Circular No. 145/1998/TT-BTC guides the implementation of Decree No. 22/1998/NĐ-CP dated April 24, 1998 of the Government on compensation for losses when the State requisitions land for national defense, security, national interests, and public interest purposes.

CIRCULAR

ISSUED BY THE MINISTRY OF FINANCE DECREE NO. 145/1998/TT-BTC ON NOVEMBER 4, 1998 GUIDING THE IMPLEMENTATION OF GOVERNMENT DECREE NO. 22/1998/NĐ-CP OF APRIL 24, 1998
ON COMPENSATING DAMAGE WHEN THE STATE ACQUIRES LAND FOR USE IN NATIONAL DEFENSE, SECURITY, NATIONAL INTERESTS, AND PUBLIC INTERESTS
TRANSFER OF LAND FOR NATIONAL DEFENSE, SECURITY, NATIONAL INTERESTS, AND PUBLIC INTEREST
COMPENSATION PRICE FOR DAMAGE AND DAMAGE CALCULATION PRICE:

BASED ON GOVERNMENT DECREE NO. 22/1998/NĐ-CP OF APRIL 24, 1998 ON COMPENSATING DAMAGE WHEN THE STATE ACQUIRES LAND FOR USE IN NATIONAL DEFENSE, SECURITY, NATIONAL INTERESTS, AND PUBLIC INTERESTS; AND CONSIDERING THE OPINIONS OF THE MINISTRIES, GOVERNMENT-LEVEL AGENCIES, AND GOVERNMENT-RELATED AGENCIES, INCLUDING THE MINISTRY OF CONSTRUCTION, THE MINISTRY OF AGRICULTURE AND RURAL DEVELOPMENT, THE GENERAL DEPARTMENT OF LAND ADMINISTRATION, THE GOVERNMENT MATERIALS AND PRICES BOARD, THE PROVINCE AND CITY PEOPLE'S COMMITTEES UNDER THE CENTRAL GOVERNMENT, THE MINISTRY OF FINANCE GUIDES AS FOLLOWS:

PART A
METHODS FOR DETERMINING THE COEFFICIENT K TO DETERMINE THE PRICE OF LAND FOR COMPENSATING DAMAGE
DAMAGE COMPENSATION.

I. SCOPE AND OBJECTS OF APPLICATION, BASIS FOR DETERMINING THE COEFFICIENT K AND THE PRICE OF LAND FOR COMPENSATING DAMAGE:
AND THE LAND PRICE FOR COMPENSATION:

1- The Coefficient K, Scope and Objects of Application:

1.1- The Coefficient K stipulated in Article 8 of Government Decree No. 22/1998/NĐ-CP of April 24, 1998 is the ratio coefficient between the land price calculated based on its earning capacity or the actual land transfer price with the land price determined by the Provincial People's Committee (hereinafter referred to as the Provincial People's Committee).

The Coefficient K may be greater than 1 or less than 1 depending on the difference between the land price determined by the Provincial People's Committee and the land price calculated based on its earning capacity or the actual land transfer price.

1.2- The Coefficient K in this Circular is applied to determine the land price for compensating damage to those whose land is acquired according to Article 6 and calculating the amount of money to be paid into the State budget according to Article 14 of Government Decree No. 22/1998/NĐ-CP of April 24, 1998 on compensating damage when the State acquires land for use in national defense, security, national interests, and public interests. In cases where those whose land is acquired are only compensated for investment costs in the land, the actual value of these costs shall be calculated based on the prices of such costs at the time of land acquisition.

1.3- Organizations and individuals who have been granted land use rights or leased land by the State shall be responsible for compensating for land damage according to the land price calculated based on the guidance provided in this Circular for the entire area of land granted or leased.

2- Basis for Determining the Coefficient K:

The Coefficient K to determine the land price for compensating damage shall be decided by the Chairman of the Provincial People's Committee for each project upon the proposal of the Director of the Department of Finance and Prices, with the participation of relevant sectors; the basis for determination includes:

2.1- Land prices set by the Provincial People's Committee based on the framework of land prices issued according to Government Decree No. 87/CP of August 17, 1994, guided by the Joint Circular No. 94TT/LB of November 14, 1994 of the Ministry of Finance, the Ministry of Construction, the General Department of Land Administration, and the Government Materials and Prices Board, which has included the Coefficient K stipulated in Government Decree No. 17/1998/NĐ-CP of March 21, 1998 and Decision No. 302/TTg of May 13, 1996 of the Prime Minister.

