The Organization of Latin American and Caribbean Supreme Audit Institutions (OLACEFS) is an international, autonomous, independent, apolitical and permanent organization. Its origins can be traced back to the First Congress of Latin American Supreme Audit Institutions - CLADEFS - held in 1963 in Caracas, Venezuela, in response to the need for a forum for exchanging ideas and experiences relating to government control, and for promoting cooperation and development between supreme audit institutions. At the Congress it was recommended that a Latin American Institute of Fiscal Control be created to carry out specialized research and serve as a center for information, education, coordination and mutual assistance between audit institutions.
Currently OLACEFS is one of INTOSAI’s seven regional working groups.
Origins: Latin American Institute for Auditing Sciences – ILACIF At the First Latin American Congress of Supreme Audit Institutions in 1963, it was concluded that it would be of mutual advantage for Latin American countries to exchange experiences concerning financial management and oversight, and that by adopting the principles and objectives of regional integration and unity within the scope of their specific activities, governmental management would be improved and in turn communities better served. Convinced of the importance for Latin America - and especially for its respective auditing agencies - of having a Latin American audit institute, participants of the Congress appointed the Chilean delegation to undertake the necessary steps to make this a reality as soon as possible.
It was at the Second Latin American Congress of Supreme Audit Institutions, held on April 9, 1965 in Santiago de Chile, that the Office of the Comptroller General of Chile submitted a draft charter along with a study carried out by the Office of the Comptroller General of the Republic of Venezuela. Those Supreme Audit Institutions attending the congress agreed on the creation of the Latin American Institute of Auditing Sciences – ILACIF – and approved its charter. The objective behind the creation of the Institute was to promote specialized scientific research, gather information and provide advice and coordination amongst the continent's regulatory agencies so they could better serve their citizens in the exercise of the powers granted to them by the respective legal systems. The following were signatories to the creation of ILACIF: Argentina, Brazil, Colombia, Chile, Ecuador, El Salvador, Mexico, Nicaragua, Panama, Puerto Rico, Dominican Republic, Uruguay and Venezuela. Later, the following countries would join: Peru, Bolivia, Costa Rica, Guatemala, Honduras, Netherlands Antilles, Paraguay and Suriname. The Congress also saw the Office of the Comptroller General of Venezuela designated headquarters of the Institute.
New Institution: Organization of Latin American and Caribbean Supreme Audit Institutions – OLACEFS Changes to internal rules and organizational structure were recommended by a reforming committee, and at the special session of October 11, 1990, ILACIF's Extraordinary General Assembly, held in Buenos Aires, Argentina, approved the proposed amendments as well as changing the name of the institute to the Organization of Latin American and Caribbean Supreme Audit Institutions (OLACEFS). The term Organization was considered more appropriate for an entity that brought together the highest officials in the field of control and monitoring in Latin America and the Caribbean.
OLACEFS currently undertakes specialized scientific research and carries out activities relating to research, training, specialization, advising and technical assistance. It coordinates and provides the Supreme Audit Institutions, or SAIs, of Latin America and the Caribbean with information, the aim of all the above being to promote their development and improvement.
Principles In line with the provisions of its Charter , the Organization of Latin American and Caribbean
Supreme Audit Institutions is based on the following principles:
I. Legal equality of the Organization's member entities, in accordance with their category;
II. Observance of the legal systems of each nation and the principles of international law, being mindful of the independence and sovereignty of each country to make their own decisions concerning systems of control and supervision for the management of public resources;
III. Voluntary joining and leaving of members;
IV. Adherence to a democratic system of adopting resolutions by majority agreement and respect for the concept of minorities;
V. Decentralization of activities;
VI. Close and ongoing cooperation between the Organization and its members;
VII. Spirit of public service and disallowing political interference of any kind;
VIII. Transparency;
IX. Rotation of all full members through OLACEFS administrative bodies.
Functions The OLACEFS Charter of the Organization lists the following functions:
• To promote and conduct systematic research on the control and supervision of the management of public resources and disseminate results amongst members;
• To organize and conduct specialization, postgraduate and training courses, as well as seminars and special events principally for staff members to carry out technical tasks relating to control and oversight;
• To provide advisory services and technical assistance on the control and oversight of the management of public resources;
• To compile work done in each country concerning administrative and financial organization and control, to be disseminated amongst Latin American and Caribbean nations;
• To promote and publish written material on the control and oversight of the management of public resources;
• To serve as liaison between the supreme audit institutions of other nations, answering queries and promoting the exchange of specialists;
• To establish and foster a resource center principally for literature concerning the control and oversight of the management of public resources and related disciplines;
• To maintain contact on scientific and technical matters with institutions and organizations in other parts of the world specializing in the control and oversight of the management of public resources;
• To create commissions and committees for subregions, functional areas, issues and/or specific matters, as appropriate;
• To establish relationships with and obtain the assistance of experts on the control and oversight of the management of public resources, universities, bodies that fund development and associations for professionals;
• To coordinate special studies requested by a government or group of governments of Latin American and Caribbean nations;
• To organize high-level think-tanks made up of active members to analyse specific strategic issues related to supreme control and oversight;
• To award prizes and/or offer stimulus as per the conditions laid down by the specific regulation.
