MEETING WITH
28th April 2011
Portuguese Certifying Authority ERFD and CF
MEETINGCertifying Authority28th April 2011
Summary
Introduction of both parties
Presentation of certification process in Portugal and in Bulgaria
Relationship of the Certifying Authority with other institutions
Lessons learned from previous periods
Improvement of the certification function in the next period
Final conclusions
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Summary
Introduction
of both parties
Portugal overview
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Workforce of 5 625 thousand
Portugal Overview
Surface area 91 946,7 km2
Total population 10 623 thousand
Population density 115 hab por km2
0 50km
North
Centre
Alentejo
Algarve
Azores
Madeira
Lisboa
Portugal overview
MEETINGCertifying Authority28th April 2011
■ 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
Main responsabilities
Financial Institute for Regional Development, PI
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Mission
Executes regional development policy through the
financial coordination of the community structural funds and of
the Cohesion Fund.
Financial Institute for Regional Development, PI
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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
Financial Institute for Regional Development, PI
MEETINGCertifying Authority28th April 2011
The organizational model
The organs Flexible Structure, based on
Directive Council Statutory Auditor
Units Groups Project Teams
Financial Institute for Regional Development, PI
Communication
Internal Audit
Legal Supportand Litigation
Technical Documentation
Planning and Programming
Audit
Territorial Cooperation and
Community Initiatives
InformationSystems
IS NSRF
Internal IS
Financial and Asset
Administration
Human Resources
Financial Management
Coordination of Operational Management
Control and Audit
Statutory Auditor Directive Council
Body Unit Group
Support for Operational
Management ERDF and
Cohesion Fund
Control of Expense
Declarations
Certification
Chairman Vice-ChairwomanVice-Chairman
Support for Institutional Management
FinancialCoordination
ERDF TA OPTechnical
Secretariat
Programming and Financial
Monitoring
Monitoring and Evaluation
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Dire
ctiv
e C
ounc
il Fu
nctio
n U
nit
Vice-Chairman
Payments
Chairman
Control and Audit Internal Audit
Certification
Support for Institutional
Management Control
and Audit Certification
Internal Audit
Vice-Chairman
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Presentation of certification process in Portugal and in Bulgaria
Summary
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C e r t i f y i n g A u t h o r i t y f u n c t i o n s
Drawing up and submitting to the Commission certified statements of expenditure and applications for payment;
Certifying Authority
MEETINGCertifying Authority28th April 2011
F u n c t i o n s
C e r t i f y i n g A u t h o r i t y :
■ The statement of expenditure is accurate, results from reliable accounting systems and is based on verifiable supporting documents;
■ The expenditure declared complies with applicable Community and national rules and has been incurred in respect of operations selected;
Certifying Authority
MEETINGCertifying Authority28th April 2011
F u n c t i o n s
C e r t i f y i n g A u t h o r i t y :
■ Ensuring for the purposes of certification that it has received adequate information from the managing authority on the procedures and verifications carried out in relation to expenditure included in statements of expenditure: Norma IFDR n.º 01/2008, de 04-06-2008 – guide lines to MA
Certifying Authority
MEETINGCertifying Authority28th April 2011
F u n c t i o n s
C e r t i f y i n g A u t h o r i t y : Norma IFDR n.º 01/2008 contents:
Request for Certification of expenditure of the MA to CA and statement of expenditure by axis
Advances paid by the body granting the aid
Revenues generator projects
Certifying Authority
MEETINGCertifying Authority28th April 2011
F u n c t i o n s
C e r t i f y i n g A u t h o r i t y : Norma IFDR n.º 01/2008 contents:
Identification of on the spot checks
Amounts deducted under the projects included in the request for Certification of expenditure
“Follow-up of conclusions and recommendations resulting from inspections carried out by PO
Certifying Authority
MEETINGCertifying Authority28th April 2011
F u n c t i o n s
C e r t i f y i n g A u t h o r i t y :
■ Taking account for certification purposes of the results of all audits carried out by or under the responsibility of the audit authority;
■ Maintaining accounting records in computerised form of expenditure declared to the Commission;
Certifying Authority
MEETINGCertifying Authority28th April 2011
F u n c t i o n s
C e r t i f y i n g A u t h o r i t y :
■ Keeping an account of amounts recoverable and of amounts withdrawn following cancellation of all or part of the contribution for an operation.
■ Providing an Information System of ERDF and Cohesion Fund;
Certifying Authority
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To s u p p o r t i t s t a s k s t h e C A h a s d e v e l o p e d :
■ An integrated and modular system, to simplify procedures and to enable the flow of information, fully coherent with the European Commission SFC 2007 information system;
■ A system providing communication and integration with the information systems of the MA and AA, supported on Web services.
Certifying Authority
Directive Coucil
Vice-Chairwoman
Certification
ERDF and Cohesion Fund
Control of Statementsof Expense
Staff (5)
Secretariat
Staff (4)
the teamCertifying Authority
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Certifying Unit is responsible for:
Exercise the Certifying Authority functions
Prepare and submit to the EC forecast of payment requests;
Prepare the Annual Summary
Certifying Authority
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E R D F a n d C o h e s i o n F u n d G r o u p
Responsible for technical and financial analysis by checking the reception of claims and their completeness (numerical checks), and for drawing up of statements of expenditure and proposing their submission to the Commission.
