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22.10.2015

State Control Committee of Belarus and Accounts Chamber of Russia discussed the report of Union State Council of Ministers on the execution of Union State budget for 2014

State Control Committee of Belarus and Accounts Chamber of Russia discussed the report of Union State Council of Ministers on the execution of Union State budget for 2014

Joint meeting of the collegiums of the State Control Committee of Belarus and the Accounts Chamber of Russia was held on 22 October 2015 by videoconference.
During the meeting SAIs discussed the issues of execution of Belarus-Russia Union State budget for 2014. The conclusion was prepared in accordance with the Order of formation and execution of the Union State budget and the working plans of SAIs.
The main conclusion of the joint meeting: the data of report on the execution of the Union State budget prepared by the Union State Council of Ministers are confirmed.
At the same time on 1 January 2015 the balance of the Union State budget was 1777 746.1 thousand Russian rubles (1016 683.2 thousand Russian rubles on the account of the Federal Treasury of Russia and 761 062.9 thousand Russian rubles on the account of Main State Treasury of the Ministry of Finance of Belarus) and increased by 1.2 times from the beginning of the year. This demonstrates the insufficient effectiveness of budget spending, the main cause of which is the presence of uncommitted balance of the funds due to incomplete implementation of Union State programs, delays in the approval of programs and others.
The audit also confirmed that the data of the Report concerning budget loans provided by Standing Committee of the Union State and their repayment on 1 January 2015. However, the work done by Standing Committee in 2013 - 2014 to return the existing budget loans hadn't brought expected results. For example, the restructuring of the loan of JSC “Central Company of Interstate financial and industrial group "BelRusAvto" proposed by Russian Ministry of Finance and Ministry of Economic Development wasn't done. On the moment of audit the agreement on the restructuring wasn’t signed. So the results of audit demonstrate the need to improve the quality of state financial management by the Standing Committee of the Union State.
The State Control Committee of Belarus and the Audit Chamber of Russia have concluded that in 2014 there were some shortcomings in the organization and execution of the budget of the Union State, caused by some gaps in the legal framework of the Union State regulating the budget process.
The audit of the execution of the Union State budget revenues confirmed the data of the report of the Union State Council of Ministers for 2014. But the audit also showed that the additional revenues (23 864.8 thousand Russian rubles, or 0.4% of the plan) have not been used for funding of new programs and events. The audit also showed that in 2014 the income of the Union State broadcasting company from business and other income-generating activities exceeded the planned targets several times which is the evidence of inaccurate forecasting of revenues and the need to improve the quality of their planning.
The most costly projects of the Union State were held in the framework of joint activities to overcome the consequences of the Chernobyl disaster and in the field of agriculture, information technology, culture and arts and others.
Cash expenditures of the Union State budget didn’t execute by 13.9%, mainly on the programs "Innovative development of the production of potatoes and Jerusalem artichoke", "Development of innovative technologies and equipment for the competitive production of composite materials, matrices and reinforcements in the 2012 - 2016".
The analysis of the expenditures of the Union State budget for 2014 showed that budget execution in terms of expenditure was carried out by main managers of Union budget funds (Roskosmos, Federal Forestry Agency of Russia, Federal Service for Oversight of Consumer Protection and Welfare of Russia, Federal Security Service of Russia, Ministry of Health of Russia, Ministry of Emergency Situations of Russia, Ministry of Agriculture and Federal Medical-Biological Agency of Russia, State Border Committee of Belarus, Ministry of Emergency Situations of Belarus and National Academy of Sciences of Belarus) at a sufficiently high level.
SAIs paid attention to the fact that in 2014 as in the previous period the cash execution of expenditures of the Union State budget was carried out not enough uniformly.
Among the shortcomings in the realization of Union State programs the control bodies have repeatedly pointed out that the state customers don’t have internal administrative documents on the organization of programs execution. Till the present time the procedure of approval of final reports on the realization of Union State programs remains difficult and long. So, in October 2014 the Council of Ministers of the Union State approved the final reports of state customers on the realization of 5 programs which ended in 2012 - 2013.
There are some shortcomings on the accounting and management of the Union State property.
Сollegiums of the SAIs of Belarus and Russia took into account that in 2015 after the audit of execution of the Union State budget for 2014 the amount of 9 272.7 thousand Russian rubles (as of October 1, 2015) was returned to the Union State budget.
Having reviewed and discussed the materials, the Accounts Chamber of Russia and the State Control Committee of Belarus have made a number of proposals, regulations and submissions to the Union State Council of Ministers and its Standing Committee.
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