Draft law on public savings measures is in the Turkish Grand National Assembly! Regulations regarding peace allowance are attracting attention.

The Draft Law on Making Amendments to Some Laws and Decree Laws Containing Regulations on Savings Measures to be Taken in the Public Sector, in which the Constitutional Court has annulled some articles, has been submitted to the Presidency of the Grand National Assembly of Turkey by the AK Party. The proposal, which aims for compliance with savings measures by public institutions and organizations within the scope of "preserving economic stability, effective and efficient use of public resources, and ensuring fiscal discipline," consists of 32 articles. The proposal envisages the following regulations:

"AUTHORITY FOR SALES AT THE PRIVATIZATION ADMINISTRATION"

"The Privatization Administration will be authorized for the sale of vehicles and machinery defined in the Highway Traffic Law and vehicles and machinery of this type transferred to the Ministry of Environment, Urbanization and Climate Change. The proceeds from the sales will be transferred to the general budget or the relevant public institution.

It is envisaged that disciplinary penalties will be imposed on those found to have violated savings measures as a result of monitoring and inspection conducted by the Ministry of Treasury and Finance or the relevant authorities, and the results of the actions and transactions will be reported to the Presidency.

UPPER LIMIT FOR ALLOWANCE

It is aimed to make payments for only one of these duties, without making a distinction between internal and external duties, to all public officials in any status, including mayors, municipal council members, and provincial general assembly members. Allowances, salaries, bonuses, or any other payments related to the duties performed can be made within a month.

REGULATION REGARDING BOTAŞ

In the draft law, a two-article regulation has also been made to fulfill the decision of the Constitutional Court. In Article 6 of the draft law, the natural gas purchases of BOTAŞ have been included among the exceptions of the Public Procurement Law. The previous regulation made in this regard had been annulled by the Constitutional Court. With Article 7 of the draft law, in accordance with the provision of the Constitutional Court decision that natural gas supply can be regulated with a unique tender or procurement model based on its characteristics, the President is granted the authority to make regulations in this regard.

"TRANSFER OF FUNDS BETWEEN MINISTRIES BASED ON ENTITLEMENT"

With the proposal, transfers of funds related to investments to be made by ministries and other central administrative organizations through provincial special administrations will be made based on entitlement reports related to the relevant work, except for advance payments.

INCREASE IN DEDUCTION RATE FOR GENERAL LIGHTING EXPENSES

Regulations are being made regarding the deduction rates made from the general budget tax share of local administrations from general lighting expenses. Within this scope, the statutory rate of 10% applied within the boundaries of metropolitan municipalities since 2014 will be increased to 30%; the statutory rate of 5% applied within other municipalities and contiguous areas since 2014 will be increased to 15%; and the statutory rate of 10% applied within the relevant provincial special administrations outside these boundaries since 2014 will be increased to 30%. This regulation will enter into force on August 1, 2024.

ADJUSTMENT TO MUNICIPAL BUDGETS IN EARTHQUAKE ZONES

A regulation aimed at preventing a decrease in the share of municipalities with decreasing population due to earthquakes in the distribution of payments to be made from the general budget in accordance with the Law on Granting Shares from General Budget Tax Revenues to Provincial Special Administrations and Municipalities numbered 5779, based on population, is also included in the proposal, taking into account the population of these municipalities in 2023."