Notice of Beijing Municipal People’s Government on Forwarding the State Council’s Decision on Deepening Reform and Strict Land Management

Jing Zheng Fa [2004] No.31

The people’s governments of the districts and counties, the commissions, offices and bureaus of the municipal government, and the municipal institutions:

  Since last year, the CPC Central Committee and the State Council have formulated a series of policies and measures on land management. Recently, the State Council issued the Decision on Deepening Reform and Strict Land Management (Guo Fa [2004] No.28). This series of policies and measures on land management fully embodies the firm determination of the central authorities to implement Scientific Outlook on Development and ensure sustainable economic and social development. Now the "Decision" is forwarded to you, please organize the study carefully and implement it in combination with the actual situation.

  All districts, counties and departments in the city, especially party and government leading cadres at all levels, must conscientiously study, unify their understanding, closely combine the economic and social development goals of the capital, promptly formulate opinions on the implementation of the Decision in this city, strengthen the management of agricultural land requisition, effectively protect basic farmland, promote intensive land use, implement the reform of land management system, improve the administrative ability of land management, and take the implementation of the strictest land management system as a test of the ability to govern and administer according to law, so as to support the economic and social sustainability of the capital.

  October 29th, 2004    

The State Council’s Decision on Deepening Reform and Strict Land Management

Guo Fa [2004] No.28

People’s governments of all provinces, autonomous regions and municipalities directly under the Central Government, ministries and commissions and institutions directly under the State Council:

  Implementing the strictest land management system is determined by China’s national conditions with a large population and a small land, and it is also an inevitable requirement for implementing Scientific Outlook on Development and ensuring sustainable economic and social development. Since last year, all localities and departments have conscientiously implemented the arrangements of the CPC Central Committee and the State Council, comprehensively cleaned up various development zones, and earnestly implemented the decision to suspend the approval of agricultural land conversion. The land market rectification has made positive progress and effectively promoted the implementation of macro-control policies. However, the effect of land market rectification is still preliminary and phased, and the problems such as blind investment, low-level redundant construction, occupation of land and indiscriminate occupation of cultivated land have not been fundamentally solved. Therefore, we must correctly handle the relationship between ensuring economic and social development and protecting land resources, strictly control the increment of construction land, strive to revitalize the land stock, strengthen the economical use of land, deepen reform, improve the legal system, make overall plans, treat both the symptoms and root causes, and further improve the most stringent land management system in line with China’s national conditions. It is decided as follows:

  First, strict implementation of land management laws and regulations

  (1) Firmly establish the awareness of abiding by land laws and regulations. All regions and relevant departments should carry out in-depth and lasting study and education activities on land laws and regulations, deeply understand China’s national conditions and the extreme importance of protecting cultivated land, manage land strictly according to law in the spirit of being responsible for the people and history, actively promote the transformation of economic growth mode, realize the transformation of land use mode, take a new road of industrialization and urbanization in line with China’s national conditions, further enhance the awareness of managing land according to law, and use land reasonably within the scope permitted by laws and regulations. Those who grant land or occupy land in violation of laws and regulations must bear legal responsibility.

  (two) in strict accordance with the statutory authority for examination and approval of land. The power of examination and approval of agricultural land conversion and land expropriation lies with the State Council and the people’s governments of provinces, autonomous regions and municipalities directly under the Central Government, and the people’s governments of provinces, autonomous regions and municipalities directly under the Central Government shall not delegate the power of examination and approval of land in violation of laws and administrative regulations. It is strictly forbidden to evade the statutory examination and approval authority and split the land for a single construction project for examination and approval.

