Joint Circular No. 35-TT/LB guiding the management of the education and training budget

CIRCULAR

JOINT MINISTRY OF EDUCATION AND TRAINING - FINANCE DECREE NO. 35-TT/LB
 APRIL 21, 1994 GUIDELINES FOR MANAGING THE EDUCATION AND TRAINING BUDGET
 EDUCATION AND TRAINING.

BASED ON GOVERNMENT DECREE NO. 15-CP OF MARCH 2, 1993 ON THE TASKS, RIGHTS, AND RESPONSIBILITIES OF STATE MANAGEMENT BY MINISTRIES AND MINISTRY-LIKE ORGANIZATIONS; IMPLEMENTING DIRECTIVE NO. 207-CT OF JULY 30, 1990 AND DIRECTIVE NO. 287-CT OF AUGUST 4, 1992 OF THE CHAIRMAN OF THE STATE COUNCIL (NOW PRIME MINISTER); DIRECTIVE NO. 132-TTg OF MARCH 27, 1993 OF THE PRIME MINISTER ON STRENGTHENING THE MANAGEMENT OF THE STATE BUDGET; AND DECISION NO. 60-TTg OF FEBRUARY 8, 1994 OF THE PRIME MINISTER ON SOME POLICIES AND MEASURES TO MANAGE THE ECONOMIC AND SOCIAL DEVELOPMENT PLAN FOR 1994; THE JOINT MINISTRY OF FINANCE AND EDUCATION AND TRAINING GUIDES THE MANAGEMENT OF THE EDUCATION AND TRAINING BUDGET AS FOLLOWS.

 I. GENERAL PRINCIPLES

1. THE MINISTRY OF EDUCATION AND TRAINING SHALL INITIATE COOPERATION WITH THE MINISTRY OF FINANCE AND THE NATIONAL PLANNING COMMISSION IN THE CONSTRUCTION, COMBINATION, AND PROJECTION OF THE ENTIRE INDUSTRY'S BUDGET. THE MINISTRY OF FINANCE AND THE NATIONAL PLANNING COMMISSION SHALL REVIEW AND BALANCE THE BUDGET BASED ON THE PROPOSALS OF THE MINISTRY OF EDUCATION AND TRAINING AND SUBMIT IT TO THE GOVERNMENT FOR APPROVAL BY THE NATIONAL ASSEMBLY.

2. THE MINISTRY OF EDUCATION AND TRAINING SHALL DIRECTLY MANAGE AND OPERATE THE ASSIGNED BUDGET INCLUDING THE BUDGET OF SUBORDINATE UNITS, POSTGRADUATE TRAINING AND ENHANCEMENT BUDGET, AND BUDGET FOR EDUCATION AND TRAINING TARGET PROGRAMS.

THE DEPARTMENT OF EDUCATION AND TRAINING SHALL BE RESPONSIBLE FOR DIRECTLY MANAGING AND OPERATING THE EDUCATION AND TRAINING BUDGET INCLUDING THE BUDGET OF LOCAL TARGET PROGRAMS IMPLEMENTED IN THE PROVINCE (HEREINAFTER REFERRED TO AS THE PROVINCE).

3. THE FINANCE SECTOR, THROUGH THE TREASURY SYSTEM, SHALL ENSURE THE TIMELY AND FULL DISBURSEMENT OF EDUCATION AND TRAINING FUNDS IN ACCORDANCE WITH THE CONTENT, SCHEDULE, AND STATE BUDGET OUTLINE.

4. EDUCATION AND TRAINING INSTITUTIONS SHALL BE RESPONSIBLE FOR PREPARING AND SUBMITTING ACCURATE, COMPLETE, AND TIMELY FINAL ACCOUNTS OF THE EDUCATION AND TRAINING BUDGET.

