Guizhou Provincial Audit Office of the People's Republic of China Audit Report X * #fk (2019) 70# QIAN AUDIT REPORT (2019) NO.70 Project Name: Tongren Rural Transport Project financed by the World Bank I&#: 8534-CN Loan No.: 8534-CN Project Entity: The office of the construction leading group of the World Bank loan of Tongren transportation project k#t*l: 2018 Accounting Year: 2018 Contents 'ZI rL ........................................................-I -.............. ......................1 1. Auditor's Opinion........................................-........-.-....-.-.......3.-..................... 3 If. Financial Statements and Notes to the Financial Statement 6 ( - ) --1 F 97- ....................................................................................... 6 i. Balance Sheet. i.6 Baa c Shet...T.................................-......-...-...-....................................... 6 ii. Summary of Sources and Uses of Funds by Project Component............ 8 (3 ) . 10.............................. .......................... 10 iii. Statem ent of Implem entation of Loan Agreement................................10 M A R 4 ..... ...........(......................................................... 11 iv. Special Account Statement......................................... . . ......................................... ........ .... ........... ......... 13 v. Notes to the Financial Statem ents...........................................................16 it & 5Q t M RM R R ...................................................... ....... .............. 19 III. Audit Findings and Recommendations.......................................................22 一、审计师意见 审计师意见 铜仁市世行贷款铜仁交通项目建设领导小组办公室： 我们审计了世界银行贷款铜仁农村公路项目2018年12月31日的资 金平衡表及截至该日同年度的项目进度表、贷款协定执行情况表和专用账 户报表等特定目的财务报表及财务报表附注（第6页至第16页）。 （一）项目执行单位及贵州省财政厅对财务报表的责任 簖制土述财务报表中的资金平衡表、项目进度表以及贷款协定执行情 况表是你办的责任，簖制专用账户报表是贵州省财政厅的责任，这种责任 包括： 1．按照中国的会计准则、会计制度和本项目贷款协定的要求编制项目 财务报表，并佼其实现公允反映； 2，设计、执行和维护必要的内部控制，以使项目财务报表不存在由于 舞弊或错误而导致的重大错报。 （二）审计责任 我们的责任是在执行审计工作的基础上对财务报表发表审计意见。我 们按照中国国家审计准则和国际审计准则的规定执行了审计工作，上述准 则要求我们遵守审计职业要求，计划和执行审计工作以对项目财务报表是 否不存在重大错报获取合理保证。 为获取有关财务报表金额和披露信息的有关证据，我们实施了必要的 审计程序。我们运用职业判断选择审计程序，这些程序包括对由于舞弊或 错误导致的财务报表重大错报风险的评估。在进行风险评估时，为了设计 恰当的审计程序，我们考虑了与财务报表相关的内部控制，但目的并非对 1 内部控制的有效性发表意见。审计工作还包括评价所选用会计政策的恰当 I险和作出会计估计的合理性，以及评价财务报表的总体列报。 我们相信，我们获取的审计证据是适当的、充分的，为发表审计意见 提供了基础。 （三）审计意见 我们认为，第一段所列财务报表在所有重大方面按照中国的会计准 则、会计制度和本项目贷款协定的要求编制，公允反映了世界银行贷款铜 仁农村公路项目2018年12月31日的财务状况及截至该日同年度的财务 收支、项目执行和专用账户收支情况。 （四）其他事项 我们审查了本期内省财政厅报送给世界银行的第GUIZHOU一08至 CUIZHOU一12号提款申请书及所附资料。我们认为，这些资料均符合贷 款协议的要求，可以作为申请提款的依据。 本审计师意见之后，共同构成审计报告的还有两项内容：财务报表及 财务报表附注和审计发现的问题及建议。、立． 、、、、一：．三｝戴厅 二澎一一｛」／一、月二务五日 / 地址，中国贵州省贵阳市市北路78号 油拜政簖码：55000牟 ‘电话：86一0851一86614379 传真：86一0851一86614396 2 1. Auditor's Opinion Auditor's Opinion To Tongren Transport Project Office of the World Bank Loan We have audited the special purpose financial statements (from page 6 to page 16) of Tongren Rural Road Project financed by the World Bank, which comprise the Balance Sheet as of December 31, 2018, the Summary of Sources and Uses of Funds by Project Component, the Statement of Implementation of Loan Agreement and the Special Account Statement for the year then ended, and Notes to the Financial Statements. Project Entity and Guizhou Provincial Finance Department's Responsibility for the Financial