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IT AMENDS DECREE LAW NO. 3.063, 1979, ON MUNICIPAL INCOME, LAW NO. 18,695, CONSTITUTIONAL ORDER OF MUNICIPALITIES, AND OTHER LEGAL BODIES, IN RELATION TO THE MUNICIPAL AND OTHER MUNICIPAL MATTERS

Original Language Title: MODIFICA EL DECRETO LEY Nº 3.063, DE 1979, SOBRE RENTAS MUNICIPALES LA LEY Nº 18.695, ORGÁNICA CONSTITUCIONAL DE MUNICIPALIDADES, Y OTROS CUERPOS LEGALES, EN RELACIÓN CON EL FONDO COMÚN MUNICIPAL Y OTRAS MATERIAS MUNICIPALES

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LAW NO. 20,237 AMENDS DECREE LAW NO. 3.063, 1979, ON MUNICIPAL INCOME; LAW NO. 18,695, CONSTITUTIONAL ORGANIC OF MUNICIPALITIES, AND OTHER LEGAL BODIES, IN RELATION TO THE MUNICIPAL COMMON FUND AND OTHER MUNICIPAL MATTERS This is the case that the National Congress has given its approval to the following Bill: Article 1.-Introduces in Decree Law No. 3.063, 1979, on Municipal Income, whose consolidated, coordinated and systematized text was established by the decree Supreme Law No 2.385, 1996, of the Ministry of the Interior, the following amendments: 1. Replace Article 38 by the following: " Article 38.-The distribution of the Municipal Common Fund referred to in Article 14 of Law No 18,695, Constitutional Organics of Municipalities, whose consolidated, coordinated and systematized text is According to the decree, the decree with force of law No. 1, 2006, of the Ministry of the Interior, will be subject to the following indicators: 1. 25 percent equal parts among the country's communes. 2. Ten percent in relation to the number of poor people in the commune, weighted in relation to the poor population of the country. 3. Thirty percent in direct proportion to the number of land-tax-exempt prediums of each commune, with respect to the number of pregod exempt from the country, weighted according to the number of prediums exempt from the commune in relation to the total This is not the case. 4. Thirty-five percent in direct proportion to the lower permanent own income of the year preceding the calculation, which will be determined on the basis of the lowest permanent municipal income per inhabitant of each commune, in relation to the national average of such income per inhabitant. In order to determine this lower income, the floating population shall also be considered to be those mentioned in the supreme decree referred to in the fourth paragraph of this article. For the purposes of the preceding Nº 4, the following shall be considered as the permanent own revenue of each municipality: the income of the municipal property; the surplus of the territorial tax to be collected in the commune, once The Commission has taken into account the fact that it has received a total of 5% of the total amount of the proceeds from the proceeds of direct benefit municipal patents; the revenue from the for mining and aquaculture patents corresponding to the municipality; the revenue for the (a) the revenue from driving licences and the like; miscellaneous duty revenue; revenue from concessions; revenue from the municipality for the tax on the operating companies of gaming casinos, established in Law Nº 19,995, and the proceeds from the fines of direct benefit and financial penalties that the municipalities apply. Without prejudice to the foregoing, for the commune of Easter Island, the resources which, under the Municipal Fund and prior to its distribution, will be assigned as compensation to the children, will also be considered as their own income. the income that the municipality ceases to receive pursuant to Article 41 of Law No. 16,441, for the concepts of territorial taxes, permits for circulation, and municipal patents. The determination of the amount of resources that will be made to the municipality of Easter Island, due to the indicated compensation, will be established in the regulations of the Municipal Common Fund. In any event, this amount shall not be less than 1,1 times the sum of the expenditure on staff and consumer goods and services of the preceding year than that of the calculation of this part of the Fund. By means of a supreme decree, issued through the Ministry of the Interior and which will also be signed by the Minister of Finance, the distribution coefficients of the Ministry of Finance shall be determined annually, in the month of December of the year preceding that of its application. the resources referred to in the preceding provisions. In the same decree, the weightings shall be established to determine the number of inhabitants to be assigned to the communes which, according to the procedure, methodology and criteria laid down in the regulation referred to in the sixth