Circular No. 231/2012/TT-BTC on the management, settlement, and finalization of investment capital for projects using government bond funds during the period 2012-2015.

CIRCULAR

Regulations on management, payment, and settlement of investment capital for projects using government bond funds for the period 2012-2015 Using government bond funds for the period 2012-2015

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Pursuant to the State Budget Law No. 01/2002/QH11 dated December 16, 2002; Government Decree No. 60/2003/NĐ-CP dated June 6, 2003 detailing and guiding the implementation of the State Budget Law;

Pursuant to the Construction Law dated November 26, 2003; Government Decrees: No. 12/2009/NĐ-CP dated February 12, 2009 on project management for construction works, No. 83/2009/NĐ-CP dated September 15, 2009 amending and supplementing certain articles of Government Decree No. 12/2009/NĐ-CP on project management for construction works, No. 85/2009/NĐ-CP dated October 15, 2009 guiding the implementation of the Bidding Law and selection of contractors under the Construction Law, No. 112/2009/NĐ-CP dated December 14, 2009 on management of construction work investment costs, No. 48/2010/NĐ-CP dated May 7, 2010 on contracts in construction activities;

Pursuant to the Resolutions of the National Assembly: No. 12/2011/QH13 dated November 9, 2011 on the plan for government bond funds for the period 2011-2015, No. 28/2012/QH13 dated June 21, 2012 supplementing some projects using government bond funds for the period 2011-2015; Resolutions of the Standing Committee of the National Assembly: No. 473/NQ-UBTVQH13 dated March 27, 2012 on the allocation plan for government bond funds for the period 2011-2015, No. 495/NQ-UBTVQH13 dated May 18, 2012 on the allocation plan of VND 5,500 billion government bond funds for the period 2011-2015 for projects in the water resources sector;

Pursuant to the Investment and Construction Management Regulations issued together with Government Decrees: No. 52/1999/NĐ-CP dated July 8, 1999, No. 12/2000/NĐ-CP dated May 5, 2000, No. 07/2003/NĐ-CP dated January 30, 2003;

Pursuant to the Decree No. 118/2008/NĐ-CP dated November 27, 2008 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

Pursuant to the Prime Minister's Decisions: No. 368/QĐ-TTg dated April 3, 2012 on the allocation of government bond funds for the period 2012-2015 and for 2012; No. 602/QĐ-TTg dated May 24, 2012; No. 699/QĐ-TTg dated June 9, 2012; No. 1515/QĐ-TTg dated October 15, 2012 and No. 1903/QĐ-TTg dated December 20, 2012 on additional allocation of government bond funds for the period 2012-2015 and for 2012; No. 1790/QĐ-TTg dated November 29, 2012 on payment of government bond funds for the period 2012-2015.

At the proposal of the Director of the Investment Department;

The Minister of Finance issues this Circular regulating management, payment, and settlement of investment capital for projects using government bond funds for the period 2012-2015.

Part I

GENERAL PROVISIONS

Article 1. Scope of Regulation and Applicability

Article 1. This Circular regulates management, payment, and settlement of investment capital for projects using government bond funds for the period 2012-2015.

2. This Circular does not apply to:

a) Projects for infrastructure construction in economically disadvantaged districts according to Resolution 30a/2008/NQ-CP of the Government on the Program for Rapid and Sustainable Poverty Reduction in 61 disadvantaged districts using government bond funds.

b) Projects for compensation, support, and resettlement for the Son La Hydropower Project.

The subjects to which this Circular applies are agencies, organizations, and individuals related to the management, payment, and settlement of investment capital for projects using government bond funds for the period 2012-2015.

Article 2. Principles of management of government bond funds

Clause 1. Projects using government bond funds must be managed in accordance with current regulations of the State on investment and construction management, Resolutions of the National Assembly and the Standing Committee of the National Assembly on the plan for government bond funds for the period 2011-2015 and annual plans, and decisions of the Prime Minister on the allocation of government bond funds for the period 2012-2015 and annually.

Clause 2. Ensuring proper use, economy, and effectiveness.

Article 3. Government Bond Capital Supervision and Payment Agency

1. The State Treasury shall supervise and pay capital for projects managed by Ministries and People's Committees of provinces and centrally governed cities (hereinafter referred to as provincial People's Committees).

