ARMICS
ARMICS
Agency Risk Management and Internal Control Standards (ARMICS) is a directive issued by the State Comptroller in November 2006. It applies to all state agencies and institutions within the Commonwealth of Virginia. The purpose of ARMICS is to implement internal control standards and "best practices" that directly support the Commonwealth's vision and long term objectives.
State Comptroller Directive
Agency Risk Management and Internal Control Standards, a directive issued by the State Comptroller, mandates the use of internal control standards and "best practices" that directly support the Commonwealth's vision and long term objectives.
This directive requires the implementation and annual assessment of agency internal control systems in order to provide reasonable assurance of the integrity of fiscal processes related to the submission of the transactions to the Commonwealth's general ledger, submission of financial statement directive materials, compliance with laws and regulations, and stewardship over the Commonwealth's assets.
Commonwealth's Vision Statement
"We have a responsibility to be the best-managed state in the country. To do so, we must have a focused vision, and a fiscally responsible system that provides clear, measurable objectives, outcomes and accountability, and that attracts, motivates, rewards, and retains an outstanding state workforce."
Definition of Effective Internal Controls
ARMICS defines an effective system of internal control as:
- Providing accountability for meeting program objectives;
- Promoting operational efficiency;
- Improving the reliability of financial statements;
- Strengthening compliance with laws and regulations;
- Reducing the risk of financial or other asset losses due to fraud, waste, or abuse.
ARMICS Objectives
ARMICS standards were designed to achieve five objectives:
- Strategic: support for "being recognized as the best-managed state in the nation" through internal control best practices
- Operational: effective and efficient use of fiscal resources and other assets
- Reporting: integrity and reliability of financial reporting
- Compliance: compliance with applicable laws and regulations
- Stewardship: protection and conservation of assets
Virginia Department of Accounts (DOA) ARMICS Information
ODU must follow the guidelines set by the Commonwealth of Virginia for ARMICS.