l) FINANCIAL AUDIT PLAN FOR THE YEAR 2024
In accordance with the Law on Public Sector Audit of the Republic of Srpska (Articles 3 and 16), based on the proposal of the head of the Financial Audit Sector, and based on the estimated risk of materially significant errors and non-compliance, as well as the frequency of audits, the Supreme Audit Office of the Republika Srpska public sector will conduct financial audits during 2024, i.e. audit of financial statements and compliance audit for 2023, of the following audit subjects (90):
1. Consolidated annual financial report for budget users of the Republic of Srpska (1),
2. Ministries and other beneficiaries of the budget of the Republic of Srpska (38)
3. Compulsory social insurance funds of the Republic of Srpska (4),
4. Local self-government units in the Republic of Srpska (21),
5. Public companies and public institutions in the Republic of Srpska (26).
In the period from 01.01.2024. until 31.07.2024. year (which represents the first part of the financial audit cycle), the audit of the financial statements and compliance audit of the following audit entities will be carried out (54):
| Number | Subject of audit |
| 1. | Office of the President |
| 2. | National Assembly |
| 3. | Council of Peoples |
| 4. | General Secretariat of the Government |
| 5. | Ministry of Finance |
| 6. | Ministry of Interior |
| 7. | Ministry of Education and Culture |
| 8. | Ministry of Justice |
| 9. | Ministry of Family, Youth, and Sports |
| 10. | Ministry of Administration and Local Self-Government |
| 11. | Ministry of Scientific and Technological Development, Higher Education and Information Society |
| 12. | Ministry of Health and Social Welfare |
| 13. | Ministry of Energy and Mining |
| 14. | Ministry of Agriculture, Forestry and Water Management |
| 15. | Ministry of Transport and Communications |
| 16. | Ministry of Trade and Tourism |
| 17. | Ministry of Spatial Planning, Construction and Ecology |
| 18. | Ministry of Labor, War Veterans and Disabled Persons’ Protection |
| 19. | Ministry for European Integration and International Cooperation |
| 20. | Ministry of Economy and Entrepreneurship |
| 21. | Secretariat for Refugees and Migrations |
| 22. | Tax Administration |
| 23. | Administration for geodetic and property-legal affairs |
| 24. | Agency for Agrarian Payments |
| 25. | Fund for pension and disability insurance |
| 26. | Health Insurance Fund |
| 27. | Children’s Protection Fund |
| 28. | Employment Office |
| 29. | Consolidated annual financial report for budget users of the Republic of Srpska |
| 30. | Service for joint affairs of the Government of the Republic of Srpska |
| 31. | Republican administration of civil protection |
| 32. | Hospitality service of the Government of the Republic of Srpska |
| 33. | Center for providing free legal aid |
| 34. | Republic Directorate for Reconstruction and Construction |
| 35. | Banja Luka Technical School |
| 36. | Banja Luka Medical School |
| 37. | National and University Library of the Republic of Srpska, Banja Luka |
| 38. | Doboj Medical School |
| 39. | High school center Prijedor |
| 40. | Tourist organization of Republika Srpska Banja Luka |
| 41. | Gymnasium Banja Luka |
| 42. | City of Banja Luka |
| 43. | Municipality of Ugljevik |
| 44. | Municipality of Berkovići |
| 45. | City of Bijeljina |
| 46. | Municipality of Brod |
| 47. | Municipality of Vukosavlje |
| 48. | The city of East Sarajevo |
| 49. | Municipality of Donji Žabar |
| 50. | East Drvar municipality |
| 51. | Institute for Construction a.d. Banja Luka |
| 52. | Directorate for construction and development of the city d.o.o. Bijeljina |
| 53. | Sutjeska Tjentište National Park |
| 54. | Kosmos a.d. Banja Luka |
In the second part of the financial audit cycle in the period from August 1, 2024. until 31.12.2024. the audit of the financial statements and compliance audit of the following audit entities will be conducted (36):
| Number | Subject of audit |
| 1. | Municipality of Kalinovik |
| 2. | Municipality of Kozarska Dubica |
| 3. | Municipality of Krupa na Una |
| 4. | City of Laktaši |
| 5. | Municipality of Novi Grad |
| 6. | Municipality of Oštra Luka |
| 7. | Municipality of Pale |
| 8. | Municipality of Sokolac |
| 9. | Municipality of Srbac |
| 10. | Municipality of Trnovo |
| 11. | City of Prijedor |
| 12. | Municipality of Šipovo |
| 13. | Waterworks JSC Banja Luka |
| 14. | Thermal Nova LLC Ugljevik |
| 15. | Hail prevention of the Republic of Srpska |
| 16. | Highways RS JSC. Banja Luka |
| 17. | RS Airports JSC Banja Luka |
| 18. | Waterworks and utilities JSC Zvornik |
| 19. | Free zone JSC Šamac |
| 20. | City heating plant JSC Doboj |
| 21. | Communal services JSC Modriča |
| 22. | Institute for Construction of the City of Prijedor |
| 23. | Communal services JSC Teslić |
| 24. | Communal services “Bobas“ JSC Kotor Varoš |
| 25. | Communal services JSC Pale |
| 26. | Waterworks and utilities JSC Novi Grad |
| 27. | Waterworks JSC Kozarska Dubica |
| 28. | Veterinary Institute of the Republic of Srpska Dr. Vaso Butozan Banja Luka |
| 29. | Pharmacy Foča |
| 30. | Pharmacy Gradiška |
| 31. | Tourist Organization of Jahorina City of East Sarajevo |
| 32. | National Library “Filip Višnjić” Bijeljina |
| 33. | National Library “Ćirilo i Metodije” Prijedor |
| 34. | National Library Doboj |
| 35. | Student Center Pale |
| 36. | Student Center Lukavica |
In addition to the aforementioned audit activities in 2023, the Supreme Audit Office will also conduct audit activities to check the status of recommendations given in previous periods, guided by the criteria of the oldest audited period and the availability of resources.
