lo26071009 law 32/2014, of 27 November, sustainability of public finances and budgetary and fiscal stability since the General Council in its session of 27 November 2014 has approved the following: law 32/2014, of 27 November, sustainability of public finances and budgetary and fiscal stability Index preamble chapter. General provisions Article 1. Article 2 object. Scope of second chapter. Basic principles Article 3. Basic principles Article 4. The principle of financial sustainability Article 5. The principle of budgetary stability Article 6. Plurianualitat principle of Article 7. Principle of transparency Article 8. The principle of efficiency Article 9. Principle of responsibility Article 10. Principle of institutional loyalty Chapter three. Budgetary framework Article 11. Budgetary framework Chapter fourth. Article 12 public debt. Limitation of indebtedness Article 13. Public debt, Article 14. Extraordinary budget for exceptional reasons Chapter five. Allowable expenditure Article 15. Maximum allowable expenditure Article 16. Current spending rule or Article 17 operation. Extraordinary expenditure Article 18. Superàvits Article 19. Compensation account Chapter six. Limitation of the weight of the direct taxation of the total direct and indirect tax administration Article 20. Limitation of the weight of the direct taxation of the total of direct and indirect taxes administration Chapter seven. Article 21 control. Information obligations Article 22. Control of Auditors and supervision of the Court of accounts Article 23. Article 24 financial balance plans. Execution and control of the financial balance plans eighth Chapter. Article 25 sanctions. Offences, and penalties Article 26. Additional Provision sanctioning procedure. Provision of financial resources first transitory provision. Budgetary framework second transitional provision. Members of the Court of accounts the third transitional provision. Compliance with the obligations established in the present Law repealing provision first final provision. Modification of the law of the Court of accounts, of 13 April 2000 second final provision. Modification of the general law of public finance third final provision. Modification of the law 10/2003, of 27 June of the fourth final provision communal finances preamble The economic and financial crisis has had and still has important effects on the public finances of Andorra, in the same way that you have had and have in the economies of the United States of our environment. So the last few years, the national and international context have made that the indebtedness of the Andorran State has almost doubled, going from about 600 million euros in 2007 (which represented a debt of twenty percent (20%) with respect to the gross domestic product), to approximately 1,100 million euros of the year 2013. That is, a level of indebtedness of the Government of Andorra a forty five percent (45%) of the gross domestic product.
At the same time, it is necessary to highlight the concern that has led to the fact that during periods of economic boom, more debt and public spending have been strongly increased.
Now, that all seems to indicate that the crisis begins to remit and that established him a period of growth, is the best time to adopt the necessary measures to ensure the sustainability of public finances in the future, within a framework of budgetary and fiscal stability. Throughout these years, the public authorities have been adopting the necessary measures to deal with the situation of economic crisis and to make sure its tax capacity essential to carry out the tasks that correspond to the various Governments, acting on both the income and expenses of the respective budgets. But, beyond the specific measures and concrete steps that respond to a short-term situation, it is appropriate to establish a permanent general framework that will ensure the viability of public finances in the future, both communal State, despite establishing mechanisms of discipline and budgetary control.
This essential objective coincides, on the other hand, with the need to streamline the budget management, ensuring its efficiency in a framework of stability that make sustainable public finance and not compromised the well-being of future generations. A framework that, in addition, must ensure transparency, responsibility and institutional loyalty in the management of public financial resources.
These two great objectives drive the present law, which establishes a general framework and permanent that has to govern the action in financial and economic matters to all Andorran public authorities, including public and parapublic entities related to the general administration and in the Commons, as well as public companies participated by the Government, in order to ensure the financial sustainability in the future.
The law States, first of all the basic principles that should govern the management of the financial resources on the part of all Governments, organizations and entities that are included in its scope of application. These principles, which are the financial sustainability, the budgetary stability, the plurianualitat, transparency, efficiency, responsibility, institutional loyalty are defined and specified in the same law and of them deriving from certain specific obligations to provide them with compliance.
For the purposes of meeting the objectives of the law is especially important to the establishment of a multi-annual budget framework by all the Governments, organizations and entities, that behold general economic forecasts for the period of the mandate of each instance, the goals of debt and public spending and the projections of the main items of revenue and expenditure, within which they must approve the annual budgets corresponding. This framework, while respecting the autonomy and the budgetary authority of each administration and organization, gives stability and security and becomes an important tool to guarantee the fulfilment of the objectives of the law.