Statements The preparation of the Balance Sheet, the Summary of Sources and Uses of Funds by Project Component and the preparation of the Statement of Implementation of Loan Agreement is the responsibility of your entity, while the Special Account Statement is the responsibility of Guizhou Provincial Finance Department,which includes: i.Preparing and fair presenting the accompanying financial statements in accordance with Chinese accounting standards and system, and the requirements of the project loan agreement; ii.Designing, implementing and maintaining necessary internal control to ensure that the financial statements are free from material misstatement, whether due to fraud or error. Auditor's Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with the Government Auditing Standards of the People's Republic of China and International Standards on Auditing. Those standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable-assurance about whether the financial statements are free from materpal misstatement. An audit involves performing procedures to obtain audit evidence' about 1he amounts and disclosures in the financial statements. Thep 1-11, rocedures selected depend on the auditor's judgment, including the assessment 'of 't fie risks Of material misstatement of the financial statements, whether due to fraud.,.or 3 error. In making those risk assessments, the auditor considers internal control relevant to the entities' preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity's internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is appropriate and sufficient to provide a basis for our audit opinion. Opinion In our opinion, the financial statements identified in the first paragraph present fairly, in all material respects, financial position of Tongren Rural Road Project financed by the World Bank as of December 31, 2018, its financial receipts and disbursements, the project implementation and the receipts and disbursements of special account for the year then ended in accordance with Chinese accounting standards and system, and the requirements of the project loan agreement. Other Matters We have audited the loan withdrawal application numbered from GUIZHOU-08 to GUIZHOU-12 and enclosed documents that had been submitted to the World Bank from Guizhou Provincial Finance Department during this period. In our opinion, these documents meet the requirements according to the loan agreement, may serve as the basis for loan withdrawal applications. The audit report consists of the Auditor's Opinion and two more parts hereinafter: Financial Statements and Notes to the Financial Statements, Audit Findings and Recommendations. Gi hou Pr vincilk it Office of the People's Republic of China 4 Address: No. 78, North City Road, Guiyang Municipality, Guizhou Province, P.R. China Postcode: 550004 Tel.: 86-0851-86614379 Fax: 86-0851-86619728 The English translation is for the convenience of report user; Please take the Chinese audit report as the only official version. 