No respect for the law on public procurement?
The Finance Inspectorate considered that the Walloon subsidy for the organization of the Fair was not always used in a compliant manner. For the period 2018-2022, the Financial Inspectorate estimates that the Fair should reimburse more than €930,000 due, in particular, to non-compliance with the law on public procurement. And this amount was much higher in the end since the Walloon government had subsequently ordered a larger audit which went back to 2014.
For its part, the Fair steadfastly maintained that it was within its rights. The argument: “our analysiscontinues our interlocutor, it is that the law on public procurement did not apply since the subsidy was lower” what the law requires. And to specify: “like any good manager, we had a competitive process” of the different providers. Public aid represents 14% of the Fair’s turnover: “we are therefore well below the 50% threshold justifying the integration of procedures linked to the law on public procurement.”reacted Natacha Perat, managing director of Libramont Cooperalia (L’Avenir of August 10, 2023).
This is how, on June 6, the Walloon government, in a final act before the regional elections, decided on an “Action Plan following the reports from the Finance Inspectorate”. The agreement concluded between the Region, the Finance Inspectorate and Libramont Cooperalia was therefore an amicable transaction worth €843,526. This amount will be recovered and deducted over the next three years from the annual grant of €852,800. As our source explains, it was imperative for the Fair to take this step in order not to block subsidies due to a more cumbersome procedure.
Several hundred thousand euros awaiting payment
Since this dispute arose in 2022, the Fair had not obtained full payment of the installments for the 2023 edition. Only a first reduced installment had been paid. It is therefore no coincidence that the company Libramont Cooperalia suffered an accounting loss of €117,000 in 2023. For the 2024 edition, a little more than €500,000 is still pending. These two lines of subsidies should not take long to be paid since this point is on the Walloon government’s agenda for November 21. Without having the exact figure, we can assume that the total amount would be around a million euros. We thus come back to what our interlocutor explained: “This procedure blocked any payment of the subsidy owed to us and which was greater than the amount of the transaction.” On the side of the management of the Fair, we officially wish to eclipse this ordeal which weighed down daily management: “The common desire was also to calmly approach the preparation of the current Fair.”
There remains an unanswered question: what will happen to the annual subsidy of €852,800 coupled with rental by the Region of exhibition areas by the fair”for a minimum amount of €493,862″as noted by Le Soir. The new Minister of Agriculture, Anne-Catherine Dalcq will work with the various parties to draft a new agreement for 2025-2029 (which will put an end to the current one). The management of the Fair, the Financial Inspectorate and the Minister must agree on the agreement. This revised and corrected version will first ensure that there is no longer any discordant interpretation between the parties. It remains to be seen whether the amount of the subsidy will not undergo austerity…
