General Office of Hunan Provincial People’s Government
On the issuance of "Hunan provincial education, culture and health major project construction"
Notice of the Measures for the Administration of Fund Approval
Xiang Zheng Ban Fa [2016] No.103
The people’s governments of cities, counties and cities, the provincial government departments and commissions, and the directly affiliated institutions:
The measures for the administration of examination and approval of construction funds for major provincial education, culture and health projects in Hunan Province have been agreed by the provincial people’s government and are hereby printed and distributed to you, please implement them carefully.
General Office of Hunan Provincial People’s Government
December 31, 2016
(This piece is made public voluntarily)
Construction funds for major provincial education, science, culture and health projects in Hunan Province
Administrative measures for examination and approval
In order to further standardize the management of construction funds for major provincial-level education, culture and health projects, and clarify the examination and approval procedures and authority, according to the Notice of the General Office of the Provincial People’s Government on Printing and Distributing the Decision-making Procedures for Major Projects at Hunan Province Level (Trial) (No.23 [2015] of Hunan Zhengban) and the Notice on Printing and Distributing the Implementation Rules for the Decision-making Procedures for Major Projects at Hunan Province Level (No.58 [2015] of Hunan Zhengban)
I. Scope of examination and approval
Major provincial-level education, science, culture and health projects (hereinafter referred to as major projects) refer to public welfare facilities construction projects that need provincial-level financial funding arrangements (including debt funding arrangements with provincial-level financial funds as the main source of debt repayment, the same below) in the provincial-level education, science and technology, culture, sports, medical and health care, family planning and other industries and are included in the decision-making scope of the provincial people’s government. Specifically including:
(a) the provincial total investment of 50 million yuan and above, culture, sports, science and technology and other large venues construction, renovation and expansion or asset purchase projects;
(two) the provincial universities, public hospitals and other new construction, renovation and expansion, overall relocation or asset purchase projects with a total investment of 100 million yuan or more at the provincial level;
(three) other major projects required by the provincial people’s government to be included in the scope of examination and approval.
Second, the basic principles of examination and approval
(1) Strict procedures and standardized examination and approval. Major projects shall specify the investment scale and sources of funds in advance. Audit of funding arrangements should be regarded as a necessary procedure for planning and project decision-making. Without audit of funding arrangements, it shall not be submitted to the provincial people’s government for deliberation and decision-making.
(two) intensive economy, to avoid duplication. Major projects should consider the needs of career development and the possibility of financial resources as a whole, reasonably determine the scale of investment, and strive to avoid greed for foreign countries. Strictly control the demolition of old buildings and the construction of new ones. The new construction, reconstruction and expansion of projects should be connected with existing related facilities, and those with similar functions should be integrated as a whole, intensively utilized and saved funds. Encourage qualified projects to adopt the mode of provincial and municipal co-construction.
(3) Coordinating the stock and ensuring the key points. The funds needed for the construction of major projects are first raised from the existing special funds at the central and provincial levels and the stock funds of project construction units. Provincial departments in charge of industry should co-ordinate the integration of stock funds, give priority to ensuring the demand for funds for major projects, and if the stock funds are insufficient, apply for new arrangements for provincial budgets according to procedures.
(4) Strict supervision, openness and transparency. Major project construction funds shall strictly control the investment scale in accordance with the principle of estimating and controlling budgetary estimate, budgetary estimate controlling budget and budgetary control final accounts, and shall not overspend in principle. If it is really necessary to increase financial capital investment, it shall be submitted for approval according to the original procedures. The project construction and fund approval shall be subject to social supervision in accordance with the principle of "non-confidential and full disclosure".
III. Approval Procedures and Authority
Major project planning, decision-making, budget estimates and other links involving financial arrangements, as well as related debt borrowing and asset disposal and other matters, according to the following procedures for examination and approval:
(a) approval of funds for special construction planning.
The special construction planning of education, science, culture and health shall specify the construction standards, construction scale and sources of funds of related major projects during the planning period. Special construction planning is instructive and binding. Except as required by the central authorities and approved by the provincial people’s government, financial funds shall not be arranged for major projects not included in the planning.
Provincial departments in charge of industry shall solicit opinions from the Provincial Department of Finance when preparing the draft special construction plan. The Provincial Development and Reform Commission shall consult with the Provincial Department of Finance in the preliminary examination of the draft special construction plan, if it involves the arrangement of provincial financial funds. The Provincial Department of Finance, in combination with factors such as the financing planning of major infrastructure construction at the provincial level and the comprehensive balance of revenue and expenditure, reviews the overall investment scale, sources of funds and annual funding arrangements for special construction planning, and puts forward opinions and then feeds them back to the Provincial Development and Reform Commission. Provincial Development and Reform Commission, according to the opinions of the Provincial Department of Finance and other relevant departments, put forward preliminary opinions on special construction planning, and submit them to the provincial people’s government for examination and approval according to procedures; If the preliminary examination opinions are inconsistent with those of the Provincial Department of Finance, special explanations should be made.
