Ho Chi Minh City operates 2-level local government: Ensuring uninterrupted project investment and construction

Implementing the Law on Organization of Local Government (amended), from July 1, 2025, Ho Chi Minh City officially applies the two-level local government model, the district level ceases to operate. The abolition of the district level will entail the need to rearrange the investment and construction project management board and the compensation and site clearance board accordingly.

Currently, Ho Chi Minh City has 22 construction investment project management boards and 22 compensation and site clearance boards under the People's Committees of districts, towns and Thu Duc City. These boards will be reorganized to suit the new administrative structure.

According to the latest plan submitted by the Ho Chi Minh City Department of Home Affairs to the City People's Committee, all district-level project management boards will be converted into 22 regional project management boards under the Department of Construction. Similarly, 22 compensation and site clearance boards will be converted into regional project management boards under the Department of Agriculture and Environment. Each regional board will be in charge of projects in the former districts.

However, this is only a temporary arrangement. After completing the arrangement of the apparatus after the merger of 3 provinces including Ho Chi Minh City, Binh Duong, Ba Ria - Vung Tau into Ho Chi Minh City, the Department of Construction and the Department of Agriculture and Environment will review and advise the Ho Chi Minh City People's Committee on a plan to reorganize the units according to a suitable model, in order to streamline the apparatus, reduce personnel and ensure compliance with the Central's orientation.

In the plan submitted to the Ho Chi Minh City People's Committee, the Department of Home Affairs clearly stated the advantages and disadvantages of converting the model of project management boards at the district and commune levels. In particular, the most favorable point is that the organization into 22 regional management boards will not increase the number of public service units of the City and the new commune level after the arrangement. Therefore, there will be no additional apparatus or increase in the number of personnel, which means no additional operating costs, thereby not creating an additional burden on the city budget.

Furthermore, keeping the current status of the boards will not require adjusting the investors for projects being implemented in the 2020-2025 period and will not require adjusting a series of other related procedures. This will ensure the progress of the implementation of ongoing projects and achieve the results of public investment disbursement in 2025 as planned.

Keeping 22 regional management boards will help the work of advising on making investment proposal reports for projects in the 2026-2030 period that the City has assigned to be less affected, contributing to minimizing delays in implementing the medium-term public investment plan for the 2026-2030 period.

In particular, maintaining the model of 22 regional project management boards and 22 compensation and site clearance boards does not increase the number of employees at job positions, does not create the need to purchase, add new equipment or rearrange the office after the arrangement.

Despite many advantages, in the short term, transferring the functions, tasks, and personnel of the district-level construction investment project management boards to the Department of Construction and the site clearance compensation boards to the Department of Agriculture and Environment will cause certain difficulties. Notably, the difficulties in implementing construction investment and repairing works at the grassroots level, as well as the ability to connect with the actual needs of the locality in serving the people.

When the boards are transferred to the department level, the workload at the departments will increase significantly and it will be difficult to ensure timely provision of many other basic and essential public services in the new commune and ward administrative units.

Source: https://baodautu.vn/tphcm-van-hanh-chinh-quyen-dia-phuong-2-cap-dam-bao-viec-dau-tu-xay-dung-du-an-khong-bi-gian-doan-d316397.html