Special Purpose Funds Research Articles

Legal Aspects of Functioning of the National Welfare Fund in the Conditions of International Sanctions Application

The present article is devoted to the consideration of issues related to the legal peculiarities of formation and use of the main sovereign fund of the Russian Federation in the conditions of economic crisis. The basis of the research is the objective needs of modern Russian society in achieving the national development goals of the state and in the inviolability of its sovereignty, which determines the special relevance of the effective functioning of the National Welfare Fund of the Russian Federation to counteract the sanctions pressure of unfriendly countries. It has been established that the National Welfare Fund of the Russian Federation can be considered from different positions as a multidimensional concept: as a type of economic relations, as a special-purpose fund of money formed within the federal budget, as a set of interrelated specialised powers of public authorities and as one of the key primary methods of budget regulation. In the course of the conducted research some aspects of legal regulation of public relations on the formation, distribution and use of the National Welfare Fund of the Russian Federation, which need to be updated and modified, have been identified. Conceptual proposals aimed at doctrination and regulation of the specified groups of public relations in the norms of financial law are formulated.

Church Construction in Transbaikalia and the Chinese Eastern Railway: Kaydalovskaya Railway Branch at the Turn of the 19<sup>th</sup> – 20<sup>th</sup> Centuries

The paper considers the process of church construction on the Kaidalovskaya branch of the Trans-Baikal Railway (one of the branches connecting the Chinese Eastern Railway with the Russian railway network). The history of how the branch was constructed and operated has been left beyond the scope of scholars’ interests, which explains the focus of the paper. The research relies on archive records data and aims at assessing the role of the state in the spread of Orthodoxy in Transbaikalia and the Far East through the main stages of the branch railway construction at the turn of the 19th – 20th centuries. It also sheds light on how the Department of Railways of the Ministry of Railways and the Department of the Committee of the Trans-Baikal Railway solved the practical issues. The study spotlights a special agreement between the Trans-Baikal and Chinese Eastern Railways, which was concluded in order to boost efficiency of the CER railway section from the Chinese border to Manchuria station. It helps to evidence the specificity of church construction in the region under consideration: the trend towards constructing churches on the territory of large settlements near the railway and introducing mobile church cars. In such a way, the abbots of churches at the stations could travel hundreds of kilometers and meet the religious needs of workers and employees who lived along the railway line. The paper concludes that church construction has become a manifestation of Russian national policy aimed at strengthening its stance in the east of the country. The churches on the Kaydalovskaya branch, funded by philanthropists, local residents, and special purpose funds, still exist and should be seen as cultural heritage sites.

National Fund for the Protection of Monuments: legal and financial issues

This study deals with the legal and financial issues of the National Fund for the Protection of Monuments (NFOZ), which has been operating since 1 January 2018 as a special purpose fund. The Fund has statutorily assigned revenues that come from fines paid by violators of regulations related to the protection of monuments. The study analyses the fund’s receipts and expenditures listed in its annual financial plans and concludes that, due to its relatively small revenues, the NFOZ contributes only minimally to the financing of the monument protection system in Poland.

Wpłaty nawiązek i kar pieniężnych do Narodowego Funduszu Ochrony Zabytków

The National Fund for the Protection of Monuments is a state special purpose fund specified in Article 83b of the Act of 23 July 2003 on the protection and care of monuments. The provisions establishing the National Fund for the Protection of Monuments entered into force on 1 January 2018. The administrator of the NFOZ is the minister competent for culture and protection of national heritage. The current solutions regarding payments to the Fund are still of a temporary nature, as some of the changes entered into force in 2018, and the rest will come into force only in 2024. The aim of the article is to consider the most important aspects of the legal regulation of damages payments and fines to the Fund, including the creation and principles of operation of the Fund. These issues are also closely related to the process of replacing criminal provisions with a system of administrative fines, hence the analysis of this process on the basis of the Act on the Protection and Care of Monuments has also become an important element of the conducted considerations.

Evolution of the Internal Structure of the Social Insurance Fund

The focus of the article is the Social Insurance Fund, which has been operating since 1 January 1999, and is a state special purpose fund with a specific structure. Separate funds function and operate within its framework. The number of these funds has already changed twice. The aim of the article is to analyse the legislative changes concerning the components of the Social Insurance Fund and to evaluate them. The study is dominated by the dogmaticlegal research method, and the historical-legal method is of auxiliary use.

Proposed Polish Advertisement Levies – An Efficient Source of Public Income or Instruments of the Political Battle?

