Annual Report - CoBank

Controls and ProceduresCoBank, ACBWe maintain a system of disclosure controls and procedures. Disclosure controls and procedures include, without limitation,controls and procedures designed to ensure that information disclosed by us in our quarterly and annual reports is accumulated andcommunicated to our management, including our principal executive officer and our principal financial officer, as appropriate, toallow timely decisions to be made regarding disclosure. The president and chief executive officer and the chief financial officer haveevaluated our disclosure controls and procedures as of the end of the period covered by this annual report and have concluded that ourdisclosure controls and procedures are effective as of that date.We also maintain a system of internal controls. The term “internal controls,” as defined by the American Institute of CertifiedPublic Accountants’ Codification of Statement on Auditing Standards, AU Section 319, means a process - effected by the board ofdirectors, management and other personnel - designed to provide reasonable assurance regarding the achievement of objectives inreliability of financial reporting, the effectiveness and efficiency of operations and of compliance with applicable laws andregulations. We continually assess the adequacy of our internal controls over financial reporting and enhance our controls in responseto internal control assessments and internal and external audit and regulatory recommendations. There have been no significantchanges in our internal controls or in other factors that could significantly affect such controls subsequent to the date we carried outour evaluations. In accordance with our internal control procedures, these financial statements were prepared under the oversight ofthe Audit Committee of our Board of Directors.CoBank 2011 Annual Report115