  (3) Strictly implement the compensation system for the occupation of cultivated land. All kinds of non-agricultural construction approved the occupation of cultivated land, the construction unit must supplement the quantity and quality of cultivated land, and the quantity and quality of supplementary cultivated land shall be converted according to grades, so as to prevent the occupation of more and make up for less, and the superiority and make up for the inferiority. If it cannot be supplemented by itself, the cultivated land reclamation fee must be paid in accordance with the provisions of all provinces, autonomous regions and municipalities directly under the Central Government. Cultivated land reclamation fees should be included in the special account management, and shall not be reduced or used for other purposes. Government-invested construction projects must also include the cost of supplementary cultivated land in the project budget.

  (four) it is forbidden to illegally depress land prices to attract investment. The people’s governments of provinces, autonomous regions and municipalities directly under the Central Government shall formulate and publish the lowest price standard for land transfer by agreement according to the benchmark land price. In addition to the strict implementation of the prescribed procedures, the transfer price shall not be lower than the lowest price standard. In violation of the provisions of the transfer of land caused by the loss of state-owned land assets, should be held accountable according to law; If the circumstances are serious, criminal responsibility shall be investigated for the crime of illegally transferring the right to use state-owned land at a low price in accordance with the provisions of the Criminal Law of People’s Republic of China (PRC).

  (five) investigate and deal with violations of land management laws and regulations in strict accordance with the law. At present, we should focus on solving the problems of non-compliance with laws, lax enforcement, failure to investigate violations of laws and abuse of administrative power to infringe on farmers’ legitimate rights and interests. It is necessary to strengthen the law enforcement of land management and seriously investigate and deal with illegal cases such as illegal land grant and occupation. Establish a joint case handling and case transfer system between the departments of land and resources and supervision, and investigate and deal with land violations and those responsible for violations. Typical cases should be handled openly. The functionaries of state organs who illegally approve the occupation of land, requisition of land and illegally transfer the right to use state-owned land at low prices shall be given administrative sanctions in accordance with the Interim Measures of the Ministry of Land and Resources of the Ministry of Supervision on Administrative Punishment for Violations of Land Management Provisions; If the case constitutes a crime, criminal responsibility shall be investigated in accordance with the Criminal Law of People’s Republic of China (PRC), the Land Administration Law of the People’s Republic of China, the Interpretation of the Supreme People’s Court on Several Issues Concerning the Specific Application of Laws in the Trial of Criminal Cases of Destruction of Land Resources and the provisions of the Supreme People’s Procuratorate on the filing standards of dereliction of duty crimes. Those who illegally approve the expropriation and use of land and cause losses to the parties concerned must also be liable for compensation according to law.

  Two, strengthen the overall land use planning, urban planning, village and market town planning and implementation management.

  (six) strict management of the overall land use planning, the overall urban planning, and the revision of village and market town planning. No development zones (parks) or new urban districts (districts) may be established outside the scope of construction land determined by the overall land use planning and the overall urban planning. The development zones to be retained after cleaning up must be strictly examined according to the overall land use planning and the overall urban planning, in accordance with the principles of centralized layout, intensive land use and industrial agglomeration. The revision of the strict overall land use planning, which involves changes in the direction, scale and major layout of land use, must be reported to the original approval authority for approval. The overall urban planning, village and market town planning shall not be modified without authorization.

  (seven) to strengthen the management of land use planning. The annual plan of agricultural land conversion is mandatory management, and the indicators of cross-year carry-over plan must be strictly regulated. We will improve the methods for issuing and assessing the annual plan for the conversion of agricultural land, and issue classified land for key construction projects such as energy, transportation, water conservancy, mines and military facilities approved by the state and construction land for cities, towns and villages, and assess them separately according to quota indicators and utilization efficiency.

  (eight) strictly control the total amount and speed of agricultural land conversion to construction land. Strengthen the planning and plan review of agricultural land conversion approval, and strengthen the control and guidance of agricultural land conversion in the overall land use planning and annual land use plan. Anyone who does not meet the planning and has no annual plan indicators for agricultural land conversion may not approve land use. In order to consolidate the results of land market rectification, the indicators of agricultural land conversion plan in 2004 will not be added; Where the land requisition compensation and resettlement fees owed to farmers in the past cannot be fully repaid before the end of 2004, the plan for the conversion of agricultural land in this area in 2005 will be suspended.

