General provisions on management and use of public property in Vietnam

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Vietnam law has general provisions on management and use of public property. Let’s find out this issue with Lawyer X through the following situation: “Dear Lawyer! I want to ask what are regulations on classification of public property in Vietnam? What are Policies on management and use of public property? Thanks for answering me!”

  • 2017 Vietnam Law on Management and Use of Public Property

Classification of public property

Public property shall be classified as follows:

– Public property used to manage and provide public services and ensure national security of competent state authorities, people’s armed forces, public service providers, authorities affiliated to Communist Party of Vietnam, socio-political organizations, socio-political and professional organization, social organization, social-professional organization or another organization that is established according to regulations of law on associations, except for the property specified in Clause 4 this Article (hereinafter referred to as “public property of authorities and organizations”);

– Infrastructural property serving national or public interests are technical infrastructure works, social infrastructure facilities, land areas, water areas or sea areas associated with infrastructure works, including: transport infrastructure, power supply infrastructure, irrigation infrastructure and response to climate change, urban infrastructure, industry cluster infrastructure, industrial zones, economic zones, high-tech zones, commercial infrastructure, information infrastructure, educational and training infrastructure, science and technology infrastructure, medical infrastructure, cultural infrastructure, sports infrastructure, tourism infrastructure and other infrastructure in accordance with provisions of law (hereinafter referred to as “infrastructural property”);

– Public property of enterprises;

– Property of state-funded projects;

– Property established for public ownership according to provisions of law, including: confiscated property; property without owners, property whose owner is unidentified; property that is dropped, forgotten, buried, hidden, sunk and found; property without inheritors and other property belonging to the State as prescribed in provisions of the Civil Code; property whose owner voluntarily transfers ownership to the State; property transferred by the foreign-invested enterprises without reimbursement to the Vietnamese State according to their commitments after the expiry of their operation duration; property invested in the form of public-private partnerships and transferred to the Vietnamese State under project contracts;

– Money of the state budget, non-state budget financial funds and foreign exchange reserves of the State;

– Land; water resources, forest resources, mineral resources, marine resources, airspace, telephone numbers and other numbers serving state management, Internet resources, radio frequency spectrum, orbit satellites and other resources managed by the State

Policies on management and use of public property

– The State shall formulate policies on public property investment, operation and protection.

– The State shall modernize and professionalize management of public property to enhance efficiency and effectiveness of management and use of public property; to ensure personnel and financial resources for the management and use of public property.

– The State shall encourage both domestic and foreign organizations and individuals to:

+ Invest in science and technology to increase public property and modernize management of public property;

+ Transfer rights to invest, operate or lease of public property;

+ Provide services related to public property.

Rules for management and use of public property

– The State shall authorize management and use of each public property corresponding to each organization and individual in accordance with 2017 Vietnam Law on Management and Use of Public Property and relevant law.

General provisions on management and use of public property in Vietnam
General provisions on management and use of public property in Vietnam

– Public property invested by the State shall be managed, operated, maintained, repaired, statistically and financially accounted for both exhibits and value; highly risky property due to natural disasters, fires and other force majeure events shall be managed through insurance or other instruments as regulated by law.

– Public property are resources that shall be inventoried, prepared statistics on exhibits, provided information in line with nature and characteristics of property; managed, protected and operated according to the planning and plans in order to ensure cost-effectiveness and lawfulness.

– Public property serving management and provision of public services and assurance of national security shall be used cost-effectively for the right purposes, utility, subjects, standards, norms and policies as prescribe by law.

– Use of financial resources obtained from public property shall be subjected to market mechanism, effectiveness, transparence and lawfulness.

– Management and use of public property shall apply the principle of transparence and ensure thrift practice, waste combat, corruption prevention and control.

– Management and use of public property shall be monitored, inspected and audited; any violations against management and use of public property shall be promptly and strictly handled according to regulations of law.

Forms of using financial resources obtained from public property

– Assign the right to use public property.

– Grant the right to operate public property.

– Lease out public property.

– Transfer or lease out the right to operate or use public property.

– Use public property for commercial or for joint venture purposes.

– Use public property to fulfill state obligations.

– Sell or liquidate public property.

– Other forms as prescribed by law.

Publishing of information about public property

– Publishing of information about public property shall be carried out fully, promptly and accurately; otherwise actions against violations shall be taken.

