official translation REPUBLIC OF LITHUANIA LAW ON THE BUDGET STRUCTURE 30 July, 1990, No. I-430 (Revised version of the

official translation REPUBLIC OF LITHUANIA LAW ON THE BUDGET STRUCTURE 30 July, 1990, No. I-430 (Revised version of the Law of 11 July 2000 No. VIII-1821) Article

1. Revised Version of the Law on the Budget Structure of the Republic of Lithuania The Law on Budget Structure of the Republic of Lithuania shall be amended and set forth to read as follows: "LAW ON THE BUDGET STRUCTURE OF THE REPUBLIC OF LITHUANIA CHAPTER ONE GENERAL PROVISIONS Article
2. Purpose and Objective of the Law
3. The purpose of the Law is to define the contents of the State budget and municipal budgets, the legal grounds for the collection of budgetary revenue and utilisation of budgetary appropriations, also the basic provisions, procedures for the drawing up, approval, implementation, evaluation and control of the budgets, the duties, rights and responsibility of appropriation managers.
4. The objective of the Law on the Budget Structure is to ensure rational use of monetary resources in the process of formation and implementation of the State budget and municipal budgets, with a view to attaining long-lasting overall economic and social welfare of the citizens of the Republic of Lithuania. Article
5. Definitions As used in this Law:
6. "Working capital " means funds formed from the balance of budget resources, and, where this proves insufficient, from the estimated revenue and used for covering temporary shortfall of revenue in the budget.
7. "Appropriations" means the amount of resources specified in the Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets, to which the appropriation manager shall be entitled from the funds accumulated in the budget following the submission of payment requests to the institution managing the State Treasury or to the administration of municipalities for the financing the approved programmes.
8. "General grant" means appropriations from the State budget to municipal budgets for the purpose of equalising their tax revenue, for covering the differences in the structure of expenditure conditioned by objective factors beyond the control of municipalities.
9. "Budget year" means the year running from 1 January to 31 December.
10. " Budget expenditure" means utilised budget appropriations.
11. "Budget revenue" means receipts from taxes, fees and charges and from other sources of revenue specified by law as well as funds received by way of non-repayable financial aid (monetary resources).
12. "Budget surplus or deficit" means the difference between the approved budget revenue and appropriations.
13. "Economic classification" means classification of budget expenditure and appropriations according to the general economic purposes of the funds appropriated.
14. "Financing" means transfer of funds into the accounts of the institutions headed by the appropriation managers for covering their expenditure or direct covering of the expenditure by payments from the accounts of the budgets (treasury).
15. "Functional classification" means classification of budget expenditure and appropriations by functions of the State.
16. "Estimate of expenditure (estimate)" means a document indicating, according to the economic and functional classification of expenditure, the amounts earmarked for the implementation of expenditure programmes.
17. "National budget" means the sum total of the State budget and municipal budgets.
18. "Capital expenditure" means expenditure intended for the formation and acquisition of fixed tangible and intangible assets and building up of State reserves.
19. "Current expenditure" means expenditure related to the operation of State and municipal institutions and agencies and to the implementation of programmes, without increasing the value of the fixed assets of the said institutions and agencies.
20. "Planned budget expenditure" means approved budget appropriations.
21. "Programme" means a document of the appropriation managers approved by the Government, setting out the objectives, targets, means and resources as well as evaluation criteria.
22. "Municipal budget" means the municipality's revenue and appropriations plan for a budget year.
23. "Special programme" means the programme approved by the Government or municipality executive institution, the expenditure of implementation whereof is covered from the National budget and other sources of funds approved by laws or only from other sources of funds approved by laws (revenue of budget agencies for the services provided and revenue administered by appropriation managers, payable into the budget).
24. "Special targeted grant" means funds from the State budget transferred into municipal budgets based on the passed laws to be used for the purpose.
25. "The State budget" means the revenue and expenditure plan of the State for a budget year. Article
26. National Budget
27. The National Budget of the Republic of Lithuania shall be comprised of the State budget and municipal budgets.
28. The National Budget revenue shall comprise all resources accumulated in the State budget and municipal budgets, borrowed funds excluded. Only monetary resources may constitute the revenue and expenditure of the state and municipal budgets.
