Other Financial Information
Secure base amount (SBA)
Congress established a statutory requirement for the Insurance Fund to be maintained at an SBA equal to 2 percent of adjusted insured obligations or such other percentage as the Corporation in its sole discretion determines to be actuarially sound. FCSIC has maintained the 2 percent SBA since the inception of the Corporation and will not consider changing the SBA unless the 2 percent is determined not to be actuarially sound.
On a quarterly basis, FCSIC reports the SBA Calculation based on the adjusted amounts reported by the System compared to the amounts in our Insurance Fund. In accordance with the Farm Credit Act, the calendar year-end SBA Calculation is used when determining annual premium accrual rates.
Below is the current SBA calculation which also displays the SBA calculations for the past year.
SBA as of Dec 31, 2024 (pdf)
Treasury investments
FCSIC’s primary investment objective is to ensure adequate liquidity of the Insurance Fund to meet our mission. Our secondary objective is to optimize the rate of return on our investment portfolio. Funds are invested in U.S. Treasury securities in accordance with the Farm Credit Act and our investment policy. The U.S. Treasury lists our investment information publicly on their website. In addition, our auditors have been obtaining a calendar year-end investment confirmation from Treasury.
FCSIC’s current investment information is available on the Treasury Direct website at https://www.treasurydirect.gov/govt/reports/fip/investments-distribution-query/report.html under account number 352X4136.
FMFIA assessment results
As required by the Federal Managers’ Financial Integrity Act of 1982 (FMFIA), our management assesses FCSIC’s internal controls annually. Our assessment is aimed to determine that our internal controls comply with the standards prescribed by the U.S. Government Accountability Office, and to provide reasonable assurance that our program objectives are being met. The assessment is performed on an annual basis and the results are communicated to the President.
2023 FMFIA Assessment Results (pdf)
Special purpose audit for the Federal Government’s Consolidated Audit
FCSIC is part of the U.S. government. Although we do not receive an annual appropriation from Congress each year, the Insurance Corporation and the Insurance Fund are included in the President’s Budget. The Insurance Fund is also consolidated into Treasury’s governmentwide fiscal year-end financial statements because we are considered a “significant entity” to the federal financial statements. However, like the FDIC and NCUA which are also significant entities, FCSIC has a fiscal year-end of December 31st. Thus, because we are consolidated into the federal government as a significant entity, we are required to obtain a special purpose audit at the federal fiscal year-end of September 30th. That special purpose audit is conducted exclusively for the federal government’s consolidated purposes. The September 30, 2024, audit resulted in an unmodified opinion and our auditors did not identify any reportable internal control issues during their review.
FCSIC’s financial information is consolidated in Treasury’s annual governmentwide financial report which can be viewed at https://fiscal.treasury.gov/reports-statements/financial-report/