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State-ensured provisions cuts recognized Constitutional

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Baltic news, News from Latvia, BNN-NEWS.COM, BNN-NEWS.RU

The Constitutional Court (CC) Judge Kristine Kruma (from the left), the CC Chairman Gunars Kutris, and the Assistant to the Chairman Lina Kovalevska

The scheduled provision reduction by the Provision Guarantee Fund (PGF), according to law transition regulations in Article No.4, is in compliance to the Latvian Constitution, recognizes the Constitutional Court (CC).

The Assistant to the CC Chairman Līna Kovalevska informs such a ruling was taken when reviewing the case On Provision Guarantee Fund Law Transitional Regulation Article No. 4 compliance to the Constitution of the Republic of Latvia, Article No.1, No.109 and No.110.

The contested regulation stipulates the state guaranteed provision reduction during the period from January 1, 2010 until December 31, 2012. The provision volume secured by the PGF is not more than 30 lats per child up to seven years of age and no more than 35 lats per child, aged up to 18 years.

The claim submitters Marika Skulte and Renāte Dorondo pointed out the contested regulation violates their rights to social guarantees, as foreseen by the Constitution, Article No.109, and infringes Article No. 110, which foresees that the state protects the rights of parents and children. Moreover, it breaches the principle of legal confidence and proportionality.

According to Kovalevska, the CC pointed out the provision of subsistence means to children is first of all the duty of a parent.

The Court acknowledged that the applicants could rely on resources from the PGF. At the same time, the Court pointed out that even after the enactment of the contested regulation, children with one of the parents not complying or complying with the child upbringing obligations, but does not provide the set minimum amount of resources, receive provisions from the PGF. Thus, the application submitters could rely on the fact that their children will be righteous to receive subsistence means from the PGF, but they could not have legitimate expectations for the payment of these funds at a specific amount.

The PGF resources are formed from the state basic budget funds; therefore, the legislator has a wide discretion not only to regulate the procedure, but also to determine the extent to which subsistence means are paid. The Court also took into account the fact that the amount of the payable state provisions has been influenced by several factors, including the state’s economic downturn and the growing number of children eligible for the PGF resources.

Therefore, the Court ruled that proportionate reduction of subsistence means ensures their payment in 2010, 2011 and 2012 to all children eligible for these provisions.

Consequently, the CC declared the contested regulation as in compliance with the Constitution, indicated Kovalevska.

The Constitutional Court’s decision is final and cannot be contested. It will enter into force on the date it is published in the official newspaper Latvijas Vēstnesis.


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