Decision No. 86/2000/QĐ-TTg Issuing the Charter for Private Universities

Pursuant to …;

OF THE PRIME MINISTER NUMBER N86/2000/QĐ-TTg
ISSUED ON JULY 18, 2000

PRIME MINISTER

Pursuant to the Government Organization Law dated September 30, 1992;
Pursuant to the Education Law dated December 2, 1998;
REGARDING THE ADOPTION OF THE REGULATIONS ON PRIVATE UNIVERSITIES
Considering the proposal of the Minister of Education and Training.

DECISION:

Article 1. On the basis of Decree No. 15/CP dated March 2, 1993 on the tasks, powers, and responsibilities for state management of ministries and ministerial-level agencies;

Article 2. The Regulations on Private Universities are hereby adopted along with this Decision.

Article 3. The Minister of Education and Training shall take the lead in coordinating with the Minister of Finance and relevant ministries and sectors to provide detailed guidance on the implementation of these Regulations.

Article 4. The Ministers of the Ministries, the Heads of ministerial-level agencies, the Heads of agencies under the Government, and the Chairpersons of the People's Committees of provinces and centrally governed cities are responsible for enforcing this Decision.

 

 

REGULATIONS

DECISION OF THE PRIME MINISTER 
(Issued along with Decision No. 86/2000/QĐ-TTg dated July 18, 2000 of the Prime Minister

Chapter 1

GENERAL PROVISIONS

Article 1.A private university is an institution of higher education established by social organizations, social-professional organizations, or economic organizations (hereinafter referred to collectively as organizations), which mobilize teachers, scientists, and investors to contribute their efforts, funds, and initial facilities from sources outside the state budget. A private university is a legal entity that enjoys autonomy in organizational structure, labor recruitment, and finance. The assets of the university belong to the collective ownership of those who have invested capital, lecturers, staff, and employees of the university.

Article 2.The Prime Minister decides to establish a private university based on the proposal of the Minister of Education and Training.

Article 3.A private university is part of the national education system of the Socialist Republic of Vietnam, subject to state educational management by the Ministry of Education and Training and other educational management agencies according to the division of responsibilities assigned by the Government, while also being administratively managed by the People's Committee of the province or centrally-administered city (hereinafter referred to as the provincial People's Committee) where the university is located. A private university has legal personality, a seal, and is entitled to open an account at a commercial bank or State Treasury for transactions.

Article 4.A private university is equal to a public university in terms of the duties and rights of the school, lecturers, and students, in implementing educational goals, curricula, training programs, methods, and related regulations on admissions, teaching, examinations, graduation certification, and degree issuance; it is eligible to enjoy preferential policies for non-public educational institutions as stipulated by the Government.

Chapter 2

CONDITIONS AND PROCEDURES FOR ESTABLISHING A PRIVATE UNIVERSITY

Article 5.A private university established after the issuance of these Regulations must meet the following conditions:

1. The establishment plan must be consistent with the university network planning and meet the human resource needs for socio-economic development of the locality and the country.

2. Educational objectives, curricula, and scale must align with the national higher education development orientation.

3. Initial conditions regarding the management team, lecturers, technical infrastructure, and capital must be adequate.

The Ministry of Education and Training shall take the lead in coordinating with the Ministry of Finance and relevant agencies to specify these conditions.

Article 6.When meeting the conditions stipulated in Article 5 of these Regulations, the organization applying to establish the university shall submit the application dossier to the Ministry of Education and Training. The dossier includes:

1. A report on the request to establish the university, clearly stating:

a) The name of the university;

b) The purpose and mission of the university;

c) The location of the university headquarters;

d) The proposed fields of study and scope of operation;

e) The proposed enrollment scale.

2. The establishment plan in accordance with Article 5 of these Regulations.

3. Draft regulations on the organization and operation of the university.

4. Documentation confirmed by the competent authority showing that the initial technical infrastructure meets the minimum standards currently applied to public universities corresponding to the proposed enrollment scale and the potential for investment in developing the university.

5. Land use documentation, or an agreement from the competent authority granting land use rights for building the university.

6. List of proposed members of the Board of Directors, President, and organizational structure of the university; resumes of Board of Directors members and managerial staff of the university, confirmed by the direct personnel management agency.

7. List of lecturers and core scientific staff, accompanied by a commitment to teach at the university.

8. A commitment to build the campus within ten years corresponding to the proposed scale and fields of study of the university.

