Is it necessary for a preschool in Vietnam to disclose in-kind donations when mobilizing sponsorships?

Is it necessary for a preschool in Vietnam to disclose in-kind sponsorships when mobilizing sponsorships?

Based on Article 2 Circular 16/2018/TT-BGDDT, the principles of mobilization, receipt, management and use of sponsorships are as follows:

Principles of mobilization, receipt, management and use of sponsorships

1. Sponsorship must adhere to the principle of voluntariness, public disclosure, transparency, non-compulsion, no restriction on the average amount of sponsorship, no restriction on the minimum amount of sponsorship, avoid exploiting educational sponsorship to force contributions, and must not consider mobilization of sponsorships as mandatory conditions for provision of educational and training services.

2. The mobilization, receipt, management and use of sponsorships must be published and publicly posted on notice boards of educational institutions receiving sponsorships, and must strictly observe regulations laid down in applicable laws.

3. The management and use of sponsorships must conform to the principle of cost efficiency, effectiveness, serving the right purposes, avoiding any loss or wastefulness.

4. Physical objects that are not suitable for use in educational institutions or those that are harmful or dangerous to the environment and the health of officials, teachers, employees and students must be avoided.

5. Sponsors should be encouraged to put their own stakes in the construction and purchase of equipment and the complete installation thereof for handover to educational institutions according to the agreement and guidance of educational establishments.

6. Organizations and individuals should be encouraged to offer their sponsorships and aids for the purposes of educational development, improvement of educational infrastructure, support for teaching, learning and educational activities at educational institutions

Thus, according to the above principles for mobilization, receipt, management and use of sponsorships, it is determined that if preschools mobilize in-kind sponsorships, they must publicize the receipt of such sponsorships at the place they are received.

Is it necessary for a preschool in Vietnam to disclose in-kind sponsorships when mobilizing sponsorships? (Image from the Internet)

What are procedures for mobilizing sponsorships for a preschool in Vietnam?

Based on Article 5 Circular 16/2018/TT-BGDDT, the procedures for mobilizing sponsorships for a preschool in Vietnam are as follows:

Phase 1: Based on the annual school activity plan and the budget estimates from state agencies, periodically or suddenly, the preschool develops a sponsorship mobilization plan and reports it to the Department of Education and Training for approval for preschool;

Reports to the Department of Education and Training for approval for high schools and other educational institutions under the Department of Education and Training before organizing the mobilization of sponsorships.

Phase 2: The Department of Education and Training and the local Department of Education and Training are responsible for appraising and approving the sponsorship mobilization plan within 15 days from the date of receipt of the preschool's dossier.

If the sponsorship mobilization plan is found not to comply with the process, regulations, and not being transparent, the educational institution must be required to stop implementing the sponsorship mobilization plan.

Phase 3: The sponsorship mobilization plan must clearly define the content, purpose, beneficiaries, estimated budget, and the plan to implement the activities needing sponsorships.

What are regulations on receipt of in-kind sponsorships of a preschool in Vietnam?

Based on Article 6 Circular 16/2018/TT-BGDDT, a preschool receives in-kind sponsorships as follows:

Establishment of the Sponsorship Receiving Panel

-An educational institution shall be responsible for establishing the Sponsorship Receiving Panel. The Sponsorship Receiving Panel shall comprise the following main members: the head of an educational institution, the chief accountant, the parent representative council or the Board of Representatives of Communist Youth Union of Ho Chi Minh City, the Student Association; representatives of the community at the area where the educational institution is located (if any);

- The head of an educational institution shall become the group leader;

- The Sponsorship Receiving Panel shall be responsible for widely informing and disseminating the purposes, significance and principles of sponsorship activities; provide information on the time, address, name and deposit account number of the educational institution receiving sponsorships; pre-acceptance testing, transfer and use of in-kind or non-material sponsorships;

- The Sponsorship Receiving Panel shall be automatically dissolved after completion of sponsorship tasks.

The educational institution shall implement the process of receiving sponsorships as follows:

- Cash sponsorships:

+ The educational institution must open the detailed accounting book to separately monitor the sponsorship amounts; open an account at a bank or state treasury to receive sponsorships through the wire transfer service;

+ In case sponsorships are granted in the form of diamonds, gems, precious metals or other valuable objects, the educational institution shall collaborate with the Sponsorship Receiving Panel in selling them to commercial banks or auction organizers, and send the proceeds to that educational institution's account.

- In-kind sponsorships:

+ The educational institution shall cooperate with the Sponsorship Receiving Panel in carrying out the procedures for receiving the transfer, site and warehousing preparations for the preservation of donated objects in a fast and convenient manner;

+ As regards a capital construction project in the form of "turnkey" granted as a sponsorship, the sponsor shall be obliged to hand over dossiers, documents and other evidences related to construction activities to the educational institution and the financial body at the same level in order to enter the value of the construction project of which handover is completed into the accounting record.

The preparation of the financial report on capital according to the provisions of the Circular No. 09/2016 /TT-BTC dated January 18, 2016 of the Ministry of Finance prescribing the financial reporting of completed projects financed by the state budget shall be encouraged;

+ If equipment or machinery is granted as a sponsorship, the sponsor shall supply documents and/or technical dossiers to the educational institution according to regulations in force.

- As for non-material sponsorships, the educational institution shall receive, manage and use them in accordance with legislative regulations on intellectual property and other laws in force.

In case of the land use right granted as a sponsorship, the sponsor shall provide dossiers related to that land use right and complete the procedures for transfer of that land use right transfer to the educational institution for its receipt, management and use in accordance with land legislation.

Thus, when the preschool receives in-kind sponsorships, it cooperates with the sponsorship Sponsorship Receiving Panel to handle the procedures for receipt, prepare space, and storage to preserve the in-kind sponsorships promptly and efficiently.