Special mechanisms for minor projects under national target programs decreed
The Government on December 2 issued Decree No. 161/2016/ND-CP, stipulating special mechanisms for construction investment management of national target programs’ minor projects during 2016-2020.
This Decree applies to small-sized projects requiring uncomplicated techniques and partly invested by the State and partly contributed by non-state sectors (small-sized group-C projects).
Accordingly, to be classified as a small-sized group-C project, one must be invested by a national target program during 2016-20, have a total investment capital of under VND 5 billion and be located in a commune managed by a commune-level People’s Committee.
In addition, it must require simple techniques and have a model or prototype designs, use funds partly allocated by the State and partly contributed by non-state sectors, be open for the people’s participation in the implementation and supervision. The project must also be included in the list of projects eligible for a special mechanism enacted by a provincial-level People’s Committee.
Based on central agencies' notices on allocation of medium-term or annual capital amounts, provincial-level People’s Committees will have to organize the appraisal of capital sources and the capacity to allocate funds from the central budget for all projects on the list of small-sized group-C projects instead of appraising each specific project.
Projects subject to the special mechanisms may prepare simple construction dossiers instead of construction investment techno-economic reports.
Under the new Decree, contractors for community-based bidding packages approved in a contractor selection plan will be selected partly by the community.
The Decree also prescribes the necessary legal status of local residential communities, organizations and worker teams in localities where those projects’ bidding packages are executed.- (VLLF)
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