Law No. 30372: Public Sector Budget Law for Fiscal Year 2016

El Peruano / Sunday, December 6, 2015 LEGAL NORMS 568041 LEGISLATIVE BRANCH CONGRESS OF THE REPUBLIC LAW NO. 30372 THE PRESIDENT OF THE REPUBLIC WHEREAS:
THE CONGRESS OF THE REPUBLIC;
Has enacted the following Law:

PUBLIC SECTOR BUDGET LAW FOR FISCAL YEAR 2016

CHAPTER I
APPROVAL OF THE PUBLIC SECTOR BUDGET

Article 1. Annual Expenditure Budget for Fiscal Year 2016

1.1 The Annual Expenditure Budget for Fiscal Year 2016 is approved for the amount of S/. 138,490,511,244.00 (ONE HUNDRED THIRTY-EIGHT MILLION FOUR HUNDRED NINETY MILLION ONE HUNDRED ELEVEN THOUSAND TWO HUNDRED FORTY-FOUR AND 00/100 NEW SOLES), which comprises the maximum budgetary credits corresponding to the budgetary units of the National Government, Regional Governments, and Local Governments, grouped into Central Government and decentralized instances, in accordance with the Political Constitution of Peru and according to the following detail:

CENTRAL GOVERNMENT New Soles
Corresponding to the National Government
104,303,961,188.00
Current expenditures 64,342,163,454.00
Capital expenditures 28,679,734,057.00
Debt service 11,282,063,677.00

DECENTRALIZED INSTANCES New Soles
Corresponding to Regional Governments
19,327,967,950.00
Current expenditures 15,717,158,413.00
Capital expenditures 3,422,226,527.00
Debt service 188,583,010.00

Corresponding to Local Governments
14,858,582,106.00
Current expenditures 9,696,833,644.00
Capital expenditures 4,901,871,304.00
Debt service 259,877,158.00

TOTAL S/. 138,490,511,244.00

1.2 The budgetary credits corresponding to the National Government, Regional Governments, and Local Governments are detailed in the annexes that form part of this Law, as follows:

Description Annex
Distribution of public sector budget expenditure by category and generic expenditure.
Distribution of public sector budget expenditure by government level and generic expenditure.
Distribution of public sector budget expenditure by government level and functions.
Distribution of public sector budget expenditure by government levels, units, and financing sources.
Distribution of public sector budget expenditure by National Government units at the level of products, projects, and activities.
Distribution of public sector budget expenditure by regional government at the level of products, projects, and activities.
Distribution of public sector budget expenditure by local governments and generic expenditures.
Distribution of public sector budget expenditure by budgetary programs and units.

1.3 The subsidies and international quotas to be granted during Fiscal Year 2016 by the budgetary units are contained in the annexes: “A: Subsidies for Legal Entities - Fiscal Year 2016” and “B: International Quotas - Fiscal Year 2016” of this Law. During Fiscal Year 2016, prior to evaluation and prioritization by the Ministry of Foreign Relations, Annex B may be modified by supreme decree countersigned by the Minister of Foreign Relations, which does not include the inclusion of additional quotas beyond those contemplated in said annex. International quotas not contemplated in Annex B of this Law are subject to what is established in Article 67 of Law 28411, General Law of the National Budget System.

Article 2. Resources that Finance the Public Sector Budget for Fiscal Year 2016

The resources that finance the Public Sector Budget for Fiscal Year 2016 are estimated by financing sources, for a total amount of S/. 138,490,511,244.00 (ONE HUNDRED THIRTY-EIGHT MILLION FOUR HUNDRED NINETY MILLION ONE HUNDRED ELEVEN THOUSAND TWO HUNDRED FORTY-FOUR AND 00/100 NEW SOLES), according to the following detail:

Financing Sources New Soles
Ordinary resources 85,655,143,718.00
Directly collected resources 11,386,818,851.00 Resources from official credit operations 22,666,553,767.00 Donations and transfers 381,233,938.00 Determined resources 18,400,760,970.00 TOTAL S/. 138,490,511,244.00

CHAPTER II
NORMS FOR BUDGET MANAGEMENT

SUBCHAPTER I
GENERAL PROVISIONS

Article 3. Scope

The provisions contained in this chapter are mandatory for the entities comprising the Legislative, Executive, and Judicial Branches; Public Ministry; National Jury of Elections; National Office of Electoral Processes; National Registry of Identification and Civil Status; Comptroller General of the Republic; National Council of the Magistracy; Ombudsman's Office; Constitutional Court; public universities; and other entities and organisms that have a budgetary credit approved in this Law. Likewise, they are mandatory for regional governments and local governments and their respective public organisms.

