international accounting, auditing and disclosure standards and practices for global banking organizations. for example, our chief accountant was the basel committee's lead representative at meetings of the former international accounting standards - setter and is a member of the iasb's standards advisory council, which advises the iasb and its trustees on the iasb's agenda, proposals, and standards. the basel committee has also issued numerous policy papers, surveys, and other releases that address bank transparency, enhanced practices for loan - loss reserves and credit risk disclosure, sound bank internal and external audit programs, and sound risk - disclosure practices. moreover, the basel committee's approach to its new capital accord, with its market - discipline component in pillar 3, signals that sound accounting and disclosure will continue to be important aspects of our supervisory approach for many years to come. many u. s. banking organizations have assumed that international accounting standards are essentially irrelevant to their financial reporting activities. however, the sarbanes - oxley act includes a directive that u. s. accounting standards should seek convergence internationally. in view of this, the fasb and the iasb announced in october 2002 a major agreement to intensify their projects that seek international convergence and harmonization of accounting standards. the sec and the federal reserve strongly support efforts to harmonize international accounting standards in ways that achieve high - quality standards for global firms, including banking organizations. i believe that u. s. banking organizations and their auditors should focus more attention on the initiatives of the iasb in view of these developments and the requirements of the new legislation. in conclusion in conclusion, steps to restore public confidence in the u. s. capital markets have begun, yet the need for a cultural change in the accounting profession, in addition to more regulation, is evident. we have seen all too well that the actions of a few can easily bring down a firm built primarily of good practitioners. although i've been critical of the profession, in many cases the public doesn't look beyond the reputation of our firms, and in some cases individuals, when they evaluate the integrity of the profession. it is, therefore, up to auditors to embrace the professional standards and ethics that have made their attestation function so effective and accepted in the past. a cultural change in the profession today is a prerequisite for an effective principles - based system of standards that can serve to guide us through accounting for new and innovative financial transactions. along with enhanced disclosures based

michelle w bowman : confirmation hearing testimony by ms michelle w bowman, member of the board of governors of the federal reserve system, before the committee on banking, housing, and urban affairs, us senate, washington dc, 5 june 2019. * * * chairman crapo, ranking member brown, and members of the committee, it has been just over a year since this committee first recommended my nomination as a federal reserve board governor. while i am not the first community banker to serve on the board, i am humbled by the opportunity you gave me to serve as the first governor to fill the role the congress designated for someone with community banking experience on the federal reserve board. i am deeply honored the president has renominated me to serve in that capacity. i am also grateful to my family for their continued support. my husband, wes, and our children, jack and audrey, are here with me today. the rest of my family are watching from home in kansas. since my confirmation last year, i have worked to fulfill my unique role on the board by traveling widely and listening closely to community bankers, consumers, small business owners, and community leaders. i have visited with farmers, workers, and business leaders from across the country to discuss the economy. i am making sure these unique perspectives are represented in the federal reserve ’ s deliberations and decision making on both monetary policy and regulatory matters. during my time at the board, i have also drawn on my experience as a community banker and regulator to ensure that our work is guided by a deep understanding of the practical realities confronting bankers and the communities they serve across the country. the work done after the crisis to address the weaknesses in the u. s. financial system and ensure its future resilience was essential. however, during my time at my family ’ s community bank, i saw firsthand how the regulatory changes created in the aftermath of the crisis impacted community financial institutions. small, solid institutions like this one are essential to so many of our citizens and communities. as regulators, we need to ensure that we are not imposing unnecessary burdens on community banks. that is why one of my priorities as a governor has been to appropriately tailor our supervision and regulation to the size, complexity, capacity, and risks posed by an institution. to further this effort, i recently formed a working group of experts from across the federal reserve system to launch a comprehensive review of our supervisory work with smaller regional and community banks. while serving as the kansas state bank commissioner