Strengthening Accountability in the Federal Government—Our Updates to the “Green Book”

How do you improve government oversight and accountability and combat fraud? By establishing internal controls—or processes designed to help an agency or program work more efficiently and effectively.

And who wrote the book on that? We did!

As part of our ongoing efforts to help federal managers improve accountability and achieve agencies’ goals, we have updated our Standards for Internal Control in the Federal Government—more commonly known as the “Green Book.”

Today’s WatchBlog post looks at the role of the Green Book in managing federal programs and at our recent updates. The video below also provides information about what the Green Book is, how to use it, and our recent updates.

What is the Green Book?

The Green Book provides the framework for establishing and maintaining an effective internal control system. Internal controls can be policies and procedures implemented by an agency to meet its operational, reporting, and compliance objectives effectively and efficiently. For example, depending on the program or goal, internal controls could be implemented to ensure payments are made on time and to the right recipients.

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Internal control systems are also tools that help managers adapt to shifting environments, evolving demands, changing risks, and new priorities. They can also help when implementing a new program or substantially changing an existing one.

For example, the COVID-19 pandemic highlighted challenges managers face in preventing fraud and improper payments (or payment errors) in programs. During COVID, money was disbursed quickly to address the urgent public health and economic crisis. This included funding under programs like Unemployment Insurance—which grew rapidly and temporarily expanded eligibility during the pandemic.

Similarly, increasing and ever-evolving cyberattacks are challenging managers and highlighting the need for strong internal controls.

The Cube: Components, Objectives, and Organizational Structure of Internal Control

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What are the updates to the Green Book?

Our latest updates provide additional requirements, guidance, and resources to help managers address risk areas. These areas are related to fraud, improper payments, information security, and the implementation of new or substantially changed programs, including emergency assistance programs. The Standards for Internal Control in the Federal Government 2025 revision is effective in Fiscal Year 2026.

Key changes include: 

• The need to consider risks related to improper payments and information security.
   
• Documentation of the results of risk assessments.
   
• Documentation of a process for identifying, analyzing, and responding to risks related to significant changes so that the internal control system can be quickly adapted as needed.
   
• Two new appendices that provide additional information related to control activities, examples of sources of data, and references to additional resources, which may be useful as management designs, implements, and operates internal control systems.

What input did GAO consider when updating the Green Book?

The Comptroller General of the United States and head of GAO, Gene L. Dodaro, convened an advisory council to ensure that the standards met the needs of the federal government and the public it serves. This council included people knowledgeable in internal control systems and drawn from federal, state, and local governments, as well as the private sector and academia.

After a draft Green Book was created, we made it available for public comment through August 26, 2024. We considered all public comments and worked with the council to issue this Green Book 2025 revision.

Got a question about the Green Book? Email us at greenbook@gao.gov.   

Want to learn more about the changes, check out our webpage highlighting the Green Book.

• GAO’s fact-based, nonpartisan information helps Congress and federal agencies improve government. The WatchBlog lets us contextualize GAO’s work a little more for the public. Check out more of our posts at GAO.gov/blog.
   
• Got a comment, question? Email us at blog@gao.gov.