General Office of Hunan Provincial People's Government on Printing and Distributing
0030 10 notification
Xiangfuban [2022] No.26
People's governments of cities, counties and cities, ministries and commissions of the provincial government and institutions directly under them:
1030 10 has been approved by the provincial people's government and is hereby printed and distributed to you. Please implement it carefully.
General Office of Hunan Provincial People's Government
May 26(th), 2023
(This film is open voluntarily)
Further standardize the decision-making of government investment projects
Establish projects to guard against government debt risks.
management measure
In order to further standardize the decision-making and project management of government investment projects at the city and county levels, strengthen the prevention and control of decision-making risks of government investment projects, improve the efficiency of government investment, and prevent and resolve local government debt risks, the following measures are formulated according to the spirit of Opinions of the Central Committee of the State Council on Deepening the Reform of Investment and Financing System and Administrative Measures on Further Standardizing Government Investment Project Decision-making and Project Establishment to Prevent Government Debt Risks (the State Council Order No.712).
First, define the project scope.
(a) into the city, county and municipal government investment project management measures, mainly including the following contents:
1. Fixed assets investment projects built by party and government organs and various institutions;
2. Non-operating fixed assets investment projects invested and constructed by state-owned investment and financing companies;
3 state-owned investment and financing companies to invest in the construction of operating fixed assets investment projects.
The state-owned investment and financing companies mentioned in the above situations II and III refer to the city, county and city financing platform companies and state-owned investment and financing enterprises that are included in the catalogue management. The Catalogue will comprehensively sort out the registered state-owned investment and financing companies in the administrative area before June 30th and February 30th every year, 65438+3 1. The list of financing platform companies will be submitted to the Provincial Department of Finance for filing and copied to the Provincial Development and Reform Commission. The list of state-owned investment and financing enterprises will be submitted to the Provincial Development and Reform Commission for summary and filing. It is strictly forbidden to set up a new financing platform company to carry out government investment projects in order to avoid the supervision of project approval.
Second, standardize decision-making procedures.
Third, strict project management.
(six) in line with the third item (a) of the project, the investment authorities at all levels to implement the approval or filing system management of the project. The state-owned investment and financing companies participating in the investment shall provide the following documents at the same time when performing the examination and approval or filing procedures: the resolution of the government executive meeting; (2) Joint review opinions on investment and business projects issued by the step-by-step review mechanism.
(VII) The investment department of the provincial government strengthens the function improvement and process optimization of the online approval and supervision platform for investment projects in Hunan Province, and conducts inspection, spot check and supervision of investment projects in cities, prefectures, counties and cities by means of information technology. Failing to perform the decision-making procedures in accordance with these measures, the competent investment department shall not handle the project establishment procedures.
Fourth, strengthen budget management.
(eight) the legal representative of the project unit is responsible for the whole process management of the investment budget of government investment projects. When the project unit applies to the investment department for examination and approval of the project investment budget, it must provide a letter of commitment from the legal representative of the project unit on budget management. In the process of project construction, if the legal representative changes, it shall sign a letter of responsibility for the change of the legal representative in time and report to the general meeting.
(eleven) the financial department shall allocate financial funds according to the approved or approved investment budget and project progress. For projects exceeding the approved budgetary estimate, financial funds shall not be allocated without approval and adjustment.
Verb (abbreviation of verb) carries out follow-up audit
(12) before the end of each year, the investment authorities at all levels will push the information of government investment projects this year to the audit departments at the same level. Audit departments at all levels shall, according to the level of project management, incorporate major government investment projects in their respective jurisdictions into the audit plan for the next year in accordance with the requirements of the Management Measures for Further Standardizing the Decision-making of Government Investment Projects and Preventing Government Debt Risks (2020). After the relevant audit results and rectification suggestions are approved by the Party committee and government at the corresponding level, they shall be reported to the auditing organ at a higher level, the investment department and the financial department for the record.
Sixth, serious accountability.
(thirteen) in any of the following circumstances, it shall be ordered to make corrections, and the responsible leaders and directly responsible personnel shall be punished according to the regulations. There are violations of discipline and law, handed over to the relevant discipline inspection and supervision organs or judicial organs for disposal:
1. If the project is established without necessary documents, the responsibility of the person in charge of investment shall be investigated;
2. If the investment scale is artificially lowered or the project is split to avoid the decision-making procedure, the responsibility of the relevant personnel of the project unit shall be investigated;
4 did not fulfill the budget adjustment decision-making and approval procedures, over budget, the legal representative of the project unit and related personnel and the responsibility of the construction unit;
5. If the agent construction system is not implemented as required, the relevant personnel of the project unit shall be investigated for responsibility.
