According to Lao Dong Newspaper, in Quang Tan commune, one of the localities in Quang Binh province, the situation of basic construction debt is causing difficulties in infrastructure development. The commune's Multi-purpose Gymnasium project currently owes about 2.5 billion VND. This is just one of the projects that are undergoing basic construction in this locality.
According to Mr. Phan Thanh Tam, Chairman of the People's Committee of Quang Tan commune, the total amount of basic construction debt in the area is currently over 12 billion VND, with about 30 projects under construction. More than half of these projects are under construction, affecting the completion and handover progress. In particular, the Multi-purpose Gymnasium project, although largely completed, still owes a large sum of money.
Among the unpaid projects, there are some completed projects that have not been able to fully repay the debt such as the commune's kindergarten (although this project has been completed and put into use, there is still a debt of more than 1 billion VND). These debts are mainly due to the commune budget not being enough to pay.
To solve the problem of basic construction debt, one of the proposed options is to conduct land auctions. However, according to Mr. Tam, due to the administrative merger situation, the current bidding implementation cannot be implemented, leading to delays in resolving these debts.
The commune's current budget mainly relies on support from superiors, but there is no significant additional revenue. Local tax revenue each year is not enough to meet regular spending needs, causing the commune to not be able to use the budget for basic construction but only focus on paying small debts related to works such as flower gardens, ornamental plants, lighting equipment, maintaining clean and beautiful green landscapes, as well as supporting the construction of new rural models.
The commune has reported in detail and fully to the People's Committee of the town and the District Finance Department according to the prescribed form.
Mr. Dinh Thieu Son - Chairman of Ba Don Town People's Committee - said that the outstanding debt for basic construction in the town is currently over 318 billion VND. Of which, the capital from the provincial budget is more than 5.8 billion VND, the town budget is more than 94.8 billion VND, and the commune and ward budget is more than 217 billion VND. The town is currently focusing only on debt repayment, ensuring the completion of public investment projects by 2025.
Mr. Son also shared that the town is not currently starting a new project but is only focusing on repaying debts to ensure the progress of public investment completion. Currently, basic construction debt is still within the allowable threshold. The town has collected full information and reported to the Department of Finance to be able to continue to repay debts after the district-level government no longer exists, ensuring financial stability in the future.