2nd Session of the Committee on Finance and Budget of Parliamentary Assembly’s HoR

The 2^nd session of the Committee on Finance and Budget of the House of Representatives of the Parliamentary Assembly of BiH was held on Monday, January 12, 2015.

The session began at 1 pm and finished at 2:15 pm, had a quorum and was attended by  the representatives of the Ministry of Justice of BiH, Audit Office for the Institutions of BiH, media representatives and other guests, including representatives of the Project Strengthening Governing Institutions and Processes (SGIP) in BiH and the Institute for Youth Development KULT.

The session was held according to the following agenda:

1. Adopting the Minutes from the founding session of the Committee
2. Discussion on the Proposal law on supplements and amendments to the Law on salaries and other compensations in judicial and prosecutorial institutions in BiH – second committee stage (proponent: Council of Ministers of BiH)
3. Discussion on the Report on budget execution for the institutions of BiH and international obligations of BiH for 2013 (submitted by: BiH Presidency)
4. Discussion on the Report on financial audit of the Report on budget execution for the institutions of BiH in 2013 (author: Audit Office for the Institutions of BiH)
5. Discussion of the annual audit plan for 2014/2015) (author: Audit Office for the Institutions of BiH)
6. Discussion on the financial report of the Audit Office of the Institutions of BiH for the period January 1-September 30, 2014 (author: Audit Office for the Institutions of BiH)

During the 2^nd session, the Committee on Finance and Budget of the House of Representatives of the Parliamentary Assembly of BiH (PSBiH) gave its support to the Proposal law on supplements and amendments to the Law on salaries and other compensations in judicial and prosecutorial institutions in BiH, proposed by the Council of Ministers of BiH. Changes concern reimbursements, meal allowances, compensation accommodation while working, and reimbursements for lower-levels expert staff.

The Committee adopted the Report on budget execution of the institutions of BiH and international obligations of BiH for 2013, proposed by the BiH Presidency, as well as the Report on financial audit of the Report on budget execution of the institutions of BiH for 2013, created by the Audit Office for the Institutions of BiH. The Audit Office emphasized that their recommendations are not implemented, as well as the decision of the Constitutional Court’s decisions related to audits, which are binding.

The system of internal controls, unrelated to the financial aspect of the institutions’ work, leaves much room for improvement. It was also stated that employment procedures were not transparent enough and that large projects are not managed by appropriately trained. Furthermore, the Audit Office stated that the technical mandate must be regulated as soon as possible, with the same recommendation given for state property, considering the number of suits filed concerning state properties. The recommendations of the Audit Office remain valid in the following period as well.

Committee member, Aleksandra Pandurevi? proposed an efficiency audit of administrative and supervisory boards on the level of BiH, to determine their expenses and the extent to which they are justified, and her proposal was adopted.

The Committee acknowledged the Annual audit plan for 2014/2015 and the Financial report of the Audit Office for the Institutions of BiH for the period from January 1 to September 30, 2014.

At the end of the session, members of the Committee were addressed by Christian Haupt, Chief of Party of the Project Strengthening Governing Institutions and Processes (SGIP) in BiH, who congratulated them and offered the Project’s support to the members of the Committee.