Ways and sideways of financing of culture

Having evaluated the implementation of the Programme for the Millenium of Lithuania, the National Audit Office of Lithuania found that the existing regulation of cultural policy did not create preconditions for the implementation of the programme in a coordinated, focused and efficient way. The Auditor General Giedrė Švedienė says that the development of cultural policy is still not separated from the implementation of politics, therefore activities of cultural institutions are coordinated inefficiently; there is a lack of control, accountability and transparency, which hinders the smooth and focused pursuit of cultural policy aims, as well as establishes conditions for the  unreasonable and illegal

use of funds. “The NAOL have already indicated the errors and violations of institutions financing and implementing cultural projects; however, many problems have remained unresolved,“ points out Ms Švedienė.

Audit report reveals that activities and accountability of all the institutions implementing the Programme for the Millenium of Lithuania were not regulated, and the management mechanism for dozens of programme implementors was not foreseen.

A constituent part of the Programme for the Millenium of Lithuania – the national programme “Vilnius European Capital of Culture 2009“ was drawn up without any clear strategy, and its administration, implementation and financing was unreasonable. “Vilnius European Capital of Culture“, a public entity established in 2006, had to implement cultural programme of VECC and to coordinate its implementation; however, activities and responsibility of this public entity was not clearly defined. VECC actually only performed a mediator function between the Ministry of Culture and project applicants. Allocation of funds for the programme implementation was conducted without the sufficient regulation of allocation procedures, therefore the funds were used in an uneconomical, inefficient way and in breach of legislation.

The NAOL delivered a long list of errors and violations, which were performed in reconstruction of the stage equipment of the Lithuanian National Opera and Ballet Theatre. The NAOL informed the Prosecutor General‘s Office of the violations detected in the Lithuanian National Opera and Ballet Theatre.

Recommendations isssued to the Government and the Ministry of Culture suggest particular ways of tightening the financing procedures for cultural projects. It is recommended that only those investment projects, which are directly related to the programme aims and the pursued results would be approved in interinstitutional programmes, and a coordinating institution would mandatorily approve procedures for programme steering, accountability and information on its implementation, as well as would submit a detailed report on implementation of the programme to the Government. The Ministry of Culture is recommended to establish a provision that administration function of funds allocated to culture would be implemented by institution, which does not shape a cultural policy.



Public audit report is available in Lithuanian:
Implementation of the Programme for the Millenium of Lithuania