  (nine) to strengthen the pre-trial management of land for construction projects. Any construction project that does not conform to the overall land use planning and has no indicators of agricultural land conversion plan shall not pass the pre-examination of project land. Development and reform departments should inform the project unit to carry out preliminary work through appropriate means. After the project unit puts forward the application for land pre-examination, the land and resources department should review the land for construction projects according to law. When the project construction unit applies to the development and reform departments for approval or examination and approval of construction projects, it must attach the pre-trial opinions of the land and resources departments; If there is no pre-examination opinion or the pre-examination fails, the construction project shall not be approved or approved.

  (ten) to strengthen the management of rural construction land. According to the principles of total control, rational layout, land conservation and farmland protection, the overall land use planning of townships (towns) and the planning of villages and market towns should be worked out, and the number, layout and scale of small towns and rural settlements should be defined. Encourage the consolidation of rural construction land, and the increase of urban construction land should be linked to the decrease of rural construction land. Rural collective construction land must conform to the overall land use planning, village and market town planning, and be included in the annual land use plan. Anyone who occupies agricultural land must go through the examination and approval procedures according to law. It is forbidden to transfer the land collectively owned by farmers to non-agricultural construction by means of "village to residence" without authorization. Reform and improve the examination and approval system of homestead, strengthen the management of rural homestead, and prohibit urban residents from purchasing homestead in rural areas. Guide newly-established rural industries to concentrate in established towns and small towns determined by planning. On the premise of conforming to the planning, the right to use the construction land collectively owned by farmers in villages, market towns and towns can be transferred according to law.

  (eleven) strict protection of basic farmland. Basic farmland is the basis of ensuring national food security. The revision of the overall land use planning must ensure that the total amount and quality of existing basic farmland will not decrease. Basic farmland should be implemented in plots and farmers, and indicated in the certificate of land ownership and the certificate of rural land contractual management right. The filing of basic farmland protection maps should be completed within three months after the revision of the new round of overall land use planning. Once the basic farmland is demarcated, no unit or individual may occupy it or change its use without authorization, which is an insurmountable "red line". Meet the statutory conditions, it is necessary to change and occupy basic farmland, must be reported to the State Council for approval; If the occupation of basic farmland is approved, the compensation for land acquisition shall be implemented according to the highest legal standard, and if the cultivated land is supplemented by paying the land reclamation fee, the payment standard shall be implemented according to the highest local standard. It is forbidden to occupy basic farmland, dig fish ponds, plant trees and other activities that destroy the arable layer. It is forbidden to occupy basic farmland in any name such as building a "modern agricultural park" or "facility agriculture" and engage in real estate development in disguise.

  Third, improve the system of land acquisition compensation and resettlement

  (twelve) improve the compensation measures for land acquisition. Local people’s governments at or above the county level should take practical measures to ensure that the living standards of landless farmers will not be reduced by land acquisition. It is necessary to ensure the full and timely payment of land compensation fees, resettlement subsidies and compensation fees for attachments and young crops on the ground according to law. If the payment of land compensation fees and resettlement subsidies in accordance with the existing laws and regulations is not enough to maintain the original living standards of landless farmers and to pay the social security expenses of landless farmers due to land acquisition, the people’s governments of provinces, autonomous regions and municipalities directly under the Central Government shall approve the increase of resettlement subsidies. If the sum of land compensation fees and resettlement subsidies reaches the statutory upper limit, which is not enough to keep the original living standard of landless farmers, the local people’s government may subsidize them with the income from paid use of state-owned land. The people’s governments of provinces, autonomous regions and municipalities directly under the Central Government shall formulate and publish a unified annual output value standard or comprehensive land price for land acquisition in cities and counties, and the compensation for land acquisition shall be the same in the same place and at the same price. National key construction projects must include the land acquisition costs in full in the budget estimates. The compensation standard and resettlement measures for land acquisition for large and medium-sized water conservancy and hydropower projects shall be formulated separately by the State Council.

