Joint Circular No. 61/1997/TTLT/BTC-BNN issued by the Ministry of Finance and the Ministry of Agriculture and Rural Development on September 5, 1997, guiding the management, allocation, use, settlement, and finalization of state financial resources for maintenance and repair of dike systems.

JOINT CIRCULAR

JOINT CIRCULAR NO. 61-TT/LT OF THE MINISTRY OF FINANCE AND MINISTRY OF AGRICULTURE AND RURAL DEVELOPMENT DATED SEPTEMBER 5, 1997 GUIDING THE MANAGEMENT, ISSUANCE, USE AND SETTLEMENT OF FUNDS FOR MAINTENANCE AND REPAIR OF THE LEVEE SYSTEM

To strengthen financial management, ensure the proper and effective use of funds for maintenance and repair of the levee system to prevent deterioration according to the State Budget Law. The Ministry of Finance and the Ministry of Agriculture and Rural Development jointly issue guidelines on the management, issuance, use, and settlement of funds for maintenance and repair of the levee system as follows:

2. Individuals who have registered as the principal investigator of a Research Project or Pilot Production Project and those participating in its implementation shall not participate in the Evaluation and Selection Council for that Research Project or Pilot Production Project (hereinafter referred to as the Council). In necessary cases, members of the Council may be staff members of the organization registering as the principal investigator of the Research Project or Pilot Production Project, but not more than one person and they cannot serve as Chairperson, Vice-Chairperson, or reviewing member.

1. Financial funds for the maintenance and repair of the levee system are used for maintaining and repairing the levee system; repairing and addressing damages to levees and embankments; measuring and surveying levees and embankments regularly. These funds may not be used for purposes contrary to the objectives of preventing the deterioration of the levee system.

2. Sources of funding for the maintenance and repair of the levee system include:

- Local budget ensuring maintenance and repair of levees below Class III.

- Central budget ensuring maintenance and repair of levees from Class III to Special Class, which are allocated through provincial finance and price bureaus for local implementation of maintenance and repair.

- Dedicated levees of specific sectors or entities shall be maintained by the project owners.

II. SPECIFIC PROVISIONS

1. Contents of expenditures for maintenance and repair of the levee system:

Funds for the maintenance and repair of the levee system are used for the following activities:

1. Filling potholes, constructing surface drainage systems on levees, and building levee surfaces to prevent erosion, facilitating mechanical management, inspection, and emergency response for levees.

2. Repairing watchtowers on levees.

3. Detecting and addressing termite infestations and other hazards within levees.

4. Replanting grass on levee slopes where grass has died or been eroded away.

5. Adding soil for planting, caring for, and repairing wave-breaking plants.

6. Maintaining pressure relief wells.

7. Replacing loose stones on revetments.

8. Pumping water to inspect and evaluate the quality and minor repairs of weak and damaged culverts.

9. Repairing and supplementing kilometer markers, 100-meter markers, boundary markers for levee protection zones, land boundary markers, warning signs for revetments and culverts, no-go signs for vehicles on levees, fixed observation markers for revetment and riverbed changes, water level markers, and installing barrier systems to control vehicle traffic on levees, storm and flood warning signs at levee watchtowers.

10. Measuring and inspecting the elevation of levee surfaces, cross-sections of levee bodies, and levee alignment profiles.

11. Conducting geological surveys of levee foundations in sections with weak bases, topographic surveys at fixed cross-sections across major rivers with levees of Class III or higher to monitor riverbed changes, and surveys of localized riverbank and revetment erosion to develop appropriate technical solutions for repairs.

12. Other related activities directly concerning the maintenance and repair of the levee system must be agreed upon by the Ministry of Finance and the Ministry of Agriculture and Rural Development.

2. Preparation and allocation of budgets for maintenance and repair of levee projects.

Annually, based on the current condition of the levee system and the needs for maintenance and repair (as outlined in Point 1 above), local material and labor costs, and the approved budget estimates for maintenance and repair of the levee system by the competent authority, the Department of Agriculture and Rural Development prepares a budget estimate for maintenance and repair of the levee system and sends it to the Ministry of Agriculture and Rural Development (for maintenance and repair of levees of Class III or higher) and to the provincial finance and price bureau for inclusion in the central government, local government, and state budget estimates to be submitted to the competent authorities for approval and decision-making in accordance with the regulations on budget preparation set forth in Circular No. 09 TC/NSNN dated March 18, 1997, issued by the Ministry of Finance guiding the delegation, execution, and settlement of the state budget.

The budget estimate for maintenance and repair of the levee system must be accompanied by a detailed report explaining the condition of damaged levees, revetments, and culverts requiring maintenance and repair, specifying locations, quantities, and costs for each type of work. For large-scale works with complex technical treatments, economic and technical justifications and necessary technical drawings must be provided.

