On the financial management of infrastructure

Paper Keywords: Infrastructure construction and Financial Management system, system innovation incentive and restraint mechanisms
Abstracts: The state has invested heavily in infrastructure is intended to reflect the market's basic intent of government regulation, but the project decision-making errors or mismanagement will result in great loss and waste, not government regulation to achieve the intent of the market. Therefore, the Social socialist market economic system, strengthen the Financial Management of capital construction investment, the infrastructure to establish a scientific system of Financial Management is of great practical significance.

First, the premise of strengthening Financial Management infrastructure
(A) of the operating rules of the socialist market economy, an inherent requirement of the government infrastructure investment in the limited liability
One. By laws of market economy, we must follow scientific laws and international practices. Currently taken by developed countries including some developing countries in international conventions such as the J system owners, capital system, project bidding and bid system and Engineering supervision system, which is human for decades, the success of hundreds of years of accumulated experience, but also the objective laws of market economy is an objective reflection of the actual science.

2. Infrastructural projects of a different nature, the government's economic functions, the responsibility is different. Government-run enterprise for what purpose? Taxes and employment. Because of the different nature of investment in infrastructure projects, government infrastructure investment and management functions are also different, Depending on the nature of the project and limited liability.

(B) the results of the reform
First, multi-channel sources. Capital construction investment from the past, mainly by the national financial funds into investment units of self-financing, bank loans, foreign investment, financial allocations and other channels. Second, the diversification of investors. Investors an investment by the central government body in the past, into the central and local government, business, group, individual, foreign and other diverse subjects. Third, the investment diversification. investment from the past, mainly by government investment, into a joint investment, joint ventures, cooperative building a variety of ways. Fourth, the responsibility for clarity. different entities including the government investment in infrastructure projects, and under the management of different levels of intervention range of their limited liability, in the realization of investment and management responsibility combination of rights and the principle of reciprocity. Fifth, focus on content to expand production. from the past, mainly by new projects, new projects in new projects into the same time, began to focus on the technical transformation of existing enterprises, and take the path of Expanding Reproduction . Sixth, the project implementation trick to bid. investment projects, construction and implementation of assigned tasks by the executive, and gradually shift to introduce competition, tendering and bidding approach.

Second, system development and system innovation
(I) regulate and reform the financial system infrastructure main content
First, to clear the task of Financial Management infrastructure, it is necessary to comply with relevant state laws, regulations and policies; the second is the implementation of funding for infrastructure from the budget, control, accounting to management of the entire process of assessment; third, according to the law, reasonable, raise funds for construction in a timely manner, with good financing autonomy (mainly refers to operating items); Fourth, the management of the target to reduce costs and improve efficiency. to clear the financial sector and the construction of the financial management relations: First, what provisions activities must be from the financial sector supervision and management, project estimates should include bid price, cost and completion of financial accounts, etc.; Second, the regulations of the units must submit documentation to financial sector and financial sector that the necessary construction unit shall submit documents. such a requirement, Not only all the construction units have made it clear which activities should be subject to the management of financial sector supervision, but also for the financial sector to strengthen financial management infrastructure to provide the necessary financial basis.

(B) infrastructure principles of financial management reform
Construction finance management system reform should adhere to the following principles: to create a socialist market economic system for the purpose of financial management infrastructure to meet basic needs; to meet the requirements of macro-control, highlighting the source of funds control; different business-building projects and non-operating projects , the formation of different financial systems; systemic financial system infrastructure-oriented principles.

(C) strict implementation of infrastructure investment and management of the basic system
1. Project capital system
Responsibility to strengthen the investment risk constraints, and improve investment efficiency, state-owned and collective units of various operational infrastructure investments, it must implement capital system. Capital is the legal person of non-debt capital, the investor's total investment required (with working capital) of a certain percentage of subscription. investment in infrastructure construction and operation period is completed, investors subscribed capital of its capital contribution can be transferred according to law, but may not withdraw in any way.


