28 th April 2011

1. Portuguese Certifying Authority ERFD and CF 28thApril2011

2. Summary • Introductionofbothparties • Presentation of certification process in Portugal and in Bulgaria • Final conclusions • Relationship of the Certifying Authority with other institutions • Lessons learned from previous periods • Improvement of the certification function in the next period

3. Summary Introduction ofbothparties Portugal overview

4. Portugal Overview • Surfacearea91 946,7 km2 • Total population 10 623 thousand • Workforceof 5 625 thousand • Populationdensity 115 hab por km2

5. North Centre Lisboa Alentejo Algarve 0 50km Portugal overview Azores Madeira

6. Main responsabilities Financial Institute for Regional Development, PI • National financial coordination of the Structural Funds • National coordination for operational monitoring and management of the ERDF and the Cohesion Fund • Payment Authority / Certifying Authority • Payment entity for ERDF and CF

7. Mission Financial Institute for Regional Development, PI Executes regional development policy through the financial coordination of the community structural funds and of the Cohesion Fund.

8. Financial Institute for Regional Development, PI • Global financial coordination of the community structural funds and of the Cohesion Fund • Coordination, management and physical and financial monitoring of the ERDF and of the Cohesion Fund and the management of technical assistance measures of these funds • Payment authority of the ERDF and Cohesion Fund, within the CSF III, and certifying authority and paying entity, within the NSRF, relating to these funds and territorial cooperation programs • 2nd level control authority of the ERDF and of the Cohesion Fund, within the CSF III, and responsible for control of the operations, within the NSRF

9. Financial Institute for Regional Development, PI Theorganizationalmodel Theorgans FlexibleStructure, basedon • Units • Groups • Project Teams • DirectiveCouncil • Statutory Auditor

10. Group Body Unit Statutory Auditor Directive Council Vice-Chairman Chairman Vice-Chairwoman Coordination of Operational Management Certification Control and Audit Support for Institutional Management Information Systems Financial Coordination Legal Support and Litigation Planning and Programming Financial and Asset Administration IS NSRF Programming and Financial Monitoring Support for Operational Management ERDF and Cohesion Fund Internal Audit Monitoring and Evaluation Territorial Cooperation and Community Initiatives Control of Expense Declarations Internal IS Human Resources Audit Communication Financial Management Technical Documentation ERDF TA OP Technical Secretariat

11. Vice-Chairman Vice-Chairman Chairman Directive Council Control and Audit Payments Certification Function Internal Audit Support for Control and Audit Certification Institutional Management Unit Internal Audit

12. Summary Presentation of certification process in Portugal and in Bulgaria

13. CertifyingAuthority

14. CertifyingAuthority

15. CertifyingAuthority

16. CertifyingAuthority

17. CertifyingAuthority

18. CertifyingAuthority

19. CertifyingAuthority

20. CertifyingAuthority

21. CertifyingAuthority theteam DirectiveCoucil Vice-Chairwoman Certification Secretariat ERDF and CohesionFund ControlofStatements ofExpense Staff (4) Staff (5)

22. CertifyingAuthority

23. CertifyingAuthority Groups

24. CertifyingAuthority Groups

25. CertifyingAuthority Groups

26. CertifyingAuthority Groups

27. IFDR - Certifying Authority CertifyingAuthority Groups

28. CertifyingAuthority Groups

29. CertifyingAuthority Groups

30. Control of Statements of Expenditure 2011 2010 2009 4 OP 2 Thematiccontrols Allthe OP 3 OP

31. CertifyingAuthority • that the information submitted by the managing authority, in the certification request, is not sufficient or does not provide sufficient guarantees as to the legality and regularity of expenditure, the request will be subject to cancellation. • that part of expenditure does not provide sufficient guarantees as to its legality and regularity, such expenditure is subject to suspension and withdrawal of expenditure certified to the Commission.

32. CertifyingAuthority Woorkflow - Technical and financial analysis and control of statements of expenditure

33. CertifyingAuthority Woorkflow - Certified statements of expenditure and applications for payment

34. CertifyingAuthority • Manual ofProcedures • ComplianceAssessment • Norma IFDR n.º 01/2008, de 04-06-2008 – guidelines to MA

35. Summary Final conclusions

36. Certificationresults Averagedelayonthetreatementoftheapplications for payment 24 AveragepaymentdelaysfromtheCommission 22 Preventivemeasures N.º of the payment requests from the MA rejected by the IS or cancelled by the CA 25 Total expendituresuspendedbythe CA 167 883 453 €

37. Certification results State of play at 14th de March 2011 Un: M€

38. Main Relationships of the Certifying Authority with other institutions • Audit Authority • European Commission • Managing Authorities

39. Summary Lessons learned from previous periods

40. Summary A need for an IS specifically to support the certification process Clear instructions for verifications

41. Summary Improvement of the certification function in the next period

42. Thank you for your attention! More information at your disposalwww.ifdr.pt or for specific requestscertificacao@ifdr.pt