After the irregularities in the work of cantonal institutions in Herzegovina-Neretva Canton (HNC), identified by the Audit Office of Institutions in the Federation of BiH, went without proper consideration, a first step has finally been taken in this canton toward establishing oversight of the implementation of audit recommendations. Members of the HNC Assembly have submitted important initiatives aimed at ensuring oversight of the process of addressing irregularities and weaknesses in the work of institutions, and the HNC Assembly Collegium will decide on them at its next session.
The initiative requested that the HNC Assembly leadership schedule a thematic session in June 2024 to discuss the Action Programs for eliminating identified irregularities and the status of recommendations for audited institutions (as of May 31, 2024). In addition, the initiatives called on the HNC Government to require audited institutions to submit their Action Programs for eliminating irregularities so that the Government could review them and forward them to the Assembly for further action.
By doing this, HNC Assembly members have demonstrated their readiness to establish oversight in the canton that can ensure the elimination of irregularities in the work and spending of public funds by cantonal institutions. The implementation of audit recommendations helps institutions address weaknesses and irregularities in their operations, leading to more responsible public spending and higher-quality services for the citizens of this canton.
This is particularly important considering that in the previous period, audits were carried out in institutions that are budget beneficiaries and of crucial importance to the citizens of the canton—namely, the University Clinical Hospital Mostar, the HNC Ministry of Finance, and the HNC Health Insurance Fund. A large number of irregularities were recorded in these institutions, including irregularities in hiring staff in public institutions and in contracting, additional salary payments not made in accordance with internal regulations, holiday and leave allowances paid above the legally prescribed amounts, non-implementation of the Law on Public Procurement, failure to conduct internal audits of budget users at the canton, city, and municipal levels, distribution of current transfers to other levels of government without a public call or established criteria, and many other irregularities directly linked to the spending of public money and, consequently, the quality of life of citizens.
Moreover, the importance of the HNC Assembly taking on a stronger oversight role over the implementation of audit recommendations is underscored by the fact that a large number of recommendations are repeated year after year, indicating that institutions continue to operate with irregularities.
Accordingly, the Centers for Civic Initiatives (CCI) support the initiative and efforts of the Assembly members to, in line with the Rules of Procedure of the HNC Assembly, schedule a thematic session and thereby introduce an oversight mechanism that will ensure the implementation of audit recommendations.