under GAAP for all entities that adopt
CECL. The System now uses the CECL methodology, so the TDR
categorization in Sec. 621.6(b) is no longer supported by GAAP.\15\
Additionally, in response to our 2022 regulatory burden
solicitation,\16\ the Farm Credit Council (FCC), on behalf of its
membership, as well as various System institutions, asked us to remove
Sec. 621.6(b) from our regulations. On March 3, 2025, we published a
``Statement on Regulatory Burden,'' which at III.A identified this
request as meriting a rule change.\17\
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\15\ The TDR changes included in ASU 2022-02 were not
incorporated into FCA's CECL rule as those changes were not
finalized until March 31, 2022. FCA's notice and comment rulemaking
process for CECL was in the final rule stages, so incorporating the
technical changes as contained in this proposed rule was not
appropriate under the Administrative Procedure Act's standards for
rules that had undergone a proposed rule stage.
\16\ FCA Notice of Intent; request for comment, ``Statement on
Regulatory Burden.'' 87 FR 43227 (July 20, 2022).
\17\ 90 FR 11013, 11013 (March 3, 2025).
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In response to changes in GAAP, and supported by prior comments
received, we propose removing Sec. 621.6(b). As a conforming technical
change, we propose renumbering existing paragraphs (c) and (d) as new
Sec. 621.6(b) and (c), respectively. We similarly propose a
corresponding numbering change to the cross-reference in Sec.
621.6(a)(2) from ``under paragraph (c)'' to read ``under paragraph
(b).''
Prior to developing this proposed rule, we also received comments
from the FCC and various System institutions on our Sec. 621.6(c)
high-risk loan category, ``loans 90 days past due and still accruing
interest.'' These comments requested removal of the ``loans 90 days
past due and still accruing interest'' category. The FCC stated it
believed removing Sec. 621.6(c) would conform with GAAP and explained
that in the System's experience, loans 90 days past due still accruing
interest were usually fully guaranteed, thus mitigating credit risk.
The FCC contended that under the CECL methodology, the performance
categories for high-risk loans and loan-related assets should be
limited to nonaccrual loans and other property owned.
We evaluated these comments on Sec. 621.6(c) during this
rulemaking but do not propose removing the ``90 days past
[[Page 56068]]
due and still accruing interest'' high-risk loan performance category.
This loan category can be a leading indicator of increased credit risk.
While loans categorized as ``90 days past due and still accruing
interest'' often possess a government guarantee, not all do. Further,
we believe it would be misleading to consider loans 90 days or more
past due still accruing interest, but otherwise adequately secured, and
in the process of collection, as ``performing.'' We continue to see
value in applying the performance category as a factor in the risk
weights used to determine the capital adequacy of System institutions
and in the credit review function since, as previously stated, it can
be a leading indicator of increased credit risk. Also, we do not
believe the ``90 days past due and still accruing interest'' loan
performance category is contrary to GAAP. The amortized cost basis of
financial assets that are 90 days or more past due, but not on
nonaccrual status as of the reporting date, are a required GAAP
disclosure.\18\ Moreover, FCA's ``loans 90 days past due still accruing
interest'' performance category provides stockholder-owners, as well as
other users of System institutions' annual reports, valuable
information regarding the severity, trend, and migration of
nonperforming loans and, therefore, the financial condition of Farm
Credit banks and associations as these are loans that have not
performed according to contractual terms.
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\18\ See ASC paragraph 326-20-50-16.
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As explained in the 1986 rulemaking, this performance category was
developed from the FFIEC guidance on nonperforming loans, which
identified three categories: nonaccrual, loans 90 days past due still
accruing interest, and renegotiated troubled debt. At that time, FCA
included loans 90 days past due still accruing interest in an ``other
high risk'' category (which also included loans held as current but
otherwise in severe default, bankruptcies, and foreclosures). In 1993,
FCA amended the high-risk loan performance categories to further align
System financial statement disclosures with those of the financial
services industry.\19\ This resulted in separating the category of
``loans 90 days past due and still accruing interest'' from other high
risk loan categories.\20\ The ``loans 90 days past due and still
accruing interest'' category was again amended in 2020 to clarify that
past due loans not adequately secured may be placed in this category if
it is likely they will become current in the near future. The 2020
rulemaking also increased comparability to FFIEC's loan performance
categories by specifying those loans 90 days or more past due are to be
included in the ``loans 90 days past due and still accruing interest''
category. The 2020 rule remained consistent with GAAP requirements when
making these changes.
