Financial reporting

Financial reporting Elise Oukka, Head of Finance, FMO 5.3.2013 Riga

Programme Operator (PO) responsibilities • Programme implementation agreement, the Regulation and in particular article 4.7 • These include e.g. verification of the declared expenditure, payments, monitoring, drawing up and submitting the financial reports, measures to prevent irregularities

Financial reporting • Fixed reporting periods covering four calendar months every year • 1 January – 30 April • 1 May – 31 August • 1 September – 31 December • Fixed deadline for reporting and fixed payment dates (reports by the CA to the FMO) • 15 March for payments to be made 15 April • 15 July for payments to be made 15 August • 15 November for payments to be made 15 December

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Managementand control systems – national level • Financial control at national level • Responsibility of the Certifying Authority • Certification of expenditure declared by POs • Exception: programmes operated by the FMO or a DS entity • Certification of financial reports • Part of interim financial report and final programme report • Certification procedure and method to be designed by CA • Eligible expenditure of a programme • Expenditure incurred directly by the PO (programme management, bilateral funds at programme level, etc.) • Re-granting: payments to projects from the PO, and not expenditure incurred by project promoters

Managementand control systems – national level • Management and control functions of the NFP • Overall responsibility for reaching the objectives of the FMs • Monitor progress and quality of implementation of programmes • Progress towards programme outcomes and objectives • Fulfilment of publicity requirements • Signing programme implementation agreements with POs • Management and control functions of the AA • Audits on effective functioning of management and control systems both at national and PO level • Project audits based on an appropriate sample • Annual audit report and opinion • Closure declaration

Management and control systems – programme level • Setting up management and control systems • Responsibility of the Programme Operator • Within six months from the submission of the first IFR • Collecting applications, selecting projects, signing project contracts • Verification of project outputs and project expenditure • Ensuring payments to projects • Verification of compliance with the Regulation, the programme agreement, applicable national law and EU law • Reporting to the FMO / NFP / CA / Irregularities authority • Information and publicity

Interim Financial Report • To be reported: • Actual expenditure incurred (use of funds received previously) • Proposed expenditure for the next period (future cash needs) • Pre-financing requests reviewed by FMO and cross-checked against previous requests and reported incurred expenditure • Interim financial reports and final financial report are submitted by the PO to the CA, who certifies the reports before submitting them to the FMO

Financial reporting • Small amount retained from each claim, released at programme completion • FMO can withhold payments in case of delayed or incomplete reporting • DoRIS as a reporting tool, the required verifications are to be done outside the system (in line with the management & control system descriptions)

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Financial reporting