Joint Circular No. 09/TTLB guiding procedures for reviewing economic and technical justifications, technical designs, and total budgets exceeding approved amounts pursuant to Decision 92-TTg dated March 7, 1994 of the Prime Minister.

CIRCULAR

JOINT MINISTERIAL DECISION NO. 09/TTLB OF JUNE 10, 1994 ISSUED BY THE NATIONAL PLANNING COMMITTEE - MINISTRY OF CONSTRUCTION - MINISTRY OF FINANCE ON GUIDELINES FOR PROCEDURES TO REVIEW AGAIN ECONOMIC AND TECHNICAL JUSTIFICATIONS, TECHNICAL DESIGN, AND TOTAL ESTIMATE OF PROJECTS WITH APPROVED CAPITAL EXCEEDING THE ALLOCATED CAPITAL AS PER PRIME MINISTER'S DECISION NO. 92/TTG OF MARCH 7, 1994

To implement Decision No. 92/TTg of March 7, 1994 of the Prime Minister on "Strengthening management, preventing waste, loss, and corruption in construction investment"; the National Planning Committee, Ministry of Construction, and Ministry of Finance hereby issue guidelines for procedures to review again economic and technical justifications and technical design-total estimate of construction projects with approved capital exceeding the allocated capital as follows:

I. GENERAL PRINCIPLES:

1. The objects subject to review under this Circular include the following projects:

1.1 Projects that have not yet submitted an Economic and Technical Justification (hereinafter referred to as ETJ) or an Economic and Technical Report (hereinafter referred to as ETR) for approval or have been improperly approved without compliance with the provisions of the Regulation on Construction Management issued together with Decree No. 385/CP dated November 7, 1990 must submit the ETJ for approval simultaneously with the Technical Design and Total Estimate (hereinafter referred to as TDTE) in accordance with current regulations.

1.2 Projects that have already had an ETJ properly approved but have not yet had a TDTE approved must prepare and submit the TDTE for approval. The approved total estimate must ensure it does not exceed 10% of the initial approved total investment in the ETJ.

1.3 Projects that have had both an ETJ and a TDTE properly approved but whose cumulative volume of work completed up to the end of 1993 plus the volume planned for 1994 exceeds 10% of the approved total investment must submit for approval adjustments to both the ETJ and the Total Estimate.

2. The total investment capital and total estimate of all projects previously approved, as well as the amount of capital requested for adjustment and proposed for review, shall be determined as follows: the amount spent from the start of construction to the end of 1993 plus the value of the volume of work completed in 1994 calculated based on the 1994 price level.

3. The project quota according to the temporary provision in the appendix of Circular No. 01/TTLB dated March 29, 1991 issued by the Joint Ministries of the National Planning Committee - Ministry of Construction - Ministry of Finance - State Bank of Vietnam guiding the implementation of the "Regulation on Construction Management" issued together with Decree No. 385/CP dated November 7, 1990 shall be applied to the 1994 price level with a price adjustment factor of 2 (twice). This price adjustment factor shall only be applied to determine the quota as the basis for 分级翻译任务，以下是第3部分的翻译：

II. PROCEDURES FOR SUBMISSION FOR REVIEW:

The review of ETJs and TDTEs must comply with the hierarchical provisions in the "Regulation on Construction Management" issued together with Decree No. 385/CP. After adjusting according to the general principles mentioned above, ETJs and TDTEs of projects to be reviewed will be handled as follows:

1. For important projects, where the Chairman of the Council of Ministers or the Prime Minister has approved the ETJ, the application for re-review of the ETJ should be submitted to the National Planning Committee, Ministry of Construction, Ministry of Finance, and State Bank of Vietnam.

The State Review Board will examine and submit to the Prime Minister for decision.

2. For particularly important projects, where the Chairman of the Council of Ministers or the Prime Minister has approved both the ETJ and the TDTE, the application for re-review of the ETJ and TDTE should be submitted to the Standing Office of the State Review Board for examination and submission to the Prime Minister for decision.

3. For projects exceeding the quota, the application for re-review of the ETJ, along with the review document and the proposal of the investment management authority, should be submitted to the National Planning Committee and the Ministry of Construction for prior agreement before the investment management authority reviews it again.

The application for re-review of the TDTE of these projects should be reviewed by the investment management authority and cannot be delegated to subordinate agencies of the investment management authority.

4. For projects within the quota, the investment management authority should review both the ETJ and TDTE and report the list to the National Planning Committee and the Ministry of Finance.

III. DOCUMENTATION FOR SUBMISSION FOR REVIEW:

1. ETJ and total investment capital:

A document from the investor (or investment management authority) requesting re-review or re-agreement of the ETJ. It should clearly state the scale and capacity (whether changed or unchanged), the total amount requested for approval (after conversion), and the portion of capital for remaining volume divided according to structure (construction and installation, equipment, other basic construction).

- An explanation of the reasons for exceeding the total investment capital. A summary explanation of the reasons for increased investment (changes in objectives, capacity, scale of the project; changes in technology and equipment, location, prices...), accompanied by comparison tables I-1, 2.

- The original ETJ that has been approved (including copies of approval decisions, agreement documents...).

- Confirmation documents from funding agencies or lenders showing completion of work volumes year by year.

2. Technical design and total estimate:

- A request from the investor for approval or re-approval of the TDTE (if it is a particularly important project, this document is from the investment management authority).

An explanation of the reasons for exceeding the budget, including reasons for exceeding the total investment in the adjusted ETJ and other reasons (due to changes in structural, architectural, foundation designs, changes in equipment technology, interior fittings, due to unforeseen conditions during construction such as floods, typhoons, earthquakes; due to subjective factors in design and construction...), reflected in tables II-1, 2, 3, 4, 5, 6.

- The adjusted ETJ and the decision to re-approve it (if the project does not require adjustment of the total investment, it is the old ETJ).

- The adjusted TDTE to be resubmitted for approval.

IV. IMPLEMENTATION

1. All ongoing projects that have not followed the procedures for reviewing the ETJ and TDTE or have exceeded the total investment by more than 10% must complete the re-review process according to the guidelines of this Circular by the latest date of June 30, 1994, to serve as the basis for resolving investment capital for 1994.

2. In special urgent cases that have not completed the required procedures as stipulated in Decision No. 92/TTg, the investor should report to the Prime Minister for decision.

MODEL I.1

Due to change in quantity of works increase (decrease)

Due to fluctuation in foreign exchange rate between foreign currency and domestic currency increase (decrease)...

Project name:

Construction site:

Increase or decrease in budget

IN ARCHITECTURAL DESIGN AND STRUCTURAL DESIGN

Increase (decrease) in investment capital compared to approved estimate

Condition of equipment (new or remaining percentage)

Increase (decrease) in investment capital compared to approved estimate

Additional due to unforeseeable reasons

MODEL II.6

Model II.6