Overview. CRA Wiz and Fair Lending Wiz 6.7 Release Notes

Transcription

1 CRA Wiz and Fair Lending Wiz 6.7 Overview Who should install this update? All users of CRA Wiz and Fair Lending Wiz 6.6 SP4.2 are strongly encouraged to upgrade to Version 6.7. V6.7 is a full release that can be installed without any previous installations, or it can be installed as an update to V6.6 SP4.2. It contains updates for both the client and the server portion of CRA Wiz and Fair Lending Wiz. What s in This Update: 2010 US Census Support 2011 Alaska County Updates 2011 FFIEC Edits Race Proxy Bug Fixes Requirements: CRA Wiz and Fair Lending Wiz 6.6 Service Pack 4.2. If your Wiz environment is currently not on SP4.2, please upgrade to SP4.2 before upgrading to Version 6.7. If you have further questions, please contact WKFS Technical Support at (800) If you are using SQL Server 2005 Express edition within your Wiz 6.7 environment, follow the installation instructions linked to in the section at the bottom (SQL Server 2005 Notes). You must have installed the collation of SQL_Latin1_General_CP1_CI_AS (dictionary order, case insensitive, for use with 1252 Character Set) within your SQL Server 2005 & 2008 environment prior to installing V6.7. For more information, please refer to your SQL Server Database Administrator or call WKFS Technical Support. Also refer to SQL Server 2005 Notes section at the end of this document. 1

2 Within your SQL Server 2005 & 2008 installation, you must enable a setting for the TCP/IP Network Configuration settings to be able to use CRA Wiz and Fair Lending Wiz. For more information, please refer to the files linked to below (SQL Server 2005 Notes). If you plan to install CRA Wiz and Fair Lending Wiz 6.7 as a new install within your environment, please the WKFS Technical Support team at wiz.support@wolterskluwer.com to obtain a new license file US Census Data Support Over the course of the next year Wolters Kluwer Financial Services will be integrating the 2010 Census data into CRA Wiz & Fair Lending Wiz. The FFIEC is requiring that this data be used for CRA & HMDA collection beginning in the 2012 collection year and reported in The 2010 Census data is also going to be unique in that it will include, for the first time, the five-year roll-up from the American Community Survey. V6.7 will include most general population and housing demographic numbers that are based on the 2010 Census data that was released over the summer of The areas that this data will be implemented in our applications and services include the following: Updated Demographics related to the new values defined by the US Census. Transitional county and MSA analysis between the 2000 and 2010 Census values. Listing of all new census tract definitions and capability to create new assessment areas. Updated Mapping Layers with the new census tract definitions.* This update will not include the tract income categorization of the tracts or any income related demographic data because the data that is required for these calculations ( American Community Survey) will not be released by the US Census until December, Additionally, geocoding to 2010 census tracts will not be enabled until the 2010 census tract address data is provided by Teleatlas and processed by us. There will be two updates provided in Q1, 2012 to complete the 2010 Census data: Geocoding Data Update: 2010 Geocoding Address data which will enable users to geocode their addresses to the 2010 census tracts. CRA Wiz Data Update: A demographic data update based on the ACS data which will include all applicable income information. *Important Note regarding CRA Wiz Mapper & 2010 US Census Support In order to utilize Census 2010 data in the CRA Wiz Mapper, institutions are required to install the new 2010 Mapping Data. The 2010 Mapping Data has been updated with new map layers based on the 2010 US Census and will be shipped to licensed institutions to during the same time frame the CRA Wiz & Fair Lending Wiz 6.7 is shipped. For details on 2

