Large Bank Supervision Forum 2023

Best Practices for Large Bank Supervision

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o Federal Reserve, FDIC, or State system o Discuss any agency hurdles for granting access 8. Establish workpaper documentation protocol o Determine agency procedures to be utilized o Establish a standard workpaper format 9. Establish Report of Examination (ROE) procedures o State and Federal counterpart should alternate lead in the annual roll ‐ up examination o Establish timeline for completion of the ROE o Develop ROE job assignments document for completing the Report o Understand each agency management’s expectation for reporting and reviewing findings o Determine the approval and communication process for material edits to the Report o Discuss and develop a process for final report review to ensure both agencies have input o Determine if/how vetting of findings will be handled 10. Discuss management of Target review process o Agencies should have equal authority with lead examiners assigned to each target, if possible o Understand each agency management’s expectation for reporting and reviewing findings o Establish a workpaper review protocol o Determine how divergent opinions and disagreements will be discussed and documented 11. Discuss how the closing of SR/MRBA (MRA/MRIA) will be handled II. Planning 1. Coordinate timelines for supervisory planning and submission deadlines with federal counterpart o Schedule time for CPC and EIC to be involved with the federal agencies o Schedule time to review and approve any subsequent changes to the plan o Schedule time to review the final Supervisory Plan prior to submission to the federal regional office 2. Efficient development of the annual Target review schedule o Schedule target reviews throughout the year, avoiding heavy concentrations o Consider any scheduled quarterly meetings and reporting o Plan for outside commitments such as conferences and training o Schedule time to review and approve any subsequent changes to schedule o It is important to remember that your state agency has equal authority to influence the final supervisory plan which can include adding or eliminating targets depending on your knowledge of the institution and other factors

Last update March 1, 2023