Switzerland 1999 (rev. 2002)

Article 42. Tasks of the Confederation

1. The Confederation shall accomplish the tasks which are attributed to it by the Constitution.
2. It shall assume the tasks which require uniform regulation.

Article 43. Tasks of the Cantons

Article 44. Principles

1. The Confederation and the Cantons shall collaborate, and shall support each other in the fulfillment of their tasks.
2. They owe each other mutual consideration and support. They shall grant each other administrative and judicial assistance.
3. Disputes between Cantons, or between Cantons, and the Confederation shall, to the extent possible, be resolved through negotiation or mediation.

Article 45. Participation in Federal Decision Making

1. In the cases foreseen by the Federal Constitution, the Cantons shall participate in the decision-making process on the federal level, in particular in federal legislation.
2. The Confederation shall inform the Cantons timely and fully of its plans; it shall consult them if their interests are affected.

Article 46. Implementation of Federal Law

1. Subsidiary unit government
   The Cantons shall implement federal law in conformity with the Constitution and the statute.
2. The Confederation shall leave the Cantons as large space of action as possible, and shall take their particularities into account.
3. Subsidiary unit government
   The Confederation shall take into account the financial burden that is associated with implementing federal law by leaving sufficient sources of financing to the Cantons, and by ensuring an equitable financial equalization.

Article 47. Autonomy of the Cantons

Article 48. Intercantonal Treaties

1. Treaty ratification
   The Cantons may enter into intercantonal treaties, and may create common organizations and institutions. They may, in particular, join forces to fulfill tasks of regional interest.
2. The Confederation may participate in such organizations or institutions within the limits of its powers.
3. Legal status of treaties
   Intercantonal treaties may not be contrary to the law or the interests of the Confederation, nor to the rights of other Cantons. The Confederation must be notified of such treaties.

Article 49. Supremacy of and Respect for Federal Law

1. National vs subnational laws
   Federal law takes precedence over contrary cantonal law.
2. The Confederation shall ensure that the Cantons respect federal law.

Article 50

1. The autonomy of the Municipalities is guaranteed within the limits fixed by cantonal law.
2. In its activity, the Confederation shall take into account the possible consequences for the Municipalities.
3. In particular, it shall take into account the special situation of cities, agglomerations, and mountainous regions.

Article 51. Cantonal Constitutions

1. Every Canton shall adopt democratic constitution. The cantonal constitution must be approved by the people, and must be subject to revision if majority of the people so requires.
2. National vs subnational laws
   The cantonal constitutions must be guaranteed by the Confederation. The Confederation shall grant this guarantee, if the constitutions are not contrary to federal law.

Article 52. Constitutional Order

1. The Confederation shall protect the constitutional order of the Cantons.
2. It shall intervene if the inner order of Canton is disturbed or threatened and cannot be protected by the Canton alone or with the help of other Cantons.

Article 53. Existence and Territory of the Cantons

1. The Confederation shall protect the existence and the territory of the Cantons.
2. Modifications of the number of the Cantons or their status are subject to the assent of the population concerned, of the Cantons concerned, and of the People and the Cantons.
3. Modifications of the territory of Canton are subject to the assent of the population concerned, of the Cantons concerned, and the assent of the Federal Parliament in the form of federal decree.
4. International law
   Intercantonal boundary settlements may be made by treaty between the Cantons concerned.

Article 54. Foreign Relations

1. Foreign Relations are federal matter.
2. The Confederation shall strive to preserve the independence of Switzerland and its welfare; it shall, in particular, contribute to alleviate need and poverty in the world, and to promote respect for human rights, democracy, the peaceful coexistence of nations, and the preservation of natural resources.
3. It shall take into consideration the powers of the Cantons, and shall protect their interests.

Article 55. Participation of the Cantons in Decisions of Foreign Policy

1. Subsidiary unit government
   The Cantons shall participate in the preparation of decisions of foreign policy which concern their powers or their essential interests.
2. The Confederation shall inform the Cantons timely and fully, and consult them.
3. The position of the Cantons shall have particular weight when their powers are concerned. In these cases, the Cantons shall participate in international negotiations as appropriate.

Article 56. Relations between the Cantons and Foreign Countries

1. The Cantons may conclude treaties with foreign countries within the scope of their powers.
2. Legal status of treaties
   These treaties may not be contrary to the law nor to the interests of the Confederation nor to the laws of other Cantons. Before concluding treaty, the Cantons must inform the Confederation.
3. The Cantons may deal directly with lower ranking foreign authorities; in other cases, the relations of the Cantons with foreign countries shall be conducted by the Confederation acting on their behalf.

Article 57. Security

1. The Confederation and the Cantons shall ensure, within the framework of their powers, the security of the country and the protection of the population.
2. They shall coordinate their efforts in the field of inner security.

Article 58. Army

1. Switzerland shall have an army. The army shall be organized, in principle, as militia.
2. The army shall contribute to prevent war and to maintain peace; it shall defend the country and protect its population. It shall lend support to the civil authorities when they must repel serious threats to internal security or master other exceptional circumstances. The statute may provide for further tasks.
3. The use of the army is federal matter. The Cantons may engage their troops to maintain public order on their territory, if the means of the civil authorities no longer suffice to repel serious threats to inner security.

Article 59. Military and Alternative Service

1. Every Swiss man must render military service. The statute shall provide for an alternative service.
2. For Swiss women, military service is voluntary.
3. Swiss men who render neither military nor alternative service owe tax. The tax is levied by the Confederation and is assessed and collected by the Cantons.
4. The Confederation shall legislate on fair compensation for loss of income.
5. Those who render military or alternative service and thereby suffer health impairment or lose their lives, have the right for themselves or their relatives to adequate support by the Confederation.

Article 60. Organisation, Instruction, and Equipment of the Army

1. Legislation on the military and on the organization, the instruction, and the equipment of the army, is federal matter.
2. Subsidiary unit government
   Within the limits of federal law, the Cantons shall have the power to form cantonal troops, to appoint and to promote officers of such troops, and to furnish part of their clothing and equipment.
3. Duty to serve in the military
   The Confederation may take over military installations of the Cantons against fair compensation.

Article 61. Civil protection

1. Legislation on civil protection is federal matter; civil protection has the purpose of protecting persons and property against the consequences of armed conflicts.
2. The Confederation shall legislate on the intervention of civil protection in catastrophes and emergencies.
3. The Confederation may make the civil protection service compulsory for men. For women, it shall be voluntary.
4. The Confederation shall legislate on fair compensation for loss of income.
5. Those who render civil protection service and thereby suffer health impairment or lose their lives, have the right for themselves or their relatives to adequate support by the Confederation.

Article 62. Education

1. Subsidiary unit government
   Education is cantonal matter.
2. Compulsory education, Free education
   The Cantons shall ensure sufficient primary education open to all children. This education shall be compulsory, and shall be placed under state direction or supervision. It shall be free in public schools. The school year shall begin between mid-August and mid-September.

Article 63. Professional Education and Universities

1. The Confederation shall legislate on professional education.
2. It shall operate technical universities. It may create, operate, or support other universities and institutions of higher learning. It may make its support conditional upon taking coordination measures.