The specific objectives of the law, refer to debt, the spending allowed the general administration, the indebtedness of the public expenditure on the common limitation of the weight of the direct tax on the total of direct and indirect taxes in the general administration and to the limitation of the growth of public spending or performance, in short define jointly the concept of financial sustainability, budget and fiscal stability of the State. In relation to the public debt, establishes a limit double: on the one hand, an absolute character, that limits the overall public debt of the Principality in relation to gross domestic product and, on the other hand, a limit related to each administration, so that the indebtedness of the general administration, shall have a limit also in relation to the gross domestic product, while the common may not exceed two hundred percent of the same average income by following the rule provided for in the law of communal finances. The difference of the limit on the two Government responds to the greater extent of the powers of the general administration and, consequently, of the expenses that must be faced, as well as their greater variability and sensitivity to economic cycles.
In relation to the expenses permitted, the law establishes limits for the general administration that will correspond to the one percent (1%) of the gross domestic product adjusted for a correction coefficient that varies as a function of economic cycles, forcing the Administration to generate savings in the moments where there is more economic growth, so as to allocate to promote expansive policies in times of economic crisis. As regards the common this limit comes limited by the same rule that the maximum levels of indebtedness, according to provisions in the law of communal finances. Finally, in relation to the limitation of direct taxation, the law sets a limit of 40 percent of direct taxes on taxes raised, showing a clear willingness to maintain the current fiscal pressure.
The limits of debt and allowed spending can only be overcome by the causes set forth expressly in the law that relate to extraordinary situations such as natural disasters, emergencies and exceptional events, including those of economic nature. These require an urgent and extraordinary public action when you can assume with the ordinary budgetary items. In these cases, the General Council will be able to approve a special budget that exceeds the limits of debt and allowed spending set out in the law. But at the same time will have to pass a plan of financial balance that establishes the way to return to compliance with these limits in a maximum period of six years. To pay for these extraordinary expenses it foresees the creation of a clearing account, which will provide for part of the administration of the State and of common with an amount equivalent to the zero coma ten percent (0.10%) of the total annual budgetary expenses.
To make effective the obligations established in the law relating to debt, in the expenditure allowed and the limitation of direct taxation on the income of the State, there are a few mechanisms and appropriate control procedures and provided, that, not lunch, on the one hand, on the governing bodies of the various mediators and organisations and entities dependent, and, on the other hand, the Government , The General Council or the Court of accounts. The governing intervenors, in addition to strengthened their previous fiscalitzadora function of spending, are configured as well as the governing bodies of the respective administrations, bodies and entities to ensure compliance with the obligations established by law. So, among other functions, the corresponding to collaborate in the preparation, the implementation and the control of the budgetary framework and the budgets of their respective administration, as well as the extraordinary budgets for exceptional reasons. They also need to inform the Court of Auditors, to the General Council or the Common Council on deviations that may occur with respect to the limits of debt and allowed spending of the respective entities in their respective budgetary execution; I have to collaborate, in the financial balance plans that have been approved in the event of non-compliance, or serious risk of non-compliance, of the obligations relating to the debt or permitted spending control.
The Court of Auditors, for its part, assumed an important role in the control of compliance with the financial obligations set out in the law in order to ensure the achievement of the goals past that intended. So, you have to issue a preliminary report on the budgetary framework; you have to watch over the execution and settlement of the budgets of the State and of the common, for the purpose of ensuring the fulfilment of the obligations established by law in the area of debt, of spending permitted, of limiting the weight of direct taxation, as well as the limitation of the growth of public spending, or of operation and can urge the Government to develop a plan of common or financial balance in case of detecting deviations or serious risk of deviations of the obligations relating to the debt or of the expenditure allowed; It can also appoint a Commission of experts to advise the Government in the Commons or, as appropriate, to assist them in the preparation of these plans of balance. In addition, the Court of Auditors monitors the implementation of the plans of financial balance and recommends that appropriate measures be taken by his compliment, and oversees the execution and settlement of the extraordinary budgets for exceptional reasons, at the same time you can start a sanctioning procedure.
In order to ensure the operational capability of the Court of accounts in order to fulfil its new functions, the present Law amends the law of the Court of accounts, strengthen its composition structure and adapting their functions to those that are attributed to him again. The law strengthens also the figure of the Auditors and their independence, in order that they can carry out their duties properly and with maximum effectiveness and efficiency.

Finally, the law refers the sanctioning to the provisions of the general law on public finance, the law of communal finances and the law of the public function and the corresponding disciplinary procedure and establishes in a transitory provision that at the end of the first term will have to comply with the limits of indebtedness, of maximum allowable expenditure, expenditure or current variation of operation , as well as limiting the weight of direct taxation on the total of direct and indirect taxes Administration set out in the law.
Formally the law is divided into 26 articles, 1 additional provision, 3 transitional provisions, repeal and final provisions 1.
Chapter first. General provisions Article 1 Purpose this law aims to establish a set of principles, rules and procedures applicable to the management of public finance in order to ensure its sustainability within a framework of budgetary stability.
