Circular No. 06/2011/TT-BGDĐT on the management and use of foreign support sources of the Ministry of Education and Training

 

CIRCULAR

Regulations on management and use of foreign aid sources

of the Ministry of Education and Training 
                         

Pursuant to Decree No. 32/2008/NĐ-CP dated March 19, 2008 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Education and Training;

Pursuant to Decree No. 131/2006/NĐ-CP dated November 9, 2006 of the Government promulgating the Regulation on management and use of official development assistance;

Pursuant to Decree No. 93/2009/NĐ-CP dated October 22, 2009, of the Government promulgating the Regulation on Management and Use of Non-Governmental Foreign Aid;

Pursuant to Circular No. 04/2007/TT-BKH dated July 30, 2007 of the Ministry of Planning and Investment guiding the implementation of the regulation on management and use of official development assistance;

Circular No. 07/2010/TT-BKH dated March 30, 2010 of the Ministry of Planning and Investment guiding the implementation of Decree No. 93/2009/NĐ-CP dated October 22, 2009 promulgating the regulation on management and use of non-official foreign aid;
The Ministry of Education and Training guides the management and use of foreign aid sources of the Ministry of Education and Training as follows:

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Circular stipulates the management and use of foreign aid sources of the Ministry of Education and Training, including: official development assistance (hereinafter referred to as ODA) and non-official foreign aid (hereinafter referred to as PCPNN aid).

Article 2. Applicability

These provisions apply to all ODA programs and projects and non-official foreign aid amounts for education received by departments, units, ministries, and sectors under the Ministry of Education and Training in mobilization, reception, management, and utilization.

For ODA programs and projects and non-official foreign aid amounts for education of other agencies, units, ministries, and sectors, when requested, the Ministry of Education and Training assigns the Department of Planning and Finance to be the focal point for receiving program and project files and coordinating with relevant units in participating in the review and appraisal process.

Article 3. Foreign Aid Sources

1. ODA sources include:

a) Non-repayable ODA programs and projects;

b) Preferential loan ODA programs and projects;

c) Ordinary or mixed ODA capital programs and projects.

2. PCPNN aid sources include:

a) Aid through programs and projects;

b) Non-project aid: aid amounts that are not programs or projects, provided in the form of goods, money, or experts (including volunteer experts).

Article 4. Principles of Mobilization, Reception, Management, and Use of Foreign Aid Sources

Activities of mobilizing, receiving, managing, and using foreign aid sources must comply with the following principles:

1. The Ministry of Education and Training uniformly manages state administration over foreign aid sources based on centralized democracy, with division of responsibilities between the Ministry and donors; all units engaged in mobilizing, receiving, and utilizing foreign aid sources must go through the examination, appraisal, management, inspection, and supervision procedures of the Ministry of Education and Training and strictly adhere to reporting regulations as prescribed.

2. Compliance with Vietnamese laws and international treaties on ODA to which the Socialist Republic of Vietnam is a party. In cases where an international treaty on ODA to which the Socialist Republic of Vietnam is a party provides different provisions from Vietnamese laws, the provisions of the international treaty shall be implemented.

3. PCPNN aid amounts, when being developed and implemented, must comply with Vietnamese laws and commitments with donors approved by competent authorities. In cases where donor conditions differ from Vietnamese laws, Vietnamese laws must be followed.

Article 5. Priority Areas for Utilizing Foreign Support

Foreign support shall be prioritized for the following areas:

1. Programs and projects implementing the national strategy on education and training.

2. Programs and projects implementing the National Action Plan for Education for All, with priority given to universal education and education in difficult regions and ethnic minority areas.

3. Programs and projects enhancing the capacity for training and scientific research at universities to meet the requirements for developing human resources in the new phase of the country's development.

4. Programs and projects enhancing the capacity for state management of the Ministry of Education and Training and the educational management system at all levels.

5. Certain priority areas based on the needs of each stage and according to the decision of the Minister of Education and Training.

