Criteria and procedure for designating the Responsible Authority
Article 2
1. The body to be designated as the Responsible Authority shall have an administrative organisation and a system of internal control that comply with the criteria set out in the Annex to this Regulation (‘the designation criteria’). The designation criteria concern: (a) internal environment, (b) control activities; (c) internal information and communication; (d) internal monitoring and reporting. Member States may lay down further designation criteria to take account of the size, responsibilities and other characteristics of the Responsible Authority. 2. The audit body referred to in Article 26(3) of Regulation (EU) No 514/2014 shall assess whether the prospective Responsible Authority complies with the designation criteria in the Annex and shall document its audit findings, conclusions and opinion in an audit report addressed to the designating authority. 3. If the designating authority is not satisfied that the prospective Responsible Authority complies with the designation criteria, it shall give this body specific instructions to remedy its non-compliances and a deadline for compliance before it may be designated as the Responsible Authority. Pending compliance, the body may be granted provisional designation as Responsible Authority for no more than 12 months. The length of this provisional period shall be proportionate to the non-compliances identified. 4. Upon designating the Responsible Authority, the Member State shall notify the Commission without delay through SFC 2014. With this notification, the Member State shall transmit documentation setting out: (a) the main division of responsibilities between the organisational units of the Responsible Authority; (b) where appropriate, its relationship with delegated authorities, the activities to be delegated, and the main procedures for supervising these delegated activities; and (c) a summary of the main procedures for processing financial claims from beneficiaries and for authorising and recording expenditure.