Guidance on handling market infrastructure assets in cases of loss or destruction in Vietnam from August 1, 2024

Guidance on handling market infrastructure assets in cases of loss or destruction in Vietnam from August 1, 2024 (Image from the internet)

On June 5, 2024, Hanoi issued Decree 60/2024/ND-CP regarding the development and management of markets.

Guidance on Handling Market Infrastructure Assets in Cases of Loss or Destruction in Vietnam from August 1, 2024

Article 31 of Decree 60/2024/ND-CP stipulates the handling of market infrastructure assets in cases of loss or destruction in Vietnam as follows:

(1) Market infrastructure assets are handled in cases of loss or destruction due to natural disasters, fire, or other causes where the asset no longer exists or is damaged beyond the possibility of functional recovery.

(2) Authority to decide on the handling of market infrastructure assets in cases of loss or destruction:

- The Provincial People's Committee decides on the handling of market infrastructure assets managed by the province;

- The District People's Committee decides on the handling of market infrastructure assets managed by the district.

(3) Procedures and steps for handling market infrastructure assets in cases of loss or destruction:

(i) Agencies or units with assets falling under the provisions of clause (1) shall prepare dossiers requesting asset handling and send them to the competent authorities on market infrastructure assets at the same level. The dossier includes:

- A written request for asset handling (specifying the exact nature of the assets to be handled according to the provisions of clause (1)): 01 original copy.

- A list of assets proposed for handling (asset name, quantity, asset value): 01 original copy.

- Other relevant documents (if any): 01 copy.

(ii) Within 45 days from the date of receipt of the complete dossier as specified in item (i), the competent authorities on market infrastructure assets shall take the lead, cooperate with relevant agencies or units to report to the People's Committee at the competent level as specified in clause (2) for consideration and decision on asset handling. The report dossier includes:

- Presentation of the competent authorities on market infrastructure assets or intersectoral issues concerning asset handling: 01 original copy.

- List of assets proposed for handling (asset name, quantity, asset value): 01 original copy.

- Minutes of intersectoral meetings or written opinions from relevant agencies or units: 01 copy.

- Dossier as specified in item (i): 01 copy.

(iii) Within 30 days from the date of receipt of the complete dossier as specified in item (ii), the competent People's Committee as specified in clause (2) shall consider, decide on asset handling, or issue a written response if the asset handling proposal is inappropriate. The main content of the Asset Handling Decision includes:

- Name of the agency or unit with lost or destroyed assets;

- List of lost or destroyed assets (asset name, quantity, asset value); reasons (causes) for the loss or destruction of assets;

- Responsibility for the implementation.

(4) Within 30 days from the date of the handling decision by the competent authority or individual as specified in clause (2), the assigned agencies or units shall carry out asset reduction accounting as per legal regulations on accounting; report according to the provisions of Decree 60/2024/ND-CP (report using Form 01B, Form 01C Annex I of Decree 60/2024/ND-CP).

(5) State budget guarantees funding for remedial actions, repairs to market infrastructure assets to ensure operational restoration.

In cases where market infrastructure assets are lost or destroyed and compensated by insurance or related organizations or individuals, the management and use of the compensation funds are carried out according to the provisions of Article 33 of Decree 60/2024/ND-CP.

Funds remitted to the state budget are prioritized for allocation in the public investment plan, state budget expenditure estimates to invest in new construction, upgrading, renovating, and developing market infrastructure assets according to regulations of the law on state budget, public investment law, and related legal documents.

Nguyen Ngoc Que Anh

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