The people's governments of cities, prefectures, counties and urban areas shall, in accordance with these measures, formulate and improve supporting policies or implementation measures, strengthen the management of government investment projects at the same level and at lower levels, accept the supervision of the people's congresses at the same level and their standing committees according to law, and consciously accept the democratic supervision of CPPCC. The relevant departments according to the division of functions, conscientiously fulfill the whole process of government investment projects supervision and management and other related responsibilities, at all levels
The competent investment department shall, jointly with the financial and auditing departments, establish corresponding decision-making, management and auditing mechanisms. These Measures shall come into force as of the date of promulgation. Where the previous provisions are inconsistent with these Measures, these Measures shall prevail. In the process of implementation, important information will be reported to the provincial government in a timely manner.
Attachment: Flow chart of decision-making procedure
Related Q&A: Related Q&A: How to maximize the interest management of project capital? Project capital refers to the self-owned monetary funds stored by real estate development enterprises according to a certain proportion of the total investment of real estate development projects and earmarked for real estate development projects. Project capital is the non-debt capital of real estate development projects. Project funds can only be used for the construction of this project, and shall not be used for other purposes or extracted without authorization.
The management system of "project capital" began in the middle and late 1990s. At that time, there was a serious investment expansion in the field of domestic fixed assets investment, and the growth rate of fixed assets investment in individual years even exceeded 50%. Although the high growth rate of fixed assets investment has effectively promoted economic growth, due to blind investment and neglect of risk management, a large number of fixed assets investment projects have exceeded the estimated budget, many projects have not been completed, banks have also experienced a large number of overdue and sluggish loans, and serious inflation has occurred at the macroeconomic level.
In order to effectively put an end to unprofitable investment, control the scale of investment, curb inflation, and at the same time establish and improve the risk restraint mechanism in the field of fixed assets investment, including real estate development, and prevent the credit risk of bank investment,1In August 1996, the State Council issued the Notice of the State Council on the Trial Implementation of the Capital System for Fixed Assets Investment Projects (Guo Fa [1996] No.35), and the document,
The timely introduction of the project capital system effectively curbed the risk problems such as "investment inflation" and "investment without capital", which was not only of great significance to the market economy management at that time, but also the investment risk restraint mechanism established by it continued to play an important normative role in the subsequent market management activities. However, with the changes of domestic real estate development market economic situation and regulatory policies in recent years, the capital system of real estate development projects has gradually exposed some defects and needs to be further improved.
Under the new normal economic situation
Capital defects of real estate development projects
The project fund management system has long played an important management role in regulating real estate investment management, preventing financial risks in the real estate market and ensuring the smooth completion of the project. However, as mentioned above, this system had a clear historical background at the beginning of its establishment: first, it suppressed investment inflation, thus curbing inflation at that time; The second is to establish a restraint mechanism for investment risk management. After more than 20 years' development, great changes have taken place in the domestic real estate development market. It is no longer to curb economic overheating, but to face downward pressure on the economy.
Under the new normal economic situation, the project fund management system has become increasingly unable to adapt to the rapid development of the real estate development market, and the heavy cash margin pressure is not conducive to effectively activating the market vitality of real estate development enterprises. Under the background of deepening the reform of "decentralization, strengthening supervision and improving service" and promoting the policy of optimizing business environment, the fund management system of real estate development projects needs further innovation and optimization.
Project funds are high and cash flow pressure is high.
In recent years, after many policy adjustments in the State Council, the minimum proportion of capital of real estate development projects to the total investment in project construction is: 20% for affordable housing and ordinary commodity housing projects, and 25% for other projects.
As we all know, cash flow has always been the lifeline of the survival and development of real estate enterprises. The project capital, which accounts for 20% or 25% of the total investment of the project construction, will undoubtedly form a heavy cash flow pressure on real estate enterprises, which will not only be difficult to effectively activate the vitality of the enterprise market and promote the efficient operation of the real estate investment market, but also bring risks to the management of enterprise capital chain and affect the survival and development of enterprises.
Project construction and financing management are often restricted.
Since 1996, the domestic real estate development market has formally implemented the project capital management system, and "project capital" has not only become a necessary prerequisite for project construction, but also an important influencing factor for project financing.
Specifically, the Notice of the State Council on the Trial Implementation of the Capital System for Fixed Assets Investment Projects (Guo Fa [1996] No.35) requires that "investment projects must be funded before they can be built". Since then, governments in various regions of China have regarded "project capital" as a necessary prerequisite for administrative examination and approval of construction projects and construction permits.
