1 / 15

MANAGEMENT & CONTROL SYSTEM PROGRAMMING PERIOD 2007 – 2013 CERTIFICATION OF EXPENDITURES

This program ensures the Ministry of Economy and Finance's Certifying Authority is able to submit certified statements of expenditure that comply with regulatory requirements. It utilizes a variety of systems, procedures, and data to achieve this.

stephanievaughan
Download Presentation

MANAGEMENT & CONTROL SYSTEM PROGRAMMING PERIOD 2007 – 2013 CERTIFICATION OF EXPENDITURES

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. MINISTRY OF ECONOMY ANDFINANCE CERTIFYING AUTHORITY MANAGEMENT & CONTROL SYSTEMPROGRAMMING PERIOD 2007 – 2013CERTIFICATION OF EXPENDITURES MINISTRY OF ECONOMY & FINANCE SINGLE PAYING AUTHORITY Certifying Authority 2007-2013

  2. MINISTRY OF ECONOMY ANDFINANCE Management & Control System CERTIFYING AUTHORITY CERTIFYING AUTHORITY COORDINATION AUTHORITY Control Verification AUDIT AUTHORITY Audit MANAGING AUTHORITY / INTERMEDIATE BODIES Supervision Co-ordination Verification Control BENEFICIARY EXTERNAL QUALITY CONTROL OF TECHNICAL PROJECTS Quality Control PROJECT PROGRAMMING PERIOD 2007-2013

  3. MINISTRY OF ECONOMY ANDFINANCE FINANCIAL FLOW UNIT • Payment Requests • Payment Forecasts • Follow up of withdrawals recoveries • Temporary Exclusion of Payments from the Certification • Monitoring and checking of Beneficiaries Payments AUDIT UNIT • On the spot checks M. A/I.B. • Monitoring of Audit Findings • Management of Projects Quality control TECHNICAL & ADMINISTRATIVE SUPPORT UNIT CERTIFYING AUTHORITY Certifying Authority • Independent Authority under the General Secretariat of Investments & Development • ISO 9001:2000 certified

  4. MINISTRY OF ECONOMY ANDFINANCE Certification of Expenditure CERTIFYING AUTHORITY Certifying Authority is responsible for drawing up and submitting to the Commission certified statements of expenditure and applications for payment. The basic aim is that C.A. is able to conclude that it has sufficient assurance to submit to the Commission a certified statement of expenditure that complies with the requirements of the Article 61, EC Regulation 1083/2006. In order to achieve its role and to draw up reliable statements of expenditure certifying them in accordance with the regulatory requirements, C.A. implicates a total of systems, procedures, and data.

  5. MINISTRY OF ECONOMY ANDFINANCE Certification of Expenditure (Procedures, Systems, Data) CERTIFYING AUTHORITY The basic “tools” of the Certifying Authority : • Monitoring Information System (MIS), a key element of the overall Managing and Control System. The use of MIS is mandatory for all involved parties (data and procedures of Beneficiaries and M.A.). • The implementation of specific certification procedure through which the MIS data reliability and the respect of procedures followed by M.A. / Beneficiaries are verified. • The results of on the spot checks to the M.A./Intermediate Bodies, the administrative controls that C.A. performs as well as the results of the projects quality controls proceeding to remedial actions, if necessary. • The results of all audits carried out by or under the responsibility of Audit Authority or other bodies and the corrections imposed, if necessary. • The formal declaration submitted by the Managing Authority at the end of the certification procedure.

  6. MINISTRY OF ECONOMY ANDFINANCE MIS Overview CERTIFYING AUTHORITY MIS implements all functions and data of Management and Control System. It is about a multi dimension tool (Information System) to serve all needs of an : • Evaluation, Monitoring and Management System • Audit and Control System • Accounting System

  7. MINISTRY OF ECONOMY ANDFINANCE MIS Entities and Rights CERTIFYING AUTHORITY • Audit Authority • Audits Certifying Authority • Payment Requests • Payment Forecasts • Follow up of recoveries • Exclusion of Payments Audits System • On the spot checks: • Managing Authorities • Intermediate Bodies • Projects • Management of Audit results / Verifications & Inspections Findings • Proposals for Exclusions of payments • Management of Projects Quality Control Monitoring System Accounting System • Beneficiary • Progress Reports • Declare Expenses Management and Monitoring System Programming and Evaluation System Managing Authorities / Intermediate Bodies • Project selection / Approval/Rejection • O.P. evaluation • Annual Report • Publicity • Project Management • Final Beneficiaries guidance & support • Control, verification of Progress Reports • Validation of MIS data • Public procurement • On the spot checks

