The Directorate General for Audit of European Funds (hereinafter: DGAEF, Directorate General) was established on 1 July 2010 as an autonomously operating central budgetary organisation within the chapter of the Ministry for National Economy. The organisation is headed by a Director General, the employees of the Directorate General are government officials. Its task is to carry out audit authority tasks regarding European Union and other international funds determined by the Government.
In terms of professional activity, the DGAEF is independent from the managing authority, the intermediate bodies, the certifying authority and from the beneficiaries. When planning its activity, selecting methods and implementing the programme, the Directorate General acts independently, it compiles the reports on the findings, conclusions and recommendations free from outside influence, for the content of which it bears responsibility.
Introduction and management mission statement
The mission of the Directorate General as national Audit Authority for European Union funds is the following:
- Promoting the effective and regular use of funds from the European Union, protecting the financial interests of Hungary: to use up the European Union funds to the more extent, do not have to pay them back. One of its supporting instrument is to give effect to the recommendations, taken in course of the system audits, ameliorating the functioning of the institutions handling the funds, thus preventing irregularities; the other aspect is to reveal irregularities in time and within the member state, as the fund is re-usable in another project (as a general rule the member state lose the fund in case the European Commission reveals the irregularity).
- DEFINITE and EFFECTIVE audit is needed to this.
- Definiteness is also an EU requirement: on the one hand, the beneficiaries and the executors should feel the expectation of regularity besides the effective use of sources; on the other hand, the Audit Authority should determinedly and unequivocally deliver an opinion on the cases. Consistency and compatibility during the audit are further requirements in this respect.
- The requirement of effectiveness is double:
- The operational effectiveness of DGAEF is provided by the continuous review of the working methods of the organisation.
- Another aspect of effectiveness also comes to the front: the effectiveness and efficiency of the use of European Union funds is required to be audited. It has limits due to the prescribed methodologies, although the European Commission puts increasing emphasis on impacts, measurement of results, feedback.
- The methodological REFORM should be realised providing CONTINUITY as the audit obligations are continuous.
- The audit work should be characterised by professional excellence and high recognition. The competence, professional knowledge, preparedness and awareness of an auditor should be recognised by the audited one. That should be provided on the one hand by trainings and on the other hand by examining the knowledge, as well as by feedback from the audited ones.
- Proactive approach is required in order to early identification of risks.
- The networking of the Directorate General:
- Auditor’s, at the same time – within the defined framework – cooperating relationship with the institutions, taking into high consideration the requirements of INDEPENDENCY and OBJECTIVITY;
- Active partnership with the audit authorities of other member states in order to recognise and adapt the best practices.
- Connection with the European Commission:
- A) Communication in accordance with legal provisions.
- B) Accomplishment of tasks according to the level expected by the EU.
- C) Medium-term, very important objective: the recognition of the Directorate General as a member state Audit Authority, contribution to the reliability and success of the institutions.
- Last but not least, the Directorate General as an organisation/workplace, with regard to the government officials:
1. demands the following:
- professional competence,
- the proper use of the Hungarian language,
- working independently and having the ability to participate in teamwork,
- discipline, thoroughness,
- integrity, being free from corruption and irreproachable,
- objectivity, professional scepticism,
- compliance with code of ethics,
- environmental protection (within the framework of the obligations for keeping document).
2. provides the following:
- partnership with the leaders and colleagues,
- motivational and high performance supporting working environment,
- providing continuous professional development,
- training courses,
- supporting healthy living, sport facilities,
- cultural opportunities,
- equal opportunity.
The Directorate General performs audit tasks – determined by the European Commission and in case of non-European Union assistances defined in agreements with donor states – regarding the following assistances:
- assistances related to the Structural Funds, the Cohesion Funds and the EQUAL Community Initiative programme regarding the programming period 2004 to 2006;
- funds from the European Regional Development Fund, the European Social Fund and the Cohesion Fund in the programming period 2007 to 2013;
- General Programme “Solidarity and Management of Migration Flows”;
- PHARE and Transition Facility;
- INTERREG III Community Initiative Programmes;
- European Territorial Cooperation Programme;
- Norwegian Financial Mechanism and EEA Financial Mechanism;
- Swiss–Hungarian Cooperation Programme;
- European Union Solidarity Fund.
The following also belong to the tasks of the Directorate General: preparation and regular review of the audit strategy and annual plans, performing system audits and audits on operation, compilation of annual control reports and annual opinions, preparing annual summary and final reports and issuance of closure declarations.
