Regulation of the Minister of Finance of the RI No. 66/PMK.02/2013 concerning procedures for Providing, Disbursing and Holding Accountability for Seed Subsidy Funds

□ll-!Zill■JMIYIIIIIIIB1■11Lli IF? ttt·- &DIIZilZiE■11111E•a•11,a PROCEDURES FOR PROVIDING, DISBURSING AND HOLDING ACCOUNTABILITY FOR SEED SUBSIDY FUNDS (Regulation of the Minister of Finance Number 66/PMK.02/2012 dated March 21, 2013) BY GRACE OF GOD THE ALMIGHTY THE MINISTER OF FINANCE OF THE REPUBLIC OF INDONESIA, In view of: 1. Law Number 17 Year 2003 on State Finance (Statute Book of the Republic of Indonesia Year 2003 Number 4 7, Supplement to Statute Book of Considering: the Republic of Indonesia Number 4286); a. in the framework of driving up the production of 2. Law Number 19 Year 2003 on State-owned Busi food crop to support national food security, seed- ness Entity (Statute Book of the Republic of In subsidy funds have been allocated in state budget donesia Year 2003 Number 70, Supplement to of revenue and expenditure and/or revised state Statute Book of the Republic ,et Indonesia Number budget of revenue and expenditure; 4297); b. in order to help farmers so as to be able to pur- 3. Law Number 1 Year 2004 on State Treasury chase certified seeds of superior variety at an (Statute Book of the Republic of Indonesia Year affordable price, it's necessary to provide seed 2004 Number 5, Supplement to Statute Book subsidy; of the Republic of Indonesia Year 2004 Number c. in the framework of utilizing seed subsidy opti- 4355); mally, it's necessary to re-regulate procedures 4. Law Number 15 Year 2004 on Audit of State for providing, disbursing and holding accountabil- Finance Management and Responsibility (Stat ity for seed subsidy previously already regulated ute Book of the Republic of Indonesia Year 2004 in Regulation of the Minister of Finance Number Number 66, Supplement to Statute Book of the 129/PMK.02/201 0; Republic of Indonesia Number 4400); d. that having regards letters a, band c, it is neces- 5. Law Number 19 Year 2012 on State Budget of sary to stipulate a regulation of the Minister of Fi- Revenue and Expenditure in Fiscal Year 2013 nance on procedures for providing, disbursing and (Statute Book of the Republic of Indonesia Year holding accountability for seed subsidy funds; 2012 Number 228, Supplement to Statute Book Business News 850011-3-2014 25 . ( .. •••••••·■nmrnamnrrn 41#11& :tH ISM I lillFll■Tll-lllll■T■IIIIIIIIHliJIIT of the Republic of Indonesia Number 5361 ); Finance Number 179/PMK.05/201 O; 6. Government Regulation Number 8 Year 2006 on 11. Regulation of the Minister of Finance Number 91 / Reporting of Finance and Performance of Govern- PMK.05/2007 on Standard Account Chart; ment Institutions (Statute Book of the Republic of 12. Regulation of the Minister of Finance Number Indonesia Year 2006 Number 25, Supplement to 171 /PMK.05/2007 on Accounting and Financial Statute Book of the Republic of Indonesia Number Reporting System of the central government as 4614); already amended by Regulation of the Minister of 7. Government Regulation Number 90 Year 2010 Finance Number 233/PMK.05/2011; on Formulation of Work Plan and Budget of State 13. Regulation of the Minister of Finance Number Ministries/Institutions (Statute Book of the Repub- 250/PMK.05/2010 on Procedures for Disburs lie of Indonesia Year 2010 Number 152, Supple- ing State Budget of Revenue and Expenditure at ment to Statute Book of the Republic of Indonesia Budget Item of State General Treasurer in State Number 5178); Treasury Service Office; 8. Presidential Decree Number 42 Year 2002 on 14. Regulation of the Minister of Finance Number Guidance for the Realization of State Budget of 256/PMK.05/2010 on Procedures for Depositing Revenue and Expenditure (Statute Book of the and Disbursing Reserve Funds; Republic of Indonesia Year 2002 Number 73, 15. Regulation of the Minister of Finance Number Supplement to Statute Book of the Republic of 160/PMK.02/2012 on Directive for the Formula Indonesia Number 4212), as already amended by tion and Legalization of Completing List of the Re Presidential Decree Number 72 Year 2004 (Stat- alization of Budget of State Ministries/Institutions ute Book of the Republic of Indonesia Year 2004 as already amended by Regulation of the Minister Number 