Law 1/2016, January 21, To Amend The Law 7-2015, From January 15, The Budget For The Year 2015 And Extraordinary Credit And Credit Fee To Fund Expenses Of The Year 2015 Of The State Agency Of ...

Original Language Title: Llei 1/2016, del 21 de gener, de modificació de la Llei 7-2015, del 15 de gener, del pressupost per a l’exercici del 2015 i de crèdit extraordinari i de suplement de crèdit per finançar despeses diverses de l’exercici 2015 de l’Agència Estatal de...

Read the untranslated law here: https://www.bopa.ad/bopa/028012/Pagines/CGL20160211_09_50_17.aspx

CGL20160211_09_50_17 law 1/2016, January 21, to amend the law 7/2015, from January 15, the budget for the year 2015 and extraordinary credit and credit fee to fund expenses of the year 2015 of the State Agency of Bank Resolution law 1/2016, January 21, to amend the law 7/2015 , from January 15, the budget for the year 2015 and extraordinary credit and credit fee to fund expenses of the year 2015 of the State Agency for Banks since the General Council in its session of 21 January 2016 has approved the following: Law 1/2016, January 21 from modification of the law 7/2015, from January 15, the budget for the year 2015 and extraordinary credit and credit fee to fund expenses of the year 2015 of the State Agency of Bank Resolution preamble The law 8/2015, of 2 April, on urgent measures to introduce mechanisms for restructuring and resolution of banks has to regulate the processes of restructuring and resolution of banks , establish mechanisms to reduce the risk to occur a case resolution, as well as create the legal regime of the State Agency of Bank Resolution (AREB), in order to protect the trust, credibility and stability of the financial system.
The nature and the legal regime of the State Agency of Bank Resolution (AREB) regulate the fifth chapter of the law 8/2015, and are of an entity of public law with its own legal personality, equity and financial autonomy and full public and private capacity for the development of their purposes, mainly.
To cover their operating costs, the AREB must have a consignment with the budget of the State. This budgetary rating requires annual approval by the Board of Directors of the AREB a draft law that will send to the Government through the Ministry responsible for finance. The approval of this project by the Government involves their conversion in general budget bill, to be sent in turn to the Audit Office, as established in the general law on public finance.
The Constitution of the State Agency of Bank Resolution (AREB) is after the approval of the general budget for the financial year of 2015. This makes it necessary to approve and process the budget of this entity by this modification of the law 7/2015, from January 15, the budget for the year 2015.
Consequently, the amendments of the law 7/2015, from January 15, the budget for the year 2015 that now approve are to ensure the integrity of the general budget, in accordance with the principles of unity and universality, mainly, which determines the general law on public finance.
Returning to the law 8/2015 of constant reference, the third additional provision empowers the Government to make a temporary provision in the AREB for a total amount of € 500,000 to cater to the needs of operation of this public body while not having approved its budget. To this end, the Government has enabled on the budget of expenditure the 41119 subconcepte, "State Agency for Banks", and has agreed to a credit can be increased by the amount of 500,000 euros, in accordance with article 25 of the general law of public finance and in article 4 of the law on budget for the year 2015.
The budget for the year 2015 approved by the Board of Directors of the AREB presents a State of expenses that includes two different projects that are listed below and they need additional funding by the Government for an amount of 20,222,890.16 euros.
On the one hand, the project called "PROJ0001 GENERAL SERVICES AREB" corresponds to the operating expenses of the entity and amounts to 700,514.06 euros. These costs are of the following nature: 20,155.10 euros are in real investment; the rest, of an amount of 680,358.96 euros, are in current expenses and cover 268,309.25 euros of personal expenses, 409,949.71 euros of costs of consumption of goods and services, and 2,100 EUR financial expenses.
And on the other, the project called "PROJ0002 BPA RESOLUTION" corresponds to the costs of the process of resolution of the Banca Privada d'Andorra, SA, for a total amount of 20,022,376.10 euros. These costs are in the concept of "work carried out by companies, research and technical work", by 19,963,532.65 euros, and in the concept of real investment for an amount of 58,843.45 euros.
The Government does not have sufficient credits to subconcepte 41119, "State Agency for Banks", which enabled according to the third additional provision of law 8/2015 to cope with all of the current costs. The credits necessary to will supplement the game mentioned-that have motivated the passage of an additional credit for part of the Government-are encrypted at 180,358.96 euros and result from the difference between the amount of the provisional allocation (€ 500,000) and the amount of current expenditures of the project called "PROJ0001 GENERAL AREB SERVICES" of the budget of this public body (680,358.96 euros).
The Government has appropriations to deal with the transfer of capital and the loan for an amount of € 20,155.10 AREB and 20,022,376.10 euros, respectively, in the budget for the year 2015. For this reason, has approved a special credit to be able to deal with.
It is done here is that the extraordinary amount of 1,500,000 euro credit in loan to the AREB corresponds to the ratification of the advance of funds that the Government has approved on the same date of October 21, 2015, to the effect that the Government can make this amount to the AREB because this public body can turn to meet part of the expenses arising from the process of resolution of the Private Banking entity of Andorra , SA.

