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Financial, economic and asset management and Accrual implementation
Public sector accounting systems are undergoing a phase of profound transformation. The now well-established accounting harmonisation and the more recent Accrual reform require public entities to continuously adapt their financial, economic and asset management models.
These complexities are not limited to accounting aspects alone, but also affect administrative, organisational and decision-making processes, with significant impacts on planning, control and public sector reporting.
Within this context, we support local authorities through a structured and ongoing advisory approach covering the entire financial management cycle: from forecasting and budgeting, to operational management, monitoring and reporting, ensuring regulatory consistency, process clarity and long-term sustainability.
Our Services
Support in the definition and drafting of the Single Programming Document (DUP) and the related annexes:
Support in the definition and drafting of the Single Programming Document (DUP) and the related annexes;
Three-year programme for public works and for the procurement of goods and services;
Asset enhancement and valorisation plan;
Expenditure rationalisation plans.
- Drafting of the notes to the budget;
- Preparation of the estimated prior-year administrative result statement;
- Calculation and updating of the Provision for Doubtful Receivables;
- Preparation of the statement demonstrating compliance with statutory debt limits;
- Planning, quantification and management of the Restricted Multi-Year Fund;
- Verification of budgetary balance and public finance equilibrium;
- Assessment of debt exposure and debt review or restructuring procedures;
- Compliance with BDAP reporting requirements;
- Review and reconstruction of the planning and monitoring framework for individually requested services provided by the entity;
- Calculation and updating of provisions for risks and future liabilities, both on an accrual basis and within the administrative result;
- Verification of the payment indicator and trade payables position for the purposes of determining the FGDC;
- Reconciliation of unrestricted and restricted funds by source of financing;
- Verification of third-party revenues without specific earmarking;
- Review of both accrual-based and cash-based reserve funds;
- Review and reconciliation of restricted administrative surpluses applied to the budget;
- Verification of consistency between budget appropriations and the three-year public works plan;
- Support in dealings with the Statutory Audit Body.
Support to the finance department in the preparation of the financial and economic-asset statements, ensuring coordination among all departments involved in the process:
Ordinary re-assessment of outstanding receivables and payables;
Calculation of the administrative result and preparation of schedules A1, A2 and A3;
Verification of accrual-based, cash-based, outstanding and economic balances;
Preparation of the Statement of Accounts and related annexes, including the notes to the financial statements and the management report;
Preparation of adjusting entries within economic and asset accounting;
Reconstruction of restricted cash balances;
Preparation of the economic and asset statement and related annexes;
Support in the submission to BDAP of accounting documents and additional financial certifications to the Ministry of Economy and Finance, the Ministry of the Interior and the Court of Auditors;
Definition of management and control models related to the administrative and accounting activities of internal and external accounting officers;
Liaison with the Statutory Audit Body.
Support in the implementation of PNRR Reform 1.15 through:
- Tailored training programmes through individual coaching or in-house group courses;
- Periodic review and analysis of policy acts and administrative acts with accounting relevance, aimed at preventing errors and irregularities;
- Preparation of the annual financial statements, statement of accounts and other accounting documents in compliance with the new standards;
- Support during the pilot and testing phase of the new standards.
- Support in the periodic review and analysis of policy acts and administrative acts with accounting relevance, aimed at preventing errors and irregularities;
- Development of models and tools for monitoring financial equilibrium;
- Review and adjustment of the Provision for Doubtful Receivables;
- Set-up of budget variations and related administrative resolutions;
- Review of amendments to the Executive Management Plan (PEG);
- Identification and planning of spending review initiatives and improvements to administrative, accounting and budgeting processes;
- Monitoring of payment times and debt stock, including platform updates;
- General budget adjustment and safeguarding of budgetary balances pursuant to Article 193 of the Consolidated Local Authorities Act (TUEL);
- Reconciliation between transactions recorded under the enhanced accrual financial model and the related double-entry accounting records on an economic accrual basis;
- Verification of the existence of any off-balance-sheet liabilities and related recognition and funding procedures;
- Review of any requests for clarification from the Court of Auditors and preparation of responses and counter-arguments.
- As a complement to the services described above, we also provide support on:
- Analysis of management soundness (due diligence) and regulatory compliance;
- Financial statement analysis to assess structural financial equilibrium and, where imbalances arise, the identification and implementation of corrective measures.