Chapter II

MOVING, NEGOTIATING, SIGNING FRAMEWORK AGREEMENTS ON ODA AND PCPNN ASSISTANCE ARRANGEMENTS

FRAMEWORK AGREEMENTS ON ODA AND PCPNN ASSISTANCE ARRANGEMENTS

Article 6. Mobilizing foreign support

1. Based on the priority areas stipulated in Article 5, upon receiving and compiling proposals for mobilizing foreign support from units, the Department of International Cooperation shall take the lead and coordinate with the Department of Planning and Finance and related units to organize promotional activities, calls for foreign investment, and fundraising in the field of education and training; report to the leadership of the Ministry on participation in the Consultative Group meetings (CG meetings); if necessary, report to the leadership of the Ministry to organize meetings to mobilize foreign assistance for education.

2. Units under the Ministry, based on their functions and tasks assigned, shall proactively mobilize foreign support according to the priority areas stipulated in Article 5 of this Circular, propose programs, projects, and activities utilizing foreign support for the Ministry to compile and include in the list of foreign support mobilization.

Article 7. Building a list of programs and projects requiring ODA funding

1. Preparing to build a list of ODA funding requests:

a) Each year in February, based on the results of ODA mobilization, units shall proactively propose a list of programs and projects that need to attract ODA and send preliminary outlines of each program and project (each set includes documents in Vietnamese and English) to the Department of Planning and Finance for compilation;

b) The Department of Planning and Finance shall take the lead and coordinate with relevant units to review and compile the list of registered programs and projects requesting ODA funding to submit to the leadership of the Ministry for consideration and issue a document to the Ministry of Planning and Investment regarding the registration list.

2. Developing Detailed Outlines:

a) After receiving the document from the Ministry of Planning and Investment informing the results of negotiations with donors, the Department of Planning and Finance shall submit to the leadership of the Ministry for signing a document notifying units to develop detailed outlines of ODA programs and projects;

b) Based on the notification from the Ministry, units shall develop detailed outlines according to the model in the Appendix of Circular No. 04/2007/TT-BKH dated July 30, 2007, issued by the Ministry of Planning and Investment on guidelines for implementing the Regulation on Management and Use of Official Development Assistance (hereinafter referred to as Circular 04), and submit ten sets of detailed outlines along with the unit's request letter to the Department of Planning and Finance.

3. Consulting Opinions from Relevant Agencies and Units on Detailed Outlines of ODA Programs and Projects and Announcing the Official Funding List

a) After receiving valid files from units, the Department of Planning and Finance shall seek opinions from units under the Ministry and related ministries and agencies on the detailed outlines of registered programs and projects for inclusion in the ODA funding request list. The main implementing unit is responsible for revising and supplementing according to the notification from the Department of Planning and Finance.

b) After receiving the notification from the Ministry of Planning and Investment on selected programs and projects for inclusion in the official funding list or not being selected, the Department of Planning and Finance shall notify the units. The Prime Minister's decision approving the ODA funding request list and the Ministry of Planning and Investment's notification on officially selected programs and projects serve as the legal basis for units to implement the construction of program and project documentation.

4. For other cases, the compilation of the ODA funding request list shall be carried out as follows:

a) In cases where units independently mobilize ODA programs and projects: units shall proactively develop detailed outlines of ODA funding requests, submit them to the Department of Planning and Finance for inclusion in the Ministry's ODA mobilization list. After reaching an agreement with the donor, units shall submit a proposal along with the detailed outline to the Department of Planning and Finance for compilation and reporting to the Ministry's leadership and submission to the Ministry of Planning and Investment for inclusion in the ODA funding request list;

b) In cases where donors proactively propose and agree with units under the Ministry on programs and projects not included in the approved ODA request list by the Prime Minister: units shall submit a proposal along with the detailed outline to the Department of Planning and Finance for review, submission to the Ministry's leadership for consideration and submission to the Ministry of Planning and Investment for supplementation in the ODA funding request list;

c) For other programs and projects: units shall submit a proposal along with the detailed outline to the Department of Planning and Finance for review, reporting to the Ministry's leadership and submission to the Ministry of Planning and Investment for presentation to the Prime Minister for consideration and decision.

Article 8. Negotiation and signing of international framework agreements on ODA and PCPNN assistance agreements

1. The International Cooperation Department shall take the lead and coordinate with the Planning and Finance Department, the School Facilities and Children's Toys Equipment Bureau, the Legal Affairs Department, and related units to prepare the content and participate with the Ministry of Planning and Investment, the Ministry of Finance, and the State Bank of Vietnam in the negotiation and signing process of international framework agreements on ODA with donors.