92, Supplement to Statute Book of the of Finance Number 29/PMK.02/2013; Republic of Indonesia Number 4418); 16. Regulation of the Minister of Finance Number 9. Presidential Decree Number 37 Year 2012 on De- 190/PMK.05/2012 on Procedures for the Pay tail of Expenditure Budget of the Central Govern- ment in the Framework of Realizing State Budget ment in Fiscal Year 2013; of Revenue and Expenditure; 10. Regulation of the Minister of Finance Number 82/ 17. Regulation of the Minister of Finance Number PMK.05/2007 on Procedure for Disbursing i=unds 241 /PMK.05/201 2 on Accounting System of at Expense of State Budget of Revenue and Ex- Subsidy Expense; penditure through State General Cash Account as 18. Regulation of the Minister of Finance Number already amended by Regulation of the Minister of 24 7 /PMK.02/2012 on Procedures for Planning, 26 Business News 850011-3-2014 Stipulating Allocation and legalization of Docu- 5. Seed Subsidy shall be a difference between HB ments of the Realization of State Budget of Rev- and HET. enue and Exqenditure. 6. Completing List of the Realization of Budget here DECIDES: To stipulate: THE REGULATION OF THE MINISTER OF FINANCE ON PROCEDURES FOR PROVIDING, DISBURSING AND HOLDING ACCOUNTABILITY FOR SEED SUB­ SIDY FUNDS Article 1 Referred to in this ministerial regulation as: 1 . Seed Producer shall be state-owned business en­ tity (BUMN) producing seed, which is stipulated as distributor of subsidized seed by the State Min­ ister of BUMN. 2. Account of Reserve Funds shall be account be­ longing to the Minister of Finance as State Gener­ al Treasurer, which is used to save reserve funds. 3. Seed Price hereinafter abbreviated to HB shall be the whole cost arising directly or indirectly from the production process unto the seed is ready to sell for farmer groups, including profit and trans­ portation cost as set forth by the Minister of Ag­ riculture. 4. Highest Retail Price hereinafter abbreviated to HET shall be the highest price of seed purchased by farmer at the level of farmer group as set forth by the Minister of Agriculture. inafter abbreviated to DIPA shall a document of budget realization formulated by budget user/ proxy of budget user. 7. Proxy of Budget User hereinafter abbreviated to KPA shall be an official secure authority from budget user to execute part of the authority and responsibility for the use of budget in the said state ministry/institution. Article 2 Based on the allocation of funds and volume of subsidized seed in State Budget of Revenue and Expenditure (APBN) and/or Revised State Budget of Revenue and Expenditure (APBN-P), the Minister of Agriculture shall stipulate HB and HET. Article 3 ( 1) Kinds of the subsidized seed shall be stipulated by the Minister of Agriculture. (2) The distribution of subsidized seed shall be ex­ ecuted by seed producers in accordance with the provision of legislation. Article 4 The amount of seed subsidy on each kind of seed shall be calculated on the basis of difference between HB (Rp/Kgl, subtracted by HET (Rp/Kg) and multiplied by the volume of the distributed seed (Kg). Business News 850011-3-2014 27 28 Article 5 ( 1) Based on the allocation of seed-subsidy funds in APBN and/or APBN-P, and observing HB and HET stipulated by the Minister of Agriculture as meant in Article 2, DIPA shall be issued in accordance with the provision of legislation. (2) DIPA as meant in paragraph (1) shall be used as the basis for the realization of the payment for seed subsidy. Article 6 (1) In the framework of executing seed subsidy, the Minister of Finance as budget user shall appoint the Director General of Food Crop-Ministry of Ag­ riculture as KPA. (2) KPA as meant in paragraph (1) shall issue deci­ sion to stipulate: a. official authorized to take action causing ex­ pense in expenditure budget/personnel in charge of activity/commitment maker; and b. official authorized to verify bill to the state and sign payment order. (3) Copy of the decision as meant in paragraph (2) shall be submitted to Head of State Treasury Ser­ vice Office of working partner as proxy of State General Treasurer. Article 7 (1) KPA shall verify the provision and distribution of subsidized seed. Cl) Result of the ver'if1caf1on as meant in paragraph ( 1) shall be used as the basis for the payment of