This article analyses the bill of 2nd February 2021 on additional revenues of the National Health Fund, the National Fund for the Protection of Historical Monuments and the establishment of a Fund for the Support of Culture and National Heritage in the Media Area. The draft legislation, the announcement of which has triggered an unprecedented blackout protest in private media as well as a mass anti-government protest on the Internet, provides for the introduction of new public levies called advertisement contributions and the establishment of a new state special-purpose fund – the Fund for the Support of Culture and National Heritage in the Media Area. The aim of the article is to identify and present those provisions of the draft act which have evoked most controversies and have given rise to the stiff social resistance to the proposal. The first part of the paper is devoted to the assessment of the regulations within the context of the objective of the bill that was declared by the drafters in the legislative rationale. The analysis carried out has supported the assumption that providing adequate finances for those special-purpose funds that are strongly involved in remedying the consequences of the SARS CoV-2 epidemic was not a genuine purpose of the bill. It also leads to the conclusion that there is no constitutional justification for such a special-purpose levy. In the second part, the controversies over technical components of the advertising levies have been presented and analysed. On the basis of this analysis, it is possible to conclude that some of the qualitative and quantitative elements of the so-called advertisement contributions may give rise to interpretative doubts. The implementation of the research objectives made it possible to formulate a thesis that the advertisement contributions, as drafted, would not be efficient instruments of fair taxation of digital economy but rather would form instruments for achieving certain political objectives.

Środki finansowe na cele publiczne. Analiza przypadku w kontekście art. 216 ust. 1 Konstytucji Rzeczypospolitej Polskiej z 2 kwietnia 1997 r.

The aim of this study is to determine the character of financial resources devoted to public purposes referred to in Art. 216(1) of the Polish Constitution as seen in legal measures adopted in selected national special purpose funds. The constitutionally values protected in this provision also was analized. The legal solutions adopted in selected national special purpose funds and funds for public purposes related to them will serve as an example. Directions of the evolution seen in the Polish legal order encourage a discussion of whether resources coming from sanctions may (or should) be a basic source of proceeds of these funds. The method of investigation of the law in force and a legal analysis are used in this study. A reference to decisions of the Constitutional Tribunal and of the Supreme Administrative Court was also necessary.

Fundusz Medyczny w sektorze finansów publicznych

The aim of this study is to determine the legal status of the Medical Fund as a state special-purpose fund, the sources of its financing and the rules of the disposal of public funds, as well as its place in the public finance sector. The article uses the formal-legal method, applicable to legal scholarship. The introduction to the Polish public finance sector of a new unit responsible for financing health care seems to be an expression of the legislator’s care for this sector of activity of public authorities. However, the introduction of the Medical Fund as an additional resource did not significantly increase the financial outlays for the implementation of public tasks in the area of health care incurred by the state and local government units. There was only a change in the structure of public expenditure in the health sector.

Registration, Expenditure and Audit Trends: A Technical Commentary on the Karnataka Building and Other Construction Workers’ Welfare Board

This chapter examines the Karnataka Building and Other Construction Workers’ Welfare Fund, a special purpose fund constituted for the welfare of construction workers. Here I focus on the implementation of social security and welfare legislation. I rely on parliamentary records, two compliance reviews of the functioning of the Karnataka Building and Other Construction Workers’ Welfare (BOCW) Board by the Comptroller and Auditor General of India, and reports from Kannada and English newspapers. In so doing, I show that greater scrutiny is required of the legislation’s registration, expenditure and audit processes.

Government Fund for Local Investments – Legal Aspects of Financial Support for Local Government Investment Projects during the COVID-19 Pandemic

Abstract The effects of the COVID-19 pandemic in the form of a reduction in the own revenue of local government units and the corresponding reduction in their expenditure, including asset expenditure, were the determining factor for the introduction of extraordinary and temporary mechanisms to minimise this negative phenomenon from 2020. One of such solutions is the Government Fund for Local Investments, separated within the state special-purpose fund - the COVID-19 Counteracting Fund. The aim of this study is to establish the legal status of the Government Fund for Local Investments (Rządowy Fundusz Inwestycji Lokalnych - RFIL). The hypothesis about the temporary nature of this fund and its close relations with the COVID-19 Counteracting Fund has been verified as being true. It has been established that the RFIL does not have its own sources of revenue, and its financial resources are the result of separating a certain amount of funds accumulated in the account of the COVID-19 Counteracting Fund, which means it is, in fact, its sub-fund with clearly defined tasks to be performed. The RFIL-provided support is non-returnable, and its only beneficiaries are local government units. The resources transferred from this fund may only be used for the implementation of investment projects or for meeting asset expenses. The study uses the legal-dogmatic method and, additionally, the statistical analytical method, to present specific numerical values reflecting the importance of the RFIL support in relation to the own revenue of local government units.

