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Public Accounts of the Republic of Trinidad and Tobago for the Financial

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Public Accounts of the Republic of Trinidad and Tobago for the Financial PUBLIC ACCOUNTS OF THE REPUBLIC OF TRINIDAD AND TOBAGO FOR THE REPUBLIC OF TRINIDAD AND TOBAGO FINANCIAL YEAR 2019 VOLUME I ACCOUNTS OF THE TREASURY AND ACCOUNTS OF RECEIVERS OF REVENUE OF MINISTRIES AND DEPARTMENTS VOLUME 1 (PART 1) Page TABLE OF CONTENTS ……………………………………………………………………………… i-ii Introduction ………………….……………………………………………………………………….. iii-xv Section 1 1 Statement of Declaration and Certification …………………………………….…………………. 2 Section 2 : Treasury Statements 4 The Exchequer Account ……………………………………………………………………………… 5 The Statements of Public Debt……………………………………………………………………… 16 Letters of Comfort…………………………………………………………………………………….. 68 Promissory Notes……………………………………………………………………………………. 76 Balances Outstanding on the Build, Operate, Lease and Transfer (BOLT) Projects 80 Balances on Loans Assumed by the Government of the Republic of Trinidad and Tobago in respect of Companies in which Government has/had a Shareholding…………………... 82 Statement of Loans or Credits Guaranteed by the State……………………………………….. 86 The Off-Balance Sheet Financing Tables……………………………………………………….. 92 The Statement of Loans from General Revenue……………….……………………………… 94 The Statement of Revenue…………………..…………………………………………………… 100 The Statement of Expenditure …………………………………………………………………… 129 The Cash Basis Statement of Assets and Liabilities …………………………………....…… 132 The Consolidated Fund …………………………………………………………………………… 134 Notes to the Account………………………………………………………………………………… 136 Statement of Loans from the Funds for the Long-Term Development……………………… 143 Statement of Comparison of Budget and Actual Revenue and Expenditure 150 Section 3 - Funds Financial Statements 155 Schedule of Special Funds ………………………………………………………………………. 156 Schedule of Trust Funds………………………………………………………………………….. 157 Unemployment Fund I) Statement of Receipts and Payments………………………………………………………… 158 II) Statement of Assets and Liabilities ………………………………………………………….. 159 Infrastructure Development Fund I) Statement of Receipts and Payments………………………………………………………… 160 II) Statement of Assets and Liabilities ………………………………………………………….. 161 Appendix 1 ……………………………...………………………………………………………. 162 National Union of Government and Federated Workers Training Fund I) Statement of Receipts and Payments………………………………………………………… 163 II) Statement of Assets and Liabilities ………………………………………………………….. 164 Government Assistance for Tuition Expenses (GATE) Fund I) Statement of Receipts and Payments………………………………………………………… 165 II) Statement of Assets and Liabilities ………………………………………………………….. 166 continued i continued Page Green Fund I) Statement of Receipts and Payments………………………………………………………… 167 II) Statement of Assets and Liabilities ………………………………………………………….. 168 CARICOM Trade Support Fund I) Statement of Receipts and Payments………………………………………………………… 169 II) Statement of Assets and Liabilities ………………………………………………………….. 170 CARICOM Petroleum Fund I) Statement of Receipts and Payments………………………………………………………… 171 II) Statement of Assets and Liabilities ………………………………………………………….. 172 National Wastewater Revolving Fund of Trinidad and Tobago I) Statement of Receipts and Payments………………………………………………………… 173 II) Statement of Assets and Liabilities ………………………………………………………….. 174 Section 4: Appropriations 175 Head 18: Ministry of Finance 176 Consolidated…………………………………………….………………………………. 177 Comptroller of Accounts (AU12)…..………………….…….………………………….. 183 Chairman, Board of Inland Revenue (AU13)……...……...………………………….. 218 Comptroller of Customs and Excise (AU 14) ……….………….…………………….. 234 Head 19: Charges on Account of the Public Debt …………………………………………….. 249 Head 20: Pensions and Gratuities ………………………………………………………………. 282 Consolidated ……………………………………………………………………………. 283 Pensions and Gratuities (AU 28) 293 Statement of Receipts and Disbursements 303 Section 5: Receivers of Revenue: Permanent Secretary, Ministry of Finance …….............................................................. 304 Permanent Secretary, Ministry of Finance (Investment Division) 307 Comptroller of Accounts ……………………….………………….…………………….. 312 Comptroller of Customs and Excise ……….………………………………….…………. 321 Chairman Board of Inland Revenue……………….………………………………..……. 329 Supervisor of Insolvency………………………………………………………………….. 338 Section 6: Report on the Government Employees' Provident Fund …………………........ 