The Executive proposes to expand the resources of the reserve fund of the administrative part of the community budget, allocating 5 to 30% of the revenues of the administrative part of the community budget instead of 5 to 20%.
According to the RA Deputy Minister of Territorial Administration and Infrastructure Vache Terteryan, the aim is to increase the capabilities of community authorities to manage the community budget by making independent decisions.
The Laws on the Budget System and on Local Self-Government stipulate that in one case up to 20% of the administrative budget, and in the other case of 5-20%, could be deducted from the reserve fund, which was then transferred to the fund budget and it was possible to make investment or carry out capital asset formation works. According to Vache Terteryan, with this opportunity, the communities will be able to take part in more programmes and carry out capital asset acquisition activities.
The legislative package on the RA Budgetary System and the related laws was debated in the first reading at the NA extraordinary sitting.
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National Assembly of the Republic of Armenia
