(MPI) – National Assembly Chairman Tran Thanh Man signed and issued Resolution No. 137/2024/QH15 of the National Assembly on piloting a number of specific mechanisms and policies for the development of Nghe An province.
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| Illustration photo. Source: Internet |
This Resolution stipulates the pilot supplementation of a number of specific mechanisms and policies for the development of Nghe An province on financial management, state budget; investment management; urban, natural resource and environmental management; and organization of the local government apparatus.
Financial management, state budget
The Resolution clearly states that the fee and charge policy is stipulated as follows: The People's Council of Nghe An province decides to apply in the locality: fees and charges not specified in the list of fees and charges issued with the Law on Fees and Charges; adjust the level or rate of fee and charge collection decided by competent authorities for the types of fees and charges specified in the list of fees and charges issued with the Law on Fees and Charges, except for court fees and charges and fees from the central budget revenue source enjoying 100%.
Nghe An provincial budget is entitled to 100% of the additional revenue from the revenues due to the adjustment of the fee and charge policies as prescribed above to invest in socio -economic infrastructure and other expenditure tasks belonging to the expenditure tasks of the provincial budget; these revenues are not used to determine the additional balance from the central budget to the provincial budget.
The pilot implementation of the fee and charge policy in Nghe An province as stipulated above must ensure a roadmap, consistent with the capacity and development requirements of the province; create a favorable production and business environment for enterprises; ensure market unity, not hinder the circulation of goods and services; implement reasonable regulation of goods, services and legal sources of income of organizations and individuals in the province; ensure publicity, transparency and state administrative reform.
According to the Resolution, provinces and centrally run cities are allowed to use their budgets to support Nghe An province in performing socio-economic development tasks and ensuring national defense and security for specific localities and tasks; in case of general support for Nghe An province, the allocation for specific localities and tasks is decided by the Provincial People's Council, in which priority is given to Nam Dan district and the western region of Nghe An. The Nghe An Provincial People's Council decides to allow districts, towns and cities under the province to use the budgets of districts, towns and cities and other legal sources of revenue to support other localities of the province in preventing, combating and overcoming the consequences of natural disasters and epidemics, implementing national target programs, social security tasks and other necessary cases.
Allow Nghe An province when determining the additional balance from the central budget to the local budget not to take into account domestic revenue from mineral exploitation activities (excluding value added tax, corporate income tax) and tax revenue from hydropower production facilities in the Western Nghe An area to invest in developing economic and social infrastructure in the Western Nghe An area.
Nghe An province is allocated an additional 50% of the public investment capital from the central budget with additional targets for the locality according to the principles, criteria and norms prescribed in the Resolution of the National Assembly Standing Committee on principles, criteria and norms for allocating public investment capital from the state budget for the period 2026-2030 to invest in key projects in the province and develop socio-economic infrastructure in the western region of Nghe An. The People's Council of Nghe An province decides on the list of projects prescribed in this clause.
Investment Management
The Resolution clearly states that the People's Committee of Nghe An province approves the investment policy for projects on construction and business of industrial park infrastructure; projects on construction of ports and port areas with an investment capital of VND 2,300 billion or more belonging to class I seaports.
The order and procedures for approving investment policies prescribed in this clause shall be implemented as the order and procedures for approving investment policies for projects under the investment policy approval authority of the provincial People's Committee according to the provisions of the law on investment. During the process of implementing investment policy approval procedures, the Nghe An Provincial People's Committee shall consider and decide to consult relevant Ministries and branches and decide to approve investment policies according to its authority.
Between sessions of the People's Council, the Standing Committee of the People's Council of Nghe An province shall decide to adjust the investment policy for group B and group C public investment projects stipulated in the Law on Public Investment and report to the Provincial People's Council at the nearest session. The order and procedures for adjusting the project investment policy stipulated in this clause shall be implemented as the order and procedures for adjusting the investment policy for projects under the authority of the provincial People's Council to decide on the approval of the investment policy according to the provisions of the law on public investment.
The implementation of investment projects under the public-private partnership method (PPP project) is regulated as follows: In addition to the investment fields under the public-private partnership method stipulated in the Law on Investment under the public-private partnership method, Nghe An province is allowed to apply investment under the public-private partnership method for investment projects in the fields of sports and culture.
The minimum total investment scale of PPP projects in the fields of health, education - training, sports and culture is stipulated by the People's Council of Nghe An province. The order and procedures for implementing the projects stipulated in this point shall be implemented in accordance with the provisions of the law on investment under the public-private partnership method and other relevant provisions of law;
The People's Council of Nghe An province is allowed to consider and decide on increasing the proportion of state capital participation to no more than 70% of the total investment for PPP projects with site clearance compensation costs accounting for more than 50% of the total investment of the project and the preliminary financial plan of the PPP project does not ensure the ability to recover capital; PPP projects in the fields of sports and culture; PPP projects implemented in the Western region of Nghe An.
