EMERGENCY ORDINANCE
on local public finance
as published in the
Official Gazette No. 431 of June 19, 2003
CHAPTER I
General provisions
Object of the emergency ordinance
Art. 1. - (1) The present
emergency ordinance shall establish the principles, the general framework and
the procedures regarding the setting up, the administration, the employing and
the utilization of the local public funds, as well as the responsibilities of
the local public administration authorities and of the public institutions
involved in the field of the local public finance.
(2) The provisions of the present
emergency ordinance shall apply in the field of drawing up, approval, carrying
out and reporting of:
a) the local budgets of the communes,
towns, municipalities, sectors of Bucharest Municipality, counties and
Bucharest Municipality;
b) the budgets of public
institutions, totally or partly financed from local budgets, as the case may
be;
c) the budgets of public
institutions, totally financed from their own income;
d) the budget of external and
internal loans, for which reimbursement, payment of interest, commissions,
expenses and other costs are ensured from local budgets and derive from:
external loans contracted for by the State and sub-loaned to the local public
administration authorities and/or to companies and public services in their
subordination;
external
loans contracted for by the local public administration authorities and
guaranteed by the State; external and/or internal loans contracted for or
guaranteed by the local public administration authorities;
e) the budget of non-reimbursable
external funds. Definitions
Art. 2. - Within the meaning of
the present emergency ordinance, the terms and phrases below shall be defined as
follows:
1. budgetary
year - the financial year for which the budget is approved; the budgetary
year is the calendar year which runs from January 1 and closes on December 31;
2. budgetary commitment - any
document by which a competent authority appropriates, according to law, public
funds to a certain destination, within the limits of the approved budgetary
credits;
3. legal commitment - stage in the process
of budgetary execution representing any legal document from which it results or
could result an obligation on the account of the public funds;
4. budgetary article - subdivision of the
budgetary expenditure classification, determined in accordance with the
economic character of the operations in which these are effected and which
designate the nature of an expenditure, irrespective of the activity it refers
to;
5. local public administration
authorities the local councils of communes, towns, municipalities, sectors of
Bucharest Municipality, county councils and the General Council of Bucharest
Municipality, as deliberative authorities, and the mayors, presidents of the
county councils and the Mayor General of Bucharest Municipality, as executive
authorities;
6. budget - a document by which
the income and expenditure are provided for and approved every year or, as the
case may be, only the expenditure, according to the financing system of the
public institutions;
7. local budget - a document by which the income and the expenditure of the
territorial-administrative units are provided for and approved every year;
8. local budget for the entire county, and for Bucharest
Municipality, respectively - the totality of the local budgets of the communes, towns,
municipalities and the budgets of the county, of the sectors and of Bucharest
Municipality, respectively;
9. budgetary expenditure - the amounts approved in the
budgets stipulated in art. 1 (2), within the limits and according to the
purposes established in the respective budgets;
10. budgetary classification - the grouping of the
budgetary income and expenditure in a compulsory order and unitary criteria;
11. economic classification - the grouping of the
expenditure according to their economic nature and effect;
12. functional classification - the grouping of the
expenditure according to the purpose, in order to assess the allocation of the
public funds to certain activities or objectives that define the public
necessities;
13. accountant - generic denomination for the person and/or
the persons who work in the financial-accounting department, who verify the
documents in proof and draw up the payment instruments of the expenditure made
on account of the public funds;
14. financial-accounting department the organizational
structure within the public institution, in which the budgetary execution is
organized (service, office, department);
15. consolidation - the operation of eliminating the
transfers of amounts between the budgets stipulated in art. 1 (2), in view of
avoiding their double posting;
16. deducted quota - the percentage established from
certain income of the state budget, that is allocated to local budgets;
17. credits meant for multi-annual activities the amounts
allocated to certain programs, projects, subprojects, objectives and others
similar, that are carried on for a period longer than one year and use credits
of commitment and budgetary credits;
18. credit of commitment - the maximum limit of expenditure
that may be committed, during the budgetary year, within the approved limits;
19. budgetary credit - the amount approved by budget, representing
the maximum limit up to which there can be ordered and made payments along the
budgetary year for the contracted commitments during the budgetary year and/or
from previous years for multi-annual activities, and can be committed, ordered
and made payments from the budget for the other activities;
20. co-financing - the financing of a program,
project, sub-project, objective and others similar, partly by budgetary
credits, partly by financing from external sources;
21. contribution - compulsory charging of a part of the
natural and legal persons. income, with or without the possibility of obtaining
a counter-service;
22. local public debt - the totality of payment
obligations, internal and external, of the local public administration
authority, at a given moment, originating from loans contracted or guaranteed
by it from the internal and external capital market;
23. budgetary deficit - a part of the budgetary expenditure
that exceeds the budgetary income during a budgetary year;
24. opening of budgetary credits - the approval
communicated to the State treasury by the principal loan manager, within the
limits of which distribution of budgetary credits and cash disbursements from
the local budgets can be made;
25. interest - the price for the temporary use of the
loaned capital;
26. donation - cash funds or material goods received by a
public institution or a legal or natural person with non-reimbursable title and
without counter-service;
27. budgetary balance - the evenness between the budgetary
income and the budgetary expenditure within a budgetary year;
28. budgetary surplus - the part of the budgetary income
that exceeds the budgetary expenditure during a budgetary year;
29. budgetary execution - the activity of collecting the
budgetary income and making the payments for the expenditure approved through
the budget;
30. pay desk budget execution - the complex of operations
that refer to the collection of the income and the payment of the budgetary
expenditure;
31. budgetary year - the period equal to the fiscal year
for which the budget is drawn up, approved, executed and reported;
32. local public funds - the amounts allocated from the
budgets stipulated in art. 1 (2), as well as those managed outside the local
budget;
33. fund of risk - the fund constituted outside the local
budget by the authorities of the local public administration from the
commissions covered by the beneficiaries of the loans guaranteed by these
authorities and from other sources;
34. working capital - the part from the final annual
budgetary surplus of the local budget, that is constituted at the level of each
territorialadministrative unit and is used in accordance with the provisions of
the present emergency ordinance;
35. budgetary reserve fund - the fund provided for in the
part of expenditure of the local budgets;
36. local guarantee - the commitment assumed by an
authority of the local public administration against the crediting institution
for paying a certain amount to it, in case of not carrying out the payment
obligations by the companies and public services in its subordination, for the
internal and external loans guaranteed by that authority;
37. tax - the compulsory charging, without immediate
counter-service, direct and non-reimbursable, for satisfying the necessities of
general interest;
38. public institutions - generic denomination that
includes the communes, towns, municipalities, sectors of Bucharest
Municipality, counties, Bucharest Municipality, public institutions and
services in their subordination, with legal personality, irrespective of the
mode of financing their activity;
39. loan - the amount received from a creditor by an
authority of the local public administration, reimbursable at a certain
deadline (due date), with the payment of an additional amount (interest) in
favor of the creditor;
40. winding up of expenditure - a stage in the process of
budgetary execution in which the existence of the commitments is verified, the
reality of the amount due is verified and established, the conditions of
exigible commitment are verified, on the basis of the documents in proof that
should attest the respective operations;
41. ordering of expenditure - a stage in the process of
budgetary execution in which it is confirmed that the deliveries of goods and
services have been carried out or other debts have been verified and that
payment can be made;
42. payment of expenditure - a stage in the process of
budgetary execution representing the final act by which the public institution
is paying up its obligations to third parties;
43. budgetary process - consecutive stages of drawing up,
approval, execution, control and reporting of the budget, that is closed with
the approval of the annual account of its execution;
44. program - an activity or a coherent assembly of
activities that refers to the same principal loan managers, designed to carry
out an objective or a defined set of objectives and for which program indicators are
established that should evaluate the results to be obtained, within the limits
of the approved financing;
45. local public debt register - a document that records
the position of the local public debt directly contracted for, in chronological
order, and which has two components: the sub-register of the local internal
public debt and the sub-register of the local external public debt;
46. local guarantees register - the document that records
the position of the local guarantees granted by the local public administration
authorities, in chronological order, and that has two components: the
sub-register of the local internal guarantees and the sub-register of the local
external guarantees;
47. deducted amounts - the part allocated to the
territorial-administrative units from certain income of the state budget, in
view of balancing their own budgets and the financing of certain decentralized
activities or new public expenditure, in accordance with the provisions of the
present emergency ordinance, of the law on state budget and of the law on its
rectification;
48. head of financial-accounting department the person
holding the managing position of the financial-accounting department and who is
responsible for the collection of the income and for the payment of the
expenditure or, as the case may be, one of the persons that carries out these
duties within a public institution which does not have in its structure a
financial-accounting department or the person who carries out these duties on
the basis of a contract, under the terms of the law;
49. fee - the amount paid by a natural or legal person for
the services rendered to it by a public institution or a public service
organized in the structure of a local public administration;
50. territorial-administrative units - the communes, towns,
municipalities, sectors of Bucharest Municipality, counties and Bucharest Municipality;
51. payment - modality of redemption of a legal obligation,
by transferring an amount of money, made by a company, a public institution, a
public service or a financial institution;
52. budgetary income - the money resources that are due to
the budgets stipulated in art. 1(2)a)-c), as the case may be, on the basis of
legal provisions, made of taxes, fees, contributions, other payments, other
income, deducted quotas from certain income of the state budget, as well as
those stipulated in art. 5(1) b)-d);
53. transfer of budgetary credits - an operation by which
the budgetary credit is diminished from a subdivision of the budgetary
classification that has availability and another subdivision which has
insufficient funds and is accordingly increased, by observing the legal
provisions connected to the carrying out of the respective operations.
Budgetary income and expenditure
Art. 3. - (1) The income and expenditure stipulated in art. 1 (2), as
well as the other income and expenditure posted apart from the local budget,
cumulated at the level of the territorialadministrative unit, shall make the
general budget of the territorial-administrative unit, which, after
consolidation, by eliminating the transfers among budgets, shall reflect the
dimension of the public financial effort in the territorial-administrative unit
for that respective year, the state of balance or imbalance, as
the case may be.
(2) The approved budgetary credits shall be utilized for the
financing of the local public administration, programs, projects, activities,
actions, objectives and others similar, in accordance with the purposes
stipulated by law and other settlements, and shall be committed and used in
strict correlation with the
envisaged degree of collecting the budgetary income.
Budgetary authorization/Multi-annual commitments
Art. 4. - (1) By approving the budgets stipulated in art. 1 (2) the
budgetary income and expenditure are authorized for the fiscal year, as the
case may be.
(2) The approved amounts, for the expenditure part, by the budgets
stipulated in art. 1 (2), within which payments are committed, ordered and
made, represent the maximum limits, which cannot be exceeded.
(3) The committing of expenditure from these budgets shall be made
only within the limits of the approved budgetary credits.
