2003-2-13
Decree of the Ministry of Construction and the Ministry ofForeign Trade and Economic Cooperation,
No 116
The Regulations on the Management of Foreign-funded Urban Planning ServiceEnterprises, deliberated and ratified at the 65th executive meeting of theMinistry of Construction on December 13th, 2002 and the 2nd working meeting ofthe minister of Foreign Trade and Economic Cooperation on January 30th, 2003, ishereby promulgated for implementation as of May 1st, 2003.
Foreign-funded UrbanPlanning Service Enterprises
Article 1 Pursuant to 《the Law of the People's Republicof China on Foreign-funded Enterprises》,《the Law of the People's Republic ofChina on Sino-foreign Equity Joint Ventures》,《the Law of the People's Republicof China on Sino-foreign cooperative Joint Ventures》, and《the Law of thePeople's Republic of China on Urban Planning》, the current Regulations is herebyformulated to expand the scope of opening to the outside; regulate foreigncompanies, enterprises and other economic entities or individuals investing inenterprises providing services to urban planning; and strengthen management ofthe activities of urban planning services provided by foreign-funded urbanplanning service enterprises.
Article 2 The Regulations applies to those setting upforeign-funded urban planning service enterprises within the boundary of thePeople's Republic of China and applying for the 《Certificate of Qualification ofForeign-funded Enterprises for Urban Planning Services》, and to the supervisionand management of foreign-funded urban planning service enterprises.
Article 3 The foreign-funded urban planning serviceenterprises as referred to in the current Regulations include Sino-foreignequity joint ventures, Sino-foreign cooperative joint ventures, and ventureswith exclusive foreign investment that are set up in the People's Republic ofChina in accordance with law to provide services to urban planning.
The term 'urban planning service' as used in the current Regulations refersto provide drawing and consulting services to urban development plans other thangeneral planning.
Article 4 All foreign companies, enterprises, othereconomic entities or individuals engaged in urban planning services in Chinashall set up Sino-foreign equity joint ventures, Sino-foreign cooperative jointventures, or ventures with exclusive foreign investment and apply for the《Certificate of Qualification of Foreign-funded Enterprises for Urban PlanningServices》.
Those have not been granted the 《Certificate of Qualification ofForeign-funded Enterprises for Urban Planning Services》 shall not take up thebusiness of urban planning services.
Article 5 The department responsible for the managementof foreign trade and economic cooperation under the State Council shall takecharge of management of establishment of foreign-funded urban planning serviceenterprises, while the department responsible for construction under the StateCouncil shall take charge of management of qualification of foreign-funded urbanplanning service enterprises.
The departments responsible for foreign trade and economic cooperationunder the people's governments at the provincial, autonomous regional andmunicipal governments under the direct leadership of the central governmentshall take charge of preliminary examination of establishment of foreign-fundedurban planning service enterprises in their respective administrative areas, anddepartments responsible for urban planning under people's governments at andabove the county level shall take charge of supervision and management of theurban planning service activities carried out by foreign-funded urban planningservice enterprises in their respective administrative areas.
Article 6 Apart from meeting requirements set inrelevant Chinese laws and regulations on foreign-funded enterprises, thefollowing requirements shall be met for the establishment of foreign-fundedurban planning service enterprises:
1. The foreign party shall be an enterprise or professional specializingin urban planning services in its resident country or region.
2. The applicant shall own more than 20 employees specializing in urbanplanning, architecture, road transportation, gardening and related disciplines,with foreign specialists accounting for no less than 25 percent of the total,and have at least one foreign technician specializing in urban planning,architecture, road transportation, and gardening respectively.
3. The applicant shall have technical apparatus and fixed working siteas stipulated by the State.
Article 7 Those applying for establishingforeign-funded urban planning service enterprises shall apply, in accordancewith law, to the State Administration of Industry and Commerce or localadministrations of industry and commerce with authorization from the StateAdministration of Industry and Commerce for examination and approving the titlesof the foreign-funded enterprises they plan to set up.
