Which item describes the designation of a person within BSA governance?

Which item describes the designation of a person within BSA governance?

• A. Financial policy
• B. Compliance program
• C. Designation of a person with knowledge and authority to complete the job
• D. Training module

Answer: (C)

In BSA/AML governance, assigning a person with knowledge and authority to carry out the program ensures accountability, clear responsibility, and effective oversight. This designated individual—often the BSA/AML Officer or Compliance Officer—has the authority to implement policies, supervise staff, allocate resources, and escalate issues to senior management or the board. This role is essential for timely SAR filings, due diligence, monitoring, training, and responding to regulatory inquiries, all of which require decision-making power and accountability. The other items describe parts of the governance framework—financial policy sets rules, the compliance program provides the structure to operate, and a training module educates staff—yet they do not specify who has the authority to execute the BSA/AML program.

In BSA/AML governance, assigning a person with knowledge and authority to carry out the program ensures accountability, clear responsibility, and effective oversight. This designated individual—often the BSA/AML Officer or Compliance Officer—has the authority to implement policies, supervise staff, allocate resources, and escalate issues to senior management or the board. This role is essential for timely SAR filings, due diligence, monitoring, training, and responding to regulatory inquiries, all of which require decision-making power and accountability.

The other items describe parts of the governance framework—financial policy sets rules, the compliance program provides the structure to operate, and a training module educates staff—yet they do not specify who has the authority to execute the BSA/AML program.