(4) The committing and the utilization of budgetary credits for
other purposes than those approved shall bring about the responsibility of
those guilty, under the terms of the law.
(5) For the multi-annual actions, the credits of commitment and
the budgetary credits are, distinctly, listed in the budget.
(6) In view of carrying out the multi-annual actions, the loan
managers shall conclude legal commitments, within the limit of the credits of
commitments approved by budget for the respective budget year.
Income and expenditure of local budgets
Art. 5. - (1) The income of the local budgets is made of:
a) own incomes from: taxes, fees, contributions, other payments,
other incomes and deducted quotas from the income tax;
b) deducted amounts from certain income of the state budget;
c) subsidies received from the state budget and from other
budgets;
d) donations and sponsoring.
(2) The substantiation of the local budgets income is based on the
finding out and on the evaluation of the taxable matter and of the tax base
according to which the related taxes and fees, the evaluation of the services
carried out and the income obtained from them are calculated, as well as on
other specific elements, on data series inclusively, for the purpose of
correctly evaluating the income.
(3) The substantiation, the dimensioning and the distribution of
the local budgets expenditure, per loan managers, per purposes, per actions,
activities, programs, projects, objectives, respectively, shall be made in accordance
with the duties incumbent on the local public administration authorities, with
the priorities established by them, in view of their functioning and in the
interest of the respective local collectivities.
(4) The substantiation and the approval of the local budgets
expenditure shall be made in strict correlation with the real possibilities of
collection of the local budgets income, estimated to be achieved.
Decentralization of certain activities
Art. 6. - The passing of certain public expenditure by the Government
to the administration and financing of the local public administration
authorities, as a result of the decentralization of certain activities, as well
as the passing of other new public expenditure shall be made according to the
law, only by ensuring the financial resources necessary for their carrying out,
as follows:
a) in the first year, by the distinct including of the resources
necessary for the financing of the public expenditure transferred or for the
new public expenditure, as well as of the distribution criteria in the annex to
the state budget law;
b) in the following years, by the including of the respective
resources in the total amounts allocated to the territorial-administrative
units, except for those distinctly nominated by annex to the state budget law.
CHAPTER II
Principles, rules and responsibilities
Budgetary principles and rules
Principle of universality
Art. 7. - (1) The income and the
expenditure shall be entirely included in the budget, in gross amounts.
(2) The budgetary income cannot be directly meant for certain
budgetary expenditure, with the exception of donations and sponsorship which
have
distinct purposes.
Principle of publicity
Art. 8. - The budgetary process is open and transparent, this being
achieved by:
a) publication in the local press or the posting at the
headquarters of the respective local public administration authority of the
draft local budget
and of its annual
execution account;
b) public debate of the draft local budget, on the occasion of its
approval;
c) presentation of the annual execution account of the local
budget in public sitting.
Principle of unity
Art. 9. - (1) The budgetary income and expenditure shall be recorded
in a single document, in order to ensure the efficient utilization and
monitoring of the local public funds.
(2) The retaining and utilization of income in extra-budgetary
regime and the constituting of local public funds apart from the local budgets
are
forbidden, unless the
law provides otherwise.
Principle of monetary unity
Art. 10. - All budgetary operations shall be expressed in the national
currency.
Principle of annual reference
Art. 11. - (1) The budgetary income and expenditure shall be approved,
under the terms of the law, for a period of one year, corresponding to the
budgetary year.
(2) All the cash receipts and payment operations made during one
budgetary year on the account of a budget belong to the corresponding year of
execution of the budget thereof.
Principle of budgetary specialization
Art. 12. - The budgetary income and expenditure shall be recorded and
approved per sources of origin and per categories of expenditure grouped
according to their economic nature and purpose.
Principle of balanced budget
Art. 13. - The expenditure of a budget shall be fully covered from the
income of the budget thereof.
Budgetary rules
Art. 14. - (1) The making of payments directly from the collected
income is forbidden, except for the cases in which the law stipulates
otherwise.
(2) The budgetary expenditure have precise and limited destination
and shall be determined by the authorizations contained in specific laws and in
the annual budgetary laws.
(3) No expenditure could be included in the budgets stipulated in art. 1 paragraph (2) and it cannot be committed and made from these budgets, if there is no legal basis for the expenditure thereof.
(4) No expenditure from the local public funds could be committed,
ordered and paid if it is not approved according to law and does not have
budgetary provisions and financial sources.
(5) After the approval of the local budgets, statutory instruments
implying on them can be approved, but with the mentioning of the covering
sources for the diminished income or for the increase in the budgetary
expenditure related to the budgetary year for which the respective local
budgets were approved.
Section 2
Competencies and responsibilities in the budgetary process
Approval and rectification of budgets
Art. 15. - (1) The local budgets and the other budgets stipulated in
art. 1 (2) shall be approved as follows:
a) the local budgets, the
budgets of external and internal loans and the budgets of non-reimbursable
external loans, by the local, county councils and the
General Council of
Bucharest Municipality, as the case may be:
b) the budgets of the
public institutions, integrally or partly financed from local budgets, by the
councils stipulated in point a), according to their
subordination;
c) the budgets of the public institutions, integrally financed
from own income, including their rectification, by the management of the
institution, with the advice of the principal loan manager.
(2) During the budgetary year the local councils, county councils
and the General Council of Bucharest Municipality, as the case may be, may
approve the rectification of the budgets stipulated in art. 1a) and b), within
30 days of the date of coming into force of the rectification law of the state
budget, as well as a result of certain substantiated proposals of the principal
loan manager. The rectification of the local budgets shall be applied the same
procedures as to the their initial approval, except for the terms in the
budgetary calendar.
Role, competencies and responsibilities of local public
administration authorities
Art. 16. - The local public administration authorities have the
following competencies and responsibilities as regards the local public
finance:
a) the elaboration and the approval of the local budgets, under
the conditions of budgetary balance, at the terms and according to the
provisions
established by the
present emergency ordinance;
b) the establishing, noting, control, pursuing and collecting of
the local taxes and fees, as well as of other income of the
territorial-administrative units, through their own departments of speciality,
under the terms of the law;
c) the pursuing and reporting of the local budgets execution, as
well as their rectification, during the budgetary year, under the conditions of
budgetary
balance;
d) the establishing and pursuing of the way of carrying out of the
public services of local interest, including the option of passing these
services or not
into the
responsibility of certain specialized companies or public services of local
interest, with the aim of making them efficient for the benefit of the local
collectivities;
e) the efficient administration of the goods in the public and
private property of the territorialadministrative units;
f) the direct contracting of internal and external loans, on
short, medium and long term and the pursuing of the payment, on maturity, of
the payment obligations resulting from them;
g) the guaranteeing of internal and external loans, on short,
medium and long term and the pursuing of the payment, on maturity, of the
payment obligations resulting from the related loans, by the beneficiaries.
h) the administration of the local public funds during the
budgetary year, under conditions of efficiency;
i) the establishing of options and priorities in the approval and
in the carrying out of the local public expenditure;
j) the elaboration, approval, modification and pursuing of the
implementation of the development programs in the long run of the
territorialadministrative
units as a basis for
the management of the annual local budgets;
k) the carrying out of other duties, competencies and responsibilities
stipulated by the legal provisions.
Categories of loan managers
Art. 17. - (1) The loan managers are of three categories: principal
loan managers, secondary loan managers and tertiary loan managers.
(2) The principal loan managers of the local budgets are the
presidents of the county councils, the mayor general of Bucharest Municipality
and the
mayors of the other
territorial-administrative units.
(3) The principal loan managers may delegate this capacity to the
substitutes by law or to other persons authorized in this respect. Through the
document of
delegation the
principal loan managers shall stipulate the limits and the conditions of the
delegation.
(4) The managers of public institutions with legal personality,
which are allocated funds from the budgets stipulated in art. 1 (2), are
secondary or tertiary loan managers, as the case may be. Role of loan managers
Art. 18. - (1) The principal loan managers shall analyze the mode of
utilization of the budgetary credits approved by local budgets and by the
budgets of the public institutions, whose managers are secondary or tertiary
loan managers, as the case may be, and approve the carrying out of the
expenditure in the own budgets, by observing the legal provisions.
(2) The secondary loan managers shall distribute the approved
budgetary credits in accordance with art.15(1)b), for the own budget and for
the budgets
of the public
institutions, whose managers are tertiary loan managers, and approve the
carrying out of the expenditure in the own budgets, by observing the legal
provisions.
(3) The tertiary loan manager utilize the budgetary credits
distributed to them only for the carrying out of the duties of the units they
manage, according to the provisions in the approved budgets and under the terms
established by the legal provisions. Responsibilities of loan managers
Art. 19. - (1) The loan managers are obliged to commit and to utilize
the budgetary credits only within the limit of the approved provisions and
destinations, for expenditure strictly connected to the activity of the
respective public institutions and with the observance of the legal provisions.
(2) The loan managers are responsible for:
a) the elaboration and substantiation of the own draft budget;
b) the pursuing of the way of accomplishing the income;
c) the committing, liquidation and ordering of expenditure within
the limits of the approved budgetary credits and of the budgetary income to
collect possibly;
d) the integrity of the goods found in the property or
administration of the institution they manage;
e) the organizing and updating of the accountancy and the
submitting on time of the financial statements on the position of the assets
found in administration and on the budgetary execution;
f) the organizing of the monitoring system for the program of
public acquisitions and of the program of public investments;
g) the organizing of programs record, including the indicators
related to them;
h) the organizing and keeping up-to-date of the assets` record,
according to the legal provisions;
i) other duties established by the legal provisions.
Own preventive financial control, internal public auditing and
subsequent control
Art. 20. - (1) The own preventive financial control and the internal
public auditing shall be exercised on all the operations that affect the public
funds and/or
the public and private
assets and shall be exercised according to the legal provisions in the field.
The loan manager shall approve the committing, liquidation and
ordering of expenditure from public funds, and their payment shall be made by
the accountant, except for the provisions of art. 50 (7).
(3) The committing and the ordering of the expenditure shall be
made only with the prior visa of the own preventive financial control,
according to the legal provisions.
(4) The formation and the utilization of the local public funds
and the execution account of the local budgets shall be subjected to the
control of the Court of Audit, according to law.
CHAPTER III
The budgetary process
Section 1
Procedures regarding the elaboration of budgets
Elaboration of budgets
Art. 21. - The draft budgets stipulated in art. 1(2) shall be
elaborated by the loan managers, taking into account:
a) the prognoses of the main macro-economic and social indicators,
for the budgetary year for which the draft budget is elaborated, as well as for
the following 3 years, elaborated by
the authorized bodies;
b) the fiscal and budgetary policies, national and local;
c) the provisions of the agreements of internal and external loans
concluded, of the financing memoranda or of other international agreements,
signed and/or ratified;
d) the sectoral and local policies and strategies, as well as the
priorities established in the formulation of budget proposals;
e) the detailed expenditure proposals of the subordinated loan
managers;
f) the programs drawn up by the principal loan managers for the
purpose of financing certain actions or series of actions, which are associated
with precise
objectives and result
and efficiency indicators; the programs shall be accompanied by the annual
estimation of each program performances, which has to stipulate: the actions,
the associated costs, the objectives to be pursued, the results obtained and
estimated for the following years, measured by precise indicators, the
selection of which is justified;
g) the social-economic development programs of the
territorial-administrative unit in the long run, in accordance with the
development policies at national, regional, county, area or local level.