Article 2 scope of application The present law is to: a) the general administration of the State;
b) are common;
c) institutional bodies linked or attached to the State and in the Commons;
d) and parapublic entities of public law related to the general administration and in the Commons;
e) public societies participated by the Government or by common, to the extent that the present Law will refer expressly.
Second chapter. Basic principles Article 3 basic principles administrations, public bodies and public and parapublic entities will manage the financial resources they have in accordance with the following basic principles: a) financial sustainability;
b) budgetary stability;
c) plurianualitat;
d) transparency;
e) efficiency;
f) responsibility;
g) institutional loyalty.
Article 4 the principle of financial sustainability The administrations, organizations and entities subject to this law must adjust his performance in a way that ensures their ability to finance the commitments of expenditure present and future within the limits of allowed public debt and spending provisions of the present law.
Article 5 the principle of budgetary stability The administrations, organizations and entities subject to this law must draw up, approve and execute their budgets within a framework of budgetary stability which is a situation of balance, surplus or deficit accepted in accordance with the terms established in this same standard.
The alienation, sale or transfer of real property and rights of the ordinary is not counted for formalization of a situation of balance or budget surplus.
Article 6 principle of plurianualitat the budgets of all the public administration is classified in a medium-term budgetary framework, compatible with the principle of annuity that governs the approval and execution of budgets.
Article 7 principle of transparency the budgets and accounting of all the administrations, agencies and entities subject to this law must contain sufficient and adequate information that will allow them to verify their financial situation and accomplishing the goals of sustainability of public finances and budgetary stability.
The Ministry in charge of finance will promote the adequate measures to facilitate the public knowledge of this information.
Article 8 the principle of efficiency 1. The politics of public spending must fall on a multi-year planning framework and budgetary programming, taking into account the economic situation of the country, the objectives of economic policy set by the Government and the fulfilment of the objectives of financial sustainability and budgetary stability.
2. The management of public resources must be focused on the efficiency, effectiveness, economy and quality, and for this purpose each administration and entity subject to the present Law will apply policies of rationalising expenditure and improving the management of the public sector.
3. The administrations, institutional bodies and public and parapublic entities linked to the Government or in the Commons are subject to the control of economic opportunity and the control of effectiveness established in the general law on public finance.
The general intervention and the intervention of each common sent annually to the General Council and the Council of each common, respectively, a global report on the exercise of control of economic opportunity and the control of efficiency that they have done on the administrations, agencies and entities subject to its control.
Likewise, sent annually to the General Council and on the boards of the respective common global financial control report that, according to the provisions of the general law on public finance and the law of communal finances, have played on public or parapublic institutions and public companies it invests in.
The interventions sent to the Court of accounts are global reports provided in the preceding paragraphs.
4. Administrations, institutional bodies and public and parapublic entities linked to the Government or in the Commons, as well as public companies with a participation of the general administration of the State or of Commons majority in the capital or sufficient to have control are subject to an audit of the financial management carried out, at the end of each political mandate in accordance with the requirements and contents to be determined by the regulations.
5. The regulatory provisions, in their elaboration and approval phase, the administrative acts, contracts and agreements entered into the administrations, organizations and entities subject to the present Law, they have to assess their impact and effects on public finance, and must be supeditar strictly in compliance with the principles of financial sustainability, budgetary stability , of limiting the weight of direct taxation on the total of direct and indirect taxes from the general administration of the State and limiting the growth of public spending, or of operation, in accordance with the terms established in the present law.
6. In the phase of processing of the legal provisions that may have an impact on the public finances will have to include an economic report on the fulfilment of the objectives established in the present law.
Article 9 principle of responsibility

1. Public authorities, agencies and organisations subject to the present law that fail to comply with the obligations that they anticipate they will assume, in part to be attributable, the responsibilities arising from these breaches.
2. The general administration will not accept nor be liable for commitments by the common, including public societies in which there are involved, without prejudice to the mutual guarantees for the realization of joint projects.
3. The common play nor will respond of the commitments contracted by the public administration, including public societies in which participate, without prejudice to the mutual guarantees for the realization of joint projects.
Article 10 the principle of institutional loyalty 1. The public administration must act in accordance with the principle of institutional loyalty. For this purpose shall: a) to assess the impact that their actions could cause in the rest of the public administrations, especially in the financial field.
b) respect the legitimate exercise of the powers that every Government has attributed.
c) provide the rest of public administrations the information you need about the activity that developed in the exercise of their own powers and, in particular, the arising of the fulfilment of the obligations of supply of information and transparency provisions of the present law.
d) Provide active assistance and cooperation that the rest of the public authorities require it, within their skills and availability.
2. the agreements and arrangements which held together the administrations, organizations and entities subject to the present law for the realization of projects of common interest should contain an assessment of the economic and financial performances projected and set the distribution of loads between the participants.