5 II. Financial Statements and Notes to the Financial Statements ( -) 1-4Tht L* L Balance Sheet BALANCE SHEET 2018 4 12 A 31 B (As of December 31, 2018) Project Name:Guizhou Tongren Rural Transport Project Financed by the World Bank Prepared by:The office of the construction leading group of the World Bank loan of Tongren transportation project .: Rk HPtCurrency Unit: RM Yuan Line Line AIlltO pvl*t Application of Fund No. Beginning Balance Ending Balance Sources of Fund No, Beginning Balance Ending Balance Total Project Expenditures 1 227,017,003.38 591,930,511.84 Total Project 28 34,952,747.51 43,902,564.45 nAppropriation Funds Fixed Assets Transferred 2 Project Capital and Capital 29 Surplus 2. ~Vf Construction Expenditures 3 30 to be Disposed including. Grants 3. *MH14IT Investments Transferred-ou Total Project Loan 31 376,601,628,55 668,663,283.51 4. tE4zt' 1 P 4k *R Construction in Progress 5 227,017,003.38 591,930,511,84 Total Project 32 376,601,628.55 668,663,28351 Investment Loan Investment Loan Receivable 6Foreign Loan 33 376,601,628.55 668,663,283.51 -A t:, it j,4r-ft J f J±ff B Including: World Bank 7 1- 34 Investment Loan Receivable Including: IDA Appropriation of Investment 8 FF 35 376,601,628.55 668,663,283.51 Loan IBRD Including :Appropriation of 9 Technical 36 World Bank Investment Loan Cooperation 10 Equipment Co- Financing Including: Equipment Losses II (2) 0 WI 38 in Suspense Domestic Loan Total Cash and Bank 12 154,651O174.13 129,089,540,65 OtrLoan 39 I. S&?flXN aR tz ±x t * lk Cash in Bank 13 154,651,174.13 129,089,540.65 Appropriation of 40 Investment Loan 6 Li ne 4884k A- A L 0 Line AM07 Application of Fund No. Beginning Balance Ending Balance Sources of Fund No. Beginning Balance Ending Balance 14 98,030,030.35 57,444,125.55 Including: World Bank 41 Including Special Account Loan 2. RA 15 1' A 42 Cash on Hand Bond Fund o Ita re an Rcial 16 51,908,312.50 36,260,331.74 Construction Expenditures 43 Total Prepaid and Receivable to be Offset Including:World Bank Loan 17 Total Payable 44 22,022,113.95 44,714,536.27 Interest Receivable World Bank Loan 18 Including: World Bank 45 Commitment Fee Loan Interest Payable Receivable World Bank Loan Service- 19 World Bank Loan 46 Fee Receivable Commitment Fee Payable t. i 20 47 Marketable Securities World Bank Loan Service Fee Payable At it*A#t 21 AthrayA.it48 Total Fixed Assets other Payables ff r 22 ±4k,k* 49 Fixed Assets, Cost Appropriation of Fund 4: Y. i±f IF M SAk. Less: Accumulated 23 Retained Earnings50 Depreciation Up P 4T124 Fixed Assets, Net 11RFilf4 25 Fixed Assets Pending Disposal 26 Fixed Assets Losses in Suspense t27 433,576,49001 757,280,384.23 51 433,576,490.01 757,280,384.23 Total Application of Fund Total Sources of Fund 7 (.:i) JAH A ii. Summary of Sources and Uses of Funds by Project Component SUMMARY OF SOURCES AND USES OF FUNDS BY PROJECT COMPONENT I *A E 2018 * 12 A 31 H (For the period ended December 31, 2018) Project Name:Guizhou Tongren Rural Transport Project Financed by the World Bank Prepared by:The office of the construction leading group of the World Bank loan of Tongren transportation project VP#.i: \.RTP5t Currency Unit: RMB Yuan Current Period Cumulative uget Aid Curetuaeio Period % Life of PAD Cumulative Cuulative % Buge-ct2 Completed Actual Completed Total Sources of Funs 321,520,000.00 30011,471.0 93.62% 1,547.654,00.00 712,565,847.96 46.04% International Financing 301,520,000.00 292,061,6549696.86% 1040,500000 668663,283.51 64.26% 1. 