Article 64. Research

1. Reference to science
   The Confederation shall encourage scientific research.
2. It may make its support conditional, in particular, upon taking coordination measures.
3. It may create, take over, or operate research institutions.

Article 65. Statistics

1. The Confederation shall collect the necessary statistical data on the status and evolution of the population, the economy, the society, the territory, and the environment in Switzerland.
2. To facilitate the collection of data, it may legislate on harmonizing and keeping official registers.

Article 66. Support of Education

1. The Confederation may grant subsidies to the Cantons for the expenses that they may incur for scholarships and for other assistance towards education.
2. It may, moreover, complement cantonal measures while respecting cantonal autonomy in school matters, and take its own measures to encourage education.

Article 67. Education of Young People and Adults

1. The Confederation and the Cantons shall, when fulfilling their tasks, take into account children’s and young people’s special needs for development and protection.
2. The Confederation may complement cantonal measures and support the extracurricular work with children and young people and the education of adults.

Article 68. Sport

1. The Confederation shall promote sport, particularly sport education.
2. It shall operate sport school.
3. It may legislate on youth sport, and may make sport education in schools compulsory.

Article 69. Culture

1. Subsidiary unit government
   The field of culture is cantonal matter.
2. Reference to art
   The Confederation may support cultural activities of national interest, and encourage art and music, in particular in the field of education.
3. In accomplishing its tasks, it shall take into account the cultural and linguistic diversity of the country.

Article 70. Languages

1. The official languages of the Confederation are German, French, and Italian. Romansh shall be an official language for communicating with persons of Romansh language.
2. Subsidiary unit government, Protection of language use
   The Cantons shall designate their official languages. In order to preserve harmony between linguistic communities, they shall respect the traditional territorial distribution of languages, and take into account the indigenous linguistic minorities.
3. The Confederation and the Cantons shall encourage understanding and exchange between the linguistic communities.
4. The Confederation shall support the plurilingual Cantons in the fulfillment of their particular tasks.
5. The Confederation shall support the measures taken by the Cantons of Grisons and Ticino to maintain and to promote Romansh and Italian.

Article 71. Film

1. The Confederation may encourage Swiss film production and film culture generally.
2. It may legislate to encourage the variety and quality of cinematographic works offered.

Article 72. Church and State

1. Subsidiary unit government, Official religion
   The regulation of the relationship between church and state is cantonal matter.
2. The Confederation and the Cantons may, within the framework of their powers, take measures to maintain public peace between the members of the various religious communities.
3. [Abrogated in the votation of June 10, 2001, certified as accurate by decision of the Federal Government of August 22, 2001 and based on the Federal Decree of December 15, 2000.]

Article 73. Sustainable Development

Article 74. Protection of the Environment

1. Official or national languages
   The Confederation shall legislate on the protection of man and the natural environment against harm and nuisance.
2. It shall ensure that such influences are avoided. The polluters shall pay for the costs of avoidance and removal.
3. The federal regulations shall be implemented by the Cantons, insofar as the statute does not reserve this for the Confederation.

Article 75. Zoning

1. The Confederation shall establish principles on zoning. Zoning falls to the Cantons, and shall serve to achieve an appropriate and moderate use of the land and its ordered inhabitation.
2. The Confederation shall encourage and coordinate the efforts of the Cantons, and shall collaborate with them.
3. In fulfilling their tasks, the Confederation and the Cantons shall take the needs of zoning into account.

Article 76. Water

1. Within the limits of its powers, the Confederation shall ensure the moderate use and the protection of water resources, and fight harm caused by water.
2. It shall establish principles on the preservation and use of water reserves, on the use of water for the production of energy and for cooling purposes, and on other interventions into the water cycle.
3. It shall legislate on water protection, on securing sufficient residual water, on hydraulic engineering, on the safety of dams and on interventions to influence precipitation.
4. The Cantons shall dispose of their water resources. Within the limits of federal law, they may levy dues for water use. The Confederation shall have the right to use water for its traffic enterprises; it shall pay dues and compensation for this.
5. On rights concerning international water resources and dues connected with them, the Confederation shall decide in consultation with the Cantons concerned. If the Cantons concerned cannot agree on rights to intercantonal water reserves, the Confederation shall decide.
6. In fulfilling its tasks, the Confederation shall take into account the interests of the Cantons from which the water originates.

Article 77. Forests

1. The Confederation shall ensure that forests may fulfill their protective, economic and social functions.
2. It shall establish principles for the protection of forests.
3. It shall encourage measures for the conservation of forests.

Article 78. Nature and Cultural Heritage

1. The protection of nature and cultural heritage is cantonal matter.
2. In fulfilling its tasks, the Confederation shall take into account the objectives of the protection of nature and cultural heritage. It shall protect scenery, localities, historical sites, and natural and cultural monuments; it shall preserve them untouched if public interest so requires.
3. Protection from expropriation
   It may support efforts towards the protection of nature and cultural heritage, and may, by contract or by expropriation, acquire or secure objects of national importance.
4. It shall legislate on the protection of animal and plant life, and on the preservation of their natural environment and multiplicity. It shall protect endangered species from extinction.
5. Moors and marshland of special beauty and national importance shall be protected. No installations may be built on them, and no alterations of any kind may be made to the land. An exception is made for installations serving to ensure their protection or continuation of existing agricultural use.

Article 79. Fishery and Hunting

Article 80. Protection of Animals

1. The Confederation shall legislate on the protection of animals.
2. It shall regulate in particular:
   1. the keeping and care of animals;
   2. experiments and intervention on live animals;
   3. the use of animals;
   4. the importation of animals and animal products;
   5. trade in animals and transportation of animals;
   6. the slaughter of animals.
3. The federal regulations shall be implemented by the Cantons, insofar as the statute does not reserve this for the Confederation.

Article 81. Public Works

Article 82. Road Traffic

1. The Confederation shall legislate on road traffic.
2. It exercises high supervision over roads of national importance; it may determine which transit roads must remain open to traffic.
3. The use of public roads shall be free. The Federal Parliament may authorize exceptions.

Article 83. National Highways

1. The Confederation shall ensure the construction of network of national highways and the utilization of these highways.
2. The Cantons shall build and maintain their national highways according to the rules established by the Confederation and under its high supervision.
3. Subsidiary unit government
   The Confederation and the Cantons shall bear the costs of the national highways jointly. The costs to be borne by each Canton shall be allocated by taking into account the burden falling on them due to the national highways, their interest in these highways, and their financial resources.

Article 84. Alpine Transit

1. Protection of environment
   The Confederation shall protect the alpine regions from the negative effects of transit traffic. It shall limit the nuisance caused by such traffic to level which is not harmful to persons, animals, or plants, or their environment.
2. Transalpine freight in border-to-border transit shall be transported by rail. The Federal Government shall take the necessary measures. Exceptions shall be permitted only if they are inevitable. They shall be specified by statute.
3. The capacity of transit roads in the alpine regions may not be increased, except for bypass roads to relieve the pressure of through-traffic in towns and villages.