29. The National Budget appropriations shall be used for performing the functions of the State and municipalities and implementing the programmes of the appropriation managers. Taxes, compulsory payments, fees and charges collected in the Republic of Lithuania may be allocated only through the National Budget, State Social Insurance Fund, Compulsory Health Insurance Fund, Privatisation Fund, Ignalina NPP Decommissioning Fund. The allocation through the National Budget of the Road Fund as a special programme shall be initiated as of 1 January
31. Other funds from the sources authorised by laws for covering expenditure of special programmes (except for the funds attributed to the State budget revenue) shall also be recorded in the State budget. Article
32. Appropriation Managers
33. State budget appropriation managers shall be heads of the state institutions and agencies specified in the State budget approved by the Seimas or institutions appropriations for which have been authorised by the Government or any other state institution empowered by the Seimas for the purpose, within the limits of total appropriations authorised by the Seimas.
34. Municipal budget appropriation managers shall be heads of municipal institutions and agencies specified in the municipal budget approved by the municipal council or heads of the institutions the appropriations for which have been authorised, on the instruction of the municipal council, by the municipality board/mayor, within the limits of total appropriations authorised by the municipal council for the relevant commitments. Article
35. Duties of Appropriation Managers
36. The managers of state and municipal budgets appropriations must: 1) use the allotted budget appropriations for the approved purpose of implementing the programmes of the institution headed by them, allocating the budget resources allotted to them to the institutions subordinate to them for the performance of their operations and implementation of programmes and attainment of objectives; 2) draw up and approve expenditure estimates of programmes of the institution subordinate to them within the limits of the total appropriations authorised for these programmes, including for current expenditure, from which - pay-roll expenditure, and for capital expenditure; 3) organise the drafting and implementation of programmes financed from the State budget and municipal budgets; 4) submit financial and other statements in accordance with the procedure established by the Government or the institution authorised by it; 5) control and meet its liabilities, carry out analysis of financial statements of the subordinate institutions; 6) ensure the accuracy of financial and statistical accounts of the institution headed by them; 7) ensure effective and efficient implementation of programmes and use of the allotted appropriations.
37. State budget appropriation managers shall draw up a list of posts in respect of staff whose employment is authorised and, upon co-ordination thereof with the Ministry of Finance, approve the list for the implementation of programmes of subordinate institutions, unless the law prescribes otherwise.
38. Municipal budget appropriation managers shall draw up the lists specified in paragraph 2 of this Article, unless they are determined by legal acts, and, upon co-ordination thereof with the municipality administration, approve the lists for the implementation of programmes. Article
39. Rights of Appropriation Managers The manager of State budget and municipal budget appropriations shall have the right to: 1) during the budget year, at least 10 days before the end of a relevant quarter, change the purpose of budget appropriations according to the economic classification authorised for the operations of the institutions headed by them and institutions subordinate to them (the State budget appropriation manager shall notify thereof the Ministry of Finance and the municipal budget appropriation manager - the municipality administration), not exceeding the amounts of total appropriations for current expenditure, including pay-roll expenditure, authorised for a certain programme and function. The amounts of appropriations for current expenditure, including pay-roll expenditure, shall represent the upper limit and funds obtained through the economy thereof may be used to finance capital expenditure; 2) change the quarterly reapportionment of the total amount of appropriations for the implementation of a programme, upon co-ordination thereof with the Ministry of Finance (manager of the State budget appropriations) or with the municipality administration (manager of municipal budget appropriations); 3) when drafting programmes and drawing up estimates of expenditure for the programmes, the manager of State budget appropriations shall be entitled to submit alternative programmes and estimates of their expenditure to the Ministry of Finance, whereas the manager of municipal budget appropriations - to the appropriate municipality administration. Article
40. Responsibility of Appropriation Managers The managers of State and municipal budget appropriations shall be responsible, in accordance with law, for: 1) the implementation of the programmes, drawing up and implementation of expenditure estimates within the limits of the authorised amounts of total appropriations, effective use of the allotted appropriations in accordance with the programme goals and achievement of desired performance results; 2) the settlements with the staff, tax administration institutions, suppliers of all types of energy and other works, services and goods; 3) true and fair accounting and accuracy of financial and statistical accounts as well as correspondence between the accounts and the accounting data of the institutions headed by them and subordinate to them. Article
41. Legal Basis for Drawing up and Implementing State Budget and Municipal Budgets
42. The Constitution of the Republic of Lithuania, this Law, the Statute of the Seimas, the Procedure approved by the Government for Drawing up and Implementing the Budget, the Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets for the Year Concerned as well as other legal acts regulating collection of budget revenue and financing of budget expenditure shall constitute the legal basis for drawing up and implementing the State budget and municipal budgets.
