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Home / Issues / № 1, 2014

CONTROL IN THE FIELD OF MUNICIPAL PROCUREMENT
V. V. Kurnosov

Control as a management function in the municipality must ensure the smooth exchange of information between the executive bodies of municipal authority and subordinate organizations.

New Federal law 44-FZ of April 5, 2013 «On the Contract System in State and Municipal Procurement of Goods, Works and Services for State and Municipal Needs» introduces more than seven levels of control, first of all for customers' execution of the community budget through the procurement system.

The government has announced its intention to manage the market of municipal procurement with the use of various forms of control. Obviously, these forced measures aimed at combating corruption in the field of public and municipal procurement.

The municipal authorities endowed with a certain power and resources are to organize departmental monitoring of the procurement procedures, internal financial controls, and to establish an authorized body on control in sphere of purchase.

At the legislative level, Accounts Chamber are to audit planning procedures, and budget spending on procurement. Heads of the of the Municipal Administrations are trying to impose the functions of the authorized body in the sphere of control on the Accounts Chambers. In some areas, these functions were assigned just to the lawyers.

At the Federal level, the functions of control over the conduct of the register are assigned to the territorial Departments of the Federal Treasury of Russia. But the most scaring of all are local prosecutors, who criminalize the slightest deviation from the letter of the law.

The customer is to watch of execution of the participant's purchases obligations on attraction of subcontractors. The position of social control is also essential.

A significant drawback of the law is the use of traditional mechanisms of procurement control and audit in the framework of already existing control system. The controllers of all kinds have a right to punish under the Administrative Violations Code, including for violation procedural actions.

You should think, whether Contract procurement system will be able to operate when everybody will formally perform controlling functions, that is to punish for the slightest infringement?!

Formal procedures should not prevail over managerial function. The control must be implemented, also by specialists in procurement, capable of linking cash flows and flows of goods and services. It is necessary to deprive officials of opportunities to simulate work, hiding behind the letter of the law. As an instrument of budget management of the municipality Control must be quick. The contract system enables to manage budgets expenses through market mechanisms.



References:
1. Federal law 44-FZ of April 5, 2013. «On the Contract System in State and Municipal Procurement of Goods, Works and Services╗ for State and Municipal Needs» // http://www.zakupki.gov.ru

2. Federal contract system: past, present and future of public procurement in Russia» // http://zakupki-tendery.ru/articles/item/149-federalnaya-kontraktnaya-sistema-perspektiva-razvitiya-sistemy-goszakupok-v-rossii

3. What's new in the new law on state purchases // www.finmarket.ru

4. http://www.vedomosti.ru/politics/news/15720181/narodnyj-front-gotovit-wiki-tyring#ixzz2dL3NPtq



Bibliographic reference

V. V. Kurnosov CONTROL IN THE FIELD OF MUNICIPAL PROCUREMENT. International Journal Of Applied And Fundamental Research. – 2014. – № 1 –
URL: www.science-sd.com/456-24526 (04.12.2021).