SAPARD Agency Emergence and Accreditation in Slovakia

The Emergence of SAPARD Agency in Slovakia Roman Seren

Contents Arguments for establishing Agency of SAPARD AS accreditation SAPARD Agency - Main Tasks Project supports

Arguments for establishing Enabling use of finance from EU structural funds (namely the European Agricultural Guidance and Guarantee Fund hereinafter EAGGF ) by production and non-production subjects in the SR, through the programme SAPARD (Special Accession Programme for Agricultural and Rural Development). Use of EU finance for the purposes of agricultural and rural development within the framework of adaptation of SR to the EU Common Agricultural Policy in the pre-accession period.

Agency of SAPARD (AS) The of Agriculture #4338/1999-100 of 1.12.1999 and with the approval of the Ministry of Finance SR #5932/1999-KM of 8.11.1999. agency was established by resolution of the Minister It was divided to organization units. Regional offices (Nitra, Bansk Bystrica, Tren n and ilina) and the Headquarters (Bratislava). The agency was a legal person with legal personality. AS played implementation and payment roles.

AS accreditation After the approval of the Plan of Agricultural and Rural Development (24 October 2000), after the announcement of the Programme SAPARD for the Slovak Republic (17 November 2000), the focus of works was moved to the meeting of the third condition during 2001, which was necessary for implementation of the programme SAPARD, reaching national SAPARD Agency accreditation and its confirmation by the European Commission. Aimed to the accreditation, implemented by the following units: Implementation Unit of the SAPARD Agency; Payment Unit of the SAPARD Agency; separate Internal Audit Department; and largely by the Information Systems Unit. the majority of activities was

AS accreditation On the basis of granted national accreditation for AS (10 December 2001) and official presentation of the preparedness of AS and National Fund (NF) of MF SR (financial managing) for the implementation of the Programme SAPARD, on 7 January 2002 SR applied the European Commission (DG AGRI) for accreditation audit. The accreditation audit in Slovakia was performed from 28 January 2002 1 February 2002. It was targeted to verification of the preparedness of administrative structures: AS, NF, Supreme Audit Office Certification Body (SAO - CB) and Ministry of Agriculture and Rural Development Managing Authority (MARD - MA). Complex examination was performed, of administrative, accounting, payment and control procedures, and methodologies, as well as personal and financial securities. information technologies

AS accreditation Commission Decision 299/2002 was issued in the Official Journal of the European Communities on 15 April 2002, conferring management of aid from the programme SAPARD to Slovak institutions (AS; NF SR) and accreditation was officially confirmed on the following 5 measures: No. 1: Investments to agricultural enterprises; No. 2: Improvement of processing and marketing of agricultural and fish products; No. 4a: Diversification activities in rural areas, only investments not involving infrastructure; No. 5: Forestry; No. 7: Land consolidation.

AS accreditation The of implementation of the first part of the AS accreditation: Publication of Methodological Guides for applicants for finance from SAPARD, including specimen of forms and applications for accredited measures; Publication of the call for submission of applications for accredited measures, including deadlines (April May 2002); Financing of projects from SAPARD (2ndhalf of 2002); Preparation of approved pending of Agricultural and Rural Development of the SR for the accreditation and testing software for electronic processing of applications to the end of its accreditation (1sthalf of 2002). following activities took place within the framework measures from the Plan

AS accreditation Creation of conditions was and important step of AS, for obtaining accreditation for the remaining measures of the Plan of Agricultural and Rural Development of the Slovak Republic. The accreditation process began in November 2002 by elaboration of documents of the AS accreditation package. Application was sent to NF SR on 10 December 2002, for implementation of the accreditation audit. The audit covered the following measures: Measure No. 3: Setting-up producers group; Measure No. 4b: Diversification activities in rural areas for infrastructure investments; Measure No. 6: Agricultural production methods designed to protect the environment and maintain the countryside; Measure No. 8: Development of human resources; Measure No. 9: Technical assistance.