subparagraph of This article has been declared as a community spa, or to others that receive a significant flow of floating population, at certain periods of the year. The municipalities which, by application of the distribution rules mentioned above, reduce their income from the Municipal Fund in relation to the estimated revenue to be collected during the year of the calculation, shall be compensated by the Fund itself. The difference that occurs will be compensated in whole or in part on the basis of the availability of estimated resources for each year, fixed annually, by means of the decree mentioned in the previous paragraph, the total amount that will be allocated to the compensation and what will be the responsibility of each of the respective municipalities for this purpose. The regulations of the Municipal Common Fund, issued through the Ministries of the Interior and the Treasury, will regulate the operation of this Fund, in particular, the mechanism for collecting the resources and other criteria necessary for its implementation. implementation, including its indicators and variables, the stabilisation mechanism and the sources or figures of official information to be applied in each case. " 2.-Article 41 (7), followed by the separate point, which becomes comma (,), the following text: " unless proof to the contrary. The payment of the aforementioned right shall be made in any of the banks and financial institutions authorized to collect taxes, at the time of the contract of sale, and shall be the responsibility of the seller, unless otherwise agreed. The Treasury Department will have to incorporate the amounts collected for this concept into the Municipal Fund. Notaries and civil servants who authorize the transfer must first require the accreditation of the payment of the last movement permit and shall be entitled to issue the corresponding change. " 3.-Reposition Article 61 by the " Article 61.-Payments for contributions that the municipalities have to enter into the Municipal Fund shall be made in the bank offices or other entities or places authorized by the Treasury Department, at the latest by the fifth the working day of the month following that of the respective collection. Without prejudice to the corresponding responsibilities, the municipalities that do not enter such payments within the prescribed period shall pay them exclusively in the regional or provincial treasurers of the country, and other places to be determined by the Treasury Service. The said treasurers shall settle the delinquent contributions, adjusted in accordance with the variation that the consumer price index has experienced between the due date and the effective payment date, and will also be affected by a interest of one and a half per cent monthly. This interest shall be calculated on the adjusted values in the preceding form. ' Article 2 °.-The following amendments are introduced to Law No. 18,695, Constitutional Organic of Municipalities, whose consolidated, coordinated and systematized text is established by the decree with force of Law No. 1, 2006, of the Ministry 1.-Add to Article 14 (3), third indent, following the separate point (.), which shall be followed, the following text: " However, in the case of fines for infringements or breaches of Article 118a of the Law N ° 18,290, only 70% of them will be able to integrate the Municipal Fund, with the percentage remaining remaining for the benefit of the municipality in which the respective fine has been applied. '2.-Article 27, the following point (e), as referred to in point (e), to be (f):' (e) to issue to the Sub-Secretariat for Regional Development and Administrative department of the Ministry of the Interior, in the format and by the means determined and provided by the Ministry of Interior, the records referred to in points (c) and (d). The Secretariat shall inform the Comptroller General of the Republic, at least six months, of the records referred to in point (c) above. " 3.-Add in the second indent of Article 29, following the end point (.), The following sentence: " In the event of non-compliance with its functions, and in particular the obligation referred to in the first paragraph of Article 81, the summary shall be instructed by the Comptroller General of the Republic, upon request. 4.-Amend the first paragraph of Article 81: (a) Intercalase, between the words "that" and "the", the following sentence, preceded by a comma (,): "by means of a report,". (b) Intercalase, between the word "municipal" and the point followed that happens, the following sentence, antecedida of a comma: " the contingent liabilities arising from, inter alia, legal claims and debts with suppliers, service undertakings and public entities, which may not be served in the framework of the annual budget. " 5.