Third chapter. Budgetary framework Article 11 budgetary framework 1. The preparation and approval of the annual budgets of the administrations, are common, the agencies and the institutions subject to this law will have to adjust to a budgetary framework that will cover the period of mandate that must comply with the requirements and conditions established in the present law.
2. The Government, in a maximum period of six months from its inauguration, will present to the Board for its approval a budget framework-general by the time of his term. This budgetary framework will be reviewed each year and will be made public before they approve the budgets of the general administration of the State.
3. The common, within a maximum period of six months from its inauguration will present to the Common Council for its approval a budget framework-general by the time of his term. This budgetary framework will be reviewed each year and will be made public before they approve the budgets of Commons.
4. The general budget of the State and of the Commons, will consist of a budget projection for the years of the mandate, which is the setting for the annual budgets of the legislature.
This budgetary framework covering: a) the objectives of financial sustainability, budget and fiscal stability, established in the present law.
b) the projections of the main items of income and expenses, taking into account both their evolution tendencial as the impact of the measures planned for the period considered.
c) general economic forecasts in the context of which will apply the budgetary framework, during the mandate period.
5. The Court of Auditors, in accordance with the Minister responsible for finance will publish annually the objectives of financial and budgetary stability and fiscal sustainability set out in the present law, both with regard to the general administration as in the Commons, because these are considered in the preparation and monitoring of its budgetary framework.
6. The budgetary framework must have a previous report of the Court of Auditors on the objectives mentioned in the previous section.
The fourth chapter. Article 12 limitation of public debt debt 1. The public debt of the Principality may not be more than fifty five percent (55%) of the gross domestic product (GDP) expressed in nominal terms and calculated these effects according to the methodology in force at the date of entry into force of the present law.
If the indebtedness of the general administration of the State and of the aforesaid common limit of fifty percent (50%) of the gross domestic product (GDP) expressed in nominal terms, both the general administration as the common need to negotiate and establish a common plan of action for a consolidated debt do not reach the limits established in the previous paragraph.
2. The public debt mentioned in the previous section, will include debt provisions of the general administration of the State and of the common, in accordance with the requirements set forth in this article.
3. For the purposes of calculating the public debt of the Principality of Andorra, is not taken into account the funds of the retirement of the Caixa Andorrana de Seguridad Social. Likewise any Andorran public debt subscribed by the reservation funds of the retirement of the Andorran Social Security, will be considered to all intents and purposes as public debt signed by a third party not linked.
4. The debt of the Government may not exceed 40 per cent of the gross domestic product expressed in nominal terms and calculated these effects according to the methodology in force at the date of entry into force of the present law.
5. The debt of public bodies, public and semi-public entities that are related to the general administration as well as public companies with a participation of the general administration of the State majority in the capital or enough to take control, may not exceed fifty per cent of the consolidated equity of each entity or group of entities. The indebtedness of these agencies, organizations and public societies mentioned above, does not count for the purposes of calculating the debt of the general administration.

6. The common debt including public bodies, public and semi-public entities that are related, as well as public companies with a share of Commons majority in the capital or sufficient to take control may not exceed two hundred percent (200%) of the average total revenue building in the budgets for the three natural years immediately prior , calculated in accordance with the provisions of the law of communal finances.
7. Any administration that exceeds its limit of indebtedness may not perform operations of net debt.
8. For the purposes of sections above and in the general administration, do not include Treasury operations, less than a year, as long as the total live balance does not exceed five per cent of the ordinary expenses of the corresponding budget.
Article 13 public debt 1. The issue of public debt by the Government must be authorized by law, in the terms established by the general law on public finance.
2. The operations of indebtedness of Commons must be authorised in accordance with the law of communal finances and with the limits and conditions established in the present law.
Article 14 special Budget for exceptional reasons 1. The limits of public debt that fixes the article 12 can only be overcome by the Government to the circumstances envisaged and described in the extraordinary budget for exceptional reasons. The lifting of the limit must be expressly authorized by the General Council.
2. The General Council, at the proposal of the Government, may approve a special budget for exceptional reasons if there are natural disasters, emergencies and exceptional situations or events, including economic, that require an urgent and extraordinary public performance that cannot be assumed with the budgetary effect.
The extraordinary budget for exceptional reasons may have multi-year character, with the maximum limit of six years.
3. The General Council shall approve, along with the extraordinary budget, at the proposal of the Government, a plan of financial equilibrium, to comply with the limits of indebtedness within a maximum period of six years. The forecasts of the plan will be integrated in the budget and in regular annual budgets of the State, as applicable to the measures that they contain.
The financial balance plan to submit the Government to the General Council must have the Advisory report of the Court of accounts about their suitability to meet the limits of indebtedness.
