Circular No. 66/2006/TT-BTC guiding the implementation of Decree No. 88/2006/NĐ-CP dated July 11, 2005 of the Government on financial support regimes for cooperative founders preparing to establish cooperatives and training and development subjects of cooperatives.

CIRCULAR

Guidelines for implementing Decree No. 88/2005/NĐ-CP dated July 11, 2005 of the Government on financial support systems for founders preparing to establish cooperatives,

concerning financial support for cooperative founders preparing to establish cooperatives and training and development subjects of cooperatives as stipulated in Article 3 and Article 4, Chapter II of Decree No. 88/2005/NĐ-CP dated July 11, 2005 of the Government.

The training and development subjects of cooperatives

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Pursuant to Decree No. 60/2003/NĐ-CP dated June 23, 2003 of the Government detailing and guiding the implementation of the State Budget Law;

Pursuant to Decree No. 88/2005/NĐ-CP dated July 11, 2005 of the Government on certain policies to support and encourage the development of cooperatives;

The Ministry of Finance issues guidelines on financial support systems for cooperative founders preparing to establish cooperatives and training and development subjects of cooperatives as stipulated in Article 3 and Article 4, Chapter II of Decree No. 88/2005/NĐ-CP dated July 11, 2005 of the Government as follows:

This technical regulation sets out technical requirements, testing methods, sampling procedures; management requirements; responsibilities of organizations and individuals producing, trading, and importing cigarettes.

1. Scope of regulation: This Circular specifies some contents of expenditure, levels of expenditure, sources of funding to implement support for cooperative founders preparing to establish cooperatives and training and development subjects of cooperatives.

2. Related programs and projects concerning the training and development of cooperative cadres according to decisions of the Prime Minister are not within the scope of regulation of this Circular.

3. The source of funding to support cooperative founders preparing to establish cooperatives and training and development subjects of cooperatives shall be guaranteed by local budgets and from other lawful sources (if any).

The central budget will provide support in the form of targeted supplementary funding for localities to support cooperative founders preparing to establish cooperatives and training and development subjects of cooperatives with specific levels as follows:

- Provide 100% of the funding for provinces in mountainous areas and the Central Highlands facing difficulties.

- Provide 50% of the funding for provinces that still receive balanced supplementary funding from the central budget and provinces with a percentage ratio of revenue sharing between the central budget and local budgets where the local budget share is 95% or more.

- Provinces and cities that self-balance their budgets, with a percentage ratio of revenue sharing between the central budget and local budgets where the local budget share is less than 95%, shall bear responsibility for self-balancing the funding for implementing this task within the local budget.

4. Funding to support cooperative founders preparing to establish cooperatives and training and development subjects of cooperatives must be managed and used for the intended purpose and correct beneficiaries; at year-end, the funding used must be settled according to current regulations.

5. The procedures for supporting and encouraging the establishment of cooperatives; procedures, formalities, and timeframes for preparing applications for training and development of cooperative cadres shall be implemented according to the provisions of Circular No. 02/2006/TT-BKH dated February 13, 2006 of the Ministry of Planning and Investment.

II. PROVISIONS ON SUPPORT TO ENCOURAGE THE ESTABLISHMENT OF COOPERATIVES

1. Applicability: The beneficiaries of support are agencies and units assigned by competent authorities to implement tasks of supporting cooperative founders preparing to establish cooperatives and representatives of cooperatives registered to operate in accordance with the Cooperative Law 2003.

2. Contents of expenditure:

a) Expenditure for organizing concentrated training classes by industry or profession or by commune, inter-commune, or district with a maximum duration of five days for each concentrated training session:

- Remuneration for lecturers; travel, food, and accommodation expenses for lecturers.

- Learning materials and drinking water for trainees;

- Rental of conference halls, classrooms (if applicable);

- Electricity and office supplies expenses serving the training class;

b) Expenditure for information dissemination and popularization of knowledge about Cooperatives:

- Popularizing knowledge and information about Cooperatives through mass media.