In accordance with the available human resources (43 financial auditors) in both the first and second cycle of financial audits, the management of the Supreme Audit Office will form teams to conduct audits.
The general focus of the audit in all planned entities of the public sector will be on the implementation of the recommendations given in previous reports, the alignment of planning and spending of budget and other public funds – execution of the budget (financial plan), and on the accuracy and fair presentation of total assets and liabilities and business results, in accordance with the requirements of the financial reporting framework. Additional audit focuses and business compliance will be specified for each individual audit of a public sector entity, and defined by team leaders with the agreement of the Supreme Audit Office management.
The specific goals and sub-goals of individual financial audits will be defined by the team leaders, in accordance with the results of the preliminary tests, the assessment of the internal control system of the audited subject, the amount of total assessed risk, the level of quantitative and qualitative materiality elements.
ll) PLAN OF PERFORMANCE AUDIT ACTIVITIES IN 2024
Performance audit activities are planned in accordance with the established strategic directions and priorities of performance audit, and based on the Law on Public Sector Audit of the Republic of Srpska and INTOSAI professional publications.
The Supreme Audit Office of the Republic of Srpska public sector determines the areas and topics of the performance audit based on the criteria from INTOSAI professional publications. The criteria for selecting performance audit topics are: special interest and importance for society and citizens, significant involvement of human, material and financial resources, pronounced risks of uneconomical, ineffectiveness and inefficiency, space and need for improvements and improvements in the success of programs, processes and activities in the public sector . In this way, it is possible for the audit to provide qualitative new value for the community, public sector and citizens.
The Supreme Audit Office of the Republika Srpska public sector will conduct audit engagements of processes and activities that belong to the areas of:
- Communal activities and communal services;
- Forest protection;
- Protection of natural and cultural-historical heritage
- Management of grants and subsidies in local self-government units;
- Exercising rights from social protection.
In accordance with the established areas and capacities of the performance audit (16 performance auditors) in the Supreme Audit Office in 2023, six performance audit engagements are planned:
- Building maintenance management;
- Formation of utility service prices;
- Protection of forests from fire;
- Protection of immovable cultural assets;
- Management of grants in local self-government units;
- Exercising the right to be placed in an institution and the right to help and care at home for the elderly.
The performance audit of forest fire protection will be conducted as a parallel performance audit with the SAI of Serbia. Parallel audits are carried out in accordance with INTOSAI professional publications and serve the purpose of fulfilling the strategic goals established by the Strategic Plan of the Supreme Audit Office for the period 2021-2025. year.
Performance audit audit engagements include several public sector institutions that have certain roles, jurisdictions and responsibilities in relation to established performance audit topics and cover a longer period of time, i.e. more accounting periods. Audit engagements are conducted through two phases: the pre-study phase (preliminary examination and planning of the main study) and the main study phase. The planned completion time of the planned audtis is in the period September – December 2023. The specific time of completion of each audit will be determined by the Pre-Study Memorandum with the plan of the main study as the basic planning document in the performance audit and decisions on the implementation of the main study.
In addition to the aforementioned audits, the Supreme Audit Office of the Republika Srpska public sector plans to conduct four follow-up reviews of the implementation of recommendations from performance audit reports from previous years:
• Performance audit report “Prevention of malignant diseases” (published in 2019);
• Performance audit report “Professional rehabilitation and employment of persons with disabilities” (published in 2019);
• Performance audit report “Management of forest fees” (published in 2019);
• Performance audit report “Efficiency of collection and use of public road fees for motor vehicle registration” (published in 2020);
• Performance audit report “Exploitation of river material as a segment of integral arrangement and protection of the watercourse of the Drina River” (published in 2021). The subsequent review of the implementation of the recommendations enables an insight into the measures and activities undertaken by the institutions competent and responsible for the implementation of the recommendations, the results of the implemented measures and activities, as well as the determination of the status of the recommendations. Decisions on conducting follow-up reviews will be made in accordance with the dynamics of conducting follow-up reviews.