The execution of the financial balance plans linked to a special budget for exceptional reasons is subjected to the general control of the balance plans established in the present law.
4. The communes have to respect in any case the limits of indebtedness that fixes the article 12. The situations of natural disasters, serious emergencies or exceptional events, including economic, requiring a performance of Commons they cannot assume with the games of their current budgets will be funded by the budget of the general administration or a special budget for exceptional reasons proposed by the Government and approved by the General Council.
Chapter five. Allowed maximum allowable Expenditure Article 15 expenditure 1. The general administration, you can incur a maximum allowable expenditure (not including the variation of financial assets and liabilities), which will be the result of multiplying the income budgeted for the year (not including the variation of financial assets and liabilities), by a "sustainability tendencial coefficient" that is calculated by dividing the average gross domestic product expressed in nominal terms of the three exercises immediately prior between the gross domestic product expressed in nominal terms for the year immediately preceding and add a positive balance equivalent in the one percent (1%) of the gross domestic product expressed in nominal terms for the year immediately preceding, in accordance with the provisions of the following formula: URformula.pdf 2. The general administration will be able to overcome the limits of expenditure provided in paragraph 1, provided that they meet the requirements of cost for extraordinary reasons that article 17.
3. The common including public bodies, public and semi-public entities that are related, as well as public companies with a share of Commons majority in the capital or sufficient to have the control will be able to incur deficits as long as the debt of the same do not exceed two hundred percent (200%) of the average total revenue building in the budgets for the three natural years immediately prior , calculated in accordance with the provisions of the law of communal finances.
Article 16 Rule or expenditure of operation 1. The variation of the result of the personal spending, real spending and services, as well as current transfers, budgeted for the general administration and the common reference rate may not exceed the growth of the annual national gross domestic product.
2. In the case where the rate of variation of the annual national gross domestic product will be negative, the variation of the chapters of expenditure mentioned in paragraph 1, both with regard to the general administration as in the Commons, may not exceed the zero percent.
3. In the event that the common debt including public bodies, public and semi-public entities that are related, as well as public companies with a share of Commons majority in the capital or sufficient to have the control is less than one hundred and eighty percent (180%) of the average total revenue building in the budgets for the three natural years immediately prior , calculated in accordance with the provisions of the law of communal finances, not the application will be the rule of the current spending or of operation established in this article.
Extraordinary Expenditure article 17 1. In the event of natural disasters, emergencies and exceptional situations or events, including economic, that require an urgent and extraordinary public performance that cannot be assumed with the budgetary effect, the General Council, at the proposal of the Government, will be able to approve a special budget for exceptional reasons, which may incur an extraordinary expense higher than foreseen in article 15.

2. The General Council shall approve, along with the extraordinary budget, a plan of financial balance, to return to a situation of budgetary balance within a maximum period of six years, on the same terms as established in paragraph 3 of article 14.
3. The common need to be kept in any case a situation of balance in accordance with the requirements set forth in article 15. The situations of natural disasters, serious emergencies or exceptional events that require a performance of Commons they cannot assume with the games of their current budgets will be funded by the budget of the general administration or through the extraordinary budget for exceptional reasons that article 14.
Article 18 Superàvits 1. The superàvits of the settlements of the State budget will be applied to the reduction of the public debt or the provision of a freely available reserves account, which may also be used for the acquisition of shares in public companies or public law, or public companies it invests in to the general administration.
2. the superàvits of the settlements of the common budget will be applied to the reduction of the public debt or the provision of a reserve account of freely available, which may also be used for the acquisition of shares in public companies or public law, or public societies participated by common.
Article 19 compensation account 1. The Government will constitute and will manage a clearing account that will be used to pay for the extraordinary budgets for exceptional reasons defined in article 14.
2. the General budgets of the State and of Commons include a budget base corresponding to the zero coma ten percent (0.10%) of the total of their expenses that will be earmarked for the endowment of this account of compensation.
3. If the volume exceeds the zero comma five percent (0.5%) of the gross domestic product (GDP), and if there is no budget extraordinary lives, the General Council, at the proposal of the Government and of Commons, you can choose to use the surplus to the reduction of the public debt or investment projects.
Chapter six. Limitation of the weight of the direct taxation of the total direct and indirect tax administration Article 20 Limitation of the weight of direct taxation on the total of direct and indirect taxes Administration 1. The weight of the direct tax on the total of direct and indirect taxes Administration may not be more than forty per cent, which will be calculated on the basis of the ratio of "total direct tax divided between the total of direct taxes plus indirect taxes excluding excise chapter and the chapter on traffic outside of the general administration".
2. The projects and propositions of law that established, changed or deleted taxes it will be accompanied by a report on the involvement of the limit of weight of direct taxation on the ratio described in section 1.
