The Budget Funds Spending Transparency

Rational and efficient spending of budget money. The PMR President’s law-in-draft on amendments to the republican budget for 2023 establishing a unified procedure for the execution of contracts during construction or overhaul at the expense of budgets of various levels was supported today immediately in two readings by the Supreme Council.

Chairman of the Supreme Council of the Pridnestrovian Moldavian Republic Alexander Korshunov called the adopted changes to the current legislation the optimal formula for interaction between the state and contractors who carry out repairs or construction of facilities under the Capital Investment Fund and other state budget expenditures. The law-in-draft was developed after a large number of meetings and based on the results of control and analytical measures to verify the financial activities of construction organizations that were carried out at the end of last year by the Accounts Chamber of the Pridnestrovian Moldavian Republic.

The deputies voted in the course of the plenary session for a number of changes to the state budget for this year. The construction organizations that carry out overhaul and construction under contracts of various levels must work on the regular taxation system now, (patent and "simplification" are prohibited), the involvement of legal entities to perform work under subcontracts and individuals under civil law contracts is allowed for an amount not exceeding 20% of the total cost of work provided for in the general contractor agreement. One more important point – the wage fund that is reflected in the acts of work performed on these objects for the year, must be paid to the builders in full. The Speaker of the Parliament clarified: so that there is no desire to save on wages for employees of construction organizations. Such cases were also identified during the audit of the Accounts Chamber. While decisions were made to increase the coefficients for calculating wages for employees of construction organizations employed at facilities financed from the budget, there were cases when the wages reflected in the acts of work performed were not paid in full. Just as payroll taxes were not paid in full to the budget.

Adopted in two readings at once the legislative initiative of the President of the PMR  establishes clear rules for concluding contracts that will be transparent and understandable for both parties – both for the state as the customer of the work and for the contractors who will perform these works, according to Speaker Alexander Korshunov. The adopted norms apply to legal relations that arose from the 1st of January, 2023.