3 the new 2010 Mapping Data, please reference the release notes and installation instructions that will accompany the Mapping Data release (these documents will also be available on the Wiz Web Center) Alaskan County Updates In 2010 and again in 2011, the FFIEC released an addendum to their list of counties in the state of Alaska. The changes are detailed below in a quote from their Geocoding Help page ( Effective for 2010 data, one county was deleted and two new counties were added: - Skagway-Hoonah-Angoon Census Area, AK (02-232) was deleted and split to create two new counties: Skagway Municipality, AK (02-230) and Hoonah- Angoon Census Area, AK (02-105). Effective for 2011 data, three new counties were added and two counties were deleted: - Wrangell-Petersburg Census Area, AK (02-280) was deleted and split to create two new counties: Wrangell City and Borough Census Area, AK (02-275) and Petersburg Census Area, AK (02-195). - Prince of Wales-Outer Ketchikan Census Area, AK (02-201) was deleted and split to create one new county: Prince of Wales-Hyder Census Area, AK (02-198). To elaborate on the FFIEC's post: The three tracts that make up county 232 have been split up to create two new counties; 230 and 105. The three tracts that were previously part of county 280 have been split up to create two new counties; 275 and 195. The four tracts that previously created county 201 have been shifted to 198 county. *There are several other small changes that will show up geographically but are not possible to show based on census tract. For ease of understanding, these changes are detailed in the following table: State Census Tract Old County New County New County Name Skagway Municipality Hoonah-Angoon Census Area Hoonah-Angoon Census Area Petersburg Census Area 3

4 Petersburg Census Area Wrangell City and Borough Prince of Wales-Hyder Prince of Wales-Hyder Prince of Wales-Hyder Prince of Wales-Hyder New functionality for the county changes: - Geocoding Engine automatically updates files to the new locations - All installed peer data will be updated to the new locations to allow for comparison to new locations o Peer Mortgage o Peer Small Business o Peer Branch & Deposit - US Census Database Tables have been updated with the new locations - Assessment Areas have been updated to the new locations o Current AA s automatically updated o Installed AA s automatically updated - Update Calculated Fields has been updated to replace old locations with new CRA/HMDA Related Updates Report Text Filter A few filters in the Replace Wizard have been updated to ensure they fully encapsulate predefined text. Action Date Filter The Action Date filter has been updated so that none of the quarters give a conversion error when attempting to use them. MMW Fields Global Replace of Applnumb no longer clears the MMW fields relevant to the geocoder. Duplicate Owner Occupied count in Loan & Demographic Report The Loan & Demographic Report no longer shows duplicate count of Owner Occupied and now matches the Demographic Report count. Custom Table: Rate Lock Date The listed name for Rate Lock Date in the Custom Table builder is now Rate Lock Date instead of Rate Change Date FFIEC Encryption Software Embedded The 2011 FFIEC Encryption software has been embedded directly into CRA Wiz Version 6.7 to allow for 2011 Data processing. Consumer Financial Protection Bureau The Consumer Financial Protection Bureau (CFPB) has been incorporated into CRA Wiz Version 6.7. This will allow for users to submit 4

5 to the CFPB if this is their new HMDA Regulator. This also means that the OTS is no longer available as an option. Worksheet K1 Report Worksheet K1 now correctly shows 'Single Family (1 unit, Detached)' instead of 'Single Family (1 unit, Detached)'. Demographic Housing Report Print out The 1-4 Family count for Housing Demographics Printed Report now matches the 1-4 Family count for the Housing Demographics Application Report. Worksheet F Excel export showing incorrect 100% The Excel export of Worksheet F no longer displays FHA, VA, FSA/RHS as 100% for all exports. Interactive Geocoding city name retrieval Logic used to retrieve city names has been updated to display United States Postal Service city names as opposed to alias city names that were previously displaying for a minority of cases. Improve Interactive Geocoding logic for special addresses Logic for street segments with a hyphen (-) in the street number has been updated (primarily seen in the State of Hawaii). Non numeric house numbers are now considered viable numbers. Previously the segments were listed with question marks (?) in them, this has been corrected FFIEC Edits The CRA Wiz & Fair Lending Wiz software now uses the recently released 2011 FFIEC Edit list.: Revised Edits Transmittal Sheet V385 - If agency code = 1 and action taken = 3 or 7, then at least one reason for denial must be provided and must = 1, 2, 3, 4, 5, 6, 7, 8, or 9. Other reasons for denial must = 1, 2, 3, 4, 5, 6, 7, 8, 9 or blank. V355 - If (agency code = 2, 3, 5, 7 or 9) or (agency code = 1 and action taken not = 3 or 7), then reasons for denial must = 1, 2, 3, 4, 5, 6, 7, 8, 9, or blank. Q044 - If agency = 1, 2, 3, 7 or 9, action taken type = 1, loan purpose = 2 or 3, lien status = 1, and rate spread > 8%, then HOEPA status should = 1. Q045 - If agency = 1, 2, 3, 7 or 9, action taken type = 1, loan purpose = 2 or 3, lien status = 2, and rate spread > 10%, then HOEPA status should = 1. 5

