ALEXANDRIA, Va.—NCUA’s policy regarding a credit union’s use of Private Company Council (PCC) alternative accounting reporting options was clarified by the agency in a new accounting bulletin (16-1), CUNA reported.
The bulletin addresses options for filing a report with the NCUA board that fall within U.S. Generally Accepted Accounting Principles (GAAP).
According to the bulletin, NCUA will permit PCC accounting alternatives issued by the Financial Accounting Standards Board when preparing its Call Reports. The Federal Credit Union Act requires that accounting principles that govern regulatory reporting by credit unions be consistent with U.S. GAAP, CUNA stated in its review of the bulletin.
If the NCUA determines that a particular accounting principle within U.S. GAAP, including a PCC accounting alternative, is inconsistent with statutorily specified objectives, the NCUA can prescribe an accounting principle for regulatory reporting purposes that is no less stringent than U.S. GAAP, CUNA noted.