5. FINANCIAL AUTHORITIES AT ALL LEVELS SHALL COOPERATE WITH EDUCATION AND TRAINING MANAGEMENT AUTHORITIES AT ALL LEVELS TO CHECK THE EXPENDITURE AND USE OF THE EDUCATION AND TRAINING BUDGET TO ENSURE THAT IT IS USED FOR THE INTENDED PURPOSES AND IN ACCORDANCE WITH CURRENT FINANCIAL REGULATIONS.

II. SPECIFIC PROVISIONS

1. BUDGET PLANNING WORK.

ANNUALLY, BASED ON THE GUIDANCE DOCUMENTS ISSUED BY THE GOVERNMENT (OR THE AUTHORIZED AGENCY), THE MINISTRY OF EDUCATION AND TRAINING SHALL INITIATE COOPERATION WITH THE MINISTRY OF FINANCE AND THE NATIONAL PLANNING COMMISSION TO ESTABLISH THE BUDGET REVENUE AND EXPENDITURE PLAN FOR THE ENTIRE EDUCATION AND TRAINING SECTOR; PROJECT THE ALLOCATION OF THESE INDICATORS TO EACH MINISTRY AND MINISTRY-LIKE ORGANIZATION (HEREINAFTER REFERRED TO AS THE MAIN MINISTRY) AND THE PROVINCES, AND SEND THEM TO THE MINISTRY OF FINANCE AND THE NATIONAL PLANNING COMMISSION FOR CONSOLIDATION AND SUBMISSION TO THE GOVERNMENT FOR REVIEW AND THE NATIONAL ASSEMBLY FOR DECISION. THIS WORK SHALL BE PERFORMED IN THE FOLLOWING ORDER:

a) EDUCATIONAL INSTITUTIONS UNDER THE MANAGEMENT OF CENTRAL MINISTRIES AND SECTORS SHALL PREPARE THEIR OWN BUDGET ESTIMATES AND SEND THEM TO THE MAIN MINISTRY FOR COMBINATION AND ESTIMATION OF THE BUDGET OF THE MINISTRY, WHILE ALSO SENDING THEM TO THE MINISTRY OF EDUCATION AND TRAINING FOR COMBINATION AND ESTIMATION OF THE ENTIRE SECTOR BUDGET.

b) KINDERGARTENS, PRIMARY SCHOOLS, SECONDARY SCHOOLS, AND TRAINING INSTITUTIONS UNDER THE MANAGEMENT OF PROVINCIAL SECTIONS SHALL PREPARE THEIR OWN BUDGET ESTIMATES AND SEND THEM TO THE MAIN PROVINCIAL SECTION, WHILE ALSO SENDING THEM TO THE PROVINCIAL DEPARTMENT OF EDUCATION AND TRAINING AND THE PROVINCIAL DEPARTMENT OF FINANCE AND PRICE CONTROL. THE BUDGET ESTIMATES SHALL BE PREPARED ACCORDING TO THE CURRENT STATE BUDGET OUTLINE.

THE PROVINCIAL DEPARTMENT OF EDUCATION AND TRAINING SHALL INITIATE COOPERATION WITH THE PROVINCIAL DEPARTMENT OF FINANCE AND PRICE CONTROL AND THE PROVINCIAL NATIONAL PLANNING COMMISSION TO ESTABLISH THE PROVINCIAL EDUCATION AND TRAINING BUDGET REVENUE AND EXPENDITURE PLAN, WHICH SHALL BE SENT TO THE PROVINCIAL DEPARTMENT OF FINANCE AND PRICE CONTROL AND THE PROVINCIAL NATIONAL PLANNING COMMISSION FOR COMBINATION INTO THE PROVINCIAL STATE BUDGET REVENUE AND EXPENDITURE PLAN. AFTER BEING APPROVED BY THE PROVINCIAL PEOPLE'S COMMITTEE, THE PROVINCIAL DEPARTMENT OF EDUCATION AND TRAINING SHALL SEND THE PLAN TO THE MINISTRY OF EDUCATION AND TRAINING FOR COMBINATION AND ESTIMATION OF THE ENTIRE SECTOR BUDGET.