2. The Ministry of National Defense shall supervise and pay capital for projects and works with state secrets according to Decree No. 71/2005/NĐ-CP dated June 6, 2005 of the Government on Management of Special Construction Projects.

Part II

 SPECIFIC PROVISIONS

Article 4. Conditions and Principles for Allocating Annual Detailed Government Bond Capital Plans to Projects

To serve management and supervision, payment of government bond capital, Ministries and provincial People's Committees shall allocate detailed annual government bond capital plans to each project, ensuring the following conditions and principles:

1. Conditions for Allocation of Capital Plan:

a) For transportation and irrigation projects; health projects; student dormitories:

- Belonging to the list of projects and government bond capital plan for the 2012-2015 period according to Prime Minister's Decisions No. 368/QĐ-TTg dated April 3, 2012, No. 602/QĐ-TTg dated May 24, 2012, No. 699/QĐ-TTg dated June 9, 2012, No. 1515/QĐ-TTg dated October 15, 2012, No. 1903/QĐ-TTg dated December 20, 2012, and additional decisions of the Prime Minister (if any).

- Belonging to the list of projects and annual government bond capital plan according to the Prime Minister's decision on allocating government bond capital plan for each year in the 2012-2015 period.

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

b) For projects under the Program to Reinforce School Buildings and Teachers' Housing:

- Belonging to the investment list of the Program to Reinforce School Buildings and Teachers' Housing determined according to Decision No. 20/2008/QĐ-TTg dated February 1, 2008 of the Prime Minister approving the Project to Reinforce School Buildings and Teachers' Housing for the 2008-2012 period (hereinafter referred to as Decision No. 20/2008/QĐ-TTg) and additional decisions of the Prime Minister (if any).

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

2. Principles for Allocating Detailed Capital Plans:

a) For transportation and irrigation projects; health projects; student dormitories:

- Ensuring alignment with the annual capital plan amount for each project according to the Prime Minister's decision and the decision (or notification) of the Ministry of Planning and Investment on allocating annual government bond capital plan; except for the following cases:

+ In case of implementation according to Clause 2.c of this Article, the allocated capital amount for the project may be lower than the annual capital plan amount for the project according to the Prime Minister's decision and the decision (or notification) of the Ministry of Planning and Investment on allocating annual government bond capital plan.

+ In case the competent authority permits adjustment or supplementation of the annual capital plan amount.

- Not allocating government bond capital to entities specified in Clause 2.c of this Article.

- The total government bond capital allocated to each project during the 2012-2015 period shall not exceed the government bond capital plan for the 2012-2015 period of each project according to Prime Minister's Decisions No. 368/QĐ-TTg dated April 3, 2012, No. 602/QĐ-TTg dated May 24, 2012, No. 699/QĐ-TTg dated June 9, 2012, No. 1515/QĐ-TTg dated October 15, 2012, No. 1903/QĐ-TTg dated December 20, 2012, and additional allocation decisions of the Prime Minister (if any).

b) For projects under the Program to Reinforce School Buildings and Teachers' Housing:

- Ensuring compliance with capital allocation principles stipulated in Prime Minister's Decisions No. 368/QĐ-TTg dated April 3, 2012, No. 602/QĐ-TTg dated May 24, 2012, and other decisions of the Prime Minister (if any).

- Not allocating government bond capital to entities specified in Clause 2.c of this Article.

- The total government bond capital allocated to projects in 2012 and the 2012-2015 period shall not exceed the government bond capital plan for 2012 and the 2012-2015 period of the Program according to Prime Minister's Decisions No. 368/QĐ-TTg dated April 3, 2012, No. 602/QĐ-TTg dated May 24, 2012, and additional allocation decisions of the Prime Minister (if any).

c) Not allocating government bond capital for the following cases:

- Additional volume increase of projects due to adjustments that increase scale and total investment cost according to Clause 1, Article 1 of Decision No. 1790/QĐ-TTg dated November 29, 2012 of the Prime Minister.

- Items using state budget funds and other sources of capital.