43. Decisions on the approval of the municipal budgets for the budget year concerned made by the appropriate municipal councils shall constitute the legal basis of municipal budgets.
44. The legal basis for the expenditure of the institutions subordinate to the managers of appropriations of the State budget and municipal budgets shall be the estimates of expenditure of the said institutions drawn up on the basis of their programmes and approved by the appropriation managers.
45. The issues relating to the methodology of the drawing up and implementation of the National Budget shall be within the competence of the Government or the institution authorised. Article
46. Classification of Revenue and Expenditure of the State Budget and Municipal Budgets Classification of revenue and expenditure of the State budget and municipal budgets shall be uniform as established by the Ministry of Finance. Article
47. Borrowing and Lending Relationship between the State Budget and Municipal Budgets
48. Municipalities may, within the borrowing limits approved by the Government and according to the procedure established by the Government: 1) contract long-term domestic or foreign loans (with a maturity of more than one year and repayable not the same budget year) or offer guarantees for the loans, used only for financing investment projects; 2) contract short-term domestic or foreign loans (with the maturity date in the same budget year) for covering a temporary shortfall of revenue during the budget year, when the amount of the working capital of a municipal budget proves insufficient for the purpose.
49. During the budget year the municipalities may be granted, according to the procedure established by the Government, short-term zero-interest loans from the State budget for covering temporary shortfall of revenue, where the working capital of the municipal budget proves insufficient for the purpose.
50. Short-term loans granted to municipalities must be repaid to creditors before the close of the budget year within the time limits set in the loan agreements.
51. The managers of the State budget and municipal budget appropriations may not borrow funds and assume debt obligations in their own name.
52. The Ministry of Finance shall be responsible for the management of State guarantees and loans. Article
53. Accessibility of Information relating to State and Municipal Budgets
54. Information on the drawing up, approval, implementation, evaluation and control of the State and municipal budgets shall be transparent and accessible to the public, except for the information which constitutes a State secret, as prescribed by law.
55. The Ministry of Finance shall publish information on the approved State budget, the budget revenue and appropriations, their implementation in the publication "Valstybės žinios" (Official Gazette) and announce it in the website of the Ministry of Finance.
56. Information on the approved municipal budgets, the implementation thereof shall be announced by the municipality administrator in the local media. Article
57. Requirements for the Passing of other Legal Acts Tax laws, other laws and legal acts and amendments thereto, affecting the budget revenue, appropriations and national debt of the year concerned, shall come into effect as prescribed by law, but shall be passed not later than the law on the approval of the financial indicators of the State budget and municipal budgets of the year concerned. CHAPTER TWO STATE BUDGET Article
58. State Budget Revenue State budget revenue shall comprise: 1) tax revenue; 2) revenue received from State-owned property (except for the revenue received pursuant to the Law on the Privatisation of State-owned and Municipal Property); 3) revenue of the State budget agencies earned for the provided services, revenue administered by appropriation managers; 4) revenue from the balances of State budget resources on current accounts; 5) revenues from borrowers who have been granted loans guaranteed by the State or who have received loans on behalf of the State under contractual obligations; 6) funds received by way of non-repayable financial aid (monetary resources); 7) other revenue. Article
59. State Budget Appropriations
60. State budget appropriations shall be used in accordance with the laws: 1) for performing State functions and implementing the programmes approved by the Government; 2) for extending grants to municipal budgets; 3) for fulfilling State obligations.
61. Excess or unused payments into the budget, including the revenue of State budget agencies earned for the provided services, which have been earmarked for the financing of special programmes during the current budget year or have been carried forward to the next budget year and the remaining unused amounts of appropriations for the financing of construction projects in the completion stage may be used above the amounts of total appropriations approved by the Seimas. Article
62. Government Reserve Resources
63. The Government Reserve shall be formed in the State budget, which shall not exceed 1% of the authorised amount of State budget appropriations. Each year the specific amount of the Government Reserve shall be determined by the Seimas by the law on the approval of the financial indicators of the State budget and municipal budgets. The resources of the Government Reserve shall be allocated by Government resolutions.