-Enter the following amendments to Article 88: (a) Intercalanse, following the third subparagraph, the following fourth and fifth points: " For the purposes of the perception of the diet and of the additional allocation laid down in the sixth indent, the inassists shall not be considered as such they obey medical or health reasons, which have been duly accredited by means of a certificate issued by a doctor entitled to practice the profession, presented to the council through the municipal secretary. Similarly, for the purposes mentioned above, and after agreement of the council, an alderman may be exempted from the death of a child, of the spouse or of one of their parents, provided that the death had taken place within the seven days before the respective session. In addition, the number of members of the council who are responsible for carrying out the duties expressly authorised by the Council itself shall not be regarded as being the case. ' (b) Substitute its final indent by the following: " However, when a councillor is in the the performance of the duties on behalf of the municipality, it shall be entitled to receive funds in order to cover its expenses for food and accommodation. Such funds shall not be subject to surrender and shall be equivalent to the amount of the viatic corresponding to the respective mayor for the same concepts. " Article 3.-Substitute, in the fourth indent of Article 24 of Law No. 18.287, on Procedure before the Local Police Courts, the sentence "shall fully enter into the Municipal Common Fund" by the following: " corresponds, in whole or in the respective proportion, directly to the Municipal Fund. " Article 4 °.-The second subparagraph of Article 2 (g) of the Decree-Law No 1-18,359 of 1985 of the Ministry of the Interior is replaced by the following: " 4.-To prepare and propose to the President of the Republic the coefficients of distribution of the resources of the Municipal Common Fund, for the purposes of the provisions of Article 38 (4) of Decree Law No. 3.063, 1979, on Municipal Income. These coefficients, together with the contributions, resources received, outstanding debts and renegotiations with the Municipal Fund, must be published on the Internet so that they can be reviewed free of charge by the users of the system, without the need to obtain a digital key beforehand. " Article 5.-Substitute the second paragraph of Article 4 of Law No 19.602, for the following: " Failure to provide the requested information in a timely manner shall empower the Secretariat to instruct the Service of Treasuries to refrain from making remittances for advances from the Municipal Common Fund, in respect of the municipality of Morosa, while not handing over the requested information. The Secretariat, in the exercise of the powers granted to it by the law, may verify in the respective municipalities the information it deems relevant related to the areas established in Article 2. " Transitional Article.-The form of distribution of the Municipal Common Fund established in Article 1 (1) of this Law shall begin to be governed by the following year of its publication. Having complied with the provisions of Article 93 (1) of the Constitution of the Republic of the Republic, and because I have had to approve and sanction it; therefore, promulgate and take effect as the Law of the Republic. Santiago, 17 December 2007.-MICHELLE BACHELET, President of the Republic.-Belisario Velasco Baraona, Minister of the Interior.-Andres Velasco Branes, Minister of Finance. What I transcribe to you for your knowledge.-Saluda Atté. to Ud., Claudia Serrano Madrid, Assistant Secretary for Regional and Administrative Development. Constitutional Court Draft law amending Decree Law No. 3.063, 1979, on Municipal Income, Law No. 18,695, Constitutional Organics of Municipalities and Other Legal Bodies, in relation to the Municipal and Other Common Fund Municipal Matters, Bulletin No. 4040-06 The Secretary of the Constitutional Court, who subscribes, certifies that the Chamber of Deputies sent the bill enunciated in the rubric, approved by the National Congress, so that this Tribunal exercise of the control of constitutionality in respect of numbers 1), 3) and point (a) of the Article 2 of the project itself, and that by judgment of 11 December of two thousand seven in the cars Rol No. 999-O7-CPR. I declare: 1.-Article 2 (1), 2 (3) and 5 (a) of the draft submitted are constitutional. 2.-That the article 3 of the draft submitted is also constitutional. Santiago, December 11, 2007.-Rafael Larraín Cruz, Secretary.