Article 7.The Ministry of Education and Training will accept the dossier, take the lead in coordinating with the Ministry of Planning and Investment, the Ministry of Finance, the Government’s Organizational and Cadre Affairs Bureau, the provincial People's Committee where the university headquarters is located, and relevant agencies to organize an assessment, and submit to the Prime Minister for consideration and decision.

Article 8.After the Prime Minister's decision to establish the university, the Minister of Education and Training shall consider the organization's request to establish the university to:

1. Approve the Board of Directors and the Chairman of the Board of Directors.

2. Approve the President.

3. Approve the regulations on the organization and operation of the university.

4. Approve the training plans, fields, and enrollment scale suitable for the conditions of the university.

5. Issue a decision allowing admissions.

Article 9.If, within one year from the date of the Prime Minister's decision to establish the university, the university does not have all the documents specified in Clauses 1, 2, 3, and 4 of Article 8 of these Regulations, the Minister of Education and Training shall submit to the Prime Minister for revocation of the decision to establish the university.

Article 10.The organization applying to establish the university, through its representative on the Board of Directors, continues to share responsibility for all activities of the university with the Board of Directors and the President. In case the university operates contrary to its purpose and mission, the organization applying to establish the university has the right to request relevant state management agencies to examine and handle according to the law.

Chapter 3

ORGANIZATION AND ACTIVITIES

PART I ORGANIZATIONAL STRUCTURE OF THE SCHOOL

Article 11.The organizational structure of the school includes:

1. Board of Directors.

2. Principal.

Supporting the Principal are:

a) Deputy Principals.

b) Functional Departments.

c) Scientific Research and Training Council.

3. Some training organizations: departments, divisions, subjects.

4. Some service organizations for training, research, and implementation activities established and operating in accordance with the provisions of the law.

5. Party Organization and Mass Organizations.

PART II PARTY ORGANIZATION AND MASS ORGANIZATIONS

Article 12. The Communist Party of Vietnam organization in the school operates in accordance with Article 51 of the Education Law.

Article 13. Social organizations and mass organizations in the school operate in accordance with Article 52 of the Education Law.

PART III BOARD OF DIRECTORS

Article 14.The Board of Directors is the sole representative of the collective ownership of the school, responsible and authorized to make autonomous decisions on important issues regarding organization, personnel, and finance and assets of the school.

Article 15.The minimum number of members of the Board of Directors is seven, including the following components:

1. Representatives of the leadership body requesting the establishment of the school.

2. Representatives of financial and asset investors for building the school.

3. Representatives of permanent faculty, staff, and employees of the school.

4. Principal.

5. Representatives of the school's grassroots Party Committee.

Members of the Board of Directors have equal voting rights.

Article 16. The Chairman and members of the Board of Directors must be Vietnamese citizens, having at least a bachelor’s degree, good health, not exceeding seventy years old when nominated, and at least fifty percent of the members must have previously taught at the university level or participated in higher education management.

Article 17.The Chairman of the Board of Directors is responsible before the State and the law for the Resolutions of the Board of Directors; presides over the activities of the Board of Directors and oversees the administration of the Principal. Resolutions of the Board of Directors only take effect when more than half of the members agree. The Chairman of the Board of Directors has the right to use the organizational apparatus and seal of the school; all documents and Decisions of the Board of Directors must be signed by the Chairman of the Board of Directors.

Article 18.The Board of Directors has duties and powers:

1. To review and adjust the fields, professions, levels, scale of training, and development planning of the school, to submit to the Ministry of Education and Training.

2. To establish and amend financial systems, standards, and norms according to the regulations of the State for non-public schools.

3. To mobilize funds for building the school; approve annual budget estimates and final accounts submitted by the Principal; supervise the management of the school's finances and assets.

4. To nominate and propose recognition or non-recognition of the Principal position, to submit to the Minister of Education and Training for decision.

5. To approve plans concerning organizational structure, staffing, and related personnel issues proposed by the Principal.

6. To decide basic principles for resolving issues related to training, scientific research, construction of physical facilities, and external affairs of the school.

7. To establish and amend the Charter of the school's organization and operation, to submit to the Minister of Education and Training for approval.

8. To monitor the Principal in compliance with national regulations, the Ministry of Education and Training, and the Resolutions of the Board of Directors.

Article 19.The term of office of the Board of Directors is five years, members of the Board of Directors may be re-elected. The Board of Directors meets regularly at least once every three months. Extraordinary meetings are convened by the Chairman of the Board of Directors upon request from at least one-third of the members of the Board of Directors.