Article 85. Charge on Heavy Goods Traffic

1. The Confederation may levy charge on heavy goods traffic related to motor power or consumption. The charge may only be levied to the extent to which heavy goods traffic creates public costs which are not already covered by other contributions or charges.
2. The net revenue from the charge shall be used to cover costs in connection with road traffic.
3. The Cantons shall receive portions of the net revenue from the charge. These portions shall be calculated by taking into account the specific repercussions of the charge in mountainous and remote regions.

Article 86. Motor Fuels Consumption Tax and other Traffic Charges

1. The Confederation may raise consumption tax on motor fuels.
2. It shall raise tax on the use of national highways by motor vehicles and trailers which are not subject to the heavy goods traffic charge.
3. It shall use half of the net revenue from the motor fuels consumption tax and the net revenue from the national highway tax for the following purposes and costs in connection with road traffic:
   1. Construction, maintenance, and operation of national highways;
   2. Measures to promote combined traffic and traffic of accompanied road vehicles, or to separate railway traffic from road traffic;
   3. Contributions towards the construction of main roads;
   4. Protection of environment
      Contributions towards the construction of works of protection against natural elements, and towards measures of protection of the environment and scenery made necessary by road traffic;
   5. General participation in the financing by the Cantons of highways open to motor vehicles and to equalization of financial charges in the field of roads;
   6. Contributions to the Cantons without national highways, and to Cantons with alpine roads serving international traffic.
4. If these means are insufficient, the Confederation shall raise surtax on the motor fuels consumption tax.

Article 87. Rail Traffic and further Means of Traffic

Article 88. Footpaths and Hiking Trails

1. The Confederation shall establish principles on networks of footpaths and hiking trails.
2. It may support measures of the Cantons to establish and keep such networks, and to coordinate them.
3. In fulfilling its tasks, it shall take into account networks of footpaths and hiking trails, and shall replace paths and trails that it must close.

Article 89. Energy Policy

1. Within their powers, the Confederation and the Cantons shall strive to ensure sufficient, diversified, reliable, and economical energy supply compatible with the protection of the environment, and the economical and efficient use of energy.
2. The Confederation shall establish principles on the use of domestic and renewable energy, and the economical and efficient use of energy.
3. The Confederation shall legislate on the use of energy for installations, vehicles, and appliances. It shall promote the development of energy techniques, particularly in the fields of energy saving and renewable energy.
4. Measures concerning the use of energy in buildings are primarily cantonal matter.
5. In its energy policy, the Confederation shall take into account the efforts of the Cantons, of the Municipalities, and of economic circles; it shall take into account the conditions in the various regions, and the limitations of what is economically feasible.

Article 90. Nuclear Energy

Article 91. Transportation of Energy

1. The Confederation shall legislate on the transportation and the supply of electricity.
2. Legislation on pipelines for the transport of liquid or gaseous fuels is federal matter.

Article 92. Postal and Telecommunication Services

1. Telecommunications
   Postal and telecommunication services are federal matter.
2. The Confederation shall ensure sufficient and reasonable basic postal and telecommunication services in all regions. The rates shall be fixed according to uniform principles.

Article 93. Radio and Television

1. Legislation on radio and television and other forms of public telecasting of features and information is federal matter.
2. State operation of the media
   Radio and Television shall contribute to education and cultural development, to the free formation of opinion, and to the entertainment of the listeners and viewers. They shall take into account the particularities of the country and the needs of the Cantons. They shall present events factually, and reflect diverse opinions fairly and adequately.
3. State operation of the media, Freedom of press
   The independence of radio and television and the autonomy of their programming are guaranteed.
4. The situation and the role of other media, in particular the press, shall be taken into account.
5. It shall be possible to submit complaints about programs to an independent authority.

Article 94. Principles of Economic Order

1. Right to competitive marketplace
   The Confederation and the Cantons shall respect the principle of economic freedom.
2. They shall safeguard the interests of the national economy and, together with the private sector of the economy, contribute to the welfare and economic security of the population.
3. Within the limits of their powers, they shall strive to create favorable conditions for the private sector of the economy.
4. Right to competitive marketplace
   Derogations from the principle of economic freedom, in particular measures against competition, shall be allowed only if foreseen by the Federal Constitution or based on cantonal monopolies.

Article 95. Private Economic Activity

1. The Confederation may legislate on the exercise of private economic activity.
2. It shall strive to create unified Swiss economic area. It shall guarantee that persons having university education or federal or cantonal education certificate or an education certificate recognized by Canton may exercise their profession throughout Switzerland.

Article 96. Competition Policy

1. The Confederation shall legislate to fight against economically or socially damaging effects of cartels and other restrictions of competition.
2. It shall take measures
   1. to prevent abuses in price fixing by enterprises and organizations of private and public law enjoying dominant position on the market;
   2. against unfair competition.

Article 97. Consumer Protection

1. The Confederation shall take measures for consumer protection.
2. It shall legislate on the remedies available to consumer organizations. In the field of federal legislation against unfair competition, these organizations shall have the same rights as professional and economic associations.
3. The Cantons shall provide conciliation procedure or simple and speedy judicial procedure for cases below certain value in dispute. The Federal Government shall establish this value.

Article 98. Banking and Insurance

1. The Confederation shall legislate on banking and stock exchanges; it shall take into account the specific task and position of the cantonal banks.
2. It may legislate on financial services in other fields.
3. It shall legislate on private insurance.

Article 99. Monetary Policy

1. Money and currency are federal matter. The Confederation shall have the exclusive right to coin money and to issue bank notes.
2. As an independent central bank, the Swiss National Bank shall follow monetary policy which serves the general interest of the country; it shall be administered with the cooperation and under the supervision of the Confederation.
3. The Swiss National Bank shall create sufficient monetary reserves from its profits; part of these reserves shall be held in gold.
4. Subsidiary unit government
   At least two thirds of the net profits of the Swiss National Bank shall be credited to the Cantons.

Article 100. Policy on Economic Development

1. The Confederation shall take measures to ensure balanced economic development and, in particular, to prevent and fight unemployment and inflation.
2. It shall take into account the economic development of the various regions. It shall cooperate with the Cantons and the economic circles.
3. In the fields of credit and currency, in foreign trade and in public finance, it may, if necessary, depart from the principle of economic freedom.
4. In their budgetary policy, the Confederation, Cantons and Municipalities shall take into account the economic development.
5. In order to stabilize the economy, the Confederation may temporarily levy surcharges, or grant rebates on federal taxes and dues. The accumulated funds shall be frozen; after their release, direct surcharges shall be individually reimbursed, and indirect surcharges shall be used to grant rebates or to create employment.
6. The Confederation may oblige businesses to accumulate reserves for the creation of employment; for this purpose, it shall grant tax privileges, and may also oblige Cantons to grant such privileges. After the release of the reserves, the businesses shall be free to decide how to use them within the purposes prescribed by statute.

Article 101. Foreign Trade

1. The Confederation shall safeguard abroad the interests of the Swiss economy.
2. In special cases, it may take measures to protect the domestic economy. It may, if necessary, depart from the principle of economic freedom.

