Government violates the Fiscal discipline law for the third time within three weeks 20 September 2017
During the Cabinet meeting that took place on 19 September 2017 the Cabinet discussed an agenda item that foresees the reallocation of savings from the budget sub-programmes "Payments to the budget of the European Community" and "State debt management" reducing them for 4 010 609 euro and 96 216 euro accordingly.
The Council objects to the decision to reallocate savings. This decision reduces maximum permissible government expenditures for 2017 by 4 106 825 euro.
In order to rectify the non-conformity the Council recommends that the Cabinet develop measures to fully compensate the decision to allocate an additional 4 106 825 euro.
In addition, Council underlines that previous non-conformities that arose as a result of (i) decoupling the submission of the draft legislation of the tax reform from the medium-term budget framework, thus exceeding the maximum permissible State budget expenditures for 2018 and 2019 stipulated in the current medium-term framework, (ii) the decision to reallocate funding from "Payments to the budget of the European Community" to the sub-programmes of the Ministry of Transport (Cabinet meeting, 5 September), and (iii) the decision to reallocate funding from "Payments to the budget of the European Community" to the sub-programmes of the Ministry of Health (Cabinet meeting, 14 September), have yet to be resolved.
Irregularity report available here.