Chapter 59



He looked at λ†– in confusion and asked, "What's the play style? What's the probability of getting penalized after committing a foul?"

He said: "Those who don't work on land policy have no idea how heavy the punishment will be."

He hesitated for a moment and picked up the phone on his desk: "Secretary Yu, tell County Governor Liu to come to my office."

Not long after he hung up the phone, Deputy County Mayor Liu Xiu hurried into the room.

Liu Xiu is a scholar-official who once served as the director of the Land Bureau. He is known for his deep understanding of policies and professional expertise. He is strict, unsmiling, and sticks to principles. He is a clean stream in the officialdom. In that era, the director of the Land Bureau was often jokingly called "Land Lord". Because of the power to approve land, it became a hotbed of corruption. However, Liu Xiu kept himself clean and gradually rose to the position of deputy county chief with his clean and honest style and excellent professional ability.

Shang waited for Liu Xiu to speak, and Zhang Xiaodong said anxiously: "Director Guan of the Development Zone has some ideas. County Mayor Liu, please check them to see if they are feasible. If they violate the rules, is the nature of the violation serious?"

Liu Xiu nodded.

Zhang Xiaodong signaled with his eyes to continue speaking.

λ†– said: "I have a preliminary idea about the logistics park and would like to ask Mayor Liu for guidance from the perspective of laws and policies."

Liu Xiu pondered for a moment and said slowly: "Before you say anything specific, I want to talk about my opinion first. Regarding the logistics park project, the original plan was to transfer the land to enterprises at zero land price through land allocation. When this issue was discussed at the meeting, I had already expressed my reservations. Because this practice violates the relevant land law. According to relevant regulations, the law clearly requires that the allocated land must be used for public welfare undertakings and is not allowed to be used for business projects. Of course, various localities have tried various workarounds, but now the country has introduced relevant policies. The policies have not only not been relaxed, but have further strengthened the rigor of the law and made more standardized and detailed elaborations on the legal provisions. "

Zhang Xiaodong said: "Let's not talk about the past. We have to take responsibility. But the current urgent problems must be solved, and investment promotion should not be abandoned halfway. As long as it is done for the public good, if something goes wrong in the future, you will bear the consequences. Hongjun, please continue."

He tentatively proposed: "Why not set aside this piece of land and build it in the name of emergency material reserves? Let enterprises build it and sign long-term "lease contracts" with them. The enterprises will pay symbolic rent to the government, and then the government will subsidize the rent..."

Liu Xiu interrupted him as soon as he finished speaking, his tone was full of unquestionable seriousness: "Absolutely not. This method of packaging a business project as a public welfare project seriously violates laws and policies, and will cause the loss of state-owned assets. Not only is there a risk of violating regulations and disciplines, but in serious cases, the relevant responsible persons will also bear legal responsibility."

Seeing that this plan was difficult to implement, he quickly changed his mind: "Then we can sign a "State-owned Land Use Rights Transfer Contract" with the enterprise, agreeing that the land use is "logistics warehousing", and then clarify through a supplementary agreement that the government will return all the transfer fees after the enterprise raises funds to build the logistics park."

Liu Xiu also shook his head: "This case requires that the land transfer of operating projects must go through the bidding and auction procedures, and the agreement transfer is not feasible. Even if the agreement is transferred, there is still the problem of yin and yang. The more serious thing is that the land transfer fee must be paid in full to the state treasury, which constitutes the withholding of financial funds and a financial violation. A county in the south once did this, and it was listed for inspection by the higher authorities. The company made up the transfer fee and the relevant personnel were punished."

Hearing this, Zhang Xiaodong and Wang Yanshu couldn't help but reveal disappointment on their faces.

Both of his proposals were rejected by Liu Xiu, but he was not discouraged. Instead, he ignited a fighting spirit that became stronger with each setback: "Then we should cross the river by feeling our way forward and try to adopt the PPP model."

When these words came out, the three people including Zhang Xiaodong were all stunned. Zhang Xiaodong asked first: "I have heard of this model, but how to operate it specifically?"

Wang Yanshu and Liu Xiubo cast inquiring glances.

"PPP stands for Public-Private Partnership, which means a cooperation model between the government and social capital. Under this model, the government works with enterprises by assessing the value of land and investing in land. The enterprise is responsible for the full investment in construction and operation, while the government obtains profits in the form of dividends," he explained.

Several years later, in 2014, the PPP model took root and flourished in China. Through the cooperation between the government and social capital, it systematically solved the problems of inefficiency, funding shortage and single risk in the traditional public service supply. The most typical case is the Beijing Daxing International Airport project, which began construction in 2014, but this will be discussed later.

After hearing this, Liu Xiu's eyes sparkled: "Director Guan's proposal is quite feasible. Last year, the state issued the "Several Opinions on Promoting the Development of the Circulation Industry", which clearly encouraged the cooperation between the government and enterprises to build logistics infrastructure."

Wang Yanshu interjected: β€œIt sounds good, but will the companies be willing to let the government take a stake in their business?”

Wang smiled and responded: "As a supporting project of the development zone, the logistics park will surely attract many logistics companies to settle in, and the rental income will be very considerable. The participation of the government will not only make the pie bigger, but also achieve a win-win situation for both parties. As expected, we should strive to be detailed when formulating the agreement, and pre-set the path for future enterprise exit and government takeover to ensure the rights and interests of both parties."

Liu Xiu nodded and praised: "From what Director Guan said, I can feel his fairness and foresight. At present, this plan is indeed more feasible. However, the specific regulations and clauses still need to be further studied."

Zhang Xiaodong raised his own concerns: "There are two concerns. First, although this model has been tried in some areas in the south, the results are mixed. As a small county in the northeast, are there any risks in taking such a big step? Second, as County Mayor Wang is worried, will enterprises accept this model?"

He said firmly: "One of the highlights of reform and opening up is the practice of innovation. We dare to follow the path of our predecessors. This is the responsibility and responsibility of our generation. As for enterprises, I will do the work myself. I believe they will see the long-term benefits and accept it."

After hearing this, Zhang Xiaodong said proudly, "Okay, Director Guan's words are inspiring. We should indeed have the courage to take on this responsibility. County Mayor Liu should make more efforts to thoroughly study the relevant policies and regulations. If there are no major problems in the preliminary demonstration, County Mayor Wang will take the lead and convene the Development and Reform, Finance, State-owned Assets, Land and other departments to come up with a specific plan."

He turned to Wang and said, "Hongjun, you have an unshirkable responsibility for this matter. Not only do you have to give County Chief Wang a plan, but you also have to do a good job of working with related companies and try to convince them to accept this plan. Wang's suggestion: Attack first!"


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