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Reconstruction, KLSH: Without clear objectives, problems in management and planning
The High State Control judges that the reconstruction process started after the earthquake of November 2019 and still active today shows problems in management and planning.
In the report of the Actual Budget 2023, this institution highlights the developments over the years, highlighting the way in which public money has been spent on the investments of this item.
"The reconstruction fund, in addition to significant fluctuations in planning from 5,000 million ALL in the budget law, to 17,000 million ALL in AN no. 5 and the realization for the 9-month period was 5,012 million ALL, for the remaining 3-month period the fund is 3.4-fold, it has not been possible to realize even as much as the year 2022, which was 28,877 million ALL, but 16,201 million ALL, which means significant decrease in funding in planning and implementation in this direction" the budget states.
According to the report for the 9 months January-September, 31% of the annual investment was realized, 7% lower than the capital expenditures, while in December 64% of the total annual expenditures were spent, not maintaining their distribution in a balanced manner and in accordance with the objectives strategic.
"Referring to the VKM issued for reconstruction, during the period 2020-2023, it is established that 120,726 million Lek reconstruction projects have been approved for the central and local government and, according to the reports of the Ministry of Finance, up to 31.12.2023 financing in the total value of 91,298 million Lek has been carried out , which means that the expected financing for the next periods (year 2024 and following) remains around ALL 29,428 million.
Meanwhile, in the law no. 97/2023 "For the 2024 budget", funds for reconstruction are planned in the amount of 7,000 million ALL and for 2025 it is 0 ALL. So, it turns out that the total cost of the projects so far approved by VKM, has not been covered by the planning of budget funds necessary for the reconstruction in the coming years, is about 22,428 million ALL," the report says.
The High State Control underlines that not completing the reconstruction process, brings additional costs to the state budget also as a result of subsidizing rents for families whose homes are still in the reconstruction process, according to the February 2023 requirements of the municipalities of damaged by the earthquake, there are 8,528 families that benefit from this bonus.
"It should be noted that the reconstruction fund has a double importance since, in addition to remaining an emergency issue that requires effective management in time, it has a significant weight in the state budget.
The frequent and significant changes in the reconstruction fund over the years and the lack of coverage with budgetary funds of the approved projects highlight problems in the planning and management of the reconstruction process, not having clear objectives and monitoring the progress of this process, with consequences in the loss of emergency treatment in this case" says the KLSH report./ Monitor