2009-12-08

Tightening admittance and exclusion; matching supervision and service

Beijing Municipal Commission of Housing and Urban-Rural Development recently promulgated the Notification on Further Improving and Standardizing the Qualification Examination and Approval of Construction Enterprises, in which 8 systems on qualification examination and approval reform are put forward to further tighten market admittance, purify market environment, prevent administrative risks and improve examination and approval quality. These systems were brought into effect formally on January 1, 2010. Combined with the dynamic supervision on construction enterprises’ qualification, Beijing has so far realized the construction industry administration system features tightened admittance and exclusion, and paralleled supervision and service, which has effectively accelerated structural optimization and improvement of the construction industry.

The 8 systems on qualification examination and approval stress the characteristic of fully utilizing social resources to make a complete enterprise assessment.

1. Expending the scope of public announcement, including all enterprises in the public announcement system and accepting social supervision.

2. Implementing stricter project result identification and verification system: When declaring local project results, enterprises shall provide recorded construction contract and labor contract; when declaring outside project results, the Municipal Commission of Housing and Urban-Rural Development is to verify facts with competent provincial authorities and relevant industrial authorities in the venue where the project is executed.

3. A registered personnel verification system is applied. In the case where the enterprise fails to apply for formal registration within the given time limit or the original qualification conditions didn’t reach standards, the Municipal Commission of Housing and Urban-Rural Development will withdraw the former administrative permit in accordance with laws and regulations.

4. An on-the-spot verification system is conducted to mainly verify the premise, major person in charge, workshop and machinery/equipment of newly-established enterprises.

5. A collaboration mechanism is set up among divisions under the Commission to comprehensively verify the corporate marketing behaviors.

6. An employer opinion soliciting system is used to ask employers, general contracting organizations which represent the project which the enterprise declared, about project progression, quality, safety and contract fulfillment circumstances; comprehensively assessing the enterprise’s integrated management capacity.

7. An expert evaluation system is implemented to improve the quality and professionalism of evaluation.

8. An on-line examination and inspection system is put into practice to ensure the accuracy of examination and inspection information. In addition, in order to crack down falsification, measures to be taken for enterprises using false materials in declaration are clearly stipulated in the Notification.

Guided by the principal of being active and reliable, the Municipal Commission of Housing and Urban-Rural Development has made a trial implementation of the 8 systems on the basis of large-scale propaganda and soliciting opinions from various circles. During the 3-month trial, inquiries have been sent to competent outer provincial and municipal authorities for 200 times in total, 128 times of employer opinion solicitation was made, and 118 pieces of enterprise qualification application information was announced on-line. Based on self-inspection and public tip-off, 10 enterprises which utilized false application materials have been discovered and all the applications were rejected. Moreover, the corporate qualification certificate of 1 enterprise was revoked due to falsification. The 8 systems and measures have effectively prevented enterprises from falsification and reduced administrative risks. The systems have also concurrently urged enterprises to strictly comply with relevant requirements of laws and regulations in their business operations, and achieved effective collaboration between market admittance and market supervision, becoming one of the important measures in the city’s special rectification on prominent problems in the field of construction projects.

Moreover, while standardizing industrial admittance, services and guidance to the city’s key enterprises and specialized enterprises with development potential were also enhanced in order to realize the goal of “3 guarantees”; Green examination and approval channels were opened for those enterprises with the aim to speed up processing speed, boost administrative efficiency and endeavor to improve investment environment.