- Training and capacity building costs for medical staff under the Project to Construct, Renovate, and Upgrade County General Hospitals and Multi-District General Hospitals Using Government Bonds and Other Legal Sources of Funds for the 2008-2010 Period according to Decision No. 47/2008/QĐ-TTg dated April 2, 2008 of the Prime Minister (hereinafter referred to as Decision No. 47/2008/QĐ-TTg) and the Project "Investment in Construction, Renovation, and Upgrading Specialized Hospitals for Tuberculosis, Mental Health, Cancer, Pediatrics, and Some Provincial General Hospitals in Mountainous and Difficult Areas Using Government Bonds and Other Legal Sources of Funds for the 2009-2013 Period" according to Decision No. 930/QĐ-TTg dated June 30, 2009 of the Prime Minister (hereinafter referred to as Decision No. 930/QĐ-TTg).

- Supervision and inspection costs for the implementation of Decision No. 47/2008/QĐ-TTg, Decision No. 930/QĐ-TTg, and Decision No. 20/2008/QĐ-TTg by Steering Committees and related agencies.

d) Ministries and provincial People's Committees shall implement the allocation of annual detailed government bond capital plans and submit reports on the results of such allocations in accordance with the timeframes and formats prescribed in the Prime Minister's and the Ministry of Planning and Investment's decisions (or notifications) on annual government bond capital plans.

Article 5. Implementation of the transfer and review of detailed annual government bond capital plans for ministries and provincial people's committees

1. Transfer of detailed government bond capital plan:

Annually, based on the decision of the Prime Minister and the decision (or notification) of the Ministry of Planning and Investment regarding the allocation of the government bond capital plan, ministries and provincial people's committees allocate detailed plans to each project and sub-project; ensuring the conditions and principles stipulated in Article 4 of this Circular.

2. Review of detailed government bond capital plan allocation:

a) For transportation projects, water conservancy projects; health projects, student dormitory projects: The Ministry of Finance shall provide comments on the allocation of government bond capital within five working days from the date of receipt of the detailed capital allocation plan of ministries and provincial people's committees (post-review); specifying projects that have been allocated capital incorrectly and will not be paid (if any).

b) For projects under the Program to strengthen school buildings and teachers' housing: The Department of Finance shall simultaneously participate with the Department of Planning and Investment and the Department of Education and Training in determining the list of projects and the amount of capital allocated to each project to be submitted to the provincial people's committee for decision (including cases of plan adjustments) while also performing the task of reviewing the detailed allocation of government bond capital.

Article 6. Payment of Government Bond Capital

1. To serve management and control, payment of government bond capital:

a) The Ministry of Finance sends the State Treasury (central) the decision (or notification) of the Ministry of Planning and Investment regarding the allocation of the government bond capital plan to ministries and provincial people's committees; the State Treasury (central) sends the capital plan of the Ministry of Planning and Investment to the local State Treasury.

b) After ministries and provincial people's committees allocate detailed plans to each project and sub-project:

- Ministries send their capital plans to the Ministry of Finance and the State Treasury (central). The State Treasury sends the capital plans of ministries to the local State Treasury.

- Provincial people's committees send their capital plans to the Ministry of Finance, concurrently sending them to the Department of Finance and the State Treasury (provincial level).

- Simultaneously with the submission of the capital allocation plan to the aforementioned agencies, ministries and provincial people's committees notify (or inform) investment project sponsors of the plan indicators for implementation.

- The Ministry of Finance sends written comments to ministries and provincial people's committees on the detailed allocation of government bond capital annually; concurrently sending them to the State Treasury (central) and local State Treasuries for implementation.

2. After receiving the government bond capital plan from the Ministry of Planning and Investment and the detailed allocation plan to each project and sub-project from ministries and provincial people's committees, the State Treasury implements control and payment according to regulations without waiting for the Ministry of Finance's review comments. The State Treasury is responsible for checking and verifying; if there are projects allocated capital by ministries and provincial people's committees that do not comply with the provisions of Article 4 of this Circular, the State Treasury will not make payments for those projects and issue a report to the provincial people's committee, the Ministry of Finance (for projects managed by localities), and report to the Ministry of Finance, concurrently sending it to the relevant ministry (for projects managed by ministries) for consideration and handling.