Article 8 After passing examination and receivingapproval of the titles of the foreign-funded enterprises it plans to set up, theapplicant shall apply to the departments of the provincial, autonomous regionalor people's municipal government under the direct leadership of the centralgovernment in charge of foreign trade and economic cooperation in the regionwhere the enterprise is to be located for the establishment. it shall submit thefollowing documents:
1. The application for the establishment of a foreign-funded enterprisesigned by the legal representative of the investing party.
2. The feasibility study report, project proposal and plan on theestablishment of the enterprise (including staffing of specialists, plan ontechnical equipment, and area of the working site) produced or approved by theinvesting party.
3. The contract and rules of the foreign-funded enterprise signed by thelegal representative of the investing party (or rules only, in the case of anenterprise with exclusive foreign investment).
4. Notice of pre-approval on the title of the enterprise to be setup.
5. Certificate of legal person registration of the investing party andcertificate of the credit provided by the bank of the investing party.
6. Documents and certificates of appointment of the chairman, boardmembers, managers, and leading engineers or technicians to be appointed by theinvesting party.
7. The balance sheets and statements of loss and gain of the investingparty during the latest three years as audited by a chartered accountant or anaccountant firm.
8. Certificate of registration and certificate of bank credit of theurban planning service enterprise(s) run by the foreign investing party in itscountry or region.
9. Certificates of experiences and achievements of the foreign investingparty in urban planning services produced by responsible government departmentsor associations, societies, or notary organs in the residential country orregion of the said party.
Article 9 The department under provincial, autonomousregional or people's municipal governments under the direct leadership ofcentral government in charge of foreign trade and economic cooperation shallcomplete preliminary examination within 30 days after receiving an applicationand submit its approval to the State Council department in charge of foreigntrade and economic cooperation.
Article 10 The State Council department in charge offoreign trade and economic cooperation shall submit the application documentsthat have passed preliminary examination and approval to the State Councildepartment in charge of construction for soliciting the comments within 10 days.The State Council department in charge of construction shall put forward itsopinion within 30 days after receiving the application documents. Within 30 daysafter receiving the written opinion of the State Council department in charge ofconstruction, the State Council department in charge of foreign trade andeconomic cooperation shall make a decision of approval or disapproval. In thecase of approval, a certificate of approval shall be issued; and in the case ofdisapproval, a written explanation shall be given.
Article 11 After receiving the Certificate ofApproval of Foreign-funded Enterprise, the applicant shall register with anadministration of industry and commerce in accordance with law to get a businesslicense.
Article 12 After receiving a legal person businesslicense, the applicant shall apply to the State Council department in charge ofconstruction for the 《Certificate of Qualification for Urban Planning Servicesfor Foreign-funded Enterprises》.
Article 13 The following documents shall be suppliedfor application for the 《Certificate of Qualification for Urban PlanningServices for Foreign-funded Enterprises》:
1. Form of Application for the 《Certificate of Qualification for UrbanPlanning Services for Foreign-funded Enterprises》;
2. Certificate of Approval of Foreign-funded Enterprise;
3. Business license for enterprise legal person;
4. Contract of employment of technicians and specialists andcertificates of technical qualifications of these people put on file in labourand personnel departments;
5. Documents about the technical equipment of the enterprise.
Article 14 The foreign-funded urban planning serviceenterprise shall report, within 30 days after receiving the 《Certificate ofQualification for Urban Planning Services for Foreign-funded Enterprises》, tothe urban planning administration in the city or county of its registered forthe record.
Article 15 The foreign-funded urban planning serviceenterprise that contracts for urban planning services in areas other than thatof its registration shall report to the urban planning administrations of theseareas for the record.
Article 16 All the documents submitted by the applicantshall be written in Chinese. If any document of certification is written in aforeign language, a Chinese version shall be supplied.
