ARMICS

Agency Risk Management and Internal Control Standards (ARMICS)

ARMICS has been a requirement for all Commonwealth of Virginia agencies since 2006, supporting accountability and good stewardship across state government.

At its core, ARMICS is about internal controls—the policies, procedures, and processes we use to make sure our resources are used effectively, our reporting is accurate, and we comply with laws and regulations. It's a shared responsibility, and everyone has a role to play.

Learn more about internal controls and what they look like in everyday work.

What Is ARMICS?

ARMICS is a comprehensive, agency-wide internal control framework designed to:

• Support strategic goals, including Virginia's commitment to effective management and accountability
• Ensure operational efficiency, helping us use our fiscal resources wisely
• Promote accurate financial reporting, maintaining integrity and reliability in the numbers we share
• Ensure compliance with laws and regulations that govern our work
• Protect and conserve assets, reinforcing our commitment to good stewardship

The Commonwealth Accounting Policies and Procedures (CAPP) Manual provides guidance for state agencies and institutions in implementing internal control programs. CAPP Topic No. 10305 identifies ARMICS as the Commonwealth's definitive source for internal control standards.

The ARMICS Process at UVA

UVA's ARMICS process includes several key activities that help us assess risk, evaluate controls, and continuously improve:

• Annual Departmental Certification: Departments within the scope of ARMICS review their internal procedures each year and report any changes to Financial Compliance.
• Assessment and Testing: Financial Compliance reviews significant fiscal processes, identifies potential risks, and tests the controls in place to address them.
• Agency Certification: UVA files a certification with the Virginia Department of Accounts each year confirming compliance with ARMICS requirements.

What Is My Role?

Strong internal controls depend on people across UVA understanding their responsibilities and recognizing when processes, risks, or circumstances change.

Depending on your role, your responsibilities may include following established procedures, maintaining appropriate documentation, reviewing or approving transactions, safeguarding University resources, completing required assessments or certifications, and raising questions when something doesn't look right.

Department leaders and employees responsible for fiscal activities should also consider whether changes in staffing, systems, responsibilities, or business processes affect the controls their area relies on.

We're Here to Help

ARMICS isn't about pointing fingers—it's about partnership. Financial Compliance works with departments across UVA to assess internal controls, identify and understand risks, and strengthen processes where needed.

If you have questions about ARMICS, your department's internal controls, or how a change in your processes may affect your responsibilities, we're here to help.

Contact us at [email protected].