Decree No. 90-CP Issuing Regulations on Compensation for Losses when the State Recovers Land for National Defense, Security, National Interests, and Public Interests Purposes

DECREE

Issuing regulations on compensation for losses when the State requisitions land for national defense, security, national interests, and public interest purposes

THE GOVERNMENT

Pursuant to the Government Organization Law dated September 30, 1992;

Pursuant to the Land Law dated July 14, 1993;

At the proposal of the Minister of Finance, the Minister of Construction, the Director General of the Land Administration General Department, and the Head of the Government Price Board;

DECREE:

Article 1 - Attached to this Decree are the Regulations on compensation for losses when the State requisitions land for national defense, security, national interests, and public interest purposes as stipulated in Article 27 of the Land Law.

Compensation for losses in cases where land is requisitioned for other purposes not within the scope regulated by this Decree.

Article 2 - Organizations, households, and individuals legally using land within the country, when being requisitioned by the State for purposes mentioned in Clause 1, Article 1 of this Decree, shall be compensated for losses by the State.

Foreign organizations, international organizations, overseas Vietnamese (collectively referred to as foreigners), and foreign-invested enterprises in Vietnam that have been leased land by the Vietnamese State, when being requisitioned by the State for purposes mentioned in Clause 1, Article 1 of this Decree, shall be considered and resolved for compensation for losses according to separate provisions.

Article 3 - Ministers of Ministries, Heads of agencies at the ministerial level, agencies under the Government, Chairpersons of People's Committees of provinces and centrally-administered cities are responsible for implementing this Decree.

Article 4 - This Decree takes effect from the date of signature. Previous regulations on compensation for land and property when the State requisitions land for national defense, security, national interests, and public interest purposes are abolished.

REGULATIONS

REGARDING COMPENSATION FOR LOSSES WHEN THE STATE REQUISITIONS LAND

TO BE USED FOR NATIONAL DEFENSE AND SECURITY PURPOSES,

COMPENSATION PRICE FOR DAMAGE AND DAMAGE CALCULATION PRICE:

(Issued together with Decree No. 90-CP

dated August 17, 1994 of the Government)

PART I

OBJECTS AND SCOPE OF APPLICATION

Article 1

These regulations only apply to compensation for losses when the State requisitions land for national defense, security, national interests, and public interest purposes as stipulated in Article 27 of the Land Law:

1- Land used for national defense and security purposes as stipulated herein is land determined in Clause 1, Article 65 of the Land Law.

2- Land used for public interest and national benefits includes land for constructing roads, bridges, culverts, sidewalks, river and lake drainage systems, levees, dams, schools, hospitals, markets, parks, flower gardens, cultural facilities, public entertainment areas, squares, stadiums, airports, ports, martyrs' cemeteries, land for building dams or hydroelectric reservoirs, power transmission lines, infrastructure projects, water conservancy works, scientific research facilities, government offices (offices of state administrative bodies, political-social organizations), and other facilities as prescribed by the Government.

Article 2

1- The person entitled to compensation for loss of land when the State requisitions land must be the person to whom the State has granted land for use or a stable user of land prior to the effective date of the Land Law and who meets the conditions for the competent state authority to issue certificates of land use rights according to the decrees issued by the Government to implement the Land Law.

2- If the person whose land is requisitioned does not have the above legal documents, they must have transfer, exchange, or inheritance documents of land use rights confirmed by the competent People's Committee at various levels.

Article 3

1- Households and individuals legally using land that is requisitioned by the State shall be compensated for loss of land and for existing assets on the land.

2- Households and individuals using temporarily allocated land, leased land, or auctioned land, if their land is requisitioned by the State, shall be compensated for assets and provided capital assistance depending on specific circumstances.

Article 4

1- State agencies, political-social organizations, and people's armed forces units that have been granted land by the State without paying land use fees or have paid such fees from state budget funds, when the State requisitions land, these organizations shall not be compensated for loss of land but may be considered for new land allocation by the State.

2- State-owned enterprises, enterprises of political-social organizations, joint-stock companies, limited liability companies, collective economic units, and private businesses, when the State requisitions land, shall be compensated for loss of land if the land in use was granted with payment of land use fees that were not from state budget funds.

In cases where the land in use was granted without payment of land use fees or with payment from state budget funds, no compensation for loss of land shall be provided.

Article 5

Foreign organizations, international organizations, overseas Vietnamese (collectively referred to as foreigners), and foreign-invested enterprises in Vietnam that have been leased land by the Vietnamese State, when their land is requisitioned by the State for purposes mentioned in Clause 1, Article 1 of this Decree, shall be considered and resolved for compensation for losses according to separate provisions of the Vietnamese Government.

Chapter II

COMPENSATION FOR LAND LOSSES

Article 6

A person to whom the State grants land for a particular purpose shall, upon requisitioning of the land by the State, be compensated either by allocation of land for the same purpose or by monetary compensation based on the price of land for the same purpose.

In cases where the State cannot compensate by allocating replacement land or the person whose land is requisitioned does not request compensation in the form of land, compensation shall be made in cash based on the price of land of the same category or type. The land price for calculating compensation shall be issued by the provincial People's Committee (hereinafter referred to as the provincial People's Committee) within the framework of land prices prescribed by the Government.

, Clause 1, Clause 2 Article 7a of this Regulation.

The land fund for compensating losses includes:

1- Unused land.

2- Land reclaimed with state budget funds, land created, and land funds used to generate capital for infrastructure construction.

3- Land reclaimed according to Article 26 of the Land Law.