c) FOR TARGET PROGRAMS, THE PROVINCIAL DEPARTMENT OF EDUCATION AND TRAINING SHALL PREPARE A COMPREHENSIVE PLAN AND A LIST OF UNITS IMPLEMENTING SPECIFIC TASKS FOR EACH TARGET PROGRAM IN THE PROVINCE, UNIFY WITH THE PROVINCIAL DEPARTMENT OF FINANCE AND PRICE CONTROL, AND SUBMIT TO THE PROVINCIAL PEOPLE'S COMMITTEE FOR APPROVAL, THEN SEND TO THE MINISTRY OF EDUCATION AND TRAINING FOR REVIEW AND COMBINATION INTO THE ENTIRE SECTOR EXPENDITURE PLAN, WHICH SHALL BE SUBMITTED TO THE MINISTRY OF FINANCE AND THE NATIONAL PLANNING COMMISSION.

d) THE MINISTRY OF EDUCATION AND TRAINING SHALL BASE ITS BUDGET ESTIMATES ON THE BUDGET ESTIMATES OF THE PROVINCES AND THE MAIN MINISTRIES, INITIATE COOPERATION WITH THE MINISTRY OF FINANCE AND THE NATIONAL PLANNING COMMISSION TO REVIEW AND COMBINE INTO THE STATE BUDGET PLAN AND ALLOCATE THE BUDGET TO THE MINISTRIES, GOVERNMENT AGENCIES, AND LOCALITIES (INCLUDING REGULAR EXPENSES AND TARGET PROGRAM EXPENSES); AND COLLABORATE WITH THE MINISTRY OF FINANCE TO SET BUDGET INDICATORS FOR EACH LEVEL OF STUDY AND EACH REGION IN LINE WITH THE ASSIGNED BUDGET PLAN.

2. BUDGET EXECUTION AND FUNDS DISBURSEMENT.

a) At the Central Level:

- BASED ON THE NATIONAL ASSEMBLY RESOLUTION ON THE ANNUAL BUDGET ESTIMATE, THE GOVERNMENT (OR THE GOVERNMENT AUTHORIZED THE MINISTRY OF FINANCE) SHALL ASSIGN THE TASKS OF BUDGET REVENUE AND EXPENDITURE TO THE MINISTRIES AND LOCALITIES. SIMULTANEOUSLY, THE MINISTRY OF FINANCE SHALL NOTIFY THE MINISTRY OF EDUCATION AND TRAINING OF THE EDUCATION AND TRAINING BUDGET INDICATORS FOR THE MINISTRIES, SECTORS, AND LOCALITIES. THE MINISTRY OF EDUCATION AND TRAINING SHALL ISSUE THE OFFICIAL ANNUAL AND QUARTERLY BUDGET EXPENDITURE PLANS FOR EACH SUBORDINATE UNIT AND TRAINING AND ENHANCEMENT INSTITUTIONS, AND SIMULTANEOUSLY GUIDE THE MINISTRIES, SECTORS AT THE CENTRAL LEVEL, AND LOCALITIES TO EFFECTIVELY MANAGE AND USE THE EDUCATION AND TRAINING BUDGET.

- FOR REGULAR FUNDS: THE MINISTRY OF FINANCE SHALL DISBURSE THROUGH THE NATIONAL TREASURY SYSTEM TO THE MINISTRY OF EDUCATION AND TRAINING TO COVER THE COSTS OF SUBORDINATE TRAINING INSTITUTIONS, POSTGRADUATE TRAINING AND ENHANCEMENT INSTITUTIONS, AND DISBURSE TO OTHER MINISTRIES AND GOVERNMENT AGENCIES WITH SCHOOLS TO COVER THE COSTS OF SCHOOLS UNDER THOSE MINISTRIES AND SECTORS.