2. Construction project legal person responsibility system and the owners
Responsibility for the establishment of investment restriction mechanism, regulate the legal person acts, clearly their duties, rights, benefits, and improve investment efficiency, all the preparatory work for new construction and infrastructure projects of state-owned units must set up the legal person, the implementation of the project owner responsibility. Links the Research Papers Download http://www.hi138.com 3. bidding system
In order to safeguard the legitimate field of infrastructure competition, regulate market behavior, to ensure the quality of infrastructure projects, improve investment returns, various infrastructure projects must be made legal tender by the construction project applications, with the approval of the project agreement and the relevant departments for approval the investor, the full the implementation of the tender system. construction project bidding, including project pre-feasibility study, preliminary design, Engineering design, construction, Engineering supervision, equipment and materials procurement and construction of social intermediary organizations such as the whole process of selection. project manager and identify specific organizational preparation of tender programs, base price and the evaluation criteria, selection and determine the vote, winning unit. for international bidding, according to current national regulations.

4. Engineering supervision and veto system
Infrastructure construction supervision means the legal person status by the Engineering supervision unit construction unit of the commission, in accordance with relevant laws, regulations and supervisory contracts, the construction phase of project construction investment, time and quality of the supervision and management. Supervisory agencies should be undertaken in accordance supervision mission, the formation of construction supervision institutions, and the chief supervision engineer is responsible for the implementation of the system. Chinese and foreign joint venture construction projects should be carried out by the Commissioner of domestic supervision unit, but may need supervision of the introduction of foreign technology or to accept the supervision of foreign companies technical advice.

(D) strengthen the financial sector infrastructure projects and the role of investment management functions
One. Strengthen the financial management of the dominant position of the financial infrastructure
Ministry of Finance on "Financial Management of infrastructure provision," it clear that financial departments at all levels is in charge of the functions of financial infrastructure, the implementation of the financial activities of the infrastructure of fiscal and financial management and oversight. The financial functions of the departments should strengthen the construction budget, budget review and decision making supervision, and where financial capital, the government should strengthen the project, the "three count" review other aspects of supervision.

2. Correct handling of the financial system and infrastructure, "two", "two systems" relationship
System, regulate and deepen the reform of financial system infrastructure, is to carry out further, "two", "two systems" for reform identified. Particularly for business-building projects "two", "two systems" for established markets economy, financial accounting policies, principles and method, not only for the operation of infrastructure projects, financial management system to determine the direction of reform, but also directly regulates the content of many aspects of reform. The current reform, the focus is a combination of construction projects, the implementation of capital system (ie the implementation of the balance test), on operating items and non-operating items dealing with the different series of important financial principles and methods to make more scientific and pragmatic norms.

Third, adhere to establish and improve management of infrastructure investment incentive and restriction mechanism
(A) All projects must be one hand and engineering construction, on the one hand clean
Currently, infrastructure works in a lot of corruption exposed, and some even horrifying. Make progress in anti-corrosion combination of corruption and engineering. To deepen the reform and reorganization investment in infrastructure construction market, serious construction discipline, standardize project order, combined with investment in infrastructure to promote the healthy development of the rail system.

(B) the need to strengthen the management of infrastructure projects and auditing
Engaged in infrastructure projects, it must implement all-round, and the whole process of management. Report to the preparation of the budget from the project, from design to construction, including construction quality, safety, duration of administration, materials procurement and supply, equipment procurement, transportation and installation, There after the completion and operation management, this set should have a scientific procedure and scientific norms, not arbitrary. have greatly enhanced the project audit. now the construction of a waste of serious loss of staggering, and even criminals from embezzlement bribery. All major projects must be strictly carried out the audit, not only to do well after the completion of the final audit, but also to strengthen the construction process of the single audit, in order to detect the problem, plug loopholes.

(C) strengthening assessment, to establish a scientific incentive and restraint mechanisms
Engage in construction work with out the other, like, must work to strengthen the person in charge of performance assessment. According to the special requirements of construction, set up to invest in quality, time limit for the main indicators of the assessment system, improve assessment methods, and regular inspection appraisal, rewards and punishments according to project completion. For complete good, should be given, including both material and spiritual rewards, and vice versa to be punished. Links http://www.hi138.com Research Papers Download