Reformed Act Creating The Background For Economic And Social Development Of The Municipalities.

Original Language Title: REFÓRMASE LA LEY DE CREACIÓN DEL FONDO PARA EL DESARROLLO ECONÓMICO Y SOCIAL DE LOS MUNICIPIOS.

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INDEX LEGISLATIVE DECREE No. 1079

THE LEGISLATURE OF THE REPUBLIC OF EL SALVADOR, CONSIDERING
:
I.- by Legislative Decree No. 74 dated September 8, 1988, published in the Official Gazette No. 176, Volume 300 of the 23 of the same year the Law establishing the Fund for Economic and Social Development of the Municipalities, as amended by Legislative Decree No. 617, issued on the 1st. February 1996, published in the Official Journal No. 43, Volume 330 of 1o. March of the same year; No. 76 dated September 11, 1997, published in the Official Gazette No. 196, Volume 337, October 22 the same year; No. 217, of January 22, 1998, published in the Official Journal No. 28, Volume 338 of February 11 the same year; No. 348 dated June 16, 2004, published in the Official Journal No. 112, No. 363 Volume 17 of the same year; No. 142, of November 9, 2006, published in OJ No. 230, Volume 373, dated December 8, 2006;
II.- by Legislative Decree No. 633, dated June 10, 1999, published in the Official Journal Volume 343 No. 115, dated June 22, 1999, authentic interpretation of Art was decreed. 5 of the Law establishing the Fund for Economic and Social Development of the Municipalities in the sense that municipalities may use resources from the Municipal Fund individually or when two or more municipalities to associate, to realize between they cooperative, to collaborate in the realization or services that are of interest to the same conventions, but that law is silent on the use of such Fund for the creation and operation of associative entities established by the Municipal Code or other necessary for the execution of works, execution of projects or services of interest to two or more municipalities;
III.- That view within the work plans of the municipalities, the Executive Branch through the Ministry of Environment, among others; and Agenda of the Corporation of Municipalities of the Republic of El Salvador, it being included as regards the implementation of the Law on Territorial Planning and Development, between its goals the promotion of associativism of the municipalities, mainly in regard to municipal public toilet service, street sweeping, collection and disposal of waste, as well as trails, a priority action involves strengthening municipal associations and the Departmental Councils of Mayors or as a mechanism CDAS for local development and therefore the Department, it is necessary that the municipalities have legal tools to enable them to obtain their individual or associated institutional strengthening and thus fulfill its purpose;
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CONTENTS IV.- LEGISLATIVE
That within the organizational structure of the Corporation of Municipalities of the Republic of El Salvador Association, are the Departmental Councils of Municipalities, called, "CDA", which constitute the Authority at the Department level Gremial in the Republic, and a deliberative and analytical Department forum that is related to municipal work, which aims to help create the necessary conditions for the achievement of economic, social, political and cultural development;
V. That the country's municipalities, are union members voluntarily and based on its Autonomy Corporation MUNICIPALITIES OF THE REPUBLIC OF EL SALVADOR association, registered at No. 23 of Book No. 68 of National Associations of Register of Associations and Foundations Nonprofit, whose purpose, as non-governmental institution, is to contribute actively in the defense and strengthening of autonomy and municipal competition and help build in El Salvador, a democratic and participative society, promote and strengthen the process of reforms to the financial, economic, political, operational and administrative decentralization of the state, promote the continuous updating of the municipal legal framework;
VI.- That by the Regulations of the Law establishing the Fund for Economic and Social Development of the Municipalities, contained in Executive Decree No. 35 dated March 25, 1998, published in the Official Journal No . 62, Volume 338 of the same year March 31 in Item 4o. Art. 10 municipalities are empowered to make the contribution granted by the State through the Salvadoran Institute of Municipal Development, ISDEM can allocate up to 1% for payment of membership and union dues, the percentage should be applied to the 20% allocated for operating expenses of each municipality.
THEREFORE,

In exercise of its constitutional powers and initiative of Deputies Mario Antonio Ponce Lopez, Cesar Humberto Garcia Aguilera, Carlos Cortez Hernandez, Carlos Armando Reyes, Ana Daysi Villalobos, Antonio Vasquez Guadalupe Martinez and Arely Nery Diaz de Rivera.
DECREES the following:
REFORM TO ARTICLE 5 OF THE LAW OF CREATION OF THE FUND FOR THE ECONOMIC AND SOCIAL DEVELOPMENT OF THE MUNICIPALITIES, ISSUED BY LEGISLATIVE DECREE No. 74 DATED 8 SEPTEMBER 1988 POSTED ON Official Gazette No. 176, Book No. 300 OF 23 OF THE SAME MONTH AND YEAR.
Art. 1. Section 5 is amended in the sense of adding the following two paragraphs, as follows:
"Municipal Resources from the fund may be applied by municipalities individually or when two or more municipalities to associate, to improve , defend and project its interests
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LEGISLATIVE INDEX
or specify including cooperative agreements, to collaborate in the execution of works or services that are of interest to them.
"Municipalities may apply based on their autonomy to 0.50% of the total contribution granted by the State, referred to in Art. 1 of this Act, through the Salvadoran Institute of Municipal Development, ISDEM, agreement of the Municipal Council of each municipality; for the establishment and operation of associations of municipalities, decentralized entities at the municipal level and foundations, associations and companies of municipal service, with legal personality, created according to the Municipal Code, for the purposes set out in this article, including a Departmental Councils of Municipalities or CDAS as a basic instance of municipal cooperation at the departmental level; as well as up to 1% of the same contribution, to pay union fees of the Corporation of Municipalities of the Republic of El Salvador, COMURES Association and other national entities legal nature like, the percentage should be applied to 20 % allocated for operating expenses of each municipality. "
Art. 2. This Decree shall enter into force eight days after its publication in the Official Journal.
GIVEN IN THE LEGISLATIVE PALACE: San Salvador, on the twenty-fifth of April two thousand and twelve. Sigfrido Reyes Morales OTHON

PRESIDENT CIRO ANTONIO GUILLERMO CRUZ PEÑA ZEPEDA GALLEGOS NAVARRETE SECOND FIRST VICE VICE
MERINO LOPEZ FRANCISCO JOSE ALBERTO ROMERO ARMANDO RODRIGUEZ THIRD QUARTER VICE VICE
FRANCISCO ROBERTO DURAN LORENZANA FIFTH VICE
LORENA GUADALUPE MENDOZA PEÑA AGUILERA CESAR GARCIA HUMBERTO First Secretary Second Secretary
ROBERTO JOSÉ GONZÁLEZ ELIZARDO LOVO D'Aubuisson MUNGUÍA FOURTH THIRD SECRETARY SECRETARY
LOURDES IRMA VASQUEZ PALACIOS FIFTH SIXTH SECRETARY SECRETARY
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LEGISLATIVE INDEX
GUERRERO MARIO ALBERTO TENORIO
SEVENTH HOUSE PRESIDENTIAL SECRETARY: San Salvador, on the eleventh day of May in the year two thousand and twelve.
PUBLISH,
Carlos Mauricio Funes Cartagena President of the Republic.
ENRIQUE CACERES JUAN CARLOS CHAVEZ RAMON, Minister of Finance.
OJ No. 86 Tomo # 395 Date: May 14, 2012.
ROM / geg 07-06-2012