Certifying AuthorityGroups
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E R D F a n d C o h e s i o n F u n d G r o u p
Confirm an adequate treatment of revenue-generating projects
confirm that MA demonstrates have applied the procedures of validation of expenditure, as described in the management and control system of OP (in a sample)
confirm that the expenditure declared is actually supported in legal documents attesting its realization (in a sample)
Certifying AuthorityGroups
MEETINGCertifying Authority28th April 2011
E R D F a n d C o h e s i o n F u n d G r o u p
Confirm that the corrections arising from irregularities resulted in withdraw of all or part of the public participation (evidence in the MA IS)
Confirm that advances declared are supported by warranty and they observe the period of 3 years for their regularization
Certifying AuthorityGroups
MEETINGCertifying Authority28th April 2011
C o n t r o l o f S t a t e m e n t s o f E x p e n d i t u r e G r o u p
Responsible for checking the substance of the information provided (checks of conformity with the community law, assessment of management verifications carried out by the Managing Authority and Intermediate Bodies, review of the results of audits carried out by the Audit Authority, etc).
Certifying AuthorityGroups
IFDR - Certifying Authority
C o n t r o l o f S t a t e m e n t s o f E x p e n d i t u r e G r o u p
Check results of the compliance assessment related to the programme management and control systems description;
Check control and audit reports of the Audit Authority, and ensure that negative findings have been satisfactorily addressed
Certifying AuthorityGroups
C o n t r o l o f S t a t e m e n t s o f E x p e n d i t u r e G r o u p
Audit the procedures carried out by the Managing Authority, using an appropriate sample of projects, to ensure that: Projects are selected in accordance with the criteria
defined in the programme; Expenditure declared has actually been incurred and
complies with Community and national rules; An adequate audit trail is held in accordance with the
regulation requirements; Irregularities are prevented, detected, and the necessary
correcting measures are provided.
Certifying AuthorityGroups
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C o n t r o l o f S t a t e m e n t s o f E x p e n d i t u r e
Annually the CA establishes a control plan
Certifying AuthorityGroups
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A n n u a l P l a n s
2009
All the OP
2010
3 OP
2011
4 OP2 Thematic controls
C o n t r o l o f S t a t e m e n t s o f E x p e n d i t u r e
Certifying Authority
Whenever the AC concludes
■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.
AC - DUC
AC - CD
UC - NFFC
UC - NCDD
Análise dos Pedidos de Certificação de Despesas
AG
Envio PCD
Recebe e reencaminha para
análise
Análise formal, técnica e financeira
Solicita elementos/esclarecimentos
adicionais
Conclusãoda análise formal,
técnica e financeira
Prepara e envia elementos/
esclarecimentos adicionais
Sem solicitação de elementos /esclarecimentos
Procede à revisão e reenvia o PCD
Análise face aos resultados
das auditorias ao PO
Solicita esclarecimentos/
elementos adicionais
Conclusãoda Análise
Parecer positivo
Sem solicitação de elementos /esclarecimentos
Devolve o PCD
Recebe notificação
Propõe a devolução do PCD
Parecer negativo –Proposta de revisão
Reinício da análise
P arecer negativo – P roposta de devolução
Parecer negativo –Proposta de devolução
Suspende e solicita revisão
Propõesuspensão
da análise e revisão do PCD
6
A
1
2 3 4
5 7
B C D
4.1
4.2
7.1
7.2
Woorkflow - Technical and financial analysis and control of statements of expenditure
Certifying Authority
Woorkflow - Certified statements of expenditure and applications for payment
Certifying Authority
AC - DUC
AC - CD
UC - NFFC
UC - NCDD
Declaração de Despesas e Pedidos de Pagamento
AG
CE
Conclusãoda análise
Parecer positivo
Cálculo dos montantes a
certificar/pedir à CE
Certificação de Despesa
Recepçãodo Certificado
e DD e PP
Condições de admissibilidade
Valida o processo e propõe certificação
7
8 9
10
11
Recebe notificação
E
E
Certifying Authority
Manual of Procedures
Compliance Assessment
Norma IFDR n.º 01/2008, de 04-06-2008 – guide lines to MA
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Final conclusions
Summary
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Cer t i f i ca t i on r es u l t s
Total expenditure suspended by the CA
22
Average delay on the treatement of the applications for payment 24
Average payment delays from the Commission
25N.º of the payment requests from the MA rejected by the IS or cancelled by the CA
167 883 453 €
Preven t i v e measu res
OPPayment Requests
Nº. Total Expediture Public Expenditure Fund
Competetiveness Factors 6 1.199.610 659.602 590.123
Territorial Enhancement (ERDF) 8 763.425 763.424 535.897Territorial Enhancement (CF) 6 433.511 432.409 303.458Norte 6 350.011 321.594 225.554Centro 5 208.688 192.425 126.586Lisboa 5 90.162 85.796 41.454Alentejo 5 73.698 71.381 45.060Algarve 6 32.406 31.229 16.207Açores 10 442.351 442.351 350.122Madeira 7 98.337 98.337 70.591Technical Assistance 2 8.425 8.425 7.162
TO TA I S ERDF 6 0 3.267.113 2.674.565 2.008.755Cohesion Fund 6 433.511 432.409 303.458ERDF+CF 6 6 3.700.624 3.106.975 2.312.213
Cer t i f i ca t i on r es u l t s State of play at 14th de March 2011
Un: M€
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Main Relationships of the Certifying Authority with other institutions
■ Audit Authority
■ European Commission
■ Managing Authorities
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Lessons learned from previous periods
Summary
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A need for an IS specifically to support the certification process
Clear instructions for verifications
Summary
MEETINGCertifying Authority28th April 2011
Improvement of the certification function in the next period
Summary
MEETINGCertifying Authority28th April 2011
Thank you for your attention!
More information at your disposal www.ifdr.pt
or for specific requests [email protected]