- Expenses for compiling and printing promotional and dissemination materials of laws related to cooperatives.

c) Direct consulting expenses for cooperative founders and representatives preparing to establish cooperatives:

- Consulting contents include knowledge about cooperatives, drafting cooperative charters, completing procedures for establishment and registration of business operations of cooperatives; production and business plans and activities of cooperatives.

- Civil servants participating in consulting tasks may be reimbursed for allowances and travel expenses according to the regulations of the agency organizing the support. In cases where experts, instructors, or collaborators are hired for consulting activities, remuneration and travel expenses shall be paid.

3. Level of expenditure:

Based on actual circumstances and budget capacity, Provincial People's Committees shall decide specific expenditure levels appropriately, ensuring they do not exceed the maximum or within the range of expenditure levels prescribed below:

a) Expenditure for organizing concentrated training classes:

- Hiring lecturers and speakers: 30,000 VND - 70,000 VND/session.

- Travel, food, and accommodation expenses for lecturers (if applicable): carried out according to the regulations of the provincial People's Committee detailing Circular No. 118/2004/TT-BTC dated December 8, 2004 of the Ministry of Finance on travel allowances and meeting expense regulations for administrative agencies and public service units nationwide.

- Drinking water expenses for trainees: a maximum of 5,000 VND/person/day.

- Other directly related expenses for organizing the class: based on valid invoices and receipts.

b) Expenditure for information dissemination and popularization of knowledge about Cooperatives:

According to valid invoices and receipts and within the approved budget estimate.

c) Direct consulting expenditure:

- For instructors and collaborators who are not civil servants:

+ Remuneration: 10,000 VND/hour of direct guidance.

+ Travel expenses: a maximum of 10,000 VND/day for round-trip travel. For distant consultations requiring overnight stays, travel allowances shall be paid according to regulations for civil servants on official business.

- For civil servants performing consultation tasks:

+ Allowance: 30,000 VND - 70,000 VND/session of direct guidance (one session equals four hours).

+ If consultation is conducted outside the office premises, in addition to the remuneration and allowance mentioned above, civil servants shall be reimbursed for travel allowances according to current regulations.

d) Cooperatives preparing to establish and founders requesting support shall not have to pay any costs during the process of receiving support.

III. PROVISIONS ON TRAINING AND DEVELOPMENT SUPPORT FOR COOPERATIVE SUBJECTS:

1. Training and Development Subjects:

a) Positions in the Management Board, Principal Board, Supervisory Board, Chief Accountant;

b) Members working in specialized technical and professional activities of cooperatives.

2. Content of support and specific levels of support:

Based on actual circumstances and the ability to allocate training funds, the People's Committees of provinces and centrally governed cities shall decide specific expenditure levels that are appropriate and ensure they do not exceed the maximum level or the range of expenditure levels prescribed below:

a) For cooperative positions specified in Point a, Clause 1 of this Section, support includes:

- Support for cooperative positions:

+ Support for train ticket costs for travel to and from the cooperative headquarters to the training institution (including ferry and pontoon tickets if applicable) using public transportation (excluding air travel).

+ Support for purchasing textbooks and materials directly serving the course program (excluding reference materials).

- Support for costs incurred by the organization of the training class:

+ Renting conference halls and classrooms (if necessary).

+ Expenditure for printing certificates or graduation certificates, office supplies, renting equipment and facilities for teaching purposes.

+ Water expenses for trainees: a maximum of 5,000 dong per person per day.

+ Hiring lecturers and speakers:

* Lecturers and speakers at the Bureau, Department, Institute level, professors, doctors, senior specialists, Provincial Committee members, heads of provincial Departments, Bureaus, and equivalent positions: 150,000 dong - 200,000 dong per session.

* Lecturers and speakers at the provincial specialist, Ministry, central agency level, deputy heads of provincial Departments, Bureaus, and equivalent positions: 100,000 dong - 150,000 dong per session.

* Lecturers and speakers at the district, county, town level: 70,000 dong - 100,000 dong per session.