Article 102. Supply of Essential Goods and Services

1. The Confederation shall ensure the country’s supply of essential goods and services in case of threats of military or economic war, or of severe shortages which the economy cannot counteract by itself. It shall take provisional measures.
2. It may, if necessary, depart from the principle of economic freedom.

Article 103. Structural Policy

Article 104. Agriculture

1. Protection of environment
   The Confederation shall ensure that agriculture contributes substantially by way of sustainable and market-oriented production.
   1. to the secure approvisionment of the population;
   2. to the conservation of national resources and the upkeep of rural scenery;
   3. to decentralized inhabitation of the country.
2. In addition to the measures of self-help that may reasonably be expected from agriculture and, if necessary, in derogation of the principle of economic freedom, the Confederation shall promote farms cultivating the land.
3. Protection of environment
   It shall conceive the measures in such way that agriculture may fulfill its multiple functions. Its powers and tasks shall particularly be the following:
   1. It shall complement agricultural revenues by direct payments, to secure fair and adequate remuneration for the services rendered, provided that compliance with ecological requirements is proven;
   2. It shall promote, by way of economic incentives, forms of production which are particularly close to nature and friendly to the environment and the animals;
   3. It shall legislate on the declaration of origin, quality, production and processing methods for foodstuffs;
   4. It shall protect the environment against pollution due to excessive use of fertilizers, chemicals and other auxiliary substances;
   5. It may encourage agricultural research, counseling, and education, and subsidize investments;
   6. It may legislate on the consolidation of rural property.
4. To these ends it shall invest dedicated funds from the agricultural field and general federal funds.

Article 105. Alcohol

Article 106. Gambling

1. Legislation on gambling and lotteries is federal matter.
2. federal license is required to establish and run gambling casino. When issuing federal license, the Confederation shall take into account regional circumstances and the dangers of gambling.
3. The Confederation shall levy from casinos tax on their revenues; this tax shall not exceed 80 percent of the gross revenues from gambling. It shall be used to cover the federal subsidy to old age, survivors’ and disability insurance.
4. The licensing of gambling machines involving an element of skill and where money can be won is cantonal matter.

Article 107. Weapons and Military Material

1. The Confederation shall legislate on the misuse of weapons, associated equipment, and ammunition.
2. It shall legislate on the production, acquisition, distribution, importation, exportation, and transit of military material.

Article 108. Promotion of Construction and Ownership of Housing

1. The Confederation shall encourage the construction and the ownership of housing for private persons’ own use, and the activity of developers and organisations for social housing.
2. It shall promote, in particular, the acquisition and development of land, the efficiency of construction, and the reduction of construction and housing costs.
3. It may legislate on the development of land for the construction of housing, and on efficiency in construction.
4. In fulfilling this task, it shall, in particular, take into account the interests of families and elderly, needy, and disabled persons.

Article 109. Landlord and Tenant

1. The Confederation shall issue regulations against abuses in the field of landlord and tenant, particularly against abusive rent, on avoiding abusive notices of termination, and on the limited extension of tenancies.
2. General guarantee of equality
   It may legislate to confer generally binding effect on general contracts between landlords and tenants. Contracts may become generally binding only if they take fairly into account justified minority interests and regional differences, and respect the principle of equality before the law.

Article 110. Labor

1. The Confederation may legislate on:
   1. the protection of employees;
   2. the relationship between employees and employers, in particular the common regulation of matters concerning an enterprise or trade;
   3. placement services;
   4. conferring generally binding effect on collective labor contracts.
2. Right to join trade unions
   Collective labor contracts may receive generally binding effect only if they take fairly into account justified minority interests and regional differences, and respect the principle of equality before the law and the freedom to unionize.
3. August is the Federal National Day. In labor law, it is assimilated to Sunday, and paid.

Article 111. Social Security

1. The Confederation shall take measures for an adequate social security for the elderly, survivors, and disabled persons. These shall be based on three pillars, namely, federal old age, survivors’ and disability insurance, employee pension plans, and provision by individuals for their own future.
2. The Confederation shall ensure that the federal old age, survivors’ and disability insurance, and the employee pension plans may fulfill their purpose durably.
3. It may oblige the Cantons to exempt from taxation the institutions of the federal old age, survivors’ and disability insurance, and the employee pension plans, and to grant tax relief to persons insured and their employers for contributions paid, and entitlements to future benefits.
4. In cooperation with the Cantons, the Confederation shall encourage individuals to provide for their own future, particularly by fiscal measures and by policies encouraging ownership.

Article 112. Old age, Survivors’ and Disability Insurance

1. The Confederation shall legislate on the old age, survivors’ and disability insurance.
2. In doing so, it shall respect the following principles:
   1. The insurance shall be mandatory;
   2. The pensions must cover basic living expenses appropriately;
   3. The maximal pension shall not exceed twice the minimal pension;
   4. The pensions shall at least be adapted to the development of prices.
3. The insurance shall be financed:
   1. by contributions of the insured persons; half the contributions of employees shall be paid by their employers;
   2. by subsidies of the Confederation and, if the statute so provides, of the Cantons.
4. Together, the subsidies of the Confederation and the Cantons shall not exceed half the disbursements.
5. The subsidies of the Confederation shall be primarily financed by the net proceeds of the tax on tobacco, the tax on distilled spirits, and the tax on the revenue from the operation of casinos.
6. The Confederation shall encourage the integration of disabled persons, and support efforts to assist the elderly, survivors, and disabled persons. To this end, it may use the funds of the old age, survivors’ and disability insurance.

Article 113. Employee Pension Plans

1. The Confederation shall legislate on employee pension plans.
2. In doing so, it shall respect the following principles:
   1. Employee pension plans together with the old age, survivors’ and disability insurance shall ensure appropriately that the previous lifestyle may be maintained;
   2. Employee pension plans shall be mandatory for employees; the statute may foresee exceptions;
   3. Employers shall insure their employees with pension institution. If necessary, the Confederation shall give them the possibility to insure their employees with federal pension institution;
   4. Self-employed persons may voluntarily insure themselves with pension institution;
   5. For particular groups of self-employed persons, the Confederation may declare employee pension plans mandatory, in general or only for particular risks.
3. Employee pension plans shall be financed through contributions by the insured persons; at least half the contribution of employees shall be paid by their employers.
4. Employee pension institutions must satisfy federal minimum requirements; the Confederation may provide for nationwide measures to resolve particular problems.

Article 114. Unemployment Insurance

1. The Confederation shall legislate on unemployment insurance.
2. In doing so, it shall respect the following principles:
   1. The insurance shall guarantee an appropriate compensation for loss of earnings, and shall support measures to prevent and fight unemployment;
   2. Insurance shall be mandatory for employees; the statute may provide exceptions;
   3. Self-employed persons may voluntarily insure themselves.
3. The unemployment insurance shall be financed by the contributions of the insured persons. Half the contribution of employees shall be paid by their employers.
4. In extraordinary circumstances, the Confederation and the Cantons shall provide subsidies.
5. The Confederation may legislate on social assistance to the unemployed.

