President Levits and Auditor General Krūmiņa discussed good governance, state budget efficiency and transparency of governance, current legislative initiatives and work of the State Audit Office.
While discussing the state budget planning process and impact of the budget on national development, President and Auditor General agreed that the review of procedures for redistribution of unspent budget appropriations would generate savings that can be allocated for national priorities. President Levits and Auditor General Krūmiņa also underlined the need to harmonise the public and private sector accountability standards applicable to infringements.
‘We appreciate the support on the highest level and are ready to work closely with the President of Latvia and other constitutional institutions on implementation of our values – accountability, transparency and meaningful development for better future of Latvia. We will continue to monitor government activities and suggest various public bodies how to make better use of public funds in terms of sustainability. This would also apply to budget planning process. We also expect real progress towards better regulatory framework, especially the rules on accountability of public office holders,” indicated Elita Krūmiņa.
In conclusion Egils Levits remarked that the high standards of work and efficiency achieved by the State Audit Office have also been acknowledged by international partners.
Address of the President of Latvia Egils Levits to the staff of the State Audit Office
Honourable Auditor General Krūmiņa,
Esteemed staff members of the State Audit Office,
You have a big staff, but not for the national level. You have the great responsibility and task to keep the whole country ‘in check’. ‘Keep in check’ as people say. But your professional efforts are vital for efficient governance of our country.
I am here today because the State Audit Office is one of the six constitutional bodies alongside the President, Saeima (Parliament), Cabinet of Ministers, Constitutional Court and the Supreme Court. Body of people is the seventh constitutional institution which plays a unique role in our constitutional system. Each of these government bodies is responsible for specific government functions. All government functions and duties are divided between these seven constitutional bodies. Each of these seven constitutional bodies has specific functions and competence. There are no other responsibilities and competence. Of course, according to Paragraph 58 of Satversme (Constitution), there are also other public administration bodies subordinate to the Cabinet of Ministers. There are also independent public bodies that are not directly accountable to the Cabinet of Ministers. However, all government power is divided between these seven constitutional bodies.
Through several of its case-law, our Constitutional Court has established the so-called principle of institutional loyalty between constitutional bodies. It is a crucial principle. All of these six constitutional government bodies, with body of people playing a separate role, must interact and cooperate within their scope of competence in a way that ensures efficient functioning of the whole state; that is to provide all the main functions of the state described in Satversme and other laws.
Therefore, let me now focus on your role in ensuring good governance. Good governance is an over-arching meta-principle of Satversme. Just as the Preamble of Satversme says, good governance is one of the underlying principles of the Latvian state. Your role is to check the efficiency, legitimacy and adequacy of public spending. You give your expert opinion on these matters. It is vital to remember that the State Audit Office gives recommendations and not instructions on how to spend the public money. You look for inefficiencies and recommend how to fix them. And the recommendatory nature of national audit office opinions is a distinctive feature of democracies. This recommendatory nature of your work implies that you actually respect the work of other constitutional bodies without taking over their functions. Of course, you issue those recommendations and constitutional government institutions are required to implement them. That is how the institutional loyalty works. It means that those recommendations need to be implemented as they are. If it is impossible, constitutional bodies must give credible reasons as to why recommended changes cannot be made and why there is a different understanding. State Audit Office has a dialogue with other government bodies. That is what our Constitution implies and how all democratic national audit offices work, including the European Court of Auditors in Luxembourg.
State Audit Office plays an important role also recognised by the general public. However, let me remind you that it does not mean that the State Audit Office has any political role. That is the main difference between the interwar period and now, after the restoration of independence. During the interwar period, Auditor General was one of the members of the Cabinet of Ministers. When a new Cabinet came to power, a new Auditor General was appointed. Auditor General was a kind of a minister, a political figure. The understanding that State Audit Office does not have to engage in politics was reached some time ago already. State Audit Office is politically neutral and follows the laws. It must act in scope of its competence and in a way that increases the efficiency of governance. In other words, give politically neutral recommendations.
That is what people recognise. And, if we look at, shall we say, popularity or public ratings of constitutional bodies in other countries, State Audit Office has one of the highest rankings. And it does not come for nothing. You have to earn it with hard work. And, as Madam Krūmiņa already underlined, you really had to push yourself for it (the international recognition). It is the result of your hard work. You ensure that all government services are efficient, but you also have achieved high efficiency required to ensure the functioning of our state.
In conclusion, I would like to congratulate the Auditor General for receiving the highest honours of our country, the Three-Star Order, which will be presented on 18 November at an Independence Day ceremony. It is a well-deserved recognition of the professional abilities and influence of Madam Krūmiņa. On the other hand, she, of course, would have never been able to do all this important work without you, on her own. That is why the award also, indirectly, belongs to the whole team of the State Audit Office.
Once again, thank you for meeting me today. This visit concludes the series of official meetings with all constitutional government institutions of Latvia. I have, obviously, been here many times before. Our relationship with Office goes a long way back. Nevertheless, this visit was important for showing the whole society that the six constitutional bodies of Latvia are working together and ready to collaborate.
Thank you!