Joint Circular No. 10/2008/TTLT-BTC-BGTVT guides the management, settlement, and final accounting of economic service expenses for road management and maintenance.

JOINT CIRCULAR

GUIDELINES ON THE MANAGEMENT, SETTLEMENT, AND FINAL ACCOUNTING OF OPERATING EXPENSES FOR ECONOMIC MANAGEMENT AND MAINTENANCE OF ROADS

Decree No. Decision No. 60/2003/NĐ-CP dated June 6, 2003, of the Government detailing and guiding the implementation of the State Budget Law;
Decree No. Decision No. 168/2003/NĐ-CP dated December 24, 2003, of the Government on sources of finance and management and use of financial resources for road management and maintenance;
Decree No. Decision No. 186/2004/NĐ-CP dated November 5, 2004, of the Government on management and protection of traffic infrastructure on roads;
The Ministry of Finance and the Ministry of Transport hereby provide guidelines on the management, settlement, and final accounting of operating expenses for economic management and maintenance of roads guaranteed by the state budget as follows:

This technical regulation sets out technical requirements, testing methods, sampling procedures; management requirements; responsibilities of organizations and individuals producing, trading, and importing cigarettes.

1. Operating expenses for economic management and maintenance of roads guaranteed by the state budget include: annual state budget estimates (domestic and foreign funds); revenue from road usage fees returned according to regulations, managed through the state budget.

2. Operating expenses for economic management and maintenance of national highways are guaranteed by the central government budget; operating expenses for management and maintenance of local roads are guaranteed by the local government budget.

3. Annual operating expenses for economic management and maintenance of roads are managed, settled, and finalized according to the provisions of the State Budget Law, implementing documents of the State Budget Law, and the provisions of this Circular.

II. SPECIFIC PROVISIONS

1. Contents of expenditures for operating expenses for economic management and maintenance of roads:

1.1. Expenditures for road maintenance:

a. Expenditures for regular maintenance of roads;

b. Expenditures for periodic repairs (medium and major repairs) of roads;

c. Expenditures for emergency repairs of roads, to address consequences of natural disasters or other causes to ensure traffic.

1.2. Expenditures for management activities and traffic services:

a. Expenditures for monitoring technical conditions and managing road construction projects; expenditures for organizing road traffic safety; expenditures for inspecting the protection of road traffic infrastructure; expenditures for management activities and clearance of road safety zones;

b. Expenditures for operations of Road Management Zone Offices, including: expenditures based on staffing levels allocated, special activity expenditures, and non-recurring expenditures (purchase and repair of equipment, vehicles, office premises);

c. Expenditures for operations of vehicle weight control stations, including: regular operational costs, non-recurring expenditures (purchase and repair of equipment, station buildings);

d. Expenditures to subsidize operations of ferry piers and pontoon bridges when revenues are insufficient to cover expenditures;

đ. Expenditures for purchasing equipment and major repairs of toll collection stations for road usage (as stipulated in Circular No. 90/2004/TT-BTC dated September 7, 2004, of the Ministry of Finance guiding the collection, payment, management, and use of road usage fees);

e. Expenditures for relocating toll collection stations for road usage and vehicle weight control stations according to approved projects by competent authorities from road usage fee revenues; including: construction costs of new stations, demolition of old stations, transportation and installation of equipment at new stations.

g. Expenditures for repairing road management offices and other expenditures (if any).

2. Preparation, execution of budgets, and final accounting of operating expenses for economic management and maintenance of roads:

The preparation, execution of budgets, and final accounting of annual operating expenses for economic management and maintenance of roads are carried out according to the State Budget Law and implementing documents; this Circular provides additional guidance on certain points as follows:

2.1. Preparation of budgets:

a. For national highways:

Annually, based on the state budget expenditure estimates announced by the Ministry of Finance; the Ministry of Transport announces these estimates to the Vietnam Highway Administration, which then allocates them to the Road Management Zones and Provincial Departments of Transport (collectively referred to as Provincial Departments of Transport) for highways delegated by the Ministry of Transport to localities for management and maintenance (collectively referred to as delegated management highways).

Based on the condition of bridges and roads; economic and technical standards; expenditure contents specified in Clause 1, Section II of this Circular; approved unit prices and expenditure standards; current financial expenditure regulations; and the allocated estimates from the Vietnam Highway Administration, the Road Management Zones and Provincial Departments of Transport (for delegated management highways) prepare detailed road management and maintenance budgets, submit them to the Vietnam Highway Administration for review and consolidation, and report to the Ministry of Transport for review and consolidation, then submit to the Ministry of Finance as required.

b. For local roads:

Annually, based on the state budget expenditure estimates allocated by competent authorities; the condition of bridges and roads; economic and technical standards; expenditure contents specified in Clause 1, Section II of this Circular; approved unit prices and expenditure standards; current financial expenditure regulations; local transport departments prepare detailed road management and maintenance budgets, submit them to the local finance departments as required.

The preparation of road management and maintenance budgets as stipulated in Subparagraph a and b of Point 2.1, Clause 2, Section II above must be accompanied by detailed explanations. For periodic repair expenditures and relocation station expenditures, they must be detailed according to each project linked to specific road sections, routes, quantities, funding, implementation periods, and completion times.