  (thirteen) the proper placement of landless farmers. Local people’s governments at or above the county level shall formulate specific measures to ensure the long-term livelihood of landless farmers. For projects with stable income, farmers can acquire shares through the land use right of construction land approved according to law. In the urban planning area, the local people’s government should bring landless farmers into the urban employment system and establish a social security system; Outside the urban planning area, when the land collectively owned by farmers is expropriated, the local people’s government should reserve necessary cultivated land or arrange corresponding jobs for the landless farmers within its administrative area; Landless farmers who do not have basic living conditions should be resettled in different places. The labor and social security departments shall, jointly with relevant departments, put forward guiding opinions on establishing employment training and social security system for land-expropriated farmers as soon as possible.

  (fourteen) improve the land acquisition procedures. In the process of land expropriation, it is necessary to safeguard the rights and interests of farmers’ collective land ownership and farmers’ land contractual management rights. Before the land acquisition is submitted for approval according to law, it is necessary to inform the land-expropriated farmers of the purpose, location, compensation standard and resettlement way of the proposed land acquisition; The investigation results of the current situation of the land to be requisitioned must be confirmed by the rural collective economic organizations and farmers whose land has been requisitioned; If necessary, the land and resources department shall organize a hearing in accordance with the relevant provisions. Relevant materials that are informed and confirmed by land-expropriated farmers should be regarded as necessary materials for land requisition approval. It is necessary to speed up the establishment and improvement of the coordination and adjudication mechanism for land acquisition compensation and resettlement disputes, and safeguard the legitimate rights and interests of landless farmers and land users. Approved land acquisition matters shall be publicized except in special circumstances.

  (fifteen) to strengthen the supervision of the implementation process of land acquisition. If the land requisition compensation and resettlement are not implemented, the expropriated land shall not be forcibly used. The people’s governments of provinces, autonomous regions and municipalities directly under the Central Government shall, according to the principle that land compensation fees are mainly used for landless farmers, formulate the distribution methods of land compensation fees within rural collective economic organizations. The rural collective economic organizations whose land has been expropriated shall announce the income and expenditure and distribution of compensation fees for land expropriation to the members of the collective economic organizations and accept supervision. Agriculture, civil affairs and other departments should strengthen supervision over the allocation and use of compensation fees for land acquisition within rural collective economic organizations.

  Four, improve the land saving and income distribution mechanism.

  (sixteen) to implement the policy of strengthening conservation and intensive land use. The increment of construction land should be strictly controlled, the stock should be actively revitalized, land conservation should be put in the first place, and efforts should be made to revitalize the stock. New construction projects should first make use of existing construction land and strictly control the occupation of cultivated land, woodland, grassland and wetland. Carry out a general survey of the stock of construction land resources, and study and formulate policies and measures to encourage the revitalization of the stock. All regions and relevant departments should adjust the provisions on the greening rate of factory areas in accordance with the principle of intensive land use, and may not occupy land for "garden-style factories". Promote multi-storey standard factory buildings in development zones (parks). On the premise that industrial land conforms to the plan and does not change its original use, if the land utilization rate is improved and the floor area ratio is increased, the paid land use fee will not be charged or adjusted in principle. Infrastructure and public welfare construction projects should also save reasonable land. In the future, when land is supplied, the agreement on land use and floor area ratio should be written into the land use contract. There must be regulatory requirements for industrial project land, such as investment intensity and development progress. If the land use right holder does not use the land according to the agreed conditions, he shall bear the corresponding liability for breach of contract. While strengthening the collection and management of farmland occupation tax, urban land use tax and land value-added tax, we will further adjust and improve the relevant tax systems and increase the tax adjustment on the acquisition and retention of construction land.

