28th Conference of Directors of Paying agencies

Namur, 27 to 29 October 2010

Belgian organisation and introduction to Workshop 1 organised by the Walloon Paying Agency :

« Financial systems used by the Paying Agencies »

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Introduction

1. Presentation of the Walloon paying agency

2. Walloon Paying Agency Agreement : accreditation criterias

3. Payment and recovery procedures

4. Re-engineering of the Paying agency financial data processing

5. Introduction to Workshop 1

Content of the presentation

• « BIRB » (« Belgian Intervention and Refund Board »)

• « Flemish PA »

• « Walloon PA »

==> Belgian Coordinating body

Introduction : 3 Paying agencies in Belgium

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1. Presentation of the Walloon Paying Agency

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Organisational chart

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2. Walloon Paying Agency Agreement : Accreditation criteria

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2.1. Internal environment

• Organisational structure which provides a clearly separation of the three functions : authorization-control, execution of payments and accounting

• Human-resources management• Tasks delegation with written protocols (except

for payments)

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2.2. Control activities

• Procedures for authorizing claims• Procedures for payment• Procedures for accounting• Procedures for debts• Audit trail

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2.3. Information and communication

• Ensure the communication to the Commission (monthly, quarterly and annual declarations …)

• Information systems security (international standards ISO …)

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2.4. Monitoring

• Ongoing monitoring via internal control activities• Separate evaluations via an internal audit service

3. Payment and recovery procedures

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3.1. Payments and recovery figures• Number of « registrations » in X-Table : 128.535• EAGF « net payments » : 16/10/2008 to 15/10/2009

72%

18%

10%0% Single Payment Scheme

: 242.017.291,81 €

Suckler-Cow Premium :62.269.270,93 €

Sugar RestructuringFund : 35.407.165,11 €

Other direct "netpayments" :1.111.798,40 €

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• EAFRD « net payments » : 16/10/2008 to 15/10/2009

44,00%

56,00%

EAFRD part :26.146.625,36 €

Regional part :33.282.774,63 €

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Belgium 15.422Luxemburg 115France 142Germany 4Italy 1The Netherlands 1TOTAL 15.685languages: 14.757 french, 787 german and 141 dutch

• The origin of the applicants

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• Recoveries

- Amount recoveries in 2009 : 318.598,97 € - 44% compensations with payments and 56%

reimbursements- 700 applicants assign their payments to creditors

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Technical services :

Calculation, control and authorization

“SYSTEME GENERAL DE PAIEMENT” ("SGP):

Data exchange interface

“AXI-FINANCE” :

Accounting software

X- TABLE

T104

Debtors ledger

DATA ENTRY FOR PAYMENTS AND X-TABLE

ACCOUNTING CONFIRMATION OF PAYMENTS AND RECOVERIES

REPORTING TO EUROPEAN COMMISSION

3.2. Payments - Separation of the three payment functions

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The execution of these tasks needs : Accounting programme of general company type

(double-entry "debit/credit" accounting) Agreement with the bank for on line payment transfer

orders Credit line : 350.000.000 €

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3.3. Recovery procedure - Debtors management

Technical Services Accounting Service

•Formal notification to the debtors

•Sending of the irregularity to the « Système général de payement »

(negative lines of premium)

•Booking of the irregularity in « AXI »

•Follow up of the debtors : reminders (calculation of the amount of interests), contacts

with lawyers

•Compensations

4. Re-engineering of the PA financial data processing

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4.1. Current PA Financial data processing

• “AXI-FINANCE” Accounting software• “Système général de paiement” (“SGP”)

General system of payments• “TDC” (“Tableau des Croix”) X-Table

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4.2. Disadvantages of the current PA financial data processing

• Multiple costly specific adaptations

• No internal data-processing assistance

• European accounting >< double-entry (debit/credit accounting)

• Specific European reports (T104)

• No automatic debtors management

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• A management information system

• Flexible, able to face up changes

• User-friendly

For all financial flows of the PA

4.3. Development of an internal accounting and budgetary software

5. Introduction to Workshop 1: “Financial systems used by the Paying

Agencies”

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• Analyse of the 26 questionnaires completed by the Paying agencies

• Presentation of the results• Analyse and discussion about three additional

questions• Presentation of the conclusions in plenary session 5

– 29 October 2010

5.1. Programme of the Workshop

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THANK YOU FOR YOUR ATTENTION !

LEPAGE Mélanie