Use of Revenue from Project Management Utilizing State Budget Funds

The Circular clearly outlines the revenues from project management activities of investors and project management boards (PMBs), including: Revenues from project management costs calculated in the total investment cost of projects assigned for management and implementation duties according to the decision of the competent authority. This funding is determined by budgeting or applying project management cost norms as prescribed by the Ministry of Construction; revenues from deductible fees and retained fees from performing project management tasks such as: organizing the appraisal of basic design, construction design; appraising construction cost estimates and other activities according to current regulations.

In addition, the revenue from project management activities of investors and PMBs also includes: revenues of specialized PMBs and regional PMBs from consultancy services for other investors and PMBs; revenue from organizing compensation, support, and resettlement (outside the cost of organizing land clearance tasks under the responsibility of the investor has been included in the project management expenses assigned according to the regulations of the Ministry of Construction); revenues from project management and maintenance tasks after completion of regional PMBs, specialized PMBs as stipulated in Decree 59/2015/ND-CP dated June 18, 2015, of the Government of Vietnam...

Using saved project management funds

The Circular clearly states the content of using saved project management funds including: Additional income payment, within the savings funds, investors and PMBs determine the additional salary fund coefficient up to 1.0 times compared to the salary scale, grades, and positions as prescribed by the state to pay additional income for officials and public employees, those receiving salaries from project management costs.

Reward expenditure: Regular or extraordinary rewards for collectives and individuals based on work results and contributions (outside the reward policies as prescribed by the current Law on Emulation and Commendation).

Collective welfare activities expenditure: Supporting union activities; supporting holidays, New Year, anniversaries (Vietnam Women's Day, Martyrs Day,...); lunch, weddings, funerals, visits for illness, retirement, incapacity; supporting uniforms for staff and workers...

Unspent savings at the end of the year are transferred to spend in subsequent years. Investors and PMBs develop Regulations on the use of saved project management funds, reporting to the superior management agency for decision or written approval before issuing the Regulations.

Circular 72/2017/TT-BTC takes effect from September 15, 2017.

Source: Bidding Newspaper

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