Federal Managers Financial Integrity Act (FMFIA)

The Federal Managers' Financial Integrity Act (FMFIA), enacted in 1982, requires federal agencies to maintain effective internal controls over financial reporting and operations. Its goal is to promote accuracy, reliability, and accountability in government financial management. Agencies must annually evaluate their systems and report on their internal control status, ensuring risks are managed and resources are used properly. Essentially, FMFIA helps ensure government agencies operate transparently and efficiently, preventing fraud, errors, and mismanagement in handling public funds.