Article 20.The first-term Chairman and members of the Board of Directors are nominated by the organization requesting the establishment of the school, to be decided by the Minister of Education and Training for recognition.

Article 21. From the second term onwards, the formation of the Board of Directors is carried out according to the following principle: three months before the end of the term, the Board of Directors, based on the provisions of Articles 15, 16, and 18 of this Regulation, must report to the Ministry of Education and Training on the plan, number, and composition of the next term's Board of Directors. In addition to the members mentioned in Clauses 1, 4, and 5 of Article 15, the members mentioned in Clause 2 of Article 15 are elected by representatives of financial and asset investors for building the school; the members mentioned in Clause 3 of Article 15 are elected by representatives of permanent faculty, staff, and employees.

The Minister of Education and Training decides on the recognition of Board of Directors members, including the Chairman of the Board of Directors elected by the members of the Board of Directors and submitted to the Minister of Education and Training for recognition.

Article 22.During the term, if there is an urgent need to supplement or change Board of Directors members, the Board of Directors issues a Resolution, the Chairman of the Board of Directors submits to the Minister of Education and Training for recognition. If the member to be changed is the Chairman of the Board of Directors, the Minister of Education and Training will organize consultations with the organization requesting the establishment of the school, each member of the Board of Directors, and relevant organizations before making a decision.

Article 23.When there is sufficient evidence that the Board of Directors seriously violates the provisions of the State, after consulting with the organization requesting the establishment of the school, the Minister of Education and Training has the authority to issue a decision not to recognize the Board of Directors and its Chairman; to establish a temporary Board of Directors and appoint a temporary Chairman of the Board of Directors. Within one year, the temporary Board of Directors is responsible for submitting to the Minister of Education and Training the formal Board of Directors in accordance with Article 21 of this Regulation.

PART 4 DIRECTOR

Article 24. The Director of a private university is responsible for directly managing and operating the activities of the institution. The Director is nominated by the Board of Directors and recognized by the Minister of Education and Training. The term of office of the Director corresponds to that of the Board of Directors and shall not exceed two consecutive terms.

Article 25. The Director manages the operations of the school, represents the institution before society and the law, and is accountable to the Board of Directors, the Ministry of Education and Training, and the State regarding the quality of education, compliance with regulations on education and training, and other activities within the authority delegated by the Board of Directors.

Article 26. The Director of a private university must hold a title of Associate Professor or higher or have a Doctorate degree, possess experience and capability in higher education management, be reputable in the field of education, have moral integrity, good health, and not exceed seventy years of age at the time of nomination.

Article 27. The Director has duties and powers:

1. To implement resolutions of the Board of Directors.

2. To propose measures for mobilizing, managing, and utilizing resources to achieve educational goals, develop the institution, and ensure the quality and effectiveness of education and scientific research, subject to approval by the Board of Directors.

3. To implement regulations of the Ministry of Education and Training concerning admissions, organization and management of education, examinations, graduation certification, and issuance of diplomas.

4. To prepare annual budget estimates and final accounts, submit them for approval by the Board of Directors, and organize the implementation of financial plans approved by the Board of Directors.

5. To propose the organizational structure, staffing, and personnel of the institution, subject to approval by the Board of Directors.

6. To issue internal rules and regulations to ensure the operation, inspection, and supervision of all activities of the institution in accordance with current regulations.

7. To organize accounting, financial management, and asset management of the institution in accordance with state regulations.

8. To appoint and relieve from duty positions within the institution after the recruitment decision has been approved by the Board of Directors in accordance with the law.

9. To comply with state regulations concerning non-state educational institutions regarding labor, wages, scholarships, tuition fees, social allowances, policies, rewards, and disciplinary actions for lecturers, staff, and students of the institution.

10. To report periodically on the financial status and activities of the institution to the Board of Directors, the Ministry of Education and Training, and relevant agencies as required.

11. To ensure order, security, and safety within the institution.

12. In necessary cases, the Director may reserve dissenting opinions on decisions of the Board of Directors and report to the Minister of Education and Training.

Article 28.Deputy Directors assist the Director. The Director nominates Deputy Directors, who are approved by the Board of Directors and recognized by the Minister of Education and Training. The term of office of Deputy Directors corresponds to that of the Director.

The number of Board of Directors members holding the positions of Director and Deputy Director shall not exceed one-third of the total number of Board of Directors members.

