Allowed to transfer socialization projects

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This is the new guideline of the Government prescribed at the Decree No. 59/2014/ND-CP dated June 06, amending and supplementing a number articles of the Government’s Decree No. 69/2008/ND-CP of May 30, 2008, on policies to encourage socialization in the fields of education, vocational training, healthcare, culture, sports and environment.

In particular, in accordance with the regulations of this Decree, in the course of implementation of a socialization project, if the socialization establishment, for objective reasons, cannot further implement such project on the land leased by the State, it may transfer the project in accordance with the law on real estate business, provided that it obtains a written in-principle approval from the provincial-level People’s Committee.

The project transferee must commit to further implement the socialization project in accordance with its objectives and land use purpose Land-attached assets, in case the project is eligible for exemption from land rental or subject to annual rental payment; land-attached assets and the whole of land use right value, in case the project is leased land with one-off rental payment for the whole lease term and has fully pay the payable land rental amount (ineligible for land rental exemption or reduction); land-attached assets and part of the land use right value in correspondence to the land rental amount already paid to the state budget, in case the project is eligible for land rental reduction shall be agreed upon by the two parties.

Besides, the Decree also supplement the judicial expertise to the fields in which socialization is encouraged include education-training, vocational training, healthcare, culture, physical training and sports, environment.

This Decree takes effect on August 01, 2014.