Funding Funding for the operation of the organization comes from annual fees paid by individual members, contributions from other international institutions and organizations such as GIZ, the IDB, the World Bank and the INTOSAI Development Initiative, revenue from services provided by OLACEFS, and loans and donations.
Structure
General Assembly The General Assembly is the Organization's highest body and is made up of all OLACEFS members. Its meetings are convened and chaired by the Presidency, with the collaboration of the Executive Secretariat.
The General Assembly makes decisions on the organization's strategic direction andorientation.
Board of directors The Board of Directors is a collegiate body made up of five full members. It is headed by the Presidency. The Executive Secretariat meanwhile serves as secretariat of the Board and has a right of say.
The Board is made up of: CountrySAIPositionPeriodPeruOffice of the Comptroller General of the Republic of PeruChairman2019–2021ChileOffice of the Comptroller General of the Republic of ChileExecutive Secretariat2013–2021UruguayCourt of Accounts of the Oriental Republic of UruguayElected Member2019–2021BrazilCourt of Audit of the Union of BrazilElected Member2017–2019ParaguayComptroller General's Office of the Republic of ParaguayEFSUR PresidencyRegulatory period EFSURGuatemalaComptroller General's Osffice of Accounts of Guatemala OCCEFS PresidencyRegulatory period OCCEFSColombiaComptroller General's Office of the Republic of ColombiaAs host of XXX Assembly2020
Presidency In accordance with the provisions of the Charter, the Presidency of OLACEFS is held by the full member elected by the General Assembly for a period of three years without re-election, and represented the head of the chosen SAI. The functions and powers of this body are defined in the OLACEFS Regulations.
As from January 1, 2019 until December 31, 2021, the Presidency will be held by the Office of the Comptroller General of the Republic of Peru. As such the Chairman of the Organization is Mr. Nelson Eduardo Shack Yalta, Comptroller General of the Republic of Peru.
Timeline of the Presidency
Year Country SAI 1991–1996 Superior Audit Office of the Federation of Mexico 1997–2002 Office of the Comptroller General of the Republic of Peru 2003–2004 Office of the Comptroller General of the Republic of Venezuela 2005–2006 Office of the Comptroller General of the Republic of Chile 2007–2008 Court of Audit of the Republic of El Salvador 2009–2010 Office of the Comptroller General of the Republic of Colombia 2011–2012 Office of the Comptroller General of the Republic of Ecuador 2013–2015 Court of Auditors of Brazil 2016–2018 Superior Audit Office of the Federation of Mexico 2019–2021 Office of the Comptroller General of the Republic of Peru
Executive Secretariat and Headquarters In accordance with the Organization's regulations, the Executive Secretariat is held by a full member elected by the General Assembly. It is headed by an Executive Secretary who is the comptroller of the full member SAI. The term for the Executive Secretariat is six years, renewable for an additional three years.
This body is responsible for providing support for the various OLACEFS organs (Assembly, Board, Presidency, Committees, Committees and Working Groups), as well as technical and administrative support for the implementation of their activities.
From January 1, 2013 until December 31, 2018 the Presidency will be held by the Office of the Comptroller General of the Republic of Chile. The current Comptroller General of Chile and OLACEFS Executive Secretary is Jorge Bermúdez Soto.
The XXVIII OLACEFS General Assembly, held in Buenos Aires, Argentina, in October 2018, has unanimously approved the extension of the mandate of the Executive Secretariat, period 2019 - 2021, in accordance with article 16 of the organisational Charter.
Timeline of the Executive Secretariat
Year Country SAI Executive Secretariat and Headquarters1990–1996 Superior Audit Office of the Federation of Mexico 1997–2002 Office of the Comptroller General of the Republic of Peru 2003–2012 Office of the Comptroller General of the Republic of Panama 2013–2021 Office of the Comptroller General of the Republic of Chile
Committees The committees are administrative bodies that assist in the Organization's management.
• Capacity Building Committee (CCC): This is an administrative body of a permanent nature whose mission is to promote and manage the development of SAIs’ professional and institutional capacities in order to increase the effectiveness of management and modernization of public administration.