AN agreement having been reached between the Parliament of Hungary on the one hand and the Parliament of Croatia, Slavonia and Dalmatia on the other hand, with regard to composing by a joint enactment the constitutional questions at issue between them: this agreement, after being also confirmed, enforced and sanctioned by His Imperial and Apostolic Royal Majesty, is hereby inarticulated as a joint fundamental law of Hungary and of Croatia, Slavonia and Dalmatia, in the following terms:
Since Croatia and Slavonia have alike de jure and de facto belonged for centuries to the Crown of St. Stephen, and since it is laid down in the Pragmatic Sanction also, that the lands of the Hungarian Crown are indivisible from one another: Hungary on the one hand, and Croatia and Slavonia on the other hand have upon this basis concluded the following agreement with a view to composing the constitutional questions at issue between them:--
' 1. Hungary and Croatia, Slavonia and Dalmatia form one and the same state complexity, alike towards the other territories under His Majesty's rule and towards other countries.
' 2. From this unity and coherence as a state it follows that the King of Hungary and of Croatia, Slavonia and Dalmatia is crowned with one and the same Crown and with one and the same Coronation ceremony, and that for all territories under the Crown of St. Stephen a joint Coronation Diploma is drawn up and published in the joint Parliament of these territories.
The original of this Coronation diploma, meanwhile, is in addition to the Magyar text to be drawn up in the Croat language also, and in it also the integrity and provincial constitution of Croatia, Slavonia and Dalmatia are to be guaranteed.
The Coronation Diploma of the year 1867 is also to be drawn up (now after the event) in the original Croat text and to be sent as soon as possible to the Sabor(461) of Croatia, Slavonia and Dalmatia.
' 3. From the above mentioned indivisible unity of state it further follows that--in respect of all affairs which are common to all the territories of the Hungarian Crown and to the other territories of His Majesty, or which are disposed of by joint agreement--Hungary and Croatia, Slavonia and Dalmatia must possess one and the same representation and legislature, as also, as regards the executive power, a Joint Government.
' 4. Croatia, Slavonia and Dalmatia recognize as valid and binding Article XII of the Hungarian Parliament of 1867, which defines the joint Affairs existing between the territories of the Crown of St. Stephen and the other territories of His Majesty, or the affairs which are not actually joint, but are to be disposed of by joint agreement, and also the manner in which such affairs are to be administered: and in the same way the agreements which have already come into effect on the basis of this law, especially Articles XIV, XV and XVI of 1867; but under the express condition that in future similar fundamental laws and agreements can only come into effect subject to the legal participation of Croatia, Slavonia and Dalmatia.
The fundamental law mentioned in this paragraph, as also the
461. For the sake of clearness, I use the word "Sabor" to denote the Croatian Diet, the word "Parliament" to denote the Hungarian Parliament; in original, the same word is used for both.
Articles quoted, are to be now after the event drawn up in Croat original text and to be sent as soon as possible to the Croatian-Slavonian-Dalmatian Sabor for promulgation.
' 5. Apart from those subjects which are common to the territories of the Crown of St. Stephen and to the other territories of His Majesty, there are also other affairs which are of common interest to Hungary and to Croatia, Slavonia and Dalmatia, and regarding which the joint character of legislature and government is by this agreement recognized as necessary for all territories of the Hungarian Crown.
' 6. Such a Joint Affair of all territories of the Crown of St. Stephen is above all the adoption of the expenses of the Civil List.
' 7. A further Joint Affair is the sanction of recruiting, the legislation on the Army system and liability to military service, and control of the quartering and victualling of the Army. In these respects however the following provision is made for Croatia, Slavonia and Dalmatia:--
(a) Out of the contingent of recruits which has to be sanctioned jointly, the portion falling to Croatia, Slavonia and Dalmatia is fixed according to the proportion of the total population: but it goes without saying that if the prevailing system of defence be revised, the details of the new system which is to be enforced will be applied to Croatia, Slavonia and Dalmatia also;
(b) The recruits falling to the share of Croatia, Slavonia and Dalmatia will be enlisted in the regiments of these territories;
(c) At the enlistment consideration will be had for the category to which the recruits are best suited, and the recruits of the sea coast will be for the most part assigned to the Navy.