2.2- Land prices calculated based on earning capacity or actual land transfer prices in the locality. Actual land transfer prices are the average land transfer prices at each location, each type of street for urban land, and each category of land in each commune for agricultural land and rural residential land at the time of land acquisition in the locality.

In cases where the earning capacity of the land and the land transfer prices are stable (fluctuations within 15%), the Provincial People's Committee may set the Coefficient K once to apply for compensating damage for multiple projects during that stable period.

3- Price of land for compensating damage:

The price of land for compensating damage is determined based on the land price issued by the Provincial People's Committee according to the Government's regulations multiplied by the Coefficient K:

- For agricultural land, forestry land, salt-making land, and land with water surfaces for aquaculture, the Coefficient K is mainly determined based on the ratio between the land price calculated based on earning capacity and the land price set by the Provincial People's Committee. The Coefficient K will only be determined based on the ratio between the actual land transfer price and the land price set by the Provincial People's Committee in places where land transfers are common.

- For other types of land, the Coefficient K is determined based on the ratio between the actual land transfer price and the land price set by the Provincial People's Committee.

II. METHODS FOR DETERMINING THE COEFFICIENT K TO DETERMINE THE PRICE OF LAND FOR COMPENSATING DAMAGE.
COMPENSATION FOR DAMAGE.

1- The Coefficient K is determined based on the ratio between the land price calculated based on earning capacity and the land price set by the Provincial People's Committee.

Step 1: Determine the value of production, reasonable costs, and income.

- The value of production for determining the price of land compensation for agricultural land, forestry land, salt-making land, and land with water surfaces for aquaculture is the average production value obtained in a year per unit area of each category of land under normal production conditions and average farming capabilities in the locality.

- Reasonable costs include all material and labor costs converted into monetary terms for a unit area of each category of land, calculated based on the average cost level in the locality at the time of compensation. The specific reasonable costs of each type of land and each type of crop and salt-making land are proposed by the Department of Finance and Prices for the Provincial People's Committee to decide as the basis for determining the land price based on earning capacity.

- Income is the difference between the average production value obtained in a year and the reasonable costs on the same unit area of each category of land.

Agricultural product prices, forest product prices, aquatic product prices, material costs, and labor costs to determine the value of production, costs, and income are the average prices of agricultural products, forest products, aquatic products, material costs, and labor costs in the local market at the time of determining the Coefficient K.

Step 2: Determine the land price based on earning capacity.

Income

Land price based on earning capacity =

Interest rate on demand deposits at the State Bank

(%/year) without term.

Step 3: Determine the Coefficient K to determine the price of land for compensating damage.

Land price based on earning capacity

Coefficient K =

Land price issued by the Provincial People's Committee

according to the framework price set by the Government

Example: In commune A, there is 1 hectare of Class I agricultural land, which yields three crops annually (spring rice, summer rice, winter rice). The following survey data is available:

- Grain yield, vegetables, and soybeans: 18 tons;

- Price of rice: 2000 dong/kg;

- Reasonable cost: 60%;

- The price of 1 hectare of Class I agricultural land as prescribed by the provincial People's Committee is 193,000,000 dong.

- Interest rate for non-term deposits at the State Bank is 0.5%/month (6%/year).

Determine the coefficient K to value compensation for 1 hectare of Class I agricultural land as follows:

Step 1: Determine the value of production, reasonable costs, and income.

- Value of production = 18 tons x 2000 dong/kg = 36,000,000 dong

- Reasonable cost = 18 tons x 60% x 2000 dong/kg = 21,600,000 dong

- Income = value of production - reasonable cost

= 36,000,000 - 21,000,000 = 14,400,000 dong

Step 2: Determine the land price based on its earning capacity:

14,400,000 dong

= 240,000,000 dong

6%

Step 3: Determine the coefficient K to value the land compensation:

240,000,000 dong

Coefficient K = = 1.2

193,000,000 dong

Therefore, the coefficient K for Class I agricultural land is: 1.2

2- The coefficient K is determined according to the ratio relationship between the actual transfer price of land use rights with the land price prescribed by the provincial People's Committee.

Step 1: Collect and process information and data:

- Collect the actual transfer price of land use rights in the locality;

- Prepare a summary table reflecting the actual land transfer prices, arranged by time and location.

Step 2: Determine the actual transfer price of land use rights of the land being expropriated.