Contents and structure of budgets
Art. 22. - (1) The income and expenditure shall be grouped in the
budget on the basis of the budgetary classification approved by the Ministry of
Public Finance.
(2) The income shall be structured by chapters and sub-chapters,
and the expenditure by parts, chapters, sub-chapters, titles, articles, as well
as indented lines and paragraphs, as the case may be.
(3) The expenditure provided for in chapters and articles have
precise and limited destination.
(4) The number of employees, permanent and temporary, and the
basic salary fund shall be approved distinctly, by annex to the budget of each
public institution. The number of employees approved to each public institution
cannot be exceeded.
(5) The capital expenditure shall be included in each budgetary
chapter, in accordance with the credits of commitment and the duration of
carrying
out the investments.
(6) The programs shall be approved as annexes to the budgets
stipulated in art. 1 (2).
(7) The non-reimbursable external funds and the internal and
external loans shall be included in annexes to the local budgets and shall be
approved at the same time.
(8) The income of the local budgets are stipulated in annex No. 1,
and their expenditure in annex No. 2. Competencies in establishing local taxes
and fees
Art. 23. - The local taxes and fees shall be approved by the local,
county councils and by the General Council of Bucharest Municipality, as the
case may be, within
the limits and under the terms of the law.
Regime of the amounts resulting from capitalizing the fixed means
and certain material goods, as well as of the amounts collected from the
granting or leasing of certain goods or from capitalizing certain confiscated
goods
Art. 24. - (1) The amounts collected from the sale as such or from
capitalizing the materials resulting from demolition, dismemberment or closing
down,
under the terms
stipulated by law, of certain fixed means or from the sale of certain material
goods that belong to public institutions, fully financed from the local
budgets, shall constitute income of local budgets and shall be paid to them.
(2) The amounts collected according to paragraph (1) by the other
public institutions shall constitute income to their budgets.
(3) The amounts collected from the granting or from the leasing of
certain goods belonging to the public or private field of the
territorial-administrative
units shall constitute
income to the local budgets.
(4) The amounts collected from capitalizing the confiscated goods
shall become income to the local budget, subject to the subordination of the
institutions that ordered their confiscation, under the terms of the law.
Regime of the amounts resulting from the sale of certain goods
belonging to private domain
Art. 25. - The amounts collected from the sale, under the terms of the
law, of certain goods belonging to the private domain of the
territorialadministrative
units shall constitute
income to the local budgets.
Special fees for the functioning of certain local public services
Art. 26. - (1) For the functioning of certain local public services,
set up in the interest of natural and legal persons, the local councils, county
councils and
the General Council of
Bucharest Municipality, as the case may be, shall approve special fees.
(2) The quantum of the special fees shall be established annually,
and the income obtained from them shall be utilized entirely for the covering
of the expenditure made for the setting up of the local public services, as well as for the
financing of the maintenance and functioning expenditure of these services.
(3) The conditions and the sectors of activity in which special
fees may be instituted, the mode of organization and functioning of the public
services
for which the fees
thereof are proposed, the modalities of consulting and of obtaining the
agreement of the natural and legal persons beneficiaries of the respective
services shall be established by the regulations approved by the local and
county councils and by the General Council of Bucharest Municipality, as the
case may be.
(4) The decisions made by the local and county councils and by the
General Council of Bucharest Municipality, as the case may be, in connection
with
the levying of special
fees from the payers, natural and legal persons, shall be posted at their
headquarters or shall be published in the press.
(5) The interested persons may submit contestation against these
decisions within 15 days of their posting or publication. After the expiry of
this term the council that adopted the decision shall meet and deliberate over the
received contestations.
(6) The special fees shall be collected only from the natural and
legal persons that use the local public services for which the respective fees
were instituted.
(7) The special fees, instituted in accordance with the provisions
of the present article, shall be collected in a distinct account, opened apart
from the local budget, being utilized for the purposes for which they were set
up, and their execution account shall be approved by the local and county
council or by the General Council of Bucharest Municipality, as the case may
be.
Activities of economic nature
Art. 27. - (1) The public services of local interest that carry out
activities of economic nature are obliged to calculate, register and recuperate
the physical and moral depreciation of the fixed means related to these
activities, by tariff or price, according to law.
(2) The amount representing the depreciation calculated for these
fixed means shall be collected in a single distinct account, opened with the
state treasury units, apart from the budget, and shall be utilized for making
investments in the domain thereof and shall be distinctly recorded in the
investment program, as a source of financing for them.
(3) The activities of economic nature, for which the depreciation
of the fixed means is calculated, shall be established by decision of the
Government.
Deducted quotas from the income tax
Art. 28. - (1) From the income tax, collected by the state budget at
the level of each territorialadministrative unit, within 5 working days of the
end of the month in which this tax was collected, a quota of 36% shall be
allocated monthly, to the local budgets
of the communes, towns and municipalities, on the territory of which the tax payers
are carrying on their activity, 10% to the own budget of the county and 17% to
a distinct account, opened on account of the county council for the balancing
of the local budgets of the communes, towns, municipalities and county.
(2) In execution, the quota of 17% shall be allocated to the specialized
directorates in the own pparatus of the county councils, within 5 working days
of the collection, for the balancing of the local budgets of the communes,
towns, municipalities and county, proportionally with the amounts distributed
and approved for that purpose in the respective budgets, in accordance with the
provisions of art. 29 (3).
(3) The quota of 63% from the income tax, for the Bucharest
Municipality, shall be distributed, within the term stipulated in paragraph
(1), as follows: 18%
to the local budgets
of the sectors of Bucharest Municipality, 36.5% to the own budget of Bucharest
Municipality and 8.5% to a distinct account, opened for the General Council of
Bucharest Municipality for the balancing of the local budgets of the sectors and
Bucharest Municipality.
(4) In execution, the quota of 8.5% shall be allocated by the
specialized directorate in the own apparatus of the General Council of
Bucharest Municipality, within 5 working days of the collecting, for the
balancing of the local budgets of the sectors and of Bucharest Municipality,
proportionally with the amounts distributed and approved in the budgets
thereof, according to the provisions of art. 29(5).
In special cases, through the state budget law, the deducted
quotas from the income tax may be increased.
(6) The transferring operations of the quotas due from the income
tax, stipulated in paragraphs (1) and (3), shall be made by the Ministry of
Public Finance through the general directorates of public finance.
(7) The taxes and fees payers that have organized stable work
points with minimum 5 employees are obliged to request their fiscal
registration, as payers
of income tax from
salaries, to the fiscal organ in the territorial radius of which the work point
is located. The request shall be made within 15 days from the date of setting
up, for the newly set up work points. The taxes and fees payers stipulated in
this paragraph are obliged to organize the corresponding accounting for the
determination of the income tax from salaries calculated, retained and paid.
Amounts deducted from certain income of the state budget
Art. 29. - (1) To finance the public expenditure stipulated in art. 6,
as well as to balance the local budgets of the territorial-administrative
units, through the law on state budget, deducted amounts shall be approved from
certain income the state budget per the county, as a whole, and Bucharest
Municipality.
(2) The deducted amounts from certain income of the state budget,
meant for the balancing of the local budgets, shall be distributed per
counties,
according to the
following criteria:
a) the financial power calculated according to the income tax
collected per inhabitant, in a proportion to 70% of the deducted amounts;
b) the area of the county, in a proportion to 30% of the deducted
amounts.
(3) Out of the deducted amounts from certain income of the state
budget for the balancing of the local budgets, approved annually through the
law on
state budget, and out
of the quota of 17% stipulated in art. 28 (2), a quota of 25% shall be
allocated to the own budget of the county, and the balance shall be distributed
per communes, towns and municipalities by decision of the county council, after
consultation of the mayors and with the technical assistance of
specialty of the general
directorate of public finance, according to the following criteria:
a) the financial power calculated on the basis of the income tax
collected per inhabitant, in proportion to 30%;
b) the area of the territorial-administrative unit, in proportion
to 30%;
c) the population of the territorial-administrative unit, in
proportion to 25%;
d) other criteria established by decision of the county council,
in proportion to 15%, that should ensure with priority the sustaining of the
programs
with external financing,
which need local co-financing.
(4) The consultation of the mayors shall be made by a commission
constituted at the level of each county, made of:
a) the president of the county council, in capacity as
representative of the National Union of County Councils in Romania;
b) the prefect of the county;
c) the representative in the respective county, designated by the
Associations of the Municipalities in Romania;
d) the representative in the respective county, designated by the
Association of the Towns in Romania;
e) the representative in the respective county, designated by the
Associations of the Communes in Romania;
f) the general director of the general directorate of the county
public finance.
(5) For Bucharest Municipality, out of the quota of 8.5% stipulated
in art. 28 (4) a quota of 25 % shall be allocated for the own budget of
Bucharest
Municipality, and the
balance shall be distributed per the sectors of Bucharest Municipality, after
consulting the sector mayors and with the technical assistance of the general
directorate of public finance, according to the same criteria stipulated in
paragraph (3).
Fundable transfers for local budgets
Art. 30. - (1) The transfers from the state budget to the local
budgets shall be granted for investments financed from external loans in the
implementation
of which the
Government contributes as well, according to law, and shall be approved
annually, in global position, through the law on state budget.
(2) From the state budget, through the budgets of certain
principal loan managers thereof, as well as from other budgets transfers may be
granted to the
local budgets for the
financing of certain development or social programs, of national, county or
local interest. Collaboration, co-operation, association, union, joining
Art. 31. - (1) The local and county councils and the General Council
of Bucharest Municipality, as the case may be, may approve the collaboration or
the association for the carrying out of certain local public works and
services. The collaboration or the association shall be achieved on the basis
of conventions or contracts of association, in which the sources of financing
representing the contribution of each authority of the local public
administration involved, are stipulated. The conventions or contracts of
association shall be concluded by the principal loan managers, under the
conditions of the mandates approved by each council involved in the
collaboration or association,
(2) The local councils, the county ones and the General Council of
Bucharest Municipality, as the case may be, may decide on the participation
with capital or goods, in the name and the interest of the local collectivities
they represent, in the constituting of trading companies or in the setting up
of certain services of local or county interest, as the case may be, under the
terms of the law.