3. After receiving the review document from the Ministry of Finance, the State Treasury is responsible for checking and verifying; if there are projects allocated capital by ministries or provincial people's committees that do not comply with regulations but have already been paid before the Ministry of Finance's review comments were received, the State Treasury will stop payments for those projects and issue a report to the Ministry of Finance within five working days from the date of receipt of the review document from the Ministry of Finance. The Ministry of Finance will issue a document to ministries or provincial people's committees regarding the recovery of funds already paid for projects allocated capital incorrectly. Ministries or provincial people's committees are responsible for directing project sponsors and related agencies to return the state budget for funds already paid for projects allocated capital incorrectly; they bear responsibility for the consequences caused by allocating capital incorrectly and report the results of implementation to the Ministry of Finance within thirty working days from the date of receipt of the request for recovery from the Ministry of Finance.

4. During the implementation of the annual plan, if there are projects approved by competent authorities to adjust or supplement the annual capital plan, the Ministry of Finance will issue a notice to the State Treasury (central), local State Treasuries, and the Department of Finance for implementation.

5. Provisions regarding: Opening accounts; basic documents and payment files of projects to serve management and payment of capital; advance payment; payment of completed work volume; principles of payment control by the State Treasury shall be implemented according to the regulations of the Ministry of Finance for state budget capital investment (currently Circular No. 86/2011/TT-BTC dated June 17, 2011 on the management and payment of investment capital and public service investment capital from the state budget), guidance documents on annual investment capital plans, and any amendments, supplements, or replacements (if any).

6. Additional provisions regarding payment files for each payment:

a) For projects with adjusted items: In addition to the documents and materials stipulated in Clause 5 of this Article, for each payment, the sponsor must calculate and determine the value of the work volume that can be paid from the government bond capital during the period 2012-2015 and the value of the work volume that cannot be paid from the government bond capital during the period 2012-2015 (to be paid from other legitimate sources) in accordance with the provisions of Decision No. 1790/QĐ-TTg dated November 29, 2012 of the Prime Minister, and submit to the State Treasury as the basis for correct payment.

b) For projects without category adjustments: The project investor is not required to submit additional files and documents, but in the Capital Investment Payment Request Form (according to Model Appendix 05 of Circular No. 86/2011/TT-BTC dated June 17, 2011 of the Ministry of Finance on management and payment of capital investment and public investment funds with investment characteristics from the state budget), it must clearly state the information "project without category adjustment" after the project name section for the State Treasury to have grounds for payment.

7. The time for paying the annual government bond capital plan during the period of 2012-2015 shall be carried out in accordance with the provisions of the law and the guiding documents on the payment of the annual government bond capital plan issued by the Ministry of Finance.

8. The State Treasury shall not pay the government bond capital for cases stipulated in Clause 2.c, Article 4 of this Circular. However, for the increased volume of implementation of projects outside the scope specified in Clause 1, Article 1 of Decision No. 1790/QĐ-TTg dated November 29, 2012 of the Prime Minister on the payment of government bond capital for the period of 2012-2015, such increased volume shall be paid under the government bond capital plan for the period of 2012-2015.

9. For transportation and irrigation projects; health projects; student dormitories: The total amount of government bond capital paid for each project during the period of 2012-2015 shall not exceed the government bond capital plan for each project during the period of 2012-2015 as decided by the Prime Minister in Decisions No. 368/QĐ-TTg dated April 3, 2012, No. 602/QĐ-TTg dated May 24, 2012, No. 699/QĐ-TTg dated June 9, 2012, No. 1515/QĐ-TTg dated October 15, 2012, No. 1903/QĐ-TTg dated December 20, 2012, and any supplementary decisions made by the Prime Minister (if any).

10. For projects under the Program to strengthen school and classroom facilities and teachers' housing: The total amount of government bond capital paid for these projects in 2012 and during the period of 2012-2015 shall not exceed the government bond capital plan for 2012 and the period of 2012-2015 of the Program as decided by the Prime Minister in Decisions No. 368/QĐ-TTg dated April 3, 2012, No. 602/QĐ-TTg dated May 24, 2012, and any supplementary decisions made by the Prime Minister (if any).

Article 7. Management, payment, and recovery of government bond capital advanced against the following year's plan

1. After the competent authority approves the advance, the Ministries and Provincial People's Committees shall allocate the correct list and amount of capital as assigned. The Ministry of Finance shall notify the Ministries and Provincial People's Committees about the list, total amount of advance, source of advance capital, fiscal year of advance, and repayment deadline, and simultaneously inform the State Treasury to make payments for the project. The State Treasury shall be responsible for checking and verifying; if the Ministries and Provincial People's Committees allocate incorrectly according to the notification of the Ministry of Finance, the State Treasury shall not make payments and report to the Ministry of Finance for consideration and handling.