64. The Government Reserve resources shall be used only for meeting contingencies that cannot be foreseen at the time when the financial indicators of the State budget and municipal budgets are drafted and the Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets is passed. The resources shall used for addressing the impact of natural disasters and ecological catastrophes and for other needs according to the priorities established by the Government. Article
65. Working Capital of the State Budget
66. Working capital shall be determined when approving the State budget.
67. Working capital shall be used for covering temporary shortfalls of revenue and shall be recovered not later than by the end of the budget year. Article
68. Basic Principles of Preparing Draft Financial Indicators of State Budget and Municipal Budgets
69. Draft financial indicators of the State budget and municipal budgets shall be prepared by the Ministry of Finance.
70. The State budget shall be drafted for a period of three budget years based on the principles of strategic planning, this Law, other laws and legal acts, macro-economic projections of the country's development, the Government Programme, long-term strategic plan of the Government activities, strategic plans of activities of ministries and Government agencies and the approved preliminary basic indicators of the National Budget, also the programmes and draft estimates of expenditure submitted by the managers of State budget appropriations.
71. The appropriation managers shall draw up the programmes and draft estimates of expenditure on the basis of the established State priorities. Article
72. Submission to the Seimas of the Draft Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets
73. The Government shall submit to the Seimas the Draft Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets of the budget year concerned not later than 75 calendar days before the end of the budget year. Before submitting the draft to the Seimas, the Government shall submit it to the Association of Local Authorities in Lithuania in accordance with the procedure of co-ordination of financial indicators, established by the Government.
74. When drawing up and submitting to the Seimas the Draft Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets of the year concerned, the Government shall specify in the Draft Law, on the motion of the Seimas Board, the appropriations intended for the Office of the Seimas, earmarked for the programmes of the Office of the Seimas approved by the Seimas Board on the basis of the estimates of expenditure.
75. The Draft Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets shall establish the following: 1) total amount of revenue and distribution thereof according to the types of revenue; 2) allocation of payments into the State budget, intended under laws for financing special programmes according to appropriation managers; 3) total amount of appropriations, distribution thereof by institutions for the implementation of programmes approved by the Government. Appropriations shall be allocated for current expenditure, including pay-roll expenditure, and capital expenditure; 4) distribution of the total amount of State budget appropriations according their functional classification; 5) the amount of resources for the formation (replenishing) of the working capital of the State budget; 6) net borrowing limit; 7) limit of government guarantees issued during the budget year; 8) municipality borrowing limits; 9) amounts of general and special targeted grants awarded to municipal budgets, compensatory amounts of the general grant; 10) amounts of budgetary revenue from tax of every municipality; 11) share (in %) of revenue from personal income tax going to municipal budgets.
76. The Draft Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets of the year concerned may contain provisions limiting the right to assume obligations to use budget resources. Article
77. Documents Submitted to the Seimas together with the Draft Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets Together with the Draft Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets of the year concerned the Government shall submit to the Seimas: 1) explanatory notes to the Draft Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets; 2) draft allocation of State budget appropriations by programmes, subject to approval by the Government; 3) information about the borrowers who received loans on behalf of the State or with the State guarantee, reasons for the postponement of defaulted financial obligations; 4) information on the total amount of the intended borrowing by the State from foreign and domestic creditors; 5) criteria for the evaluation of appropriation managers' programme targets; 6) draft budgets of the State Social Insurance Fund, Compulsory Health Insurance Fund, estimate of the Privatisation Fund resources; estimate of the Ignalina NPP Decommissioning Fund, estimate of the Roads Fund; 7) other documents prescribed by laws and legal acts. Article
78. Consideration and Approval by the Seimas of the Financial Indicators of State Budget and Municipal Budgets
79. The Seimas shall consider the Draft Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets having regard to the proposals and findings and additional reports by the Committees of the Seimas according to the procedure laid down in the Statute of the Seimas.
80. The Seimas shall approve, by virtue of a law, the financial indicators of the State budget and municipal budgets for the budget year not later than 14 calendar days before the start of the budget year. In case of failure to approve the Draft Law on the Approval of Financial Indicators of the State budget and Municipal Budgets by the due date, the budget shall be implemented following the procedure laid down in Article 29 of this Law.