4gftk - IBRDB 301,520,000M0 292,061,654.96 96.86% 1,040,550,000.00 68,663,283.51 64.26 Counterpa Financing 20,000,000.00 8.949,816.94 44.75% 507.104,000.00 43,902,564.45 8.66% Other Loan 2, T R 4 - Appropriation funds 20,000,000.00 8,949,816.94 44.75% 507,104,000.00 43,902,564.45 8.66% Total Application of Funds (by Project Component) 321,520,000.00 364,913,508.46 113.50% 1.547,654.000.00 591,930,511.84 38.25% Dejiang 215,000,000.00 239,915,882.59 11 .59% 1,007,122,220,50 331,741,615.39 32.94% 2. R $9 Sinan L05.000,000.00 96,930,929.40 92.32% 533,594.779.50 233,683,022.06 43.79% 3. TAPM R P TA&PM 1,520,000,00 1,066,666.00 70.18% 6.937,000.00 1,066,666.00 15.38% 44tt2 Other 27,000,030.47 25,439,208.39 Difference -63,902,036.56 120,636,336.12 1. '&t10635336 Change in Receivables , -15,647,980.76 36,260,331.74 26&R 4- 36,260,'331.74 Change in Payables -22,692,422.32 -44,714,536.27 3. tIt4 Change in Cash and Bank -25,561633. 48t1 4. 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Special Account Statement - A t P I A SPECIAL ACCOUNT STATEMENT *AWE 2018 * 12 A 31 E (For the period ended December 31, 2018) 3 p VT #J: -'p Notikff * PH -rR Z ff Project Narne: Guizhou Tonggen Rural Transport Project Depository Bank: Guiyang Jingrui branch, Construction Financed by the World Bank Bank of China N& v: 8534-CN A"F: 52050143360000000421 Loan No. 8534-CN AccountNo. :52050143360000000421 Ma4t: -1 11iMTkr * V * A : A t Prepared by: The Financt Dcpar4nentofGui2houPrcvinw Currency: USD A* 3 -: A- IV Part A-Account Activity for the Current Period Amount 15,002,606.34 Beginning Balance V p : 37,662,105.90 Add: 2. * M M 4 37,657,700.33 Total Amount Deposited this Period by World Bank 2. * A Ij A,, k x 6 -rR ( 'T "I -VI A A P -1 ) 4,405.57 Total Interest Earned this Period if Deposited in Special Account 4. * A ;F A Y, 0 E 4 V Total Amount Refunded this Period to Cover Jnc ligible Expendiwns 44,294,937.32 Deduct: 5. * 94 3 - 44; 44,294,797,32 Total Amount Withdrawn this Period 6. * M Ar -9 t.' ;i t # V! 41 E j- 0 -7 1 50.00 Total Service Charges this Period if not Included in Above Amount Withdrawn 7. M 5P, - " V, 9,369,974.92 Ending Balance ()'P gTo be continued) Part B-Account Reconciliation Amount L 4#T 2I - Ikz Amount Advanced by World Bank 15,000,000.00 APr: Deduct: 2. Total Amount Recovered byWorld Bank G.00 Outstanding Amount to the Special Account at the End of this Period 15,000,000.00 4. V k A *R- Ending Balance of Special Account 8,369,87492 Add: Amount Claimed but not yet Credited at the End of this Period 0.00 Application No. Amount 6. Amount Withdrawn but not yet Claimed at the End of this Period 6,637,086.99 7. 3 t94L Crtv a5 a6 ' Cumulative Service Charges (If not Included in Item 5 or 6) Deduct: 8.J111 . I R ( A A P Interest Earned (If Included in Special Account) 7,081.91 Total Advance to the Special Account Accounted fur at the End of this Perin 15,000,000.00 12 （五）财务报表附注 财务报表附注 1．项目概况 世行贷款铜仁农村公路项目贷款号为8534一CN，旨在通过该项目的 实施，改善德江、思南两县农村交通连接性，改变当地居民出行条件，加 强农村与城区的联系，推动城乡一体化发展，带动经济增长。项目协议于 2015年10月29日签订，2016年1月29日生效。项目关账日为2021年 6月30日。项目计划总投资为人民币1,547,654,000元，其中世界银行贷 款总额为150,000,000粎元，折合人民币1,040,550,000元。 2．财务报表编制范围 本财务报表的簖制范围包括2个县项目办的财务报表及省财政厅专 用账户报表。 3．主要会计政策 3.1本项目财务报表按照财政部《世界银行贷款项目会计核算办法》 （财际字（2000)13号）的要求编制。 32会计核算年度采用公历年制，即公历每年1月1日至12月31日。 3.3本项目会计核算以“权责发生制”作为记账原则，采用借贷复式记 账法记账，以人民币为记账本位币。 3.4按照中国人民银行2018年12月31日汇率，即USDI二人民币 6 .8632元。 4服表科目说明 4.1项目支出 2018年项目支出人民币364,913,508.46元，累计支出人民币 l3 591,930,5 1 1.84元，占总投资计划的38.25％。 