2. Repayment deadline for advanced capital: To be implemented as the repayment deadline for capital investment in the plan year when the advance occurred. Special cases shall be decided by the Prime Minister. Upon expiration of the repayment deadline, the State Treasury shall process the cancellation of unused advanced capital.

3. Recovery of advanced capital: The Ministries and Provincial People's Committees shall be responsible for allocating capital for the project in subsequent years' government bond capital plans to repay the advanced capital as prescribed; ensuring that all advanced government bond capital is recovered by the end of the 2015 plan year.

Article 8. Transfer of Capital and Accounting for Government Bond Capital

1. Transfer of capital (for projects under the control of the Ministry of National Defense):

a) Based on the capital payment needs of the projects, the Ministry of National Defense shall prepare a quarterly payment plan to send to the State Treasury, simultaneously sending it to the Ministry of Finance on the 15th day of the last month of each quarter. On the basis of the quarterly payment plan and the actual results of the previous quarter's payments by the Ministry of National Defense, the State Treasury will transfer capital to the Ministry of National Defense for payment.

b) The State Treasury shall promptly transfer capital to the Ministry of National Defense, ensuring sufficient funds for payment and avoiding capital accumulation at the end of the annual payment period.

2. Accounting for capital:

a) The State Treasury shall organize separate accounting and monitoring of the government bond capital.

b) Based on the annual government bond capital plans of the projects, the State Treasury shall implement payment oversight and accounting for central budget expenditures from government bonds. For projects managed by localities, with each payment, the provincial State Treasury shall send a copy of the payment request form, which has been approved by the State Treasury, to the Department of Finance to facilitate management by the Department of Finance.

Article 9. Mobilization and Management of Additional Sources of Capital Outside Government Bond Capital

1. In addition to the allocated government bond capital, based on current relevant regulations, ministries and provincial People's Committees are responsible for mobilizing and balancing state budget capital (for projects managed by ministries), local budget capital (for projects managed by localities), and other sources of capital to supplement and complete projects within the scope of government bond capital usage but not yet fully funded.

The funding for training and capacity enhancement activities for healthcare staff under Project No. 47/2008/QĐ-TTg and Project No. 930/QĐ-TTg shall be arranged within the annual regular expenditure budget of the training sector as stipulated by the State Budget Law.

The funding for supervising and inspecting the implementation of Project No. 47/2008/QĐ-TTg, Project No. 930/QĐ-TTg, and Project No. 20/2008/QĐ-TTg by the Steering Committees and related agencies shall be arranged within the annual regular expenditure budget of the health and education sectors as stipulated by the State Budget Law.

The allocation, management, utilization, and settlement of the aforementioned sources of capital shall be carried out according to current regulations corresponding to each source of capital.

2. Management of capital mobilized from voluntary contributions by enterprises, international organizations, organizations, and benevolent individuals both domestically and internationally (referred to collectively as Donors) to implement Project No. 20/2008/QĐ-TTg: The management of capital mobilized from voluntary contributions by Donors shall be conducted in accordance with the State Budget Law and the provisions of this Circular.

a) For direct contributions to localities:

- In cases where contributions have specific addresses:

+ In cases where Donors contribute money to build a school or classroom: The Donor transfers the money directly into an account opened by the Department of Finance at the State Treasury. The Department of Finance informs the project investor to proceed accordingly. The management, payment, and settlement of the contributed capital by the Donor shall be carried out according to regulations for investment capital from the state budget (except in cases where the Donor has different requirements).

+ In cases where Donors contribute materials (including supplies, equipment, learning materials, labor days) to build a school or classroom: The project investor, Donor, contractor (if any), and relevant authorities (Department of Finance, Department of Construction) shall jointly inspect and determine the value of the supplies, equipment, learning materials, labor days, or completed projects according to national standards and unit prices, and hand them over to the project investor for use; the project investor reports to the Department of Finance to process the recording of local government revenue and expenditure for the project. The Department of Finance compiles and reports to the local-level Steering Committee for monitoring and management.