Article 29. The Scientific and Training Council, established by the Director, advises the Director on managing the institution's activities.

Article 30. In case there is sufficient evidence of serious violations of state regulations by the Director, after consulting the Board of Directors, the Minister of Education and Training has the right to decide not to recognize the Director and appoint a temporary replacement, while requiring the Board of Directors to nominate a new Director, subject to recognition by the Minister of Education and Training.

PART 5 EDUCATION AND SCIENTIFIC RESEARCH

Article 31.Private universities shall enroll and educate citizens of the Socialist Republic of Vietnam and foreign citizens legally residing in Vietnam in accordance with the regulations of the Minister of Education and Training.

Article 32.Private universities shall conduct scientific research activities, provide scientific consulting services, transfer technology, engage in production and business operations consistent with their training fields, in accordance with the provisions of the law.

Article 33. The publication of journals, magazines, scientific publications, materials, and textbooks serving the educational and scientific research work of the university shall be carried out in compliance with the provisions of the Law on Publishing and the regulations of the Minister of Education and Training.

Article 34.Inviting foreign professors, scientists, and experts to teach and conduct scientific research; sending staff members to study, teach, and learn abroad; and sending students to study abroad shall be conducted in accordance with the regulations of the Government.

PART 6 FINANCIAL MANAGEMENT

Article 35.Private universities shall have financial autonomy based on the principle of self-balancing income and expenditure, maintaining and developing the university.

Article 36.The assets of private universities consist of assets contributed by investors and additional assets generated during the operation process. Assets of private universities, after deducting the portion contributed by collectives, individuals, and the costs for the university's activities including interest on borrowed capital and contributed capital, are non-divisible assets owned collectively by the university, protected by the State according to the law, and no one may appropriate them.

Article 37.The sources of revenue for private universities include:

1. Revenue within the university:

- Tuition fees paid by students.

- Service fees paid by students.

- Value of contracts for training, scientific research, and labor production.

- Interest from bank deposits.

- Revenue from the liquidation of assets funded by the university.

Service activities (if any).

2. Capital contributions from organizations and individuals (referred to as investors) for investment and development of the university.

3. Sponsorship, aid, support, and gifts from organizations and individuals both domestically and internationally.

4. Loans from credit institutions and banks.

5. Other income.

Article 38.Expenditures of private universities include:

1. Regular Expenditure:

a) Expenditure for administrative management.

b) Expenditure for training and scientific research activities of the university.

c) Rent for facilities.

d) Purchase and minor repair expenses.

e) Depreciation expense for fixed assets.

g) Obligations to the State as prescribed.

h) Interest payments on loans and contributions.

i) Expenditure for rewards and welfare.

k) Other expenses.

2. Investment and development expenditures, including construction of school premises and purchase of machinery and equipment.

Annually, the Board of Directors shall stipulate the ratio between regular expenditures and investment and development expenditures.

Article 39.Assets and all financial activities of private universities must be managed, accounted for, and settled quarterly and annually in accordance with the regulations of the Ministry of Finance.

Any surplus revenue over expenditure in the annual operation of private universities shall establish a mandatory financial reserve fund, prioritizing investment in school facilities to fulfill the commitment to build schools as stipulated in Clause 8, Article 6 of this Regulation and Article 20 of Decree No. 73/1999/NĐ-CP dated August 19, 1999 of the Government, and gradually repay borrowed and contributed capital.

Article 40. Annually, the university shall prepare a budget for income and expenditure and maintain accounting records to track income and expenditure from various sources of capital formation and university assets. All income of the university must be reflected in the university's account at the Bank or State Treasury. All interest income from deposits must be reflected in the university's revenue.

The Rector shall be responsible for reporting consolidated budgets and annual settlements of financial income and expenditure, capital, and assets to the Board of Directors for approval. The Rector shall implement financial activities according to the approved income and expenditure levels by the Board of Directors.

Article 41.

1. Private universities shall implement a transparent financial system; the Board of Directors shall establish a Financial Audit Committee to periodically and unexpectedly organize audits of accounting books, the use of funds, asset changes, and sources of capital, report to the Board of Directors, and publicly disclose income and expenditure items to staff members within the university.

2. Private universities shall be subject to financial inspection and audit by financial authorities in accordance with state regulations.

Article 42.The Rector is the account holder of the university and is responsible to the Board of Directors for the entire financial management and asset management of the university.

