Auditing of Public Contracts in Cameroon.

Auditing of Public Contracts better known as Public Command (Contracts of Public Enterprises governed by the 12th of June 2018 Degree,Contracts governed by the 20th of June Public Contracts Code,Public Private Partnership governed by the Law of 2023,Administrative Purchase Orders) in Cameroon is a process of reviewing and evaluating contracts and related transactions to ensure compliance with laws(like the applicable Finance Law,the Law on the Financial Regime of the State of 2018,the Law on Transparency with regards to Public Finances of 2018 etc) , regulations , and terms agreed upon. Public contracts are agreements entered into by government entities or public sector organizations with external parties, such as contractors, suppliers, and service providers, to procure goods, services, or works.This is relevant for several reasons:

To ensure that public contracts adhere to all relevant legal, regulatory, and procedural requirements.This entails maturation of the Project,Budgeting and Programming of the project,transfer of the file to the Tenders Board,examination of the Tender File (verify members of the Tender Board Commission and the quorum),Publication,Opening of Bids,review of the Sub Commission of Analysis,Proposition of winner,publication of results,signing and notification of the Service Order to Commence,registration of contract,contract execution,provisional reception and final reception with all the deadlines respected. Verify that the payments and expenditures related to the contract are properly authorized (cautions,advance payments,partial payments,retention guarantee etc)and correctly documented.

To evaluate whether the resources allocated under the contract are used efficiently to achieve the desired outcomes (this is through controls which is done by the External Controller who is the Ministry of Public Contracts,Services of the Project Owner like the Contract Engineer,the Chef of Service of the Contract the Contract Manager and the Finance Controller or Treasury Accountant as the case may be.

To identify any signs of fraud, corruption, or mismanagement in the execution of the contract.Are the bidders eligible (payment of their taxes,social insurance contributions,caution make sure it is genuine),they have not been suspended etc.

To ensure that both the contracting authority and the contractor fulfill their respective obligations (Contractor respecting the terms of the contract,providing the requisite guarantees,respecting deadlines etc,and the Project Owner payments with regards to the contract.

Audit of Public Contracts in Cameroon can intervene at different levels :

Pre-contract Audits conducted before a contract is awarded. This includes reviewing the procurement process, including the bidding, tendering, and selection procedures, to ensure they comply with legal requirements and principles of fairness and transparency.

Contract Performance Audits performed during the life of the contract to assess how well the contractor is performing in terms of quality, timelines, and budget. The audit checks if the services or goods provided meet the agreed-upon standards.

Post-contract Audits that review the final outcomes. These audits assess whether the project met its objectives and whether there were any discrepancies in terms of payments, invoicing, or contract deliverables.For instance if it had to do with the building of a school and at the end we barely have 6 students in a class it implies it defeats the purpose if we have other schools around.If the contractor has to wait for long before payments,find out if his interest on moratorium was calculated and paid.

Methods implored to carry out Audit of Public Contracts in Cameroon:

Document review wherein Auditors examine all relevant documents such as the contract itself, addendums, invoices, receipts, progress reports, correspondences, and payment records.

Interviews and Surveys that may be conducted with key stakeholders, including government officials, contractors, suppliers,beneficiaries, to gather insights on how the contract was managed.

Field Inspections may be carried out as is the case of construction or infrastructure projects, auditors may visit the project site to inspect the work or goods provided and ensure that the contract terms were met.

Auditors may use financial (official price list-Mercuriale) and operational data to analyze trends, identify anomalies, or verify the accuracy of payments and work completed.

Auditing of Public Contracts is important for several reasons :

Regular audits of public contracts help maintain public confidence in government institutions by ensuring that public funds are used appropriately.

Audits can identify inefficiencies or overpricing, leading to potential savings or better value for money in future contracts.

Auditing can uncover fraudulent activities such as bribery, kickbacks, or bid rigging.

Audits contribute to better governance practices by holding public officials and contractors accountable for their actions and decisions.

Auditing public contracts is a crucial tool for ensuring the effective, transparent, and accountable use of public resources. It helps to uncover inefficiencies, prevent corruption, and provide assurance to the public that taxpayer’s money is being used appropriately.

BERKA DZEKEM,MPM,MPC,MPF – Lecturer of Public Contracts ENAM,President of the Cameroonian Association of Public Procurement Practitioners (CAPPP).