Article 17 Foreign-funded urban planning serviceenterprises shall abide themselves by pertinent Chinese laws, regulations, andtechnical standards and norms when providing urban planning services.
Article 18 The foreign technicians employed byforeign-funded urban planning service enterprises shall stay in China for atotal length of no less than 6 months per person a year.
Article 19 The State Council department in charge ofconstruction shall carry out annual checks to the foreign-funded urban planningservice enterprises that have received the 《Certificate of Qualification forUrban Planning Services for Foreign-funded Enterprises》. Those found unqualifiedshall have their 《Certificate of Qualification for Urban Planning Services forForeign-funded Enterprises》 revoked.
Article 20 Chinese units that have received the《Certificate of Qualification for Compilation of Urban Planning》 shall hand inthe Certificate when they are restructured into Sino-foreign equity orcooperative joint ventures specializing in urban planning services.
Article 21 Foreign-funded urban planning serviceenterprises shall hand in their 《Certificate of Qualification for Urban PlanningServices for Foreign-funded Enterprises》 when they stop operations or aredisbanded or terminated.
Article 22 It is strictly forbidden to entrust anybusinesses of urban planning services to foreign-funded enterprises that havenot granted the 《Certificate of Qualification for Urban Planning Services forForeign-funded Enterprises》.
It is strictly forbidden to entrust any businesses of service to generalurban planning to foreign-funded enterprises.
Article 23 Those that contract for urban planningservices without the 《Certificate of Qualification for Urban Planning Servicesfor Foreign-funded Enterprises》 shall be ordered by the constructionadministrations of people's governments at or above the county level to stoptheir illegal activities, together with a penalty above RMB10,000 yuan and belowRMB30,000 yuan. Their achievements shall not be acknowledged by anydepartment.
Article 24 Those foreign-funded urban planning serviceenterprises that provide services to compilation of general urban planning inviolation of the current Regulations shall be ordered by the constructionadministrations of people's government at or above the county level to mendthemselves. Those involved in severe cases shall have their 《Certificate ofQualification for Urban Planning Services for Foreign-fundedEnterprises》withdrawn by the original issuer.
Those foreign-funded urban planning service enterprises that obtain the《Certificate of Qualification for Urban Planning Services for Foreign-fundedEnterprises》 through fraud and deception shall have their Certificate withdrawnby the issuer.
After withdrawing a Certificate, the issuer shall inform the registrationdepartment concerned of the case. The enterprise whose certificate has beenwithdrawn shall apply to the original department of registration forcancellation of its registration. Those that refuse to go through cancellationformalities shall be handled by registration departments in accordance withlaw.
Article 25 Those that entrust urban planning servicesor general urban planning services to foreign-funded enterprises that have notgot the 《Certificate of Qualification for Urban Planning Services forForeign-funded Enterprises》 in violation of the current Regulations shall becorrected by their senior departments, with administrative responsibilities tobe affixed upon the person responsible in accordance with law. If a crime iscommitted, criminal responsibilities shall be found out in accordance withlaw.
Article 26 The current Regulations shall be interpretedby the State Council department in charge of construction and the State Councildepartment in charge of foreign trade and economic cooperation according totheir respective functions.
Article 27 Investors from the Hong Kong SpecialAdministrative Zone, the Macao Special Administrative Zone, and Taiwan areacoming to run urban planning service enterprises on the mainland shall behandled with reference to the current Regulations.
Article 28 The current Regulations shall take effect asof May 1, 2003.
To be sent to: The Law Committee of the National People's Congress, the LawOffice of the State Council, the Editorial Office of the Gazette of the StateCouncil, the construction commissions and bureaus of foreign trade and economiccooperation of people's governments at the provincial, autonomous regional andmunicipal level, the construction commission of cities as independent entries inState plans and budgets, ministries and commissions of the State Council, andleaders, bureaus, and subsidiary institutions of the Ministry ofConstruction.
Secretariat of the General Office of the Ministry of Construction
Printed and issued on February 20th, 2003
