Resolution No. 137/2024/QH15 supplements pilot mechanisms and special policies for the development of Nghe An Province

RESOLUTION

ON TRIAL IMPLEMENTATION OF CERTAIN MECHANISMS AND SPECIAL POLICIES FOR THE DEVELOPMENT OF NGHE AN PROVINCE

OF THE NATIONAL ASSEMBLY

On the basis of the Constitution of the Socialist Republic of Vietnam;

Pursuant to the Law on Legislative Regulatory Documents No. 80/2015/QH13, which has been amended and supplemented by some articles according to Law No. 63/2020/QH14;

RESOLUTION:

Article 1. Scope of Regulation

This Resolution stipulates the trial implementation of certain mechanisms and special policies for the development of Nghe An Province regarding financial management, state budget; investment management; urban management, natural resources, environment; organizational structure of local authorities.

Article 2. Applicability

1. State agencies, political organizations, and socio-political organizations.

2. Professional socio-political organizations, social organizations, and socio-professional organizations.

3. Other organizations and individuals related thereto.

Article 3. On Financial Management and State Budget

1. Fee and Tax Policies are defined as follows:

a) The People's Council of Nghe An Province shall decide to apply on its territory: fees and taxes not included in the list of fees and taxes issued together with the Law on Fees and Taxes; adjust the level or rate of collection of fees and taxes already decided by competent authorities for types of fees and taxes listed in the list of fees and taxes issued together with the Law on Fees and Taxes, except court fees and taxes, and types of fees under the central government budget revenue at 100%;

b) The Nghe An Provincial Budget shall enjoy 100% of additional revenue from income sources due to the adjustment of fee and tax policies as specified in point a of this clause to invest in economic and social infrastructure and other expenditure tasks within the provincial budget; these revenues shall not be used to determine the amount of supplementary balance from the central budget to the provincial budget;

c) The trial implementation of fee and tax policies on the territory of Nghe An Province as specified in point a of this clause must ensure a phased approach, be appropriate to the province's capacity and development requirements; create a favorable production and business environment for enterprises; ensure market unity, not hindering the circulation of goods and services; reasonably regulate goods, services, and lawful income sources of organizations and individuals within the province; ensure transparency, openness, and administrative reform;

2. Central cities and provinces may use their own budgets to support Nghe An Province in implementing economic and social development tasks and ensuring national defense and security for specific areas and tasks; in cases of general support for Nghe An Province, the allocation to specific areas and tasks shall be decided by the People's Council of the Province, prioritizing Nam Dan District and the western region of Nghe An Province. The People's Council of Nghe An Province shall decide on allowing districts, towns, and cities within the Province to use their district, town, and city budgets and other lawful income sources to support other regions of the Province in disaster prevention, control, and aftermath relief, implementing national target programs, social welfare tasks, and other necessary cases.

3. Allow Nghe An Province when determining the amount of supplementary balance from the central budget to the local budget not to include domestic revenue from mineral exploitation activities (excluding VAT and corporate income tax) and tax revenue from hydropower production facilities in the western region of Nghe An Province to invest in developing economic and social infrastructure in the western region of Nghe An Province.

4. Nghe An Province shall be allocated an additional 50% of the capital for public investment projects from the central budget supplemented with specific targets for localities according to the principles, criteria, and standards set forth in the Resolution of the Standing Committee of the National Assembly on the principles, criteria, and standards for allocating public investment capital from the state budget for the period 2026-2030 to invest in key projects on the provincial territory and develop economic and social infrastructure in the western region of Nghe An Province. The People's Council of Nghe An Province shall decide on the list of projects specified in this clause.

Article 4. On investment management

1. The People's Committee of Nghe An Province shall approve the investment proposal for construction and operation of industrial zone infrastructure projects; port construction and operation projects with a total investment capital of 2.3 trillion VND or more belonging to Class I ports.

The procedures and formalities for approving investment proposals as stipulated in this clause shall be carried out in accordance with the procedures and formalities for approving investment proposals for projects within the authority of the provincial people's committee to approve investment proposals according to the laws on investment. During the process of implementing the approval procedures, the People's Committee of Nghe An Province shall consider and decide on soliciting opinions from relevant ministries and sectors and deciding on the approval of investment proposals within its authority.

2. Between sessions of the People's Council, the Standing Body of the People's Council of Nghe An Province shall decide to adjust investment proposals for public investment projects classified as Group B and Group C as stipulated in the Public Investment Law and report to the People's Council of the Province at the nearest session. The procedures and formalities for adjusting investment proposals as stipulated in this clause shall be carried out in accordance with the procedures and formalities for adjusting investment proposals for projects within the authority of the provincial people's council to decide on the approval of investment proposals according to the laws on public investment.

3. Implementation of investment projects through public-private partnership (hereinafter referred to as PPP projects) is defined as follows:

a) In addition to the fields of investment through public-private partnership as stipulated in the Law on Public-Private Partnership, Nghe An Province may apply public-private partnership to investment projects in sports and culture fields;

b) The minimum total investment scale of PPP projects in the health, education-training, sports, and cultural fields shall be determined by the People's Council of Nghe An Province.