2. The Planning and Finance Department shall take the lead and coordinate with related units to contact and mobilize PCPNN assistance, negotiate, and sign memoranda of understanding or agreements on PCPNN assistance.

Chapter III

BUILDING DOCUMENTS, REVIEWING, APPROVING, SIGNING INTERNATIONAL AGREEMENTS

 SPECIFIC INTERNATIONAL AGREEMENTS ON ODA AND DOCUMENTS

 PROGRAMS AND PROJECTS OF PCPNN ASSISTANCE

Article 9. Building documents for programs and projects under the Official Development Assistance (ODA) Financing List

1. After receiving the notification from the Ministry of Planning and Investment regarding the ODA Financing List, the units assigned the task of preparing programs and projects shall cooperate with related units and donors to prepare and build documents for the programs and projects to be submitted to the competent authority for approval.

2. Content of documents for ODA programs and projects:

a) Programs and projects providing technical support:

The content of documents for programs and projects providing technical support shall be prepared according to the model specified in Appendix 4a of Circular 04. The content of the documents must closely follow the detailed outline already approved by the Prime Minister.

b) Investment programs and projects:

The content of documents for investment programs and projects shall be prepared according to the model specified in Appendix 4b of Circular 04 and the regulations of the State on investment and construction, as well as the regulations of the donor.

Article 10. Building documents for programs and projects using PCPNN funds and non-project assistance files

Documents for programs and projects using PCPNN assistance funds must be built according to the models at Appendices 1a, 1b, and 1c of Circular No. 07/2010/TT-BKH dated March 30, 2010, issued by the Ministry of Planning and Investment guiding the implementation of Decree No. 93/2009/NĐ-CP dated October 22, 2009, promulgating the Regulations on Management and Use of PCPNN Assistance; non-project assistance files must be built according to the provisions of Article 9 of the Regulations on Management and Use of PCPNN Assistance issued together with Decree No. 93/2009/NĐ-CP dated October 22, 2009, of the Government.

The unit entrusted with the role of PCPNN assistance recipient is responsible for building documents for programs and projects.

Article 11. Reviewing ODA programs and projects and PCPNN assistance grants

1. The program/project owner of ODA or the grant recipient of PCPNN assistance shall submit the review file for ODA programs/projects or PCPNN assistance grants to the Ministry of Education and Training for review and bear primary responsibility for the professional content during the review process.

2. Review file:

a) A valid review file includes:

- The proposal document for reviewing and approving programs/projects using ODA funds or PCPNN assistance grants from the ODA program/project owner or PCPNN assistance grant recipient;

- The announcement document from the competent authority regarding the ODA Financing List; or the document from the donor announcing the commitment to provide assistance or consider funding for PCPNN assistance grants;

- The program/project document for ODA or the PCPNN assistance grant file in both Vietnamese and English, with a total of 10 sets (including at least one original set);

- Agreements and memoranda of understanding with the donor (or the donor's representative), relevant documents and responses from related agencies during the preparation of ODA programs/projects or PCPNN assistance grants, reports from the expert review team carried out upon the donor's request (if applicable);

- Implementation reports of programs/projects (including financial reports) for previous phases for ongoing programs/projects.

b) For PCPNN assistance grants, the review file needs to include additional information related to the registration of activities or legal status of the donor.

For used goods, the unit can only accept such goods if there is a confirmation document from the donor stating that the goods are still more than 80% of their new value (for simple used goods) or a valuation report from an authorized organization in the donor country stating that the goods are still more than 80% of their new value (for complex used goods not included in the specific list of simple used goods) approved by the Prime Minister. The unit can only notify the donor to send goods after obtaining the approval decision from the Ministry.

3. The Planning and Finance Department shall be the focal point and coordinate with the ODA program/project owner or PCPNN assistance grant recipient and related units to implement the review procedures as prescribed. During the review process, the ODA program/project owner or PCPNN assistance grant recipient may be required to complete the content of the program/project documents or the assistance grant file if necessary.

4. Review period:

The review period for ODA programs/projects is 15 working days from the date of receipt of a complete valid review file if it is a technical support program/project, and 45 working days if it is an investment program/project.

The review period for PCPNN assistance grants is 20 working days from the date of receipt of a complete valid review file.

5. Based on the review comments, the ODA program/project owner or PCPNN assistance grant recipient shall submit 10 sets of valid documents or files to the Planning and Finance Department for submission to the Ministry leadership.

