04 Principles for the management and use of houses and land assigned to housing management and business organization for managing and exploiting in Vietnam

04 Principles for the management and use of houses and land assigned to housing management and business organization for managing and exploiting in Vietnam (Internet image)

On August 23, 2024, the Government of Vietnam promulgated Decree 108/2024/ND-CP stipulating the management, utilization, and exploitation of houses and land as Public Property not used for residential purposes assigned to local authorities' house management and business organizations for management and exploitation.

1. 04 Principles for the management and use of houses and land assigned to housing management and business organization for managing and exploiting in Vietnam

According to Article 3 of Decree 108/2024/ND-CP, the principles for the management and use of houses and land assigned to housing management and business organization for managing and exploiting in Vietnam include:

- The management, utilization, and exploitation of houses and land must ensure efficiency, meet local economic and social development needs, and be transparent, public, and lawful.

- The assignment of houses and land to management and business organizations is done by increasing the assets and their value without counting them as part of the state capital in enterprises.

- Management and business organizations, tenants, and agencies, organizations, and units temporarily using the houses and land must fully fulfill their responsibilities as stipulated in Articles 28, 29, and 30 of Decree 108/2024/ND-CP.

- The management, utilization, and exploitation of houses and land must be supervised, inspected, audited according to legal regulations; all acts violating the law regarding the management, utilization, and exploitation of houses and land must be promptly detected and strictly handled according to legal provisions.

2. Regulations on housing and land funds assigned to housing management and business organization to manage and exploit in Vietnam

The housing and land funds assigned to housing management and business organization to manage and exploit are specifically stipulated in Article 5 of Decree 108/2024/ND-CP as follows:

- Houses and land officially assigned by the provincial People's Committee to management and business organizations as specified in Clause 3 of Article 2 of Decree 108/2024/ND-CP for management and exploitation before the effective date of Decree 108/2024/ND-CP.

- Houses and land managed and exploited by the management and business organizations specified in Clause 3 of Article 2 of Decree 108/2024/ND-CP before the effective date of Decree 108/2024/ND-CP but without a written asset assignment from the provincial People's Committee.

- Houses and land assigned for management and exploitation by other agencies, organizations, units, or enterprises but now reassigned to the house management and business organization by the provincial People's Committee as per Decree 108/2024/ND-CP.

- Houses and land with a Recovery Decision from the competent authority as per legal regulations on public asset management and usage.

- Houses and land with a Transfer Decision to local management and handling from the competent authority as per legal regulations on public asset management and usage.

- Other housing and land funds managed by local authorities.

3. Management responsibilities for houses and land assigned to housing management and business organization to manage and exploit in Vietnam

According to Article 4 of Decree 108/2024/ND-CP, the management responsibilities for houses and land assigned to housing management and business organization to manage and exploit in Vietnam are stipulated as follows:

- The provincial People's Committee represents the owner and uniformly manages the housing and land funds assigned to the management and business organization.

- The agency in charge of executing the task of managing Public Property at the provincial level, as stipulated in Clause 3 of Article 19 of the Law on Management and Utilization of Public Property 2017, is responsible for presiding, assisting the provincial People's Committee in state management of houses and land assigned to the management and business organization.

Specialized agencies under the provincial People's Committee are other local agencies assisting the provincial People's Committee in performing state management of houses and land assigned to the management and business organization as per Decree 108/2024/ND-CP and related laws.

More details can be found in Decree 108/2024/ND-CP which comes into force in Vietnam from August 15, 2024.

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