Instructions for preliminary financial control prior obligations and prior payment of expenses in NRIA
I AFFIRM
IVAN ATANASOV
EXECUTIVE DIRECTOR
INSTRUCTIONS
FOR PRELIMINARY FINANCIAL CONTROL PRIOR OBLIGATIONS
AND PRIOR PAYMENT OF EXPENSES
IN NRIA
CHAPTER I. GENERAL PROVISIONS
Art. 1 This instruction regulates the general uniform rules and uniform procedure for preliminary financial control and legality before assumption of obligations and before making the payment to the Central Administration (CA) and the Specialized Units (SU) of the National Road Infrastructure Agency (NRIA) in implementation of art. 13, para 3, item 5 of the Financial Management and Control in the Public Sector Act.
(2) The preliminary financial control prior obligations and prior the payment of expenses shall be part of the internal control system of the National Road Infrastructure Agency (NRIA) for giving reasonable assurance that the risks are limited within the admissible limits determined in the process of Risk Management.
Art. 2 (1) The preliminary financial control before assumption of obligations and before the payment of expenses shall be carried out through:
1. preliminary financial control activities by financial controllers in the sector “Preliminary financial control” in
2. “Financial Control” department of the Operational Control and Risk Management Directorate through the application of checklists;
3. preliminary control activities by the managing authorities, executive agencies, financing institutions and other state competent bodies, when this is envisaged in a regulation of the European Union, an international agreement, normative act, operational agreement, framework agreement and financing agreement.
Art. 3 (1) In carrying out the preliminary financial control before assumption of obligations and before making payment of expenses, the financial controllers of NRIA shall observe:
1. the regulations of the European Union;
2. international agreements;
3. laws and by-laws;
4. the operational agreements to which the NRIA is a party,
5. framework agreements to which NRIA is a party;
6. the contracts for gratuitous financial aid, to which NRIA is a party;
7. the applicable procedures, approved by the managing authorities, the executive agencies, respectively by the international financial institutions.
8. the obligatory instructions of the competent bodies;
9. the internal rules of NRIA;
(2) In case of ascertainment of discrepancy between the documents, indicated in para 1, the employee shall immediately notify in writing through his / her direct manager the director of the directorate, who shall notify the executive director and the directorate “Legal and Property Management”.
(3) Within three days from the notification, the Legal and Property Management Directorate shall submit it to the Executive Director.
(4) The Executive Director shall give written instructions in case of discrepancies.
Art. 4 The preliminary financial control before assumption of obligations by NRIA is performed in respect of:
1. financial memoranda, contracts for provision of financial aid, contracts for donation and framework agreements before their signing by the authorized persons in NRIA;
2. contracts for awarding public procurements, before their signing by the authorized persons in NRIA;
3. the primary accounting documents with which the transaction is proved in the cases of art. 2, para 3 of the Ordinance for awarding small public procurements, before their acceptance by the authorized persons in NRIA
4. employment contracts, before their signing by the authorized persons in NRIA;
5. the decisions for payment of compensation on a non-contractual basis in the cases provided by law, before their conclusion by the authorized persons in NRIA;
6. the requests for payment / refund of funds to the respective financing body or managing body, before their signing by the executive director, the deputy executive director authorized by him.
Art. 5 (1) In carrying out the preliminary financial control before undertaking of obligations by NRIA, the financial controller shall check and confirm
1. The name of the site / project / activity to which the obligation relates:
2. The budget line to which the obligation should be made;
3. Total value of the obligation
4. Does the obligation correspond to the budget paragraph;
5. the availability of a budget credit under the respective budget paragraph;
6. the compliance of the obligation with the eligibility criteria determined in accordance with the rules applicable to the source of funding;
7. the competence of the persons who assume the obligation
8. the performance of verifications of the documentation and the procedures for awarding a public procurement in accordance with the established procedure;
9. the compliance with the normative acts, the internal rules and other applicable rules, establishing requirements to the assumption of the obligation;
10. the compliance of the preparation, coordination, approval and verification of the contract with the established order
(2) As a result of the performed preliminary financial control before assumption of an obligation, the financial controller may give the following conclusions:
1. The obligation may be assumed, as he / she shall indicate the amount;
2. It is necessary to submit the following documents (and by whom);
3. No obligation may be made stating the reasons.
Art. 6 (1) In the cases when the assumption of obligation is required to be approved by a body (Managing Authority or other competent body), outside the NRIA, the preliminary financial control before the assumption of obligation is carried out in two stages:
1. at the first stage, the financial controller shall carry out an inspection before sending the documentation on the assumption of the obligation for approval by the respective competent body;
2. at the second stage, the financial controllers shall continue the inspection after receiving the decision from the respective competent body.