Organisational chart of the Directorate General for Audit of European Funds
Balázs DENCSŐ dr. (T: 06 1 795 2288; F: 06 1 795 0312; E: upbDHyGFnAueL8ZzghTNzUYmFsYXpzLmRlbmNzb0BldXRhZi5nb3YuaHU=)
Deputy Director General, Director responsible for Audit of Infrastructural Programmes:
Katalin MAJOR (T: 06 1 795 2278; F: 06 1 795 0312; E: bCpGZutWKBFlEOYhek5kzlZYa2F0YWxpbi5tYWpvckBldXRhZi5nb3YuaHU=)
Director responsible for Strategy and Methodology:
Marianna MIKLÓS-MOLNÁR(T: 06 1 795 2288; F: 06 1 795 0312; E: ZlpZwKTvVOYPRRVV7F42ZzgwbWFyaWFubmEubWlrbG9zLW1vbG5hckBldXRhZi5nb3YuaHU=)
Director responsible for Audit of Regional Programmes:
Zsolt ALBERT(T: 06 1 795 2278; F: 06 1 795 0312; E: iqSdRV3ZmienNvbHQuYWxiZXJ0QGV1dGFmLmdvdi5odQ==)
Director responsible for Audit of Economic Development and Other European Programmes:
Attila MATLAG (T: 06 1 795 2295; F: 06 1 795 0312; E: VNZjYV50cEwEYXR0aWxhLm1hdGxhZ0BldXRhZi5nb3YuaHU=)
Director responsible for Audit of Social, Public Administration and Implementation Programmes:
Mária MÁTYÁS(T: 06 1 795 2295; F: 06 1 795 0312; E: hylQQYajlGVmmoD84hQJG2QMbWFyaWEubWF0eWFzQGV1dGFmLmdvdi5odQ==)
- Council Regulation (EC) No 1083/2006 laying down general provisions on the European Regional Development Fund, the European Social Fund and the Cohesion Fund and repealing Regulation (EC) No 1260/1999;
- Commission Regulation (EC) No 1828/2006 setting out rules for the implementation of Council Regulation (EC) No 1083/2006 laying down general provisions on the European Regional Development Fund, the European Social Fund and the Cohesion Fund and of Regulation (EC) No 1080/2006 of the European Parliament and of the Council on the European Regional Development Fund;
- Council Decision No 435/2007/EC of 25 June 2007 establishing the European Fund for the Integration of third-country nationals for the period 2007 to 2013 as part of the General Programme Solidarity and Management of Migration Flows;
- Decision No 573/2007/EC of the European Parliament and of the Council of 23 May 2007 establishing the European Refugee Fund for the period 2008 to 2013 as part of the General Programme Solidarity and Management of Migration Flows and repealing Council Decision 2004/904/EC;
- Decision No 574/2007/EC of the European Parliament and of the Council of 23 May 2007 establishing the External Borders Fund for the period 2007 to 2013 as part of the General Programme Solidarity and Management of Migration Flows;
- Decision No 575/2007/EC of the European Parliament and of the Council of 23 May 2007 establishing the European Return Fund for the period 2008 to 2013 as part of the General Programme Solidarity and Management of Migration Flows.
- Act No. XXXVIII of 1992 on Public Finances;
- Act No. C of 2000 on Accounting;
- Act No. CXXXIX. of 2003 on Public Procurement.
- Gov. Decree No 210/2010 (VI. 30.) on the Directorate General for Audit of European Funds;
- Gov. Decree No 4/2011 (I. 28.) on the rules for the use of funds from the European Regional Development Fund, the European Social Fund and the Cohesion Fund in the programming period 2007 to 2013;
- Gov. Decree 292/2009 (XII. 19.) on the operational rules of Public Finances;
- Gov. Decree No 348/2007 (XII. 20.) on the Publication of the Framework Agreement between the Swiss Federal Council and the Government of Hungary concerning the Implementation of the Swiss-Hungarian Cooperation Programme to Reduce Economic and Social Disparities within the Enlarged European Union;
- Gov. Decree No 237/2008 (IX. 26.) on the Implementation Order of the Swiss-Hungarian Cooperation Programme;
- Gov. Decree No 201/2005. (IX. 27) on the Publication of the Cooperation Agreement concluded on the 10 June 2005 between the Government of the Kingdom of Norway and the Government of the Republic of Hungary on the Implementation of the Norwegian Financial Mechanism between 2004 to 2009, as well as the Cooperation Agreement on the Implementation of the EEA Financial Mechanism between 2004 to 2009 concluded on the 7 July 2005 between the Government of the Republic of Iceland, the Government of the Principality of Liechtenstein, the Government of the Kingdom of Norway, of the one part, and the Government of the Republic of Hungary, of the other part;
- Gov. Decree No 242/2006. (XII. 5.) on the Implementation Order of the EEA Financial Mechanism and the Norwegian Financial Mechanism;
- Gov. Decree No 119/2004. (IV. 29.) on the rules for financial planning, performing, accounting and auditing the use of the Pre-accession Instruments of the European Union and the Transition Facility.