Jilin Municipal Utilities Franchising Approach

Original Language Title: 吉林市市政公用事业特许经营办法

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(August 21, 2007 Executive meeting of the people's Government of Jilin city, the 77th considered by people's Government of Jilin city, August 28, 2007, the 185th announced as of October 1, 2007) Chapter I General provisions article to regulate municipal utilities franchising activities protecting public interests and the legitimate rights and interests of the franchisees, promoting the development of municipal public utilities, in accordance with the relevant laws and regulations, combined with the city's actual, these measures are formulated.
    Second municipal utilities franchising in these measures refers to the Government in accordance with the provisions of relevant laws and regulations, through market competition mechanism to select municipal investors or operators, its in a certain period and within the scope of business of a municipal system or providing a service.
    This article, urban water supply, gas supply, heating, public transport, sewage treatment, garbage treatment and other industries, according to law, franchising, these measures shall apply.
    Fourth municipal people's Government authorizes the city municipal utilities authority (hereinafter referred to as departments) responsible for oversight of municipal utilities franchising management and implementation.
    Development and reform, financial, industrial and commercial sectors in accordance with their duty of supervision and management functions.
    Article fifth municipal utilities franchising, reasonable layout, efficient allocation of resources, following the principles of openness, fairness, justice and the public interest priorities.
    Sixth Government encourages the social funds, foreign capital to take sole proprietorship, joint venture, cooperation forms, such as the construction of municipal public utilities, municipal utilities franchising.
    Encourage municipal public infrastructure sharing across boundaries.
    Article seventh concession operator shall ensure the provision of sustainable, safe, high quality, efficient and fair service.
    Franchisee shall comply with national laws and regulations, legitimate business and bear risks.
    Eighth chapter franchise authorities tender or otherwise specified in laws and regulations, select investor or operator, and signed with the municipal public utility franchise applicants made the Jilin Municipal Utilities franchising agreement (hereinafter the agreement).
    Select investor or operator of the Nineth bidding, according to bidding procedures under the law of the country.
    Participation franchise right bid who should has following conditions: (a) law registered of corporate; (ii) has corresponding of registered capital and facilities, and equipment; (three) has good of Bank funding letter, and financial status and the corresponding of claims debt capacity; (four) has corresponding of practitioners experience and good of performance; (five) has corresponding number of technology, and financial, and business, key post personnel; (six) has practical of business programme; (seven) legal, and regulations, and regulations provides of other conditions.
    Tenth Article competent sector should in accordance with following program select investors or operators: (a) proposed municipal utilities franchise project, reported Municipal Government approved Hou, to social public released tender conditions, accepted bid; (ii) according to tender conditions, on franchise right of bid people for qualification review and programme pre, recommended out meet conditions of bid candidates; (three) Organization Review Committee law for review, and after question and public reply, preferred select franchise right grant object;
    (D) to public bidding result published by no less than 20 days (v) public notice expires, has no objection to the winning bidder, approved by the municipal government, with the winning bidder to sign a letter of agreement.
    11th article agreement should including following content: (a) franchise content, and regional, and range and the effective term; (ii) products and service standard; (three) facilities of ownership and disposal; (four) facilities maintenance and update transformation; (five) security management; (six) performance guarantees; (seven) franchise right of terminated and change; (eight) default responsibility; (nine) dispute solution way; (10) both think should agreed of other matters.
    12th article get franchise right of enterprise (following said "franchise who") should perform following responsibility: (a) Science reasonable to developed enterprise annual production, and supply plans; (ii) according to national safety regulations and industry safety standard specification, organization enterprise safety; (three) perform business agreement, for social provides meet standard and quality price match of products and service; (four) accept competent sector, and about sector and service object on products, and service quality, and price (charges standard) of management and supervision;
    (E) according to the stipulated time will be medium-and long-term development plans, annual business plans, annual reports, Board resolution, submitted to the competent authorities for the record and (vi) strengthening production facilities, equipment operation, maintenance and renewal, ensure good condition; (VII) other responsibilities stipulated in the agreement.
    13th franchise period should be based on characteristics, size, mode of operation and other factors to determine, should not be longer than 30 years.
    Article 14th franchisee of government public expenditure or instruction task loss, adequate compensation from the Government.
    15th article in the term of agreement, of this tenancy agreement is absolutely necessary to change the agreement the two sides signed a supplementary agreement should be based on mutual consultation.
    16th franchisees need to change name, address, legal representative, shall inform the competent authority in writing in advance, subject to their consent. Article 17th franchisee proposes to terminate the agreement unilaterally within the validity of the agreement, should apply in advance, the authorities respond within 3 months of the receipt of the application.
