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After the merger, Da Nang proposed to apply regulations as a budget level for new wards.

DNO - On the afternoon of May 26, Minister of Finance Nguyen Van Thang chaired a national online conference to collect opinions on legal documents to implement the Party and State's policy on promoting decentralization, delegation of power and reorganization of two-level local government in the financial sector.

Báo Đà NẵngBáo Đà Nẵng26/05/2025

Minister of Finance Nguyen Van Thang speaks at the conference
Minister of Finance Nguyen Van Thang speaks at the conference

Attending at the Da Nang bridge point was Permanent Vice Chairman of the City People's Committee Ho Ky Minh.

Decentralization and local decentralization is a strategic orientation.

Speaking at the conference, Minister of Finance Nguyen Van Thang said that at today's conference, the Ministry of Finance sought opinions from localities on five decrees and seven circulars to implement decentralization, delegation of authority, and division of authority according to the two-level local government model.

With the time to develop the drafts being very short and urgent, while the workload is large, the Minister said that the Ministry of Finance has made great efforts and tried within the time allowed by the Government to develop the drafts.

At the same time, assess the rationality and feasibility of the contents of decentralization, delegation of authority and administrative procedures expected to be amended and supplemented in the draft decrees and circulars. In case the contents of decentralization and delegation of authority may arise problems in the implementation process after promulgation, ministries, agencies and localities are requested to make recommendations for revision in the draft documents to suit the reality.

“The Ministry of Finance looks forward to receiving specific comments, in a frank and constructive spirit, because the goal of “decentralization and delegation of power to local governments is not only an administrative order but also a strategic orientation to improve the effectiveness and efficiency of the political system, meeting the requirements of national development in the new era,” Minister Nguyen Van Thang stated.

According to the report at the conference, implementing the Conclusion of the Politburo, the Secretariat, the direction of the Government and the Prime Minister on the development of decrees on decentralization, delegation of power, and assignment of authority associated with the implementation of the 2-level local government organization model, the Ministry of Finance has focused on reviewing 24 areas of state management of the Ministry and identified 563 contents, tasks, and authorities to propose decentralization, delegation of power, and arrangement of 2-level local governments under 233 legal documents. Including: 32 laws; 2 ordinances; 14 resolutions of the National Assembly; 84 decrees; 6 decisions of the Prime Minister and 95 circulars of the Minister.

At this conference, the Ministry of Finance sought opinions on 5 decrees and 7 circulars. Of which, there was 1 decree on the decentralization of local government authority according to the 2-level local government organization model. Along with that were 4 decrees on decentralization and delegation of authority in state management by sector and field.

Including: Decree on decentralization and delegation of powers in the field of public assets; Decree to adjust decentralization and delegation of powers in the field of national reserves, expected to amend 03 Articles (Articles 15, 16, 17) of Decree No. 94/2013/ND-CP dated August 21, 2013 of the Government detailing the implementation of the Law on National Reserves in the direction of decentralizing the Prime Minister's tasks to the Minister of Finance for a number of tasks; Decree to adjust decentralization and delegation of powers in the field of statistics; Decree to adjust decentralization and delegation of powers in the field of taxes.

At the conference, answering the issue of decentralization, the Minister of Finance stated that in reality, each place and each locality has different characteristics and conditions. Following the principle of thorough decentralization to the locality so that "locality decides, locality does, locality is responsible". Therefore, regulations will be made in an open direction so that localities can proactively decide which cases are decentralized to the province and which cases to the commune. If the commune cannot do it, it will be transferred to the province, and wherever it is suitable for practice, it will be done, the Minister suggested.

Regarding the issue of the operating model of tax agencies, treasury, customs, etc., according to the Minister, there will be timely adjustments to suit the new apparatus model and new boundaries.

Regarding planning, the Minister said that the local concerns have been resolved in the revised Law on Planning which is being submitted to the National Assembly for approval. Accordingly, the localities will still be able to implement the planning as usual. The old regulation was that there must be a general plan and a zoning plan before detailed planning can be implemented.

