Decision No. 86/2001/QD-BTC On Issuing the Regulation on Management and Use of Public Welfare Labor Day Fund

Pursuant to …;

Regarding the issuance of the Regulation on the management and use of the public welfare labor day fund

_____________________

THE MINISTER OF FINANCE

Pursuant to the Ordinance on Public Welfare Labor Service dated September 3, 1999;

Pursuant to the Decree No. 81/2000/NĐ-CP dated December 29, 2000 of the Government detailing and guiding the implementation of the Ordinance on Public Welfare Labor Service;

Pursuant to the Decree No. 178/CP dated October 28, 1994 of the Government on the tasks, powers, organizational structure of the Ministry of Finance;

Considering the proposal of the Director of the Financial Policy Department,

Pursuant to …;

Article 1. The accompanying decision promulgates the Regulation on the management and use of the public welfare labor day fund.

Article 2. This Decision shall take effect from January 1, 2001.

Article 3. Chairmen of People's Committees of provinces and centrally governed cities and Heads of relevant agencies and organizations are responsible for implementing this Decision.

REGULATIONS

MANAGEMENT AND USE OF THE PUBLIC WELFARE LABOR DAY FUND
(Issued together with Decision No. 86/2001/QĐ-BTC dated September 12, 2001 of the Minister of Finance)

Chapter 1

GENERAL PROVISIONS

Article 1. The public welfare labor day fund

1. The public welfare labor day fund is a source of public welfare labor service obligations contributed by Vietnamese citizens according to the provisions of the law at their place of permanent residence, where they have a permanent household registration or have continuously registered as temporary residents for six months or more.

2. The public welfare labor day fund is manifested in the form of direct public welfare labor days (hereinafter referred to as direct public welfare labor days) or contributions in cash (hereinafter referred to as public welfare labor days in cash) made by persons subject to public welfare labor service obligations.

3. The public welfare labor day fund is managed and used by the People's Committee of the province or centrally governed city (hereinafter collectively referred to as provincial level); the People's Committee of the district, town, or city under a province (hereinafter collectively referred to as district level); and the People's Committee of the commune, ward, or town (hereinafter collectively referred to as commune level) to construct and repair public welfare works for the common benefit of the community in accordance with the provisions of the law.

Article 2. Principles of managing the public welfare labor day fund

1. The source of the public welfare labor day fund is part of the state budget, allocated to the competent authorities at all levels for management and use in accordance with the ratio prescribed in Article 17 of the Ordinance on Public Welfare Labor Service.

2. The public welfare labor day fund is reflected in the local budgets at all levels according to the following principles:

a. Direct public welfare labor days of a given year can only be mobilized for use in that same year. The value of direct public welfare labor days is determined based on the current price of public welfare labor days in the locality and reflected in the local budgets at all levels based on the volume of work completed during the year through recording income and expenditure; accounting for revenue under Chapter (B,C,D) type 10, Clause 05, Item 053, Sub-item 01; and accounting for expenditure under corresponding chapters, types, clauses, items, and sub-items of the State Budget Manual.

b. The public welfare labor day fund in cash consists of the total amount of money collected annually from the fulfillment of public welfare labor service obligations in the form of payment. The collected funds must be deposited into the National Treasury for allocation to the budgets at all levels according to the ratio prescribed in Clause 1 of this Article and accounted for as follows: When collecting, it is recorded under Chapter (B,C,D) type 10, Clause 05, Item 053, Sub-item 01; when spending, it is recorded under corresponding chapters, types, clauses, items, and sub-items of the State Budget Manual.

The public welfare labor day fund in cash not used up in a year may be transferred to the next year's budget upon approval by the competent authority.

3. The establishment of records to monitor the use of the public welfare labor day fund; accounting and settlement of expenditures from the public welfare labor day fund are carried out in accordance with the current financial management regulations.