342 Section 7: Accounts of Receivers of Revenue (Receipts And Disbursements) Volume 1 Part 2) ii INTRODUCTION PART 1 MINISTER OF FINANCE In accordance with the Exchequer and Audit Act, Chapter 69:01 “Treasury” means the Minister, and includes such officer or officers in the Ministry of Finance as may be deputed by the Minister to exercise powers and to perform duties under this Act.” 2. The Minister of Finance is responsible for the control and management of the financial affairs of the State. One of the core agencies through which this is accomplished is the Treasury Division. Most of the responsibilities of the Treasury Division emanate from various laws and regulations, the principal of these being the Constitution of the Republic of Trinidad and Tobago (Chapter 8); the Exchequer and Audit Act, Chapter 69:01; the Financial Regulations to the Exchequer and Audit Act and the Financial Instructions 1965. TREASURY DIVISION Vision 3. To be the premier Public Sector institution in the region for innovative public financial management and accountability systems. Mission 4. To contribute to enhancing the quality of life of citizens, by promoting good governance of the State’s resources through the provision of dynamic Financial Management Systems and Services in a timely and professional manner. Responsibilities 5. The core responsibilities of the Treasury Division are to provide financial management and accounting services to Ministries and Departments; to produce the Consolidated Accounts and ensure that the Public Accounts of the Republic of Trinidad and Tobago are laid in Parliament on a timely basis, and to administer superannuation and/or terminal benefits to retired public officers/beneficiaries. To facilitate these operations, the Treasury Division is divided into three broad functional areas as follows: - (i) Financial Management; (ii) Treasury Management, and (iii) Pensions Management. 6. In the execution of its responsibilities for the management of the financial affairs of the State, the Treasury Division develops, implements and monitors financial management and accounting systems throughout the Public Service. In monitoring the systems, it has the authority to inspect all offices and to have such access to all official books, documents and other records as may be necessary for the exercise of its powers. In addition, the Division ensures that the internal audit functions iii efficiently and effectively. This internal control exists to provide each Accounting Officer with the assurance that accounting systems are adequate and operating in accordance with Government’s legislation/accounting policies/guidelines so as to provide accurate, relevant and reliable financial information. Public Financial Management (PFM) Reform 7. The Government of the Republic of Trinidad and Tobago (GoRTT) has initiated reforms since 2016 to strengthen the public financial management arrangements of the country. The reform efforts are aimed at putting in place modern institutional and technological systems and procedures, for effective, efficient and transparent public financial management and reporting. The proposed reforms with respect to public finances are to be implemented under 5 broad headings, with many distinct complementary components as follows: • Budget Management- covering budget preparation and execution and the introduction of a new Chart of Accounts. • Public Investment Policy and Implementation- inclusive of pre-investment reviews, project preparation and analysis, the ranking, selection, execution of projects and their subsequent monitoring and evaluation. • Treasury Operations - inclusive of the adoption of new Accounting Standards (modified cash), new reporting standards (Cash based IPSAS), cash management and cash forecasting, bank reconciliation processes, and General Ledger operations linked directly to a new Chart of Accounts. • The IT Environment for public financial management - introduction of a fully functional Integrated Financial Management Information System with one central data base and operation on one single entry point for all classifications of fiscal data. • The Internal Audit Function - to align current practices with the standards of the International Professional Practices Framework of Internal Auditing, thereby overhauling the Internal Audit Function of the Public Service of Trinidad and Tobago. 8. The following are ongoing PFM initiatives: (a) Cash Basis International Public Sector Accounting Standards (Cash Basis IPSAS) The International Public Sector Accounting Standards Board (IPSASB) develops accounting standards for public sector entities referred to as International Public Sector Accounting Standards (IPSAS). The Treasury Division is seeking to adopt the IPSAS cash basis of accounting in respect of financial reporting and eventually progress to modified accrual basis of accounting. Cash basis means a basis of accounting that recognises transactions and other events only when cash is received or paid. Since March 2017 Ministries/Departments have been preparing and submitting monthly Cash Basis IPSAS compliant Statement of Receipts and Payments for consolidation by the Treasury Division. The adoption of IPSAS cash basis of accounting will: (i) Improve both the quality and comparability of the
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