Article 115. Assistance to Needy Persons

Article 116. Family Allocations and Maternity Insurance

1. In fulfilling its tasks, the Confederation shall take into account the needs of the family. It may support measures to protect the family.
2. It may legislate on family allocations and operate federal family compensation fund.
3. It shall institute maternity insurance. It may also oblige persons to contribute who cannot benefit from the insurance.
4. The Confederation may declare mandatory joining family compensation fund and maternity insurance generally or for certain categories of persons, and may make its subsidies dependent upon fair contributions by the Cantons.

Article 117. Health and Accident Insurance

1. Right to health care
   The Confederation shall legislate on health and accident insurance.
2. It may declare mandatory health and accident insurance generally or for certain categories of persons.

Article 118. Protection of Health

1. Within the limits of its powers, the Confederation shall take measures for the protection of health.
2. It shall legislate on:
   1. the use of foodstuffs and of therapeutics, drugs, organisms, chemicals, and objects which may be dangerous to health;
   2. fighting contagious, widespread or particularly dangerous human and animal diseases;
   3. protection against ionizing radiation.

Article 119. Medical Assistance to Procreation and Gene Technology in the Human Field

1. Persons shall be protected against the abuse of medically assisted procreation and gene technology.
2. Human dignity
   The Confederation shall legislate on the use of human reproductive and genetic material. It shall ensure the protection of human dignity, of personality, and of family, and in particular it shall respect the following principles:
   1. All forms of cloning and interference with genetic material of human reproductive cells and embryos is prohibited;
   2. Non-human reproductive and genetic material may neither be introduced into nor combined with human reproductive material;
   3. Methods of medically assisted procreation may only be used when sterility or the danger of transmission of serious illness cannot be avoided otherwise, but neither in order to induce certain characteristics in the child nor to conduct research. The fertilization of human ova outside woman’s body shall be permitted only under conditions determined by statute. No more human ova may be developed into embryos outside woman’s body than are capable of being immediately implanted into her;
   4. The donation of embryos and all forms of surrogate maternity are prohibited;
   5. No trade may be conducted with human reproductive material or with any product obtained from embryos;
   6. person’s genetic material may only be analyzed, registered or disclosed with the consent of that person, or if statute so provides;
   7. Every person shall have access to the data concerning his or her ancestry.

Article 119a. Medical Transplantation

1. The Confederation shall legislate in the field of transplantation of organs, tissues, and cells. It shall safeguard human dignity, personality, and health.
2. It shall in particular establish principles for the fair distribution of organs.
3. The donation of human organs, tissues and cells shall be free of charge. Trade in human organs is prohibited.

Article 120. Gene Technology in the Non-Human Field

1. Persons and their environment shall be protected against abuse of gene technology.
2. The Confederation shall legislate on the use of the reproductive and genetic material of animals, plants, and other organisms. In doing so, it shall take into account the dignity of creation and the security of man, animal and environment, and shall protect the genetic multiplicity of animal and vegetal species.

Article 121

1. Legislation on immigration, emigration, residence and domicile of foreigners, and on granting asylum are federal matters.
2. Power to deport citizens
   Foreigners who endanger Switzerland’s security may be removed from Switzerland by force.

Article 122. Civil Law

1. Legislation in the field of civil law and civil procedure is federal matter.
2. The organization of the judiciary and civil justice are cantonal matters unless otherwise provided by statute.

Article 123. Criminal Law

1. Legislation in the field of criminal law and criminal procedure is federal matter.
2. The organization of the judiciary, criminal justice, and execution of criminal penalties and measures are cantonal matters, unless otherwise provided by statute.
3. The Confederation may grant subsidies to the Cantons for:
   1. the construction of institutions;
   2. the improved carrying out of penalties and measures;
   3. the support of institutions that execute educational measures for children, for young people and for young adults.

Article 124. Aid to Victims of Criminal Acts

Article 125. Weights and Measures

Article 148. Status

1. Subject to the rights of the People and the Cantons, the Federal Parliament is the highest authority of the Confederation.
2. Division of labor between chambers, Structure of legislative chamber(s)
   It has two Chambers, the House of Representatives and the Senate; which have equal powers.

Article 149. Composition and Election of the House of Representatives

1. Size of first chamber
   The House of Representatives shall be composed of 200 representatives of the People.
2. Term length for first chamber
   The representatives shall be elected directly by the People according to the system of proportional representation. The House of Representatives shall be renewed in full every four years.
3. Electoral districts
   Each Canton shall form an electoral district.
4. The seats shall be distributed among the Cantons in proportion to their population. Each Canton shall have at least one seat.

Article 150. Composition and Election of the Senate

1. Size of second chamber
   The Senate shall consist of 46 delegates of the Cantons.
2. The Cantons of Obwald, Nidwald, Basel City, Basel Land, Appenzell Outer Rhodes and Appenzell Inner Rhodes shall elect one Senator each; the other Cantons shall elect two Senators.
3. The Cantons shall regulate the election of their Senators.

Article 151. Session Periods

1. The Chambers shall meet regularly for sessions. The Statute shall regulate the calling of sessions.
2. Extraordinary legislative sessions
   One fourth of the members of Chamber or the Federal Government may request that the Chambers be called to an extraordinary session period.

Article 152. Presidency

Article 153. Parliamentary Commissions

1. Each Chamber shall appoint commissions from its midst.
2. The statute may foresee joint commissions.
3. The statute may delegate certain powers that are not of legislative nature to commissions.
4. To fulfill their tasks, the commissions shall have the right to obtain information, to consult documents, and to conduct inquiries. The statute shall define the limits of these rights.

Article 154. Parliamentary Groups

Article 155. Parliamentary Services

Article 156. Separate Deliberation

1. The House of Representatives and the Senate shall deliberate separately.
2. Decisions of the Federal Parliament shall require the approval of both Chambers.

Article 157. Joint Deliberation

1. The House of Representatives and the Senate shall deliberate in common as the Federal Parliament in Joint Session under the chairmanship of the President of the House of Representatives in order to:
   1. hold elections;
   2. rule on jurisdictional disputes between the highest federal authorities;
   3. to rule on petitions for pardon.
2. The Federal Parliament in Joint Session shall assemble for special occasions, and to hear declarations of the Federal Government.

Article 158. Meetings to be Public

Article 159. Quorum and Majority

1. Quorum for legislative sessions
   The Chambers may deliberate validly if the majority of its members are present.
2. The decisions are taken in both Chambers and in the Federal Parliament in Joint Session by the majority of those voting.
3. However, the majority of the members of each Chamber shall be required for the following:
   1. The declaration of urgency of Federal Statutes;
   2. Provisions granting subsidies, authorizing credit lines, and establishing spending ceilings which cause new one- time expenditures exceeding 20 Million Swiss Francs, or new recurrent expenditures exceeding Million Swiss Francs;
   3. Budget bills
      an increase of the total expenditures in case of extraordinary payment requirements according to art. 126 subs. 3.
4. The Federal Parliament may adapt to inflation the amounts according to subs. lit. b. by ordinance.

Article 160. Right to Initiatives and Motions

1. Every member of the Federal Parliament, every parliamentary group, every parliamentary commission, and every Canton, have the right to submit initiatives to the Federal Parliament.
2. The members of the Federal Parliament and of the Federal Government may present motions concerning proposal under deliberation.

