ERDF & COHESION FUND
FINANCIAL CONTROL UNIT
I R E L A N D
Annual Report 1999
May 2000
A Unit established by the
Department of Finance
with the support of the European Commission
ERDF & COHESION FUND
FINANCIAL CONTROL UNIT
I R E L A N D
Annual Report 1999
May 2000
A Unit established by the
Department of Finance
with the support of the European Commission
E R D F & C o h e s i o n F u n d F i n a n c i a l C o n t r o l U n i t
ERDF & Cohesion Fund
Financial Control Unit
8th Floor,
Lansdowne House,
Ballsbridge,
Dublin 4,
Ireland.
Telephone: 353 - 1 - 604 5047
Facsimile: 353 - 1 - 660 3142
E-mail:
eucontrol@cmod.finance.irlgov.ie
★
Foreword
4
1
EXECUTIVE SUMMARY
1.1
Background
5
1.2
Key function of Unit
5
1.3
Control checks completed
5
1.4
Organisations visited
5
1.5
Key findings
5
1.6
Key recommendations
6
1.7
Irregularity reports
7
1.8
Response to findings and recommendations
7
2
INTRODUCTION
2.1
Background
8
2.2
Financial Control Unit
8
2.3
Key Objectives
8
2.4
Staff and Location
9
2.5
Key functions
9
2.6
Format of control check reports
10
2.7
Remit of the Financial Control Unit
10
3
PLANNING
3.1
Introduction
11
3.2
FCU Multi-annual Plan
11
3.3
Operational Programme funding structures
11
3.4
Year Plan – 1999
12
4
REVIEW OF PERFORMANCE – 1999
4.1
Business plan
13
4.2
Operational Programme funding flowcharts
13
4.3
Internal Control Questionnaires
13
4.4
Audit programmes
13
4.5
Training and seminars
13
4.6
Proposed Structural Fund computer system
14
4.7
European Commission and European
Court of Auditors
14
4.8
Participation in Interdepartmental Committees
14
4.9
Accounts – 1998/99
14
5
CONTROL CHECK RESULTS
5.1
Control checks completed
15
5.2
Findings and recommendations
15
5.3
Progress on Systems-Based Audits
21
5.4
Progress on 5% verification of transactions
22
5.5
Irregularity reports – Regulation 1681/94
22
5.6
Response to recommendations
22
★
APPENDICES
A
Organisations visited during control checks
24
B
Commission Regulation (EC) 2064/97
25
C
ERDF financial controls in Ireland
30
D
Financial Contro