LAW OF UKRAINE

of July 3, 1991 No. 1284-XII

About the minimum consumer budget

This Law lays the foundation of social protection and social guarantees for the population of Ukraine upon transition to market economy. It provides carrying out the social policy directed to support first of all of the least socially protected segments of the population, forming of the interconnected system of minimum incomes of citizens and expenses of the state on their content in organizations of the social sphere.

Article 1. Minimum consumer budget

The minimum consumer budget is set food and nonfoods and services in natural and value term, providing satisfaction of the basic physiological and welfare needs of the person.

Article 2. Principles of forming of the minimum consumer budget

The minimum consumer budget is created by regulatory method on the basis of system of consumer goods baskets.

Consumer goods baskets join the evidence-based, balanced on requirement standard sets of goods and services, based on the minimum regulations and standard rates of consumption which are developed by scientific institutions and the organizations of the corresponding profile. At the same time sets of food products for children aged up to 18 years are created on the basis of the rational regulations recommended for the corresponding age.

The minimum consumer budget is drafted for the primary social and demographic groups on average per capita and on one member of the family of different structure.

Article Z. Structure and size of the minimum consumer budget

The natural and material structure of the minimum consumer budget is created of consumer goods baskets according to such main expenditure items of the person or family:

food:

meat and meat products;

milk and molokoprodukta;

oil animal;

eggs;

fish and fish products;

potatoes;

vegetables and melon cultures;

fruit and berries;

bread and bakery products;

vegetable oil and margarine;

sugar and confectionery;

other food products;

clothes, linen, footwear;

objects of sanitation, hygiene, medicine and medicines;

furniture, ware, recreational goods and other objects of cultural and community and economic appointment;

expenses on housing and utilities;

expenses on cultural and educational actions and rest;

expenses on household services, transport, communication;

expenses on stay of children in preschool institutions;

population expenses on maintaining personal subsidiary farm in the limits providing satisfaction of personal needs;

obligatory payments.

The structure of consumer goods baskets affirms the Cabinet of Ministers of Ukraine and periodically, but at least once in five years, is reviewed taking into account real opportunities of economy of the republic and change of standards of consumption.

The size of cost of the minimum consumer budget is determined proceeding from average prices of purchase of the corresponding goods and services taking into account all types of trade.

Cost assessment of the minimum consumer budget is reviewed taking into account consumption price index and service, but at least once a year.

Data on structure and size of cost of the minimum consumer budget are regularly published in official publications and are brought to the attention of the population other mass media.

Article 4. Procedure for development and approval of the minimum consumer budget

The republican minimum consumer budget is drafted by the central economic bodies of Ukraine. In case of development of the minimum consumer budget alternative options of calculations of structure of consumer goods baskets which are brought by labor unions and Society of consumer protection are considered.

The estimated minimum consumer budget is subject to scientific and public examination which results are considered during the forming and approval of this budget. The list of experts for consideration of the minimum consumer budget affirms the Cabinet of Ministers of Ukraine.

The Cabinet of Ministers of Ukraine approves the minimum consumer budget and reviews the size of its cost taking into account consumption price index and service.

In the conditions of crisis state of economy and output gap the social standard rate - line of low-security which structure and the size are determined by the legislation is developed.

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