Formez PA, 2021 statutory updates and financial management
“In the 2021 financial year, as a result of regulatory changes, the statute of Formez PA (service, assistance, studies and training center for the modernization of public administrations) was updated. The Assembly of Associates on 8 November 2021 made further statutory transformations ratified by the Minister for Public Administration”.
This is what we read in report of the Court of Auditors on financial management, year 2021, del Formez PA registered office in Rome. The statute of the latter defines, among other things, that “Formez PA is an in-house body of the Presidency of the Council of Ministers and Associates in accordance with current legislation”.
Remunerations and charges for the administrative and control bodies increase to €321,523, by 5.5% compared to 2020 (304,705 euros). The support with the deputy general director of Formez PA was confirmed, who called a manager in service at the Institute to fill the role, who “following the findings of this Court of Auditors in the previous report, is now referred to in the statute . Again with regard to the deputy general director, the findings of the Section were also noted in the substantial emoluments attributed to him also for the comparison with the remuneration of the owner of the Body (general director)”: The Board of Auditors urged Formez PA , on several occasions, to the appointment of the new Supervisory Body to meet the needs arising from the Covid 19 health emergency.
“The Body was renewed, belatedly, only on 05.18.2021, with acceptance of the assignment on 05.25.2021″. In 2021, there is an increase in the overall cost of internal staff, which goes from €16,726,769 to €17,72,728 with an increase of 6.1%. This figure is motivated both by changes in the contingent of permanent staff and by the presence of costs connected to services.
Formez PA clarified that, within the “Services” item, the cost of consultancy and collaborations alone for the year 2021 is 48,323,202 euros (19,979,399 euros in 2020) while the remaining amount of 3,588,294 euros is connected to other types of consultancy services (2,731,269 for 2020).
The Accounting Judges highlight that “despite the invitations made to Formez PA in previous reports regarding the need to contain expenses relating to external collaborations, in the financial year under review there was a further, notable increase in the same, both compared to 2019 and compared to the 2020 financial year which is also accompanied by a further increase in personnel costs. Therefore this Court reserves the right to carry out the necessary investigations regarding the rationalization of personnel, the nature and object of the consultancy and their coverage, inviting the Board of Auditors of the Entity to implement all the actions within its competence”.
Regarding negotiation activity, Formez PA reports having concluded 159 contractsof which 58 through the use of Consip Spa's purchase tools and 101 outside Consip Spa for a sum of 18,271,633 euros (3,595,243 euros in 2020).
As regards economic management, the balance sheet closed with a profit of 4,047,761 euros, an increase of 98.2% given the year 2020: 2,042,038 euros. The value of production is 80,898,094 euros (48,734,725 euros in 2020). “The volume of revenues of 32,154,369 euros is the effect of the increase in revenues for sales and services, due to the significant number of orders definitively tested taking into account the 2020 financial year, and the increase in work in progress on order, due to the production increases achieved on multi-year orders still in progress as of 12.31.2021″.
Debts, amounting to 169,299,086 euros, show a development of 30.07% considering the year 2020 (130,161,824 euros). In detail, debts to banks have a balance of 4,000,000 euros (compared to a balance of zero in 2020), debts to suppliers increased by 84.4%, going from 20,308,186 euros to 37,374 .36 euros.
The provisions for risks and charges show a decrease of 1.49% and amount to 10,302,894 euros. “This Court – write the Magistrates – reiterates what has already been underlined regarding the importance of highlighting in the supplementary notes the criteria that led to the determination of the values of the Risk and Charges Fund, and draws the attention of the Board of Auditors of the Entity so that verify the estimation criteria of the Fund itself”. The report of the Court of Auditors was sent to the presidents of the Senate and Chamber of Deputies.
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