Law on financing through global budgets and performance mandates of autonomous administrative units (LUAA) (LUAA)

1 This law governs the functioning of Autonomous Administrative Units (hereinafter AAU) through global budgets and performance mandates.

2 The number of AAUs shall be progressively extended. The State Council shall annually analyze the feasibility of applying the model of at least one new unit per Department. [1]

[1] Para. introduced by Law of 23.2.2022; in force since 29.4.2022 - BU 2022, 98.

An UAA is considered to be an body integrated into the structure of a Department and which enjoys residual administrative autonomy.

The UAA are financed through the global budget and are subject to the provisions of the Law on State Financial Management and Control of January 20, 1986 (LGF), with the following derogations

a) principle of qualitative, quantitative, and temporal specificity of expenditure (Art. 9 para. 4 lit. g LGF);

b) obligation to submit requests for supplementary appropriations (Art. 25 LGF);

c) principle of forfeiture of unused appropriations (Art. 27 para. 2 LGF);

d) prohibition of exceeding the budget appropriation in cases not explicitly stated in Art. 29 LGF, provided that the excess is covered by savings realized in previous years or amortized in the two years following the financial year.

1. For personnel management, the UAA are subject to the legal provisions set out in the State Employees Ordinance.

2. Fixed-term appointments may take the form of an assignment (Article 15 of the Law on the Organisation of State Employees and Teachers of 15 March 1995) or auxiliary staff. The regulation defines the procedure.

3. Indefinite-term appointments are authorised by the Council of State.

4. The attribution of collective or individual awards within the UAA is linked to the results achieved. [2]

[2] Para. introduced by the L 23.2.2022; in force since 29.4.2022 - BU 2022, 98.

1 The difference between recognized expenses and revenues defines the requirement in terms of global budget.

2 The regulation defines expenses and revenues considered for the purpose of calculating the global budget and its carry-forward.

3 The global budget of the UAA is approved by the Grand Council together with the annual State Budget.

1 Notwithstanding Art. 27 para. 2 of the FNG, credits relating to the global budget, accounted for in a financial year and not used during the year for which they were granted, may be capitalized and carried forward to subsequent financial years.

2 The maximum annual carry-forward of unspent credits is defined by the regulation.

3 Any budget overdraft of the global budget in cases not indicated in Art. 29 of the FNG shall primarily be covered by the capitalization fund.

1 The spending credit not used in a financial year shall be credited to the UAA’s capitalization fund.

2 The capitalization fund may not exceed 20% of the last global budget established during the Budget and annual performance mandate definition process. [3]

3 If the capitalization fund shows a negative balance, it must be amortized in the two financial years following the year in question.

4 The use of the capitalization fund is defined in the regulations.

[3] Para. amended by L 23.2.2022; in force since 29.4.2022 - BU 2022, 98.

1 The service account is presented jointly with the estimate and the final account of the UAA, prepared in accordance with Art. 31 of the FDFA.

2 The service account indicates the income and expenditure per service and service group, as well as the needs to be covered by the global budget.

3 The regulation defines the modalities for presenting the service account.

1 The four-year service mandate indicates the administrative constraints and provisions to which the UAA must adhere in providing services and is approved by the Council of State.

2 The annual service mandate, prepared on the basis of the service account, indicates the services provided by the UAA, the quantitative and qualitative objectives, the related monitoring, and is approved by the competent Department. [4]

3 … [5]

[4] Para. modified by the Law of 23.2.2022; in force since 29.4.2022 - BU 2022, 98.

[5] Para. repealed by the Law of 23.2.2022; in force since 29.4.2022 - BU 2022, 98.

The AUAs are responsible

a) for annually negotiating with the superior reference body decided by the Department the key services for the purpose of defining the global budget;

b) for financially managing the AUA within the global budget, within the limits set by Arts. 3, 5 and 6 of this law;

c) for formulating proposals on the utilization of the portion of the global budget not used during the financial year;

d) for respecting the qualitative and quantitative objectives set in the service mandate.

1 The UAS are managed in accordance with the performance mandate.

2 The UAS

a) have a cost accounting system and a controlling system, and prepare a statement of services with a degree of detail appropriate to their operational reality;

b) are also subject to periodic audit by the Cantonal Finance Control.

1 The State Council decides on

– the transformation of cantonal administration services into Autonomous Administrative Units;

– the revocation of the status of Autonomous Administrative Unit.

2 The regulation defines the criteria

– for evaluating the transformation from an Administrative Unit to an Autonomous Administrative Unit;

– for the revocation of the status of Autonomous Administrative Unit.

1. For new UAA, a three-year evaluation period is foreseen.

2. The Council of State ensures the monitoring of the cantonal administration's change process with this management model through annual reporting to the Finance Control Commission, which may express its opinion on the matter.

1 The State Council issues the necessary provisions for the execution of this law.

2 The CUAs of the pilot project maintain the status of CUAs.

1 Upon expiry of the time limits for the exercise of the right to a referendum, this law shall be published in the Official Bulletin of Laws and Executive Acts.

2 The Council of State shall determine its entry into force. [6]

Published in OB 2015, 563.

[6] Entry into force: 1 January 2016 - OB 2015, 563.