Article 43.When it is necessary to liquidate assets, the Rector shall establish an Appraisal Council to determine the price and method of asset liquidation, and submit it to the Board of Directors for approval.

Article 44.The Board of Directors shall independently develop operational regulations on finance, set income and expenditure levels suitable for the situation of the university and the regulations of the State for private universities, and report to the Ministry of Education and Training and the Ministry of Finance.

Chapter 4

DUTIES AND RIGHTS OF TEACHERS, STAFF, AND EMPLOYEES

Article 45.The Rector of a private university shall recruit lecturers, staff, and employees through employment contracts.

Management personnel, permanent lecturers, staff, and employees in departments, offices, and faculties of private universities are not in the state payroll, except for special cases assigned by the Ministry of Education and Training.

Article 46.Lecturers (permanent and visiting) of private universities must meet the established standards regarding moral character, ethics, expertise, professional skills, and health; they have duties and rights as prescribed by law.

At the time of opening the first course, the permanent lecturer team of the university must ensure that there are no less than 20%, and within four years, reach no less than 50% of the teaching load of each subject.

The Minister of Education and Training shall stipulate the invitation of visiting lecturers for private universities, and the dispatch of management personnel and teachers from public universities or state agencies to work at private universities.

Article 47. Lecturers, staff members, and permanent employees of private universities shall enjoy reasonable remuneration based on the university's operational results, be entitled to social insurance and health insurance, and be eligible for recognition of professor and associate professor titles, as well as awards such as National Teacher, Distinguished Teacher, and Medal "For the Cause of Education" as prescribed in Section 1, Chapter IV of the Education Law. They also have the duties and rights of teachers as stipulated in Section 1, Chapter IV of the Education Law.

Chapter 5

DUTIES AND RIGHTS OF STUDENTS

Article 48.Citizens of Vietnam who meet the conditions set forth in the Enrollment Regulations of the Ministry of Education and Training may register for admission to private universities.

Article 49.Students at private universities have the following duties:

1. Studying and training according to the school's educational plan and schedule.

2. Adhering to national laws; implementing internal regulations and the school's charter.

3. Participating in labor and social activities appropriate to their age, health, and capabilities.

4. Paying tuition fees.

5. Preserving and protecting the school's property.

6. Contributing to building, protecting, and promoting the school's traditions.

Article 50.Private university students have the following rights:

1. Receiving timely and complete information about their studies, similar to public university students.

2. Pursuing postgraduate studies, studying ahead of schedule, skipping grades, shortening program duration, or suspending studies in accordance with the Ministry of Education and Training's regulations.

3. Participating in activities of organizations and social groups within the school as prescribed by law.

4. Using equipment and facilities serving educational, cultural, physical education, and sports activities of the school.

5. Directly or through their organizations, making proposals to the school to contribute to its development and protect their legitimate rights and interests.

6. Enjoying social policies as prescribed by the State.

7. Having equal opportunities to find employment as public university graduates.

Chapter 6

INSPECTION, REWARD AND VIOLATION HANDLING

Article 51. Private universities are responsible for regularly organizing self-inspection and inspection of the school's activities in accordance with current regulations.

Article 52.The Ministry of Education and Training will conduct regular and surprise inspections of private universities' activities, promptly resolving complaints, accusations, and violations in accordance with the Law on Complaints and Accusations and the Ordinance on Inspection.

Organizations and individuals have the right to complain; individuals have the right to accuse illegal actions in the school's educational activities.

Article 53.Private universities shall not permit any individual or organization to exploit the school's name or premises to engage in illegal activities or commercialize educational activities for profit, contrary to the objectives of private universities.

Article 54.Individuals and collectives of private universities that make significant contributions to the education cause shall be rewarded according to State regulations.

Article 55.In cases where there is sufficient evidence that a private university fails to comply with the law, regulations, and provisions of the Ministry of Education and Training; does not ensure training quality; does not meet minimum requirements for infrastructure and equipment for teaching and learning; does not ensure hygiene and safety conditions, the Minister of Education and Training shall take responsibility depending on the severity of the situation:

1. Deciding to suspend teaching.

2. Deciding to suspend admissions.

3. Submitting to the Prime Minister for a decision to suspend operations or dissolve the university.

Article 56.If a private university can no longer operate, the Board of Directors has the right to request dissolution in accordance with the law.

Article 57.In the event of the dissolution of a private university, the Board of Directors shall be responsible for addressing the consequences in accordance with the law.