– Published information shall include:

+ Legislative documents, standards, norms and administrative procedures for public property;

+ Construction investment, purchase, distribution, lease, use, withdrawal, transfer, utility conversion, sale, liquidation, destruction and other forms to dispose of public property;

+ Use of financial resources obtained from public property.

– Forms of publishing:

+ Publishing information about public property on websites of the Government, Ministry of Finance, ministries, ministerial authorities, governmental authorities, other central authorities and People’s Committees of provinces;

+ Making public lists and displaying them at workplaces of organizations that are assigned to manage and use public property;

+ Making announcements at meetings of organizations that are assigned to manage and use public property;

+ Other forms of publishing as prescribed by law.

– Responsibilities for publishing:

+ The Ministry of Finance shall publish information about public property nationwide;

+ Ministries, ministerial authorities, governmental authorities, other central authorities and People’s Committees of all levels shall publish information about public property within their scope of management;

+ Organizations that are assigned to manage and use public property shall publish information about public property within their scope of management and use;

+ State Audit Office of Vietnam shall publish information about auditing results of management and use of public property and other activities related to that as prescribed in regulations of the Law on State audit.

– The Government shall specify this Article in details.

Community-based monitoring of public property

– Management and use of public property shall be monitored by the community, except for property related to the state secrets as stipulated in regulations of law on state secret protection. The Vietnamese Fatherland Front shall undertake and cooperate with its members and relevant organizations to organize community-based monitoring of public property.

– The Vietnamese Fatherland Fronts of all levels or their members shall receive information and requests for monitoring from people; take charge of making plans and organize the monitoring of public property on schedule and according to regulations of law.

– Contents of monitoring:

+ Compliance with regulations of law on management and use of public property;

+ Construction investment, purchase, distribution, lease, use, withdrawal, transfer, utility conversion, sale, liquidation, destruction and other forms to dispose of public property;

+ Use of financial resources obtained from public property;

+ Publishing of information about public property.

– Forms of monitoring:

+ Studying and reviewing documents of competent state authorities on management and use of public property related to legitimate rights and interests of people;

+ Organizing monitoring delegations;

+ Organizing monitoring visits with competent organizations;

+ Monitoring through activities of People’s Inspectorates and Investment Monitoring Boards of communes.

Banned actions in management and use of public property;

– Take advantage of positions and power to illegally occupy and use public property.

– Invest in construction, purchase, distribute, lease or use public property for the improper purposes and policies or exceeding criteria and norms.

– Transfer public property to an organization or individual that exceeds the criteria and norms or has no demand for use of public property.

– Use cars and other public property that are given by an organization or individual for the improper purposes and policies or exceeding criteria and norms.

– Use or fail to use transferred public property resulting in waste; use public property for commercial purposes, for lease or for joint venture purposes that fails to serve purposes of use of the property and makes an adverse impact on implementation of functions and tasks assigned by the State; or use public property for illegal business.

– Dispose of public property illegally.

– Destroy or intentionally damage public property.

– Occupy or use public property illegally.

– Fail to fulfill all responsibilities or obligations in management and use of public property.

– Other banned actions in management and use of public property as prescribed in regulations of relevant law.

Actions against violations of regulations on management and use of public property

– Authorities, organizations and other entities that commit violations against regulations on management and use of public property shall be disciplined, imposed penalties for administrative violations or criminal prosecution depending on nature and seriousness of the violations; or shall compensate for damage to the State (if any).

– Heads of authorities or organizations shall explain and take full responsibility or jointly take responsibility if there are any violations against regulations on management and use of public property happening at their workplaces; and they shall be disciplined or face criminal prosecution depending on nature and seriousness of the violations.

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Frequently asked questions

Shallthe State formulate policies on public property investment, operation and protection?

The State shall formulate policies on public property investment, operation and protection.

Shall the State modernize and professionalize management of public property to enhance efficiency and effectiveness of management and use of public property?

The State shall modernize and professionalize management of public property to enhance efficiency and effectiveness of management and use of public property; to ensure personnel and financial resources for the management and use of public property.

Shall the State encourage both domestic and foreign organizations and individuals to invest in science and technology to increase public property?

The State shall encourage both domestic and foreign organizations and individuals to invest in science and technology to increase public property and modernize management of public property,

5/5 - (1 vote)

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