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	OFFICIAL REPLY OF THE GENERAL OFFICE OF THE MINISTRY OF CONSTRUCTION CONCERNING RELEVANT ISSUES OF THE QUALIFICATION OF SUPERVISION ENTITIES TO EXAMINE PROJECT BUDGETS AND OF THE CONTRACTING AND AWARDING OF CONSTRUCTION PROJECTS

	(January 9, 2003 No.7 [2003] of the General Office of the Ministry of Construction)


SUBJECT : SUPERVISION ENTITIES OF CONSTRUCTION PROJECTS
ISSUING DEPARTMENT : MINISTRY OF CONSTRUCTION OF THE PEOPEL'S REPUBLIC OF CHINA (DISSOLVED)
ISSUE DATE : 01/09/2003
IMPLEMENT DATE : 01/09/2003
LENGTH : 185 words
TEXT :

Regarding request for Instructions on the Qualification of Supervision Entities to Examine Project Budgets (No.72 [2002] of the Department of Construction of Guangxi Zhuang Autonomous Region) and the Request for Instructions on Relevant Regulations Governing the Contracting and Awarding of Construction Projects (No.73 [2002] of the Department of Construction of Guangxi Zhuang Autonomous Region), we hereby reply as follows upon deliberation:

1. A supervision entity may, in a project it supervises, accept the constructor's entrustment to make budget examination of the said project. The letter of project budget issued by the supervision entity may be taken as reference for the negotiation between Party A and Party B. However, it may not be taken as the basis for price settlement between the two parties.

2. Separate bidding for contract awarding may be carried out for a decoration project and the construction project to which that decoration project is attached. Whether the bidding should be carried out for a decoration project shall be governed by the Provisions on the Scope of Bidding and the Standards of Scale of Construction Projects (Order No.3 of the State Planning Commission).