Article 12. Approval of ODA Programs and Projects, PCPNN Aid GrantsClause of PCPNN grant assistance

Clause 1. Authority to Approve ODA Programs and Projects

a) The Prime Minister:

- Decides on investment for national key programs and projects;

- Approves programs and projects along with policy frameworks and plans.

b) The Minister of Education and Training decides on investment for programs and projects; approves technical support programs and projects not covered under Point a, Clause 1 of this Article; and approves programs and projects delegated by the Prime Minister.

Clause 2. Authority to Approve PCPNN Aid Grants

a) The Prime Minister approves:

- PCPNN aid grants related to national security, defense, religion, and direct support for drafting legal documents, policies, and strategies within the authority of the Prime Minister and higher levels, national economic and social development strategies, plans, and sectoral and territorial planning;

- Specific lists of types of goods and equipment with simple structures that have been used (more than 80% of their original value) suitable for Vietnam's needs and conditions at different times, prepared by heads of Ministries and sectors and submitted for approval by the Prime Minister;

- PCPNN aid grants related to importing cars and other transportation means (aircraft, ships, etc.).

b) The Minister of Education and Training has the authority to approve:

- PCPNN aid grants not covered under Point a, Clause 2 of this Article;

- Used goods with simple structures more than 80% of their original value (confirmed by the donor) included in the list approved by the Prime Minister;

- Emergency aid with specific recipients.

Article 13. Negotiation and Signing of Specific International Agreements on ODA and PCPNN Assistance Agreements

Clause 1. For programs and projects under the approval authority of the Prime Minister, the Department of Planning and Finance acts as the lead agency, coordinating with the Department of International Cooperation, the Legal Affairs Department (and the School Infrastructure and Educational Equipment Bureau for programs and projects involving investment components), and relevant Ministries and sectors to participate in negotiations.

Clause 2. For programs and projects under the approval authority of the Minister of Education and Training, the Department of Planning and Finance leads, coordinating with the Department of International Cooperation and relevant units within the Ministry to prepare, organize negotiations, and sign agreements with donors.

Chapter IV

MANAGEMENT OF IMPLEMENTATION OF ODA PROGRAMS AND PROJECTS AND

 PCPNN AID GRANTS

Article 14. Completion of Conditions for the Effectiveness of Financial Assistance Agreements

Clause 1. After the financial assistance agreement has been signed by the competent authority of Vietnam with the donor, the agency assigned to lead the implementation of ODA programs and projects, the PCPNN Aid Grant Account (or the Program Management Board if established) is responsible for proactively implementing and primarily accountable for the contents of the effectiveness conditions of the financial assistance agreement according to the requirements and deadlines stipulated in the agreement; in case of objective need to modify or extend the effectiveness period of the conditions, they must immediately report to the supervising agency for guidance on resolution.

Clause 2. The Department of Planning and Finance is the lead unit, coordinating with relevant units to implement and complete (both in terms of content and procedures) the conditions for the effectiveness of the financial assistance agreement.

Clause 3. For construction and school infrastructure projects, the School Infrastructure and Educational Equipment Bureau is the lead unit, organizing the implementation and completion of the conditions for the effectiveness of the financial assistance agreement.

Article 15. Management Board of Programs and Projects

1. The competent authority of the program or project (for technical assistance programs and projects), the Program or Project Owner (for investment programs and projects, hereinafter referred to as the Project Owner), the PCPNN grant recipient shall issue a decision to establish a Management Board (Executive Board) for the program or project (hereinafter referred to as the Project Management Board) within ten working days after the program or project documentation has been approved by the competent authority.

The Project Management Board may register to use its own seal according to the provisions of the law to serve the implementation of the program or project.

The Project Management Board may open accounts at the State Treasury and commercial banks in accordance with the provisions of the law, international treaties, or other agreements signed with the donor.

The Director of the Project Management Board is responsible for drafting the Regulation on the organization and operation of the Project Management Board, which must be submitted to the competent authority that established the Project Management Board for approval. The Regulation on the organization and operation of the Project Management Board must be issued within fifteen working days from the date of the decision establishing the Project Management Board.

2. For small and simple ODA programs and projects with a total capital amount (including counterpart funds) under one billion dong (01 billion dong) or non-project grants, the Project Owner, the PCPNN grant recipient may not need to establish a Project Management Board but can use their own specialized machinery to manage and direct the implementation of ODA programs and projects, non-project grants while they can also hire consultants to manage programs and projects or non-project grants if deemed necessary.