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\19\ 58 FR 48780, Sept. 20, 1993.
\20\ In 1993, the performance category provisions were moved
from 621.3(a) to 621.6 and the category of ``loans 90 days past due
and still accruing interest'' was placed in 12 CFR 621.6(c).
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However, FCA requests comments on whether retaining the ``loans 90
days past due and still accruing interest'' performance category is
unduly burdensome as suggested by the FCC given the benefits it
provides, especially since removing it may otherwise deviate from the
FFIEC's definition of a nonperforming loan. We ask that any comments
submitted on this subject include empirically derived evidence in
support of retention or removal of the ``90 days past due still
accruing interest'' high-risk loan performance category.
IV. Disclosure Expectations for Loan Modifications and Vintage Year
Disclosures. [Existing Sec. Sec. 620.5, 620.11, 630.20, 630.40, and
655.10]
ASU 2022-02 requires all entities to provide financial statement
disclosures for loan modifications by modification type, expected
financial effect of those modifications, their performance in the 12
months after modification, and payment defaults on modifications
granted within the previous 12 months (if any). Additionally, these
disclosures, made by portfolio segment, should also provide qualitative
information on how the entity factored the loan modifications, the
borrowers' subsequent performance, and payment defaults (if any) into
the allowance for credit losses (ACL). ASU 2022-02 also amended the
vintage year requirement of public business entities to require
disclosure of current period gross write-offs by year of origination
for financing receivables and net investments in leases (``vintage
disclosures'').
FCA reviewed these disclosure requirements to determine if a
regulatory change was necessary instead of guidance. We reviewed our
existing financial reporting regulations in 12 CFR 620.5 and 620.11 to
determine if the ASU 2022-02 disclosures could be made using existing
regulatory provisions or if they would require new regulations. Based
on our review, we do not believe additional regulatory change is
required. Existing regulatory disclosure provisions in Sec. Sec.
620.5, 620.11, 630.20, and 630.40 provide appropriate categories in
which to place the ASU 2022-02 disclosures.
Our financial reporting regulations are designed to balance GAAP
compliance with ensuring stockholder-owners of Farm Credit banks and
associations receive clear, beneficial information that is reported
consistently for optimal stockholder-owner use and for consolidation
within the Systemwide combined financial statements. Also, FCA
regulations Sec. Sec. 620.3(a), 620.4(c), and 620.10(b) prohibit
making misleading disclosures. The consistent placement of ASU 2022-02
disclosures by all System institutions in the same location of
financial reports furthers the objectives of Sec. Sec. 620.3(a),
620.4(c), and 620.10(b). For this reason, and to provide meaningful
disclosures, this preamble discussion provides compliance information
for placing the enhanced GAAP disclosures within an institution's
annual and quarterly reports to stockholders using the existing
provisions of Sec. Sec. 620.5 and 620.11. We do not believe similar
compliance information is required for the Systemwide Report to
Investors, as existing FCA regulation Sec. 630.3(e) authorizes the
Funding Corporation to present the information in the Systemwide report
``in any order deemed suitable'' to ensure disclosures are meaningful
to investors and the general public. While not required, we encourage
the Funding Corporation to consider FCA compliance information given to
Farm Credit banks and associations on making these disclosures. In
preparing its annual and quarterly reports Farmer Mac follows the
provisions of 12 CFR 655.10 and it should use the information in this
preamble as appropriate to its operations.
