II BiH revision reveals numerous irregularities: employment without competition, suspicious public procurement and unused millions of KM for capital projects.
For 2024. The auditors presented a total of 23 recommendations – 17 new and 6 repeated, which mainly relate to financial management, employment legality, budget spending, public procurement transparency.
It is especially alarming that some recommendations are repeated from year to year, without significant progress.
Expenditures without a valid justification
The administration, among other things, warned in the manner in which he spends money on the national team. In more cases, the “official lunch”, without additional clarifications on the purpose and justification of the cost, is listed as the only reason for catering costs. Similar shortcomings were also discovered in the calculation of travel orders. The auditors recorded cases in which documentation such as callers were missing, and the wages employees were not reduced even when it was clear that the diet was insured during travel.
Employment without a competition as a common practice
The issue of employment in the UIO has been a subject of criticism for years, but neither during 2024. The situation did not improve. The audit confirms that individuals have been engaged for some time, with interruptions and without conducting public competition, which is direct violation of legal regulations. It was also observed that the internal redistribution of employees, often from lower to upper jobs, used as an indirect mechanism for improving by the law of the procedures provided. Such moves, according to the auditor’s opinion, are not based in applicable regulations.
“Management continues to the practice of engaging persons for a certain period of time, with interruptions, longer periods, with the renewal of the contract at the quarterly level”The report is stated.
Public procurement under a veil of non-transparency
The largest number of audit recommendations relate to public procurement, a segment that has been showing serious weaknesses for years. In several cases, advance payments without insurance were documented, which is mowed by the practice of other state institutions. Also, market research and bid analysis was missed before deciding on key projects, which the IT presented the risk of inefficient spending public money.
“The lack of competition in public procurement is the procurement procedure itself because in which case it cannot be expected to be the most efficient use of public funds”the auditors point out.
One example is the process of purchasing the electronic data exchange service, in which it is advanced to pay 30% in advance, without any guarantee. Nothing was a better situation with a tender for upgrading tax software. The set criteria were such that, De Facto, excluded most potential bidders, which was meaningful to the essence of the competitive proceedings.
The auditors also warned of technically discussable procedures in procurement and installation of the cooling system, as well as in inconsistencies in the preparation of the tender documentation for the procurement of official vehicles.
Millions stand unused
A special segment of the report is dedicated to the realization of multi-year capital projects. The Management Board had hundreds of millions of convertible marks available, but realized only the symbolic percentage of that amount. Most funds are transferred from year to year, and auditors do not see that there was an integement in implementation.
He was also questionable in which the values of individual projects were increased. In one case, the ITA received approval to multiple increase the value of multi-year investment for the purchase of the facility, although the law allows for a maximum of 10% magnification. This further reheated doubts in the transparency of decision-making.
Property is not used rationally
No fleet management has passed without criticism. The IT sold some of the dilapidated vehicles, but a large number remains unused, while maintenance, registration and insurance costs are regularly burdened by the budget. According to the findings of the auditor, it is an indicator that the rationalization of this part of the resources has not yet been seriously implemented.
The report clearly indicates a wide range of problems that require in-depth institutional changes. From employment to public procurement, asset management to documentation management, the ITA would take concrete steps to harmonize with laws and ensure responsibility in public funding management. The auditors gave a set of recommendations that are now waiting for implementation, writes acts.