' 8. The financial system is a Joint Affair between Hungary and Croatia, Slavonia and Dalmatia, alike in respect to legislation and administration, in the manner described below. Consequently the Joint Parliament for all territories of the Crown of St. Stephen is entrusted with the regulation of the whole system of taxation; the ratification of direct and indirect taxes, both with respect to the categories of taxation and to tax-assessments; similarly the calculation, manipulation and collection of taxes; the introduction of new taxes; the ratification of the Joint Budget Proposals, as also the examination of balances respecting the Joint expenditure: the contracting of new State debts or the conversion of already existing debts: the administration, conversion, burdening or sale of immovable State property; control over monopolies and royalties (jura regalia majora) and generally all provisions relating to any financial matter common to all territories of the Crown of St. Stephen. This holds good in respect to the
sale of Croatian-Slavonian state lands (under which State forests are also included, ' 2 Article XXXIV 1873), with the limitation that the Diet of Croatia, Slavonia and Dalmatia is also to be heard on this point, and that without its approval such a sale may not take place. With regard to all these affairs the Joint Financial executive--which is exercised by the Royal Hungarian Minister of Finance, responsible to the Joint Parliament--extends to Croatia, Slavonia and Dalmatia also.
' 9. Joint Affairs of all territories of the Hungarian Crown are coinage--metal currency--and the banknote system: further, decisions as to minting and the general monetary standard; examination and approval of commercial and State treaties, such as equally affect the territories of the Crown of St. Stephen: provisions respecting banks, institutions of credit and insurance; concessions: weights and measures: the protection of patents and trademarks, official stamps,(462) the rights of literary and artistic property: Sea Law, Commercial Law, the law of Bills of Exchange and Mining Law, and generally matters of commerce, customs, telegraphs, Post Office, railways, harbours, shipping, and those roads and rivers which jointly concern Hungary and Croatia, Slavonia and Dalmatia.
' 10. With regard to the regulation of Trade matters, including hawking, likewise with regard to societies which do not exist for public gain, and also with regard to passports, frontier police, citizenship and naturalization, the legislation is joint, but the executive in respect of these affairs is reserved to Croatia, Slavonia and Dalmatia.
' 11. Croatia, Slavonia and Dalmatia recognize that they are bound to contribute in proportion to their taxable capacity, to those expenses which are involved on the one hand by those affairs which are recognized as Common between the territories of the Hungarian Crown and the other territories of His Majesty, and on the other hand by the affairs described above as Common between all territories of the Hungarian Crown themselves.
' 12. This proportion is--according to the same data, on the basis of which the proportion to be contributed by the territories of the Hungarian crown to the expenses of the affairs common to them and the other territories of His Majesty was fixed for 10 years--for the like period
for Hungary 9305,502,201 per cent.
for Croatia and Slavonia 604407799 per cent.
(for revision of this, see p. 374).
' 13. Since however the total net income o f Croatia and Slavonia could at present only cover the sum which according to the standard of taxable capacity contained in the preceding paragraph, would fall to the share of these countries out of the expenditure for Joint Affairs, only in the event of these countries making over the greater part of the sum required for their internal administration; Hungary, having regard to the renewal of the fraternal relation which subsisted for centuries between it and Croatia and Slavonia, willingly agrees that at the very beginning a fixed sum, which is to be fixed from time to time
462. I.e. the stamping of hallmarks, etc.
by an agreement for the costs of internal administration of these countries, shall be deducted and that the sum which remains over after satisfying the needs of the internal administration, shall be employed for the expenses involved by Joint Affairs.
' 14. On the basis of the principle laid down in the preceding paragraphs the following financial arrangement has been reached between Hungary on the one hand and Croatia and Slavonia on the other hand :--
' 15. The needs of internal administration of Croatia and Slavonia are fixed at 2,200,000 florins for these ten years during which the existing agreement between the territories of the Hungarian Crown and the other territories of His Majesty lasts.
' 16. This sum is above all covered by 45 per cent. of the direct and indirect taxes and other public sources of income of Croatia and Slavonia; that is, out of the total income of those countries 45 per cent. are paid over to whatever provincial or municipal bank the legislature or government of these countries(463) shall request.
' 17. Fifty-five per cent. of the total income of Croatia and Slavonia are assigned to the Joint Treasury to cover the Joint expenses.