81. The State budget shall be approved according to the indicators specified in paragraph 2 of Article 18 of this Law.
82. The Draft Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets for the year concerned may limit the amounts of monthly State budget appropriations. The amounts of appropriations earmarked for the Office of the Seimas may be revised in the manner applied for drawing up the Draft Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets of the year concerned. CHAPTER THREE MUNICIPAL BUDGETS Article
83. Purpose of Municipal Budgets
84. Resources necessary for discharging the functions assigned by laws and performing the State functions and programmes delegated to municipalities under laws shall be accumulated in the municipal budgets.
85. Each municipality shall have its own autonomous budget.
86. Balanced municipal budgets shall be approved. Article
87. Revenue of Municipal Budgets The revenue of municipal budgets shall be comprised of: 1) tax revenue collected into municipal budgets according to laws and other legal acts; 2) revenue from municipal property; 3) fines and penalties imposed and collected according to the procedure laid down by law; 4) local fees and charges; 5) revenue of budget agencies earned for the provided services; 6) revenue from the balances of municipal funds on current accounts; 7) revenue received after allocation, in the manner prescribed by the Government, of funds received from the sale and lease for non-agricultural purposes of State-owned land; 8) grants and other transfers from the State budget; 9) other revenue established by the laws of the Republic of Lithuania; 10) non-repayable financial aid (monetary resources). Article
88. Appropriations of Municipal Budgets Appropriations of municipal budgets shall be used for implementing the Law on Local Self-government and other laws: 1) for performing the functions delegated to municipalities by laws; 2) for implementing the programmes approved by municipal councils. Article
89. Working Capital of Municipal Budgets
90. Formation of working capital shall be planned in municipal budgets. Working capital shall be formed from the budget balance or, if said amount proves insufficient, from planned revenue. The amount of working capital shall be determined in the approved municipal budgets.
91. Working capital shall be used to cover temporary revenue shortfalls and shall be recovered not later than by the end of the budget year. Article
92. Reserve of the Municipal Board/Municipality Mayor
93. Municipalities may form the reserve of the municipal board/municipality mayor which shall not exceed 1% of the total amount of the authorised municipal budget appropriations. Each year, when approving the municipal budget of the budget year concerned, the municipal council shall determine the specific amount of the reserve of the municipal board/municipality mayor. The resources of the municipal board/municipality mayor reserve shall be allocated by the municipal board/municipality mayor.
94. The resources of the reserve shall be used only for meeting contingencies that cannot be foreseen at the time when the municipal budget is drawn up and approved. The resources shall be used for addressing the impact of natural disasters and ecological catastrophes and for other needs in accordance with the procedure established by the municipal councils. Article
95. Preparation, Approval of Municipal Budgets and their Submission to the Government or the Institution Authorised by it
96. Draft municipal budgets shall be prepared by the executive bodies of municipalities on the basis of this Law, other laws, the financial indicators of municipal budgets approved by the Seimas, the Procedure for the Formation and Implementation of the Budgets, approved by the Government, national statistical data, social and economic programmes.
97. The executive bodies of municipalities shall submit the prepared draft budgets to municipal councils.
98. Municipal councils shall consider draft municipal budgets having regard to the reports of executive bodies of municipalities, recommendations and opinions of municipal committees and in accordance with the committee work regulations approved by the councils.
99. Municipal budgets shall be approved by municipal councils. The budget shall be approved by the municipal council resolution. The resolution shall indicate: 1) the total amount of the revenue and the distribution thereof according to the types of revenue; 2) the total amount of appropriations and the allocation thereof to institutions for the implementation of their programmes. Appropriations allocated for ordinary expenditure, including those relating pay-roll expenditure, and capital expenditure; 3) the amount of working capital.
100. Municipal councils shall approve the budgets within two months after the approval of the financial indicators of the State budget and municipal budgets of the Republic of Lithuania. If draft municipal budgets are not approved when due, the budgets shall be implemented according to the procedure established in Article 29 of this Law.
101. The municipality mayors shall submit the approved budgets to the Ministry of Finance.
102. In case of failure by a municipality to approve its budget by the due date, the State Treasury payments to the municipality concerned shall be suspended until the approval of the budget. CHAPTER FOUR IMPLEMENTATION OF THE BUDGETS Article
103. Organisation of Implementation of the State Budget and Municipal Budgets and the Institutions Implementing the Budgets
104. Implementation of the State Budget of the Republic of Lithuania shall be organised by the Government.
105. Implementation of cash operations of the State budget shall be organised by the Ministry of Finance through credit institutions of the Republic of Lithuania.