- For urban land, comparisons must be made: type of street, urban infrastructure conditions, land location, size, area, shape, and land use capability, etc.

- For residential land in suburban areas, transportation hubs, main traffic routes, commercial zones, tourist areas, and industrial zones not within urban areas, comparisons must be made: type of land, location, purpose of use, infrastructure conditions, and earning capacity, etc.

Step 3: Determine the coefficient K using the following formula:

Actual transfer price of land use rights in the locality

Coefficient K =

Land price issued by the provincial People's Committee according to

the land price framework prescribed by the Government

The coefficient K, actual transfer price of land use rights, and the land price issued by the provincial People's Committee in the above formula are calculated for each position of each type of street in each type of urban area or for each category of land, including agricultural land, forestry land, salt-making land, and rural residential land.

3. Determining the coefficient K and compensation land price for certain special cases:

3.1- Agricultural land, forestry land, salt-making land, and land with water bodies for aquaculture in places where the transfer of land use rights has become widespread and a transfer price has been established can determine the coefficient K using one of the two methods above, but the compensation land price is calculated by adding the maximum amount equal to 60% of the difference between the land price calculated based on the transfer price and the compensation price calculated based on earning capacity to the compensation price calculated based on earning capacity.

3.2- Land in newly urbanized areas (previously rural before 1993) or residential land of households with large plots, including agricultural land and forestry land, shall be compensated according to the permitted residential land area approved by competent state authorities. The remaining area shall be compensated according to the agricultural and forestry land price and shall be added with the maximum amount equal to 30% of the difference between the compensation price for the residential land plot and the compensation price for agricultural land.

3.3- Agricultural land within urban areas shall be compensated according to the agricultural land price and shall be added with the maximum amount equal to 30% of the difference between the compensation price for urban residential land adjacent to it and the compensation price for agricultural land.

PART B
CONTENT AND MANAGEMENT REGIME OF EXPENSES
SERVING THE TASK OF COMPENSATION AND CLEARANCE

I/. CONTENT OF EXPENSES

Expenses for organizing compensation and clearance work include:

1- Expenses for establishing the compensation and clearance committee and other related preparatory works.

2- Expenses for surveys and investigations on economic and social conditions, current land status, and assets within the project scope.

3- Expenses for inventory and assessment of actual losses of land and assets, including: setting boundary stakes to define the boundaries of land to be reclaimed, preparing clearance plans, measuring land area, inventorying the quantity and value of houses, structures, crops, and other assets damaged when the state reclaims land from organizations, households, and individuals affected; distributing declaration forms and guiding affected parties to declare; checking and comparing declarations with actual investigation results to determine the extent of damage for each specific case; calculating the value of losses from land, houses, structures, crops, and other assets, etc.

4- Expenses for formulating compensation and clearance plans, including: formulating compensation plans from the initial calculation of compensation indicators to plan formulation, participating in compensation plans, reviewing compensation plans, approving compensation plans, etc.

5- Inspecting, guiding the implementation of compensation policies, resolving disputes in compensation work, and organizing the payment of compensation.

6- Renting office space and equipment for the Compensation Committee and the Review Committee for projects with large land usage scales that cannot utilize existing facilities of member agencies.

7- Printing and office supplies expenses.

8- Other expenses related to compensation and clearance for the project.

II/. LEVEL OF EXPENSES

Depending on the nature and characteristics of each project, the Chairman of the Compensation Committee agrees with the project owner on the level of expenses for each specific activity to be included in the budget, as follows:

1- For expenses that have standard rates set by authorized state agencies; for example, land boundary demarcation and asset measurement expenses follow the current expense standards of the National Land Administration and the Ministry of Construction, etc., travel expenses, report fees for training seminars, conference fees, etc., according to the current regulations stipulated by the Ministry of Finance.

2- For expenses without set standards, such as investigation, on-site survey, compensation plan preparation for land clearance, participation in compensation plans, review and approval of compensation plans, etc., depending on the characteristics of each project; based on actual conditions in each locality, the Chairman of the Compensation and Land Clearance Council shall negotiate with the project owner to decide for each project or calculate according to unit prices determined by the Chairman of the Provincial People's Committee.

For officials participating in the Compensation Council, the Review Council for Compensation Plans for Land Clearance, depending on the characteristics of each project, they may be reimbursed according to specific expense standards for each task or according to the part-time allowance system. If the officials are from villages or wards who have already received allowances for village or ward officials, they will also receive additional responsibility allowances under the part-time allowance system. For officials participating in land clearance work who do not receive salaries or subsidies from the state budget, they will be reimbursed according to the labor contract system.