3. In cases where the Ministry is the Project Owner, the Department of Organization and Cadres shall take the lead, unify opinions with the Department of Planning and Finance and other units under the Ministry (if relevant), submit to the Ministry leadership for decisions to establish the Project Management Board, appoint key positions (Director, Deputy Director, Chief Accountant), and approve the Regulation on the organization and operation of the Project Management Board.

Article 16. Establishment and Implementation of the Annual Work Plan

1. Based on actual conditions, project documentation, and agreements with donors, the Project Management Board is responsible for developing the annual work plan (according to the model issued together with this Circular), submitting it to the competent authority for approval. During the implementation process, if unforeseen issues arise or are inconsistent with actual conditions, the Project Management Board may request permission to amend or adjust the work plan.

2. For projects where the Ministry is the Project Owner, the Project Management Board is responsible for developing the work plan, seeking opinions from relevant Departments and Bureaus, sending them to the Department of Planning and Finance for consolidation of opinions, review, and submission to the Ministry leadership for approval.

3. In cases where the competent authority, ODA Project Owner, or PCPNN grant recipient does not establish a Project Management Board, the unit assigned to manage and direct the project shall perform the tasks of the Project Management Board as stipulated in Clauses 1 and 2 of this Article.

Article 17. Procurement and Tendering Work

1. Procurement and tendering activities are carried out based on the content of international treaties to which the Socialist Republic of Vietnam is a member or international agreements signed by authorized agencies and organizations of the Socialist Republic of Vietnam.

2. The Project Management Board is tasked with developing overall and phased tender plans based on actual conditions, project documentation, and the approved work plan, avoiding overlapping investments with other projects. If there are no specific requirements from the donor, the tender plan must follow the model issued by the Ministry of Planning and Investment in Circular No. 02/2009/TT-BKH dated February 17, 2009, on guidelines for preparing tender plans.

The application dossier for reviewing the tender plan must include a written report on the implementation of the previous tender plan phase, proposals for resolving outstanding tender packages (if any).

3. The Project Management Board shall submit the Project Owner for review and approval of the tender invitation documents for large-scale tender packages (as specified in the Project Operation Regulations), the list of bidding evaluation teams (members of the bidding evaluation team must have full tender certificates issued by training and training units), and the bidding results. Depending on the scale of the tender package as specifically defined in the Project Operation Regulations, the Project Management Board is responsible for submitting the Ministry for review and approval of the contract negotiation results and contract contents.

In case of special situations in tendering that exceed the decision-making authority, the Project Management Board must report to the Project Owner to seek timely guidance in accordance with regulations.

4. In cases where the competent authority, ODA Project Owner, or PCPNN grant recipient does not establish a Project Management Board, the unit assigned to manage and direct the project shall perform the tasks of the Project Management Board as stipulated in Clauses 2 and 3 of this Article.

Article 18. Financial Management, Assets, and Disbursement in ODA Programs and Projects and PCPNN Aid Grants

1. ODA programs and projects, PCPNN aid grants shall implement financial management in accordance with current legal documents, commitments signed with donors, and guidelines set forth in this Circular.

2. Decision-Making Authority

The Project Owner and PCPNN Aid Grant Owner have the authority to decide on activities within ODA programs and projects, and PCPNN aid grants. The Director of the Project Management Board has the right to make decisions and is responsible within the scope of activities authorized and delegated in writing, from the date such documents become effective.

3. Financial Management Mechanism

For ODA programs and projects: Implement according to Circular No. 108/2007/TT-BTC dated September 7, 2007, issued by the Ministry of Finance, guiding the financial management mechanism for official development assistance programs and projects.

For aid grants (including ODA and PCPNN aid grants): Implement according to Circular No. 225/2010/TT-BTC dated December 31, 2010, issued by the Ministry of Finance, guiding the state financial management system for non-repayable foreign aid included in state budget revenue.

4. Expenditure Standards

For activities carried out through bidding: payment to contractors shall be made according to the agreement stipulated in the contract signed with the contractor.

For non-bidding activities: expenditures shall be made according to the expenditure standards set by the donor or domestic expenditure standards as prescribed in Circular No. 219/2009/TT-BTC dated November 19, 2009, issued by the Ministry of Finance, which specifies certain expenditure standards applicable to projects/programs using official development assistance funds.