2.2. Execution of budgets:

2.2.1. Allocation of allocated state budget expenditure estimates:

a. For national highways:

BASED on the state budget expenditure estimate for the year assigned by the competent authority; based on the notification number from the Ministry of Transport; based on the road management and maintenance plan assigned by the competent authority; the Vietnam Highway Administration establishes a plan to allocate the state budget expenditure estimate to the Road Management Zones, Provincial Departments of Transport (for delegated managed roads); detailed according to the expenditure items specified in Clause 1, Section II of this Circular, detailed by section of road, route, volume, and funding (excluding projects to ensure traffic flow in the first phase during flood recovery); for projects with construction time exceeding one year, annual budget allocation must be ensured according to the approved volume and construction period in the investment decision; no budget allocation shall be made for volumes already implemented outside the previous year's assigned plan. For emergency repair volumes to address natural disasters, weak bridges, black spots, and other objective reasons approved by the competent authority, the budget estimate must be allocated within the planning year for implementation. The Vietnam Highway Administration reports the state budget expenditure allocation plan to the Ministry of Transport for review, consolidation, and submission to the Ministry of Finance for examination in accordance with regulations.

After receiving the unified opinion of the Ministry of Finance regarding the state budget expenditure allocation plan, the Ministry of Transport assigns the state budget expenditure estimate to the Vietnam Highway Administration, which then allocates it to the Road Management Zones, Provincial Departments of Transport (for delegated managed roads); simultaneously sends it to the Ministry of Transport, the Ministry of Finance, the State Treasury, and the State Treasury where the account is opened for coordination in implementation.

b. For local roads:

BASED on the state budget expenditure estimate for the year assigned by the competent authority, local transport authorities establish a plan to allocate the state budget expenditure estimate for road management and maintenance; detailed according to the expenditure items specified in Clause 1, Section II of this Circular; detailed by section of road, route, volume, and funding (excluding projects to ensure traffic flow in the first phase during flood recovery); for projects with construction time exceeding one year, annual budget allocation must be ensured according to the approved volume and construction period in the investment decision; no budget allocation shall be made for volumes already implemented outside the previous year's assigned plan. For emergency repair volumes to address natural disasters, weak bridges, black spots, and other objective reasons approved by the competent authority, the budget estimate must be allocated within the planning year for implementation. The transport authority submits the state budget expenditure allocation plan to the finance authority at the same level for examination in accordance with regulations.

After receiving the unified opinion of the finance authority at the same level regarding the state budget expenditure allocation plan, the transport authority assigns the state budget expenditure estimate to subordinate budget-using units for implementation; simultaneously sends it to the finance authority, the State Treasury where the account is opened for coordination in implementation.

c. BASED on the road management and maintenance expenditure estimate assigned by the competent authority, the Road Management Zones, Provincial Departments of Transport (for delegated managed roads); local transport authorities (for local roads) implement bidding, ordering, and assigning road management and maintenance volume plans in accordance with current regulations.

For expenditure tasks with investment characteristics, they are carried out according to the capital investment management process such as: relocating toll stations for national highway usage, vehicle weight inspection stations; major repairs of national highway works, toll stations, vehicle weight inspection stations, Regional Highway Management Office offices, district management offices, and other expenditure tasks.

2.2.2. Advance payment and settlement of economic service fees for road management and maintenance:

a. For national highways:

- For management and maintenance costs of national highways allocated from the state budget estimate: BASED on the state budget expenditure estimate assigned, the Road Management Zones, Provincial Departments of Transport (for delegated managed roads) withdraw the budget estimate from the State Treasury where transactions are conducted for advance payment and settlement to the units managing and maintaining national highways in accordance with regulations.

- For management and maintenance costs of national highways allocated from the toll revenue returned from the central government budget: BASED on the toll revenue expenditure estimate assigned, the Road Management Zones, Provincial Departments of Transport (for delegated managed roads) withdraw the budget estimate from the State Treasury where transactions are conducted for advance payment and settlement to the units managing and maintaining national highways in accordance with regulations.

Before January 15 of the following year, the Vietnam Highway Administration reports the actual toll revenue collected into the central government budget up to December 31 of the previous year (confirmed by the State Treasury); if the actual toll revenue collected into the central government budget exceeds the assigned expenditure estimate, the additional revenue will be added to the next year's road management and maintenance expenditure estimate; if the actual toll revenue collected into the central government budget is lower than the assigned expenditure estimate, the shortfall will be deducted from the next year's road management and maintenance expenditure estimate.

b. For local roads:

- For management and maintenance costs of local roads allocated from the state budget estimate: BASED on the assigned budget estimate, local transport authorities withdraw the budget estimate from the State Treasury where transactions are conducted for advance payment and settlement to the units managing and maintaining local roads in accordance with regulations.

- For management and maintenance costs of local roads from toll revenue returned from the local government budget: BASED on the actual situation of the locality, the local finance authority coordinates with the transport authority to specify the distribution method appropriately.

c. BASIS for the State Treasury to make payments:

Included in the approved project list and budget estimate;

With notified road management and maintenance funds.