(3) The necessary funds for applying the provisions of paragraphs
(1) and (2) shall be ensured from the local budgets.
(4) The financial obligations resulting from agreements of
co-operation, unity, as well as from joining internal or international
associations of the local public administration authorities, decided by the
local and county councils and by the General Council of Bucharest Municipality,
as the case may be, under the terms of the law, shall be covered from their
local budgets.
Budgetary reserve fund
Art. 32. - (1) In the local budgets there shall be recorded the
budgetary reserve fund at the disposal of the local and county councils and of
the General
Council of Bucharest
Municipality, as the case may be, in a quota of up to 5% of the total
expenditure. This shall be utilized upon the proposals of the principal loan
managers, on the basis of decisions of the respective councils, for the
financing of certain urgent or unexpected costs coming up during the budgetary
year, for the removal of the effects of certain natural calamities, as well as
for the granting of certain assistance to the territorial-administrative units
in cases of extreme difficulty.
(2) The budgetary reserve fund stipulated in paragraph (1) may be
increased, during the year, with the approval of the local and county council
and of the General Council of Bucharest Municipality, as the case may be, out
of the available funds from budgetary credits that are no longer necessary
until the end of the year.
Section 2
Budgetary calendar
Frame-letter. Limits of amounts deducted from certain income of
the state budget and of fundable transfers
Art. 33. - (1) The Ministry of Public Finance shall transmit to the
general directorates of public finance, until the date of June 1 of each year,
a frame-letter that shall specify the macro-economic context on the basis of
which there shall be drawn up the draft budgets, the methodologies of their
elaboration, the limits of the deducted amounts from certain income of the
state budget and of the fundable transfers stipulated in art. 30(1), in the
county and Bucharest Municipality on the whole, as the case may be, in view of
elaborating the draft budgets stipulated in art. 1 (2) by the loan managers.
(2) The principal loan managers of the state budget or of other
budgets, in whose budgets transfers to local budgets are stipulated, shall
transmit to the authorities of the local public administration the due amounts,
within 10 days of the receipt of the limits of approved expenditure by the
Government, in view of including them in the draft budget.
(3) The distribution by territorial-administrative units of the
limits of the amounts deducted from
certain income of the state budget meant for the balancing of the local
budgets shall be achieved under the provisions of art. 29.
Budget proposals of the principal loan managers
Art. 34. - The principal loan managers, on the basis of the amounts
received according to the provisions of art. 33, shall elaborate and submit to
the general directorate of public finance, until the date of July 1, the drafts of the balanced local budgets and the
annexes to them, for the next budgetary year, as well as the estimations for
the next 3 years, so that these can transmit the drafts of the local budgets of
the county and Bucharest Municipality, on the whole, to the Ministry of Public
Finance, until the date of July 15 of each year. Approval and centralization of
local budgets
Art. 35. - (1) Within 5 days of the publishing in the Official Gazette
of Romania, Part I, of the law on state budget, the Ministry of Public Finance
shall
transmit to the
general directorates of public finance the deducted amounts from certain income
to the state budget and the fundable transfers, approved through the law on
state budget.
(2) The county councils and the General Council of Bucharest
Municipality, shall, under the terms of the law, distribute per
territorial-administrative units, within 5 days of communication, the deducted
amounts from certain income of the state budget, as well as the fundable
transfers, in view of finalizing the draft budgets by the principal loan
managers.
(3) On the basis of the own income and of the amounts distributed
in accordance with paragraph (2), the principal loan managers shall, within 15
days of the publishing of the law on state budget in the Official Gazette of
Romania, Part I, finalize the draft local budget, that shall be published in
the local press or shall be posted at the headquarters of the
territorial-administrative unit. The inhabitants may submit contestations
regarding the draft budget within 15 days of the date of its publishing or
posting.
(4) Within 5 days of the expiry of the term for the submitting of
contestations stipulated in paragraph (3), the draft local budget, accompanied
by the report of the mayor, of the president of the county council or of the
mayor general of Bucharest Municipality, as the case may be, and by the
contestations submitted by the inhabitants, shall be submitted for approval by
the local or county councils or by the General Council of Bucharest
Municipality, as the case may be, by the principal
loan managers.
(5) The local or county councils and the General Council of
Bucharest Municipality, as the case may be, within 10 days maximum of the date
of submitting the draft budget for approval according to paragraph (4), shall
reach a decision on the contestations and shall adopt the local budget, after
it was voted per chapters, sub-chapters, titles, articles, as well as indented
lines, as the case may be, and per annexes.
(6) The draft budgets stipulated in art. l(2) shall be approved by
the local or county councils and by the General Council of Bucharest
Municipality, as the case may be, within maximum 45 days of the date of
publication of the law on state budget in the Official Gazette of Romania, Part
I.
(7) In case the local or county councils or the General Council of
Bucharest Municipality, as the case may be, do not approve the draft local
budgets within
the term stipulated in
paragraph (6), the general directorates of public finance shall order the
cessation of supply with quotas and deducted amounts from certain income to the
state budget and with fundable transfers, until their approval by the local or
county councils or by the General Council of Bucharest Municipality, as the
case may be. In such case, payments from the local budgets may be made only
within the limits of the other collected income.
(8) The principal loan managers have the obligation to transmit to
the general directorates of public finance the approved local budgets, under
the conditions of the present emergency ordinance, by the local or county
councils and by the General Council of Bucharest Municipality, as the case may
be, within 5 days of their approval. The general directorates of public
finance, shall, within 10 days, draw up and transmit to the Ministry of Finance
the budget of each county, and of Bucharest Municipality, on the whole, grouped
within each county and Bucharest Municipality, per communes, municipalities,
sectors of Bucharest Municipality and the own budget, in the structure of the
budgetary classification.
Budgetary process in case of non-approval of the state budget by
Parliament
Art. 36. - (1) If the state budget was not adopted by at last 3 days
before the expiry of the budgetary year, the budgets of the preceding year
shall continue to apply, until the approval of the new budgets, the monthly
limits of expenditure not to exceed, as a rule, 1/12 of the amounts proposed in
the draft budget, in case these are smaller than those in the previous year.
(2) The public institutions and the actions, the new ones,
approved in the current year, but which start on the date of January 1 of the
next budgetary year, shall be financed, until the approval of the budget,
within the limits of 1/12 of the provisions included in the draft budget.
(3) The general directorates of public finance shall grant to the
territorial-administrative units amounts deducted from certain income of the state
budget and
fundable transfers,
within the monthly limit of 1/12 of the budgetary provisions of the previous
year.
(4) In case the need for deducted amounts from certain income of
the state budget and of fundable transfers exceeds the monthly limit of 1/12 of
the budgetary provisions of the previous year, after the full utilization of
the income and of the deducted quotas from certain income of the state budget,
the general
directorates of public
finance may approve their supplementing, on the basis of the analyses and
substantiation presented by the principal loan managers.
(5) In case the amounts stipulated in paragraph (4) proposed in
the draft state budget are smaller than those in the previous year, the monthly
limits shall be granted in a quota of 1/12 of the amounts proposed in the state
budget.
Section 3
Provisions referring to local public investments
Presentation of public investments in the draft budget
Art. 37. - The expenditure for public investments and other investment
expenditure financed from local public funds shall be in the draft budget, on
the basis of the public investment program of each territorial-administrative
unit, drawn up by the principal loan managers, which shall be presented as an
annex to the initial budget and rectified, respectively, and shall be approved
by the local or county council and the General Council of Bucharest
Municipality, as the case may be.
Information on the public investment programs
Art. 38. - (1) The principal loan managers of the local budgets shall draw
up, annually, the public investment program, according to the functional
classification.
(2) For each objective included in the investment program,
financial and non-financial information shall be presented.
(3) The financial information shall include:
a) the total value of the project;
b) the commitment credits;
c) the budgetary credits;
d) the financing graph, per sources and years, correlated with the
execution graph;
e) the cost-benefit analysis, that will be achieved as well in the
case of the objectives in progress;
f) the functioning and maintenance costs after commissioning.
(4) The non-financial information shall include:
a) the strategy in the field of investments that shall
compulsorily include the investment priorities and the relation between the
different projects, the
analysis criteria that
determine the including in the investment program of the new objectives, to the
detriment of the ones in progress;
b) the description of the program;
c) the physical stage of the objectives.
Methodological role of the Ministry of Public Finance
Art. 39. - The Ministry of Public Finance is authorized to establish
the contents, form and the information referring to the investments necessary
in the process of budget elaboration.
Approval of local public investment projects
Art. 40. - (1) The technical-economic documentation of the new
investment objectives, whose financing is ensured fully or in completion from
local budgets, as well as of those financed from internal and external loans,
contracted for directly or guaranteed by the local public administration
authorities, shall be approved by the local and county councils and by the
General Council of Bucharest Municipality, as the case may be.
(2) The technical-economic documentation of the new investment objectives,
that are financed from external loans and, in completion, from the transfers
from the state budget
and from other sources, as well as of those financed fully or in completion
from external loans contracted for or guaranteed by the state, irrespective of their value, shall be
submitted to the Government for approval.
(3) The technical-economic documentation for the investment meant
for the prevention or removal of the effects caused by accidental actions and
by
natural calamities,
elaborated and advised according to the legal provisions, as well as the
substantiation papers regarding the other investment expenditure contained in
the global position of Ňother investment expenditureÓ shall be approved by the
principal loan managers.
(4) The principal loan managers, on their own account, shall
update and approve the value of each investment objective, new or in progress,
irrespective of the financing sources or the competency for their approval,
according to the development of the price ratio. This operation shall be
subjected to the own preventive financial control.
Conditions for including investments in the draft budget
Art. 41. - (1) The investment objectives and the other expenditure
assimilated to investments shall be included in the annual investment program,
annex to the budget, only if, before that, the technical-economic
documentation, namely the substantiation papers regarding the need and the
opportunity of making the expenditure assimilated to investments, have been
elaborated and approved according to the legal provisions.
(2) The principal loan managers shall establish the priorities in
the distribution of the amounts per each objective included in the investment
program, within the limits of the funds contained in the draft budget for that
purpose, ensuring, at the same time, the implementation of the investment
objectives for the duration of the approved execution.
Structure of local public investment programs
Art. 42. - (1) In the investment programs, there are nominated the
investment objectives grouped on: further investments, new investments and the
global position of
Ňother investment expenditureÓ, per investment categories.
(2) The global position Ňother investment expenditureÓ shall
include the following categories of investments:
a) acquisitions of buildings;
b) independent endowments;
c) expenditure for the elaboration of prefeasibility studies, of
feasibility studies, designs and other studies related to the investment
objectives;
d) expertise expenditure, designing and execution regarding the
consolidations and the interventions for the prevention or removal of the
effects produced by
accidental actions and
natural calamities - earthquakes, flooding, landslips, land collapsing and
settling, fires, technical accidents, as well as the expenditure connected to
the carrying out of these investments;
e) drilling work, mapping of the terrain, photogrammetry, seismic
determination, consulting, technical assistance and other expenditure
assimilated to investments, according to law.
