Įstatymas skelbtas: Žin REPUBLIC OF LITHUANIA LAW ON THE BUDGET STRUCTURE 30 July 1990 No I-430 (As last amended on 28 June 2011 – No XI-1557) Vilnius CHAPTER ONE GENERAL PROVISIONS Article 1. Purpose

and Objective of the Law

1. The purpose of the Law shall be to define the contents of the state budget and municipal budgets of the Republic of Lithuania (hereinafter referred to as the “budget”), the legal grounds for the formation of revenue of these budgets and use of appropriations, also the basic provisions of and procedures for the drawing up, approving, implementing, assessing and controlling the budgets, the duties, rights and responsibility of appropriation managers.
2. The objective of the Law shall be to ensure the efficient use of monetary resources in the process of formation and implementation of the budget with a view to attaining a long-lasting and comprehensive economic and social welfare of citizens of the Republic of Lithuania. Article
3. Definitions
4. Appropriations means the amount of resources approved in the budget for expenses and for acquisition of tangible and intangible fixed assets and strategic stocks (hereinafter referred to as “assets”), to which the appropriation manager shall be entitled during the budget year 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 a municipality for the financing the approved programmes.
5. Appropriations for liabilities shall mean the amount of funds for which (and without exceeding which) the appropriation manager shall have the right to assume liabilities during the current budget year in respect of financing of the projects supported by funds of EU financial support and co-funding.
6. Budget year shall mean a budget period of 12 months commencing on 1 January and closing on 31 December.
7. Income of budgetary establishments shall mean the funds received by budgetary establishments performing the functions provided for in the documents regulating their activities (with the exception of state fees and charges and the stamp duty) and receipts from the lease of tangible current and tangible fixed assets used in compliance with laws or resolutions of the Government of the Republic of Lithuania (hereinafter referred to as the “Government”) for financing the programmes carried out by these establishments.
8. Budget deficit shall mean a difference between budget revenue and appropriations, when the appropriations exceed the revenue.
9. Budget surplus shall mean a difference between budget revenue and appropriations, when the revenue exceed the appropriations.
10. Economic classification of budget revenue and appropriations (hereinafter referred to as “economic classification”) shall mean categorisation of budget revenue and appropriations according to general economic characteristics of the accumulation and allocation of funds.
11. Funding shall mean the transfer of funds to accounts of the budgetary establishments and other entities led by appropriation managers for implementation of their programmes or a direct payment of expenditure of programmes of the budgetary establishments and other entities and of the assets being acquired from accounts of state and municipal budgets.
12. Functional classification of appropriations (hereinafter referred to as “functional classification”) shall mean categorisation of appropriations according to state functions.
13. National budget shall mean the totality of the state budget and municipal budgets (with the exception of the appropriations from the state budget allocated for municipal budgets).
14. Programme shall mean a part of a strategic and/or annual activity plan drawn up according to the Strategic Planning Methodology approved by the Government, which pursues the aim of implementing the strategic goal of the manager of appropriations and may be funded from: 1) a specific share of revenue of the state budget or municipal budgets, the scope and purpose of the use whereof is indicated by a law, a Government resolution or a decision of a municipal council; 2) the revenue of budgetary establishments; 3) other funds of the state budget, including funds of EU financial support and other financial support received and/or municipal budgets; 4) other legitimately obtained funds.
15. Programme estimate shall mean a document indicating, according to economic and functional classifications, the amounts of appropriations for the implementation of a programme.
16. Municipal budget shall mean a plan of a municipality's revenue and appropriations for a budget year as approved by a municipal council.
17. State budget shall mean the plan of state budget revenue and appropriations for a budget year as approved by the Seimas. Article
18. National Budget
19. The revenue of the national budget shall comprise all funds accumulated in the state budget and municipal budgets. Only monetary funds may constitute the revenue and appropriations of the state budget and municipal budgets.