  8. MIS as an Accounting System Main characteristics: • The overall amount of financial data is stored (payments, corrections, withdrawals), through specific entries. No compensation of sums is permitted. • The overall procedure is recorded (submission of payment related data by the Final Beneficiary, results of controls from the Managing Authorities). • All corrections resulting from the competent authorities’ controls and inspections are stored and classified. • All data required to provide sufficient audit trail are included

  9. MINISTRY OF ECONOMY ANDFINANCE MIS as an Accounting System CERTIFYING AUTHORITY • Basic Fields of a typical accounting record OP PRIORITY SECTORAL CODE PROJECT CONTRACT PAYMENT REPORT DATE OF ACTUAL PAYMENT DATE OF VALIDATION No OF CONTRACTOR’S INVOICE No OF BENEF. ACCOUNTING DOCUMENT PAID AMOUNT ELIGIBLE AMOUNT CATEGORY OF ELIGIBLE EXPENDITURE • Information to verify that an expenditure actually incurred is reported • Numerous automatic controls are performed, e.g.: • Cross check of the uniqueness of accounting documents • Cross check of eligibility dates • Cross check of the total amount reported with the budget of the project

  10. MINISTRY OF ECONOMY ANDFINANCE Management of Audit Results CERTIFYING AUTHORITY Audit Body validates Audit Findings MA VALIDATES AUDIT CORRECTION MIS automatically subtracts corrected amounts Statement of Expenditure incorporates the result Unduly paid amount • Any unduly paid amount when validated into MIS is automatically and definitely subtracted from the statement of expenditure • The subtracted amount is released and can be used by other projects • Automatic Recoveries maintenance record

  11. MINISTRY OF ECONOMY ANDFINANCE C.A.Administrative Controls - Monitoring of Audits / Verifications /Inspections Findings CERTIFYING AUTHORITY Before the issuing of the certification and further to the automatic checks performed by MIS, C.A proceeds to a series of verifications regarding: • The application of corrections due to audits and inspection results • The quality of MIS data • Cross – checks ( sample cross –checks of the expenditures entered into the Accounting System with Banking data assuring their realization) • The correlation of deliverables with the financial data • The reports regarding the quality control of projects • Any well documented information regarding unsafe payments

  12. MINISTRY OF ECONOMY ANDFINANCE Temporary Exclusion of Payments CERTIFYING AUTHORITY Based on the results of the Administrative control and on any well documented information regarding unsafe payments C.A. temporarily excludes any payment implying future danger

  13. MINISTRY OF ECONOMY ANDFINANCE CERTIFYING AUTHORITY Temporary Exclusion of Payments Release of payments Regular payments Payments in doubt The payments are not included in the payment request Exclusion Further control Financial correction Irregular payments

  14. MINISTRY OF ECONOMY ANDFINANCE Standardized Procedure for Certification of Expenditures CERTIFYING AUTHORITY The basic stages are the following : - Dispatching of a circular to all involved bodies: • Announcing the program for all O. P. • Underlining the standard obligations of M.A. and imposing additional obligations if necessary • Asking the updating of the audit results from the Audit Authority • Preparatory Stage • Checks and confirms whether all the involved bodies, including Managing Authorities & Intermediate Bodies, have accomplished their tasks and no pending issues exist • Completion of the tasks of C.A. responsibility (Evaluation of Audits/Verifications/Inspections results, quality control of MIS data, cross-checks with the relevant documentation etc) • Assurance that the certification of expenditures includes only regular payments • Completion • Decision making regarding exclusion of payments based on the acquired information by the head of C.A. • Formal Declaration for the specific Payment Request by the head of the relevant Managing Authority The aim of the payment request procedure is to ensure that C.A. has received all required information and to acquire the required assurance that the expenditures declared are in accordance with the current Community and National rules.

  15. MINISTRY OF ECONOMY ANDFINANCE C.A. C.A. MANAGING AUTHORITIES M.A. INTERM. BODIES AUDIT AUTHORITY C.A. C.A. C.A. AUDIT REPORTS DISPATCH OF CIRCULAR ADMINISTRATIVE CONTROLS CERTIFICATION OF EXPENDITURES FINAL CHECK EXCLUSION OF UNSAFE PAYMENTS, CROSS CHECKS & PROCESS OF PAYMENT REQUEST CONFIRMATION OF THE DATA OF THE STATEMENT OF EXPENDITURES (FORMAL DECLARATION) COMPLETION OF THEIR TASKS COMMUNICATE INFORMATION MANAGEMENT OF AUDIT FINDINGS PROPOSAL FOR EXCLUSIONS OF PAYMENTS Payment Request Procedure (flowchart) CERTIFYING AUTHORITY HEAD OF C.A. DECISION MAKING

More Related