Circular No. 119/2008/TT-BTC guiding the management, payment, and settlement of investment capital for health projects managed by localities according to Resolution No. 18/2008/NQ-QH12 dated June 3, 2008 of the National Assembly, Term XII.

CIRCULAR

Guidelines for managing, settling, and finalizing investment capital for health projects managed by local authorities

pursuant to Resolution No. 18/2008/NQ-QH12 dated June 3, 2008 of the National Assembly, Session XII

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Pursuant to the State Budget Law No. 01/2002/QH11 dated December 16, 2002;

Pursuant to Resolution No. 18/2008/NQ-QH12 dated June 3, 2008 of the National Assembly, Session XII;

Pursuant to Decree No. 52/1999/NĐ-CP dated July 8, 1999 of the Government on the issuance of the Investment Management and Construction Regulation, Decree No. 12/2000/NĐ-CP dated May 5, 2000, and Decree No. 07/2003/NĐ-CP dated January 30, 2003 of the Government amending and supplementing certain articles of the Investment Management and Construction Regulation issued together with Decree No. 52/1999/NĐ-CP dated July 8, 1999 of the Government;

Pursuant to Decree No. 16/2005/NĐ-CP dated February 7, 2005 of the Government on project management for construction works and Decree No. 112/2006/NĐ-CP dated September 29, 2006 of the Government amending and supplementing certain articles of Decree No. 16/2005/NĐ-CP dated February 7, 2005;

Pursuant to Decree No. 99/2007/NĐ-CP dated June 13, 2007 of the Government on the management of construction costs and Decree No. 03/2008/NĐ-CP dated January 7, 2008 of the Government amending and supplementing certain articles of Decree No. 99/2007/NĐ-CP dated June 13, 2007 of the Government on the management of construction costs;

Pursuant to Decision No. 47/2008/QĐ-TTg dated April 2, 2008 of the Prime Minister approving the Project on the construction, renovation, and upgrading of district general hospitals and regional multi-county general hospitals using government bonds and other lawful sources of funding for the period 2008-2010 (hereinafter referred to as Decision No. 47/2008/QĐ-TTg);

The Ministry of Finance issues guidelines for managing, settling, and finalizing investment capital for health projects funded from government bonds according to Resolution No. 18/2008/NQ-QH12 dated June 3, 2008 of the National Assembly, Session XII 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.

Article 1. These guidelines apply to health projects funded from government bonds according to Resolution No. 18/2008/NQ-QH12 dated June 3, 2008 of the National Assembly.

Article 2. Projects meeting the following conditions shall be allocated annual investment capital:

- Included in the list of district hospitals, health centers, and regional multi-specialty clinics funded from government bonds for the period 2008-2010 attached to Decision No. 47/2008/QĐ-TTg, the list of projects registered by provincial People's Committees for the period 2008-2010 (consistent with the list at Decision No. 47/2008/QĐ-TTg), and specialized hospitals such as tuberculosis, mental health, oncology, pediatric, and some provincial general hospitals in mountainous and difficult areas decided by the Prime Minister.

- Compliant with Decision No. 153/2006/QĐ-TTg dated June 30, 2006 of the Prime Minister approving the overall planning for the development of the healthcare system in Vietnam until 2010 and vision until 2020, and Decision No. 30/2008/QĐ-TTg dated February 22, 2008 of the Prime Minister approving the planning for the development of the healthcare network until 2010 and vision until 2020;

- In accordance with construction standards and reference designs issued by the Ministry of Construction and the Ministry of Health;

- For medical equipment, the investment project must be approved in accordance with current regulations and consistent with the list of hospitals, health centers, and regional multi-specialty clinics funded from government bonds for the period 2008-2010 attached to Decision No. 47/2008/QĐ-TTg;

- Ensuring sufficient and correct investment procedures according to current regulations.

Article 3. Sources of investment capital:

- Annual budget of localities;

- Government bonds to support localities;

- Lawful funds raised from organizations and individuals both domestically and internationally.

For district health projects that have been invested according to Decision No. 225/2005/QĐ-TTg dated September 15, 2005 of the Prime Minister approving the Project on upgrading district hospitals and regional multi-county general hospitals for the period 2005-2008 but still lack settlement capital, if they belong to the list of projects attached to Decision No. 47/2008/QĐ-TTg, these sources of capital may be used for settlement.