(two) the approval of major project decision-making funds.
Provincial departments in charge of industry shall solicit opinions from the Provincial Department of Finance when carrying out the preliminary work of major projects. The Provincial Development and Reform Commission shall consult with the Provincial Department of Finance (except for major projects that are fully arranged by the central and provincial budgets for infrastructure investment) when conducting preliminary examination of applications for major projects. The Provincial Department of Finance, in combination with the current situation of existing assets and debts, conducts a preliminary examination of the project construction scale, construction standards, investment estimation, funding sources, annual funding arrangements and other relevant contents related to financial funding arrangements, and puts forward opinions and feedbacks to the Provincial Development and Reform Commission or after approval according to procedures according to the authority stipulated in the Notice of the General Office of the Provincial People’s Government on Printing and Distributing the Administrative Measures for the Examination and Approval of Provincial Financial Special Funds in Hunan Province (No.90 [2015]). Provincial Development and Reform Commission, according to the opinions of the Provincial Department of Finance and other relevant departments, put forward preliminary opinions on project decision-making, and report them to the provincial people’s government for approval according to procedures; If the preliminary examination opinions are inconsistent with those of the Provincial Department of Finance, special explanations should be made.
(three) approval and adjustment of budget funds.
1. The budget estimate is approved. After a major project is approved, the construction unit shall prepare an investment estimate in strict accordance with the approved investment estimate. When examining and approving the investment budget, the Provincial Development and Reform Commission shall solicit opinions from the Provincial Department of Finance for projects exceeding the approved investment budget. If the investment estimate (or the financial capital investment) exceeds the investment estimate approved by the project by 10% or more, the provincial industry department shall reorganize the preparation of the investment estimate, and submit it for approval according to the procedures and authority specified in paragraph (2), and then give a reply.
2. Budget adjustment. If the actual investment of major projects exceeds the investment estimate and needs to be adjusted, it shall be submitted for approval in accordance with the procedures and authority stipulated in the Notice of the General Office of the Provincial People’s Government on Printing and Distributing the Measures for the Examination and Approval of Government Investment Projects at the Same Level in Hunan Province and the Management of Budget Estimate (Xiang Zhengban Fa [2016] No.85). Among them, the need for additional provincial financial arrangements, should seek the opinions of the Provincial Department of Finance.
(4) examination and approval of funding arrangements.
Major projects approved by the provincial industry authorities shall apply to the Provincial Department of Finance for funding arrangements according to the construction progress and capital requirements. The Provincial Department of Finance shall review the approved investment budget, arrange funds according to the procedures and authority specified in Hunan Zhengban Fa [2015] No.90 of the General Office of the Provincial People’s Government or put forward opinions and submit them to the provincial people’s government for approval.
The surplus funds of major projects are first used to repay the project loans. If there is a balance, according to the part of the project funds that belongs to financial funds, the finance shall be recovered in accordance with the relevant provisions of the budget management system within 3 months after the project is completed and accepted.
Among the remaining construction funds that are terminated, scrapped or not built according to the approved construction contents, the fiscal funds confirmed according to the proportion of the actual source of funds of the project shall be recovered.
(5) Examination and approval of debt borrowing.
Administrative organs, institutions undertaking administrative functions and public welfare institutions shall not borrow debts. Provincial public universities, public hospitals and other public welfare second-class institutions that really need to borrow debts for the implementation of major projects shall be submitted for approval according to procedures.
Public welfare second-class institutions shall apply for borrowing according to the approval of major projects and financing needs. The application for borrowing shall include the basis and necessity of borrowing, the analysis of the benefit of the use of debt funds, the analysis of debt repayment plan and solvency, and the measures to ensure the timely repayment of debts. After the preliminary examination by the competent department, it shall be sent to the Provincial Department of Finance. The Provincial Department of Finance, according to the unit revenue and expenditure situation, debt scale and debt risk degree and other factors, determines the total annual borrowing debt of the unit and manages it as the unit debt limit. After the new borrowing debt, the unit debt balance is controlled within the limit, and the Provincial Department of Finance makes overall consideration of the construction fund demand of major projects, determines the amount of new borrowing debt in the current year and gives a reply; If the balance of unit debt exceeds the limit, in principle, no new debt may be added. If it is really necessary to borrow money to meet the needs of its construction, the Provincial Department of Finance shall put forward preliminary opinions after the audit and submit them to the provincial people’s government for approval.