4- Public land funds as stipulated in Article 45 of the Land Law.

Article 8

Persons legally using land as stipulated in Clause 1, Article 3 and Point a, Clause 2, Article 4 of this Regulation, when their land is requisitioned by the State, shall be compensated for loss of land as follows:

1- If the land to be expropriated is agricultural land or forest land, it shall be compensated with land of the same type and area as the land being expropriated.

In cases where the compensation land is of a lower grade than the grade of the land being expropriated but still falls within grades 1, 2, or 3, the difference in grade shall not be compensated for damage.

In cases where the compensation land is of grades 4, 5, or 6, additional compensation shall be provided for the value difference of the grade. The value difference of the grade shall be calculated based on the land price set by the Provincial People's Committee according to the framework price set by the Government.

2- If the land to be expropriated is special-purpose land or residential land, it shall be compensated with special-purpose land or residential land of the same area and type or grade as the land being expropriated.

In cases where the compensation land has a lower value, the difference in value between the special-purpose land and the compensation land shall be compensated for damage.

For residential land in urban areas when expropriated by the State, compensation shall primarily be in the form of housing or money.

Article 9

When expropriating land from land users in cases stipulated in Clause 2, Article 3 and Clause 2, Article 4 of this Regulation, the State may support by allocating land or money, but the maximum amount shall not exceed 30% of the area or value of the land being expropriated.

In cases of expropriating tendered land or leased land, compensation shall be equivalent to the value of the land calculated based on the remaining period of use.

Article 10

Illegal land users, when expropriated by the State, shall not be compensated for damage to the land and must bear all costs of dismantling and clearing the site according to the State's requirements.

Chapter III

COMPENSATION FOR PROPERTY DAMAGE

Article 11

For houses, structures, and works attached to the land, compensation shall be based on the current value of the works. This value shall be determined by multiplying the percentage of the remaining value of the work by the new construction cost according to the standard price set by the Provincial People's Committee as prescribed by the State.

In cases where the remaining value of the house and auxiliary works is too low, the compensation amount is insufficient to build a new house with equivalent technical standards, the household may be additionally compensated, but the total compensation amount shall not exceed the new construction cost according to the standard price issued by the locality of a house with equivalent technical standards.

For houses, structures, or works that can be dismantled and moved to a new location for reinstallation, only the costs of dismantling, transportation, reinstallation, and the loss of materials during the dismantling, transportation, and reinstallation process shall be compensated. The maximum compensation amount shall not exceed 10% of the standard price of a house with equivalent technical standards set by the Provincial People's Committee and ensure that each family moving to a new location receives a minimum relocation subsidy of 400,000 VND.

Article 12

1- For the relocation of graves, the compensation amount for relocation shall cover all costs of excavation, removal, relocation, and reconstruction according to the actual situation.

2- Compensation for the relocation of historical sites, churches, communal houses, pagodas, martyrs' cemeteries, etc., shall be decided by the Prime Minister or the Chairman of the Provincial People's Committee for each specific case.

Article 13

1- The compensation amount for annual crops and livestock on land with water surfaces shall be calculated based on the harvest value of one crop cycle, averaged over the previous three cycles, at the actual market prices of agricultural and aquatic products in the local market at the time of compensation.

2- The compensation amount for perennial crops is specified as follows:

a) If the crop is in the initial development stage or just beginning to harvest, full compensation shall be provided for the initial investment costs and maintenance up to the time of land expropriation.

b) If the crop is in the harvesting stage, compensation shall be based on the residual value of the orchard. The residual value of the orchard is equal to the initial investment cost plus maintenance costs up to the first harvest minus depreciation. In cases where the residual value of the orchard cannot be determined, the maximum compensation amount shall be two years' worth of production, averaged over the previous three years, at the actual market prices of similar agricultural products in the local market at the time of compensation.

c) If the perennial crop is harvested once, full compensation shall be provided for the initial investment costs and maintenance up to the time of land expropriation.

d) If the perennial crop has reached its disposal period, only the costs of cutting down the trees for the owner of the orchard shall be compensated.

Chapter IV

IMPLEMENTATION

Article 14

Upon receiving the decision to expropriate land from the competent state agency, the Provincial People's Committee shall establish a Land Expropriation Steering Committee to advise the Chairman of the Provincial People's Committee on implementing compensation for land and property losses for those whose land is being expropriated.

The Chairman of the Provincial People's Committee shall be responsible for deciding the compensation plan based on the proposal of the Land Expropriation Steering Committee and shall be responsible for their decision.

Article 15

Organizations and individuals whose land is being expropriated have the right to declare the area, grade, type, location of the land, quantity of assets, etc., currently on the land, and submit them to the People's Committee of the commune, ward, town where the land is being expropriated.

The People's Committee of the commune, ward, town shall verify and confirm each declaration, compile a report on the use of the land fund for compensation, and report to the District, County, Town People's Committee under the province and send it to the Provincial Land Expropriation Steering Committee.

Article 16

Organizations allocated land have the direct responsibility to compensate in cash or provide assistance payments (if applicable) to those whose land is being expropriated.

Article 17

Those whose land is being expropriated who believe that the compensation decision of the Provincial People's Committee does not comply with the provisions of this Decree have the right to appeal. Appeals must be submitted to the Provincial People's Committee within 15 days from the date of receipt of the compensation decision, beyond this deadline, appeals will not be considered or processed.

Within one month from the date of receipt of the appeal, the Provincial People's Committee must examine, decide, and respond to the appellant. The decision of the Provincial People's Committee shall take effect upon issuance./.