    In front of the authorities agree to the disarmament agreement, the franchisee must ensure normal operation and service, and liability.
    Article 18th franchise shall not be any of the following acts: (I) unauthorized transfer, lease, franchise, (ii) will operate without authorization to dispose of or encumber the property; (c) significant quality, production safety accidents caused by human (iv) arbitrarily closed, closed, affecting the public interest and security; (v) other behaviors prohibited by laws and regulations.
    19th municipal price or adjustment, shall be governed by the People's Republic of China price law and State permission and approval procedures and regulations on price control regulations.
    20th government investment in public utilities, construction, property of the Government, municipal government can be a public facility by way of lease to the franchisee.
    21st licensed operators shall allow other operators are connected according to the requirements of its municipal utilities.
    Franchisee for construction and maintenance of municipal public facilities when you need access to certain areas and buildings should be prior consultation with the owner, owner and the person concerned shall provide convenience.
    22nd franchise is changed or terminated, departments must take effective measures to guarantee the public product supply and service continuity and stability.
    Article 23rd franchise applying for extension of the franchise shall be lodged within 6 months prior to the expiration of the extension application.
    Department review found that meets the conditions for extension can be extended, and sign a new agreement in 6 months prior to the expiry of the term the next franchise a written application, considered giving up.
    During the 24th franchise, a force majeure event occurs, which does not operate correctly, by the franchisee application and approved by the competent authorities, and early termination of their franchises, franchising is not liable.
    25th due to force majeure and the Government because of the public interest require the recovery of the franchise, the Government of the original franchisees to maintain the normal operation of the franchise business as part of net value of fixed assets investment and construction, giving reasonable compensation. Franchisees can follow the municipal urban planning and construction of new facilities.
    After the franchise was withdrawn or terminated, the municipal public facilities according to the agreement goes to the Government.
    26th franchises be withdrawn or terminated, original concession operators should be competent departments within the stipulated time, the assets necessary to maintain normal operation franchises and profile, transfer under normal running conditions specified by the competent authority.
    27th franchises be withdrawn or terminated, departments must take effective measures to guarantee the public products and service continuity and stability. 28th decides to take the franchise to the competent authority, shall notify concessionaires. Licensee can in writing within 30 working days after receipt of notice in writing to plead or request for a hearing.
    Franchisee may request a hearing, the competent authority shall organize the hearing.
    Franchisees to take back the franchise decision, may apply for administrative reconsideration or bring an administrative suit.
    Third chapter supervision management 29th article competent sector according to agreement book on franchise who for supervision management, perform following duties: (a) is responsible for municipal utilities franchise right of tender, specific organization work; (ii) assist related sector accounting and monitoring enterprise cost, proposed price adjustment application views; (three) supervision franchise who perform statutory obligations and agreement agreed of obligations; (four) on franchise who of 5 years business plans and annual business plans proposed views and recommends, and supervision implementation;
    (Five) developed products, and service quality evaluation standard; on products and service of quality, and business, and financial and safety situation for supervision; (six) accepted public on franchise who of complaints; on franchise who violations for investigation; (seven) review franchise who of annual report; to Government submitted annual franchise supervision check report; (eight) in endanger or may endanger public interests, and public security, emergency situation Xia, temporary took over franchise project; (nine) Agreement agreed of other responsibility.
    Article 30th franchise operators of municipal utilities should be status and performance of regular maintenance, and facilities operation reports on time to the competent authorities. The fourth chapter legal liability

    31st disobey article 18th, unauthorized transfer, lease, dispose of or encumber the property operated by man-made material quality, production safety accidents, business, business, affecting the public interest and security, by the competent authorities or with the relevant departments will be punished according to law, and shall cancel the franchise; the party causing damage to others shall bear liability.
    Constitute a crime, criminal responsibility shall be investigated according to law.
    Article 32nd franchise were not satisfied with the decision of the competent Department may initiate administrative reconsideration or administrative proceedings in accordance with law.
    Article 33rd Department functionaries, malpractice, neglect their duties, bribe, shall be given administrative sanctions constitutes a crime, criminal responsibility shall be investigated according to law.
    The fifth chapter supplementary articles article 34th authority pursuant to these measures, formulate specific measures for the management or any other matters.
                                                                                                35th article of the rules take effect on October 1, 2007.