During project implementation, if additional expenses arise that are not covered by existing guidance documents, the Project Management Board Director must report and seek opinions from the supervising agency.

5. Asset Management

Except where there is an agreement with the donor, procurement and provision of assets at Project Management Boards must comply with current laws, including the following documents:

- Decision No. 170/2006/QĐ-TTg dated July 18, 2006, issued by the Prime Minister, promulgating Standards and Quotas for Equipment and Working Tools for State Agencies and Civil Servants, and Circular No. 94/2006/TT-BTC dated October 9, 2006, issued by the Ministry of Finance, guiding the implementation of Decision No. 170/2006/QĐ-TTg;

- Decision No. 59/2007/QĐ-TTg dated May 7, 2007, issued by the Prime Minister, promulgating Standards, Quotas, and Management and Usage Regulations for Transportation Means in State Agencies and Publicly Funded Organizations, and Decision No. 61/2010/QĐ-TTg dated September 30, 2010, issued by the Prime Minister, amending and supplementing certain provisions of the Standards, Quotas, and Management and Usage Regulations for Transportation Means in State Agencies and Publicly Funded Organizations, as stipulated in Decision No. 59/2007/QĐ-TTg, and Circular No. 103/2007/TT-BTC dated August 29, 2007, guiding the implementation of Decision No. 59/2007/QĐ-TTg;

Asset management during the operational period shall be conducted in accordance with Decision No. 32/2008/QĐ-BTC dated May 29, 2008, issued by the Minister of Finance, guiding the management and depreciation of fixed assets in state agencies, publicly funded organizations, and entities using state budgets, and Directive No. 17/2007/CT-TTg dated July 25, 2007, issued by the Prime Minister, regarding strengthening asset management in Project Management Boards using state capital.

Asset management and disposal when programs and projects conclude shall be carried out in accordance with Circular No. 87/2010/TT-BTC dated June 15, 2010, issued by the Ministry of Finance, guiding the management and disposal of assets in projects using state budgets upon completion of the project.

6. Accounting System

Depending on the scale, nature, and organizational management model of each program and project, the Project Owner and PCPNN Aid Grant Owner shall proactively propose the application of the administrative and public service accounting system (Decision No. 19/2006/QĐ-BTC dated March 30, 2006, issued by the Minister of Finance) or the accounting system applicable to principal investors (Decision No. 214/2000/QĐ-BTC dated December 28, 2000, issued by the Minister of Finance), and implement donor requirements regarding financial reporting forms.

The accounting system of each ODA program and project, and PCPNN aid grant must be approved by the competent authority in one of the following documents: Decision approving the content of the program and project documentation; Decision approving the PCPNN aid grant; Charter of organization and operation of the program and project; Decision approving the Financial Management Handbook of the program and project, or other related documents.

7. Reporting, Inspection, Audit, and Settlement System

a) Reporting System

For ODA programs and projects: Regularly, the Project Management Board is responsible for implementing the reporting system as prescribed in Decision No. 803/2007/QĐ-BKH dated July 30, 2007, issued by the Minister of Planning and Investment, promulgating the Reporting System for the Implementation of ODA Programs and Projects and Donor Reporting Requirements. The Department of Planning and Finance is the central unit of the Ministry receiving and consolidating reports. Specifically, for ODA projects (or components of ODA projects) involving basic construction, school equipment procurement, the Project Management Board sends reports to the Department of Planning and Finance along with a copy sent to the School Infrastructure and Educational Equipment Department.

For PCPNN aid grants: Regularly, the Aid Grant Owner is responsible for implementing the reporting system as prescribed in Circular No. 07/2010/TT-BKH dated March 30, 2010, issued by the Ministry of Planning and Investment, guiding the implementation of Decree No. 93/2009/NĐ-CP dated October 22, 2009, issued by the Government, promulgating the Management and Usage Regulations for PCPNN Aid Grants and Donor Reporting Requirements.

In case of emergencies, the Project Management Board may be required to prepare reports on specific topics. Central-level Project Management Boards are responsible for reviewing and consolidating project reports based on component reports, sub-project reports, or reports from localities benefiting from the project.

