Bulgaria has the second lowest rate in the EU in terms of absorption of EU funds, said last week Deputy Prime Minister and Justice Minister Zinaida Zlatanova. According to the Ministry of Finances at the beginning of April, the country has absorbed nearly 60 % of its 15.6 billion levs under the seven operational programmes, or about 9.3 billion levs. Worse than that has performed only Romania.
At the same time, since the end of 2008 hundreds of officials in charge of EU funds, were taking double pay, bonuses or other extras ostensibly to do a better job. The idea for this privilege came from Brussels, after the experts there were astonished by the huge staff flow and the total incompetence of the Bulgarian administration to deal with the management of EU funds. Once again, however, they had to be convinced that the techniques employed in the western part of Europe do not thrive in the East. Double wages may encourage officials to stay at their jobs and not leave, but do not help them to cope with their tasks better.
The most benefits were paid to corporate ‘torturers“
People in the Ministry of Economy and Energy, who run the programme „Competitiveness“ have directed to themselves a total of 26.3 million levs out of the funds otherwise intended for small and medium-sized companies. For the first time the so-called experts of the „European Funds for Competitiveness“ and „Internal Audit“ Departments felt the European solidarity in September 2008 and by the end of 2009 they were paid a total of 663,948 levs. Double wages continued to be awarded in 2010, when 80 employees of the first directorate were given over 340,991 levs and auditors got more than 55,000 levs. The next year amounts significantly increase – „European Funds for Competitiveness“ acquired over 710,000 levs while the „Internal Audit“ got 138,000. In 2012 for the first ones was provided an overall sum of 175,484 levs. But the most significant agreement was signed on 17 July 2012. Its value is 24,559,600 levs. The millions must suffice to cover the double pays for 228 people in the General Directorate „European Funds for Competitiveness“ by the end of 2014. So far out of this money 11 million levs were paid out if by the deadline the remainder is paid, this would appear that the average bonus for civil servants there is 3,714 levs. Separately they get their salaries paid by the state.
When talking about the Competitiveness programme one can not disregard those 3.8 million levs, which the Executive Agency for Promotion of Small and Medium Enterprises managed to distribute between its employees by the end of 2012 before it its functions of an intermediate unit were revoked.
All this stimulation did not lead to great results, though. Recent data showed that the absorbed funds under the European programmes for businesses are less than 62% or 1,411,176,169 levs from the total 2,273,096,041 levs.
No less paradoxical is the situation with the officials who run the EU money for ecology. They also take big bonuses, but the Environment programme remains stalled and seven years after its launch it is at the bottom of the list with only 52.33% utilized budget. Put in figures,
ecology experts took about 22 million levs
in benefits. The first 1,437,588 levs were agreed on 4 November 2008 and were for the preparation, coordination, implementation, monitoring, evaluation, financial management, control, audit, publicity and information of the operational programme. What is the exact number of experts is not clear, but the money was utilized successfully by the end of 2010. Shortly before the expiry of the said Agreement was signed another one – with a term up to March 1, 2014. Thereon 433,733 levs have been paid, although the sum was for the same employees and for the same activities. Under a new contract signed in February 2011 with a deadline of up to February 2014 another 183,736 levs were paid out. But the true bliss came in June 2011 when the giving away of the big money began for people in the ministry’s directorates „Cohesion Policy for Environment“ and „EU Funds for Environment“ (editor’s note – now joined in the „Environment Operational Programme“). Against the contracted 9,534,120 levs by the end of 2013 for additional pays to these employees were in fact given 9,836,488 levs. An interesting detail is that 4,211,071 levs of this sum was distributed last year alone.
According to the official data in these departments at that time there were 140 positions, which means that the average bonus to the monthly salary of each official was around 2,342 levs. Separately another 852,000 levs was provided to the participants in working groups initiated by „Cohesion Policy for Environment“. The contract for these funds was signed in late August 2012 and was due to end in February 2014, but was extended by one additional year.
Today, the same government employees, united in the „Environment Operational Programme“ are governed by a new contract for additional payments totaling 7,638,354 levs. Its deadline is 28 February 2015 and that means that bonuses will be even larger.
Double pay is provided for employees in the administration of the central executive bodies involved in the assessment of project proposals under the Environment programme. In this case it is not quite certain who the winners are what their number is, but it is known that for their financial stimulation in April 2012 a sum of 1.812 million levs was provided. The money will be used by the end of February 2015.
There are significant benefits for 157employees in the Directorate General „Programming of Regional Development“ in the construction ministry responsible for the operational programme „Regional Development“. On average
they have received 3,000 levs over their monthly wages
each month from November 2012 onwards. The money is paid under a contract for 15,266,598 levs, which expires in May 2015. During the same period another contract for 3,311,954 levs is operative, which finances the salaries of employees in the management of European projects and regional development programmes. A total of 310,058 levs has been provided for ten employees in the department „Internal Audit“ in the construction department.
Euro-bonuses, albeit modest, are enjoyed also by all the other officials who work directly in the operational programmes. For example, in the finance ministry, which manages the programme „Administrative Capacity“, for additional pay has been provided 3.4 million levs and in transport – nearly five million levs. The amounts received by some agencies and government entities eligible to apply under the operational programmes are not that small either. These are the Road Infrastructure Agency and the National Company Railway Infrastructure as well as many others.
The BANKER