20. Appropriations of the national budget shall be used for performance of the functions of the State and municipalities. The taxes, compulsory payments, fees and charges collected in the Republic of Lithuania may be re-allocated only through the national budget, State Social Insurance Fund, Compulsory Health Insurance Fund, Privatisation Fund, Reserve (Stabilisation) Fund, Ignalina NPP Decommissioning Fund, Guarantee Fund, and municipal privatisation funds.
21. Repealed as of 1 January
23. The Seimas of the Republic of Lithuania (hereinafter referred to as the “Seimas”) shall approve the forecasted indicators of the national budget for a period of three years. Article
24. Appropriation Managers
25. State budget appropriation managers shall be heads of the budgetary establishments and other entities indicated in the state budget as approved by the Seimas (in ministries – ministers or the persons authorised by them, in courts – presidents of the courts or the court chancellors authorised by them). Version of paragraph 1 as of 1 January 2012: *
26. State budget appropriation managers shall be heads of the establishments indicated in the state budget as approved by the Seimas (in ministries – ministers or the persons authorised by them, in courts – presidents of the courts or the court chancellors authorised by them), provided the establishments led by them conform to at least one condition indicated in paragraph 3 of this Article. *Note. In drafting the Law on the Approval of Financial Indicators of the state budget and Municipal Budget for 2012, account shall be taken of the provisions of paragraph 1 of Article
28. Managers of municipal budget appropriations shall be heads of municipal budgetary establishments or the administration of a municipality and/or divisions thereof referred to in the municipal budget approved by a municipal council (in the administration of the municipality – the director of the administration or the persons authorised by him, in divisions of the administration of the municipality – heads of the divisions or the persons authorised by them). As of 1 January 2012, the Article shall be supplemented with paragraphs 3 and 4:
29. The establishment whose head is the manager of state budget appropriations shall be: 1) the Office of the President of the Republic, the Office of the Seimas, the Office of the Prime Minister of the Republic of Lithuania, a ministry, a Government agency; 2) an establishment which is accountable to the President of the Republic, the Seimas, the Government or whose head (or the collegial management body) is appointed by the President of the Republic, the Seimas, the Government; 3) the Constitutional Court of the Republic of Lithuania, courts, the National Courts Administration, the Prosecutor General’s Office of the Republic of Lithuania; 4) a state university, a state scientific research institute or a priest seminary; 5) the Lithuanian National Opera and Ballet Theatre, the Lithuanian National Drama Theatre, the Lithuanian National Philharmonic Hall, the National Museum of Lithuania, the Lithuanian Art Museum, the Mikalojus Konstantinas Čiurlionis National Art Museum, ?, the Martynas Mažvydas National Library of Lithuania, the National Museum Place of the Grand Dukes of Lithuania, the Lithuanian National Radio and Television.
30. The budgetary establishments not conforming to the terms and conditions specified in paragraph 3 of this Article may receive budget funds from the appropriations approved for the appropriation manager exercising the rights and duties of the owner of the establishment concerned. These establishments shall be subject to the same provisions as stipulated by this Law for the budgetary establishments subordinate to the appropriation manager. Note. In drafting the Law on the Approval of Financial Indicators of the State budget and Municipal Budget for 2012, account shall be taken of the provisions of paragraphs 3 and 4 of Article
31. Article
32. Duties of Appropriation Managers and Heads of Agencies within the Areas of Management of Ministers Carrying out Programmes of the Respective Appropriation Manager and Having Subordinate Budgetary Establishments
33. Budget appropriation managers must: 1) use the allocated appropriations for implementation of programmes of the establishment led by them, distribute them for the purpose of implementation of programmes among subordinate budgetary establishments and other entities which are eligible for budget funds under the laws regulating their area of management or under the Government resolutions adopted in compliance with directly applicable EU legal acts and treaties stipulating the procedure for administering financial support granted to Lithuania by the European Union or individual states; 2) organise the drafting and implementation of the programmes financed from a budget; 3) determine and approve estimates of programmes of a budgetary establishment led by them and/or subordinate budgetary establishments and other entities according to the economic classification and within the limits of the total appropriations approved for these programmes, including appropriations for expenditure, which shall include payroll expenditure, and for the acquisition of assets; 4) in accordance with the procedure and within the time limits laid down by the Republic of Lithuania Law on Financial Statements of the Public Sector, submit sets of reports; 5) control and meet liabilities of the budgetary establishments led by them, carry out an analysis of the sets of reports of subordinate budgetary establishments and other entities submitted under the Law on Public Sector Accounts; 6) ensure the accuracy of the sets of reports submitted under the Law on Public Sector Accounts and statistical reports and their timely submission; 7) ensure the legitimacy, cost-effectiveness, efficiency and effectiveness of implementation of programmes and use of the allocated appropriations.
