Financial reports

[Tric'hard Lenxheir]

I have no idea how to word this properly but it seems to me that there should be some sort of law requiring an end of term financial report to be made out by the outgoing leadership rather than leaving it to the newly elected government to try and find all of the proper information. This would lead to a much more seamless transition to the next Cosa. I have been following along on the Terplaziums (sp) and it appears that some information needed for the financial report has been difficult to locate and the opposition is using that lack of information as a bludgeon against the current leadership. Should we consider a new law requiring a financial report be submitted before a certain point prior to the Cosa ending? I would also suggest that there should be a freeze on spending between the final financial report and the end of the Cosa to which it applies.

[Baron Alexandreu Davinescu]

I think this is a good idea.  It is weird that we try to make an incoming government provide an account of the spending of the last one.  This might be as simple as changing the wording of the law to require the Financial Report to be delivered with the last Clark's publication, rather than the start of the second Clark period.

[Üc R. Tärfă]

I think this is a good idea.  It is weird that we try to make an incoming government provide an account of the spending of the last one.  This might be as simple as changing the wording of the law to require the Financial Report to be delivered with the last Clark's publication, rather than the start of the second Clark period.

No, I don't agree with you.

There is an underlying misunderstanding in this whole affair.

It is not the government's job to prepare the Financial Report.
It is the job of the Burgermeister. Lexh.C.1.5.6.

The Government's only duty is to request to the Burgermeister a Financial Report to be attached to its Budget proposal. That is the end of the Government's - and the Minister of Finance's - task as far as the Financial Report is concerned.

A Financial Report can be requested from the Burgermeister at any time, not only during the Budget, but it is his duty to provide it one for the Budget because a Financial Report is required to be attached to the Budget. And it also makes perfect financial and accounting sense to attach a final balance at the same time as an estimate is approved.

The problem here arose because the government changed the Burgermeister - with all that it brings with it regarding access to the accounts - before the Financial Report was prepared.

The problem is all here, it is not in the law but in having superimposed the change of Burgermeister with the change of Government, and having superimposed this change in the sensitive period of preparation of the Financial Report.

It is weird that we try to make an incoming government provide an account of the spending of the last one.

Again: the law doesn't make the incoming Government provide an account of the spending of the last one. It's the Burgermeister's job.

Lexh.C.1.5:

1.5. The Royal Treasury, headed by the Burgermeister of Inland Revenue. The function of the treasury is to:
1.5.1. collect all revenues due to the King,
1.5.2. maintain and report to the Finance Minister and the Government on the fiduciary health of the Kingdom, at least once in every two calendar months and whenever else requested
1.5.3. disburse from the treasury all funds legitimately appropriated by the Ziu,
1.5.4. keep a record of all changes in the account balances of the Royal Treasury.
1.5.5. audit the reported financial condition of His Majesty's investments at any time.
1.5.6. provide, upon request of the Minister of Finance and any other time stated in law, a Financial Report containing the following information:
1.5.6.1. the amount, location, liquidity, and availability of all funds held by or for the Royal Treasury,
1.5.6.2. a detailed list of all changes in the account balances of the Royal Treasury since the last Report,
1.5.6.3. a balance sheet which clearly lists all expenses linking them to the relative sheet items in the budget bills approved in the Cosa,
1.5.6.4. the total amount of louise and postal items in circulation;[104]

[Baron Alexandreu Davinescu]

The Burgermeister is a civil servant directly reporting to the Ministreu dal Finançù.  I don't really think splitting that hair is useful in terms of accountability or timing.

[Üc R. Tärfă]

I don't really think splitting that hair is useful in terms of accountability or timing.

I completely disagree: splitting that hair it is useful and essential.
That is the difference between a Civil Servant and a Political position. Otherwise we don't need civil servant at all.

[Baron Alexandreu Davinescu]

The Burgermeister is assigned to me "to report and consult concerning the conduct of their office as and when requested, necessary or useful."  That seems to say -- not to put to fine a point on it -- that the Burgermeister reports to me concerning how they preform their office.

But this all seems quite beside the point.  If you really are sure that Finance doesn't have a role to play in the Financial Report at all, despite being the person directed to present and approve it (and I am skeptical of this reading) then that just means we definitely need to change these procedures.

[Üc R. Tärfă]

The Burgermeister is assigned to me "to report and consult concerning the conduct of their office as and when requested, necessary or useful."

You forgot a part as I said on the other thread:

shall be assigned to a responsible Minister of the Government as named below, to report and consult concerning the conduct of their office as and when requested, necessary or useful. Officers are not subject to the direction of their responsible Minister except as required by Organic and statutory law.

Quite a convenient part not to be quoted right?

If you really are sure that Finance doesn't have a role to play in the Financial Report at all, despite being the person directed to present and approve it (and I am skeptical of this reading)

You don't have to approve it.

then that just means we definitely need to change these procedures.

Quite the contrary. I'm more confident of the fact that a Civil Servant - and not the Government - does the Report - i.e. the final balance -  on how money were spent by that Government.

That was the whole point, not to make the Government report itself or another Government .

[Baron Alexandreu Davinescu]

The Burgermeister is assigned to me "to report and consult concerning the conduct of their office as and when requested, necessary or useful."

You forgot a part as I said on the other thread:

shall be assigned to a responsible Minister of the Government as named below, to report and consult concerning the conduct of their office as and when requested, necessary or useful. Officers are not subject to the direction of their responsible Minister except as required by Organic and statutory law.

Quite a convenient part not to be quoted right?

???

As we have exhaustively covered, the Financial Report process is specifically one of the things for legal direction here!

If you really are sure that Finance doesn't have a role to play in the Financial Report at all, despite being the person directed to present and approve it (and I am skeptical of this reading)

You don't have to approve it.

The bill is presented by myself, and must be approved by myself and the whole Cabinet (presumably to the best of their knowledge). It's the first sentence of the relevant passage of law.

then that just means we definitely need to change these procedures.

Quite the contrary. I'm more confident of the fact that a Civil Servant - and not the Government - does the Report - i.e. the final balance -  on how money were spent by that Government.

That was the whole point, not to make the Government report itself or another Government .

Then the procedure should change and be separated entirely from the budget entirely, and -- again -- should come at the end of the term.

[Miestră Schivă, UrN]

The repeated reminders that the new Government do not understand the difference between the elected, political Government and the non-partisan, professional Royal Civil Service is distressing.

In any case, there used to be a requirement for financial reports at the end of each Cosa, but it never happened. I wouldn't oppose it being brought back if it actually happened.