(2) At the first stage, the financial controller shall carry out the inspections, provided in art. 5, para 1 of this instruction.
(3) As a result of the performed preliminary financial control at the first stage, the financial controller may give the following conclusions:
1. The Managing Authority (MA) may be sent for approval of the obligation in accordance with the applicable rules;
2. It is necessary to submit the following documents, indicating which documents, by whom and within what period;
3. The MA can not be notified in order to approve the obligation, stating the reasons;
(4) As a result of the performed preliminary financial control, after receiving the decision of the respective competent body, the financial controller may give the conclusions, provided in art. 5, para 2 of this instruction.
Art. 7 (1) The preliminary financial control before the payment of expenses under obligations undertaken by NRIA shall be carried out in respect of:
1. the payment orders to the servicing banks, before their signing by the authorized persons in NRIA;
2. the orders for making cash payments in cash, before their signing by the authorized persons in NRIA.
(2) The preliminary financial control over the payments of the expenses under obligations undertaken under public procurement contracts shall be carried out through the following forms:
1. drawing up a list of proposals for payments in order to ensure equal treatment of the Assignees (contractors);
2. preliminary financial control by a financial controller of the list of proposals for payments through a checklist;
3. verification of the content of the payment order through a checklist;
4. preliminary financial control by a financial controller of the payment order through a checklist.
Art. 8 (1) Before the approval by the executive director of the list of proposals for payments, the financial controller shall check through a checklist:
1. whether the lists include contractors with which there are public procurement contracts in force;
2. whether the lists have been prepared in accordance with the established procedure;
3. whether the lists include payments due for which there are accounting invoices;
4. whether the requirements for priority of payments have been met. Priority is given to payments for the costs of liabilities that are due first. Payments falling due within one calendar month shall have the same priority;
5. whether the requirements for proportionality have been met in the proposed partial payments of obligations with equal priority. In the absence of available monetary resources, the obligations with the same priority are paid in proportion to the ratio between the required and available monetary resources;
6. whether the lists correspond to the financial estimates of the respective directorates for the respective period.
(2) As a result of the performed preliminary financial control under para 1, the financial controller may give the following conclusions:
1. The list of payment proposals may be approved;
2. It is necessary to submit the following documents (and by whom);
3. The list of payment proposals cannot be approved, the reasons shall be stated.
(3) In carrying out the preliminary financial control before the payment of expenses under obligations undertaken by NRIA, the financial controllers shall check and confirm:
1. total budget of the project / investment site:
2. total value of the contract;
3. the remaining amount to be paid under the contract;
4. the amount of the cost proposed for payment;
5. the legal basis of the obligation (lawful contract, approved by the Assignor);
6. the availability of an approved limit on the bank account / cash on hand for the respective period;
7. the compliance of the expenditure proposed for payment with the eligibility criteria determined in accordance with the rules applicable to the source of funding;
8. the competence of the persons who have approved the payment of the expenditure;
9. whether the verification of the expenditure of the assumed obligation has been performed in accordance with the established procedure;
10. whether verification of the accuracy, acceptance and accounting of the invoice (primary accounting documents) has been performed in accordance with the established procedure;
11. whether the accuracy of the payment order has been verified in accordance with the established procedure
(4) As a result of the performed preliminary financial control under para 3, the financial controller may give the following conclusions:
1. Payment of the expenditure may be made, indicating the amount;
2. It is necessary to submit the following documents (and by whom);
3. Payment of the cost cannot be made, stating the reasons.
Art. 9 (1) In the cases when the payment is required to be approved by a body (Managing Authority or other competent body), outside the NRIA, the preliminary financial control before the payment of expenses on obligations undertaken by the NRIA shall be carried out in two stages:
1. at the first stage, the financial controller shall carry out an inspection before sending the payment documentation for approval to the respective competent authority;
2. at the second stage, the financial controller shall continue the inspection after receiving the decision from the respective competent body.
(2) At the first stage, the financial controller shall carry out the inspections, provided in art. 8, para 3 of this instruction.
(3) As a result of the performed preliminary financial control at the first stage, the financial controller may give the following conclusions:
1. The MA may be notified of the approval of the payment in accordance with the applicable rules;
2. It is necessary to submit the following documents, indicating which documents, by whom and within what period;
3. The MA cannot be notified in order to approve the payment, stating the reasons;
(4) As a result of the performed preliminary financial control after receiving the decision of the respective competent body, the financial controller may give the conclusions, provided in art. 8, para 2 of this instruction.
Art. 10 (1) The preliminary financial control before assumption of obligations by the heads of specialized units, when concluding employment contracts, when they are duly authorized by the executive director, shall be performed by experts from the specialized unit, determined by order of the executive director.