- The decision approving the tender results, ordering, and allocating plans by the competent authority as prescribed;

- Economic contracts for managing and maintaining national roads;

- Quantity and quality acceptance certificates; payment volume statements; project price vouchers;

- Payment authorization orders signed by the head of the unit that entered into the contract, along with legal supporting documents as stipulated;

d. State Treasury control over expenditures:

The State Treasury at the transaction location shall check based on the aforementioned grounds and implement expenditure control before provisional advances and payments according to the proposal of the head of the state budget using unit, specifically:

- For regular management and maintenance road expenditures, and medium repairs: The State Treasury shall implement expenditure control in accordance with Circular No. 79/2003/TT-BTC dated August 13, 2003, issued by the Ministry of Finance, guiding the management, issuance, and settlement of state budget expenditures through the State Treasury. In cases where work has not been completed, the maximum provisional advance shall not exceed 60% of the budgeted funds or the value of the economic contract for managing and maintaining national roads.

- For investment-related tasks carried out according to capital investment management procedures such as relocating toll stations, weight inspection stations; major repairs of road projects, toll stations, weight inspection stations, office buildings of road management zones, road management offices, and other tasks, the State Treasury shall implement expenditure control in accordance with Circular No. 27/2007/TT-BTC dated April 3, 2007, issued by the Ministry of Finance, guiding the management and settlement of investment capital and public service capital with investment characteristics from state budget sources, and Circular No. 130/2007/TT-BTC dated November 2, 2007, issued by the Ministry of Finance, amending and supplementing certain points of Circular No. 27/2007/TT-BTC dated April 3, 2007, guiding the management and settlement of investment capital and public service capital with investment characteristics from state budget sources.

2.3. Settlement of economic public service funds for managing and maintaining national roads:

a. Final settlement report.

Units allocated the budget for economic public service funds for managing and maintaining national roads shall prepare final settlement reports in accordance with the prescribed forms and deadlines as stipulated by the State Budget Law and related guidance documents.

The final settlement report shall be accompanied by a list of projects assigned a plan for the year, requesting detailed settlement according to the expenditure items specified in Clause 1, Section II of this Circular (Attached with the model form of the report).

b. Review and audit of final settlement reports.

The review and audit of annual final settlement reports for economic public service funds for managing and maintaining national roads shall be conducted in accordance with Circular No. 01/2007/TT-BTC dated January 2, 2007, issued by the Ministry of Finance, guiding the review, audit, and notification of annual settlements for administrative agencies, public service units, organizations supported by the state budget, and budgets at all levels, specifically:

- For national highways: The Vietnam Highway Administration shall be responsible for reviewing the annual final settlement reports of Road Management Zones and Provincial Departments of Transport (for delegated management); the Ministry of Transport shall be responsible for auditing the annual final settlement reports of the Vietnam Highway Administration; the Ministry of Finance shall be responsible for auditing the annual final settlement reports of the Ministry of Transport as prescribed.

- For local roads: The transport authorities shall be responsible for reviewing the annual final settlement reports of subordinate units; the finance authorities shall be responsible for auditing the annual final settlement reports of the transport authorities as prescribed.

- Specifically, for investment-related tasks carried out according to capital investment management procedures such as relocating toll stations, weight inspection stations; major repairs of road projects, toll stations, weight inspection stations, office buildings of road management zones, road management offices, and other tasks, in addition to implementing annual final settlements in accordance with Circular No. 01/2007/TT-BTC dated January 2, 2007, issued by the Ministry of Finance, when the project is completed and handed over for use, a final settlement of completed projects must be implemented in accordance with Circular No. 33/2007/TT-BTC dated September 4, 2007, issued by the Ministry of Finance, guiding the final settlement of completed projects funded by state capital; if the final settlement of completed projects approved by the competent authority shows discrepancies compared to the total value settled in previous years, those discrepancies shall be adjusted into the final settlement of the corresponding year of approval of the final settlement of completed projects.

3. Inspection work:

To ensure the proper and effective use of economic public service funds for managing and maintaining national roads, the Ministry of Transport, the Vietnam Highway Administration, and local transport authorities shall coordinate with their respective financial authorities to regularly and randomly inspect the management, use, settlement, and final settlement of economic public service funds for managing and maintaining national roads at subordinate units.

Expenditures for managing and maintaining national roads exceeding the standard, being improperly disbursed, or not conforming to the expenditure items specified in this Joint Circular must be recovered and returned to the state budget; simultaneously, the person who ordered the improper disbursement must compensate the public fund and bear legal responsibility.

III. IMPLEMENTATION

This Circular takes effect fifteen days after its publication in the Official Gazette and revokes Circular No. 01/2001/TTLT/BTC-BGTVT dated January 5, 2001, jointly issued by the Ministry of Finance and the Ministry of Transport, guiding the management, issuance, and settlement of economic public service funds for road repair.

During implementation, if there are any difficulties, units are advised to report them to the Ministry of Finance and the Ministry of Transport for prompt resolution./.