4.2货币资金 2018年12月31日货币资金余额为人民币129,089,540.65元，比上 年减少人民币25,561,633.48元，其中专用账户存款折合人民币 57,444,125.55元。 4.3预付及应收款 2018年12月31日余额为人民币36,260,331.74元，含德江县 26,213,980.76元，思南县10,046,350.98元。德江县主要是预付二标、四 标、五标、七标、八标、十标、十一标、十二标工程款。思南县主要为预 付工程款为2标段（四川华远工程有限公司）2,493,254.80元未扣完的工 程资金，待下一年度工程进度款中全部扣回。其他应收款科目7,553,096.18 元为第一二批征地拆迁资金待冲销。 4.4项目拨款 2018年12月31日余额为人民币43,902,564,45元，是县级到位的配 套资金。 项目计划配套资金总额人民币507,104,000元，截至2018年12月31 日到位配套人民币43,902,564.45元，占计划的8.66％。 4.5项目借款 20 18年12月31日余额为人民币668,663,283 .51元，其中：国际复 兴开发银行贷款为97,427,334.70粎元，折合人民币668,663,283.51元。 截至2018年12月31日，累计提取世界银行贷款资金97,427,334.70 粎元，占贷款总额的64.%％。其中：工程类累计提款78,878,154.“美元， 该类计划额为140,755,000美元，占该类计划的56.04％。 4.6应付款 2018年12月31日余额为人民币44,714,536.27元，其中德江县 31,589,858.65元，思南县13,124,677.62元。德江县主要是应付质保金 14 22,861,405.26元，2051账套和3004账套待摊费用8,728,453.39元。思南 县主要是应付铜仁市交建工程总公司7,386,361.55元，江西中鑫路桥公司 3,037,600.60元，四川华远2,184,258.40元，思南县交通局516,457.07元。 4.7留成收入 截至2018年12月31日，该项目无留成收入。 5．专用账户使用情况 本项目专用账户设在中国建设银行贵阳京瑞分行，账号为 52050143360000000421，币种为美元。世界银行首次存款总额为 15,000,000粎元。2018年年初余额15,002,606.34美元，本年度回补 37,657,700.33粎元，利息收入4,405.57美元，账户服务费50美元，本年 度支付44,294,787.32粎元，年末余额8,369,874.92美元。 6．其他需要说明的事项 项目资金平衡表中国际复兴开发银行贷款期末数与期初数之差、项目 进度表中相应本期发生额与贷款协定执行情况表人民币本期提款数不一 致是由于历年汇兑损益造成的。项目进度表1中，资金运用下的其它为历 年汇兑损益。 15 V.Notes to the Financial Statements Notes to the Financial Statements 1. Project Overviews The loan number of the World Bank Loaned Tongren Rural Road Project is 8534-CN, which aims to improve the rural transportation connectivity in Dejiang and Sinan, change the conditions for local residents to travel, strengthen the connection between rural and urban areas and promote urban and rural integration development so as to drive economic growth through the implementation of the project. The project agreement was signed on October 29, 2015 and came into effect on January 29, 2016. It is expected to be closed before June 30, 202 1. The total project investment is RMB 1,547,654,000 yuan, of which, the total amount of World Bank Loan is USD150,000,000, which is equivalent to RMB 1,040,5 50,000 yuan. 2. Preparation Scope of Financial Statement The preparation scope of the financial statement includes the financial statements of 2 county project offices and the special account set in the Provincial Finance Department. 3. Main Accounting Policies 3.1 The financial statement of the project was prepared in accordance with the requirements of the Ministry of Finance's Accounting Measures for World Bank Loaned Projects (CJZ No. 13 [2000]). 3.2 Gregorian calendar year is adopted as the fiscal year from January I to December 3 1. 3.3 The project adopts accrual system and debit and credit bookkeeping method to keep accounts, and the recording currency is RMB. 3.4 The exchange rate adopted in the financial statement was USDI RJVIB 6,8632, which was released by People's Bank of China on December 312018. 4. Description of Statement Accounts 4.1 Project Expenditure In 2018, the project expenditure was RNM364,913,508.46 yuan and total accumulative expenditure was RMB591,930,511.84 yuan, accounting for 16 38.25% of the total investment plan. 4.2 Monetary Funds As of December 31, 2018, the balance of monetary funds was RNMB129,089,540.65 yuan, with a decrease of RMB25,561,633.48 yuan over the previous year, of which, the special account deposits were equivalent to RMB57,444,125.55 yuan. 4.3 Prepayments