(3) The investment expenditure stipulated in paragraph (2) shall
be detailed in the distinct annex by the principal loan manager, on the basis
of substantiation notes, that should
include elements regarding the necessity, opportunity and other indicators characteristic
to such investments, and shall be approved by the local or county council and
by the General Council of Bucharest Municipality, as the case may be, at the
same time as the local budget. International agreements connected to local
public investments
Art. 43. - All the legal commitments from which results expenditure
for public investments and other expenditure assimilated to investments,
co-financed by
an international
institution, shall be made in accordance with the provisions of the financing agreement.
Monitoring of the investment projects by the principal loan
managers
Art. 44. - (1) In case during the budgetary execution, for objective
reasons, the implementation of an investment project cannot be carried out in
accordance with the budgetary forecast, the principal loan managers of the
local budgets may propose to the local or county councils and to the General
Council of Bucharest Municipality, as the case may be, until the date of
October 31, the approval for the redistribution of the funds among the projects
included in the investment program.
(2) The principal loan manager shall be responsible for the
efficient utilization of the funds allocated to investments, as well as for the
implementation of the investment objectives included in the investments
programs.
Section 4
Budgetary execution
Principles in budgetary execution
Art. 45. - (1) Through the budgets stipulated in art. 1(2), the income
and budgetary credits shall be included and approved in the structure of the
budgetary classification , as the case may be.
(2) The approved budgetary credits shall be authorized for the
duration of the budgetary year.
(3) The approved expenditure on personnel cannot be increased by
transfers of budgetary credits.
(4) The transfers of budgetary credits from one chapter to another
chapter of the budgetary classification and from one program to another shall
be approved by the local or county council and by the General Council of
Bucharest Municipality, as the case may be, on the basis of the corresponding
justifications of the principal loan managers, and can be made before incurring
the expenditure.
(5) The transfers of budgetary credits within the same budgetary
chapter, between the programs of the same chapter, inclusively that do not
contravene
to the provisions of
the present article, to the law on state budget or to the rectification law,
shall be within the competence of each principal loan manager, for the own
budget and the budgets of the subordinated institutions and public services,
and can be made before incurring the expenditure.
(6) The proposals of transfers of budgetary credits shall be
accompanied by justifications, details and demands regarding the execution,
until the end of the
budgetary year, of the
chapter and subdivision of the budgetary classification, as well as of the
program from which the budgetary provisions shall be taken off, and
of the chapter and
subdivision of the budgetary classification and of the program respectively, to
which the budgetary provisions shall be increased.
(7) The transfers of budgetary credits, under the terms of the
provisions of paragraphs (4) and (5), may be made starting from the 3rd quarter
of the
budgetary year.
Distribution per quarters of the budgetary income and expenditure
Art. 46. - (1) The income and expenditure approved in the budgets
stipulated in art. 1(2) shall be distributed per quarters, according to the
legal terms of cashing the income and to the period necessary for making the expenditure.
(2) The distribution per quarters of the budgetary income and
expenditure shall be approved by:
a) The Ministry of Public Finance, for the amounts deducted from
certain income of the state budget and for the transfers from that budget,
stipulated in art. 30 (1), on the basis of the proposals of the principal loan
managers of the local budgets, transmitted by the general directorates of
public finance, within 20 days of the date of publication of the law on the
state budget in the Official Gazette of Romania, Part 1. The amounts thus
approved shall be distributed per territorial-administrative units by the
general directorates of public finance;
b) The principal loan managers of the local budgets, for the
budgets stipulated in art.1 (2), within 15 days of the approval of the amounts
stipulated in point a).
(3) The distribution per quarters of the transfers stipulated in
art. 30(2) shall be communicated to the local public administration authorities
by the principal loan managers of the state budget or of other budgets, within
10 days of the approval by the Ministry of Public Finance of the distribution
per quarters of the budgetary credits of those budgets. Granting of budgetary
credits
Art. 47. - (1) The budgetary credits approved through the local
budgets may be used by granting credits made by the principal loan managers,
within the limits of the approved amounts, according to the destination
established and with the observance of the legal provisions that regulate the
making of the respective expenditure.
(2) The granting of budgetary credits for the transfers from the
state budgets or from other budgets to the local budgets, within the limits
stipulated in the respective budgets, shall be made by the Ministry of Public
Finance, for those stipulated in art. 30 (1), through the general directorates
of public finance, at the request of the principal loan managers of local
budgets, according to the demands of budgetary execution, with the observance
of the destination, or by the other principal loan managers, for the transfers
stipulated in art. 30 (2).
(3) The making of the budgetary expenditure shall be made only on
the basis of justifying documents, that should confirm the contractual
commitments or
those in the
conventions, the receipt of material goods, the provision of services, the
execution of works, the payment of salaries and of other money rights, the
payment of the budgetary obligations, as well as of other obligations.
Transfer of duties to the local public administration authorities
Art. 48. - (1) If, during the budgetary year, on the basis of the
legal provisions, institutions, actions or duties pass into the financing by
the local public
administration
authorities, the Ministry of Public Finance shall be authorized to introduce
the corresponding modifications in the volume and the structure of the state
budget, without harming the balance in the budget.
(2) The local and county councils, and the General Council of
Bucharest Municipality, as the case may be, shall approve the modifications
made according
to paragraph (1) in
the structure of the own budgets and those of the subordinated public
institutions, respectively.
Non-reimbursable external funds
Art. 49. - (1) The budgetary credits related to the non-reimbursable
external funds shall have a predictable character and shall be carried on in accordance
with the agreements concluded with the external partners.
(2) The non-reimbursable external funds shall be cashed in a
distinct account outside the local budget and shall be spent only within the
limits of the existing available funds in this account and for the purpose for
which they were granted.
Budgetary execution
Art. 50. - (1) In the process of budgetary execution the budgetary
expenditure cover the following stages: undertaking, liquidation, order to pay,
payment.
(2) The budgetary execution in towns, municipalities, sectors of
Bucharest Municipality, counties and Bucharest Municipality shall be based on
the principle of separating the duties of the persons that are loan managers
from the duties of the persons that are accountants.
(3) The specific operations for the commitment, liquidation and
ordering of expenditure shall be within the competence of the loan managers and
shall be carried out on the basis of the advice of the specialty departments of
the public institutions.
(4) The payment of the expenditure shall be provided by the head
of the financial-accounting department within the limits of the available
funds.
(5) The instruments of payment must be accompanied by the
justifying documents. These documents must certify the accuracy of the amounts
to be paid, the receipt of the goods and the carrying out of the services and
others similar, according to the legal agreements concluded. The accountant and
the head of the financial-accounting department shall sign the instruments of
payment.
(6) The making of the payments, within the limits of the approved
budgetary credits, shall be done only on the basis of justifying documents,
drawn up
in accordance with the
legal provisions, and only after they
had been undertaken, liquidated and ordered.
(7) The payment of the expenditure in communes and public
institutions in which the financialaccounting department has less than 5
persons shall be achieved by the loan managers and by the person authorized
with financial-accounting duties, but with the observance of the methodological
norms regarding the organization, record and reporting of the budgetary and
legal agreements.
(8) For certain categories of expenditure advance payments of up
to 30% may be made, under the terms of the legal provisions.
(9) The amounts representing advance payments, made according to
paragraph (8) and unjustified by delivery of goods, works executed and services
provided, until the end of the year, under the terms of the contractual
provisions, shall be recovered by the public institutions that granted the
advance and shall be returned to the budget from which they were advanced.
(10) In the case of non-delivery of goods, not carrying out of the
works and services undertaken for which advance payments were made, the recovery
of
the amounts by the
public institution shall be made by charging the interest and penalties for
delay at the level of those existing for the budgetary income, calculated for
the period since they had been granted and until they were recovered.
(11) The cases expressly regulated by legal provisions are an
exception to the provisions of paragraph (9).
Payment of salaries
Art. 51. - (1) The salaries in public institutions to which are
applied the provisions of the present emergency ordinance shall be paid once a
month, during the period 5 - 15 of each month, for the preceding month.
(2) The scheduling of the payments per days, for the principal
loan managers and the institutions and public services in their subordination,
shall be made
by the general directorate
of public finance, upon the proposal of the principal loan managers.
(3) For the principal loan managers and the institutions and
public services in their subordination, where the salaries are paid twice a
month, the applying of the provisions of paragraphs (1) and (2) shall be made
starting from the month of January 2005.
Regime of unutilized budgetary credits by the loan managers
Art. 52. - (1) The principal loan managers have the obligation to
analyze monthly the need to maintain certain budgetary credits for which, on
the basis of certain legal provisions or for other reasons, the duties were
cancelled or postponed, and to propose to the local and county councils and to
the General Council of Bucharest Municipality, as the case may be, the cancellation
of the respective credits.
(2) For the last month of the budgetary year, the time limit for
applying the provisions of paragraph (1) is December 10.
(3) The budgetary reserve fund at the disposal of the local or
county council, or of the General Council of Bucharest Municipality, as the
case may be, shall be increased with the budgetary credits cancelled under the
terms of paragraph (1). The annual execution account
Art. 53. - (1) The principal loan managers shall draw up and submit
for approval to the local or county council and to the General Council Of
Bucharest Municipality, as the case may be, until the date of May 31 of the
following year, the annual execution accounts of the budgets stipulated in art.
1
(2), in the following structure:
a) for income: the initial budgetary provisions; the final
budgetary provisions; the collection made;
b) for expenditure: the initial budgetary credits; the final
budgetary credits; payments made.
(2) Quarterly, and annually, the principal loan managers shall draw
up financial situations on the budgetary execution, which shall be submitted to
the general directorates of public finance; after verification, these loan
managers shall draw up and submit to the Ministry of Public Finance centralized
financial situations regarding the
execution of the budgets stipulated in art. 1 (2), at the terms and according
to the norms established by this.
(3) The principal loan managers are obliged to draw up and annex
to the annual financial situations annual performance reports, in which to
present, per each program, the objectives, the estimated and the achieved
results, the ratios and the associated costs, as well as situations regarding
the legal commitments.
(4) The annual financial situations, including annexes, shall be submitted
for approval by the principal loan managers to the local or county councils and
to the General Council of Bucharest Municipality, as the case may be. The
budget surplus or deficit
Art. 54. - (1) The annual surplus of the local budget, resulting at
the closing of the budgetary year, after making the equalization within the
limits of the deducted amounts from certain income of the state budget
stipulated in art. 6 point a), and of those excepted in point b), as well as
within the limits of the fundable transfers from the state budget or from other
budgets, shall be utilized, in order, for:
a) the reimbursement of the potential problem loans; payment of
interest, commissions, expenses and of other related costs;
b) the setting-up of the working capital.
