Auditor General's Report on the Public Accounts of Montserrat 2004

evealed a 31.5% increase in over-expended subheads when compared with
over expended subheads for 2003.
60. The analysis further revealed that twenty-one (21) subheads across
twenty-four (24) Ministries/Departments recorded over-expenditure. This
is being regarded as highly unacceptable when nine (9) subheads (43%)
reported over-expenditure on personal emoluments and wages (one had overexpenditure
of $24,547). Four (4) other over-expended subheads related
to Ministry of Communications $10 Votes the operation of which continues
to cause concerns. Other over-expended subheads include Travel
allowance, Supplies, Fees and Rewards, Sundry Expenses, Printing and
Binding and Maintenance Services.
61. All Accounting Officers must be reminded that no commitments
should be incurred which would result in authorized expenditure limits for a
department being exceeded. Thus, special efforts should be made to ensure
that expenditure remains within the line-item limit. Expenditure should not
be incurred in the hope that relevant Virement Warrants and/or
Supplementary Appropriations would be effected later in the year.
62. When the Estimates is being prepared, attention should be paid to
those departments that consistently record over-expenditure to ensure that
the action plans are achievable.
63. All over-expended allocations are a serious breach of law and
regarded as unauthorized expenditure since the necessary approval for
these were not given by the Legislative Council. Such expenditure can only
be legitimized through the issuance of Supplementary Appropriations by the
Legislative Council.
64. Every effort should therefore be taken to ensure that the Legislative
Council approves this expenditure. Further managers should ensure
adherence to the guidelines for proper control and use of public funds as
outlined in the public finance management regulations and Ministry of
Finance directives.
2.3.8 Savings
65. Ten (10) Ministries and Departments recorded expenditure under
budget by more than $100,000. These are noted as follows:
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