SINT MAARTEN (GREAT BAY) – The General Audit Chamber has published its audit into the governance and financial management surrounding the Minister Plenipotentiary and the Cabinet in the Netherlands.
The Minister Plenipotentiary fulfills an important constitutional role within the Kingdom of the Netherlands and is supported by a Cabinet in The Hague.
The Cabinet’s personnel are employed through a Dutch private-law Foundation. Public funds approved by Parliament through the national budget are transferred to this Foundation and used to finance Cabinet operations.
The audit found that internal policies and financial reporting practices are in place to support this structure. At the same time, clarity is needed regarding the respective responsibilities of Government, the Minister Plenipotentiary, the Cabinet and the Foundation, as well as financial accountability, reporting and oversight.
This is particularly relevant for Parliament. They approve the funds through the national budget, after which the money for Cabinet operations is transferred to the Foundation in the Netherlands.
The Foundation is a private-law entity and is not part of Government. Although audited financial statements provide information on how the funds are used, the audit found that greater clarity is needed on how this financial reporting connects to Government’s accountability to Parliament.
The Audit Chamber therefore recommends greater clarity regarding roles, responsibilities and financial accountability. The report presents several options for Government, ranging from further formalizing the current arrangements to placing the structure within Government or establishing a formal legal framework for the Cabinet.
The report, “Audit into the Governance and Financial Management of the Minister Plenipotentiary,” is available on the website of the General Audit Chamber: www.arsm.org