568042 LEGAL NORMS Sunday, December 6, 2015 / El Peruano

Article 4. Administrative actions in the execution of public expenditure

4.1 Public entities subject the execution of their expenditures to the budgetary credits authorized in the Public Sector Budget Law, approved by the Congress of the Republic and its amendments, within the framework of Article 78 of the Political Constitution of Peru and Article I of the Preliminary Title of Law 28411, General Law of the National Budget System.

4.2 Any administrative act, act of administration, or administrative resolutions that authorize expenditures are not effective if they do not have the corresponding budgetary credit in the institutional budget or condition the same to the assignment of greater budgetary credits, under the exclusive responsibility of the head of the entity, as well as the head of the Budget Office and the head of the Administration Office, or those acting in their place, within the framework of what is established in Law 28411, General Law of the National Budget System.

Article 5. Control of public expenditure

5.1 The heads of public entities, the head of the Budget Office, and the head of the Administration Office, or those acting in their place in the budgetary unit, are responsible for the proper application of what is established in this Law, within the framework of the principle of legality, collected in Article IV of the Preliminary Title of Law 27444, General Law of Administrative Procedure.

5.2 The Comptroller General of the Republic verifies compliance with what is established in this Law and the other provisions related to public expenditure in accordance with Article 82 of the Political Constitution of Peru. Likewise, and under responsibility, for expenditure executed through the budget by results, it must verify its compliance under this strategy. The result of the actions carried out in compliance with what is established in this paragraph is reported to the Budget and General Account of the Republic Commission of the Congress of the Republic, in the shortest possible time.

SUBCHAPTER II
PERSONNEL INCOME EXPENDITURE

Article 6. Personnel Income

It is prohibited in the entities of the National Government, Regional Governments, and Local Governments, the readjustment or increase of remuneration, bonuses, per diems, allowances, retributions, incentives, compensations, and benefits of any kind, whatever its form, modality, periodicity, mechanism, and source of financing. Likewise, the approval of new bonuses, allowances, incentives, stimuli, retributions, per diems, economic compensations, and benefits of any kind with the same characteristics mentioned above is prohibited. Arbitrations in labor matters are subject to the legal limitations established by this norm and current legal provisions. The prohibition includes the increase in remuneration that could be carried out within the range or cap fixed for each position in the respective remuneration scales.

Article 7. Christmas bonuses, gratifications, and education

7.1 The officials and staff appointed and contracted under the regime of Legislative Decree 276 and Law 29944; university teachers referred to in Law 30220; health personnel referred to in paragraph 3.2 of Article 3 of Legislative Decree 1153; permanent and occasional workers of the Public Sector; personnel of the Armed Forces and the National Police of Peru; and pensioners under the State included in the regimes of Law 15117, Laws 19846 and 20530, Supreme Decree 051-88-PCM, and Law 28091, within the framework of paragraph 2 of the Fifth Transitory Provision of Law 28411, General Law of the National Budget System, receive in Fiscal Year 2016 the following concepts:

a) Christmas bonuses for National Holidays and Christmas, which are included in the payroll corresponding to July and December, respectively, whose amounts amount to, each, up to the sum of S/. 300.00 (THREE HUNDRED AND 00/100 NEW SOLES).

b) The education bonus, which is included in the payroll corresponding to January and whose amount amounts to up to the sum of S/. 400.00 (FOUR HUNDRED AND 00/100 NEW SOLES).

7.2 Public entities that have personnel under the private activity labor regime are subject to what is established in Law 27735, to pay the corresponding gratifications for National Holidays and Christmas in July and December, respectively. Likewise, they grant the education bonus up to the amount indicated in paragraph b) of paragraph 7.1, unless, by legal provision, they have been delivering a different amount than that indicated in the cited paragraph.

7.3 Workers contracted under the Special Labor Regime of Legislative Decree 1057, within the framework of Law 29849, receive for the concept of Christmas bonus for National Holidays and Christmas, which are included in the payroll corresponding to July and December, respectively, up to the amount referred to in paragraph a) of paragraph 7.1 of this article. For this effect, said workers must be registered in the Computer Application for the Centralized Registry of Payrolls and Data of Human Resources of the Public Sector under the General Directorate of Public Resource Management of the Ministry of Economy and Finance.