34. Heads of agencies within the areas of management of ministers carrying out programmes of the respective appropriation manager and having subordinate budgetary establishments must: 1) use the budget funds allocated to them by the appropriate manager of appropriations (a minister or a person authorised by him) according to the specified purpose, distribute them among subordinate budgetary establishments for implementation of programmes; 2) organise the drafting and implementation of the programmes financed from a budget; 3) determine and approve estimates of programmes of subordinate budgetary establishment according to the economic classification and within the limits of the total appropriations allocated to these programmes by the appropriation manager, including appropriations for expenditure, which shall include payroll expenditure, and for the acquisition of assets; 4) in accordance with the procedure and within the time limits laid down by the Republic of Lithuania Law on Financial Statements of the Public Sector, submit sets of reports to the manager of appropriations; 5) control and meet liabilities of the agency led by them, carry out an analysis of the sets of reports of subordinate budgetary establishments submitted under the Law on Public Sector Accounts; 6) ensure the accuracy of the sets of reports submitted under the Law on Public Sector Accounts and statistical reports and their timely submission to the manager of appropriations; 7) ensure the legitimacy, cost-effectiveness, efficiency and effectiveness of implementation of programmes and use of the funds allocated for implementation of the programmes. Article
35. Rights of Appropriation Managers The manager of budget appropriations shall have the right: 1) during the budget year and not later than ten days prior to the end of an appropriate quarter, to change the purpose of the approved budget appropriations according to the economic classification as earmarked for programmes of the agency headed by him, the budgetary establishments subordinate to him and other entities (the manager of state budget appropriations shall, in accordance with the procedure laid down by the Government, notify thereof the Ministry of Finance, and the manager of municipal budget appropriations – a municipality administration in accordance with the procedure laid down by it) not exceeding the amounts of total appropriations for expenditure, including payroll expenditure, as approved for a certain programme. The amounts of appropriations for expenditure, including payroll expenditure, shall represent the upper limit, and saved funds, unless there are any debts, may be used for the acquisition of assets and additional funding of investment projects to which funds are to be earmarked in a state investment programme of the year concerned or in municipal budgets; 2) during the budget year and once per quarter, to change the quarterly allocation of the total amount of appropriations for the implementation of a programme, subject to co-ordination with the Ministry of Finance (the manager of state budget appropriations) or with a municipal administration (the manager of municipal budget appropriations); 3) when drafting programmes and drawing up estimates for the programmes, to submit alternative programmes and estimates thereof (the manager of state budget appropriations – to the Ministry of Finance, whereas the manager of municipal budget appropriations – to an appropriate municipal administration); 4) in order to cover liabilities, to allocate funds from the total saved amount of approved appropriations for expenditure (with the exception of funds of EU financial support and other financial support as well as co-funding) without altering approved estimates irrespective of allocation of the appropriations according to functions and programmes; 5) to specify the rights referred to in subparagraphs 1-4 of this Article to heads of agencies within the areas of management of ministers carrying out programmes of the respective appropriation manager and having subordinate budgetary establishments and give a notice thereof to the Ministry of Finance. Article
36. Responsibility of Appropriation Managers The managers of budget appropriations and heads of the budgetary establishments subordinate to agencies within the areas of management of ministers carrying out programmes of the respective appropriation manager and heads of other entities shall be responsible, in accordance with the procedure laid down by law, for: 1) the implementation of programmes, drawing up and implementation of estimates of the programmes within the limits of the approved amounts of appropriations (in compliance with subparagraph 5 of Article 6 of this Law), for the efficient and effective use of the allocated appropriations corresponding to the programme goals; 2) settlements with employees, tax administration institutions, suppliers of all types of energy and other works, services and goods, with the exception of the cases of a failure of timely payment of the applications submitted to the State Treasury and municipal administrations for the allocation of appropriations; 3) organisation of accounting, drawing up and submission of sets of reports in compliance with the Law on Public Sector Accounts and the requirements set forth by other legal acts. Article