Premie remontowe przekazywane z Funduszu Termomodernizacji i Remontów – aspekty materialnoprawne i proceduralne

This article presents foundations, functions and principles of granting and transferring renovation bonuses under the Thermomodernization and Renovation Fund. These bonuses constitute a form of a non-returnable support to investors implementing renovation projects which are related to thermomodernization of multi-family buildings. Bonuses take a form of an additional payment for the repayment of bank loans taken to finance the above-mentioned investments. The main source of financing payments for renovation bonuses are grants from the state budget, but the funds in that form do not go directly to investors. Budgetary grants are credited to a special purpose fund’s account which is managed by Bank Gospodarstwa Krajowego. The adoption of that indirect form of a budgetary support for renovation projects made it possible to combine extra-budgetary financing and banking methods as regards selecting investment projects. This approach should create conditions for a more efficient use of public funds dedicated to initiatives aimed at improving living conditions in multi-family buildings and reducing the demand for a thermal energy. It should also have a positive impact of heating devices on the natural environment. On the other hand, investors reduce their debts due to bank loans taken to finance their projects.

Features of the formation, accounting and distribution of profits of an innovative enterprise

Making a profit is a desirable financial result that all business entities strive for. To minimize the negative consequences of risk in innovative enterprises, it is necessary to create reserves. The article establishes that the directions for using the net profit of an innovative enterprise are determined at the legislative level, however, according to the specifics of innovation, it is recommended to include reserve (insurance) capital, a fund for the development and improvement of production, as well as other special purpose funds in fixed assets created from profit. These recommendations for the funds analyzed and proposed in the article are analytical sections for the needs of accounting support in accordance with the characteristics of the activities of newly created innovative enterprises. These reserves take into account the peculiarities of newly created innovative enterprises that ensure the development of the activities of such business entities, both at the initial stages of the development of activities, and for the purpose of further existence, and can also be used in the event of unfavorable business conditions to minimize the risks of activities and other negative phenomena.

ПРОБЛЕМИ ТА ПЕРСПЕКТИВИ ВПРОВАДЖЕННЯ ЕКОЛОГІЧНИХ ІННОВАЦІЙ НА ПІДПРИЄМСТВАХ

Дослідження зумовлене необхідністю забезпечення сталого розвитку підприємств та присвячене аналізу наявного стану, проблем та перспектив упровадження екологічних інновацій на підприємствах. На основі використання монографічного методу, абстрактно-логічного, логічних узагальнень, формалізації та конкретизації розкрито проблемність, тенденції та особливості впровадження екологічних інновацій на вітчизняних промислових підприємствах. Розглянуто сутність екоінновацій та об’єкти, які їм належать. Обґрунтовано поділ екоінновацій промислового підприємства на інновації у виробничій діяльності, у зміні складу продуктів; в управлінській сфері. Проаналізовано тенденції впровадження на підприємствах маловідходних, ресурсозберігаючих, технологічних процесів. Досліджено обсяги капітальних інвестицій в екологізацію за видами економічної діяльності підприємств України. З метою розвитку процесів екологізації запропоновано забезпечити низку економічних умов: розвиток страхового ринку; субсидіювання використання нетрадиційних джерел енергії; створення кластерів екологічно орієнтованого виробництва; підвищення інвестиційної привабливості еколозації виробництв; створення фондів спеціального призначення; формування програми розвитку екоінновацій у промисловості.

Unfreezing unspent social special-purpose funds for the Covid-19 crisis: Critical reflections from India.

In India, the government launched a US$22.6 billion financial support package for the poor and marginalized as a result of Covid-19. Approximately US$ 4.2 billion (INR 310 billion) came from a vast pile of unspent social special-purpose funds. How and why did such a large volume of funds accumulate in the first place, and why did it take a public health emergency to release them? What might be the consequences of their use under such emergency conditions - especially for our understanding of governance and accountability in social welfare provision? This paper presents a brief analysis of two preliminary case studies of specific social special-purpose funds in India. We rely on a handful of unstructured interviews and informal discussions with subnational government officials, civil society actors, trade union representatives, and local community leaders that began in January 2020, and which were pursued virtually following the lockdown. This is bolstered by analysis of primary documents, including Comptroller and Auditor General of India (CAG) reports, relevant laws, and contemporary press coverage. We argue that non-disbursement should be understood as a institutional matter, and not only as technical or implementation failure. Moreover, as such funds are likely to mushroom following Covid-19, our findings suggest that policymakers should focus on the institutional design, decision-making and accountability structures for the flow and distribution of Covid funds, rather than merely emphasising their collection.

Analysis of the financial economy of the Armed Forces Modernisation Fund

The implementation of defence activities requires the allocation of specific financial resources for this purpose. The scope and quality of these activities often depends on the amount of the allocated funds. The vast majority of them come from the national budget. There are also specific organisational and legal solutions allowing for the possibility of financing defence expenditures, including financing of the Armed Forces from other sources off-budget. One of such solutions is the Armed Forces Modernisation Fund, which functions as a special purpose fund. This fund is a national special purpose fund, which has no legal personality and is one of the sources of financing of the Armed Forces Development Programme. Its main advantage is the fact that it is not subject to rigid budgetary discipline, which makes it possible to continue financing certain public services over the next few financial years. Such a solution allows for the intended accumulation of public resources which have not been used by the fund before the end of the calendar year. The aim of this study is to analyze the financial economy, i.e. the analysis of revenues and costs as well as effects of tangible property expenses incurred by the Armed Forces Modernization Fund. The analysis covers the period of the years 2016-2018.