  (seventeen) to promote the market allocation of land resources. Strictly control the scope of allocated land, and gradually implement paid use of land for operating infrastructure. Use the price mechanism to curb excessive occupation, indiscriminate occupation and waste of land. In addition to the current regulations, bidding, auction and listing must be implemented. If the original allocated land is used for business development and construction upon approval according to law, the land transfer fee shall be paid in accordance with the market price. If the transfer of the original allocated land use right is approved according to law, it shall be publicly traded in the tangible land market, and the land transfer fee shall be paid at the market price; If the transaction is below the market price, the government shall exercise the preemptive right.

  (eighteen) to formulate and implement new land use standards. According to the national industrial policy, the departments of land and resources respectively prohibit and restrict the use of land for eliminated and restricted projects, and work with relevant departments to formulate the quota standards for construction land for engineering projects. The people’s governments of provinces, autonomous regions and municipalities directly under the Central Government may formulate specific implementation measures according to actual conditions. Continue to stop the approval of high-end villa real estate, golf courses and other land.

  (nineteen) idle land is strictly prohibited. After the approval of agricultural land conversion, if the specific land acquisition or land use behavior is not implemented for two years, the approval document will automatically become invalid; If the land has been expropriated and has not been supplied for two years, the corresponding indicators shall be deducted when the next year’s agricultural land conversion plan is issued. The land with farming conditions shall be handed over to the original land users to continue farming, or it may be cultivated by the local people’s government. Idle land of land-using units shall be handled in strict accordance with the relevant provisions of the Land Administration Law of the People’s Republic of China.

  (twenty) to improve the collection methods of paid land use fees for new construction land. The paid land use fee for new construction land shall be paid first and then divided, and shall be paid in full to the state treasury according to the prescribed standards, and shall not be reduced or exempted, and shall be divided and paid by the state treasury according to the prescribed proportion. Audit departments should strengthen the supervision and inspection of the collection and use of paid use fees for new construction land, and those who are exempted or unpaid should be recovered according to law. The Ministry of Finance and the Ministry of Land and Resources shall timely adjust the charging standards for paid land use fees for new construction land. The paid use fee for newly-added construction land should be used strictly according to the statutory purpose, and the part dominated by the central government should be tilted to the main grain producing areas. Explore the establishment of state-owned land revenue funds to curb short-term behavior of one-sided pursuit of land revenue.

  Five, establish and improve the responsibility system for farmland protection and land management.

  (twenty-one) to clarify the rights and responsibilities of land management. The power and responsibility to regulate and control the total amount of newly-increased construction land lies in the central government, while the rights and interests to revitalize the existing construction land lie in the local governments. The responsibility for protecting and rationally utilizing land lies with the local people’s governments at all levels, and the people’s governments of provinces, autonomous regions and municipalities directly under the Central Government should bear the main responsibility. On the premise of ensuring the strict implementation of the overall land use plan and not breaking through the annual land use plan, the people’s governments of provinces, autonomous regions and municipalities directly under the Central Government can co-ordinate the land use arrangements within their respective administrative areas, examine and approve the conversion of agricultural land and land expropriation according to their statutory authority, decide the distribution and use of paid land use fees for new construction land according to the prescribed purposes, organize the balance of cultivated land occupation and compensation within their respective administrative areas, and supervise and inspect the implementation of land management laws and regulations. Local people’s governments at all levels should be responsible for the amount of cultivated land and the protection area of basic farmland within their respective administrative areas determined by the overall land use planning, and the main leaders of the government are the first responsible persons. Local people’s governments at all levels should establish corresponding working systems and adopt various forms to ensure that the goal of farmland protection is implemented at the grassroots level.