* Lecturers and speakers at the commune level: 30,000 dong - 50,000 dong per session.

+ Travel, food, and accommodation expenses for lecturers (if applicable): implemented according to regulations on travel allowances for local officials and civil servants.

+ Expenses for organizing field trips and surveys within the course program: Depending on the requirements of the course, with approved field trips and surveys in the course program, training institutions may be reimbursed for vehicle rental and related expenses to organize such trips for trainees.

- Expenses for compiling programs, textbooks, and materials for teaching and learning. The expenditure level is applied according to the level of expenditure for compiling programs and writing textbooks for vocational secondary education industries as stipulated in Clause b - Point 2.3 - Section 2 - Circular No. 87/2001/TT-BTC dated October 30, 2001, issued by the Ministry of Finance guiding the content and expenditure levels for building framework programs for university, college, and vocational secondary education industries and compiling programs and textbooks for subjects.

For cooperative members in agricultural, forestry, fishery, and salt production cooperatives (hereinafter referred to as agricultural cooperatives), in addition to the above support contents, they will also receive 50% support for food and accommodation expenses according to the rates specified by the training institution.

b) Support for cadres and members when dispatched by the cooperative for concentrated training:

Cadres and members specified in Clause 1 of this Section who are dispatched by the cooperative for regular or part-time training at universities, colleges, vocational secondary schools, and vocational training schools, provided they meet the conditions stipulated in Clause 4 of Article 4 of Decree No. 88/2005/NĐ-CP dated July 11, 2005, issued by the Government, shall be supported with a minimum of 50% of tuition fees as prescribed by the school.

The level of support and specific methods of support for these groups shall be determined by the People's Committees of provinces and centrally governed cities.

IV. ESTABLISHING BUDGET PROJECTIONS, IMPLEMENTATION, AND SETTLING ACCOUNTS.

1. The establishment of budget projections, management, allocation, payment, and settlement of accounts shall be carried out in accordance with the provisions of Circular No. 59/2003/TT-BTC dated June 23, 2003, issued by the Ministry of Finance, guiding the implementation of Decree No. 60/2003/NĐ-CP dated June 6, 2003, issued by the Government, detailing and guiding the implementation of the Law on State Budget; and Circular No. 79/2003/TT-BTC dated August 13, 2003, issued by the Ministry of Finance, guiding the management, allocation, and payment of state budget expenditures through the State Treasury.

The People's Committees of provinces and centrally governed cities shall, based on the provisions of the Law on State Budget, guiding documents for implementation, and specific provisions in this Circular, be responsible for providing detailed guidance on the establishment of budget projections, implementation, and settlement of accounts for supporting founders of cooperatives preparing to establish, and training and development targets of cooperatives in their locality, in accordance with the local budget management hierarchy.

2. Accounting in the State Budget Classification:

- For funds allocated to support the training and development of cooperative cadres, they should be recorded under the same Chapter as the unit receiving state budget funds for support tasks, Class 14, Item 12 (domestic training other than higher education) and recorded according to the corresponding Sub-items of the current State Budget Classification.

- For funds allocated to support founders of cooperatives preparing to establish and representatives of cooperatives registering operations as stipulated in the Cooperative Law 2003, they should be recorded under the same Chapter, Class, and Item as the unit receiving state budget funds for support tasks and recorded according to the corresponding Sub-items of the current State Budget Classification.

V. ORGANIZATION AND IMPLEMENTATION.

This Circular shall take effect 15 days after its publication in the Official Gazette.

Annually, relevant ministries, central agencies, and the People's Committees of provinces and centrally governed cities shall have the responsibility to report on the implementation of cadre training and development work, the number of newly established cooperatives, to the Ministry of Planning and Investment and the Ministry of Finance before November 15 for consolidation and reporting to the Prime Minister. During the implementation process, if there are difficulties or obstacles, it is recommended that agencies and units reflect them to the Ministry of Finance for research and resolution.

During the implementation process, if there are difficulties or obstacles, it is recommended that agencies and units reflect them to the Ministry of Finance for research and resolution./.