AS accreditation Finishing the Process NF on 25 March 2003, which covered the pending measures of the Plan of Agricultural and Rural Development of the Slovak Republic (No. 3; 4b; 6; 8; 9). Accreditation audit by the European Commission (DG AGRI) was performed in NF SR and AS on 23 30 April 2003. Commission Decision 213/2003 of 14 August 2003 was issued in the Official Journal of the European Communities on 23 August 2003, conferring management of aid to implementation agencies for pre- accession measures in the agriculture and rural development in the Slovak Republic in the pre-accession period (2003/615/EC). The first accreditation was officially confirmed to AS in this way, for all measures of the Plan of Agricultural and Rural Development of the Slovak Republic. SR awarded national accreditation to the SAPARD Agency

SAPARD Agency Main Task Activities of the SAPARD Agency as of 2003 were provided by departments as follows: Director s Unit secretariat of the director Internal Control Officer, Internal Audit Department, Implementation Unit (Contractual, Preliminary Control and Monitoring Departments), Paying Unit (Payment Authorisation, Accounting, Payment Execution and Technical Control Depart.) Internal Unit (Legal, Information Systems, Economy, External Relations and Personal Departments.)

SAPARD Agency Main Task For the purposes of financing projects of the Programme SAPARD, accepting finance through the National Fund of Ministry of Finance SR from the EAGGF Guarantee Section and from the state budget and their administration; Administration; verification of applications; closing contracts and monitoring ready programmes according to the criteria as laid down in the Plan of Rural Development of the SR; Authorization; clearing; execution; and monitoring payments; Implementation of internal, external, and technical controls; Archiving documents and making them available for inspection bodies of the Slovak Republic and of the European Union; Production of required reports and documentation in time, on the drawing from funds and on compliance with limits; with their submission to competent authorities and institutions.

SAPARD Agency Main Task The above tasks were implemented by the AS Headquarters in Bratislava and 7 Regional Offices that were located in regional centres. Each regional office employed at least 5 employees in 2003, in the following structure: person responsible for registration and assessment of applications; preliminary control controller; and 2 technical control controllers. Staff as of 31 December 2002: plan 86; reality 89. Staff as of 31 December 2003: plan 86; reality 112.

SAPARD Agency Main Task 000 of EUR Submitted projects Approved projects (commitments) No Eligible costs planned Total public exp. No Public expen. 450 393 96 747 131 225 1 901 47 910 64 401 1 901 357 198 36 856 34 660 738 Measure 1 Measure 2 7 6 Measure 3 102 27 983 14 098 37 5 108 Measure 4a 165 43 12 110 23 779 4 550 7 369 11 055 119 695 304 728 23 779 2 269 7 369 11 055 119 695 173 596 150 35 10 110 18 033 1 482 1 349 11 261 122 712 110 322 Measure 4b Measure 5 Measure 6 Measure 7 4 4 Measure 8 20 19 Measure 9 1 306 926 Total APA

Project supports Application for non-repayable financial contribution The application for a non-repayable financial contribution is a basic document by which the applicant, on the basis of the announced call requests to co-finance the project from EU and national budgets. Evaluation process a random selection of the evaluators through the information system the four-eye principle - every work activity performed by the employee is subsequently independently checked by the second authorized employee. In the event of a discrepancy between the conclusions of the evaluators, the third person - the arbiter - enters the evaluation process

Project supports Evaluation process The evaluation sheet includes assessment of the evaluation criteria from the evaluators and the sum of the achieved points. In the process of evaluating is needed to adopt measures for protection of the financial interests of the SR and the EU through check of the effectiveness and frugalness. After checking compliance with all the conditions set in the call, the agency issues the decision on the approval / non-approval of the application, respectively the decision to stop the proceedings.

Project supports Contract to grant a non-repayable financial contribution After come into force of the decision, the agency will prepare a non- repayable financial contribution contract, which will be published in the Central Register of Contracts. Application for Payment The non-repayable financial contribution for the implementation of the project, which is the subject of the contract, is provided to the beneficiary on the basis of the Application for Payment (AP). The agency performs administrative financial checks of the AP. The objective is to ensure of the fulfilment of the legality, correctness and eligibility of submitted declared expenditures and other facts stated in the AP, including their supporting documentation and their compliance with the EU and SR legislation and the contract.

Project supports On-the-spot financial checks The system of administrative checks is complemented by a system of on-the- spot financial checks (100% project checks and checks on the basis of risk analysis). A basic condition for the provision of project promotions is to demonstrate the eligibility of the expenses incurred and compliance with the terms of the Non-repayable financial contribution under the Contract. On-the-spot visit Aims to verify the status of the project, documents demonstrating the ownership of the project s subject, using the project subject to the project s aims and producing a photographic documentation related to the project activities.

Thank you for your attention roman.serences@uniag.sk