Article 161. Prohibition of Instructed Mandates

1. The members of the Federal Parliament shall vote without instructions.
2. They shall reveal their links with interest groups.

Article 162. Immunity

1. The members of the Federal Parliament and the Federal Government, and the Federal Chancellor may not be held responsible for their statements in the Chambers and before parliamentary organs.
2. The statute may provide for further forms of immunity, and extend them to other persons.

Article 163. Form of Laws and Decrees by the Federal Parliament

1. The Federal Parliament shall enact rules of law in the form of Federal Statute or ordinance.
2. The other acts shall use the form of federal decree. federal decree not subjected to referendum shall be called simple federal decree.

Article 164. Legislation

1. All important provisions establishing rules of law must be enacted in the form of Federal Statutes. These include the fundamental provisions on
   1. the exercise of political rights;
   2. the restrictions of constitutional rights;
   3. the rights and obligations of persons;
   4. Tax bills
      the circle of tax payers, and the object and the calculation of taxes;
   5. the tasks and services of the Confederation;
   6. the obligations of the Cantons when implementing and executing federal law;
   7. the organization and the procedure of federal authorities.
2. Federal Statute may delegate the power to legislate unless this is excluded by the Federal Constitution.

Article 165. Urgent Legislation

1. Federal Statute whose coming into force tolerates no delay, may be declared urgent by the majority of each Chamber and put into force immediately. It must be limited in time.
2. If referendum is demanded against an urgent Federal Statute, it shall lapse one year after its adoption by the Federal Parliament, unless it is approved by the People within that period.
3. An urgent Federal Statute that has no constitutional basis shall lapse one year after its adoption by the Federal Parliament, unless it was adopted within that period by the People and the Cantons. It must be limited in time.
4. An urgent Federal Statute that was not adopted in votation may not be renewed.

Article 166. Foreign Relations and International Treaties

1. The Federal Parliament shall participate in shaping foreign policy, and shall supervise foreign relations.
2. Treaty ratification
   It shall approve international treaties, with the exception of those which by statute or international treaty are within the powers of the Federal Government.

Article 167. Finances

Article 168. Elections

1. Head of state selection
   The Federal Parliament shall elect the members of the Federal Government, the Federal Chancellor, the judges of the Federal Supreme Court, and the General.
2. The Statute may empower the Federal Parliament to carry out further elections or to confirm appointments.

Article 169. High Supervision

1. The Federal Parliament shall exercise the high supervision over the Federal Government, the Federal Administration, the Federal Courts and the other organs entrusted with tasks of the Confederation.
2. Official secrecy shall not be opposable to those special delegations of supervisory commissions that are appointed as provided by Statute.

Article 170. Evaluation of Efficacy

Article 171. Mandates to the Federal Government

Article 172. Relations between the Confederation and the Cantons

1. The Federal Parliament shall maintain the relations between the Confederation and the Cantons.
2. It shall guarantee the cantonal constitutions.
3. Treaty ratification
   It shall decide whether to approve intercantonal treaties and treaties between Cantons and foreign countries, should the Federal Government or Canton raise an objection.

Article 173. Further Tasks and Powers

1. The Federal Parliament shall further have the following tasks and powers:
   1. It shall take measures to safeguard the external security, the independence, and the neutrality of Switzerland;
   2. It shall take measures to secure the inner security;
   3. If extraordinary circumstances so require, it may issue ordinances or simple federal decrees to fulfill the tasks according to letters and b;
   4. Power to declare/approve war
      It shall order active military service, and to this end, shall mobilize all or part of the army.
   5. It shall take measures to enforce federal law;
   6. It shall decide on the validity of popular initiatives that meet the formal requirements;
   7. It shall cooperate in important planning of state activities;
   8. It shall decide on individual acts, if Federal Statute so provides expressly;
   9. It shall decide conflicts or jurisdiction between the highest federal authorities;
   10. It shall decide on petitions for pardon and declare amnesties.
2. The Federal Parliament shall moreover deal with all subjects that are within the powers of the Confederation, and are not attributed to another federal authority.
3. The Statute may assign other tasks and powers to the Federal Parliament.

Article 174. Federal Government

Article 175. Composition and Election

1. Establishment of cabinet/ministers, Name/structure of executive(s)
   The Federal Government shall consist of seven members.
2. Name/structure of executive(s), Head of state selection, Head of state term length, Scheduling of elections
   The members of the Federal Government shall be elected by the Federal Parliament after each full renewal of the House of Representatives.
3. Eligibility for head of state, Minimum age of head of state, Head of state selection
   They shall be elected among the Swiss citizen eligible for membership in the House of Representatives for four years.
4. Care shall be taken that the various geographical and language regions be adequately represented.

Article 176. Presidency

1. The President of the Confederation shall chair the Federal Government.
2. Head of state selection, Deputy executive
   The Federal Parliament shall elect, for term of one year, one of the members of the Federal Government as President of the Confederation, and another as Vice-President of the Federal Government.
3. These mandates may not be renewed for the following year. The President of the Confederation shall not be eligible to be Vice-President for the following year.

Article 177. Principle of Collective Authority and Division into Departments

1. The Federal Government shall take its decisions as collective body.
2. Establishment of cabinet/ministers
   For the preparation and implementation of the decisions, the matters of the Federal Government shall be distributed amongst its members according to Departments.
3. Matters shall be entrusted to Departments or administrative units subordinated to them to be settled directly; in such cases, the right of recourse to remedy shall be guaranteed.

Article 178. Federal Administration

1. The Federal Government shall direct the Federal Administration. It shall ensure its efficient organization and the effective fulfillment of its tasks.
2. The Federal Administration shall be divided into Departments; each Department shall be directed by one member of the Federal Government.
3. The statute may attribute administrative tasks to organizations and persons of public or private law outside the Federal Administration.

Article 179. Federal Chancery

Article 180. Government Policy

1. Head of state powers
   The Federal Government shall determine the goals and the means of its government policy. It shall plan and coordinate the activities of the state.
2. Legislative oversight of the executive
   It shall inform the public timely and fully of its activity, unless preponderant public or private interests prevent this.

Article 181. Initiative

Article 182. Legislation and Implementation

1. Head of state decree power
   The Federal Government shall legislate in the form of ordinances, insofar as the Constitution or the statute empower it to do so.
2. It shall ensure the implementation of statutes, of decrees of the Federal Parliament, and of judgments of the federal judiciary.

Article 183. Finances

1. Budget bills
   The Federal Government shall prepare the financing plan, draft the budget and establish the federal accounts.
2. It shall ensure correct financial management.

Article 184. Foreign Relations

1. Foreign affairs representative
   The Federal Government shall conduct foreign relations safeguarding the Federal Parliament’s participation rights; it shall represent Switzerland abroad.
2. It shall sign treaties and ratify them. It shall submit them to the Federal Parliament for approval.
3. Head of state decree power
   When the safeguard of the interests of the country so require, the Federal Government may issue ordinances and orders. Ordinances must be limited in time.