For the debts borrowed by public welfare second-class institutions, the unit shall be the borrower and repayment subject, and bear the responsibility of loan management and debt repayment. The government is not legally liable for such debts.
(6) Examination and approval of asset management and disposal.
Education, culture, health institutions through the implementation of major projects to build new assets, should be in accordance with the provisions of the timely registration of property rights and fixed assets accounted for procedures.
If the construction of major projects involves or foresees the disposal of state-owned land assets (including ground buildings and structures, the same below) in the future, the provincial industry department shall organize the project construction unit to fully demonstrate the necessity, feasibility and expected disposal income of land assets, prepare a special land assets disposal plan, and report it to the provincial people’s government for approval according to the procedures after being audited by the Provincial Department of Finance. Included in the scope of examination and approval of land assets disposal matters include:
1. Disposal of original land assets after the overall relocation of the unit;
2. Adjust the disposal of vacated land assets after new major projects are built;
3, long-term idle or did not play a practical role in the disposal of land assets;
4. Disposal of other land assets related to the construction of major projects.
The disposal of the above-mentioned state-owned land assets (including transfer, assignment, replacement, transfer, government expropriation and storage of state-owned land, etc.) should strictly implement the disposal system of state-owned assets in administrative institutions, perform the examination and approval procedures, standardize the disposal behavior, and ensure that the disposal plan is scientific and reasonable, the asset evaluation is objective and fair, and the transaction process is open and transparent. No unit or individual may dispose of state-owned land assets without authorization if the examination and approval procedures are not fulfilled. The specific examination and approval procedures for the disposal of state-owned land assets are as follows: the disposal unit submits information such as asset disposal plan and application, and after the preliminary examination by the competent department, the audit by the Provincial Department of Finance, and the approval of the provincial people’s government, the land asset disposal reply is issued. When the disposal is implemented, the disposal unit will report the implementation plan of land assets disposal and other information to the Provincial Department of Land and Resources, which will review it jointly with the Provincial Department of Finance and submit it to the provincial people’s government for approval before issuing opinions on the implementation of land assets disposal.
The disposal of land assets shall be carried out by means of bidding, auction, listing and agreement transfer according to laws and regulations, and the reasons shall be fully explained if the disposal is carried out by agreement transfer. Need to assess, should be entrusted with the corresponding qualification assessment agencies to assess. For the land to be disposed of without considering the nature of land use in urban planning, the local government may, on the basis of reasonable and feasible organization and demonstration, adjust the nature of land use and relevant land use control indicators, and modify the urban planning according to legal procedures.
All income from the disposal of land assets shall be paid into the state treasury, incorporated into the overall budget arrangement, and shall not be directly returned to the disposal unit. Without the approval of the provincial people’s government, the income from asset disposal shall not be arranged as a source of funds for special construction planning, major project construction and debt repayment in advance.
Fourth, supervision and management
(1) The Provincial Department of Finance, the Provincial Development and Reform Commission, the provincial industry authorities and the project construction unit should strengthen the supervision of the whole process of major project construction funds before, during and after the event, and timely carry out inspections focusing on budget control to stop and correct violations of the budget. If the application is not made according to the procedure and the approval of budget adjustment is obtained, the Provincial Department of Finance shall not allocate funds if the investment of financial funds exceeds the budget.
(two) the establishment of investment evaluation, asset management, performance evaluation, government procurement and supervision of the supporting management mechanism. The declaration, examination and approval, appropriation and use of construction funds for major projects and the disposal of state-owned land assets shall be subject to the supervision and inspection of discipline inspection and supervision, auditing, finance, land and resources, etc. If violations of rules and regulations are found during the inspection, they shall be dealt with in strict accordance with relevant laws and regulations.
(III) If the construction unit disposes of state-owned land assets without approval, borrows debts without authorization, or misappropriates debt funds, and fails to repay debts as planned, once it is discovered, the Provincial Department of Finance shall reduce the arrangement of relevant special funds, and hold the main person in charge of the unit and the relevant personnel accountable.
(4) Any special construction plan, major project decision-making and fund arrangement that does not involve national security or state secrets and is not prohibited by laws and regulations shall be disclosed to the public by the provincial industry department in accordance with the relevant provisions on the disclosure of government information.
V. Supplementary Provisions
These Measures shall come into force as of the date of promulgation. If the relevant provisions are inconsistent with these Measures, these Measures shall prevail.