Circular No. 71/2009/TT-BTC guiding the ordering and financial management in the field of supplying online radio and television services on the Internet for overseas Vietnamese during the period of 2008-2010 by the Multichannel Telecommunications Corporation.

CIRCULAR

Guidelines for ordering and managing finances in the field of supplying online radio and television services on the Internet to serve overseas Vietnameseradio, television broadcasting online on the Internet for overseas Vietnamese citizens of the Multinational Telecommunications Corporationserving Vietnamese people abroad Multinational Telecommunications CorporationMultinational Telecommunications Corporation during the period 2008-2010

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Pursuant to Decree No. 118/2008/NĐ-CP dated November 7, 2008 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Finance;

Pursuant to Decree No. 09/2009/NĐ-CP dated February 6, 2009 of the Government promulgating the Financial Management Regulations for State-owned Enterprises and the Management of State Capital Invested in Other Enterprises;

Pursuant to Decree No. 31/2005/NĐ-CP dated March 11, 2005 of the Government on production and supply of public goods and services;

Pursuant to Decision No. 256/2006/QĐ-TTg dated November 9, 2006 of the Prime Minister promulgating the Procurement Regulations for ordering, allocating plans for production and supply of public goods and services;

Pursuant to Decision No. 133/2007/QĐ-TTg dated August 17, 2007 of the Prime Minister supplementing the list of public service products and services;

Implementing Circular No. 5847/VPCP-KGVX dated September 4, 2008 of the Government Office regarding the pilot ordering of the Vietnam Television and Communication Corporation (VTC) to supply online radio and television services on the Internet to serve overseas Vietnamese;

Pursuant to Decision No. 1956/2008/QĐ-BTTTT dated December 30, 2008 of the Ministry of Information and Communications approving the plan to supply online radio and television services on the Internet to serve overseas Vietnamese;

The Ministry of Finance guides the ordering and financial management of public service online radio and television services on the Internet to serve overseas Vietnamese supplied by the Vietnam Television and Communication Corporation during the period 2008-2010 as follows:

I - GENERAL PROVISIONS

1. The Vietnam Television and Communication Corporation (referred to as VTC) is a state-owned enterprise with the task of piloting the supply of online radio and television services on the Internet to serve overseas Vietnamese to meet the requirements set out in the orders from the Ministry of Information and Communications during the period 2008-2010.

2. Principle of financial support: The state budget will provide partial funding for necessary expenses to ensure the continuous operation and effective performance of online radio and television services on the Internet to serve overseas Vietnamese.

2.1 The level of support shall be determined based on the cost items specified in Section 1 of Chapter II of this regulation for the pilot phase from 2008 to 2010 according to the principle of thrift, efficiency, and high quality.

The source of funds supporting VTC to supply public service online radio and television services on the Internet to serve overseas Vietnamese comes from the state budget.

2.2 VTC has the responsibility to manage and use the funds for their intended purpose to offset the costs of providing this public service in accordance with current regulations.

In addition to performing public service tasks, VTC has the right to utilize capital, assets, and other resources provided by the state to organize business activities in accordance with the law without affecting the public service tasks assigned by the state.

II - ESTABLISHING PLANS AND ORDERING SERVICE SUPPLY

1. Establishing plans for service supply:

1.1 Annually, based on the approved public service supply plan by the Ministry of Information and Communications and current national regulations, VTC establishes a financial support plan for the provision of public services and sends it to the Ministry of Information and Communications. The Ministry of Information and Communications is responsible for reviewing and consolidating it into its budget estimate, which is then sent to the Ministry of Finance in accordance with current regulations before July 20 of the previous year.

1.2 Principles for establishing plans: The funding for this public service is determined based on the following expenses:

a) Renting one international dedicated channel STM1 with a speed of 155Mbps, renting content transmission lines from some radio and television stations to the domestic online radio and television system center;

b) Renting internet connection gateways, racks, power sources, and servers in the United States;

c) Depreciation of fixed assets directly used for providing this public service.

For the year 2008, the funding is determined based on the actual expenses that VTC has paid for the aforementioned expenses.

2. Ordering service supply:

Based on the state budget revenue and expenditure estimates announced by the Prime Minister, the Ministry of Information and Communications orders VTC to provide public services after obtaining written agreement from the Ministry of Finance. The ordering process must be completed before December 31 of the previous year.

3. Content of ordering: includes two parts:

3.1 Public service supply plan:

a) Name of public service;

b) Content, volume, priority service area;

c) Service quality;

d) Time of implementation;

d) Contract value;

e) Acceptance and payment methods;

f) Responsibilities and obligations between the ordering agency and the ordered enterprise;

g) Responsibilities of each party for breach of contract.

3.2 Financial plan:

a) Revenue from exploiting other services from this public service supply system;

b) Costs of providing public services, including detailed expenses covered by the state as specified in Section 1 above;

c) Revenue-expenditure difference for public service supply;

d) Proposed level of state payment.

III - ACCOUNTING, PAYMENT, INSPECTION, AND SETTLEMENT OF PUBLIC SERVICE SUPPLY 1. Accounting: The Vietnam Television and Communication Corporation - VTC records the financial support for public service supply as income in accordance with current regulations.

2.1 Annually, based on the state budget support estimate for supplying online radio and television services on the Internet to serve overseas Vietnamese that has been announced, the Ministry of Information and Communications withdraws the budget at the National Treasury to pay VTC.

2. Settlement of costs:

Payment is made based on the progress of the ordering contract signed between the Ministry of Information and Communications and VTC, and the related expenses that VTC has paid.

The National Treasury implements expenditure control, issuance, and payment in accordance with current regulations.

For the year 2008, based on the support principles outlined in this Circular, the Ministry of Information and Communications, in collaboration with the Ministry of Finance, will inspect and settle the accounts for the online television service supply on the Internet to serve overseas Vietnamese by VTC.

2.2 Payment documents:

2.2 Payment documentation:

- Supply service order contract;

- Record confirming the value of completed work volume according to the order of the Ministry of Information and Communications;

- Relevant financial documents and economic contracts related to supported expenses.

3. In case of failure to complete assigned public service tasks, the payment amount shall be determined according to the reduction level specified in the supply service order contract of the Ministry of Information and Communications.

4. The VTC Corporation must conduct annual financial statement audits and be subject to financial management oversight, inspection, and supervision by relevant financial authorities in accordance with the law.

5. The Ministry of Information and Communications shall take the lead in coordinating with the Ministry of Finance to audit the settlement of services provided for online television services serving overseas Vietnamese citizens by the VTC Corporation in accordance with current regulations.

IV - IMPLEMENTATION

1. In addition to the provisions set forth in this Circular, the Corporation shall comply with other legal provisions applicable to state-owned enterprises.

2. This Circular shall take effect 45 days from the date of signature.

3. During implementation, if there are any difficulties, the Corporation and related units are requested to compile reports for submission to the Ministry of Finance for study and appropriate amendments and supplements.