Article 185. External and Inner Security

1. The Federal Government shall take measures to secure the external security, the independence, and the neutrality of Switzerland.
2. It shall take measures to safeguard the inner security.
3. Power to declare/approve war, Emergency provisions, Head of state decree power
   It may base itself directly on the present article to issue ordinances and orders to obviate existing or imminent great disturbances of the public order, the external or the inner security. Such ordinances shall be limited in time.
4. Designation of commander in chief, Power to declare/approve war, Emergency provisions
   In urgent cases, it may mobilize troops. If it mobilizes more than 4000 members of the armed forces for active duty, or if the mobilization for active duty is expected to last more than three weeks, the Federal Parliament must be convened without delay.

Article 186. Relations between the Confederation and the Cantons

1. The Federal Government shall entertain the relations between the Confederation and the Cantons, and shall collaborate with the Cantons.
2. Federal review of subnational legislation
   It shall approve cantonal legislation where the implementation of federal law so requires.
3. It may raise objections against treaties amongst the Cantons, or between Cantons and foreign countries.
4. It shall ensure the implementation of federal law, cantonal constitutions, and intercantonal treaties, and shall take the necessary measures.

Article 187. Further Tasks and Powers

1. The Federal Government shall further have the following tasks and powers:
   1. It shall supervise the Federal Administration and the other organizations or persons entrusted with tasks of the Confederation;
   2. Legislative oversight of the executive
      It shall regularly inform the Federal Parliament of its activity and on the state of the country;
   3. It shall carry out the appointments that are not in the powers of other authorities;
   4. It shall decide on remedies where the statute so provides.
2. Head of state powers
   The statute may attribute further tasks and powers to the Federal Government.

1. Transitory Provision to Art. 84 (Transalpine Traffic

2. Transitory Provision to Art. 85 (Flat Heavy Traffic Charge

1. The Confederation shall levy an annual charge on each domestic and foreign motor vehicle and trailer having total weight of over 3.5 tons for the use of roads open to general traffic.
2. The charge shall be:
   1. for lorries and articulated motor vehicles of
      • over 3.5 up to 12 CHF 650

        over 12 up to 18 CHF 2000

        over 18 up to 26 CHF 3000

        over 26 CHF 4000

   2. for trailers of
      • – over 3.5t up to 8 t CHF 650

        – over 8 t up to 10 t CHF 1500

        over 10 t CHF 2000

   3. for coaches CHF 650
3. The rates may be adjusted by means of Federal Statute, insofar as this is justified by the cost of road traffic.
4. The Federal Government may, moreover, by means of an ordinance, bring the tariff categories that apply above 12 tons listed in paragraph into line with possible amendments of the weight categories defined in the road traffic statute.
5. For vehicles which are not on the road in Switzerland during the whole year, the Federal Government shall establish suitably gradual rates, taking into account the costs of collecting the charge.
6. The Federal Government shall regulate the implementation. It may establish the rates foreseen in subs. for special categories of vehicles, exempt certain vehicles from the charge, and establish special regulations, particularly for journeys in border areas. Such regulations shall not result in vehicles registered abroad being treated more favorably than Swiss vehicles. The Federal Government may foresee fines in case of infractions. The Cantons shall collect the charges on vehicles registered in Switzerland.
7. The charge may be wholly or partly abolished by statute.
8. The present article shall apply until the coming into force of the Federal Statute of December 19, 1997, on the heavy traffic duty related to motor power or consumption.

3. Transitory Provision to Art. 87 (Railroad and other Traffic

1. The Major Railroad Projects are the New Alpine Crossing, Rail 2000, the link of Eastern and Western Switzerland to the European high-speed railroad network, and the improvement by active and passive measures of protection against noise along railroad lines.
2. In order to finance the Major Railroad Projects, the Federal Government may
   1. use the full yield of the flat heavy traffic charge set out in art. 196, subs. until the charge on heavy goods traffic related to motor power or consumption according to Art 85 comes into force, and may, for this purpose, at most double the rates;
   2. use no more than two thirds of the yield of the heavy goods traffic charge related to motor power or consumption set out in Art 85;
   3. use funds yielded by the tax on mineral fuels set out in Art 86, subs. 3, letter to cover 25 percent of the total costs for the basic lines of the New Alpine Crossing;
   4. raise funds on the capital markets, but no more than 25 percent of the general costs of the new alpine crossing, Rail 2000, and the link of Eastern and Western Switzerland to the European high- speed railroad network;
   5. raise by .1 percent points all value added tax rates (including surtax) set out in Art 196, subs. 14 and Art 130;
   6. provide for additional financing from private sources or international organizations.
3. The financing of the Major Railroad Projects according to paragraph shall be assured by fund legally dependent on the Confederation, but keeping separate accounts. The proceeds from the tolls and taxes set out in paragraph shall be credited to the financial accounts of the Confederation, and transferred into the fund the same year. The Confederation may grant advances to the fund. The Federal Parliament shall issue the regulations for the fund by means of an ordinance.
4. The four Major Railroad Projects according to paragraph shall be adopted by means of Federal Statutes. For each major project as whole, its necessity and status of planning must be established. For the New Alpine Crossing project, the various construction phases shall be defined in the Federal Statute. The Federal Parliament shall allocate the necessary funds by way of authorizing credit lines. The Federal Government shall approve the construction milestones, and determine the timetable.
5. This provision shall apply until the construction of the Major Railroad Projects mentioned in paragraph is completed, and their financing has ended (through repayment of advances)

4. Transitory Provision to Art. 90 (Nuclear Energy

5. Transitory Provision to Art. 95 (Private Economic Activity

6. Transitory Provision to Art. 102 (Approvisionment of the Country

1. The Confederation shall ensure the approvisionment of the country with millable cereals and baking flour.
2. This transitory provision shall remain in effect until December 31, 2003 at the latest.

7. Transitory Provision to Art. 103 (Structural Policy

8. Transitory Provision to Art. 106 (Gambling

1. Article 106 shall enter into force with the entry into force of new Federal Statute on gambling and casinos.
2. Until that date, the following provisions shall apply:
   1. It shall be prohibited to open and to operate casinos.
   2. The Cantonal Governments may, under certain limitations mandated by public interest, authorize entertainment gambling as was customary in Kursaals until the Spring of 1925, if the competent authority is of the opinion that this gambling is necessary to maintain or develop tourism, and if it is organized by Kursaal operator serving this purpose. The Cantons may also prohibit this type of gambling.
   3. The Federal Government shall issue an ordinance on the limitations mandated by public interest. The stake shall be no more than CHF 5.--
   4. Each cantonal gambling license must be approved by the Federal Government.
   5. One fourth of the raw receipts of the gambling operations must be credited to the Confederation which shall use this part, without regard to its own prestations, for the benefit of victims of natural disasters, and for institutions of public assistance.
   6. The Confederation may also take the necessary measures concerning lotteries.

9. Transitory Provision to Art. 110 subs. (National Day

1. Until the entry into force of the new federal legislation, the Federal Government shall regulate the modalities.
2. Swiss National Day shall not be included in the number of holidays established in art. 18, par. of the Labor Statute.