- In cases of general contributions to the locality's project without specific addresses:

+ For monetary contributions: The Donor transfers the money directly into an account opened by the Department of Finance at the provincial or municipal State Treasury (the Donor may deposit the money into the district or county State Treasury for convenience; the district or county State Treasury is responsible for processing the transfer of funds to the Department of Finance's account at the provincial or municipal State Treasury). The Department of Finance compiles and submits to the provincial People's Committee for unified distribution and use within the locality according to the annual plan and approved projects. The management, payment, and settlement of the contributed capital by the Donor shall be carried out according to regulations for investment capital from the state budget (except in cases where the Donor has different requirements).

+ For material contributions: The Department of Finance, on behalf of the local People's Committee, receives and manages the material contributions from Donors, compiles proposals, and reports to the provincial People's Committee for unified distribution and use within the locality according to the annual plan and approved projects.

- The local-level Steering Committee must regularly report the situation of receiving and using the mobilized contributions to the central Steering Committee and the Ministry of Finance for consolidation and reporting to the Prime Minister.

b) For contributions from Donors to the Central Government:

The Donor transfers the money directly into accounts opened at State Treasuries nationwide. The annual contributions from Donors are supplemented together with government bond capital to support according to the plan assigned by the Prime Minister to localities.

Quarterly, the State Treasury shall compile and report to the Ministry of Finance to report to the Prime Minister the amount of capital contributed by Donors for the project.

Article 10. Reports on settlement and finalization of government bond funds; finalization of investment capital for completed projects using government bond funds

1. Annual budget period report on settlement of government bond funds:

a) Project investors, central and local agencies, financial authorities at all levels and State Treasury shall prepare separate reports on the settlement of government bond funds in accordance with Circular No. 210/2010/TT-BTC dated December 20, 2010 of the Ministry of Finance regarding the finalization of investment capital for basic construction projects from state budget funds according to the annual budget period, and any subsequent amendments, supplements, or replacements; these reports shall be submitted together with the annual state budget finalization (without consolidation into the annual finalization reports of ministries and localities).

For advance funding from the following year's plan: The amount of advance funding recovered from which year's plan shall be included in the report on settlement of government bond funds for that year; the amount already settled but not yet recoverable shall be carried over to subsequent years' reports in accordance with the recovery plan.

b) The Ministry of Finance shall aggregate and report as prescribed.

2. Finalization of government bond funds for the period 2012-2015:

Based on the annual budget period report on settlement of government bond funds, ministries and provincial People's Committees shall finalize the government bond funds for the period 2012-2015 in accordance with the guidelines of the Ministry of Finance.

3. Finalization of investment capital for completed projects using government bond funds:

Implementation shall follow the regulations of the Ministry of Finance on finalizing completed projects from state funds (currently Circular No. 19/2011/TT-BTC dated February 14, 2011 on finalizing completed projects from state funds) and any subsequent amendments, supplements, or replacements. For projects that mobilize additional sources of funds other than government bond funds, the finalization report must clearly distinguish between the sources of investment capital including government bond funds, state budget funds (for projects managed by ministries), local budget funds (for projects managed by localities), and other sources of funds (if any).

After the finalization has been approved by the authorized person, if the finalized amount is lower than the amount already paid to the project, the investor shall be responsible for recovering the excess amount paid from the contractor to repay the government bond funds at the State Treasury. If the finalized amount is higher than the amount already paid to the project, the investor shall be responsible for utilizing the allocated funds for the project or reporting to the competent authority to allocate funds to settle the shortfall compared to the finalized amount; if the shortfall remains unsettled by the end of the next fiscal year after the finalized approval, the State Treasury shall settle the amount already paid.

Article 11. Reporting System

1. For ministries and provincial People's Committees:

a) Quarterly, semi-annually, and annually report:

- The implementation and disbursement situation of government bond funds in accordance with the decision (or notification) of the Ministry of Planning and Investment on the annual government bond fund plan. Periodic reports shall be sent to the Ministry of Planning and Investment, the Ministry of Finance, the Ministry of Education and Training (for projects under the School and Teacher Housing Reinforcement Program), the Ministry of Health (for health projects), and the Ministry of Construction (for student dormitory projects).