Although we do not propose regulatory changes for the ASU 2022-02
GAAP disclosures, we request comments on our expectations for
consistent reporting of these core qualitative disclosures. We also
seek comments on our determination that no regulatory changes are
necessary for the ASU 2022-02 GAAP disclosures. We further welcome
suggested alternatives for placement of the disclosures discussed
below.
A. Disclosure of Loans to Borrowers Experiencing Financial Difficulty
(Loan Modifications). [Existing Sec. Sec. 620.5(g)(1), 620.5(j)(1),
620.11(c)(1), and 620.11(c)(2)]
ASU 2022-02 enhanced financial disclosures for certain loans that
may previously have been considered TDRs. As a result, disclosures for
loan modifications are made by class of
[[Page 56069]]
financing receivable and by portfolio segment.\21\ The disclosures
contain both qualitative and quantitative information, explaining the
type and magnitude of loan modifications, the financial effect of the
loan modifications, and the performance of the loans in the 12 months
after modification.
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\21\ Disclosures made by portfolio segment provide qualitative
information on how the entity factored the modifications and the
borrower's subsequent performance, as well as payment defaults on
modifications granted in the previous 12 months (if any) into
determining the ACL.
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FCA regulation Sec. 620.5(j)(1) provides, in part, that banks and
associations must ``furnish financial statements and related footnotes
that have been prepared in accordance with generally accepted
accounting principles and instructions and other requirements of the
Farm Credit Administration.'' While GAAP requires disclosure of loan
modifications in the financial statements and related footnotes, bank
and association financial reports are for the benefit of the
stockholder-owners. As such, FCA regulation Sec. 620.2(g) requires
Farm credit bank and association financial reports to not only follow
GAAP but to present information in a manner that provides the ``most
meaningful disclosure to shareholders.'' Accordingly, each Farm Credit
bank and association is expected to make the required GAAP loan
modification disclosures in the financial statements and related
footnotes as required per Sec. Sec. 620.5(j)(1) and 620.11(c)(2) and
include in the management's discussion and analysis (MD&A) loan
portfolio section a core loan modification qualitative disclosure (core
disclosure) per Sec. Sec. 620.5(g)(1) and 620.11(c)(1). The core
disclosure should be a short, qualitative summary of how the
modifications, subsequent performance of the borrowers, and payment
defaults (if any) impacted the ACL and portfolio segments during the
reporting period. Further, the core disclosure should be adequate to
aid shareholder understanding and awareness of the GAAP loan
modification disclosures in the financial statements and related
footnotes. As such, the GAAP disclosures included in the financial
statements and related footnotes should include a reference to the core
disclosure in MD&A and vice versa.
B. Disclosure of Current-Period Gross Write-Offs (Vintage Disclosures).
[Existing Sec. 621.3]
ASU 2022-02 changed the vintage year disclosure requirements of
public business entities.\22\ Specifically, the ASU's update requires
disclosure of current period gross write-offs by year of origination,
or vintage year, for financing receivables and net investment in leases
within the scope of Subtopic 326-20, ``Financial Instruments--Credit
Losses--Measured at Amortized Cost,'' starting with the period of
adoption. The vintage disclosures include gross write-offs under the
guidance included in ASC paragraph 326-20-50-6, which requires that a
public business entity disclose the amortized cost basis of financing
receivables within each credit quality indicator and by year of
origination (or vintage year).
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\22\ ASU 2022-02 amended the guidance on vintage disclosures to
require disclosure of current-period gross write-offs by year of
origination. In comparison, ASU 2016-13 required disclosure of the
amortized cost basis within each credit-quality indicator by year of
origination (vintage year) for each class of financing receivable
and net investment in leases. Notwithstanding, the CECL final rule,
which contained regulatory changes warranted by updates included in
ASU 2016-13, did not include a vintage year requirement.
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FCA does not propose any regulatory changes for this
disclosure.\23\ FCA regulation Sec. 621.3(b) requires preparation of
financial statements and reports in accordance with GAAP. Therefore,
Farm Credit banks and associations are to make vintage disclosures as
required by GAAP, which we understand to require placement of vintage
disclosures, or gross write-offs, in the footnotes to the financial
statements.