and Receivables As of December 31, 2018, the balance was RMB36,260,331.74 yuan, including RMB26,213,980.76 yuan for Dejiang and RMB10,046,350.98 yuan for Sinan. The project funds have been paid in advance for Bid Two, Bid Four, Bid Five, Bid Seven, Bid Eight, Bid Ten, Bid Eleven and Bid Twelve in Dejiang. For Sinan, the undeducted project funds of RMB2,493,254.80 yuan for Bid Section 2 (Sichuan Huayuan Engineering Co., Ltd.) will be deducted from the progress payment of the project for the following year. Other receivables account of RMB7,553,096.18 yuan is the first and second batch of land requisition and demolition funds to be written off. 4.4 Project Appropriation As of December 31, 2018, the balance was RMB43,902,564.45 yuan, which was the available supporting fund at the county level. The total amount of supporting fund for the project is RMB507,104,000 yuan. As of December 31, 2018, the available supporting fund was RMB43,902,564.45 yuan, accounting for 8.66% of the plan. 4.5 Project Loan As of December 31, 2018, the balance was RMB668,663,283.51 yuan, of which: the loan from International Bank for Reconstruction and Development (IBRD) was USD97,427,334.70, which was equivalent to RMB668,663,283.51 yuan. As of December 31, 2018, a total of USD97,427,334.70 loan funds were withdrawn from the World Bank, accounting for 64.96% of the total loans. Of which: the cumulative withdrawal of engineering funds was USD78,878,154.66, the planned amount was USD140,755,000, accounting for 56.04% of the plan. 4.6 Payables As of December 31, 2018, the balance was RMB44,714,536.27 yuan, 17 including RMB31,589,858.65 yuan for Dejiang and RVB13,124,677.62 yuan for Sinan. For Dejiang, it involves the guarantee fund payable of RMB22,861,405.26 yuan, and the unamortized expenses of SOB 2051 and SOB 3004 of RMB8,728,453.39 yuan. For Sinan, it includes RMB7,386,361.55 yuan payable to Tongren Transportation and Construction Engineering Corporation, RMB3,037,600.60 yuan payable to Jiangxi Zhongxin Road and Bridge Co., Ltd., RMB2,184,258.40 yuan payable to Sichuan Huayuan Engineering Co., Ltd. and RMB516,457.07 yuan payable to Sinan Department of Transportation. 4.7 Retention Income As of December 31, 2018, there was no retention income for the project. 5. Usage of Special Account The special account for the project is set in China Construction Bank - Jingrui Branch, Guiyang, with an account number of 52050143360000000421 and the currency is USD. The World Bank's first deposit amounted to USD15,000,000. The balance at the beginning of 2018 was USD15,002,606.34, which was offset by USD37,657,700.33 for the current year, with an interest income of USD4,405.57 and an account service charge of USD50. Payments for the year was to USD44,294,787.32, leaving a year-end balance of USD8,369,874.92. 6. Other Matters to be Explained Due to the change of foreign exchange rate, there are discrepancies between the beginning and the ending balance of the IBRD loan in the balance sheet, and the inconsistency between the amount incurred in the current period in the project schedule and the withdrawal amount in the Statement of Implementation of Loan Agreement . In Summary of Sources and Uses of Funds by Project Component 1, Other items in Total Application of Funds are the exchange gains and losses over the years. 18