The urgency and necessity of these costs are justified, on the one hand, with regard to the loan intended to fund the costs of the process of resolution of the Banca Privada d'Andorra, SA, because to fulfill the contractual obligations in the work carried out by companies, research and technical work, mainly and regularize budgetary situation of these contractual obligations, in accordance with the general law of public finance and the matching rules; and on the other hand, with regard to the transfer and to the transfer of capital to finance the operating costs of the public entity, because the AREB can assume and exercise properly its powers and for its proper functioning.
Seen that the Government, by agreement of October 21, 2015, has approved an advance of funds for a total amount of 1,500,000 euros to deal with a loan to the AREB intended to finance part of the costs of the process of resolution of the Banca Privada d'Andorra, SA;
Seen the report of the General intervention;
Seen the resolution of the Board of Directors of the State Agency of Bank Resolution of August 27, 2015;
Seen the resolution of the Board of Directors of the State Agency for Banks from 8 October 2015;
Seen the governmental agreement of October 21, 2015;
Article 1. Modification of paragraph 1 of article 1 modifies the paragraph 1 of article 1 of law 7/2015, from January 15, the budget for the year 2015, which is worded as follows: "Article 1. The budget of the State and of the law 1. In the budget of the State for the year 2015 are included: a) the budget of the general administration.
b) the budgets of public, parapublic institutions and other organisations:-Caixa Andorrana de Seguretat Social-Institut Nacional Andorrà de Finances – the Andorran health care Service-Forces Elèctriques d'Andorra-training school of Sports and mountain Professions-Institute of Andorran Studies-University of Andorra-Collective management of copyright and neighboring rights in the Principality of Andorra-State Agency Bank resolution c) the budgets of public societies participated to the general administration :-Andorra Telecom, s.a.u.-radio and television of Andorra, SA-cattlemen, SA-Andorra Turisme, s.a.u.-waste treatment Centre of Andorra, Andorra development and investment, SAU SA-. "
Article 2. Addition of a new paragraph to the paragraph 2 of article 2 the following paragraph is added to section 2 of article 2 of the law 7/2015, from January 15, the budget for the year 2015: "in the budget of the State Agency for Banks are awarded credits to meet all of its obligations for an amount of 20,722,890.16 euros. The resources foreseen for the year add up to 20,722,890.16 euros. "
Article 3. Addiction from one point to the paragraph 1 of article 25 is added the point h following the paragraph 1 of article 25 of the law 7/2015, from January 15, the budget for the year 2015: "h) arrange the operations of indebtedness for loans, credits or any other operation of indebtedness, for an amount of 20,022,376.10 euros, to deal with the costs of the process of resolution of the Private Banking entity of Andorra , SA.
This new debt is intended for the granting of a loan by the Government to the State Agency for Banks. "
Article 4. The budget of the State Agency of Bank Resolution approves the budget of income and expenditure budget for the year 2015 of the State Agency for Banks that are attached to the law 7/2015.
"The budget of the State Agency of Bank Resolution (AREB) URPressupost.pdf Article 5. Qualitative modification of the budget of the Government approves an extraordinary credit for following Government budget budgetary: 230 Department of finance-231 unit of prevention and fight against corruption-PROJ-0002-planning and management of the financial system-71119 the State Agency for banks, for an amount of 20,155.10 euros.
Finance Department, 230-231 unit of prevention and fight against corruption-PROJ-0002-planning and management of the financial system-81119 State Agency for banks, for an amount of 20,022,376.10 euros.
Article 6. Quantitative changes of the budget of the Government approves an additional credit for the game following the Government budget budget: Finance Department 230-231 unit of prevention and fight against corruption-PROJ-0002-planning and management of the financial system-41119 the State Agency for banks, for an amount of 180,358.96 euros.
Article 7. Financing of the modifications of the budget of the Government 1. Special credit to the amount of 20,022,376.10 euros is financed through a new debt.
2. The extraordinary credit of 20,155.10 euros and 180,358.96 euros credit fee is financed by means of the following pressupostaria base, for a total amount of 200,514.06 euros: 750 Department of Territorial-754 area of public works-60700 road construction-1987-0000000088 CG3 Crossroads CS340-El Serrat final provision this law enters into force on the same day to be published in the official bulletin of the Principality of Andorra.
Casa de la Vall, 21 January 2016 Vicenç Mateu Zamora Syndic General Us the co-princes the sancionem and promulguem and let's get the publication in the official bulletin of the Principality of Andorra.
Joan Enric Vives Sicília François Hollande Bishop of Urgell, President of the French Republic Co-prince of Andorra Co-prince of Andorra