Article 3. Principles of using the public welfare labor day fund

1. The public welfare labor day fund is used for purposes specified in Article 9 of the Ordinance on Public Welfare Labor Service and detailed in Article 3 of Decree No. 81/2000/NĐ-CP dated December 29, 2000 of the Government. The public welfare labor day fund implements financial transparency in accordance with current laws.

2. The public welfare labor day fund at a certain level is managed and used by that level in accordance with this Regulation and other related national regulations. In special cases requiring support from the public welfare labor day fund at a higher level, the requesting level must prepare a plan. The public welfare labor day fund at a higher level will only provide support for the repair and construction of public welfare works at a lower level if there are complete supporting documents and plans approved by the competent authority.

Chapter 2

SPECIFIC CONTENTS ON THE MANAGEMENT AND USE OF THE PUBLIC WELFARE LABOR DAY FUND

PART I: ESTABLISHING THE PLAN AND ALLOCATING THE FUNDS

Article 4: Establishing the Fund Plan

1. Based on the record of the annual implementation of community labor obligations, the People's Committee at the commune level shall be responsible for establishing the plan for the fund of community labor days for the year.

2. The total number of community labor obligation days calculated based on the list of individuals who must perform community labor obligations arising in the year constitutes the total source of the community labor day fund for the year.

3. The plan for the community labor day fund serves as the basis for the People's Committees at various levels to establish plans for using community labor for public purposes annually.

Article 5: Allocation and Acceptance of the Fund

1. The community labor day fund is allocated to authorities at all levels according to the ratio and authority specified in Article 17 of the Ordinance on Community Labor Obligations and detailed guidance provided in Article 7 of Decree No. 81/2000/NĐ-CP dated December 29, 2000, issued by the Government to guide the implementation of the Ordinance on Community Labor Obligations.

2. The People's Committees at all levels shall open accounts for the community labor day fund at the State Treasury to accept, manage, and utilize the allocated funds as stipulated in Clause 1 of this Article.

Article 6. Managing the Fund

1. The People's Committee at the commune level shall directly manage the community labor day fund within its jurisdiction.

2. In cases where there are changes in the community labor day fund due to notifications from individuals responsible for performing community labor obligations, the People's Committee at the commune level shall adjust (increase or decrease) the fund to prepare plans for appropriate usage.

3. When there are changes in the community labor day fund, the People's Committee at the commune level must report to the People's Committee at the district level. The People's Committee at the district level will review and compile reports to the People's Committee at the provincial level for comprehensive reporting throughout the province, serving as the basis for allocating, inspecting, and planning the use of the community labor day fund in the locality.

PART II: MANAGING AND USING THE COMMUNITY LABOR DAY FUND DIRECTLY

Article 7: Basis for Using Direct Community Labor Days

1. The basis for mobilizing and using direct community labor days is the annual work tasks utilizing community labor included in the plan for using the community labor day fund at each level.

2. The number of direct community labor days used for public works at a certain level must be within the scope of the community labor day fund designated for that level of authority.

3. If the commune needs to supplement the community labor day fund from the district-level community labor day fund, the People's Committee at the commune level must request the People's Committee at the district level to consider and support within the scope of their own usage plan.

4. If the district needs to supplement from the provincial-level community labor day fund, the People's Committee at the district level must request the People's Committee at the provincial level to consider and support within the scope of their own usage plan.

Article 8. Implementing Mobilization of Community Labor Days

1. The Chairman of the People's Committee at the commune level issues a decision to mobilize community labor obligations for citizens residing in the area based on the annual plan for using community labor decided by the People's Council at the commune level or based on the requirements for using community labor days from higher-level People's Committees.

The annual mobilization of community labor obligations must minimize the impact on production, work, and study of agencies, organizations, units, and citizens.

2. The decision to mobilize community labor days must be directly notified to those being mobilized or communicated through their families at least seven days before the date of community labor.

3. In cases where someone else performs the duty or pays money instead, the person with the community labor obligation must inform the People's Committee at the commune level where the obligation is performed at least three days before the date of the community labor obligation.