Article 4. The investor is responsible for managing and utilizing the above sources of capital in accordance with current regulations, for their intended purposes, economically, and effectively.

Article 5. Training and capacity-building expenses for healthcare staff shall be included in the annual regular expenditure budget as stipulated by the State Budget Law and shall not be funded from investment capital.

II. SPECIFIC PROVISIONS

Article 1. Registration, preparation of investment plans, allocation, and review of annual investment allocations.

Article 1.1. Registration of investment plans for the period 2008-2010:

Based on the decision of the Prime Minister allocating total investment amounts for each locality for the period 2008-2010, provincial People's Committees shall register investment plans for the period 2008-2010, specifying the list of projects, the total amount allocated to each project, local budget funds, government bond funds, and raised funds (form 01) to be sent to the Ministry of Health, the Ministry of Finance, and the Ministry of Planning and Investment.

Article 1.2. Preparation of annual investment plans.

Annually, during the preparation of the state budget, based on the registered investment plan for the period 2008-2010 and the implementation status of the projects, the Department of Health shall lead and coordinate with the Department of Finance and the Department of Planning and Investment to prepare detailed annual investment plans for the projects (including all sources of funds), report to the provincial People's Committee for examination and decision-making in accordance with regulations, and send the annual plan to the Ministry of Health, the Ministry of Finance, and the Ministry of Planning and Investment (form 02) for consolidation and submission to the Prime Minister for approval of the annual plan for each locality.

Article 1.3. Allocation of annual investment capital:

- Based on the Prime Minister's decision on the allocation of annual government bond capital, local budget funds, and other lawful funds (if any), provincial People's Committees shall allocate investment capital to each project and send it to the Ministry of Health, the Ministry of Finance, and the Ministry of Planning and Investment (accompanied by investment decisions or decisions approving the cost estimate for pre-investment work for pre-investment work - these decisions will only be sent once or supplemented if there are adjustments).

In 2008 alone, the People's Committee of the province, based on the total investment capital and the list of projects notified in Circular No. 4087/BKH-TH dated June 5, 2008 of the Ministry of Planning and Investment, allocated government bond funds for the projects to the Ministry of Health, the Ministry of Finance, and the Ministry of Planning and Investment.

- In case it is necessary to adjust the allocation of investment capital, the People's Committee of the province shall direct relevant agencies to review the progress of implementation of projects to decide on adjusting the annual capital allocation within the annual total capital amount and project list assigned, and send it to the Ministry of Health, the Ministry of Finance, and the Ministry of Planning and Investment. The deadline for adjusting the annual plan ends no later than December 31 of the planning year.

1.4. Examination of capital allocation:

a) For government bond funds:

The Ministry of Finance shall examine the appropriateness of the total capital amount throughout the period, the annual allocated capital amount, the project list, and the decision to invest in projects (including cases of adjusting capital allocation), and notify the People's Committee of the province, while sending copies to the Ministry of Health, the Department of Health, the Department of Finance, and the State Treasury (central and local levels).

b) For local budget funds: follow the guidelines of the Ministry of Finance (currently Circular No. 27/2007/TT-BTC dated April 3, 2007 guiding the management and payment of investment capital and public service capital with investment characteristics from state budget funds, and Circular No. 130/2007/TT-BTC dated November 2, 2007 amending and supplementing certain points of Circular No. 27/2007/TT-BTC dated April 3, 2007).

c) For other lawful sources of funds: follow current regulations.

1.5. In cases where the allocated government bond capital for the year is not fully utilized, it may be registered for transfer into the next year's investment capital plan to continue implementation. If a project exceeds its annual plan, it can pre-allocate capital from the following year for payment within the total capital amount allocated for the project during the 2008-2010 period. Specifically, as follows:

- The investor reports to the People's Committee of the province. The People's Committee of the province compiles and proactively adjusts the capital allocation for projects within the annual total investment capital amount assigned to the locality.

- If the total value of work completed by provincial projects exceeds the annual allocated investment capital amount; the People's Committee of the province reports to the Ministry of Health, the Ministry of Finance, and the Ministry of Planning and Investment to unify the pre-allocated capital amount for the following year and implement recovery.