The procedures and formalities for implementing projects as stipulated in this point shall be carried out in accordance with the laws on public-private partnership and other related laws;

c) The People's Council of Nghe An Province may consider and decide to increase the proportion of state capital participation up to 70% of the total investment cost for PPP projects where land compensation costs account for more than 50% of the total project investment cost and the preliminary financial plan of the PPP project does not guarantee repayment capability; PPP projects in the sports and cultural fields; PPP projects implemented in the western region of Nghe An Province;

d) The Provincial People's Council of Nghe An Province shall specify the contents of the PPP project in the fields of sports and culture in the pre-feasibility study report, feasibility study report, and criteria for evaluating tender documents, and the PPP project contract.

4. The implementation of the Build-Transfer (BT) contract form shall be regulated as follows:

a) A BT contract is a contract concluded between the competent authority and the investor to construct infrastructure projects; after completing the project, the investor transfers the project to the competent authority and receives payment from state budget funds, proceeds from the auction of public assets, and land use rights auctions;

b) Nghe An Province may implement the BT contract form for investment projects in the fields of transportation, urban technical infrastructure, lighting systems, decorative electrical systems; parking lots; drainage and wastewater treatment; environmental pollution control on its territory. Payment to the investor as stipulated in point a of this clause must ensure transparency, economic and social efficiency, quality of the project, and prevent the loss of state capital and assets;

c) The authority, procedures, and processes for selecting investors to implement BT projects shall be carried out according to the regulations applicable to PPP projects under the laws on public-private partnership investment. The selection of investors for BT projects shall be conducted after the detailed design has been approved following the basic design. The People's Committee of Nghe An Province shall establish criteria for assessing the capacity, experience, technology, and financial status of investors implementing BT projects;

d) The authority, procedures, and processes for establishing, reviewing, approving, managing projects, investment costs, construction quality of projects using the BT contract form shall be carried out according to the regulations applicable to public investment projects under the laws on public investment and construction. A project can only be decided upon for investment when the funding source and the ability to balance funds have been determined. The total investment amount for a project using the BT contract form shall be determined similarly to a project funded by public investment according to the construction law; post-construction loan interest and reasonable profit shall be included in the total investment amount of the project;

đ) The Provincial People's Council of Nghe An Province decides to use provincial budget funds, allocate preparation investment funds, annual budget estimates, and public investment funds in the medium-term and annual investment plans of the province; based on the value and progress specified in the BT contract, it decides to use proceeds from the auction of public assets and land use rights to pay the investor after the completed and accepted independent operation of the project or project component has been audited; supervises the implementation to ensure compliance with the law;

e) The Government shall regulate post-construction loan interest, reasonable profit, payment methods, and settlement procedures for implementing investment projects using the BT contract form.

5. The separation of compensation, support, resettlement, and land clearance projects from public investment projects shall be regulated as follows:

a) The Provincial People's Council of Nghe An Province decides on the overall investment policy for projects of Group B scale in the fields of transportation and water conservancy according to the laws on public investment, and has the right to decide to separate the compensation, support, resettlement, and land clearance work into independent projects when approving the overall project investment policy; decides on the objectives, scale, total investment amount, funding structure, and location of the compensation, support, resettlement, and land clearance project at the decision on the overall project investment policy;

b) Based on the overall project investment policy, the Chairman of the People's Committee of Nghe An Province decides on the investment and adjustment of the compensation, support, resettlement, and land clearance project within the scope of the overall project's objectives, scale, total investment amount, funding structure, and location;

In cases where adjustments to the compensation, support, resettlement, and land clearance project result in factors requiring adjustments to the overall project investment policy, during intervals between sessions of the Provincial People's Council, the Standing Body of the Provincial People's Council of Nghe An shall adjust the overall project investment policy before the Chairman of the Provincial People's Committee adjusts the compensation, support, resettlement, and land clearance project and reports to the Provincial People's Council at the nearest session. Adjustments to the overall project investment policy and the compensation, support, resettlement, and land clearance project shall comply with the laws on public investment and other relevant laws;

c) The decision on the investment of the compensation, support, resettlement, and land clearance project serves as the basis for the competent authority to decide on allocating funds from the annual public investment plan for implementation, and also serves as the basis for the competent state agency to issue notices and decisions on land recovery;

d) The Provincial People's Council of Nghe An Province shall promulgate a list of public investment projects that implement the separation of compensation, support, resettlement, and land clearance projects from public investment projects as stipulated in this clause.

Article 5. On urban management and forest resources

1. The exploitation and development of urban land funds shall be regulated as follows:

The People's Council of Nghe An Province shall examine and decide on the location, boundaries, and area of land to be reclaimed for projects in adjacent areas that are in contact with traffic connection points and urban traffic routes within the province outside the red line according to the planning; local budget funds may be used for compensation, support, and resettlement for the reclaimed area in adjacent areas to serve resettlement, creating a land fund for auctioning land use rights to implement urban development, housing, commercial, and service projects.