4. In cases where the person with the community labor obligation fulfills the obligation by paying money, the People's Committee at the commune level shall be responsible for mobilizing additional labor days to meet the required number of community labor days for the project or preparing a plan to use the community labor day fund to hire substitute labor.

Article 9. Responsibilities for Managing and Using the Community Labor Day Fund Through Direct Community Labor Days

1. Any agency or unit that uses direct community labor days shall be responsible for ensuring working conditions in accordance with the law.

2. The People's Committees at various levels shall monitor the number of direct community labor days used at each level to reduce the community labor day fund for the year.

3. Annual expenses for organizing mobilization and managing and using the community labor day fund through direct community labor include management costs, publicity, vocational training, mid-term reviews, final summaries, rewards, and other directly related costs, which shall be guaranteed by local budgets in accordance with the State Budget Law.

PART III: MANAGEMENT AND USE OF THE LABOR DAY FUND FOR PUBLIC SERVICES IN CASH

Article 10. COLLECTION OF THE LABOR DAY FUND FOR PUBLIC SERVICES IN CASH

1. The contribution in cash to the Labor Day Fund for Public Services shall be made in cases where the person obligated to perform public service labor does not directly participate in such labor and there is no substitute worker.

2. The amount of money paid instead of one day of public service labor shall be determined by the People's Council at the provincial level in accordance with the actual conditions of each area within the locality. The highest amount shall not exceed 120% of the daily wage based on the national minimum wage set by the State.

3. Upon receipt of the payment, the People's Committee at the commune level shall issue a receipt for the payment according to Model C27a-X as stipulated in Decision No. 827/1998/QĐ-BTC dated July 4, 1998 of the Ministry of Finance, and prepare a list of the funds collected to be deposited into the State Treasury. The State Treasury shall allocate the Labor Day Fund for Public Services in Cash to various levels of budget in accordance with Article 5 of this Regulation.

Article 11: USE OF THE LABOR DAY FUND FOR PUBLIC SERVICES IN CASH

The Labor Day Fund for Public Services in Cash shall be used in the following cases:

1. To pay wages for workers on projects that fall under the category of public service labor when sufficient direct public service labor cannot be mobilized, provided that it is approved by the competent authority.

2. To provide benefits to individuals who suffer work-related injuries while performing annual public service labor obligations as prescribed in points a, b, and d of Clause 3, Article 12 and Clause 1, Article 13 of Decree No. 81/2000/NĐ-CP dated December 29, 2000 of the Government.

3. To provide benefits to individuals who fall ill while directly performing public service labor obligations without participating in health insurance as prescribed in Article 29 and Clause 1, Article 30 of the Ordinance on Public Service Labor Obligations.

4. The use of the Labor Day Fund for Public Services in Cash as stipulated in Clauses 1, 2, and 3 of this Article shall follow the principle that the level which uses public service labor shall use its own fund to make payments. In cases where higher-level funds are needed for support, it shall be carried out in accordance with Clause 3, Article 7 of this Regulation.

The Labor Day Fund for Public Services in Cash shall settle all allowances and supports for beneficiaries when they meet the conditions for payment as prescribed by current regulations.

5. Based on the decision approving the plan or the authorization to spend from the managing and using agency, the State Treasury shall process the disbursement of funds from the Labor Day Fund for Public Services in Cash account to pay allowances to beneficiaries; and handle the transfer of funds to support agencies at lower levels for public works supported by the upper-level Labor Day Fund for Public Services.

Article 12. MANAGEMENT AND USE OF THE LABOR DAY FUND FOR PUBLIC SERVICES IN CASH

1. The Chairman of the People's Committee at the level responsible for managing and using the Labor Day Fund for Public Services in Cash shall manage the fund at that level.

2. The management and use of the Labor Day Fund for Public Services in Cash must be carried out according to plans, for intended purposes, ensuring fairness, economy, and achieving practical effectiveness. All expenditures must comply with regulations and have valid supporting documents.