2. Advance payments, settlements, and recovery of advance payments.

The State Treasury is the agency responsible for settlement control. The State Treasury of the province/city (hereinafter referred to as the State Treasury of the province) guides investors to open transaction accounts (which can be opened at the State Treasury of the district or county) within the province/city.

2.1. For local budget funds:

Follow the provisions of the Ministry of Finance (currently Circular No. 27/2007/TT-BTC dated April 3, 2007 guiding the management and payment of investment capital and public service capital with investment characteristics from state budget funds, and Circular No. 130/2007/TT-BTC dated November 2, 2007 amending and supplementing certain points of Circular No. 27/2007/TT-BTC dated April 3, 2007).

2.2. For government bond funds:

Follow the guidelines of the Ministry of Finance (currently Circular No. 28/2007/TT-BTC dated April 3, 2007 guiding the management, disbursement, payment, and settlement of investment capital from government bonds, and Circular No. 133/2007/TT-BTC dated November 14, 2007 amending and supplementing certain points of Circular No. 28/2007/TT-BTC dated April 3, 2008).

3. Capital raised from organizations and individuals both domestically and internationally (including grants): follow current regulations.

4. Settlement of investment capital.

4.1. Annual settlement of investment capital.

- Follow the provisions of the Ministry of Finance (currently Circular No. 53/2005/TT-BTC dated June 23, 2005 guiding the preparation and examination of final settlement reports for basic construction investment capital from state budget funds according to the fiscal year). Government bond capital is settled separately and applies the form prescribed in Circular No. 53/2005/TT-BTC dated June 23, 2005 according to corresponding contents.

- The People's Committee of the province compiles and reports the annual settlement report from investors (separately settling government bond capital) to the Ministry of Finance.

- The State Treasury organizes accounting and monitoring of government bond capital separately, annually settling with the finance department according to regulations.

4.2. Settlement of investment capital for completed projects.

Follow the provisions of the Ministry of Finance (currently Circular No. 33/2007/TT-BTC dated April 9, 2007 guiding the settlement of completed projects from state budget funds, and Circular No. 98/2007/TT-BTC dated August 9, 2007 amending and supplementing certain points of Circular No. 33/2007/TT-BTC dated April 9, 2007).

4.3. Settlement of other lawful sources of capital: follow current regulations.

5. Reporting responsibilities.

5.1. People's Committee of the province.

- Report regularly monthly, quarterly, and annually to the Ministry of Health, the Ministry of Finance, and the Ministry of Planning and Investment on the implementation and disbursement of projects (using Form 03). Monthly reports are sent by the 15th day of the following month; quarterly reports (replacing the last month's report of the quarter) are sent by the 20th day of the first month of the following quarter; annual reports (replacing the December report) are sent by January 25 of the following year.

- Direct the Department of Health and the Department of Finance to cooperate with the State Treasury (provincial level) to implement reporting according to this Circular.

5.2. State Treasury.

a) State Treasury of the province:

- Report regularly monthly, quarterly, and annually to the Department of Finance and the State Treasury (central level) on the implementation and disbursement of projects (using Form 03). Monthly reports are sent by the 10th day of the following month; quarterly reports (replacing the last month's report of the quarter) are sent by the 15th day of the first month of the following quarter; annual reports (replacing the December report) are sent by January 20 of the following year.

b) State Treasury (central level):

- Report regularly monthly, quarterly, and annually to the Ministry of Finance on the implementation and disbursement of projects (using Form 04). Monthly reports are sent by the 15th day of the following month; quarterly reports (replacing the last month's report of the quarter) are sent by the 20th day of the first month of the following quarter; annual reports (replacing the December report) are sent by January 25 of the following year.

- Direct the State Treasury of the province to cooperate with the Department of Health and the Department of Finance to implement reporting according to this Circular.

Additionally, these agencies shall submit ad hoc reports as required by competent authorities and the Steering Committee at all levels.

6. Inspection.

On the basis of functions and tasks stipulated in Decision No. 47/2008/QĐ-TTg and directives from the Steering Committee at all levels, ministries, sectors, and localities shall regularly or突击检查关于项目的进度、资金拨付情况以及实施结果。

III. IMPLEMENTATION

This Circular takes effect fifteen days after its publication in the Official Gazette. Any issues encountered during implementation should be promptly reported to the Ministry of Finance (Investment Department) for study and resolution./.