106. Implementation of municipal budgets shall be organised by municipal boards/ municipality mayors.
107. Implementation of cash operations of municipal budgets shall be organised by municipality administration through credit institutions of the Republic of Lithuania.
108. Assessment and collection of taxes and other non-tax revenue into the State and municipal budgets shall be controlled by the institutions authorised by law. Article
109. Entering Revenue and Expenditure in the Budget
110. Receipts shall be entered in the budget of the year concerned only if they were received by 10 January of the following year, provided the execution of payment orders for the receipts had to be commenced by 31 December inclusively.
111. Amounts subject to be transferred shall be included in the budget expenditure of the year concerned if the execution of payment orders for them had to be commenced by 31 December inclusively. Article
112. Implementation of Budgets which were not Approved In case of failure to approve the State or municipal budgets by the due date, the monthly expenditure at the beginning of the year until the approval of the budget may not exceed 1/12 of last year's budget expenditure. In such case the monthly expenditure of every appropriation manager until the approval of the budget may not exceed 1/12 of budget resources allocated to the appropriation manager from the last year's relevant budget and shall be intended only for the financing of continuous activities and obligations established by laws. Article
113. Use of Excess Revenue Received by the State and Municipal Budgets and Use of the Appropriations that are no longer Valid
114. The revenue received in excess of the plan while implementing the State budget and appropriations that are no longer valid may be used for the repayment of public debt and for covering the shortfalls of municipal budget tax revenue.
115. The municipal budget revenue received in excess and the appropriations that are no longer valid shall be allocated on the decision of the municipal council. Article
116. Allotment of State and Municipal Budget Appropriations in Case of Revenue Shortfall before Amending the Budget Law
117. In the event of non-performance of the State budget, i.e. when the amount of revenue received is less than the planned amount and the working capital of the State budget is not sufficient to cover temporary revenue shortfall until an appropriate amendment to the budget law is passed according to the established procedure, financing of the programmes shall be carried out on the recommendation of the Ministry of Finance in the manner prescribed by the by the Law on State Treasury. Financing of the programmes of the Office of the Seimas shall be revised according to the procedure applied for drafting the Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets of the budget year concerned. The above provision shall not be applicable to special programme funds, provided that these have been paid in by appropriation managers.
118. In the event of non-performance of municipal budgets, i.e. when the amount of revenue received is less than the planned amount, financing from municipal budgets shall be carried out according to the procedure laid down by municipal councils. In case of anticipated failure to implement the approved revenue plan by the end of the year, decisions on the procedure of financing the expenditure provided in the budgets shall be passed by the municipal council on the recommendation of the municipal board/municipality mayor.
119. Amounts of State budget or municipal budget appropriations to be transferred to appropriation managers for the financing of special programmes shall be reduced by the amounts equal to the shortfall (as against the plan) in payments due for the services provided and other revenue administered by the appropriation managers. Article
120. Repayment and Recording of Unused Budget Resources
121. Each yearend, the amounts of budget funds in the accounts disposed by appropriation managers and agencies subordinate to them, except for the amounts not used for financing special programmes and unused appropriations for financing construction projects in the completion stage shall be transferred to the appropriate budget not later than by 10 January: 1) the State budget resources shall be transferred from the accounts disposed by the State budget appropriation managers and agencies subordinate to them to the State Treasury account; 2) the resources of municipal budgets shall be transferred from the accounts disposed by municipal budgets appropriation managers and agencies subordinate to them to the accounts of municipal budgets.
122. The Foreign Ministry and other ministries shall retain the balances carried forward in the amount of monthly expenditure, which are on the accounts with foreign credit institutions of diplomatic and consular missions and special attaches of the Republic of Lithuania.
123. At the end of the year the unspent amounts of targeted appropriations allotted to municipal budgets while adopting the laws on the approval of the financial indicators of the State budget and municipal budgets of the year concerned, also funds allotted to municipal budgets under separate laws or Government resolutions or appropriation amounts used not for their purpose shall be returned to the State budget by being transferred from municipal budget accounts to the State Treasury account. Article
124. Revision of the State Budget and Municipal Budgets during the Budget Year If the laws passed by the Seimas or the implementing resolutions adopted by the Government affect commitments of the State and municipal budgets for the current budget year, the Ministry of Finance and executive institutions of municipalities shall revise, in the manner prescribed by laws, the settlements between the State budget and municipal budgets. Article
125. Report on the Implementation of the State and Municipal Budgets
126. Reports on the implementation of the State budget and municipal budgets shall be drawn up on the basis of the adopted Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets for the year concerned, the used Government Reserve funds and funds of the reserve of the municipal board/municipality mayor as well as carried forward amounts of excess and unused payments into the budget intended for special programme financing.
