Oct 19, 2017
From the Government Institute
State and local governments, not-for-profits, and other organizations that are awarded federal funds are required by the federal government’s uniform grant guidance to establish and maintain adequate internal controls, and both COSO and the Green Book are recommended best practices to use as a “control framework” guide in developing and assessing internal controls. Considering that the Census Bureau’s 2015 Annual Survey of State Government Finances indicated that federal funding accounted for one-third of all state revenues, remaining compliant with revised federal requirements is critical to the economic health of state and local governments.
Details on how controls are functioning across the organization can indicate opportunities to improve processes and efficiency, reduce redundancy, reduce the cost of controlling your processes through increased automation and standardization, strengthen risk mitigation (including protecting against fraud and cyber threats), and enhance service delivery.
This white paper provides insight into GAO's Standards for Internal Control in the Federal Government, also known as the Green Book.