Reports need to clearly state the progress of the project compared to the set goals, delays, and reasons for disbursement issues (if any).

b) Audit

- Annually, the provisional accounts, payment accounts, ledgers, accounting files of the Project Management Board or the Project Owner, the PCPNN Grant Recipient (in case no Project Management Board is established) must be audited by an independent auditing company legally operating in Vietnam if current laws or donor requirements so stipulate.

- The audit report must be submitted to the Ministry of Education and Training (the Department of Planning and Finance is the lead agency and the General Department of School Infrastructure and Educational Toys, if relevant), the Ministry of Finance, the Ministry of Planning and Investment, the State Bank of Vietnam, and the donor.

Additionally, ODA programs and projects, PCPNN grants are also subject to auditing under the State Audit Office's audit program.

c) Inspection

Regularly and at random, the Ministries, donors, and related agencies inspect the implementation status and financial management of ODA programs and projects, PCPNN grants; if violations are discovered, they shall be handled according to current regulations, including suspension of fund transfers.

d) Finalizing reports on the sources of funds for ODA programs and projects, PCPNN grants

- All components and activities of the project must prepare annual finalization reports and finalization reports upon completion in accordance with current regulations.

For projects implementing centralized management between central and local/provincial levels:

+ The central-level Project Management Board is responsible for finalizing its own portion of activities, including those delegated to local/provincial levels, and consolidating the finalization report of the entire project to submit to the Ministry. The Ministry will review and approve the project finalization report and consolidate it into the Ministry’s budget finalization report to submit to the Ministry of Finance.

+ The local/provincial-level Project Management Board is responsible for consolidating the finalization reports of project components and activities decided by itself, submitting them for approval by the competent authority, and sending the approved finalization report decision to the central-level Project Management Board for consolidation and submission to the Ministry.

- The General Department of School Infrastructure and Educational Toys leads in reviewing and submitting to the Ministry Leadership for approval of the finalization of investment capital according to Circular No. 33/2007/TT-BTC dated April 9, 2007, issued by the Ministry of Finance guiding the finalization of completed projects funded by state capital and other related documents; and sends the Decision approving the finalization report of completed works funded by investment capital to the Department of Planning and Finance for consolidation and monitoring.

- The Department of Planning and Finance leads in reviewing, submitting for approval, and handling issues related to the finalization of administrative and public service funds according to Circular No. 01/2007/TT-BTC dated January 2, 2007, issued by the Ministry of Finance guiding the examination, review, and announcement of annual finalization for administrative agencies, public institutions, organizations supported by state budget, and budgets at all levels and other related documents.

Article 19. Adjustment and Supplement of Programs and Projects Using Foreign Aid using foreign support sources

1. Adjustment and Supplement of ODA Programs and Projects

a) In cases where adjustments and supplements to the contents of ODA programs and projects during implementation result in:

– Changes to specific international agreements on ODA already signed: The managing agency shall implement the provisions of the law on signing, joining, and implementing international agreements;

– Changes to domestic financial mechanisms or conditions for loan rescheduling applicable to ODA programs and projects: The managing agency shall report to the Ministry of Finance and the Ministry of Planning and Investment, and submit to the Prime Minister for decision.

b) In cases where the donor agrees to use surplus funds from bidding for ODA programs and projects:

– If using such funds to implement new ODA programs and projects in priority areas to enhance the effectiveness of ongoing programs and projects: The managing agency shall send the Ministry of Planning and Investment a report explaining the use of surplus funds along with the documentation of the proposed ODA program or project to be used, for the Ministry of Planning and Investment to coordinate with relevant agencies to examine and submit to the Prime Minister for decision on the use of surplus funds;

– If using surplus funds to supplement the volume within the scope of ongoing ODA programs and projects: The managing agency decides on the use of surplus funds.

2. Adjustment and Supplement of Contents of PCPNN Grant Programs and Projects

a) Adjustments, amendments, and supplements to PCPNN grant programs and projects within the Prime Minister's approval authority shall be implemented in accordance with the corresponding provisions of Article 3 and Clause 1, 3, and 5 of Article 4 of Circular No. 07/2010/TT-BKH dated March 30, 2010, issued by the Ministry of Planning and Investment guiding the implementation of Decree No. 93/2009/NĐ-CP dated October 22, 2009, of the Government promulgating the Regulation on the Management and Use of PCPNN Grants.

b) Adjustments, amendments, and supplements to PCPNN grant programs and projects within the Ministry's approval authority shall be implemented in accordance with the corresponding provisions of Article 3 of Circular No. 07/2010/TT-BKH dated March 30, 2010, issued by the Ministry of Planning and Investment guiding the implementation of Decree No. 93/2009/NĐ-CP dated October 22, 2009, of the Government promulgating the Regulation on the Management and Use of PCPNN Grants.

