The allocation norms for recurrent expenditures will only be issued after the merger of provinces and communes is completed.

On April 24, the Standing Committee of the National Assembly considered and decided on the principles, criteria, and allocation norms for recurrent expenditure budget of the State budget for 2026.

A comprehensive assessment is needed.

Presenting the Government's report, Minister of Finance Nguyen Van Thang stated that the development of principles and criteria for allocating recurrent expenditure budgets aims to implement new policies directly related to the allocation of recurrent state budget expenditures, such as organizational restructuring, tuition fee exemption, ensuring order, security, and national defense, prioritizing science, technology, innovation and digital transformation, education and training, etc.

This will serve as the basis for the Government to develop and submit to the National Assembly the state budget estimates and the central budget allocation plan for 2026; and to determine the percentage allocation of revenue and supplementary funds from the central budget to each locality.

Minister Nguyen Van Thang presents the Government's proposal. Photo: National Assembly

Chairman of the Economic and Financial Committee Phan Van Mai presented the verification report, stating that the majority of opinions suggested not considering or issuing the resolution at this time. According to the submission, April 30, 2025, is the date to be used as the basis for determining the targets and norms related to administrative units stipulated in the draft resolution.

However, based on the actual situation and the documents to be submitted to the competent authorities, the restructuring of the apparatus will undergo many changes after April 30, 2025.

"Therefore, the timing for developing the allocation plan as presented in the Government's proposal is inappropriate," Mr. Mai said.

According to Mr. Mai, when there are changes following the reorganization of the administrative apparatus and boundaries, the application of norms in these localities should not be merely a matter of "mechanical" addition, but should be comprehensively assessed, taking into account the specific factors of natural conditions, management centers, and the development needs of the economy, politics, and society in the newly reorganized administrative areas.

Applying different standards across a merged commune can create difficulties in management and administration.

After the reorganization of the political apparatus and administrative boundaries, the classification of the four regions according to the Prime Minister's previous decisions may no longer be appropriate, and therefore lack sufficient legal basis to establish allocation norms applicable in 2026 and subsequent years.

In addition, some provisions related to the principles, criteria, and allocation norms for recurrent expenditures in the draft Resolution are being amended in the Law on State Budget, which the Government plans to submit to the National Assembly for consideration and approval at the 9th session.

Several new policies expected to be submitted to the National Assembly for approval at its 9th session will impact the criteria and norms for recurrent expenditures at the local level.

After the 9th session, it was submitted to the Standing Committee of the National Assembly.

After listening to the delegates' opinions and discussions, National Assembly Chairman Tran Thanh Man assessed that the proposal did not yet meet the requirements for the National Assembly Standing Committee to consider and issue.

"We shouldn't rigidly adhere to old guidelines, but rather base our criteria on the current situation regarding the reorganization and merger of provinces , cities, and communes, and the closure of districts, in order to make them more relevant," Mr. Man suggested.

National Assembly Chairman Tran Thanh Man said that criteria for allocating recurrent expenditure quotas from the state budget should be based on the situation of provincial-city and commune mergers. (Photo: National Assembly)

Therefore, if the National Assembly approves the plan to merge provinces, cities, and communes, the relevant agencies should consider the appropriate timing for passing this resolution.

"If we postpone it until after the 9th session, will there be enough time to adjust and finalize the contents in order to promptly build the 2026 budget base and the expenditure estimates of ministries, sectors, and agencies? If we still submit it at this time, how will we handle the issues to ensure consistency with the State Budget Law and the arrangement and organization of the government apparatus, tuition fee exemption and reduction policies, etc.? If so, transitional provisions in the resolution itself are needed to address these issues," the National Assembly Chairman analyzed.

In his explanation, Minister of Finance Nguyen Van Thang stated that submitting the proposal to the Standing Committee of the National Assembly at this time is in accordance with the Law on State Budget.

In fact, if the proposal is approved, the Government will have time to submit to the National Assembly the targets and tasks, especially the budget expenditure estimates for 2026.

While acknowledging that there are currently some unforeseen issues and that postponing the resolution would allow for a more comprehensive coverage of the emerging issues directed by the Politburo, Mr. Thang argued that waiting until after the 9th session to pass the resolution would be somewhat rushed.

"It's possible to issue the resolution first and adjust any arising issues later," Mr. Thang said.

Concluding the session, Vice Chairman of the National Assembly Nguyen Duc Hai requested the Government to update the situation, closely monitor the amendment of relevant laws and resolutions passed during the 9th session, incorporate feedback to finalize the draft resolution, and seek the opinion of the Standing Committee of the National Assembly for promulgation after the 9th session.

"This is an important issue. The government says it's necessary because budget estimates require standards. However, establishing standards without a basis makes accurate budget estimates difficult. Therefore, it should be delayed until after the 9th session," Mr. Hai emphasized.

Source: https://baodaknong.vn/sap-nhap-tinh-xa-xong-moi-ban-hanh-dinh-muc-phan-bo-chi-thuong-xuyen-250643.html