Proposal to extend the implementation time and disbursement of capital for some projects

Accordingly, based on the provisions of the State Budget Law 2015, the Public Investment Law 2019 and the guiding documents of the Central Government, through reviewing the reports of departments, branches and localities, on the basis of reviewing the disbursement results of each project and the proposals of investors, based on current regulations, the Department of Finance synthesizes and submits to the Provincial People's Committee to report to the Provincial People's Council for approval of the Resolution on extending the implementation period and disbursement of allocated capital for construction works. These are works and career capital under the National Target Program on New Rural Construction in 2021 until December 31, 2022.

Clearance of coastal road. Illustration photo. Tran Chau

At Point a, Clause 3, Article 64 of the 2015 State Budget Law stipulates: “Development investment expenditures shall be transferred to the following year in accordance with the provisions of the Law on Public Investment”. At Clause 2, Article 68 of the 2019 Public Investment Law stipulates: “The implementation and disbursement period for annual public investment plans shall be until January 31 of the following year. In case of force majeure, the Prime Minister shall decide on the central budget capital, and the Provincial People's Council shall decide on the local budget capital to allow an extension of the implementation period, but not beyond December 31 of the following year”.

According to the results of the criteria review under Clause 1, Article 48, Decree No. 40/2020 of the Government, due to the impact of the Covid-19 pandemic and objective reasons, the capital allocated for basic construction works and career capital under the National Target Program on New Rural Construction in 2021 has not been fully implemented and disbursed by units in 2021.

Specifically in Nghe An, the total undisbursed local budget capital in 2021 is 246.1 billion VND, including: 1 compensation, support, resettlement, and site clearance project, 7 projects with capital plans arranged to complete and put into use in the planning year but not allocated capital for the following year; 6 projects with additional investment plans from increased revenue, expenditure savings, state budget surplus, and annual state budget reserves but not yet authorized by competent authorities for disbursement in the following year.

There are 2 projects whose progress is affected by natural disasters, catastrophes, epidemics, and objective causes that cannot be foreseen and cannot be overcome despite applying all necessary and possible measures.

Regarding the career capital under the National Target Program on New Rural Construction in 2021 (allocated by the Provincial People's Committee in Decision No. 5138/QD-UBND dated December 29, 2021), the remaining amount of 1.2 billion VND has not been fully disbursed.

Therefore, the Provincial People's Committee reports to the Provincial People's Council for permission to extend the implementation period and disbursement of allocated capital for basic construction works and career capital under the National Target Program on New Rural Construction in 2021 until December 31, 2022.

This draft aims to facilitate the above agencies and units to continue disbursing the allocated capital in 2022 according to regulations.

The issuance of a Resolution on extending the implementation period and disbursement of allocated capital for basic construction works and public service capital under the National Target Program on New Rural Construction in 2021 until December 31, 2022 is necessary.

At the meeting of the Provincial People's Committee last May, regarding the disbursement of public investment capital, the Chairman of the Provincial People's Committee said that the disbursement rate of public investment capital in the province is higher than the national average, but we still have to focus on directing to speed up the disbursement progress. Therefore, the Department of Planning and Investment must advise the Working Group of the Provincial People's Committee to strengthen work with investors to inspect and have plans to promote disbursement to meet requirements./.