- The mobilization and balancing situation of state budget funds (for projects managed by ministries), local budget funds (for projects managed by localities), and other sources of funds to supplement and complete projects within the list of government bond fund usage but not fully funded.

b) Implement reporting as required by the Central Steering Committee for the Project (for Projects No. 47/2008/QĐ-TTg, No. 930/QĐ-TTg, and No. 20/2008/QĐ-TTg).

2. For the State Treasury and Department of Finance:

Implement the reporting system as prescribed by the Ministry of Finance (currently Circular No. 50/2011/TT-BTC dated April 21, 2011 of the Ministry of Finance on the system and forms for reporting the implementation of basic construction investment capital from state budget funds) and any subsequent amendments, supplements, or replacements.

Article 12. Inspection System

1. Based on their functions and tasks, ministries, provincial People's Committees, financial agencies, and State Treasury shall periodically or unexpectedly inspect projects regarding the implementation of investment plans, payment situations, capital usage, and compliance with state financial policies and regulations for development investment.

2. Financial agencies at all levels shall periodically or unexpectedly inspect the State Treasury on the implementation of payment systems for investment capital.

Article 13. Responsibilities and Authorities of Relevant Agencies

1. For project sponsors:

a) Implement assigned functions and tasks according to regulations. Receive and use funds for their intended purposes, economically and effectively. Adhere strictly to legal provisions concerning financial management systems for development investment.

b) Conduct quantity acceptance, prepare payment files, and request payments from contractors according to the timeframes and contents stipulated in contracts. Timely complete necessary documents and procedures as required and submit them to the State Treasury for control and payment.

c) Allocate sufficient funds annually to purchase construction project insurance as prescribed.

d) Bear full responsibility for the accuracy and legality of executed quantities, norms, unit prices, budgets for various works, quality of projects, and proposed payment values; bear full responsibility for calculation data of executed quantities paid with government bond capital (in cases where project items have been adjusted) and the accuracy of information recorded in the Investment Capital Payment Request Form (in cases where project items have not been adjusted); ensure the accuracy, honesty, and legality of all figures and documents provided to the State Treasury and relevant state agencies.

đ) Report promptly and fully as required to the investment decision-making agency, the State Treasury, and other related state agencies; provide complete files and information as required to the State Treasury and financial agencies to serve management and payment of capital; be subject to inspection by financial agencies, the State Treasury, and the investment decision-making agency regarding the use of investment capital and compliance with state financial policies and regulations for development investment.

e) Regularly inspect the situation of advance payment usage by contractors; must inspect before, during, and after providing advance payments to contractors.

g) Implement accounting for the project sponsor; settle investment capital according to current regulations.

h) Be entitled to request the State Treasury to pay capital when conditions are met and respond to and explain unsatisfactory aspects in the payment process.

2. For ministries and provincial People's Committees:

a) Allocate detailed annual government bond capital plans to each project as stipulated in Articles 4 and 5 of this Circular.

b) Guide, inspect, and urge project sponsors under their jurisdiction to implement investment plans, receive and use investment funds for their intended purposes and according to state regulations.

c) Implement reporting systems as stipulated in Article 11 of this Circular.

d) Within their delegated authority, be responsible before the Government and national laws for their decisions.

đ) Implement functions and tasks as specified in Decision No. 47/2008/QĐ-TTg, Decision No. 930/QĐ-TTg, and Decision No. 20/2008/QĐ-TTg.

3. For financial agencies at all levels:

a) Ensure sufficient sources of capital as prescribed by the Ministry of Finance for the State Treasury to pay project funds.

b) Implement regulations on reporting and settling investment capital.

c) Coordinate with functional agencies to guide and inspect project sponsors, the State Treasury, and contractors on compliance with financial policies and regulations for development investment, management and use of investment capital, and payment situations; take measures to handle violations within their authority or report to higher authorities for decisions on recovering improperly allocated or spent funds.

d) Have the right to request the State Treasury and project sponsors to provide necessary documents and information to serve state financial management for development investment, including documents for project feasibility studies and annual capital planning, reports on plan implementation and investment execution according to reporting regulations, and documents for auditing settlement of investment capital as prescribed.