127. Reports on the implementation of the State budget shall be drawn up by the Ministry of Finance on the basis of the State budget accounting data - reports on the revenue received into the State budget and appropriations used by the appropriation managers as well as reports on the implementation of their estimates submitted by appropriation managers.
128. Reports on the implementation of municipal budgets shall be drawn up by the municipality administration on the basis of municipal budgets accounting data - reports on the revenue received into municipal budgets, appropriations used by the appropriation managers and reports on the implementation of their estimates submitted by appropriation managers.
129. A statement on the results of the implementation of the budget concerned shall be a requisite document of the report on the implementation of State budget and municipal budgets.
130. The report on the implementation of the State budget shall indicate the amount of funds borrowed by the state during the budget year and the repayable amounts of the funds earlier re-lent to economic entities (below the balance line).
131. The procedure and frequency of drawing up State budget and municipal budget implementation reports shall be established by the Ministry of Finance.
132. The Ministry of Finance shall submit the annual report on the implementation of the State budget and municipal budgets to the Government according to the procedure and within the time limits specified by the Government.
133. The non-repayable financial aid received by agencies financed from the State and municipal budgets shall be recorded in the financial aid accounts of the agencies financed from the State and municipal budgets. Article
134. Approval of the Reports on the Implementation of the State and Municipal Budgets
135. The Government shall analyse the received report on the implementation of the State budget, make relevant decisions in relation thereto and submit to the Seimas for approval according to the procedure and within the time limits prescribed by the Statute of the Seimas.
136. Reports on the implementation of the State budget shall be approved according to the indicators specified in this Law, Article 18 paragraph 2 subparagraphs 1-
138. Reports on the implementation of municipal budgets shall be approved by municipal councils according to the indicators specified in this Law, Article 26 paragraph
140. Reports on the implementation of municipal budgets shall be prepared by the Ministry of Finance and submitted to the Government according to he procedure and within the time limits prescribed by the Government. CHAPTER FIVE BUDGET IMPLEMENTATION CONTROL AND PERFORMANCE EVALUATION Article
141. National Budget Implementation Control
142. State budget implementation control shall be carried out by the State Control Office and control of implementation of municipal budgets shall be carried out by the State Control Office and municipal controllers.
143. The State Control Office shall indicate in its report submitted to the Seimas whether the allotted appropriations were used to achieve programme goals, whether the appropriations were used in the most effective manner possible, whether there were any violations of law in the use of the appropriations, also to what extent the programme goals were achieved.
144. Implementation of municipal budgets, expenditure estimates of programmes of municipal budget appropriation managers, accounting and financial statements of municipal budget resources shall be controlled by municipal controllers.
145. The internal audit of the estimates of expenditure of programmes of the State and municipal budgets appropriation managers and institutions subordinate to them shall be performed by internal audit services.
146. Performance of the programmes shall be evaluated by the internal audit services. Procedure for evaluating programme performance shall be established by the Government." Article
147. Entry into Force of the Law Amending the Law on the Budget Structure
148. The Government shall be governed by the provisions of the Law on the Structure of the Budget as amended by this Law starting with the preparation of the draft Law on the Approval of the Financial Indicators of the State Budget and Municipal Budgets of the year
150. In order to put the effective laws in line with the Law Amending the Law on the Budget Structure, the Government shall draft related laws and lay them before the Seimas for consideration by 30 November
152. The Government shall by 31 December 2000 align with the Law on the Structure of the Budget its subordinate legislation.
153. Revenue of State and municipal budget agencies for the services provided shall be entered in the State and municipal budgets from 1 January 2002 (except for payments of special funds by State institutions and controlling organisations).
154. The provisions of paragraph 6 Article 19 of the Law on the Road Fund shall be in effect until 1 January
155. I promulgate this Law passed by the Seimas of the Republic of Lithuania. PRESIDENT OF THE REPUBLIC VALDAS ADAMKUS