Skuteczność i efektywność realizacji zadań publicznych przez szczególne (nietypowe) podmioty administracji publicznej.

<p>Polski ustawodawca coraz częściej wykracza poza tradycyjne (doktrynalne) rozumienie podmiotu administracji publicznej i tworzy nowe (szczególne) podmioty administracji. Zjawisko to związane jest z coraz większą liczbą i zróżnicowaniem zadań realizowanych przez administrację publiczną. Wzrost potrzeb i oczekiwań współczesnych społeczeństw wobec administracji publicznej przyczynia się do powstania nowych form organizacyjnych podmiotów administracji publicznej, które nie mieszczą się już w tradycyjnym ujęciu podmiotu administracyjnego. Ustawodawca tworząc szczególne podmioty wyposaża je w kompetencje do sprawowania administracji publicznej w określonym zakresie. Głównym powodem powołania do życia szczególnych (nietypowych) podmiotów administracji jest postulat realizacji zadań publicznych. Badając wykonanie zadania publicznego należy ocenić skuteczność i efektywność jego realizacji przez poszczególne jednostki, w tym także przez szczególne podmioty administracji publicznej. Jednym z szczególnych podmiotów administracji realizujących zadania publiczne jest należący do grupy funduszy celowych Narodowy Fundusz Ochrony Środowiska i Gospodarki Wodnej.</p>

GAME ANIMALS DAMAGE AS A PARTICULAR TYPE OF ENVIRONMENTAL DAMAGE

The hunting economy is connected with the need to compensate for damages caused bygame animals. Financial compensation for damages caused by the environmental resource belongingto the State Treasury raises a lot of controversy. Therefore, the aim of the study is to analyzeeffectiveness of the compensation process. It is described by legal regulations, mainly Hunting Lawafter the amendment of June 2016, the Act on Nature Conservation and executive acts. The articlepresents the characteristics of damege caused by game animals, indicating the criteria such damagesfrom among the total damage to the environment, specific premises for liability for this type ofdamage and the group of entities obliged to repair it. The current system caused discontent amongagricultural producers. Objections were raised both to the amount of compensation and the methodof their calculation. There is announced a special purpose fund in this range. The introduction of thissolution is constantly postponed so far.

The effect of the forest special purpose fund on values of individual items in the balance sheet of a forest management unit

The effect of the forest special purpose fund on values of individual items in the balance sheet of a forest management unit

Full Disclosure Policy (FDP) Compliance of the Davao del Norte Province at the FDP Portal

The study evaluated the availability of the financial transactions and procurement reports in the government portal of all the 11 Local Government Units (LGUs) under the Province of Davao del Norte which specifically determined the extent of its implementation of e-Governance particularly in implementing the Full Disclosure Policy (FDP) as a practice of transparency. In particular, the assessment was done to verify if the following reports were uploaded in the portal: (a) Budget Reports; (b) Procurement Reports; (c) Special Purpose Fund Reports. Fourteen (14) relevant reports were queried at the portal as accessed at http://fdps.blgs.gov.ph/ from year 2012 to 2013. Results were initially obtained through an assessment done by the researchers in checking into the availability of the inquired reports at the portal. Preliminary findings were triangulated as a group of MPA students verified the initial results. Quantitative tools such as frequency counts, means and percentages were employed to know the available reports. Findings showed that there was an increase of compliance percentage for the LGUs of Asuncion, New Corella, San Isidro and Sto. Tomas while there was a noticeably slight decrease of compliance for the rest of the LGUs. Moreover, Budget Reports were the most complied while Procurement Reports were the least complied. The study concludes that while all LGUs have utilized the portal through submission of the reports, other factors affecting prompt and complete compliance and distance and income classification should be looked into. It is suggested in the study that each LGU should maximize the adoption and utilization of the government portal as a medium in promoting transparency and accountability as a practice of good governance.

Wybrane problemy oceny efektywności funduszy publicznych na podstawie Oddziałów Wojewódzkich Narodowego Funduszu Zdrowia

Public special purpose funds are of a significant importance for the economy. Both National Health Fund and Social Insurance Fund play a particular role. Because of the fact that the financial policy of state special purpose funds is not a subject of strict rules characteristic for the principles of state budget, it is especially important to evaluate its efficiency and effectiveness. The article presents results of a study on the effectiveness of the financial policy of NHF Region Branch Offices, understood as relation between expenditure and outcome.