By ' 3 of Article XXXIV, 1873, these paragraphs ('15, '16, '17) and also '25 and '26 (see below) were repealed and superseded by the following provision:--
The needs of the internal administration of Croatia-Slavonia, from January 1, 1873, for the period during which the agreement concluded between the territories of the Hungarian Crown and the other kingdoms and territories of His Majesty concerning the proportional contribution to the cost of Joint Affairs lasts, are in the first place covered by 45 per cent. of the direct and indirect taxes and other public sources of income of Croatia and Slavonia; that is, out of the net public income of these countries 45 per cent. are paid over to whatever Croatian Slavonian provincial or municipal bank the Legislature or Government of these provinces shall request.
Fifty-five per cent. of the total income of Croatia and Slavonia are assigned to the Joint Treasury to cover the Joint expenses.
The 45 per cent. of the total income of Croatia and Slavonia are reckoned in this manner, that from the total direct and indirect taxes of Croatia and Slavonia, from the income of the State lands in Croatia and Slavonia and from other public sources of revenue only such disbursements are deducted, as are connected with the calculation and collection of taxes--in which the cost of the Joint financial adminstration is not included--with the administration of State lands, with the collection and direct manipulation of indirect taxes, monopolies and other public sources of revenue.
[For the modification of ' 3, XXXIV, 1873, see ' 4, XL, 1889 (p. 374).]
' 18. From those sources of income which are, in accordance with '' 16 and 17, to be divided between the demands of Croatia and Slavonia=s internal administration and the Joint Expenses, are excluded the following:--
(a) Octroi taxes on wine and meat, which can in future also be used in Croatia-Slavonia to cover communal expenses, according to the practice which has hitherto prevailed.
(b) The income from frontier Custom dues, in accordance with Article XII of 1867.
[See ' 5 of Article XL, 1889, p. 375, and also Article X, 1906, p.375-8.]
' 19. Should the administrative territory of Croatia and Slavonia be increased by the actual reincorporation of Dalmatia or by the administrative union of the Military Frontiers, the revenues of the territories united to Croatia-Slavonia will similarly be divided between the requirements of the Croatian-Slavonian internal
463. In the Croat text sdruņenih kraljevinah (united Kingdoms).
administration and those of Joint Aff airs, according to the scale fixed in ' 16 and '17.
' 20. The "additional tax" which at present exists both in Hungary and in Croatia-Slavonia, will be added to the State taxes.
' 21. The Mortgage Redemption charge, however, will so far as Croatia-Slavonia are concerned continue to be administered by the Mortgage Redemption office of these countries until the Land Tax Redemption Debt has been entirely paid off, and will be paid by the Department of Finance to the account of that office. The joint guarantee of the territories of the Hungarian Crown for this Redemption Debt continues in future also, and any help which may be required for this purpose will be advanced from the Joint Treasury according to the practice adopted hitherto.
By Law XXVII of 1891 (only one paragraph) this was modified as follows:--
The annual requirement for the amortisation, payment of interest and administration of the Croatian-Slavonian Mortgage Redemption Debt is, until this Debt has been completely wiped out, to be met from the income of the combined direct taxes and Land Redemption charges of Croatia and Slavonia, and the sums corresponding to this requirement are to be paid over to the account of the Croatian-Slavonian Land Redemption Office. This provision has also to be followed in the reckoning which has to be made with Croatia-Slavonia for the year 1890. A special law, in the sense of subsections 1 and 2 of ' 5 of Article LIV of 1890, deals with the surpluses which have accrued up to December 31, 1889, out of the proceeds of the Croatian-Slavonian Land Redemption charges, and whose amount was fixed by joint agreement at 2,660,000 florins.
The joint guarantee of the territories of the Hungarian Crown for this Land Redemption Debt remains in force.
' 22. The Royal Hungarian Minister of Finance exercises the executive in Croatia-Slavonia in respect of direct and indirect taxes, monopolies, stamps, dues and charges and also of the State lands through the Finance Department in Agram, which is to be appointed by him.
' 23. Those sections of the Provincial Treasury in Agram, which deal with matters belonging to Croatia and Slavonia's autonomous sphere of influence, are in every respect subject to the control of the said countries. The balances drawn up by the said Provincial Treasury sections are however to be communicated to the Joint Finance Minister, in order that the financial data of all the territories of the Hungarian Crown may be compiled in their entirety.
' 24. The autonomous Provincial Government and the executive authorities of Croatia-Slavonia are entirely ready to assist the organs of the Joint Finance Minister in securing and collecting the revenues of State, and carefully comply with the legal decrees of the Finance Minister, as responsible to the Joint Parliament.