(2) The available funds of the working fund shall bear interest,
shall be kept in a distinct account, opened for each territorial-administrative
unit, with the territorial units of the state treasury, outside the local
budget, and may be utilized, temporarily, for covering the cash deficit
deriving from discrepancies between the income and expenditure of the current
year, as well as for the definitive covering of the potential budgetary deficit
resulting at the end of the budgetary year.
(3) The working fund may also be utilized for the financing of
certain investments within the competence of the local public administration
authorities or for the development of the local public services in the interest
of the community.
(4) The utilization of the working fund under the terms of
paragraphs (2) and (3) and its execution account shall be approved by the local
or county council and by the General Council of Bucharest Municipality, as the
case may be, outside the local budget.
Cash execution of the local budget
Art. 55. - (1) The cash execution of the budgets stipulated in art. 1
(2) shall be made through the territorial units of the state treasury, being
posted in
distinct accounts:
a) the budgetary income collected per structure of budgetary
classification;
b) the making of the payments ordered by the authorized persons of
the public institutions, within the limits of the budgetary credits and of the
purposes approved according to the legal provisions;
c) the making of the collection and payments regarding the
internal and external public debt resulting from the loans contracted or
guaranteed by the state, as well as those contracted or guaranteed by the local
public administration authorities, including those regarding the reimbursement
of the installments on due date and the payment of the interest, commissions,
expenses and other related costs;
d) the making of other financial operations on the account of the
local public administration authorities;
e) the keeping of the available funds representing non-reimbursable
external funds or their equivalent value in lei, received on the basis of
government agreements and understandings and from international bodies, and
their utilization according to the approved budgets;
f) other financial operations stipulated by law.
(2) For the contracted loans, others than those from the available
funds of the general current account of the state treasury, the local public
administration
authorities may open
accounts with commercial banking societies, in view of their carrying on.
(3) During the execution, the allocation of the amounts deducted
from certain revenues of the state budget shall be made monthly by the general
directorates of public finance, on the basis of the substantiation submitted by
the principal loan managers.
Principles of closing the budgetary execution
Art. 56. - (1) The budgetary execution shall close on the date of
December 31 of each year.
(2) Any income non-collected and any expenditure undertaken,
liquidated and ordered, within the budgetary provisions, and unpaid until the
date of December 31 shall be cashed or paid, as the case may be, on the account
of the budget for the next year.
(3) The budgetary credits unutilized until the closing of the year
shall be cancelled by right.
(4) The available funds from the non-reimbursable external loans
and those from the public funds meant for the co-financing of the financial
contribution of the European Community, remained at the end of the budgetary
year in the accounts of
the implementation
structures, shall be carried
forward to the next
year with the same purpose.
(5) The funds provided for in paragraph (4) shall be utilized
under the terms of the present emergency ordinance and in accordance with the
agreements concluded with the external partners.
CHAPTER IV
Loans
Approval of loans
Art. 57. - (1) The local and county councils and the General Council
of Bucharest Municipality, as the case may be, may approve the contracting or
the
guaranteeing of
internal and external loans, on short, medium and long term, for the
achievement of public investments of
local interest, as well as for the re-financing of the local public debt.
(2) The local and county councils and the General Council of
Bucharest Municipality, as the case may be, shall decide, upon the proposal of
the principal
loan manager, the
contracting or the guaranteeing of loans, with the vote of at least two thirds
of the number of members they are made of.
(3) The local and county councils and the General Council of
Bucharest Municipality, as the case may be, may approve the commitment of
internal loans
without state
guarantee, on condition to inform first the Ministry of Public Finance.
(4) The external loans shall be contracted directly and shall be
guaranteed by the local public administration authorities only with the advice
of the committee authorizing of these loans, the composition and functioning of
which shall be approved by decision of the Government.
(5) The local public administration authorities may also benefit
from external loans contracted or guaranteed by the state, under the terms of
the law.
Local public debt
Art. 58. - (1) The local public debt represents a general obligation
that must be reimbursed, according to the agreements concluded, from the own
income of the territorial-administrative unit, stipulated in art.5 (1) a).
(2) The instruments of the local public debt are:
a) securities;
b) loans from the commercial banking societies or from other
credit institutions.
(3) The issuing and launching of securities of value may be done
directly by the local public administration authorities or through certain
agencies or other specialized institutions.
(4) The total value of the debt contracted by the local public
administration authority shall be recorded in the register of the local public
debt of that authority and shall be reported annually through the financial
statements.
(5) The register of the local public debt shall include
information that should specify the total amount of the local public
administration authoritiesŐ debts, as well the itemization of the debts and
other information established through methodological norms regarding the
register of the local public debt, issued by the Ministry of Public Finance.
(6) The total value of the guarantees issued by the local public administration
authority shall be recorded in the register of local guarantees of that
authority and shall be reported annually through the financial statements.
(7) The register of the local guarantees shall include information
that should specify the total amount of the guarantees issued by the local
public administration authority, as well as the itemization of the guarantees
and other information established through methodological norms regarding the
register of the local guarantees, issued by the Ministry of Public Finance.
(8) After the contracting and/or the guaranteeing of internal
and/or external loans, the local public administration authorities are obliged
to transmit to the Ministry of Public Finance, within 10 days of the coming
into force of the respective contract, copies from each primary document that
is attesting, as the case may be:
a) the contracting/guaranteeing of the loan;
b) the additional document to the contract/agreement of
loan/guaranteeing, if changes have been made to this, with the observance of
the contractual clauses.
(9) For the period of the utilization and reimbursement of the contracted/guaranteed
loan, the reporting to the Ministry of Public Finance of the data regarding the local public debt shall be
made monthly, within 20 days of the end of the reporting period.
(10) For the purpose of evaluation of the local public debt, any
payment obligation, expressed in other currency than the national one, shall be
calculated in the national currency, utilizing the exchange rate communicated
by the National Bank of Romania for the last day of the period for which the
reporting is made.
(11) The service of the local public debt does not represent
obligations or responsibilities of the Government and it shall be paid from the
local budget and from loans for the re-financing of the local public debt.
Conditions for contracting or guaranteeing loans
Art. 59. - (1) The loans contracted by the territorial-administrative
units, as well as those contracted by the companies and the public services in
their subordination may be guaranteed by them through their own income
stipulated in art. 5 (1) a). (2) Any guaranteeing through income shall become
valid and shall apply from the moment of granting the guarantee; the income
that becomes a guarantee and that is collected to the local budget shall be
subjected to the conditions of the respective guarantee agreement, which shall
have priority over any claims by third parties to the local public
administration authority, irrespective of whether
these third parties
are acquainted or not with the guarantee agreement.
(3) The document by which the guarantee agreement through income
is concluded must be registered with the local public administration
authorities and with the lender.
(4) The local public administration authorities are forbidden the
access to loans or to guarantee any kind of loan, if the total annual debts
representing due installments to the contracted and/or guaranteed loans, the
interest and commissions related to them, including those of the loan to be
contracted and/or guaranteed in that respective year, exceeds the limit of 20%
of the total income stipulated in art. 5 (1) a), except for the cases approved
by special laws.
(5) The conditions in paragraph (4) shall also apply to the annual
debts deriving from the loans contracted and/or guaranteed by the state for the
local public administration authorities.
(6) For the purpose of calculating this limit, to the loans
contracted and/or guaranteed, with a variable rate of interest, the calculation
shall be made by using the rate of interest valid on the date of drawing up the
documentation.
(7) For the purpose of calculating this limit, the loans granted
in foreign currency shall be taken into account at the value of the currency
rate of exchange communicated by the National Bank of Romania on the date of
making the calculation.
(8) The due installments related to the loans, the interest and
the commissions owed by the territorialadministrative units shall be provided
for in the local budget or, as the case may be, new loans may be contracted for the payment of the due
installments, under the terms of the provisions of the present emergency
ordinance.
(9) All the loan or guarantee agreements concluded in accordance
with the provisions of the present emergency ordinance shall be considered as
being fully authorized and shall be considered as obligations that may be
imposed to the respective local budgets.
The risk fund
Art. 60. - (1) To cover the financial risks deriving from the guaranteeing
by the local public administration authorities of the loans contracted by the
companies and the local public services, a risk fund shall be constituted,
outside the local budget.
(2) The risk fund shall be kept in separate accounts opened with
the territorial units of the state treasury and shall be distinctly constituted
for local guarantees to internal loans and for guarantees to external loans,
respectively.
(3) The risk fund shall be constituted from: the amounts received
as commissions from the beneficiaries of guaranteed loans; the interest granted
by the units of the state treasury for the fund reserves; interest and late
payment penalties at the level of those for the budgetary income, applied for
the non-payment on time by the beneficiaries of the commissions to the
guaranteed loans and of the due installments, interest and related commissions,
respectively, and, in completion, from the local budget. In case payments are
made from the risk fund, related to certain financial commitments unpaid by the
guarantee, the income of the risk fund shall be completed with the amounts
recovered from it.
(4) The level of the risk commission shall be determined by the
principal loan manager and shall be approved by the local or county council and
by
the General Council of
Bucharest Municipality, as the case may be. This commission shall be applied to
the value of the guaranteed loan.
(5) The amounts found in the risk fund at the end of the year
shall be equalized with the local budget within the limits of the amounts
received from that budget, and the balance shall be carried forward in the next
year with the same purpose. The execution account of the risk fund shall be
annexed to the financial statements.
Loans from the general current account of the state treasury
Art. 61. - (1) If, during the execution, temporary cash deficits occur as
a result of the gap between the income and expenditure in the local budget,
these
may be covered by
loans without interest granted by the Ministry of Public Finance from the
available funds of the general current account of the state treasury, only
after the utilization of the working capital.
(2) The total value of the loan that may be committed by the local
public administration authorities in accordance with the provisions of
paragraph (1) shall be subjected to the following limits:
a) it shall not exceed 5% of the total income estimated to be
collected during the budgetary year in which the loan is made;
b) under the provisions of point a), the local public
administration authorities cannot commit new loans bigger than the funds they
can reimburse during the same budgetary year.
(3) The reimbursement of the loaned funds according to the
provisions of the present article shall be guaranteed with the income estimated
to be collected during the respective budgetary year, under the conditions of
observing the guaranteeing, through income, of the other local public debts.
(4) In case the loan stipulated in paragraph (1) was not returned
by December 31, the general directorates of public finance shall be authorized
to execute the account of the territorial-administrative unit involved.
Exceptional verifications
Art. 62. - (1) The activity of the local public administration
authorities shall be submitted to an exceptional verification by the Court of
Audit, in accordance with the provisions of the present article, in the
following circumstances:
a) the local public administration authority shall not reimburse
all its short term payment obligations until the end of the budgetary year in
which the loans were committed;
b) if, at a certain moment during the budgetary year, the short
term debts of the local public administration authority exceed the limit
established in art. 61 (2) a).