Nghe An Provincial People's Council specifies the contents of PPP projects in the fields of sports and culture in the pre-feasibility study report, feasibility study report and criteria for evaluating bidding documents and PPP project contracts.
The implementation of the contract form under the build-transfer method (BT contract) is regulated as follows: BT contract is a contract signed between a competent authority and an investor to construct an infrastructure project; after completing the project, the investor transfers the project to the competent authority and is paid from state budget sources, money collected from public asset auctions, and land use rights auctions.
Nghe An province is allowed to implement BT contracts for investment projects in the fields of transportation, urban technical infrastructure, lighting systems, decorative electricity; parking lots; drainage and wastewater treatment; environmental pollution treatment in the province. Payments to investors as stipulated above must ensure publicity, transparency, socio-economic efficiency, quality of works and projects, and not cause loss of state capital and assets;
The authority, order and procedures for selecting investors to implement BT projects are implemented as prescribed for PPP projects according to the provisions of the law on investment under the public-private partnership method. The selection of investors for BT projects is carried out after the construction design is implemented after the basic design is approved. The People's Committee of Nghe An province stipulates the criteria for evaluating the capacity, experience, technique and finance of investors implementing BT projects;
The authority, order, procedures for project establishment, appraisal, approval, management, investment costs, construction quality, and projects applying BT contracts are implemented as prescribed for public investment projects according to the provisions of the law on public investment and the law on construction. The project shall only be decided on investment policy when the capital source and the ability to balance capital are determined. The total investment of a project applying BT contracts is determined as for a project using public investment capital according to the provisions of the law on construction; the interest expense after the construction period and reasonable profit are included in the total investment of the project;
Nghe An Provincial People's Council decides to use provincial budget capital, arrange capital for investment preparation, annual budget estimates and arrange public investment capital in the province's medium-term and annual public investment plans; based on the value and progress specified in the BT contract, decides to use revenue from public asset auctions and land use rights auctions to pay investors after the independently operated project or project item is completed, accepted and audited; supervises the implementation to ensure compliance with legal regulations;
The Government shall prescribe the interest rate after the construction period, reasonable profit, payment method, and settlement of investment project implementation applying the BT contract type.
The separation of compensation, support, resettlement and site clearance projects from public investment projects is regulated as follows: Nghe An Provincial People's Council decides on the investment policy of the overall project with the scale of a group B project in the field of transport and irrigation according to the provisions of the law on public investment, has the right to decide on the separation of compensation, support, resettlement and site clearance into an independent project when approving the overall project investment policy; decides on the objectives, scale, total investment, capital structure, and investment location of the compensation, support, resettlement and site clearance project in the decision on the overall project investment policy;
Based on the overall project investment policy, the Chairman of Nghe An Provincial People's Committee decides to invest and adjust compensation, support, resettlement and site clearance projects within the scope of objectives, scale, total investment, capital structure and location of the overall project implementation.
In case of adjustment of compensation, support, resettlement and site clearance projects, factors that require adjustment of the overall project investment policy arise, between sessions of the People's Council, the Standing Committee of the Nghe An Provincial People's Council shall adjust the overall project investment policy before the Chairman of the Provincial People's Committee adjusts the compensation, support, resettlement and site clearance project and reports to the Provincial People's Council at the nearest session. Adjustment of the overall project investment policy and adjustment of compensation, support, resettlement and site clearance projects shall be implemented in accordance with the provisions of the law on public investment and other relevant provisions of law;
The decision to invest in compensation, support, resettlement and site clearance projects is the basis for competent authorities to decide on the allocation of annual public investment plan capital for implementation, and is also the basis for competent state agencies to issue land recovery notices and land recovery decisions;
Nghe An Provincial People's Council promulgates a list of public investment projects to separate compensation, support, resettlement, and site clearance projects from public investment projects specified in this clause.
The Resolution takes effect from January 1, 2025 and will be implemented within 5 years. For projects falling under the cases specified in Clause 1, Article 4 of this Resolution with valid dossiers that have been received before January 1, 2025 but have not been resolved, they will continue to be resolved in accordance with the provisions of the law on investment; in case investors request to carry out investment procedures according to this Resolution, they will be resolved in accordance with the provisions of this Resolution. After this Resolution expires, policies, projects and other subjects that have been decided by competent authorities to be implemented according to the mechanisms and policies specified in this Resolution that have not yet been completed will continue to be implemented in accordance with the issued decisions./.
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