Decree No. 168/2003/NĐ-CP on sources of finance and management and use of sources of finance for road management and maintenance

 DECREE

Regulations on sources of finance and management, utilization of sources of finance for road management and maintenance

THE GOVERNMENT

Pursuant to the Law on Organization of the Government dated December 25, 2001;
WHEREAS, the Road Traffic Law dated June 29, 2001;
Pursuant to the State Budget Law dated December 16, 2002;
Pursuant to the Fees and Charges Ordinance dated August 28, 2001;
At the proposal of the Minister of Transport,

DECREE

PART I

GENERAL PROVISIONS

Article 1. This Decree stipulates on sources of finance and management, utilization of sources of finance for road management and maintenance work.

Article 2. Domestic and foreign organizations, individuals involved in activities and contributions to form sources of finance, manage and utilize sources of finance for road management and maintenance work must comply with the provisions of this Decree and relevant laws.

Article 3.

Sources of finance for road management and maintenance must be fully and stably guaranteed to manage, maintain, protect the road infrastructure, ensuring smooth, safe, and convenient road traffic.

Sources of finance for road management and maintenance can only be used for tasks and activities related to road management and maintenance.

Article 4. Sources of finance guaranteeing road management and maintenance are divided as follows:

Sources of finance for managing and maintaining the national highway system are allocated from the central budget and other funds as prescribed by law.

Sources of finance for managing and maintaining provincial roads, urban roads, district roads, commune roads (collectively referred to as local road systems) are allocated from local budgets and other funds as prescribed by law.

Sources of finance for managing and maintaining dedicated roads, roads funded from non-state budget sources, are the responsibility of the investors during exploitation and use according to the law.

Chapter II

SOURCES OF FINANCE FOR ROAD MANAGEMENT AND MAINTENANCE

Article 5. Sources of finance (referred to as capital) for road management and maintenance are formed from the following sources:

1. State budget allocation.

2. Revenue from road usage fees.

3. Capital of the investor for commercial roads.

4. Contributions and mobilization from organizations and individuals.

5. Other lawful sources of capital.

The Ministry of Transport shall coordinate with the Ministry of Finance to establish mechanisms to generate capital for managing and maintaining the national highway system, to be submitted to the Prime Minister for decision.

Provincial People's Committees shall establish and submit mechanisms to generate capital for managing and maintaining local road systems to the Provincial People's Councils for promulgation.

Article 6. Annual allocation of capital for road management and maintenance.

Annually, based on the requirements for managing and maintaining the national highway system, the Ministry of Transport shall prepare the budget expenditure plan and coordinate with the Ministry of Finance to allocate capital for managing and maintaining the national highway system; based on the requirements for managing and maintaining local road systems, the Department of Transport (Department of Transport and Public Works) shall prepare the budget expenditure plan and coordinate with the Department of Finance to allocate capital for managing and maintaining local road systems in accordance with the State Budget Law.

Chapter III

MANAGEMENT AND UTILIZATION OF CAPITAL FOR ROAD MANAGEMENT AND MAINTENANCE

Article 7. Capital for road management and maintenance shall be used for the following purposes:

1. State management activities and services in road traffic, including: monitoring the technical condition and managing road construction projects; organizing road traffic; inspecting and supervising the protection of road infrastructure; activities of vehicle weight control stations, road usage fee collection stations; activities of ferry terminals and pontoon bridges with insufficient revenue to cover regular expenses; ensuring spare materials, equipment, and means for road traffic assurance; other state management and service activities in road traffic approved by the Prime Minister.

2. Road maintenance work, including:

a) Regular maintenance of roads;

b) Periodic repairs (medium and major repairs) of roads;

c) Emergency repairs of roads, remedying consequences of natural disasters or other causes.

Article 8. Plan for using, allocating, settling accounts, and finalizing accounts of capital for road management and maintenance.

Annually, based on the budget estimates assigned by the competent authority, the Ministry of Transport allocates capital for managing and maintaining the national highway system; the Department of Transport (or Department of Transport and Public Works) allocates capital for managing and maintaining local road systems.

Management, allocation, settlement of accounts, and finalization of accounts of capital for road management and maintenance shall be carried out in accordance with current regulations.

Article 9. Inspection, supervision, commendation, and handling of violations.

1. The Ministry of Transport, the Department of Transport (Department of Transport and Public Works) shall be responsible for coordinating with the financial authorities at the same level to conduct regular and spot inspections of the establishment, management, and utilization of capital for road management and maintenance at relevant units.

2. Inspection, commendation, and handling of violations in the management and utilization of capital for road management and maintenance shall be carried out in accordance with the State Budget Law.

Chapter IV

IMPLEMENTING PROVISIONS

Article 10. This Decree takes effect from January 1, 2004. Previous regulations contrary to this Decree are abolished.

Article 11. The Ministry of Transport shall take the lead and coordinate with the Ministry of Finance to guide the implementation of this Decree.

Article 12. The Minister of Transport, the Minister of Finance, the Chairmen of the People's Committees of provinces and centrally-administered cities, and the Heads of organizations, enterprises, and individuals related to road management and maintenance work are responsible for implementing this Decree.