Losing more than 3 billion, a driving center in Ben Tre is at risk of dissolution

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Ben Tre - From 2020 to 2023, training activities at the Driver Training Center of Ben Tre College suffered a loss of more than 3.1 billion VND.

According to Report No. 497 of the Ben Tre Provincial Inspectorate, from 2020 to 2023, the Driving Training Center of Ben Tre College operated at a loss of more than VND 3.1 billion. The reason for the loss was due to the need to equip monitoring equipment according to regulations and the impact of the COVID-19 pandemic. In addition, depreciation costs increased, there was no capital to invest in facilities, buy driving practice cars, and recruit teachers who did not meet the quota, so they could not attract students.

The school has used other funding sources (not regular tuition fees) to temporarily pay salaries, allowances, salary contributions for officials and employees of the center and some other mandatory expenses.

If driver training activities continue to suffer losses in 2024, Ben Tre College will consider the option of reorganizing or dissolving the center according to Decree No. 120/2020/ND-CP dated October 7, 2020 of the Government. The school is awaiting instructions from the Department of Finance (according to the direction of the Provincial People's Committee in Official Dispatch No. 1052/UBND-TCDT dated February 26, 2024).

Previously, on November 18, Mr. Tran Ngoc Tam - Chairman of Ben Tre Provincial People's Committee - signed and issued Decision No. 50/2024/QD-UBND on the quantity, types, and management methods of cars for general work and standards and norms for specialized cars for agencies, organizations, and units under the management of Ben Tre province.

According to this decision, among the units with car quotas, Ben Tre College is allocated 2 cars for general work, including 1 5-seat car and 1 7-seat car. This unit is also allocated 15 5-seat cars for driving practice.

The Driving Training Center of Ben Tre College was established under Decision No. 407/QD-CDBT-TCHC dated July 26, 2019 of Ben Tre College. The financial mechanism of this center is implemented according to Joint Circular No. 72/2011/TTLT-BTC-BGTVT dated May 27, 2011 of the Ministry of Finance and the Ministry of Transport, self-guaranteeing all operating costs, self-balancing revenue and expenditure, the budget does not provide funds for salaries and other expenses for driver training activities; when using facilities (driving practice grounds, machinery, equipment, driving practice cars, classrooms...) from the budget, depreciation must be deducted into expenses and allocated to the career development fund according to regulations.

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