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Compliance of Municipal Infrastructure Objects and Project Funding System, Process, and Criteria with Principles of Rational Use, Efficiency, and Sustainability of Finances

The practice of many local and regional governments in borrowing state budget funding excessively for the construction of the objects that do not correspond to the real situation and needs of local or regional government shows short-term thinking and irresponsible attitude towards their future expenditures. The State Audit Office assessed the existence of economic substantiation of such infrastructure projects, as well as their planning and implementation in 15 local and regional governments. The audit revealed a very sad spectacle of the future. Most sports and leisure facilities will probably never be able to make a profit, and the necessary maintenance costs from local and regional governments will only increase every year.

Sectors

Regional development and local and regional governments

Type

Combined (compliance / performance)

Number

2.4.1-38/2018

Department

The Fifth Audit Department

Date of publication

18.09.2019.

Audited period

01.01.2015.-30.06.2019.

Audited entities

  • Ministry of Finance, Bauska Regional Government, Carnikava Regional Government, Dundaga Regional Government, Jaunjelgava Regional Government, Jaunpils Regional Government, Jēkabpils City Council, Jelgava Regional Government, Krustpils Regional Government, Kuldīga Regional Government, Ludza Regional Government, Rugāji Regional Government, Salacgrīva Regional Government, Sigulda Regional Government, Stopiņi Regional Government, Valka Regional Government

Attachments