PART IV: RESPONSIBILITIES OF MANAGEMENT AND USING AGENCIES OF THE LABOR DAY FUND FOR PUBLIC SERVICES

Article 13: COMMUNE PEOPLE'S COMMITTEE

1. The Commune People's Committee is the direct supervisory body overseeing people obligated to perform public service labor within its jurisdiction.

2. The Commune People's Committee is responsible for preparing an annual plan for the use of the Labor Day Fund for Public Services and submitting it to the District People's Committee, and implementing the management and use of the allocated Labor Day Fund for Public Services in accordance with Article 5 of this Regulation.

3. The Commune People's Committee is responsible for inspecting and supervising agencies and units utilizing public service labor for public works within its jurisdiction to ensure effective, economical use and protect the rights of workers.

Article 14. District People's Committee

1. The District People's Committee is responsible for receiving, monitoring, and using the allocated Labor Day Fund for Public Services in accordance with Article 5 of this Regulation.

2. The District People's Committee is responsible for consolidating the sources of the Labor Day Fund for Public Services within its district and submitting them to the Provincial People's Committee for consolidation; and supplementing the source of the Labor Day Fund for Public Services for communes in accordance with Clause 3, Article 7 of this Regulation.

3. The District People's Committee is responsible for inspecting and supervising agencies and units utilizing public service labor for public works within its jurisdiction to ensure effective, economical use and protect the rights of workers.

Article 15. PROVINCIAL PEOPLE'S COMMITTEE

1. The Provincial People's Committee is responsible for receiving, monitoring, and using the allocated Labor Day Fund for Public Services in accordance with Article 5 of this Regulation.

2. The Provincial People's Committee is responsible for supplementing the source of the Labor Day Fund for Public Services for districts in accordance with Clause 4, Article 7 of this Regulation.

3. The Provincial People's Committee is responsible for consolidating the annual plan for the use of the Labor Day Fund for Public Services throughout the province; inspecting and supervising agencies and units utilizing public service labor for public works within its jurisdiction to ensure effective, economical use and protect the rights of workers.

Article 16. RESPONSIBILITIES OF FINANCIAL AUTHORITIES AT ALL LEVELS

1. Financial authorities at all levels are responsible for assisting the People's Committees at their respective levels in managing the Labor Day Fund for Public Services in accordance with this Regulation.

2. Organizing the monitoring and inspection of the management and use of the Labor Day Fund for Public Services.

3. After completion of public works, managing assets formed from public service labor in accordance with current financial management regulations.

Chapter 3

REPORTING AND FINANCIAL DISCLOSURE

Article 17. FISCAL YEAR OF THE LABOR DAY FUND FOR PUBLIC SERVICES

1. The fiscal year of the Labor Day Fund for Public Services begins on January 1 and ends on December 31 each year.

2. At the end of the fiscal year, within 45 days, the agency managing and using the Labor Day Fund for Public Services must prepare a final report on the fund to the superior supervisory agency. The report must fully and truthfully reflect the status of the Labor Day Fund for Public Services at the time of reporting, as well as the income and expenditure situation of the fund. For the Labor Day Fund for Public Services in Cash, it must include confirmation of the account balance from the State Treasury.

Article 18. FINANCIAL DISCLOSURE OF THE LABOR DAY FUND FOR PUBLIC SERVICES

The public welfare labor day fund shall publicly disclose its finances in accordance with the provisions of Decision No. 225/1999/QĐ-TTg dated November 20, 1998, issued by the Prime Minister on the promulgation of the Financial Disclosure Regulations for state budgets at all levels, budgetary units, state-owned enterprises, and funds with revenues from contributions by the people; and in accordance with the guidance provided in Circular No. 29/1999/TT-BTC dated March 19, 1999, issued by the Ministry of Finance on the implementation of financial disclosure for funds with revenues from contributions by the people.