(2) The Court of Audit shall ask the local public administration
authorities that are in one of the cases specified in paragraph (1) to draw up
and submit a recovery plan to the Court of Audit and to the general directorate
of public finance, by which these undertake to observe the provisions of art.
61 (2) within 12 months.
(3) The Ministry of Public Finance may grant, from the available
funds in the general current account of the state treasury, loans with interest
to the local public administration authorities, within the recovery plan, with
the observance of the provisions of art. 59 (4) and provided that these should
undertake the reimbursement of these
funds within a term established by the Ministry of Public Finance, but which
cannot exceed 2 years.
(4) The local public administration authorities shall report
monthly to the Court of Audit and to the general directorate of public finance
the mode of carrying out of the measures contained in the recovery plan stipulated in paragraph (2).
CHAPTER V
The financing of public institutions
The financing of public institutions
Art. 63. - (1) The financing of current expenditure and of capital
expenses of public institutions shall be ensured as follows:
a) in full from the local budget;
b) from their own income and subsidies granted from the local
budget;
c) in full from their own income.
(2) the public institutions fully financed from the local budget
shall pay the income achieved into this budget.
The income of public institutions
Art. 64. - (1) The income of public institutions, financed under the
conditions of art. 63 (1) b) and c), shall be collected, administered, utilized
and posted by these, according to the legal provisions.
(2) The income of the public institutionsŐ budgets, financed
according to art. 63 (1) b) and c), come from the provision of services, rents,
cultural and sports events, artistic competitions, publications, publishing
services, studies, projects, capitalization on products from their own or
related activities and others.
Material goods and cash funds received by public institutions
Art. 65. - (1) The public institutions may also use for their activity
material goods and cash funds received from legal and natural persons as
donations and sponsoring, with the observance of the legal provisions.
(2) The cash funds granted by the legal and natural persons,
received under the conditions of paragraph (1), in the case of public
institutions, fully financed from the budget, shall be paid directly to the
local budget from which they are financed. The income and the expenditure of
the local budget shall be increased with these amounts, and the funds shall be
utilized with the observance of the purposes established by the sender.
(3) In case of public institutions financed according to the
provisions of art. 63 (1) b) and c), the income and expenditure budgets shall
be increased with the cash funds granted by the legal and natural persons under
the conditions of paragraph (1). These institutions shall have the obligation
to present in the annex to the quarterly and annual budgetary execution account,
the position regarding the amounts received and utilized under these conditions
and with which the income and expenditure budgets were increased.
(4) The material goods received by the public institutions under
the terms of paragraph (1) shall be registered in their account books.
The budget surpluses of public institutions
Art. 66. - (1) The surpluses resulting from the budgetary execution of
the public institutions, financed under the terms of art. 63 (1) b), shall be
regularized at the end of the year with the local budgets from which they are
financed, within the limits received from these, unless the law provides
otherwise.
(2) The surpluses resulting from the execution of the budgets of
the public institutions, fully financed from their own income, shall remain at
their disposal, to be used in the following year with the same purpose.
(3) The local or county councils, and the General Council of
Bucharest Municipality, as the case may be, may decide for the surpluses
resulting from the execution of the
budgets of the subordinated public institutions, fully financed from their own
income, to be taken over as income to the local budget, after deducting the
amounts collected in anticipation and the payment obligations.
Financing regime of certain activities of the public institutions
Art. 67. - (1) The local or county councils, and the General Council
of Bucharest Municipality, as the case may be, may approve the setting-up of
activities fully financed from their own income, attached to certain public
institutions, financed according to art. 63 (1) a), establishing at the same
time the field of activity, the categories of income, the nature of the
expenditure, the organization and functioning system of such activities.
(2) The budgets of income and expenditure for the activities fully
financed from their own income shall be approved at the same time as the budget
of the public institutions they belong to.
(3) In case of not making the income provided for in the budgets
of the activities fully financed from their own income, the expenditure shall
be made within the limits of the income made.
(4) The surpluses resulting from the execution of the budgets of
income and expenditure of the activities fully financed from their own income
shall be carried forward to the next year with the same purpose or shall be
taken over as income to the local budget, according to the decision of the
local or county council and of the General Council of Bucharest Municipality,
as the case may be.
Temporary loans for certain activities or public institutions
Art. 68. - (1) In case of the setting-up of certain institutions and
public services or of certain activities fully financed from their own income,
in the subordination of certain
principal loan managers, these do not have sufficient funds, on the basis of
the thoroughly substantiated documentation,
the local or county councils and the General Council of Bucharest
Municipality, as the case may be, may approve interest free loans from the
local budget, on the basis of an agreement.
(2) The loans granted under the terms of paragraph (1) shall be
fully reimbursed within one year of the date of granting.
(3) In case of non-reimbursement of the loans on the established
time, interest and late payment penalties shall be charged at the level of
those existing for budgetary debts, according to law.
The cash execution of the budgets of public institutions
Art. 69. - (1) The public institutions and services, irrespective of
the financing system and subordination, including the activities attached to
certain public institutions, fully financed from their own income, shall make
the operations of cash receipts and payments through the territorial units of
the state treasury within the radius of which they have their headquarters and where
they have the income, expenditure and availability accounts.
(2) The public institutions are obliged to transmit the budget
approved according to the provisions of the present emergency ordinance to the
territorial unit of the state treasury.
CHAPTER VI
Sanctions
Offences and sanctions
Art. 70. - The following deeds shall constitute offences and shall be
sanctioned with imprisonment from one to three months or with fine from 50
million to 100 million
lei:
a) the non-observance of the provisions of art. (4) paragraphs (2) and (3);
b) the utilization of the funds deriving from the contracting of
the local public debt, for other
purposes than those for which they were approved;
c) the supplying of false data for the substantiation of the
documentation submitted, in view of obtaining the authorization for the
contracting/guaranteeing of external loans.
Contraventions and sanctions
Art. 71. - (1) The following deeds constitute contravention:
a) the non-observance of the provisions of art. 9(2), art. 14 (3)
and (4), art. 15 (2), art. 36, art. 40, art. 41, art. 53 and art. 65 (2) and
(4);
b) the non-observance of the provisions of art. 5 (2)-(4), art. 20
(3), art. 22 (4), art. 45 (3)-(5) art. (7), art. 47 (1), art. 50 (2)-(6) and
(9), art. 51 (1), art.52 (1), art. 57 (4), art. 58 (8) and (9), art. 66 (1) and
art. 68 (2);
c) the non-observance of the provisions of art. 4 (4) and (6),
art. 14 (1), art. 19, art. 26 (3), art. 34, art. 35 (2)-(6) and art. 59.
(2) The contravention stipulated in paragraph (1)
a) shall be sanctioned with fine from 5 million lei to 10 million
lei, those in point b) with fine from 10 million lei to 20 million lei, and
those in point c),
with fine from 20
million lei to 30 million lei.
(3) The establishing of the contravention and the applying of the
fines shall be made by the Court of Audit, the Ministry of Public Finance and
by other
persons authorized in
this respect, according to law.
Legislation applied to contravention
Art. 72. - The contraventions stipulated in art. 71 shall be applied
the provisions of Government Ordinance No. 2/2001 on the legal regime of
contraventions, approved with modifications and completions by Law No.
180/2002, with subsequent modifications, except for arts. 28 and 29 in the
ordinance.
CHAPTER VII
Final provisions
Public accountancy
Art. 73. - (1) The public accountancy of the public institutions,
defined according to the present emergency ordinance, shall comprise:
a) the accountancy of the budgetary income and expenditure, that
should reflect the collection of the income and the payment of the expenditure
related
to the budgetary year;
b) the general accountancy based on the principle of establishing
the rights and obligations, that should reflect the evolution of the financial
and patrimonial status, as well as of the patrimonial surplus or deficit;
c) the accountancy meant for the analysis of the approved costs of
the programs.
(2) The Ministry of Public Finance shall establish through
methodological norms the accounting procedures and system of reporting
regarding the information supplied by the public accountancy.
Regime of the budget income stipulated in art. 1 (2)
Art. 74. - The drawing up and the submitting of the declarations, the
redemption of the budgetary obligations, the solving of the contestations, the
fiscal control, the execution of the budgetary debts, as well as those
referring to fiscal dodging shall comply with the legislation in the field.
Allocation of amounts from the budgetary and intervention funds at
the disposal of the Government
Art. 75. - With the amounts approved on the basis of decision of the
Government, from the budgetary reserve and intervention funds at the disposal
of the Government, the local budgets shall be increased by mayors, presidents
of the county councils and the mayor general of Bucharest Municipality, as the
case may be, the respective modifications to be validated in the first sitting
of the local or county council and of the General Council of Bucharest
Municipality, respectively.
Availability of the treasury fund and of the income with special
purposes
Art. 76. - (1) The availability of the treasury fund constituted at
the level of the county councils and of the General Council of Bucharest
Municipality, as
the case may be, shall
be transferred to the account of their working capital.
(2) The available funds on December 31, 2003, out of the income
with special purpose shall be transferred to the account of the working capital
constituted at the level of each territorialadministrative unit.
(3) The amounts related to the special deposits constituted for
housing, according to law, shall be kept in a distinct account, opened for
the territorialadministrative units
with the state treasury units, outside the local budgets, and the execution
account shall be approved by the local or county council, or
by the General Council
of Bucharest Municipality, as the case may be.
Annexes
Art. 77. - Annexes 1 and 2 are an integral part of the present
emergency ordinance.
Methodological norms and instructions
Art. 78. - In applying the provisions of the present emergency
ordinance the Ministry of Public Finance is authorized to issue methodological
norms and instructions.
Coming into force
Art. 79. - (1) The present emergency ordinance shall come into force
on the date of January 1, 2004, except for the provisions of art. 59, which
shall come into force on the date of its publishing in the Official Gazette of
Romania, Part I.
