The Office for Auditing Institutions in the Federation of BiH published the Financial Audit Report of the City of Široki Brijeg for 2023 on July 31, 2024. Although auditors identified numerous irregularities and weaknesses in the functioning and spending of public funds that need to be urgently addressed—as also indicated by the auditor’s adverse opinion on compliance with legal regulations—the City of Široki Brijeg has not taken even the first step to overcome them. More precisely, the City of Široki Brijeg failed to comply with the legally prescribed deadline for preparing and submitting an adequate plan for implementing measures to eliminate the identified irregularities.
Upon receiving the audit report from the Office for Auditing Institutions of the FBiH, audited institutions are legally obliged to submit their responses within 60 days to the Office, outlining the actions undertaken to remedy the identified irregularities and deficiencies in their work. However, even more than eight months after the publication of the audit report, the City of Široki Brijeg has not fulfilled this legal obligation. This is particularly concerning given that out of the 28 audit recommendations aimed at overcoming the detected irregularities, as many as 17 were repeated from earlier periods. Among other things, auditors pointed out that the procurement of goods, services, and works in the amount of at least BAM 1,426,186 was carried out without applying public procurement procedures, which is not in line with the law and the 2023 Budget Execution Decision. Furthermore, it was observed that transfers to local communities amounting to BAM 435,673 and to associations amounting to BAM 128,082 were implemented without criteria and in a non-transparent manner. Additionally, the allocation of transfers for sports in the amount of BAM 92,811 and for culture in the amount of BAM 168,783 was not carried out on the basis of public calls and criteria defined in the allocation decisions adopted by the Council.
Violating legal regulations is unacceptable and demonstrates institutional irresponsibility towards the system, the public, and citizens, especially when it comes to institutions that have such a significant impact on the quality of life of citizens. It should also be emphasized that this is a continuation of poor practice, as the City of Široki Brijeg had already violated the same obligation in previous financial audits.
Therefore, it is crucial for the supervisory body to undertake adequate measures to ensure responsible and lawful action by the City Administration in response to the audit findings and recommendations. Accordingly, CCI calls on the City Council to demand from the City Administration the preparation and submission to the Office for Auditing Institutions of FBiH of an adequate Action Plan, with clearly defined activities, deadlines, and responsible persons for their implementation. Furthermore, in order to establish oversight of eliminating the identified irregularities and weaknesses, it is necessary that the City Council, immediately after the preparation of the Action Plan, reviews the Plan together with the audit report at its session and ensures mechanisms for further monitoring of the Plan’s implementation. In line with its competencies, the local parliament should take appropriate steps to bring the work of institutions back within the framework of lawful and efficient management of public funds.