Chapter seven. Control Article 21 Obligations of information 1. The Government and the communes provided the Court of accounts about the approval, execution and settlement of their respective budgets.
2. The Government and the communes will elaborate a quarterly report on the execution of its budget, within the three months following the quarter expired, that trametran immediately to the Court of Auditors. These reports will focus especially on the fulfilment of the obligations relating to the public debt, the spending allowed the general administration, the deficit of Commons, and in your case, extraordinary budgets for exceptional reasons and measures of financial balance.
3. The auditors of the general administration and of common inform the Court of Auditors on the deviations that occur, higher than five percent (5%), in the execution of the budgets of their respective administrations.
Article 22 Control of Auditors and supervision of the Court of accounts 1. The auditor general and communal mediators, as well as the organs that depend on mediators, will collaborate at all times with the general administration and for ensuring compliance with the obligations established in the present law.
In particular, are taking part in the preparation, the implementation and the control of the budgetary framework of the general administration and the common, the budgets of the general administration and of the common and extraordinary budgets for exceptional reasons.
In the exercise of their functions, the Auditors act with independence and subject exclusively to the law and to the right. The auditor general and communal mediators, during his tenure, can only be dismissed in accordance with the penalty imposed as a result of a disciplinary record, under the terms of the law.
2. The control of the intervenors and the supervision of the Court of accounts shall be made in accordance with the following: a) budgetary framework of the general administration and the common: they will have to count on the previous report of the Court of Auditors in accordance with the provisions of paragraph 6 of article 11.
b) budgets of the general administration and of Commons-The Court of Auditors will monitor the execution and settlement of the budgets of the general administration and of Commons for the purpose of verifying the fulfilment of the obligations established by this law in the area of financial and budgetary stability and fiscal sustainability.
-The bodies of the Comptrollers general administration and of Commons filed objections to the spending provisions, the recognition of obligations and the distribution of payments of the general administration and of Commons, respectively, when they fail to comply with the obligations established in the present Law on debt, deficit spending allowed and common.
-Together with the draft budget that will send to the General Council or the Council of each common, will be accompanied by a report of the respective intervention on compliance with the obligations under articles 12 and 15 in the area of debt, spending permitted and of public deficit of Commons and their conformity to the budgetary framework applicable.

-If in the execution of the budget of the general administration or of Commons the auditor general or communal mediators detect a breach or a serious risk of non-compliance with the obligations laid down in articles 12 and 15 relating to debt, in the expenditure allowed or in the public deficit of Commons, in accordance with the budgetary framework approved, inform the Court of Auditors of these deviations so that it can exercise its powers of control. The Court of accounts instarà in the Government or in the Commons, as appropriate, to adopt the appropriate measures to remedy the situation, including if appropriate the temporary retention of credits by the competent body.
-If it persists the breach in the next term, the Court of accounts will require the Government or in the Commons, as appropriate, for a period of two months and in accordance with articles 23 and 24, drafted a plan of financial equilibrium that guarantees the restoration of the situation and guarantee the fulfillment of the obligations ordered by this rule.
c) extraordinary Budgets for exceptional reasons The Court of Auditors will monitor the execution and settlement of the extraordinary budgets for exceptional reasons, for the purpose of verifying the fulfilment of the obligations established by this law in the medium term, in the area of financial and budgetary stability and fiscal sustainability. Also, examine the financial balance plan to accompany the extraordinary budget for the purpose of declaring the suitability, in accordance with article 14.
Article 23 financial balance Plans 1. In addition to the situations described in the previous article and, in any case, in the event that expressly provided under this law, when it detects a failure or a serious risk of non-compliance with the legal obligations in the area of debt, spending permitted and the public deficit, the Government and the communes, as required, begin the process for approval of a plan of financial balance, which will contain the appropriate measures to comply with these obligations or to prevent any breach thereof.
2. The Government and in the Commons the approval of plans of financial balance. The financial balance plan will be approved by the Government or by the Common Council, as appropriate, within a maximum period of two months from the detection of non-compliance or of the risk of non-compliance, or from the warning that has been formulated to make it unless a contrary legal provision. The process of approval of the plan of financial balance is carried out through the initial approval and final approval.
3. initial approval consists in the agreement of the Government and of the common, as appropriate, of statement of need to implement a program of financial balance to deal with deviations option was and what you can apply for the collaboration and advice of the Court of accounts in the formulation of the same. With this statement will take urgent measures to control the financial situation causing these deviations and will notify you of the agreement on the Court of accounts within a period of three days.
If the Government and the communes require the collaboration of the Court of accounts in the formulation of the plan of financial equilibrium, in a period of seven days following, the latter may appoint a Commission of three experts because in a period of thirty days, presented under the responsibility of the Government and, where appropriate, of a common plan of financial balance. This will feature the collaboration, where appropriate, of institutional bodies, public and parapublic organizations and public societies concerned with all the information and assistance that is required. Under the same conditions and terms, the Court of accounts may choose to advise directly in the elaboration of the plan of financial equilibrium, without the assistance of experts.