6 Loan/Application Register V210 - Date application received must be in CCYYMMDD format; month and day must be in the range and 01-31, respectively or equal NA. CCYY must be numeric and CC (century) must equal 19 or 20. New Edits Loan/Application Register Q068 - If action taken type = 1-5, 7 or 8 (application date = and not = NA), and applicant ethnicity, race and sex = 4,7,4, respectively, and co-applicant ethnicity, race and sex = 4,7,4, respectively, and there is no co-applicant, then co-applicant ethnicity, race, and sex should = 5,8,5, respectively. *Any Edits on the FFIEC Edit list and not on this list were ignored on purpose; they are not necessary/applicable with the way that CRA Wiz generates submission files. Fair Lending Related Updates Race Proxy Please refer to the following Race Proxy section for details about this feature US Census Data Support for FLW Added 2010 Census data support for Fair Lending Wiz reporting that use US Census data. Enhanced Citrix support For Fair Lending Wiz installation and software upgrades. Difference of Means In the Interpretation column of the Difference of Means (DoM) report, if there are less than 5 Minorities or less than 25 Comparators, then the value for this column returns Not Enough Data. Previously, if there were less than 30 Comparators or Minorities, then the value for this column returns Not Enough Data. R1 report In the Differences in Origination Counts by Minority Concentration: Redlining R1 report, the statistical significance calculation is now correctly considering the count of total applications instead of the count of originations. 6

7 Race Proxy The Race Proxy feature enhancement (Race Proxy) provides our CRA Wiz and Fair Lending Wiz clients the convenience of applying Race and/or Co-Applicant Race value(s) to the loan applications. This feature leverages the existing Surnames (Last Names) database (DB) table* currently used for the Ethnicity Proxy released in SP4.0. An additional DB table has been added containing Geography data (Source: 2000 SF1 from US Census), specifically Census Tract, Block Group, and Block information along with census population data. This data, combined with data provided in the loan application(s), is used to analyze and make a determination of whether or not a proper Applicant and/or the Co-Applicant Race value can be assigned. This feature also allows you to set specific Threshold % Cutoff values as well as the Geography Level for the analysis, so that you can control how lenient or strict the match can be. This will be explained in more details below. *Source - US Census Bureau: Race Proxy Functionality Explained Prior to using Race Proxy for the first time, your institution will need to configure the desired Geography & Last Name Threshold Percentages (%), as well as the Geography level it will be base its analysis on. The Surnames DB table contains the list of Last Names and the Percent Race Origins data for White, Black, Asian, and American Indian/Alaskan Native race groups. The Geography DB table contains Census Tract, Block Group, Block data along with Percent Race Origins data for White, Black, Asian, American Indian/Alaska Native, and Native Hawaiian/Pacific Islander race groups. This feature compares the desired Threshold percentages against the Percent Race Origin values matched by both Last Name and Geography to determine if an appropriate race code can be assigned to the particular Applicant and/or Co-Applicant. Finally, new Race Proxy field(s) named RaceProxy and CoaRaceProxy will be appropriately flagged, so that you can tell which records(s) were impacted by having the Race and/or CoaRace fields modified by this feature. This feature is available if you have configured the following in System Maintenance Settings screen (within CRA Wiz & Fair Lending Wiz): Geography Level = Block (default value) Threshold % Based on Geography = 70 (default value) Threshold % Based on Last Name = 70 (default value) In an example where the loan application contains the following information: Applicant Last Name = Stallworth (the Surnames DB table recognizes this last name as 84.92% Black Origin) 7

8 Property Address FIPS Codes: State = 06 (CA), County = 073, Census Tract = , Block Group = 2, Block = 2004 (the Geography DB table recognizes this geography as 74.11% White origin) The software will place a race code of 3 (Black) in the Race field and an N70 in the RaceProxy field in that loan application. The software assigns the N value since the Race Origin value based on Last Name was higher (84.92%) than the Race Origin value based on Geography (74.11%). The 70 value tells you what Threshold % was configured in the System Maintenance screen when the Race Proxy was performed on the loan application(s). In this particular example, since both 74.11% (Geography Block) and 84.92% (Last Name) were higher than the set threshold of 70%, both values would be considered in determining which race code to assign to this application. In this case, since 84.92% is higher than 74.11%, the software would take the race value based on Last Name. The higher the Threshold % value, the stricter the match. Configuring Race Proxy Functionality To configure the desired Threshold Percentage values and Geography Level settings in CRA Wiz & Fair Lending Wiz, log into the application as a CRA Wiz & Fair Lending Wiz Admin. 1. From the main page, click System Maintenance: 2. Click the Settings tab located at the upper-right side of the screen: 8

