Večernji list: Negative audit assessments of financial business of the Institutions of Bosnia and Herzegovina should no longer remain without consequences.
By the legislation reform in the area of financing public institutions, stipulated has been that a manager of BiH institution which has received a negative assessment in the annual report of the Audit Office and once the competent court confirms the accusation against malfunctions in the institution caused by him/her, must put his/her mandate to a disposal of the authority which has appointed him/her. For those, who after 30 days from the announcement of a negative audit report do not offer their mandate to a disposal, prescribed has been an obligation of the Council of Ministers of BiH to initiate their resignation.
These are the standards of the European Union for which BiH has obligated itself to incorporate in its legislation. Therefore, the new regulation in the changed and amended Law on Financing Institutions of BiH should be accepted without much discussion in the State Parliament. The novelty in relation to the current condition is a clearer definition of obligations and responsibilities of managers of ministries, administrations, institutions and agencies at state level for their financial business. Managers of institutions will be responsible for the establishment, implementation and development of the strong system of financial management and control in their institution, including the establishment of principles for efficient, effective and economical usage of available funds. The essence of the concept is that the manager can transfer these competencies on to other persons. In the case of delegating competencies, manager is responsible for efficiency of established internal systems of management and controls for the selection of personnel whom the competencies have been delegated to. This has been stated in the proposal sent to the Council of Ministers of BiH. The proposed law also defines the manager’s competence to meet the objectives of organization by the introduction of obligated signing of the statement on meeting the objectives of organization, which makes a supplemental part of the annual report on executing the institution budget for fiscal year.
The novelty is also a manner of the combat against malfunctions and frauds in the Institutions of BiH in accordance with good practices from this area and recommendations of the European Commission, including the establishment of the authority which would be competent for this area in the Institutions of BiH. The manner of establishing this authority will depend on concrete recommendations of competent authorities of the EC and recommendations which will be prepared by the Coordination Board of the Central unit for harmonization for all government levels in BiH. Establishment of the authority does not imply a required establishment of the special structure and employing a bigger number of implementers.