3- Expenses for printing materials, office supplies, fuel, logistics services, etc., shall be calculated based on the actual needs of each project.

In cases where the Compensation and Land Clearance Council must rent and establish an office for work, expenses for renting offices, working equipment, etc., shall be calculated according to local actual unit prices.

III. ESTABLISHING THE EXPENSE BUDGET AND SETTLING ACCOUNTS

1- Upon receiving a decision to reclaim land, the project owner shall be responsible for establishing a budget to ensure funding for the implementation of compensation and land clearance work. This portion of the budget is included in the total compensation and land clearance budget of the project. The project owner shall negotiate with the Chairman of the Compensation and Land Clearance Council to report to the Director of the Department of Finance and Prices for examination and review. If the project is funded by the State Budget or approved by the Compensation Council, if the project is not funded by the State Budget, the project owner shall compile this into the compensation plan to be submitted to the competent authority for approval, but the maximum amount shall not exceed the budgeted expenses for compensation in the approved project.

2- In cases where the compensation and land clearance work is entrusted to a business entity, the business entity shall establish a budget and negotiate with the project owner to report to the Director of the Department of Finance and Prices for examination and review, to be compiled into the compensation and land clearance plan to be submitted to the competent authority for approval, but the maximum amount shall not exceed the budgeted expenses for compensation in the approved project.

3- Based on the approved budget and the requirements for implementing compensation and land clearance tasks, the project owner shall directly allocate funds for any arising expenses. In cases where a compensation and land clearance plan has not been established, a budget has not been prepared, but there is a need for expenses, the project owner may temporarily advance funds for specific purposes, but the temporary advance amount before the budget is approved shall not exceed 30% of the budgeted expenses for this work in the approved project.

4- Within thirty days after completing the compensation and land clearance work, the project owner must submit a final settlement report on the compensation and land clearance costs of the project.

The final settlement report must accurately reflect the contents stipulated in this Circular and other related documents.

PART C
ESTABLISHING THE COMPENSATION PLAN AND PARTICIPATING IN THE PLAN
COMPENSATION FOR PROJECTS FUNDED BY
THE CENTRAL GOVERNMENT BUDGET

I. ESTABLISHING THE COMPENSATION PLAN FOR DAMAGE AND LAND CLEARANCE:

1- The project owner, as a member of the Compensation and Land Clearance Council, shall be responsible for:

- Preparing the compensation plan for damage and land clearance and providing necessary documents for the Compensation and Land Clearance Council to consider;

- Reporting to the Review Council for Compensation Plans for Land Clearance for examination and review, based on which to submit to the Provincial People's Committee for approval or to negotiate with the Review Council for approval by the District People's Committee.

2- The compensation plan shall be divided into two parts:

Part I: Determining the compensation amount that the project owner must pay includes:

- Compensation for land damage covering the entire area of land expropriated and handed over to the project owner for use;

- Compensation for property damage including infrastructure technical works and temporary assets borrowed for use during construction;

- Living and production subsidies as stipulated in Article 25 and Article 26 of Decree No. 22/1998/NĐ-CP dated April 24, 1998 of the Government;

- Funding to ensure the implementation of compensation and land clearance as provided for in Article 27 of Decree No. 22/1998/NĐ-CP dated April 24, 1998 of the Government;

Part II: Determining the compensation and subsidies for each land user whose land is being expropriated; in cases where communal land users of communes have their land expropriated, the investment cost paid to them shall not be included in the compensation plan but shall be implemented according to Clause 4, Article 9 of Decree No. 22/1998/NĐ-CP dated April 24, 1998 of the Government;

II- PARTICIPATION IN THE COMPENSATION PLAN FOR PROJECTS FUNDED BY THE STATE BUDGET OF THE CENTRAL GOVERNMENT:
Clause 6, Article 34 of Decree No. 22/1998/NĐ-CP dated February 24, 1998 of the Government provides: "... For projects funded by the State Budget of the Central Government; before being approved by the People's Committee of the province or centrally-administered city, the Project Leader must report the compensation plan to the Ministry of Finance for comments." And Clause 9 of this Article provides: "For projects involving multiple localities, before being approved by the People's Committee of the province or centrally-administered city, the Project Leader must report the compensation plan to the Ministry of Finance for unified resolution." This matter is carried out as follows:

1- The Ministry of Finance directs participation in the compensation plan for damages for:

- Projects reconstructing, upgrading, or building new national highways; Projects investing in other infrastructure construction works belonging to Group A;

- Water conservancy projects along routes belonging to Group B where land acquisition and compensation involve two provinces or cities and above.