9 3. Locate the Race Proxy section on the right side of the page and enter the desired Threshold percentage values (if you wish to change it from the default value of 70). Note: You do not need to enter the percent (%) sign in the textbox. 4. From the Geography Level drop-down menu, select the desired geography level to base the geography matches on (if you wish to change it from the default value of Block): 5. Click Apply. Note: If you are not sure what the appropriate Threshold percentages should be set to, we suggest leaving the default values. 9

10 Note: Using the Race Proxy requires that your LAR file contains the following field names: Field Name Description Data Type Size Race Applicant s Race CHAR 1 CoaRace Co-Applicant s Race CHAR 1 LastName Applicant s Last Name VARCHAR 20 (you may set this higher if needed) clastname Co-Applicant s Last Name VARCHAR 20 (you may set this higher if needed) State State FIPS code CHAR 2 MSA MSA FIPS code CHAR 5 County County FIPS code CHAR 3 CensusTrac Census Tract FIPS code CHAR 7 BlockGrp Block Group code CHAR 4 gdtplace Block level code CHAR 5 Using Race Proxy Functionality You access Race Proxy functionality from the File Management screen. 1. Right-click the file on which you want to run the Race Proxy. The software displays the following contextual menu: 2. Select Impute Race Based on. The software displays three sub-menu options to the right: 10

11 Note: To demonstrate this feature, we will assume that you ve chosen to impute the Race Based on only the primary applicant. We will also assume that the geography level selected is Block, and the Threshold % values for both Last Name and Geography is at 70%. The software verifies the existence of the required DB tables. If your CRA Wiz and Fair Lending Wiz Server do not have the tables, the software displays the following dialog box: The software verifies the existence of the RaceProxy field. If this field does not exist in the LAR file, the software displays the following dialog box: 3. Click the OK button to create the field, or click the Cancel button to return to the File Management screen. The software verifies the existence of the Race and LastName fields (mentioned in the above section). If the LAR file does not contain both fields, the software displays the following dialog box: 4. Click the button OK to return to the File Management screen. Note: You must create these two fields manually using the Modify Structure feature as mentioned in the dialog box. The software verifies the existence of the required geography fields in the LAR-- State, MSA, County, Cenustrac, BlockGrp, and gdtplace (Block). If it cannot, the software displays the following dialog box: 11

12 5. Click the OK button to return to the File Management screen. Note: You must create these two fields manually using the Modify Structure feature as mentioned in the dialog box. The software then does the following: For each record in the LAR file, the software looks to see if there is a value in the Race field. If it does exist, it will not take any action on that particular record and will move onto the next record. For each record in the LAR file, the software looks to see if the LastName value exists. If it does not, it will not take any action on that particular record and will move onto the next record. If the LastName value does not exist in the Surnames DB table, it will not take any action on that particular record and will move onto the next record. For each record in the LAR file, the software looks to see if State, MSA, County, Cenustrac, BlockGrp, and gdtplace (Block) all contain values. If any one of these fields does not contain a value, it will not take any action on that particular record and will move onto the next record. If the geography combination values exist in the Geography DB table, the software compares the value set for the Geography Threshold % (in the System Maintenance Settings screen) against the maximum percent origin value amongst the White, Black, Asian, American Indian/Alaska Native, and Native Hawaiian/Pacific Islander race groups: If the maximum Percent Race Origin value is equal to or greater than the Geography Threshold % value, it will consider this race group. If the maximum Percent Race Origin value is less than the Geography Threshold % value, it will not consider assigning a race value based on Geography. To illustrate this better, consider the following record that contains the following: State = 06 (CA) County = 073 Census Tract = Block Group = 2 Block =