  (twenty-two) the establishment of farmland protection responsibility assessment system. The State Council regularly issues assessment targets for farmland protection responsibilities to all provinces, autonomous regions and municipalities directly under the Central Government. The people’s governments of all provinces, autonomous regions and municipalities directly under the Central Government shall report to the State Council on the implementation of the target of farmland protection responsibility every year. Implement a dynamic monitoring and early warning system for farmland protection responsibility assessment. The Ministry of Land and Resources, together with the Ministry of Agriculture, the Ministry of Supervision, the National Audit Office, the Bureau of Statistics and other departments, regularly inspect and assess the implementation of the objectives of farmland protection responsibility in all provinces, autonomous regions and municipalities directly under the Central Government, and report to the State Council. Those who earnestly fulfill their responsibility objectives and achieve outstanding results should be commended and tilted when arranging the paid use fees for new construction land controlled by the central government. Those who fail to reach the responsibility target should be notified throughout the country and ordered to replenish cultivated land and basic farmland within a time limit. The situation of land development and consolidation to supplement cultivated land should also be assessed regularly.

  (twenty-three) strict land management accountability system. For those who, in violation of the law, arbitrarily modify the overall land use planning, illegally occupy basic farmland, fail to complete the assessment target of farmland protection responsibility, land expropriation infringes on farmers’ legitimate rights and interests, cause mass incidents and fail to solve them in time, reduce or default the paid land use fee for new construction land, and fail to complete the filing of basic farmland maps on schedule, they should be seriously investigated for responsibility, and the relevant responsible personnel shall be given administrative sanctions by the superior competent department or the supervisory organ according to law. At the same time, the higher government should order rectification within a time limit, and suspend agricultural land conversion and land acquisition approval during the rectification period. The specific measures shall be formulated separately by the Ministry of Land and Resources in conjunction with relevant departments. The accountability system for the supervision of supplementary cultivated land shall be implemented, and the departments of land and resources and agriculture shall be responsible for the acceptance of the quantity and quality of supplementary cultivated land, and shall be responsible for the acceptance results. The land and resources departments and agricultural departments of provinces, autonomous regions and municipalities directly under the Central Government should strengthen supervision and inspection.

  (twenty-four) to strengthen the supervision of land law enforcement. Establish an open standard for filing illegal land cases. If the case is not investigated and the law enforcement is not strict, the higher-level land and resources department shall order it to make a decision on administrative punishment or directly give it administrative punishment. Resolutely correct the illegal use of land only through fines to go through legal procedures. The illegal use of land and its buildings and other facilities, which should be dismantled or confiscated according to the law, shall not be replaced by fines or formalities; If it is really necessary to go through the formalities, after being punished according to law, land acquisition compensation and land transfer fees and related fees will be collected from a higher level. Improve the land law enforcement and supervision system, establish a national land supervision system, set up a national land chief inspector, and send land inspectors to local areas to supervise land law enforcement.

  (twenty-five) to strengthen the administrative capacity building of land management. Before the end of 2004, we should complete the reform of land and resources management system below the provincial level, straighten out the management system and working mechanism of leading cadres and strengthen the construction of grassroots teams. The municipal and county people’s governments should ensure that the institutions, preparation and funds of grass-roots land and resources management are in place, and give full play to the role of grass-roots land and resources management in land management law enforcement. The Ministry of Land and Resources shall, jointly with relevant departments, establish and improve a unified system of land classification, investigation, registration and statistics, and start a new round of land survey to ensure the authenticity of land data. Organize and implement the "Golden Soil Project". Make full use of modern high technology to strengthen the dynamic monitoring of land use, and establish a dynamic monitoring network for the implementation of overall land use planning, farmland protection and land market.

  All regions and relevant departments should take Theory of Three Represents as a guide, firmly establish the Scientific Outlook on Development and correct outlook on political achievements, and take the implementation of the strictest land management system as a test of the ability to govern and administer according to law. Attach great importance to the protection and rational use of land, conscientiously sum up experience, actively promote the reform of land management system, constantly improve the land legal system, establish a strict, scientific and effective land management system, safeguard the fundamental interests of the broad masses of the people, and ensure sustainable economic and social development.

  the State Council        

  October 21, 2004