(2) On the date of coming into force of the present emergency
ordinance, Law No. 189/1998 on local public finance, published in the Official
Gazette of Romania, Part I, No. 404 of October 22, 1998, with the subsequent
modifications and completions, and any other provisions to the contrary shall
be repealed.
of taxes, fees and of other income of local budgets
No. Denomination of
income
CHAPTER I
Income provided for in the own budgets of the counties
A. OWN INCOME
1. Profit tax from the autonomous r.gies and from the trading
companies under the authority of the county councils
2. Taxes and fees from the population:
- Fees on the means of transport held by natural persons
3. Other direct taxes:
a) Fee on the means of transport held by legal persons
b) Other collections from direct taxes
4. Other indirect taxes:
- Fees and tariffs for the issuing of functioning licenses and
authorizations
5. Payments from the net profit of the autonomous r.gies under the
authority of the county councils
6. Payments from public institutions:
a) Income from collecting the equivalent value of the works for
disease and pest control in the vegetal sector - public services for the
protection of plants
b) Other income from public institutions
7. Various income:
a) Income from the recuperation of judging expenditure, charges
and compensations
b) Income from penalties and other sanctions applied, according to
legal provisions
c) Returns of funds from the local budgetary funds of previous
years
d) Tax on the income from licensing the goods of the trading
companies or from the national companies in which the state is a major
shareholder, as well as from autonomous r.gies
e) Income from licensing and renting
f) Collection from the turning to account of confiscated goods,
according to law
g) Income from renting and licensing of hospital goods
h) Collection from other sources
8. Income from the turning to account of certain goods:
a) Income from the turning to account of certain goods of public
institutions
b) Income from privatization
c) Income from the sale of certain hospital goods
d) Income from the sale of certain goods belonging to the private
domain
9. Deducted quotas from the income tax
B. DEDUCTED AMOUNTS FROM CERTAIN INCOME OF THE STATE BUDGET
C. SUBSIDIES RECEIVED FROM THE STATE BUDGET AND FROM OTHER BUDGETS
D. DONATIONS AND SPONSORSHIP
CHAPTER II
Income provided for in the own budgets of the communes,
towns, municipalities, sectors of Bucharest Municipality
and of the General Council of Bucharest Municipality
A. OWN INCOME
1. Profit tax from the autonomous r.gies and from the trading companies under the authority of the local councils
2. Taxes and fees from the population:
a) Tax on buildings from natural persons
b) Fees on the means of transport held by natural persons
c) Tax on land from natural persons
d) Other taxes and fees from the population
3. Fee for the use of state property land
4. Tax on buildings and land from legal persons
a) tax on buildings from legal persons
b) tax on land from legal persons
5. Other direct taxes:
a) Fee on the means of transport held by the legal persons
b) Tax on agricultural land
c) Other collections from direct taxes
6. Tax on entertainment
7. Other indirect taxes:
a) Taxes and fees for the issuing of functioning licenses and
authorizations
b) Judicial stamp fees
c) Stamp fees for notary public activity
d) Extra-judicial stamp fees
e) Other collections from indirect taxes
8. Payments from the net profit of the autonomous r.gies under the
authority of the local councils
9. Payments from public institutions:
a) Other income from traffic on public roads
b) Income from collecting the equivalent value of pest control in
the vegetal sector - public services of plants protection*
c) Income from artificial insemination centers
d) Income of sanitary-veterinary centers
e) Monthly contribution of parents or legal tutors for keeping the
children in crches
f) Payments from available funds of public institutions and
self-financed activities
g) Contributions owed by the persons beneficiaries of the services
of social assistance canteens
h) Fees from cadastre activities and agriculture
i) Other income from public institutions
10. Various income:
a) Income from the recovering of judging expenditure, charges and
compensations
b) Income from penalties and other sanctions applied, according to
the legal provisions
c) Returns of funds from the local budgetary financing of previous
years
d) Tax on the income from the licensing of the goods of the
trading companies or of the national companies in which the state is a major
shareholder, as well as of the autonomous r.gies
e) Income from licensing and renting
f) Penalties for non-submitting or submitting with delay of the
taxes and fees statement
g) Collection from the turning to account of confiscated goods,
according to law
h) Income achieved from the administration or turning to account
of the goods of the former agricultural cooperatives
i) Income from the renting and licensing of certain hospital goods
j) Collection from other sources
11. Income from the turning to account of certain goods:
a) Income from the turning to account of certain goods of public
institutions
b) Income from the sale of dwellings built from state funds
c) Income from privatization
d) Income from the sale of certain hospital goods
e) Income from the sale of certain goods belonging to private
domain
12. Deducted quotas from the income tax
B. DEDUCTED QUOTAS FROM CERTAIN INCOME OF THE STATE BUDGET
C. SUBSIDIES RECEIVED FROM THE STATE BUDGET AND FROM OTHER BUDGETS
D. DONATIONS AND SPONSORSHIP
NOTE:
The list of the local taxes, fees and of other income of the local budgets may be updated as a result of the perfecting of the fiscal legislation, as well as through the annual budgetary laws, in accordance with the programs of increasing the financial autonomy of the territorial-administrative units and of decentralization of the public services.
* For the General
Council of Bucharest Municipality
L I S T
of income provided for in local budgets
No. Denomination of
expenditure
CHAPTER I
Expenditure provided for in the own budgets of the counties
1. Executive authorities
2. Education:
a) Elementary and lower secondary education
b) Special education
3. Health:
- Other institutions and sanitary actions
4. Culture, religion and actions regarding the sports and youth
activity
a) Public county libraries
b) Museums
c) Theaters and professional institutions for shows and concerts
d) Popular art schools
e) Conservation and tradition and popular creation development
centers
f) Religious cults
g) Sports activity
h) Other institutions and actions regarding culture, religion and
sports, and youth activity
5. Social assistance, allowances, pensions, assistance and
indemnities
a) Social assistance in case of disablement
b) Supporting the protection system of childŐs rights
c) Specialized public services for childŐs protection
d) Rights of the personal assistant for children and adult with
severe disablement
e) Other actions regarding social assistance, allowances,
pensions, assistance and indemnities
6. Public services and development, and dwellings:
a) Water supply, filtering stations for used waters, sewers,
pumping stations
b) Networks, heating stations and thermal units
c) Sewage
d) Hydro-technical developments of local interest, within the
built-up area
e) Other actions regarding services, public development and
dwellings
7. Agriculture and forestry:
a) Disease and pest control in the vegetal sector - public
services for plants protection
b) County and local centers of agricultural consulting
8. Transport and communications:
a) Civil aviation
b) Roads and bridges
c) Other expenditure in the field of transport and communications
9. Other economic actions:
a) Preventing and fighting floods and ice
b) Supporting the programs of regional development
10. Other actions:
a) Military centers
b) Civil protection
c) Other expenditure
11. Fund for guaranteeing external loans, related interest and commissions:
a) Fund for guaranteeing external loans, related interest and
commissions contracted/guaranteed by the state
b) Fund for the guaranteeing of external loans, related interest
and commissions contracted/guaranteed by the local public administration
authorities
12. Interest related to public debt and other expenditure:
a) Interest related to internal local public debt
b) Interest related to external local public debt
c) Expenditure occasioned by the issuing and placing of securities
under the terms of the law
d) Differences of rate related to external local public debt 13.
Interest payments:
a) Interest owed to the state treasury within the recovery plan
b) Interest and commissions to external loans contracted by the
state
14. Reimbursements of loans:
a) Reimbursement of loans granted from state treasury
b) Reimbursement of internal loans for investments
c) Reimbursement of external loans for investments
d) Reimbursement of external loans contracted by the state
15. Fund of budgetary reserve:
-
Fund of budgetary reserve at the disposal of county councils
CHAPTER II
Expenditure provided for in the own budgets of communes,
towns, municipalities, Bucharest Municipality sectors
and of the General Council of Bucharest Municipality
1. Executive authorities
2. Education:
a) Pre-school education
b) Elementary and lower secondary education
c) Upper secondary education
d) Vocational education
e) Post-baccalaur.at education
f) Special education*
g) Boarding schools, hostels and canteens for school children
(allowances from local budgets to supplement the own income)
3. Health:
a) Crches
b) Other sanitary institutions and actions
4. Culture, religion and actions regarding the sports and youth
activity:
a) Communal, town, municipal public libraries
b) Museums
c) Theaters and professional institutions for shows and concerts
d) Popular art schools
e) Community arts centers
f) Youth clubs
g) Religious cults
h) Sports activity
i) Youth activity
j) Other institutions and actions regarding culture, religion,
sports and youth activity
5. Social assistance, allowances, assistance and indemnities:
a) Care and assistance centers allocations
b) Recuperation and rehabilitation pilot-centers for disabled
minors
c) Recuperation and rehabilitation centers for disabled minors
d) Centers of integration through occupational therapy
e) Neuropsychiatric recuperation and rehabilitation centers
f) Social assistance canteens
g) Social assistance
h) Supporting the protection system of childŐs rights
i) Specialized public services for childŐs protection**
j) Homes for old people
k) Rights of the personal assistant for children and adults with
severe disablement
l) Other actions regarding social assistance, allowances, pensions, assistance and indemnities
6. Public services and development, and dwellings:
a) Streets maintenance and repair
b) Lighting
c) Sanitation
d) Maintenance of public gardens, parks, green areas, sports and
entertainment centers
e) Dwellings
f) Water supply, filtering stations for used waters, sewers,
pumping stations
g) Networks, heating stations and thermal units
h) Sewage
i) Hydro-technical developments of local interest, within the
built-up area
j) Introducing natural gas in localities
k) Rural electrification
l) Other actions regarding public services, development and
dwellings
7. Agriculture and forestry:
a) Disease and pest control in vegetal sector public services of
plants protection*
b) Centers of artificial insemination
c) Sanitary-veterinary districts (excluding epizootic)
d) County and local centers of agricultural consulting
8. Transport and communications:
a) Roads and bridges
b) Public transport
c) Other expenditure in the field of transport and communications
9. Other economic actions:
a) Prevention and fighting floods and ice
b) Supporting the programs of regional development
c) Other expenditure for economic actions
10. Other actions:
a) Military centers
b) Civil Protection
c) Romanian Social Development Fund
d) Other expenditure
11. Fund for guaranteeing external loans, related interest and
commissions:
a) Fund for guaranteeing external loans, related interest and
commissions contracted/guaranteed by the state
b) Fund for guaranteeing external loans, related interest and
commissions contracted/guaranteed by the local public administration
authorities
12. Transfers to other budgets:
- Transfers from local budgets for the upholding of the child
protection system
13. Interest related to public debt and other expenditure:
a) Interest related to internal local public debt
b) Interest related to external local public debt
c) Expenditure occasioned by the issuing and placing of securities
under the terms of the law
d) Difference in the rate of exchange related to external local
public debt
14. Interest payments:
a) Interest owed to state treasury within the recovery plan
b) Interest and commissions to external loans contracted by the
state
15. Reimbursements of loans granted:
a) Reimbursement of loans granted by state treasury
b) Reimbursement of internal loans for investments
c) Reimbursement of external loans for investments
d) Reimbursement of external loans contracted by the state
16. Budgetary reserve fund:
- Budgetary reserve fund at the disposal of local councils
NOTE:
The list of expenditure provided for in the local budgets may be
updated following the perfecting of legislation, as well as through the annual
budgetary laws, in accordance with the programs of increasing the financial
autonomy of the territorialadministrative units and of decentralization of the
public services.
** For the budgets of
the Bucharest Municipality sectors * For the budget of the General Council of
Bucharest Municipality
* *For the budget of
the General Council of Bucharest Municipality
Emergency Ordinance 45 was published in the Official Gazette No. 431 of June 19, 2003