The location, boundaries, and area of land to be reclaimed in adjacent areas as stipulated in this clause must be reflected in the planning and land use plan approved by the competent authority.

2. The use of funding for replanting forests when changing the purpose of using forests to other purposes shall be regulated as follows:

Allow Nghe An Province to retain and use the funding for replanting forests when changing the purpose of using forests to other purposes collected from projects serving economic, social, defense, and security development without conditions to replant forests and pay replanting forest fees into the Forest Protection and Development Fund of Nghe An Province to implement silvicultural measures such as natural regeneration promotion with supplementary planting or natural regeneration promotion. The People's Committee of Nghe An Province shall be responsible for the proper and effective use of this funding.

In cases where, after implementing silvicultural measures such as natural regeneration promotion with supplementary planting or natural regeneration promotion, the required replanting forest area has been ensured according to the law, any remaining funding (if any) shall be paid into the National Forest Protection and Development Fund.

Article 6. Organizational structure of local administrative authorities

1. The People's Committee of Nghe An Province shall have no more than five Deputy Chairpersons.

2. The organizational structure of the administrative authority of Vinh City under Nghe An Province shall be regulated as follows:

a) The People's Council of Vinh City shall establish three Committees, including: Legal Affairs Committee, Economic and Budget Committee, Culture and Social Committee. The People's Council of Vinh City shall have no more than two Deputy Chairpersons and no more than eight full-time representatives;

b) The People's Committee of Vinh City shall have no more than four Deputy Chairpersons.

Article 7. Implementation Organization

1. The Government shall have the following responsibilities:

a) Within their scope of duties and powers, promulgate legal normative documents in a timely manner according to their authority and organize the implementation of this Resolution; conduct a mid-term review of the implementation of the Resolution every three years and report to the National Assembly at the final session in 2027; conduct a final review of the implementation of the Resolution every five years and report to the National Assembly at the final session in 2029;

b) Direct relevant agencies to cooperate with Nghe An Province in administrative reform; study and shorten the time to handle issues not yet delegated to the Province;

c) Promptly issue mechanisms and policies according to their authority to amend and supplement relevant regulations to address emerging issues in the practical management and development of Nghe An Province.

2. The People's Council of Nghe An Province shall have the following responsibilities:

a) Issue the list, rates, and percentages of fees and charges as stipulated in point a, Clause 1, Article 3 of this Resolution; issue the list of projects as stipulated in Clause 4, Article 3 of this Resolution; issue the list and scale of projects as stipulated in point a, Clause 3, Article 4 of this Resolution; issue the list of public investment projects implementing the separation of compensation, support, and resettlement, land clearance procedures from public investment projects as stipulated in Clause 5, Article 4 of this Resolution; specify the fields of responsibility of the Committees of the People's Council of Vinh City as stipulated in point a, Clause 2, Article 6 of this Resolution.

b) Supervise the implementation of this Resolution according to the provisions of the law.

3. The People's Committee of Nghe An Province shall fulfill the tasks assigned in this Resolution, ensuring transparency and compliance with the provisions of the law.

4. The National Assembly, the Standing Committee of the National Assembly, the Vietnam Fatherland Front, the Ethnic Council, the Committees of the National Assembly, the Delegation of the National Assembly of Nghe An Province, and the National Assembly deputies, within their scope of duties and powers, shall supervise the implementation of this Resolution.

Article 8. Implementation clause

1. This Resolution shall take effect from January 1, 2025 and be implemented for five years.

2. For projects falling under the provisions of Clause 1, Article 4 of this Resolution which have valid files received before January 1, 2025 but have not yet been resolved, they shall continue to be resolved according to the laws on investment; if the investor requests to proceed with investment procedures according to this Resolution, they shall be resolved according to the provisions of this Resolution.

3. After this Resolution ceases to be effective, policies, projects, and other subjects that have been decided to be implemented according to the mechanisms and policies prescribed in this Resolution and have not yet concluded shall continue to be implemented according to the decisions already issued.

4. The western region of Nghe An Province as defined in this Resolution includes districts and towns under Nghe An Province, namely: Ky Son, Tuong Duong, Con Cuong, Quy Chau, Que Phong, Quy Hop, Tan Ky, Nghia Dan, Thai Hoa, Thanh Chuong, and Anh Son.

5. For investment projects applying the BT contract type that have signed contracts according to the mechanisms and policies stipulated in Clause 3 and Clause 4, Article 4 of this Resolution, they shall continue to be implemented after this Resolution ceases to be effective until the end of the contract period.

6. In case there are different provisions on the same matter between this Resolution and other laws or resolutions of the National Assembly, the provisions of this Resolution shall apply. If another legal normative document provides a more favorable or advantageous mechanism or policy compared to this Resolution, the application thereof shall be decided by the People's Council of Nghe An Province./.

This Resolution was adopted by the National Assembly of the Socialist Republic of Vietnam, the 15th term, the seventh session, on June 26, 2024.