- For the budget allocated for target programs: Based on the annual plan, the list of units with specific work contents, approved capital, and the quarterly budget decision issued by the Ministry of Education and Training, the Ministry of Finance allocates the portion of the budget to be implemented by subordinate institutions under the Ministry, allocates the portion of the budget to be used by schools and training facilities under relevant ministries and sectors, and grants authority through the Provincial Department of Finance and Prices to allocate the budget portion to be implemented by localities for management and control by the Provincial Department of Education and Training according to the progress within the province.

b) At the local level:

Annually, based on the decision of the Government or the Ministry of Finance (in cases where the Government has delegated authority), allocating state budget revenue and expenditure tasks including the education and training budget, the Department of Education and Training collaborates with the Department of Finance and Prices and the Provincial Planning Committee to allocate the education and training budget plan for the year to units under the Education and Training sector. Based on the officially assigned budget plan and the quarterly budget estimate of the Department of Education and Training, the Department of Finance and Prices disburses funds through the Treasury system to the Department of Education and Training. As for training facilities managed by other departments and sectors, the Department of Finance and Prices directly disburses funds to these departments and sectors according to the assigned budget plan.

For localities where district and county budgets still bear the responsibility for educational and training expenditures, in 1994, the district and county finance offices will transfer funds through the Treasury system to the education and training offices based on the budget allocation decision of the provincial or municipal People's Committee, upon the proposal of the Department of Education and Training, and prepare necessary conditions so that from 1995 onwards, they can implement the mechanism where the Department of Education and Training uniformly manages the education and training budget at the provincial or municipal level.

Financial agencies and Treasuries at all levels have the right to refuse disbursement of funds to educational and training establishments if such establishments have been incorrectly approved for expenditure beyond regulations, purposes, or budget estimates.

3. Inspection Work

Based on the approved expenditure decisions of the Ministry of Education and Training and the Departments of Education and Training, the Department of Finance and Prices will collaborate with educational management agencies to strengthen inspections of the use of education and training funds to ensure compliance with regulations, objectives, and approved programs, achieving efficiency and economy. In cases of incorrect expenditure beyond approved regulations and contents, financial agencies and Treasuries at all levels have the right to suspend fund disbursements to offending establishments while reporting to higher-level management agencies for review and handling. If disbursements do not meet schedules and quota limits, schools and training facilities need to report to higher-level management agencies of both sectors for review and handling.

4. Settlement Work.

a) Quarterly and annually, schools and units are responsible for preparing settlement reports to submit to their supervisory agencies and higher-level educational management agencies for review and consolidation, which are then submitted to the financial agency at the same level for inclusion in the state budget settlement.

Specifically, for the expenses of target programs in education and training transferred from the central budget to localities, the settlement reporting system must comply with Circular No. 80-TC/NSNN dated September 24, 1993, issued by the Ministry of Finance.

b) The Ministry of Finance will coordinate with the Ministry of Education and Training and central sectoral ministries; the Provincial Department of Finance and Prices will coordinate with the Provincial Department of Education and Training and local sectoral departments to inspect and approve the annual settlement of the Ministry, schools, and educational and training units at the central and local levels according to Circular No. 14-TC/HCVX dated February 28, 1994, issued by the Ministry of Finance.

Educational and training management agencies, schools, and educational and training establishments are responsible for strictly adhering to state regulations and policies regarding financial management, inspection, supervision, accounting, and the preparation of quarterly and annual accounting reports as stipulated in Decision No. 257-TC/CĐKT dated June 1, 1990, issued by the Ministry of Finance.

5. The Department of Education and Training shall take the lead in coordinating with the Provincial Department of Finance and Prices to establish a streamlined financial and accounting system for the education and training sector at the local level, selecting competent financial and accounting staff to effectively manage the education and training budget. The Department of Finance and Prices will cooperate with the Department of Education and Training to organize training for the accounting staff of the education and training sector.

III. IMPLEMENTATION PROVISIONS

During the implementation of this Circular, if any difficulties arise, it is requested that the People's Committees of provinces and centrally-administered cities promptly report to the Ministry of Finance for study and resolution./.

This Circular takes effect from the date of signature.

During implementation, if there are any difficulties, the relevant ministries, localities, and schools should report them to the inter-ministerial body for timely explanation, supplementation, and amendment.