SUBCHAPTER III
AUSTERITY MEASURES, DISCIPLINE
AND QUALITY IN PUBLIC EXPENDITURE

Article 8. Measures in personnel matters

8.1 The entry of personnel into the Public Sector for personal services and appointment is prohibited, except in the following cases:

a) The designation in positions of trust and senior executives of free appointment and removal, in accordance with the entity's management documents, Law 28175, Framework Law of Public Employment, and other regulations on the matter, while Law 30057, Civil Service Law, is implemented in the respective entities.

b) Appointment in budgeted positions when it concerns magistrates of the Judicial Branch, prosecutors of the Public Ministry, professors of the National Teaching Corps, as well as personnel graduated from the schools of the Armed Forces and the National Police of Peru and the Diplomatic Academy.

c) Incorporation into the Special Public Penitentiary Career, for the completion of its implementation, of up to one hundred percent (100%) of the personnel of the National Penitentiary Institute (INPE) subject to the labor regime of Legislative Decree 276 who are included in Law 29709, Law of the Special Public Penitentiary Career, which includes the percentages established in paragraph e) of paragraph 8.1 of Article 8 of Law 29951, Public Sector Budget Law for Fiscal Year 2013, in paragraph c) of paragraph 8.1 of Article 8 of Law 30114, Public Sector Budget Law for Fiscal Year 2014, and in paragraph c) of paragraph 8.1 of Article 8 of Law 30281, Public Sector Budget Law for Fiscal Year 2015.

d) Contracting for replacement due to resignation, promotion, or advancement of personnel, or for temporary substitution of Public Sector staff, while Law 30057, Civil Service Law, is implemented in the corresponding cases. In the case of replacements due to resignation of personnel, this includes the resignation that may have occurred since the year 2014, it being necessary to take into account that entry into the public administration necessarily takes place through a public merit competition and subject to the respective management documents. In the case of promotion or advancement of personnel, entities must take into account, prior to carrying out said personnel action, what is established in paragraph b) of the Third Transitory Provision of Law 28411, General Law of the National Budget System. In the case of personnel substitution, once the work for which the person was contracted is finished, the respective contracts are automatically terminated.

The promotion or advancement referred to in this paragraph, in the case of university teachers, is only applicable to those universities that have concluded the process of adaptation of public university government regulated by the First Complementary Transitory Provision of Law 30220, University Law.

e) Appointment in budgeted positions when it concerns university teachers. What is established in this paragraph is only applicable to those universities that have concluded the process of adaptation of public university government referred to in the First Complementary Transitory Provision of Law 30220, University Law.

f) The assignment of public managers, in accordance with the corresponding certification of budgetary credit granted by the destination entity and the National Authority of Civil Service (SERVIR), charged to the institutional budget of said units, and until the completion of the implementation process of Law 30057, Civil Service Law, in the respective entities.

g) Contracting in budgeted positions of university teachers in public universities created from the year 2007, charged to their institutional budget and within the framework of current legal provisions.

h) The appointment of up to twenty percent (20%) of health professionals and health technical and auxiliary staff of the Ministry of Health, its public organisms, and the health executor units of Regional Governments and Local Communities of Health Administration – CLAS, defined as of the date of entry into force of Legislative Decree 1153.

i) The appointment of the Judges and Reporting Secretaries of the Fiscal Tribunal, referred to in Article 99 of the Single Text of the Tax Code, approved by Supreme Decree 133-2013-EF.

j) The temporary contracting of teaching staff in public basic and technical-productive education institutions, within the framework of Law 30328 and its complementary devices, which is carried out in vacant positions coded in the Nexus Position Administration and Control System of the Ministry of Education.

For said contracting, what is established in the second paragraph of Article 76 of Law 29944, Law of the Teaching Reform, is applicable.

For this effect, it is a prior requirement to have an updated Analytical Personnel Budget (PAP).

8.2 For the application of the exception cases established from paragraph a) to paragraph j), it is a requirement that the positions or posts to be occupied are approved in the Personnel Assignment Chart (CAP), the Provisional Personnel Assignment Chart (CAP Provisional), or the Entity Position Chart (CPE), as appropriate, registered in the Computer Application for the Centralized Registry of Payrolls and Data of Human Resources of the Public Sector under the General Directorate of Public Resource Management of the Ministry of Economy and Finance, and that they have the respective certification of the budgetary credit.

8.3 Additionally, for the promotion or advancement established in paragraph d) of this article, in the case of professors of the National Teaching Corps, university teachers, and health personnel, as well as for the appointment of university teachers referred to in paragraph e) of this article, prior to carrying out said personnel actions, it is necessary the favorable report of the General Directorate of Public Budget and the technical report of the General Directorate of Public Resource Management linked to the information registered in the Computer Application for the Centralized Registry of Payrolls and Data of Human Resources of the Public Sector for the case of the National Government and Regional Governments.

