BOARD OF GOVERNORS
FEDERAL RESERVE SYSTEM
WASHINGTON, D. C. 20551
DIVISION OF BANKING
SUPERVISION AND REGULATION
SR 94-7 (FIS)
January 27, 1994TO THE OFFICER IN CHARGE OF SUPERVISION
AT EACH FEDERAL RESERVE BANK
SUBJECT: System Training Procedures
Through SR Letter 91-1 (January 4, 1991), the System outlined a training program for every System examiner that would require mastery of a defined core curriculum and successful completion of a test based upon that curriculum. The program contemplated successful completion of seven System courses (Introduction to Examinations, Financial Institutions Analysis, Loan Analysis, Bank Management, Management Skills, Effective Writing, and Conducting Meetings with Management) and mastery of related laws and regulations. In addition, the staff member would be required to demonstrate proficiency in at least one specialty area.
Questions have arisen about the experience to date with some of the core curriculum for the non-financial examination specialties. Accordingly, this letter is intended to clarify the content of the core curriculum and its resultant test.
A primary area of emphasis in the curriculum is the Loan Analysis course. This course stresses credit review concepts through extensive pre-course work (approximately 80 hours) and two weeks of classroom instruction. The depth of the course goes beyond the needs of specialty examiners. Moreover, the inclusion of content unrelated to daily job responsibilities places the specialty examiner at a comparative disadvantage when taking the core proficiency examination.
In order to balance specialty area requirements more equitably, the core curriculum for all System supervisory staff members will no longer include the Loan Analysis course. However, the course will be added as a requirement to the financial examination specialties. Moreover, the Consumer Affairs/CRA content of the core curriculum will be strengthened through four additional consumer-related self-study guides and additional fair lending and other consumer-related lectures in the Bank Management course. Finally, the content of the core curriculum examination will be modified to reflect the newly defined core curriculum.
The modified core curriculum is shown on the attachment. The modified curriculum should provide a better reflection of the body of knowledge that is valuable to all System staff members.
ATTACHMENT TRANSMITTED ELECTRONICALLY BELOW
Introduction to Examinations
Financial Institutions Analysis
Conducting Meetings with Management
Federal Reserve Act
Sections 23A & B
Bank Secrecy Act
Right to Financial Privacy Act
Change in Bank Control Act
Regulation A (Discount Window)
Regulations G, T, U & X
Regulation Z: Open End
Regulation Z: Closed End
SR letters | 1994