In the event that the Government and the communes do not require the collaboration of the Court of accounts, the deadlines for presentation of the financial balance will be the same as those mentioned in the previous sections.
4. The financial balance plan formulated by the Government or by the common will be submitted to the Court of accounts once approved with definitive character. The Court of accounts, in view of the content of the same, shall draw up their final report in the form of motion in the Government or in the Commons within a period of twenty one days from the completion of the previous phase.
If the report is unfavorable or contain observations conditions, the Government or the Commons will have to modify it and send it back to the Court of accounts, within a maximum period of one month.
5. The financial balance plan must contain: a) the identification of the causes that have led to the risk of non-compliance or failure to comply with the obligations established in the present Law relating to debt, of spending permitted public deficits or common;
b) the appropriate measures, relating to expenditure and income, to meet the obligations indicated above, duly quantified based and with a precise calendar of adoption and application;
c) the indicators, if any, that allow them to follow the evolution of the situation and the effectiveness of the measures adopted;
of general economic forecasts) in the context of which the plan will be applied during the period of their validity;
e) forecasting of impact on the weight of direct taxation on the total direct and indirect tax of the measures proposed in the plan, considering the limitation of the growth of public expenditure or on the functioning of the general administration and the common, in accordance with the requirements established in the present law.
5. financial balance plans linked to the approval of a special budget for exceptional reasons follow the regime established by article 14.
Article 24 implementation and monitoring of the plans of financial balance 1. The Government and the communes will on a quarterly basis to the Court of accounts of the application and the effects of the financial balance plans approved. These reports should count with the approval of the auditor general and of the communal mediators, as required.
2. The Court of Auditors may be asked at any time to the Government or to the common information on the implementation of the plans of financial equilibrium and its effects.
3. The Court of Auditors will examine the implementation of the plans of financial equilibrium and its effects in respect of the fulfilment of the objectives of debt, spending and public deficits enabled. In case you detect breaches or deviations, instarà to the Administration to adopt the appropriate measures within a maximum period of one month.

The Government and the common will to the Court of accounts of the actions taken on the basis of the observations that we have addressed.
4. In the event that the Government does not adopt, within the period of one month, the appropriate measures to correct deviations from the compliance with the plans of financial equilibrium, the Court of Auditors will report to the General Council so that it can adopt the measures necessary and appropriate for the Government to give compliance with the obligations established in the present law.
5. In the event that are not common to adopt, within the period of one month, the appropriate measures to correct deviations from the compliance with the plans of financial equilibrium, the Court of Auditors will report to the Government so that it agrees to the interruption of the amount of the transfers in accordance with the provisions of the law of communal finances.
Eighth chapter. Article 25 sanctions Violations, and penalties 1. With regard to infringements, classes and sanctioning refers to the provisions of the general law on public finance, the law of communal finances and the law of the public function.
2. Are responsible for the infringements established in the general law of public finance, in the law of communal finances and the law of the public function, people linked to the public administration to a relationship of service to those who directly have to impute the offender behavior.
3. Without prejudice to the Penal and civil political responsibilities which may be incurred, will be subject to fines: a) serious infringements, with:-the application of penalties for serious offences established by law of the public function, by officials and staff in the service of the general administration according to the applicable regulations;
-the application of penalties for serious offences established by the applicable legislation in the Commons and the public bodies, the public and parapublic entities and affiliated public societies linked or dependent on the State and the common, by professional staff provides its services, according to the applicable legislation in each case;
-in any case, the cessation of the place they occupy, by public officials of free appointment.
b) very serious offences, with:-the application of penalties for very serious offences established by law of the public function, by officials and staff in the service of the general administration;
-the application of penalties for very serious offences established by the applicable legislation in the Commons and the public bodies, the public and parapublic entities and affiliated public societies linked or dependent on the State and the common, by professional staff provides its services, according to the applicable legislation in each case;
-in any case, the cessation of the place they occupy, by public officials of free appointment.
4. The imposition of sanctions will be proportional to the gravity of the offence committed. The graduation of sanctions will be made according to the criteria of responsibility of the position or of the place of work; severity of the damage to the Administration; intentionality; degree of participation and recidivism.
Article 26 Disciplinary Procedure 1. Sanctioning procedure will start against people allegedly responsible for the infringement: a) on the initiative of the Court of accounts;
b) the initiative of the Minister in charge of finance, in respect of the Government and agencies, entities and companies reporting;
c) on the initiative of the consuls, exclusively in respect of the staff of the agencies, entities and societies and common reporting.
