Circular No. 38/2020/TT-BGTVT guides the valuation methods and price management for public service provision services in the field of inland waterway management and maintenance carried out through ordering using the central budget from regular expenditure funds.

CIRCULAR

Guidelines on the valuation method and price management for public service provision services in the field of inland waterway management and maintenance carried out through government procurement using central budget funds from regular expenditure

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Pursuant to the Law on Inland Waterway Transport dated June 15, 2004; the Law Amending and Supplementing Certain Provisions of the Law on Inland Waterway Transport dated June 17, 2014;

Pursuant to Decree No. 163/2016/NĐ-CP dated December 21, 2016, issued by the Government, detailing the implementation of certain provisions of the State Budget Law;

Pursuant to Decree No. 177/2013/NĐ-CP dated November 14, 2013 of the Government detailing and guiding certain provisions of the Law on Prices; Decree No. 149/2016/NĐ-CP dated November 11, 2016 of the Government amending and supplementing certain articles of Decree No. 177/2013/NĐ-CP dated November 14, 2013 of the Government detailing and guiding the implementation of certain provisions of the Law on Prices;

Pursuant to Decree No. 45/2018/NĐ-CP dated March 13, 2018 of the Government stipulating the management, use, and operation of inland waterway transportation infrastructure;

Pursuant to Decree No. 32/2019/NĐ-CP dated April 10, 2019 of the Government stipulating the assignment of tasks, procurement or tendering for the supply of products and public services using state budget funds from regular expenditure;

Pursuant to Decree No. 12/2017/NĐ-CP dated December 10, 2017 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Transport;

AT THE REQUEST OF THE HEAD OF THE FINANCE DEPARTMENT AND THE DIRECTOR OF THE VIETNAM INLAND WATERWAYS ADMINISTRATION;

The Minister of Transport hereby issues this Circular guiding the valuation method and price management for public service provision services in the field of inland waterway management and maintenance carried out through government procurement using central budget funds from regular expenditure.

This Circular guides the valuation method and price management for public service provision services in the field of inland waterway management and maintenance carried out through government procurement using central budget funds from regular expenditure as prescribed in Decree No. 32/2019/NĐ-CP dated April 10, 2019 of the Government stipulating the assignment of tasks, procurement or tendering for the supply of products and public services using state budget funds from regular expenditure.

This Circular applies to agencies, organizations, and units related to the organization and provision of public service products in the field of inland waterway management and maintenance carried out through government procurement using central budget funds from regular expenditure.

Article 3. Principles for Determining Prices

The price of public service provision services in the field of inland waterway management and maintenance (hereinafter referred to as the price of public service provision services) shall be determined to ensure:

1. Covering actual reasonable and legitimate costs with profit to complete a unit volume of public service provision services consistent with technical standards and the technical condition of each project or specific work item based on the economic and technical norms in inland waterway management and maintenance and other relevant regulations issued by competent state authorities; excluding costs for activities serving production outside public service provision services.

2. Being consistent with market conditions at the place of construction and the quantity and quality of services.

3. Not including in the price of public service provision services costs already covered by the state budget.

Article 4. Structure and Method for Determining the Price of Public Service Provision Services

1. The structure of the price of public service provision services for inland waterway management and maintenance carried out through government procurement for units to implement according to Appendix No. 01 attached to this Circular includes:

a) Direct costs including: Material costs; Labor costs; Machinery and equipment costs.

b) Common costs.

c) Pre-tax income.

d) Value-added tax.

đ) Post-tax value of public service provision services.

2. The method for determining prices for management and maintenance works carried out according to the provisions of Appendix No. 02 issued together with this Circular.

3. For repair work and other work carried out according to the laws on investment and construction and related laws.

4. Other related costs (if any) carried out according to Article 5 of this Circular.

Article 5. Other related costs

1. In cases where other related costs such as project consultancy fees, design consultancy fees, supervision consultancy fees, other related consultancy fees; appraisal fees; traffic safety assurance costs for construction and repair works; auditing and final settlement costs arise as required by law, these costs shall be calculated separately for each specific task based on the provisions of laws on investment cost management and final settlement regulations for completed projects funded by state budget.

2. Management costs for ordering public service goods (if any):

a) Management costs for ordering public service goods (if any) refer to the costs for management work of units assigned the task of managing the ordering of public service goods. For management costs for ordering public service goods for regular and emergency maintenance work that meet the criteria of construction projects under construction law, they shall be determined according to the project management cost standards set by the Ministry of Construction for construction investment projects. For management costs for ordering public service goods for regular maintenance and upkeep, they shall be determined as a percentage (%) of the total regular maintenance and upkeep funding at the annual state budget allocation decision of the Ministry of Transport. This percentage (%) shall be calculated according to the project management cost standards set by the Ministry of Construction for construction investment projects.

b) Units assigned the task of managing the ordering of public service goods may only use these costs when they are not guaranteed by the state budget for the implementation of public services.

Article 6. Appraisal Period and Pricing Decision Period

1. The pricing of public service goods shall be carried out after the state budget expenditure plan has been allocated by the Ministry of Finance to the Ministry of Transport.

2. The appraisal period and pricing decision period shall be implemented in accordance with the provisions of Decree No. 177/2013/ND-CP dated November 14, 2013 of the Government detailing and guiding the implementation of certain articles of the Law on Prices, Decree No. 149/2016/ND-CP dated November 11, 2016 of the Government amending and supplementing certain articles of Decree No. 177/2013/ND-CP dated November 14, 2013 of the Government detailing and guiding the implementation of certain articles of the Law on Prices, and any subsequent amendments, supplements, or replacements (if any).

Article 7. Adjustment of Contract Pricing for Ordering Services, Subsidies for Public Services

The adjustment of procurement contract prices, subsidy levels for public services shall be carried out in accordance with current laws.

Article 8. Rights and Responsibilities of Agencies and Units

1. The Vietnam Inland Waterways Administration shall organize the appraisal and determination of prices for public service goods in the field of inland waterway management and maintenance in accordance with the regulations.

2. Agencies and units allocated state budget expenditure plans shall be responsible for establishing, appraising, and submitting for approval by authorized persons the prices of public service goods for inland waterway management and maintenance; and performing the responsibilities of investors in accordance with current laws on pricing.

Article 9. Effective Date

1. This Circular takes effect from February 15, 2021, replacing Joint Circular No. 18/2016/TTLT-BGTVT-BTC dated June 30, 2016 of the Ministry of Transport and the Ministry of Finance guiding the valuation methods and price management of public utility products and services in the field of inland waterway management and maintenance implemented through the state's procurement using central government budget funds.

2. In cases where the legal normative documents serving as the basis and referenced in this Circular are amended, supplemented, or replaced, the amended, supplemented, or replaced legal normative documents shall apply.

Article 10. Implementation Organization

1. The Director of the Ministry’s Office, the Director of the Ministry’s Inspectorate, the Heads of Departments, the Director of the Vietnam Inland Waterways Administration, and the Heads of agencies, organizations, and individuals concerned are responsible for implementing this Circular.

2. During the implementation process, if any difficulties arise, agencies and units are requested to report them to the Ministry of Transport for consideration and resolution./.