Circular No. 21/2017/TT-BLDTBXH dated August 07, 2017 of the Ministry of Labor, War Invalids and Social Affairs on amending and supplementing a number of articles of Joint Circular No. 26/2014/TTLT-BLDTBXH-BTC-BGDDT guiding the financial management and implementation of the World Bank-funded Social Assistance System Strengthening Project for Vietnam

CIRCULAR

Amending and supplementing a number of articles of Joint Circular No. 26/2014/TTLT-BLDTBXH-BTC-BGDDT guiding the financial management and implementation of the World Bank-funded Social Assistance System Strengthening Project for Vietnam[1]

Pursuant to the Government’s Decree No. 14/2017/ND-CP of February 17, 2017, defining the functions, tasks, powers and organizational structure of the Ministry of Labor, War Invalids and Social Affairs;

Pursuant to the Government’s Decree No. 163/2016/ND-CP of December 21, 2016, guiding the 2015 Law on the State Budget;

Pursuant to the Government’s Decree No. 79/2010/ND-CP of July 14, 2010, on public debt management operation;

Pursuant to the Government’s Decree No. 16/2016/ND-CP of March 16, 2016, on management and use of official development assistance (ODA) and concessional loans of foreign donors;

Pursuant to the Financing Agreement for Credit No. 5354-VN signed on April 24, 2014, between the Government of the Socialist Republic of Vietnam and the International Development Association;

At the proposal of the Director of the Legal Department and the Director-Head of the Management Unit of the Social Assistance System Strengthening Project for Vietnam;

The Minister of Labor, War Invalids and Social Affairs promulgates Circular amending and supplementing a number of articles of Joint Circular No. 26/2014/TTLT-BLDTBXH-BTC-BGDDT of September 22, 2014 of the Ministers of Labor, War Invalids and Social Affairs; Finance; and Education and Training, guiding the financial management and implementation of the World Bank-funded Social Assistance System Strengthening Project for Vietnam.

Article 1.To amend and supplement a number of articles of Joint Circular No. 26/2014/TTLT-BLDTBXH-BTC-BGDDT of September 22, 2014 of the Ministers of Labor, War Invalids and Social Affairs; Finance; and Education and Training, guiding the financial management and implementation of the World Bank-funded Social Assistance System Strengthening Project for Vietnam

1. To supplement Clause 10, Article 2 as follows:

“10. Benefit recipients are those who lawfully represent households to receive the consolidated social assistance package, including: (a) household representatives registering to receive benefits; (b) persons authorized by household representatives to register to receive benefits; and (c) persons on the list of those receiving benefits on behalf of households, certified by commune-level People’s Committees, but other than the staff of the payment service provider.”

2. To amend and supplement Point b, Clause 5; Clause 9; and Clause 10, Article 6 as follows:

a/ To amend Point b, Clause 5 as follows:

“b/ Make and summarize implementation plans and financial plans of the Project and report on the project implementation status in their provinces, make quarterly reports on activities and disbursement of the Project in their localities to the Central Project Management Unit, and perform other tasks as specified in Provincial Project Management Units’ organization and operation regulations;”

b/ To amend Clause 9 as follows:

“9. Provincial- and district-level post offices must comply with Clause 2, Article 15 of this Circular. District-level post offices shall pay benefits to eligible subjects on the list made by district-level Labor, War Invalids and Social Affairs Divisions; and every quarter and at the end of every budgetary year, make the final accounts with regard to the number of eligible subjects that have already received benefits and those that have not yet received benefits with district-level Labor, War Invalids and Social Affairs Divisions. If a monetary loss occurs in the course of paying benefits or if paying benefits to ineligible subjects or if the paid amounts are inaccurate compared to payment lists, district-level post offices shall recover paid amounts and reimburse beneficiaries or agencies that have signed payment service contracts and take responsibility before law.”

c/ To amend Point b, Clause 10 as follows:

“b/ Make monthly payment lists according to the prescribed support levels; withdraw funds within the allocated budget estimates for the social assistance package; at the end of the budgetary year, refund to the budget the benefit amount not yet paid to eligible subjects. Every month, transfer money and provide payment lists to district-level post offices under Point b, Clause 2, Article 15 of this Circular.”

d/ To add Point c below Point b, Clause 10 as follows:

“c/ Advise chairpersons of district-level People’s Committees to issue decisions approving the lists of village- and hamlet-based collaborators. Manage the activities of village- and hamlet-based collaborators under the management and reporting process of the collaborator network of the Social Assistance System Strengthening Project for Vietnam promulgated together with Decision No. 76/QD-BQLDA of June 22, 2016 of the Director-Head of the Management Unit of the Social Assistance System Strengthening Project for Vietnam and collaborators’ implementation plans approved by the Central Project Management Unit. Every month, make and transfer the list of village- and hamlet-based collaborators to post offices for payment; and manage and monitor dossiers of payment for collaborators (copies) transferred from post offices.”