2- Remaining projects are managed by Ministries, agencies at the level of ministries, government agencies, central organizations which are the main management bodies of the projects (investment managers) responsible for participating in the compensation plan.

3- The project leader must report to the main management body of the project and the agency participating in the compensation plan on the following contents:

- Determination of factor K for land valuation, valuation of other assets to calculate compensation damages as shown in Part I of the compensation plan;

- Implementation of the compensation and support policy of the project as shown in Part I of the compensation plan.

The Ministry of Finance or the main management body of the project has the responsibility to provide comments in writing within fifteen days after receiving the report from the Project Leader.

4- The Chairman of the Provincial People's Committee is responsible for approving the compensation plan for land clearance or the Chairman of the Provincial People's Committee may delegate approval of the compensation plan for land clearance to the district level depending on the nature, characteristics, and scale of each work, in this case, the Chairman of the District People's Committee is responsible for his own approval.

5- Review of the compensation plan for damages:

5.1- In cases where the compensation committee for land clearance is established at the district level and the Chairman of the District People's Committee approves the compensation plan, before submitting to the Chairman of the District People's Committee for approval, the compensation plan must be reviewed by the provincial review committee.

5.2- In cases where the compensation committee is established at the district level but the Chairman of the Provincial People's Committee approves the compensation plan, it shall be implemented according to Clause 2, Article 32 of Decree No. 22/1998/NĐ-CP dated April 24, 1998 of the Government.

5.3- In cases where the compensation committee is established at the provincial level; based on the approval of the compensation committee, the Project Leader submits to the review committee for examination and review as the basis for submission to the Chairman of the Provincial People's Committee for approval.

ON SOME OTHER CONTENTS

PART D
1. Regarding the conditions for compensation for land damage as stipulated in Article 6:

Point đ, Clause 6, Article 6 of Decree No. 22/1998/NĐ-CP dated April 24, 1998 of the Government stipulates: "Having purchase and sale documents for houses and attached assets before October 15, 1993." In this case, confirmation from the People's Committee of the commune, ward, or town is required.

2. Regarding compensation for damage to houses and architectural structures classified as Class IV:

Clause 4, Article 17 of Decree No. 22/1998/NĐ-CP dated April 24, 1998 of the Government stipulates: "For houses and structures that can be dismantled and moved to a new location for installation, only the costs of dismantling, transportation, installation, and losses incurred during the process will be compensated." However, in accordance with Clause 1 of this Article, houses classified as Class IV and temporary houses will be fully compensated at the new construction price in the locality.

3. Regarding compensation for damage to tenants of state-owned housing:

Tenants of state-owned housing are not entitled to compensation for housing damage but are entitled to compensation for self-improvement, repair, and upgrade costs; they are allowed to purchase or rent state-owned housing elsewhere with an area not less than the previous residence at the government-prescribed prices for housing sales and rentals, and are compensated for relocation expenses. If the tenant does not buy or continue renting state-owned housing, they will be supported financially to establish a new residence, the support amount equaling 60% of the land value and 60% of the value of the rented house as stipulated in Clause 5, Article 25 of Decree No. 22/1998/NĐ-CP dated April 24, 1998 of the Government.

4- Compensation for enterprises: enterprises whose land is expropriated by the State, the compensation is carried out as follows:

4.1- Compensation for land damage:

a. Implemented according to Article 13 of Decree No. 22/1998/NĐ-CP dated April 24, 1998 of the Government for cases where when the State grants land or leases land, the enterprise must pay land use fees in cash without origin from the State budget.

a. Pursuant to Article 13 of Decree 22/1998/NĐ-CP dated April 24, 1998 of the Government, where the State transfers land or leases land, enterprises must pay the land use fee in non-budgetary funds.

b. In cases where enterprises do not have to pay land use fees or compensate losses with funds from the state budget when being granted or leased land, upon land recovery, they shall not be compensated for land losses but shall be compensated for investment costs into the land when being granted or leased land, provided that these costs are not derived from the state budget. In this case, after being granted or leased new land following land recovery, compensation for the newly granted or leased land shall be paid by the project owner using the recovered land, but the maximum compensation level shall only equal the loss suffered by the enterprise due to the land recovery.