10. Transitory Provision to Art. 112 (Old age, Survivors’ and Disability Insurance

11. Transitory Provision to Art. 113 (Employment Pension Plans

12. Transitory Provision to Art. 126 (Financial Order

1. The deficit in the financial accounts of the Confederation shall be reduced through savings until the accounts are substantially balanced.
2. The deficit may not exceed 5000 Million Swiss Francs in the 1999 accounts and 2500 Million in the 2000 accounts. In the 2001 accounts, it shall be reduced to at most percent of the receipts.
3. If the economic situation so requires, the majority of the members of both Chambers may extend by way of decree the deadlines according to paragraph at most by two years altogether.
4. The Federal Parliament and the Federal Government shall take into account the objectives of paragraph when establishing the budget and the long-term financing plan, and when deliberating on all matters having financial consequences.
5. When implementing the budget, the Federal Government shall use all saving opportunities. To this end, it may freeze credits and credit lines already authorised. Statutory rights and subsidies promised in individual cases with force of law shall be reserved.
6. If the objectives according to paragraph are missed, the Federal Government shall determine which amount must be additionally saved. To this end,
   1. it shall decide on additional savings within its powers;
   2. it shall propose to the Federal Parliament amendments of statutes leading to additional savings.
7. The Federal Government shall establish the total sum of the additional savings in such way that the objectives shall be achieved with delay of no more than two years. The savings shall be made both on subsidies to third parties and in the field of the Confederation itself.
8. The two Chambers shall decide on the motions of the Federal Government in the same session, and shall put their decree into force following the procedure of Art. 165 of the Constitution; they shall be bound to the amount of savings established by the Federal Government according to paragraph 6.
9. Should the deficit in later yearly account again exceed percent of the receipts, it shall be reduced in the following yearly accounts to this objective. If the economy so requires, the Federal Parliament may, by way of an ordinance, extend the period by no more than two years. In all other respects, the procedure follows paragraphs to 8.
10. This provision shall remain in effect until it shall be replaced by constitutional law measures to limit the federal deficit and the federal debt.

13. Transitory Provision to Art. 128 (Term of Tax Levy

14. Transitory Provision to Art. 130 (Value Added Tax

1. Until statute on value added tax shall enter into force, the implementing provisions shall be established by the Federal Government. For the implementing provisions, the following principles shall apply:
   1. The following shall be taxable:
      1. The supply of goods and services that business provides against payment within Switzerland (including own use)
      2. The import of goods.
   2. The following shall be exempt from the tax, and there shall be no right to deduct previous tax:
      1. Postal service within the framework of its monopoly with the exception of the transportation of persons;
      2. Health services;
      3. Social welfare and social security services;
      4. Services related to education, teaching, and care of children and young persons;
      5. Cultural services;
      6. Insurance transactions;
      7. Money market and capital market transactions, with the exception of asset management and recovery of debt;
      8. Transfer, long term leasing, and letting of immovable property;
      9. Betting, lotteries, and other games of chance;
      10. Services rendered by non-profit organizations to their members against payment of contribution fixed in the Art. of incorporation;
      11. Supply of official Swiss postage stamps used as such.

      To safeguard fair competition or to simplify the collection of the tax, voluntary taxation of the transactions listed above may be permitted with right to deduct the tax in advance.

   3. The following shall be freed from tax with right to deduct previous taxes:
      1. The export of goods, and services rendered abroad;
      2. Services in connection with the export or transit of goods.
   4. The following shall not be subjected to the tax on transactions made within Switzerland:
      1. Businesses with total annual taxable turnover of no more than 75’000 francs;
      2. Businesses with total annual taxable turnover of no more than 250’000 francs, provided that the amount of tax, after deduction of previous tax, does not regularly exceed 4’000 francs per year;
      3. Farmers, foresters, and horticulturists who supply produce exclusively from their own businesses, and livestock dealers;
      4. Painters and sculptors with respect to works of art created by them personally.

      To ensure fair competition or to simplify the collection of the tax, the businesses and persons listed above may be permitted to pay tax on a voluntary basis, with the right to deduct previous tax.

   5. The tax rate shall be:
      1. 2.0 percent on the transactions and importation of the following goods which the Federal Government may define in greater detail:
         • piped water,

           foodstuffs and beverages, with the exception of alcoholic beverages,

           livestock, poultry, fish,

           cereals,

           seeds, tubor vegetables, and plant bulbs, growing plants, cuttings, grafts, and cut flowers and branches, also when arranged as bouquets, reeves, and in similar ways,

           fodder, silage acids, straw, fertilizers, and pesticides,

           pharmaceuticals,

           newspapers, magazines, books and other printed materials to the extent defined by the Federal Government;

      2. 2.0 percent on radio and television activities with the exception of those of commercial character;
      3. 6.5 percent on the supply and the importation of other goods, and on all other taxable services.
   6. The tax shall be calculated on the payment obtained, or, if there is no such payment, and in the case of imports, on the value of the goods or services received.
   7. The following shall be taxable:
      1. Taxpayers who generate taxable turnover;
      2. Persons who receive services originating abroad, provided that their total cost exceeds 10’000 francs per year;
      3. Persons who import goods, and are liable to pay customs duty or to make customs declaration.
   8. The taxpayer shall pay the tax on the taxable turnover; if the taxpayer uses the goods supplied and the services received to generate taxable turnover within Switzerland or abroad, in the tax accounts the following may be deducted from the tax owed as previously paid tax:
      1. the tax passed on to the taxpayer by other taxpayers, and
      2. the tax paid on the importation of goods or on the acquisition of services from abroad;
      3. 2.0 percent of the price of natural products purchased from businesses not subject to the tax in accordance with letter d, point 3. The right to deduct previous tax does not extend to non-commercial expenditures.
   9. As general rule, the tax and the deduction for previous tax shall be accounted for every quarter.
   10. Special provisions may be established for turnover taxation in the case of gold coins and refined gold, and of goods that are already subject to special fiscal charges.
   11. Simplifications may be made if they neither alter tax revenues nor affect competition significantly, nor create excessive tax accounting difficulties for other tax payers.
   12. Tax evasion and tax endangerment shall be punishable in analogy with the other federal criminal provisions in the field of tax law.
   13. The special provisions on the criminal liability of businesses foreseen in art. of the Federal Statute on administrative criminal law may also be applied in cases where fine of more than 5’000 francs is possible.
2. During the first five years following the introduction of the value added tax, percent of the yield of this tax shall be used to reduce the health insurance premiums to the benefit of persons in lower income strata. The Federal Parliament shall decide how this part of the value added tax that is dedicated for specific purpose shall be used after the expiry of this period.
3. The Confederation may by statute set lower rate for the value added tax on tourist services in Switzerland, provided that the services are largely used by foreigners and the competitive situation so requires.15
4. The value added tax may be levied until the end of 2006.

15. Transitory Provision to Art. 131 (Beer Tax

16. Transitory Provision to Art. 132 (Cantonal Share of Withholding Tax

1. Switzerland’s accession to the United Nations

1. Switzerland accedes to the Organization of the United Nations.
2. The Federal Government is empowered to address to the Secretary General of the United Nations an application of Switzerland for admission into this organization and declaration concerning the performance of the obligations contained in the United Nations Charter.

   Date of entry into force: January 1, 2000