Chapter V

INSPECTION, SUPERVISION, EVALUATION, COMMISSIONING

 ODA PROGRAMS AND PROJECTS AND PCPNN GRANTS

Article 20. Inspection and Supervision of ODA Programs and PCPNN Aid Projects

1. The Project Owner, the PCPNN Aid Recipient, and the Project Management Board shall be responsible for organizing self-inspection of the receipt, management, and utilization of foreign aid resources.

2. The Planning and Finance Department shall take the lead and coordinate with specialized Departments and Bureaus to organize inspections of the receipt, management, and utilization of aid funds by units and projects.

3. The Ministry Inspectorate shall take the lead and coordinate with specialized Departments and Bureaus to organize audits and inspections of the receipt, management, and utilization of aid funds by units and projects.

Article 21. Evaluation of Programs and Projects

1. Requirements and Objectives:

a) Compare the results achieved at the time of evaluation with the implementation plan of the program or project;

b) Evaluate the implementation of program and project management principles and procedures;

c) Identify difficulties and obstacles in implementing the program or project;

d) Propose measures needed to promote the program or project to progress according to its objectives, consistent with regulations on schedule, scope, volume, quality, budget, and management principles and procedures;

e) In necessary cases, recommend adjustments to certain contents in the program or project documentation and/or in the implementation plan;

f) Draw lessons learned to apply to subsequent phases of the evaluated program or project and/or to other programs and projects.

2. To ensure objectivity and transparency, the evaluation work must be conducted by experts or independent consultant groups selected according to current regulations, possessing the necessary expertise and experience. Evaluation work is carried out regularly and unexpectedly (if necessary). Regular evaluation work is conducted through four main stages: initial assessment, mid-term assessment, final assessment, and post-project impact assessment.

3. The plan, organization, and funding for evaluation work shall be extracted from ODA funds, PCPNN aid funds, counterpart funds, or other sources, and must be stipulated in the program or project documentation and must be appropriate to the nature of each type of program or project.

4. Programs and projects must develop a set of monitoring and evaluation indicators and detailed annual implementation plans, as well as plans upon completion of the program or project.

5. The Planning and Finance Department shall take the lead and coordinate with related units to organize supervision and evaluation of program and project implementation activities, and may hire consultants for evaluation if necessary.

Article 22. Final Acceptance, Settlement, Utilization, and Exploitation of Results of ODA Programs and PCPNN Aid Projects

1. The Project Owner and the PCPNN Aid Recipient shall organize final acceptance, exploitation, and utilization of the results of ODA programs and PCPNN aid projects, and implement measures to maintain and enhance the outcomes of these programs and projects.

2. The Planning and Finance Department shall take the lead and coordinate with Departments, Bureaus, and related units within the Ministry to organize final acceptance and handover of program and project results, organize settlement, and manage assets of ODA programs and PCPNN aid projects in accordance with Circular No. 03/2007/TT-BKH dated March 12, 2007 guiding the functions, tasks, and organizational structure of the Program and Project Management Board, and Circular No. 07/2010/TT-BKH dated March 30, 2010 issued by the Ministry of Planning and Investment guiding the implementation of Decree No. 93/2009/NĐ-CP dated October 22, 2009 of the Government on the Regulations on Management and Use of Non-Governmental Foreign Aid.

Chapter VI

IMPLEMENTATION

Article 23. Effectiveness of Implementation

This Circular takes effect from April 1, 2011.

Article 24. Responsibility for Implementation

1. The Head of the Ministry's Office, the Director of the Planning and Finance Department, and the heads of units under the Ministry shall be responsible for implementing this Circular.

2. The Planning and Finance Department is the focal unit assisting the Minister of Education and Training in state management of foreign aid resources, directly coordinating and managing programs, projects, and foreign support reception activities of the Ministry of Education and Training.

3. During implementation, if any issues arise, units shall promptly reflect them to the Ministry of Education and Training for consideration and resolution./.