Article 16. State assignment Budget Code of the Republic of Kazakhstan

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1. The state task shall be to order the subjects of the quasi-public sector with the participation of the state in the authorized capital and other legal entities determined by the Government of the Republic of Kazakhstan to public service provision certain and perform other tasks.

2. Government tasks can include orders that meet one or more of the following criteria:

1) the absence of any other possibility of ensuring national security, state defense or protecting the interests of society;

2) use, operation and maintenance of strategic facilities, critical facilities, including information and communication infrastructure facilities owned by the state, due to ensuring public interests and national security;

3) lack of competition in the relevant market for goods, works and services;

4) exclusivity and uniqueness of goods, work, services, intellectual property objects.

It shall be prohibited to plan a state assignment that shall not meet the criteria provided for in part one of this paragraph.

3. Planning of the state assignment shall be carried out in compliance with the requirements established by this Code when developing the budget, taking into account the positive conclusion of the antimonopoly authority for compliance with the criteria provided for in part one of paragraph 2 of this Article, issued in the manner determined by the antimonopoly authority.

If the state assignment is subcontracted by entities of the quasi-public sector and legal entities specified in paragraph 1 of this Article responsible for the execution of the state assignment, the conclusion of the antimonopoly authority shall determine the scope and conditions for subcontracting the state assignment.

The provisions of this paragraph shall not apply to the planning of the state assignment on the started (ongoing) state assignments.

4. The cost of the state assignment shall be established in the manner determined by the central authorized bodies of the relevant industry (sphere) in agreement with the central authorized body for budget planning.

5. Indicators of the results of the state assignment shall be determined in the development plans of state bodies and (or) passports of budget programs of the corresponding budget program administrators.

6. The central authorized body for budget planning shall generate summary information on state tasks, for the implementation of which budget funds shall be provided in the draft republican budget, and shall include in the materials attached to the draft law on the republican budget.

7. Allocation of budgetary funds to the subjects of the quasi-public sector with the participation of the state in the authorized capital for the implementation of the state task shall be carried out without increasing the authorized capital.

8. The fulfillment of the state task shall be carried out without observing the competitive procedures provided for by the legislation of the Republic of Kazakhstan on public procurement, by concluding a civil law transaction between the administrator of the republican budget programs and the executor of the state task.

Civil law transactions concluded in violation of paragraph 2 of this Article can be recognized as invalid by the court at the suit of interested parties.

9. Entities of the quasi-public sector and legal entities specified in paragraph 1 of this Article shall annually generate reports on the implementation of the state task, containing information on the progress and results of its implementation, and submit to the administrators of budget programs.

10. Information on the fulfillment of the state assignment shall be included in the annual report on the execution of the republican budget and shall be subject to publication in accordance with Article 40 of this Code.

11. The procedure for planning a state assignment shall be determined by the central authorized body for budget planning.

The procedure for fulfilling the state assignment and drawing up reports on the fulfillment of the state assignment, the forms and deadlines for its submission, as well as the requirements for the information provided on the progress and results of the state assignment shall be determined by the central authorized body for budget execution.

12. Responsibility for the fulfillment of the state assignment shall be assigned to the first heads of administrators of republican budget programs, entities of the quasi-public sector and legal entities specified in paragraph 1 of this Article, in accordance with Article 41 of this Code.

Code of the Republic of Kazakhstan dated March 15, 2025 № 171-VIII.

President

Republic of Kazakhstan

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