Internal Control

What is an Internal Control Program?

An Internal Control Program is the integration of the activities, plans, attitudes, policies, and efforts of the people of an organization working together to provide reasonable assurance that the organization will achieve its objectives and mission. All New York State Agencies, including SUNY campuses, are required by law to have an internal control program in place.

In 1987, the Legislature enacted a law entitled The New York State Governmental Accountability, Audit and Internal Control Act to formalize a system of productivity and accountability in all state agencies. The Act was updated and made permanent in Chapter 510 of the Laws of 1999. Under the Act, all state agencies are required to institute a formal internal control program. This program is meant to enhance the integrity of operations, provide oversight to ensure that funds and resources are used efficiently and effectively, and give reasonable assurance that funds and resources are appropriately protected and managed.

 Internal Control Program Regulations

The Division of Budget (DOB) issued the Budget Policy and Reporting Manual Item B-350, Governmental Internal Control and Internal Audit Requirements which requires all state agencies to perform certain internal control responsibilities and annually certify to DOB that they are in compliance with those requirements. The internal control responsibilities required by DOB are:

  1. Establish and maintain guidelines for a system of internal controls.
  2. Establish and maintain a system of internal controls and a program of internal control review.
  3. Make available to each employee a statement of the policies and standards with which they are expected to comply, emphasizing the importance of internal controls and the responsibility of each employee for effective internal controls.
  4. Designate an Internal Control Officer to implement and review the internal control program.
  5. Implement education and training efforts to ensure that employees have adequate awareness and understanding of internal control standards.
  6. Periodically evaluate the need to maintain an Internal Audit function.

Our Internal Controls Program

The University at Albany has implemented an Internal Control Program to comply with the above noted requirements and to help ensure that the campus meets its mission. The President has designated the University Controller as the campus' Internal Control Officer. The President also established an Internal Control Steering Committee, representative of the President's Office and each of the University's divisions, to assist in shaping all aspects of the campus' approach to the Internal Control Program.

The Internal Control Coordinator works with each campus unit to assess its vulnerability to risks, to train the unit employees on internal controls, and to review the internal controls in place in the unit.

A successful internal control program depends on the participation of all employees at every level. Therefore, all employees should be aware of the University's mission and goals and their roles in attaining those goals. All employees should routinely exercise judgment and act to protect the University and its resources from loss, waste or damage as well as ensure the accuracy and reliability of financial and other key data. All employees are expected to exhibit ethical values and integrity in their daily activities, seeking areas for improvement and acting in the best interests and protection of the University and the public.

If you have any questions regarding the University;s Internal Control Program, please contact us at (518)956-8120 or at the e-mail addresses listed above.