However, in the new law, all plans are made in parallel, detailed plans can still be approved and then updated into general plans and provincial plans, "so localities can rest assured to implement", the Minister affirmed.

Proposal to apply the regulation as a budget level for new wards of Da Nang after the merger

Contributing opinions at the conference, Permanent Vice Chairman of the People's Committee of Da Nang City Ho Ky Minh said that due to the implementation of the urban government model stipulated in Resolution No. 136/2024/QH15 of the National Assembly, the wards of Da Nang City do not organize People's Councils and are budget units (not budgetary). According to regulations, for Da Nang City, new wards from the time of establishment until the election of the People's Council of the ward for the 2026-2031 term are still budget units.

Scene of Permanent Vice Chairman of the City People's Committee Ho Ky Minh presiding at the Da Nang bridge point
Permanent Vice Chairman of Da Nang City People's Committee Ho Ky Minh presided at Da Nang bridge point

For the 2026 budget year, the period from January 2026 until the election of the People's Councils of wards for the 2026-2031 term, the wards of Da Nang city are still the budget units. Meanwhile, according to the provisions of the current State Budget Law and the State Budget Law (amended) being submitted to the National Assembly, the Provincial People's Council decides on the decentralization of revenue sources and expenditure tasks for each local budget level; decides on the percentage of division between the city budget and the commune-level budget for the local budget portion.

In the case of the wards of the new Da Nang city after the merger (including the wards of Quang Nam province before the merger, which were budget level), they will be budget units, so they will not be allocated revenue sources as a budget level from January 2026 until the Ward People's Council for the 2026-2031 term is elected. After the Ward People's Council is elected, it will be adjusted from the budget unit to the budget level.

According to the Standing Vice Chairman of the City People's Committee, this case will cause many difficulties, obstacles and disruptions in budget management because it requires submitting to competent authorities to adjust decentralization and adjust revenue and expenditure estimates in a short time, greatly affecting the implementation of spending tasks of budget levels.

“In order to synchronize, unify and avoid disruptions that affect the implementation of tasks, Da Nang City proposes that competent authorities allow the wards of Da Nang City after the merger from January 1, 2026 to apply regulations as one budget level. The City People's Council will decentralize revenue sources, expenditure tasks and decide on the percentage of division between the city budget and the ward budgets for the local budget portion enjoyed by the wards right from the first day of the 2026 budget year,” proposed Standing Vice Chairman of the Da Nang City People's Committee Ho Ky Minh.

In addition, in order for localities to have a basis to advise on plans to handle and manage public assets when implementing a two-level local government, avoiding loss and waste of public assets, the Standing Vice Chairman of the Da Nang City People's Committee recommended that the Government and relevant ministries and branches promptly advise on promulgation, amendment, supplementation and replacement of the Law on Management and Use of Public Assets, Decrees guiding their implementation, including: Decree No. 151/2017/ND-CP dated December 26, 2017, Decree No. 114/2024/ND-CP dated September 15, 2024 and Decree No. 50/2025/ND-CP dated February 28, 2025 detailing a number of articles of the Law on Management and Use of Public Assets; Decree No. 72/2023/ND-CP dated September 26, 2023 of the Government on standards and norms for the use of automobiles; Decree No. 152/2017/ND-CP dated December 27, 2017 of the Government stipulating standards and norms for the use of offices and public service establishments; Decision No. 50/2017/QD-TTg dated December 31, 2017 of the Prime Minister stipulating standards and norms for the use of machinery and equipment.

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Source: https://baodanang.vn/kinhte/202505/bo-tai-chinh-lay-y-kien-ve-phan-cap-phan-quyen-cho-mo-hinh-dia-phuong-2-cap-da-nang-sau-sap-nhap-kien-nghi-ap-dung-quy-dinh-nhu-mot-cap-ngan-sach-doi-voi-cac-phuong-moi-4007605/


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