3. Implementation of the Budget

a. For maintenance and repair funds for levees of Class III or higher: Based on the allocated budget for maintenance and repair of levees, and the actual conditions of the levee system requiring maintenance and repair, the Ministry of Agriculture and Rural Development organizes the allocation of the maintenance and repair budget to localities, ensuring that the total amount and details match the allocated budget.

The results of the budget allocation must be sent to the Ministry of Finance, the State Treasury of the Central Government, the provincial finance and price bureau, the State Treasury, and the Department of Agriculture and Rural Development of provinces with levees of Class III or higher. The Ministry of Finance is responsible for reviewing, and if there are issues inconsistent with the allocated budget, they will request adjustments. Quarterly, the Ministry of Agriculture and Rural Development prepares a quarterly budget estimate divided by month for each locality and sends it to the Ministry of Finance as a basis for review and allocation of delegated funds to localities through the provincial finance and price bureau.

Based on the delegated funds transferred from the central budget, the maintenance and repair budget for levees of Class III or higher allocated by the Ministry of Agriculture and Rural Development, and the progress of implementation, the provincial finance and price bureau allocates funds to the Department of Agriculture and Rural Development. The State Treasury at the transaction location is responsible for monitoring and disbursing funds.

Upon completion of maintenance and repair of the levee system, the Department of Agriculture and Rural Development organizes acceptance inspections, and the Ministry of Agriculture and Rural Development conducts reviews and direct acceptance inspections for complex and large-scale works to serve as the basis for settlement.

b. For maintenance and repair funds for levees below Class III.

- Based on the budget for maintenance and repair of levees below Class III allocated by the provincial People's Committee, the Department of Agriculture and Rural Development allocates the budget for maintenance and repair of levees to the units using the funds, ensuring that the total amount and details match the allocated budget.

Based on the maintenance and repair cost budget for levees below Class III level prepared by the units using funds, the Department of Agriculture and Rural Development prepares quarterly budgets, divided monthly, to be submitted to the Ministry of Finance - Price Control. Depending on the progress of implementation and the capacity of the local government's quarterly budget, the Department of Finance - Price Control will process the issuance of funds to the Department of Agriculture and Rural Development or the units using funds.

- Based on the documentation and payment orders issued by the Director of the Department of Agriculture and Rural Development or the units using funds, the State Treasury checks and examines the validity and legality of the documents to process the payment of funds for the construction units.

c. Quarterly, every six months, and at year-end, the Department of Agriculture and Rural Development and the Department of Finance and Price Control must report on the volume of work completed compared to the plan, the situation of fund disbursement and payment for levee maintenance and repair from Class III upwards and below Class III to the People's Committee of the province, the Ministry of Agriculture and Rural Development, and the Ministry of Finance for consolidation and reporting to the Government.

4. Settlement of funds

a. For maintenance and repair funds for levees allocated by the central government and delegated to local authorities.

At the end of each quarter and year, the Department of Agriculture and Rural Development must prepare a settlement report on the maintenance and repair funds for levees that have been implemented, which were delegated by the central government to local authorities, according to the prescribed form set out in Decision No. 999 TC/QD/CĐKT dated November 2, 1996, issued by the Ministry of Finance regarding accounting regulations for administrative and public service units, to be submitted to the provincial Department of Finance and Price Control, the People's Committee of the province, and concurrently to the Ministry of Agriculture and Rural Development. The settlement report on the funds used must be accompanied by a completion acceptance record approved by the Ministry of Agriculture and Rural Development.

The Department of Finance and Price Control is responsible for reviewing and approving the annual settlement report on maintenance and repair funds for levees prepared by the Department of Agriculture and Rural Development and submitted to the Ministry of Finance and the Ministry of Agriculture and Rural Development.

The Ministry of Finance is responsible for coordinating with the Ministry of Agriculture and Rural Development to review and examine the settlement reports on delegated funds submitted by the provincial Departments of Finance and Price Control in accordance with the regulations on state budget settlement as stipulated in Circular No. 09 TC/NSNN dated March 18, 1997, issued by the Ministry of Finance.

b. For maintenance and repair funds for levees guaranteed by the local government budget:

At the end of each quarter and year, the Department of Agriculture and Rural Development must prepare a settlement report on the maintenance and repair funds for levees that have been implemented using local government budget sources and submit it to the provincial Department of Finance and Price Control. The settlement report must be accompanied by a completion acceptance record of the work done, prepared by the Department of Agriculture and Rural Development corresponding to the approved budget.

The Department of Finance and Price Control is responsible for reviewing the annual settlement report and notifying the results of the annual settlement review to the Department of Agriculture and Rural Development.

III. IMPLEMENTATION

This Circular takes effect fifteen days from the date of signature. During the implementation period, if there are any difficulties, please report them to the Ministry of Finance and the Ministry of Agriculture and Rural Development for consideration and resolution.