4.2- Compensation for property damage: Enterprises are entitled to compensation for property damage and relocation expenses for production and business facilities if relocation is required. Relocation expenses are compensated based on actual costs incurred according to local market unit prices.

4.3- Regarding subsidies: The compensation for the cessation allowance for enterprise staff affected by land recovery, who must cease production and business operations until normal activities resume at the new location, shall be implemented in accordance with Clause 2, Article 25 of Decree No. 22/1998/NĐ-CP dated April 24, 1998 of the Government, with a maximum duration of one year.

5- Compensation for administrative and public service units:

- Regarding land: Implementation shall follow the provisions of Article 13 of Decree No. 22/1998/NĐ-CP dated April 24, 1998 of the Government. If, after land recovery, the unit is granted new land, compensation for the newly allocated land area shall be paid by the project owner using the recovered land, but the maximum compensation level shall only equal the loss suffered by the unit due to the land recovery.

- Regarding property: Compensation for property damage shall be carried out similarly to that for enterprises.

6- For buildings and other architectural structures without construction permits, which were constructed in rural areas that have now become urban areas, when the State recovers the land, compensation shall be made in accordance with Point a, Clause 2, Article 18 of Decree No. 22/1998/NĐ-CP dated April 24, 1998 of the Government.

7- Compensation for long-term crops: The level of compensation for long-term crops shall be calculated based on the current value of the orchard (excluding land value) at the time of land recovery according to the local market price, determined by the provincial People's Committee to be consistent with the local market conditions at the time of land recovery.

Long-term crops include industrial trees, fruit trees, timber trees, and other forest trees as stipulated in Clause 1, Article 2 of Decree No. 74/CP dated October 25, 1993 of the Government detailing the implementation of the Law on Land Tax for Agricultural Land.

8- Regarding small and simple projects: Small and simple projects refer to projects with a land recovery area of less than 0.5 hectares if it is agricultural or forestry land, or the recovery of residential land of fewer than 10 households within a village, commune, ward, or town, where the project owner has agreed with the land owners on compensation for losses. In such cases, there is no need to establish a committee for compensation and clearance. The project owner is responsible for reporting the compensation plan to the district, county, town, or provincial city People's Committee for approval.

9- For ongoing compensation projects:

For ongoing projects after the effective date of Decree No. 22/1998/NĐ-CP dated April 24, 1998 of the Government:

- For projects that have approved compensation plans and are currently implementing compensation payments, compensation shall be carried out according to the approved plan;

- For projects that have approved compensation plans but have not yet implemented compensation payments, the Chairman of the provincial People's Committee shall decide on the compensation plan based on the actual situation.

10. The amount of compensation for land losses paid to the state budget in accordance with Article 14 of Decree No. 22/1998/NĐ-CP shall be retained entirely for the local budget. The provincial People's Committee shall determine the proportion (%) to be adjusted for various levels of the local budget. This revenue, when deposited into the state budget, shall be recorded under the corresponding Chapter; Type 10, Clause 5, Section 029 - Subsection 15 of the current state budget classification.

PART E
IMPLEMENTATION

1- Provincial People's Committees shall direct the Department of Finance - Price Control to take the lead in determining land prices based on the guidelines provided in this Circular, serving as the basis for calculating land prices for compensation purposes.

2- The Department of Finance - Price Control shall conduct surveys in the locality to:

- Determine the profitability of agricultural land by each category of annual crop land and perennial crop land in all specific regions up to each commune within the locality to serve as necessary sources for determining the coefficient K;

- Collect information on actual land transfer prices in the locality by each location and type of street in cities, towns, communes, and villages; based on this, compile a comprehensive table to track changes in land prices in the local market.

3- Upon a decision to recover land, the Department of Finance - Price Control shall take the lead in coordinating with relevant departments, project owners, and representatives of land owners to determine the coefficient K for calculating the land compensation price and notify the project owner before submitting to the provincial People's Committee for approval. The project owner is responsible for reporting and seeking comments from the competent ministry or agency overseeing the project, and the Ministry of Finance (State Asset Management Department) for projects funded by central government budgets, where the Ministry of Finance is responsible for participating in the compensation plan.

This Circular shall take effect fifteen days after its issuance. During implementation, any issues encountered should be reported to the Ministry of Finance (State Asset Management Department) by central ministries and agencies, provinces, and cities for timely resolution.