37. Legal Basis for the Drawing up and Implementation of a Budget
38. The Constitution of the Republic of Lithuania, this Law, the Law on Fiscal Discipline, the Statute of the Seimas, the Law on the Methodology of Determination of Municipal Budgetary Revenues, a Law on the Approval of Financial Indicators of the State Budget and Municipal Budgets for the corresponding year, the Rules for Drawing up and Implementation of Budgets as approved by the Government as well as other legal acts regulating receipt of budget revenue and funding of programmes shall constitute the legal basis for the drawing up of a budget.
39. The decisions on the approval of municipal budgets for an appropriate budget year taken by appropriate municipal councils shall constitute the legal basis for municipal budgets.
40. The legal basis for the use of the appropriations allocated to the budgetary establishments and other entities subordinate to the managers of budget appropriations shall be the estimates of programmes of the said establishments as approved by the appropriation managers.
41. Estimates of programmes of budgetary establishments subordinate to heads of agencies within the areas of management of ministers carrying out the programmes of the respective appropriation manager, as approved by the said heads, shall be the legal basis for the use of funds allocated to these establishments.
42. The issues relating to the methodology of the drawing up and implementation of the national budget shall fall within the sphere of competence of the Ministry of Finance. Article
43. Classification of Budget Revenue and Appropriations The economic and functional classification of budget revenue and appropriations shall be established by the Ministry of Finance. Article
44. Borrowing and Lending Relations of the State Budget and Municipal Budgets
45. Municipalities may, within the borrowing limits approved by the Seimas and in accordance with the procedure laid down by the Government: 1) take out long-term domestic or foreign loans (with the maturity of more than one year and repayable not in the same budget year) or grant guarantees for the loans used solely for the funding of investment projects; 2) take out short-term domestic or foreign loans (with the maturity in the same budget year) for covering of 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.
46. Municipalities may be granted, in accordance with to the procedure laid down by the Government, short-term loans from the state budget for covering a temporary shortfall of revenue, when the working capital of a municipal budget proves insufficient for the purpose.
47. Budgetary establishments may not borrow funds or assume any liabilities in their own name. Article
48. Publicity of Information on Budgets
49. Information on the drawing up, adoption, implementation, evaluation and control of a budget must be transparent and accessible to the public, with the exception of the information which constitutes a State secret in accordance with the procedure laid down by laws.
50. Information on the approved state budget, revenue and appropriations thereof, and their implementation shall be published in the official gazette “Valstybės žinios” and on the website of the Ministry of Finance.
51. Information on approved municipal budgets and implementation thereof shall be published by the director of a municipal administration in the local press. Article
52. Requirements for Adoption of Other Legal Acts The tax laws, other laws and legal acts and amendments thereto which affect the budget revenue, appropriations and the state debt of an appropriate year shall enter into force as prescribed by law, but shall be adopted not later than a Law on the Approval of Financial Indicators of the State Budget and Municipal Budgets for that budget year. CHAPTER TWO STATE BUDGET Article
53. Revenue of the State Budget
54. Revenue of the state budget shall comprise: 1) the tax revenue received into the state budget according to laws and other legal acts; 2) the revenue received from State-owned property (with the exception of the revenue received under the Law on Privatisation of State-owned and Municipal Property and the immovable property sold by the organiser of renovation of the State-owned immovable property as specified in Article 16