3. To amend and supplement Point a, Clause 1, Article 14 as follows:

“a/ Participation registration dossier: Each subject entitled to support policies shall submit a written registration for participation in the Project (see the enclosed Appendix)(not translated)and one of the following papers:

- For pregnant women: An antenatal or ultrasound fetal examination slip (clearly stating the mother’s full name, year of birth and address; gestational age, estimated date of delivery) bearing the medical establishment’s certification;

- For children aged between 0 and 3 years: A copy of the child’s birth certificate, written certification of birth issued by the medical establishment where he/she was born or the certification of the commune-level People’s Committee (for communes with extreme difficulties) of the child’s date of birth on the written registration for participation in the Project;

c/ For children aged between 3 and 15 years: A copy of the child’s birth certificate or the certification of the commune-level People’s Committee (for communes with extreme difficulties) of the child’s date of birth and his/her non-attendance at school on the written registration for participation in the Project.”

4. To amend Clause 2, Article 15 as follows:

“2. Payment of benefits under the consolidated social assistance package via post offices:

a/ Signing with post offices contracts on payment of benefits under the consolidated social assistance package to households:

- District-level Labor, War Invalids and Social Affairs Divisions that are assigned state budget expenditure estimates (including domestic funds and foreign loans) for implementation of the policies prescribed in Clause 1, Article 15 of this Circular shall sign with district-level post offices contracts on payment of benefits under the consolidated social assistance package to households and send 2 contract copies to Provincial Project Management Units and the Central Project Management Unit for use as a basis for payment of charges to district-level post offices.

- Provincial Project Management Units shall sign with provincial-level post offices contracts on payment of charges for the service of paying benefits under the consolidated social assistance package to beneficiaries and paying remuneration to village- and hamlet-based collaborators as prescribed at Point b, Clause 1, Article 11 of this Circular.

b/ Transferring money for payment of benefits:

- Before the 30^thevery month, district-level Labor, War Invalids and Social Affairs Divisions shall, based on lists of subjects eligible for support policies and assistance under the consolidated social assistance package of each household (clearly stating the increase or decrease of subjects compared to last month’s figures); funds for payment of support or assistance in the month (including amounts to be retrospectively paid and funeral expenses for social relief beneficiaries), withdraw funds from the State Treasury and make an authorized spending order to transfer money to district-level post offices, enclosed with payment lists of the subsequent month (including lists of subjects eligible for the household assistance package and list of village- and hamlet-based collaborators);

- Every month, the Central Project Management Unit shall base itself on Provincial Project Management Units’ requests for transfer of advance money for payment of service charges to post offices and remuneration to village- and hamlet-based collaborators (for the subsequent month) to carry out procedures for controlling and transferring money into provincial-level post offices’ bank accounts with 7 working days after receiving such requests;

- Provincial-level post offices shall transfer the amount to be paid as remuneration to village- and hamlet-based collaborators to district-level post offices’ bank accounts within 2 working days after receiving the amount from the Central Project Management Unit.

c/ Place and time of payment:

- Benefits under the consolidated social assistance package shall be paid to households from the 5^thto 18^thevery month in the following forms:

+ Direct payment at communal post-culture spots, postal stations or places arranged by post offices (for communes and wards where no post-culture spot or postal station is available);

- Payment at home, for subjects who cannot go to post-culture spots, postal stations or places arranged by post offices such as lonely elderly persons, persons with severe disabilities and persons with extremely severe disabilities who cannot arrange for others to receive benefits for them and households facing difficulties in getting to concentrated payment places to receive benefits. The lists of such subjects shall be made and submitted to commune-level People’s Committees chairpersons by commune cadres in charge of labor, war invalids and social affairs for certification and then sent to district-level Labor, War Invalids and Social Affairs Divisions for summarization and transfer to district-level post offices for payment;

- Remuneration for village- and hamlet-based collaborators shall be paid at the same time and places as benefits under the consolidated social assistance package. Village- and hamlet-based collaborators shall receive their remuneration in person and may not authorize other persons to receive remuneration for them. In case a village- and hamlet-based collaborator fails to come to receive his/her remuneration, such amount will be cut off and district-level post offices shall notify such to the district-level Labor, War Invalids and Social Affairs Divisions for handling.