seed subsidy. (3) In order to execute the verification as meant in paragraph ( 1 ), KPA may establish a verification team. (4) Further provision on verification procedures shall be regulated by KPA. Article 8 Procedures for disbursing funds in the frame­ work of executing seed subsidy shall be executed in accordance with the provision of legislation. Article 9 ( 1 ) Seed subsidy not yet payable up to late Decem­ ber of the current year because the verification of document of claim on seed subsidy as meant in Article 7 has not been executable, shall be placed in reserve funds account in accordance with the provision of legislation. (2) The placement of funds in the reserve funds ac­ count as meant in paragraph ( 1) shall be as much as the value of the claim and maximally amount­ ing to the rest of the ceiling of DIPA. (3) The disbursement of funds in the reserve funds account as meant in paragraph (2) shall be ex­ ecuted in accordance with the provision of legis­ lation. Article 10 Seed producers shall be responsible formally Business News 850011-3-2014 ■£. I ll■■IIIUIJilll■lfll l♦·-l llllll!!bi L■Ulall-■1■11111■ and materially for the realization and use of seed sub­ sidy funds. Article 11 KPA shall be responsible fully for the distribu­ tion of seed subsidy funds in accordance with the provision of legislation. Article 12 ( 1) Seed producers shall submit report on account­ ability for the distribution of subsidized seeds to KPA in accordance with the provision of legisla­ tion. (2) The accountability report as meant in paragraph ( 1) shall contain at least plan and realization of the distribution of subsidized seed. graph ( 1) certifying that the amount of funds used for the execution of seed subsidy is bigger than the amount already paid by the government t seed producers, the shortfall of the payment shal be recommended for the budgeting in APBN and or APBN-P in accordance with the provision o legislation. (4) In the case of the audit result as meant in para graph ( 1) certifying that the amount of funds use for the execution of seed subsidy is smaller tha the amount already paid by the government t seed producers, the excess of the payment shal be remitted to state cash as non-tax state revenu in accordance with the provision of legislation. Article 15 In the framework of executing seed subsidy, Article 13 the Ministry of Finance and Ministry of Agricultur KPA shall perform accounting and reporting in may establish a team to conduct monitoring and eval accordance with the provision of legislation. uation by virtue of their authority. Article 14 Article 1 6 ( 1) The realization of seed subsidy shall be audited The ministerial regulation shall be effective a by the authorized auditor in accordance with the long as the funds needed for seed subsidy is still bud provision of legislation. geted/provided in APBN and/or APBN-P. (2) Report on the audit result as meant in paragraph ( 1) shall be submitted to KPA, Director General Article 17 of Budgetary Affairs-Ministry of Finance and Di- The provisions on procedures for providing, rector General of Treasury Affairs-Ministry of Fi- disbursing and holding accountability for seed sub nance. sidy funds as meant in this ministerial regulation shal (3) In the case of the audit result as meant in para- , start to appl'J on January 1, 2013. Business News 850011-3-2014 29 30 GuVERNMENT REGULATIONS Article 18 Following the enforcement of this ministe­ rial regulation, Regulation of the Minister of Finance Number 129/PMK.02/2010 on Procedures for Provid­ ing, Disbursing and Holding Accountability for Sub­ sidy on Seeds of Non-Hybrid Paddy, Composite Corn, Hybrid Corn and Certified Soybean shall be revoked and declared null and void. Article 19 The ministerial regulation shall come into force as from the date of promulgation. For public cognizance, the ministerial regula­ tion shall be promulgated by placing it in State Ga­ zette of the Republic of Indonesia. Stipulated in Jakarta On March 21, 2013 THE MINISTER OF FINANCE OF THE REPUBLIC OF INDONESIA sgd. AGUS D.W. MARTOWARDOJO Promulgated in Jakarta On March 21, 2013 THE MINISTER OF LAW AND HUMAN RIGHTS OF THE REPUBLIC OF INDONESIA sgd AMIR SYAMSUDIN STATE GAZETTE OF THE REPUBLIC OF INDONESIA YEAR 2013 NUMBER 467 (R) Business News 8500/1-3-2014