2. The procedures directed against public officials and staff in the field of the law of the public function, is processed and will be resolved in accordance with the provisions of the law of public function, with the following specialties: a) the instructor will be appointed by the Minister responsible for finance, in cases affecting the staff in the service of the general administration;
b) the competence to resolve the case for serious offences corresponds to the Minister responsible for finance, and for very serious offences, the Government, in cases affecting the staff in the service of the general administration.
3. The procedures directed against public officials and staff of Commons is processed and will be resolved by the rules that are applicable, with the following specialties: a) the instructor will be appointed by the Consul or by the responsible for the body, the entity or the corresponding company;
b) the competence to resolve the transcript shall be responsible to the Consul.
4. The procedures directed against the personnel of public agencies, public and parapublic entities and affiliated public companies linked or dependent on the State and of Commons be processed according to the rules which are applicable there, with the same specialty, if any, provisions of the previous section.
Additional provision. Provision of financial resources to the General Council, the Government and the communes will provide the Court of Auditors, to the general intervention and the intervention of Commons of necessary resources in order to carry out the functions entrusted to the present law.
First transitional provision. Budgetary framework the Government and the communes will elaborate and approved the first budgetary framework that corresponds according to the present Law on the basis of its Constitution after the first elections held in the respective areas after their entry into force.
The provisions of this law relating to the budgetary framework will only be applicable from the first framework approved in accordance with the previous paragraph.
Second transitional provision. Members of the Court of accounts 1. The current members of the Court of Auditors shall remain in Office for as long as the appropriate, without prejudice to its renewal by the General Council.
2. The General Council shall appoint additional members of the Court of accounts in the period of three months from the entry into force of the present law.
Third transitional provision. Compliance with the obligations established in the present law 1. The borrowing limits, maximum allowable expense, expenditure or current variation of operation, as well as limiting the weight of direct taxation on the total of direct and indirect taxes in the general administration and of Commons established in the present law, will have to meet at the end of the first term in which it is to apply this law.

2. The Government and the communes be made early contributions to the account of compensation charged to the first general budgets of the State and of Commons that corresponds, in accordance with the present Law on the basis of its Constitution after the first elections held in the respective areas after their entry into force.
Repealing provision abolishes all legal provisions and regulations that contravene the provisions of the present law.
First final provision. Modification of the law of the Court of accounts, of 13 April 2000 1. Added a new section to bis) of article 2.1 of the law of the Court of accounts, of 13 April 2000, of the following tenor: "a. bis) monitor the execution and settlement of the budgets of the State and of the common, for the purpose of ensuring the fulfilment of the obligations established by law of sustainability of public finances, budgetary and fiscal stability in the area of financial sustainability , budget and fiscal stability. "
2. Modifies the paragraph 1 of article 3 of the law of the Court of accounts, of April 13, 2000, which is worded in the following terms: "Article 3 1. The Court of accounts meets its function through the preparation of reports or memoirs that, once approved by the plenary, together with the allegations and justifications that have presented the fiscalitzats us and proposed recommendations in order to improve their management and the requirements in order to comply with the principles of financial and budgetary stability and fiscal sustainability must be exposed as part of a report that the Court must submit annually to the General Council. "
3. Added a paragraph 3 in article 2 of the law of the Court of accounts, to read as follows: "3. the disciplinary penalty Function steps) in the law of sustainability of public finances and budgetary and fiscal stability" 4. Modifies the paragraph 1 of article 18 of the law of the Court of accounts, which is worded in the following terms: "1. The full is composed of a Chairman and between two and four members."
5. Changes in paragraph 1 of article 22 of the law of the Court of accounts, which is worded in the following terms: "1. The president and the other members of the Court of Auditors are appointed individually by the General Council, with the favourable vote of two-thirds of its members in the first ballot, for a period of six years, renewable."
Second final provision. Modification of the general law of public finance 1. Modifies the letter g) of article 58 of the general law of public finance, which is worded in the following terms: "g) any other acts or omissions that involve failure to comply with the law of sustainability of public finances and budgetary and fiscal stability, as well as of this law and of the provisions that the reglamenten or deployed.".
Third final provision. Modification of the law 10/2003, of 27 June communal finances 1. Modifies the letter g) of the article 102 of the law 10/2003, of 27 June communal finances, which is worded in the following terms: "g) any other acts or omissions that involve failure to comply with the law of sustainability of public finances and budgetary and fiscal stability, as well as of this law and of the provisions that the reglamenten or the display."
The fourth final provision this law shall enter into force the day after its publication in the official bulletin of the Principality of Andorra, without prejudice to the provisions of the first transitional provision.
Casa de la Vall, 27 November 2014 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.



François Hollande Joan Enric Vives Sicília and President of the French Republic and the Bishop of Urgell Co-prince of Andorra Co-prince of Andorra