d/ Payment process:

- For benefits under the consolidated social assistance package for households:

+ Based on monthly payment lists provided by district-level Labor, War Invalids and Social Affairs Divisions, district-level post offices shall hand the list of households to payment spots to organize payment of benefits. District-level post offices shall arrange convenient payment spots for households to receive benefits;

+ Postal employees assigned to make payment shall request benefit recipients to sign and write their full names in payment lists. At the same time, postal employees shall sign in households’ support receipt books for certification. A recipient who cannot sign may press his/her fingerprints on payment lists and postal employees shall ask and clearly write his/her full name on such lists. In case a household fails to arrange for someone to come to receive benefits or in case a postal employee goes to the beneficiary’s home but there is none to receive benefits, the postal employee shall refund the benefit amount to the district-level post office for payment in the subsequent month.

+ In case a household has not received the benefit amount for 2 consecutive months, the postal employee assigned to make payment shall coordinate with the commune-level People’s Committee in finding out the reason. If the eligible subject dies, is missing or moves to another place, the commune-level People’s Committee shall notify such to the district-level Labor, War Invalids and Social Affairs Division for the latter to carry out procedures to cut off or suspend the payment of support under regulations.

- For payment of remuneration to village- or hamlet-based collaborators: District-level post offices shall transfer lists of those entitled to remuneration to postal stations for the latter to pay remuneration and request collaborators to sign and write their full names on such lists.

dd/ Reporting and account finalization:

- District-level post offices shall summarize and make monthly reports on the number of households and village- or hamlet-based collaborators that have received benefits or remuneration and the paid money amount and lists of households and village- or hamlet-based collaborators that have not yet received benefits or remuneration for payment in the subsequent month, and send such reports and lists to district-level Labor, War Invalids and Social Affairs Divisions, Provincial Project Management Units and provincial-level post offices before the 20^thevery month and, at the same time, send copies of such reports and lists to commune-level People’s Committees for monitoring and supervision;

- Every month, district-level post offices shall hand over documents (payment lists bearing recipients’ signatures) for making final accounts of funds for payment of benefits to households and transfer back unused fund amounts (for December) to district-level Labor, War Invalids and Social Affairs Divisions for use as a basis for state budget account finalization; hand over documents (payment lists bearing recipients’ signatures) for making final accounts of funds for payment of remuneration to village- or hamlet-based collaborators and transfer back unused fund amounts (for December) to provincial-level post offices for settlement with the Central Project Management Unit;

- Every month, provincial-level Post Offices shall hand over documents (payment lists bearing recipients’ signatures) for making final accounts of funds for payment of remuneration to village- or hamlet-based collaborators and transfer back unused fund amounts (for quarter IV) to the Central Project Management Unit;

- Every quarter, district-level Labor, War Invalids and Social Affairs Divisions shall send reports on final accounts of funds for payment of benefits to three additional beneficiaries of the Project and written certifications of district-level State Treasury of these fund amounts to Provincial Project Management Units for summarization and sending to the Central Project Management Unit for the latter to carry out procedures to refund advance amounts with the World Bank.

- Quarterly and annually, Provincial Project Management Units shall summarize and report on the payment and final accounts of funds to the Central Project Management Unit, provincial-level Departments of Labor, War Invalids and Social Affairs; Finance; and Education and Training, and provincial-level People’s Committees.”

Article 2.Implementation provisions

1. This Circular takes effect on September 22, 2017.

2. To annul Point b , Clause 5; Clause 9; and Point b, Clause 10 of Article 6; Point a, Clause 1, Article 14; Clause 2, Article 15 of Joint Circular No. 26/2014/TTLT-BLDTBXH-BTC-BGDDT of September 22, 2014 of the Ministers of Labor, War Invalids and Social Affairs, Finance, and Education and Training, guiding the financial management and implementation of the World Bank-funded Social Assistance System Strengthening Project for Vietnam.

3. In case a document referred to in this Circular is replaced, amended or supplemented, the replacing, amending or supplementing document shall prevail.

4. Any problems arising in the course of implementation of this Circular should be promptly reported to the Ministry of Labor, War Invalids and Social Affairs for study and settlement.-

For the Minister of Labor, War Invalids and Social Affairs
Deputy Minister
NGUYEN TRONG DAM