4. For the State Treasury:

a) Guide project sponsors to open accounts to receive investment capital payments.

b) Control and timely, fully pay project funds when conditions are met and within the stipulated timeframe.

c) Provide clear written opinions to project sponsors regarding reduced or refused payments, and answer sponsors' inquiries about payment issues.

d) The State Treasury only controls payments based on documents provided by project sponsors and according to established payment principles; does not bear responsibility for the accuracy of executed quantities, norms, unit prices, and project quality; does not bear responsibility for the accuracy of calculation data of executed quantities paid with government bond capital (in cases where project items have been adjusted) and the accuracy of information recorded in the Investment Capital Payment Request Form (in cases where project items have not been adjusted). In case of discovering decisions by competent authorities that violate current regulations, it must issue a document requesting reconsideration and clearly state its recommendations. If no response is received within the stipulated timeframe, it has the right to resolve according to its own recommendation; if a response is received but deemed unsatisfactory, it still resolves according to the opinion of the competent authority while simultaneously reporting to a higher authority and reporting to the financial agency for review and handling.

đ) Regularly urge project sponsors and Project Management Boards to comply with regulations on advance payments and recovery of advance payments, coordinate with project sponsors to inspect advanced payments to recover unused or improperly used amounts.

e) Urge the project investor to settle all debts definitively when the project has been finalized and all accounts have been closed.

g) Implement the information reporting and final settlement system for investment capital usage as prescribed; confirm the amount of capital that has been paid according to management requirements.

h) Have the right to request the project investor to provide relevant files, documents, and information to serve the work of capital payment control.

i) Regularly and at random inspect project investors regarding the implementation of projects, compliance with financial management systems and policies for development investment, the situation of managing and using investment capital; have the authority to temporarily suspend capital payments or recover capital that the project investor has misused, misappropriated, or used contrary to state financial management regulations, while simultaneously reporting to the Ministry of Finance for handling.

k) Not participate in acceptance councils for construction works and projects.

Part III

IMPLEMENTING PROVISIONS

Article 14. Repeal existing provisions.

This Circular replaces the following Circulars of the Ministry of Finance:

1. Circular No. 28/2007/TT-BTC dated April 3, 2007 guiding the management, allocation, payment, and final settlement of capital from government bonds;

2. 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, 2007 of the Ministry of Finance guiding the management, allocation, payment, and final settlement of capital from government bonds;

3. Circular No. 89/2009/TT-BTC dated April 29, 2009 amending and supplementing certain points of Circular No. 28/2007/TT-BTC dated April 3, 2007 and Circular No. 133/2007/TT-BTC dated November 14, 2007 of the Ministry of Finance guiding the management, allocation, payment, and final settlement of capital from government bonds;

4. Circular No. 67/2010/TT-BTC dated April 22, 2010 amending Circular No. 28/2007/TT-BTC dated April 3, 2007 and Circular No. 133/2007/TT-BTC dated November 14, 2007 of the Ministry of Finance guiding the management, allocation, payment, and final settlement of capital from government bonds;

5. Circular No. 119/2008/TT-BTC dated December 8, 2008 guiding the management, payment, and final settlement of capital for health projects managed by localities under Resolution No. 18/2008/NQ-QH12 dated June 3, 2008 of the National Assembly, Session XII;

6. Circular No. 115/2009/TT-BTC dated June 3, 2009 amending and supplementing certain points of Circular No. 119/2008/TT-BTC dated December 8, 2008 of the Ministry of Finance guiding the management, payment, and final settlement of capital for health projects managed by localities under Resolution No. 18/2008/NQ-QH12 dated June 3, 2008 of the National Assembly, Session XII;

7. Circular No. 46/2008/TT-BTC dated June 6, 2008 guiding the management and use mechanism of funds to implement the Project on Reinforcing School Buildings and Teachers' Housing for the period 2008-2012;

8. Circular No. 114/2009/TT-BTC dated June 3, 2009 amending and supplementing certain points of Circular No. 46/2008/TT-BTC dated June 6, 2008 of the Ministry of Finance guiding the management and use mechanism of funds to implement the Project on Reinforcing School Buildings and Teachers' Housing for the period 2008-2012.

Article 15. Implementation Organization

1. This Circular takes effect from February 15, 2013.

2. In the course of implementation, if there are any difficulties, please promptly reflect them to the Ministry of Finance for study and guidance./.