Public Finance, Budgeting and Public Procurement
This domain tests budgeting, treasury control, public expenditure, and public procurement. The emphasis is on legality, transparency, and value for money.
Core rules
- The annual budget is adopted by the Assembly as a law. The Ministry of Finance coordinates preparation and execution through the Treasury.
- Budget users may commit expenditure only within approved appropriations and legal authorisations. Reallocation is limited by law.
- Public procurement follows the Law on Public Procurement, aligned with EU directives: transparency, equal treatment, non-discrimination, proportionality, and economy.
- Contracting authorities must publish notices, use defined procedures, set lawful technical specifications, and award on the published criteria.
- Open procedure is the default; restricted and negotiated procedures are exceptional. E-procurement supports traceability.
- Remedies include review by the competent appeals body and, ultimately, court protection.
Worked example
A municipality buys office furniture worth above the threshold but splits the order into three small contracts to avoid a published procedure. The split is artificial because the need is one procurement. The award is unlawful even if each invoice is below the threshold. The remedy is to annul the award, conduct a lawful procedure, and address the responsible officials.
Traps
The lowest price is not always the award criterion; the most economically advantageous tender may use quality and price. Do not confuse budget adoption with budget execution. Do not assume a signed contract cures a defective procedure.