8.4 For the application of the case provided for in paragraph h) of this article, by Supreme decree countersigned by the Minister of Economy and Finance and the Minister of Health, at the proposal of the latter, budgetary modifications at the institutional level in favor of the public organisms of the Ministry of Health and Regional Governments are approved, charged to the financing provided in the institutional budget of the Ministry of Health, with the objective of attending the expenditure in matters of appointments referred to in the cited paragraph, prior to approval by the Ministry of Health of the guidelines on the composition of the twenty percent (20%) of health professionals and health technical and auxiliary staff to be appointed. Additionally, by March 31, 2016, the Ministry of Health will send to the Ministry of Economy and Finance, the nominal list of personnel included in this article.

8.5 Public entities, regardless of the labor regime that regulates them, are not authorized to incur expenses for the concept of overtime.

568044 LEGAL NORMS Sunday, December 6, 2015 / El Peruano

Article 9. Measures in matters of budgetary modifications at the programmatic functional level

9.1 At the unit level, Expenditure Item 2.1.1 “Remuneration and Cash Complements” cannot enable other expenditure items nor be enabled, except for the enabling that takes place within the indicated item between executor units of the same unit. During budget execution, said restriction does not include the following cases:

a) Creation, deactivation, fusion, or restructuring of entities.

b) Transfer of competencies within the framework of the decentralization process.

c) Attention to judicial sentences with the quality of res judicata.

d) Attention to debts for social benefits and compensation for years of service.

e) Modifications at the programmatic functional level that are carried out until January 31, 2016. For the application of what is established by paragraph h) of paragraph 8.1 of Article 8 of this Law, exceptionally, the Ministry of Health, its public organisms, and Regional Governments may carry out budgetary modifications at the programmatic functional level until March 31, 2016.

For the enabling of Expenditure Item 2.1.1 “Remuneration and cash complements” by application of the cases indicated from paragraph a) to paragraph e), the prior favorable report of the General Directorate of Public Budget is required, with a favorable technical opinion of the General Directorate of Public Resource Management linked to the information registered in the Computer Application for the Centralized Registry of Payrolls and Data of Human Resources of the Public Sector for the case of the National Government and Regional Governments.

9.2 At the unit level, Expenditure Item 2.2.1 “Pensions” cannot be enabling, except for the enabling that takes place within the same item between executor units of the same budgetary unit, and for the attention of judicial sentences in pension matters with the quality of res judicata, in the latter case prior to a favorable report from the General Directorate of Public Budget.

9.3 Budgetary modifications at the programmatic functional level charged to the Generic Expenditure “Acquisition of Non-Financial Assets” are prohibited, with the objective of enabling resources for the contracting of persons under the Special Labor Regime of Legislative Decree 1057. The same restriction is applicable to expenditure items linked to infrastructure maintenance, which also cannot be subject to budgetary modification to enable resources destined to the financing of contracts under the Special Labor Regime of Legislative Decree 1057 not linked to said end.

Contracting under the Special Labor Regime of Legislative Decree 1057 is not applicable in the execution of public investment projects.

9.4 At the unit level, Specific Expenditures 2.3.2 8.1 1 “Administrative Service Contract” and 2.3.2 8.1 2 “EsSalud Contributions of C.A.S.” cannot enable other items, generic or specific expenditures of their institutional budgets nor be enabled, except for the enabling that takes place between or within the indicated specifics in the same executor unit or between executor units of the same unit, remaining, only for said purpose, exempt from what is established in paragraph 9.5 of this article. During budget execution, said restriction does not include the following cases:

a) Creation, deactivation, fusion, or restructuring of entities.

b) Transfer of competencies within the framework of the decentralization process.

c) Modifications at the programmatic functional level that are carried out until March 31, 2016.

The entities of the National Government and Regional Governments, for the enabling or cancellation of Specific Expenditures 2.3.2 8.1 1 “Administrative Service Contract” and 2.3.2 8.1 2 “EsSalud Contributions of C.A.S.” by application of the cases indicated from paragraph a) to paragraph c) of this paragraph, require the prior favorable report of the General Directorate of Public Budget.

9.5 Budgetary credits destined for the payment of social charges cannot be destined for other purposes, under responsibility.

9.6 It is prohibited, during Fiscal Year 2016, for the units Ministry of Defense and Ministry of Interior to carry out budgetary modifications at the programmatic functional level charged to Expenditure Item 2.3.1 3. Fuels, Carburants, Lubricants, and Affinities with the aim of enabling other items, generic or specific expenditures

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