GAO seeks feedback on its proposed Green Book update – MeriTalk

The Government Accountability Office (GAO) is seeking feedback on its proposed revisions to its standards for internal control of the federal government, also known as the “Green Paper.”

The Green Book has been used in the past as a framework for federal agencies to better manage their internal control work. GAO is requesting public comments on the draft green paper by August 26.

“The Green Paper was last revised in 2014. Since then, events such as pandemics and cyber-attacks have highlighted the challenges managers face in addressing risks related to fraud, improper payments, information security and the implementation of new or significantly modified programs, including emergency assistance programs,” the report said.

“This proposed revision provides additional requirements, guidance and resources for addressing these risk areas in the design, implementation and operation of an effective internal control system,” it continues.

The most important revisions in the new report include extensive changes to the Internal Control – Integrated Framework of the Committee of Sponsoring Organizations of the Treadway Commission (COSO).

“The updates include an emphasis on prioritizing preventive control measures and emphasizing management responsibility for internal control at all levels and in all functions of the company’s organizational structure, such as program and financial managers,” the GAO explains.

Once finalized, the revised standards will replace the 2014 standards, according to GAO. The agency expects the revised standards to take effect in October 2025.

“The updated standards will help strengthen federal agencies’ internal controls to mitigate and address risks in areas that are increasingly vulnerable to fraud, improper payments, and information security threats,” said Gene Dodaro, United States Comptroller General and Director of GAO. “To ensure accountability and transparency in the use of federal funds, especially in crisis situations where money is spent quickly, we must continue to modernize these standards.”