13 There is a match in the Geography DB table for the above geography combination. The Race Percent Origin for this combination is as follows: % Race White = % Race Black = 1.42 % Race Asian = 4.96 % Race American Indian = 0.35 % Race Native Hawaiian = 0.35 The maximum value amongst these 5 values is (% White). Since this value is greater than the Geography Threshold % of 70, Race Proxy via Geography will be considered. If the last name exists in the Last Name DB table, the software compares the value set for the Last Name Threshold % (in the System Maintenance Settings screen) against the maximum percent origin value amongst the White, Black, Asian, and American Indian/Alaskan Native race groups: If the maximum Percent Race Origin value is equal to or greater than the Last Name Threshold % value, it will consider this race group. If the maximum Percent Race Origin value is less than the Last Name Threshold % value, it will not consider assigning a race value based on Last Name. To illustrate this better, consider the following record that contains the Last Name: Stallworth. There is a match in the Last Name DB table for this last name. The Race Percent Origin for this name is as follows: % Race White = % Race Black = % Race Asian = 0.19 % Race American Indian = 0.26 The maximum value amongst these 4 values is (% Black). Since this value is greater than the Last Name Threshold % of 70, Race Proxy via Last Name will be considered. Since both the Geography and Last Name values were considered, it compares the greater of these 2 values. In this example, the Percent Race Origin value from the Last Name (84.92) is greater than the Percent Race Origin value from Geography (74.11). Therefore, the Race field for this record will be populated with a 3 (Black) and the RaceProxy field will be populated with a N70. The code of N means that the race code was assigned to this record using the Race Proxy based on Last Name (Surname). 13

14 The 70 value tells you what Threshold % was configured in the System Maintenance screen when Race Proxy was performed on the loan application(s). The higher the Threshold % value, the stricter the match. If the race code was determined based on Geography instead of Last Name, then the Race field would have been populated with a 5 (White). The RaceProxy field would have been populated with GBK70. Here are the following Geography codes and what they represent: GCT: geography match based on Census tract GBG: geography match based on Block Group GBK: geography match based on Block (gdtplace) level The software then cycles through the rest of the record(s). Additional Notes If either the Race, LastName, or the Geocoding fields are subsequently modified (via the Edit screen or via replace command(s)), the RaceProxy field is then modified to be a blank value. If either the CoaRace, clastname, or the Geocoding fields are subsequently modified (via the Edit screen or via replace command(s)), the CoaRaceProxy field returns a blank value. This is included to inform you that the values in the Race and/or CoaRace fields are no longer determined by the Race Proxy. Each time Race Proxy is performed on the LAR file, the latest Threshold % settings will overwrite the existing threshold settings that have already been applied to the record(s), provided that a new Race or CoaRace code was assigned by the Race Proxy. For example, if I initially run the Race Proxy on a particular LAR file with the Threshold % setting of 70, and then run the Race Proxy again with the Threshold % set to 60, any record that has an Applicant Last Name and/or Co-Applicant Last Name with a Percent Origin of over 60 or higher will have the value of 60 populated in the RaceProxy and CoaRaceProxy fields, assuming that a race (and/or coarace) value was applied by the Race Proxy. The RaceProxy and CoaRaceProxy fields are read-only fields. The Race Proxy does not override the Locking record(s) functionality currently in CRA Wiz and Fair Lending Wiz 6.6. Applicant (and/or Co-Applicant) Last name(s) must be present in the surname database and the geography level data must be present for the race proxy to make a determination. Both values are considered when determining a Race. 14

15 Recommended Use of Race Proxy To maximize the use of the Race Proxy feature, we recommend that you: 1. Set the Geography Level to the lowest level that your institution is comfortable with. 2. Run the Race Proxy based on the level set. 3. If the number of matches are low, and if your institution is comfortable with adjusting the Geography setting to a higher level, set the Geography Level one level up. For example, if the first run was with the Geography Level set to "Block", then adjust the setting to "Block Group". 4. Re-run the Race Proxy with this adjusted Geography Level. Please note that it will not overwrite the results of the first run. Your institution can also adjust the Geography and Last Name % Thresholds to the level that your institution is comfortable with to receive more matches. SQL Server 2005 Notes Refer to the following files (on the Wiz Web Center) for important information about using SQL Server 2005 With the Wiz Software: CRA Wiz & Fair Lending Wiz - SQL Server 2005 Express Installation Instructions CRA Wiz & Fair Lending Wiz SP1.2 with Microsoft SQL Server 2005 Enterprise Edition (CLEAN Installation Instructions) 15