(2) The preliminary financial control, before making payments of obligations for which the heads of specialized units are duly authorized, shall be performed by experts from the specialized unit, determined by an order of the executive director.
(3) The experts under para 1 and 2 follow this instruction.
Art. 11 (1) The preliminary financial control shall be performed through instruments for preliminary financial control, by applying indicators for control for legality of the assumption of obligations by NRIA and of making payments of expenses on obligations assumed by NRIA.
(2) The Financial Control Department of the Operational Control and Risk Management Directorate shall develop projects for the instruments for preliminary financial control in the NRIA (e.g. checklists, control cards, etc.) and for indicators of legality, in coordination with the Analysis of Risk, Security and Irregularities Department of the Operational Control and Risk Management Directorate.
(3) After the coordination under para 2, the Director of the Operational Control and Risk Management Directorate approves the draft instrument for preliminary financial control and indicators of legality, and submits it to the Executive Director for approval.
Art. 12 (1) For the purposes of the preliminary financial control, the financial controllers and the experts under art. 10 para 1 and 2 of this instruction shall keep a register of the inspections carried out by him/her before the assumption of obligations and a register of the inspections carried out by him / her before the payment of expenses.
(2) The register for the performed inspections before the assumption of obligations shall indicate:
1. Sequence number of the inspection, which is also placed on the respective checklist;
2. Type of obligation (service, construction, delivery, remuneration, indemnities, others);
3. Budget paragraph;
4. Description of the document under which the obligation is assumed;
5. Description of the person to whom the obligation is assumed;
6. Date of receipt of the inspection documentation;
7. Grounds for ruling of the financial controller;
8. Additional requested documents (entry No. / date of receipt);
9. Final conclusion of the financial controller;
10. Amount of the obligation;
11. Notes / references to checklists and other documents.
(3) The register for the performed inspections before the payment of the obligation assumed by the NRIA shall indicate:
1. Sequence number of the inspection, which is also placed on the respective checklist;
2. Description of the legal basis for the obligation;;
3. Budget paragraph;
4. Description of the primary accounting document in which the amount of the expense is established;
5. Date of receipt of the documentation for inspection;
6. Grounds for ruling of the financial controller;
7. Additionally requested documents (Ref. No./date of receipt);
8. Final conclusion of the financial controller;
9. Amount of the cost to be paid;
10. Notes / references to checklists and other documents.
(4) The registers under para 2 and 3 are kept in electronic form.
(5) At the end of each working day, a printout of the registers referred to in para 2 and 3 shall be certified with the entries made during that day.
(6) At the end of each month the experts under art. 10 para 1 and para 2 shall send a copy of the registers kept by them to the head of the Financial Control Department of the Operational Control and Risk Management Directorate.
Art. 13 (1) All employees in NRIA shall give oral and written explanations, requested by the financial controllers in connection with the inspections performed by them, within the terms, indicated by the financial controllers.
(2) All employees in NRIA shall be obliged to submit the documents requested by the financial controllers in connection with the inspections performed by them, within the terms, indicated by the financial controllers.
Art. 14 The Director of the Operational Control and Risk Management Directorate gives methodical instructions for the implementation of this instruction, which are obligatory for the employees of NRIA.
§ 1. The instruction is accepted on the grounds of art. 21d, item 1 of the Roads Act (promulgated, SG, issue 26 of 2000, amended and supplemented, issue 88 of 2000, issue 111 of 2001, issue 47 and issue 118 of 2002, issue 9 and issue 112 of 2003, issue 6 and issue 14 of 2004, issue 88 and issue 104 of 2005, issue 30, 36, 64, 102, 105 and issue 108 of 2006, issue 59 of 2007 and issue 43 and 69 of 2008), Art. 13, para 3, item 5 of the Financial Management and Control in the Public Sector Act and art. 39, para 1, items 2 and 3 of the Regulations on the structure, activity and organization of work of the National Road Infrastructure Agency and its administration in force as of 09.09.2008, adopted by Decree of the Council of Ministers No. 219 of 05.09.2008. (Promulgated, SG No. 79 of 9 September 2008).
§ 2. (1) By December 15, 2008, the responsible persons shall develop and submit to the Executive Director for approval drafts for the samples of checklists provided for in this instruction.
(2) By 31 December 2008, the director of the Operational Control and Risk Management Directorate shall organize initial training of the respective employees on the application of this instruction.
(3) Within 15 days from the start of work, each newly hired employee shall undergo initial training.
§ 3 The implementation of the instruction is assigned to the Director of the Operational Control and Risk Management Directorate.