At the same time, in 2009, the CBRC issued the Interim Measures for the Management of Fixed Assets Loans and the Notice of China Banking Regulatory Commission on Issues Related to Project Capital for Trust Companies to Carry out Project Financing Business, which not only listed "meeting the national regulations on investment project capital system" as a condition for applying for fixed assets loans, but also further standardized and required trust companies to strictly implement the national capital management system for fixed assets investment projects and strengthen their sense of prudent operation.
To sum up, the fund management system of real estate development projects has caused heavy cash flow pressure on real estate enterprises, affected the administrative examination and approval and financing management of investment projects, and is not conducive to optimizing the business environment of the real estate development market and further promoting the expansion and efficient operation of investment in the real estate development market.
It is worth noting that in recent years, with the deepening of the reform of "decentralization, strengthening supervision and improving services" and the continuous improvement and optimization of the business environment, all localities have actively explored management innovation, and some areas have tried to innovate the payment method of project capital in the form of "guarantee", which has provided new ideas for the capital management of real estate development projects nationwide.
The letter of guarantee replaces the project funds.
Reduce the burden on enterprises and optimize the business environment
In fact, no matter from the trend of national policy on project fund management in recent years or the remarkable role of innovative guarantee in releasing enterprise cash flow, there is sufficient basis for exploring "replacing project funds with guarantee".
Policy Trend of Project Capital Management
Since 1996 capital management system for fixed assets investment projects was formally implemented in China, the State Council has successively issued a number of important policy documents to adjust the minimum payment ratio of real estate development project capital to total project investment. Judging from the adjustment trend of the minimum investment ratio, the minimum project capital ratio in the real estate development market shows a downward trend, that is, the state encourages the expansion of the investment scale in the real estate market after curbing the initial inflation in the fixed assets investment field.
Especially on June 6, 20 19, the general offices of the General Office of the Central Committee of the CPC and the State Council issued the Notice on Issuing Local Government Special Bonds and Supporting Project Financing (No.33 [20 19]), which allowed some local government special bonds to be qualified capital for major projects for the first time. It can be seen that capital has become an important factor restricting investment in fixed assets. The gap of special funds in real estate development and investment market is widening day by day, so it is imperative to innovate the payment method of project capital.
In addition, since 20 19, the state has issued a number of important policies to innovate deposit management, and vigorously promoted bank guarantees and insurance guarantees (guarantee insurance) to replace cash deposits. In the process of pilot practice in various places, practice has proved that replacing cash deposit with letter of guarantee can effectively revitalize the working capital of enterprises, enhance their lending ability, reduce the burden on enterprises and optimize the business environment.
Reduce the burden on enterprises and optimize the business environment
As mentioned above, cash flow has always been the lifeline of the survival and development of real estate enterprises. The minimum payment ratio of capital for real estate development projects is 20% of the total investment of the project, which will undoubtedly form a heavy financial pressure on the development of real estate enterprises, and even lead to the risk of enterprise capital chain, endangering the survival and development of enterprises.
On the one hand, replacing project funds with letter of guarantee can effectively reduce the pressure on enterprise project funds and greatly revitalize enterprise cash flow; On the other hand, it can strengthen the borrowing ability and improve the anti-risk ability of enterprise capital chain. At the same time, innovative project fund guarantee management is also conducive to standardizing the traditional fund management services of real estate development projects, reducing relevant procedures, shortening the processing time of project funds and reducing the comprehensive processing cost of project funds, thus achieving the purpose of optimizing the business environment of real estate development market.
Strengthen the standardized management of project funds
There are some misunderstandings in the traditional project capital management in practice. For example, in recent years, local governments have implemented a proactive fiscal policy and a moderately loose monetary policy, which has led to a large increase in government financing platform loans. Although the government has increased its capital contribution by issuing treasury bonds and budget arrangements, the financing platform companies have many related parties, complicated financial nepotism, lack of standardization and transparency in financial management, and often have illegal behaviors such as using debt funds as project capital, which increases the risk of project fund management.
Replacing project capital with letter of guarantee can not only fill the expanding project capital gap in the current real estate development market, but also strengthen and standardize the fund management of real estate development projects through special subjects and fund management of banks or insurance companies, so as to prevent and avoid project fund management risks.
Under the new normal economic situation, the project fund management system in the field of real estate development is increasingly unable to adapt to the rapid development of the real estate development market. The heavy pressure of cash deposit not only can not effectively activate the market vitality of real estate development enterprises, but also is not conducive to the implementation of the national policy of deepening the reform of "decentralization, strengthening supervision and improving services" and promoting the optimization of the business environment. Innovating the payment method of real estate development project capital and replacing the project capital with letter of guarantee provide a new idea for the capital management of real estate development projects in China, which embodies the high unity of government departments exercising supervision functions and promoting the benign operation of the market.