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\23\ The preamble to CECL final rule preamble stated FCA
``removed'' the vintage disclosure requirement of Sec. Sec.
620.5(g)(1)(iv)(B) and 630.20(g)(1)(ii)(B) because of the similarity
of the vintage disclosures made per ASU 2016-13 and FCA's
requirements for an analysis of the allowance for credit losses-to-
loans. See 87 FR 27483, 27490, May 9, 2022.
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C. Loan Refinancing and Restructuring (Loan Modification) Guidance and
System Credit Activities
FCA expects to issue separate guidance on the relationship of
GAAP's loan modification accounting instructions and System compliance
with the distressed loan servicing provisions of the Farm Credit Act.
In particular, the guidance will discuss GAAP accounting on loan
modifications for borrowers experiencing financial difficulty and its
impact on what constitutes a new or restructured loan for other
purposes under the Farm Credit Act. We anticipate issuing this guidance
soon, either before or after the publication timeline and comment
period of this rulemaking.
V. Regulatory Matters
A. Determination Under Executive Order 12866 and Expected Determination
Under Executive Order 14192
The Office of Management and Budget's Office of Information and
Regulatory Affairs has determined that this proposed rule is not a
``significant regulatory action'' as defined by Section 3(f) of
Executive Order 12866, made applicable to FCA by Executive Order 14215.
This action, if finalized as proposed, is expected to be an Executive
Order 14192 deregulatory action.
B. Regulatory Flexibility Act
Pursuant to section 605(b) of the Regulatory Flexibility Act (5
U.S.C. 601 et seq.), FCA hereby certifies that this proposed rule will
not have a significant economic impact on a substantial number of small
entities. Each of the banks in the System, considered together with its
affiliated associations, has assets and annual income in excess of the
amounts that would qualify them as small entities. Therefore, System
institutions are not ``small entities'' as defined in the Regulatory
Flexibility Act.
C. Providing Accountability Through Transparency Act of 2023
The Providing Accountability Through Transparency Act of 2023 \24\
requires a notice of proposed rulemaking to include the internet
address of a posted summary of the proposed rule, in plain language and
less than 100 words.
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\24\ 5 U.S.C. 553(b)(4).
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Public commenters may access the summary for this rulemaking under
the identifier of RIN 3052-AD63 at: https://www.fca.gov/laws-and-regulations/regulatory-projects-plan.
List of Subjects in 12 CFR Part 621
Accounting, Agriculture, Banks, Banking, Government securities,
Investments, Reporting and recordkeeping requirements, Rural areas.
For the reasons stated in the preamble, the Farm Credit
Administration proposes to amend part 621 of chapter VI, title 12 of
the Code of Federal Regulations as follows:
PART 621--ACCOUNTING AND REPORTING REQUIREMENTS
0
1. The authority citation for part 621 is revised to read as follows:
Authority: Secs. 4.12(b)(5), 4.14, 4.14A, 4.14D, 5.17, 5.19,
5.22A, 8.11 of the Farm
[[Page 56070]]
Credit Act (12 U.S.C. 2183, 2202, 2202a, 2202d, 2252, 2254, 2257a,
2279aa-11); sec. 514 of Pub. L. 102-552.
Subpart C--Loan Performance and Valuation Assessment
0
2. Section 621.6 is amended by:
0
a. Removing paragraph (b);
0
b. Renumbering paragraphs (c) and (d) as new paragraph (b) and (c); and
0
c. Replacing the phrase ``under paragraph (c)'' in Sec. 621.6(a)(2)
with ``under paragraph (b)''.
Sec. 621.6 [Amended].
* * * * *
Dated: December 2, 2025.
Ashley Waldron,
Secretary to the Board, Farm Credit Administration.
[FR Doc. 2025-22015 Filed 12-4-25; 8:45 am]
BILLING CODE 6705-01-P