Chapter 14: The First Wave of Lu's New Deal

Bow and thank "God's Fart" for your big reward and support! Thank you very much for your continued support!

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After the successful investment promotion from Hong Kong, Lu Zhengdong also had the confidence and more calmly to think and plan for the development of Anxin.

Lu Zhengdong decided to first standardize the land use of Anxin City. Lu Zhengdong's consideration is also related to the current situation of Anxin, and Anxin also has a "historic Anxin, dusty on sunny days, sewage flowing sideways on rainy days, messy and dirty, like a big county town", this is not only Lu Zhengdong's intuitive feeling, but a famous writer who visited Anxin said in the opening chapter of a book.

This once made Anxin people very hurt, but they can't refute it, because although this is exaggerated, it is basically a fact, the whole city of Anxin lacks vitality, traffic congestion, numb cars are prevalent, the urban environment is poor, and the shopping mall turns off the lights and closes at seven or eight o'clock in the evening, especially in the winter night.

The challenge facing Lu Zhengdong is not only the urban environment, but also the economic factors behind it, such as the sluggish economy, hundreds of thousands of laid-off workers, and millions of poor people, which are known as the three mountains that must be crossed on the road of Anxin's development.

All of this requires huge financial support, which cannot be achieved by a single local tax alone, especially after the introduction of the tax-sharing system.

The reform of the tax-sharing system has enabled the central authorities to concentrate financial power, strengthened their macroeconomic regulation and control capabilities, and gradually formed a system of financial transfer payments and special transfer payments, with most of the incremental transfer payments going to the impoverished areas in the central and western regions, thus alleviating the contradiction between the vertical and horizontal imbalances in the state finances. Equalization of basic public services has been promoted. Compared to the previous system of eating separately. The tax-sharing system encourages the initiative of local governments. Allowing local governments to become "brokers" in a certain period of time has stimulated their motivation to develop the economy.

However, the reform of the tax-sharing system has left behind the problem of mismatch between financial power and administrative power.

The central government has thrown off the burden of public expenditure, and local governments can only assume greater responsibility with less fiscal revenue. Public goods such as basic education, infrastructure construction, public safety, and public health, which originally required the central government to provide, have gradually become a heavy burden for local governments. Local governments take on more responsibility with less revenue. After the tax-sharing system, the proportion of local government fiscal revenue in the total fiscal revenue has decreased year by year, but the proportion of the central government's fiscal revenue in the total fiscal revenue has increased significantly, but the proportion of local government fiscal expenditure in the total fiscal expenditure has not changed correspondingly. It is equivalent to the local government supporting nearly double the relative fiscal expenditure responsibility with a small amount of relative fiscal revenue. Before the reform of the tax-sharing system, local governments only used basically the same relative fiscal revenue to support relative fiscal expenditure.

According to the fiscal and taxation management system of the tax-sharing system, the value-added tax income tax must be handed over to the central government in proportion, and in this case, it is necessary to grasp the industries involved in the value-added tax with a low share ratio, after all, this involves another major matter related to stability -- employment.

Business tax, deed tax and other taxes can be exclusively enjoyed by the local government, so in this regard, the local government will pay more attention, and the construction and real estate industries will not only bring considerable business tax, their huge profits will also bring considerable corporate income tax. Furthermore. The land transfer fee and project supporting fees are also owned by the local government. Seeking a way out of land transfer has become an inevitable choice for any local government. It has become the most important financial resource cultivation goal in addition to taxation.

But Anxin is very sluggish in this regard, Anxin before the land use is mainly transferred, real estate companies are state-owned enterprises under the government, before Anxin's real estate industry is the main task of the old city renovation, the land is divided into each district under the real estate company each piece, the establishment of many headquarters, separate to undertake the transformation.

Although such a model can play a role in project coordination, the disadvantages of this model are also obvious, so that the government and developers are also tied together in terms of economic interests, so that when it comes to demolition and other issues, there are endless incidents of officials seeking rent and corruption, and doing their best to squeeze the evil consequences of demolition and relocation.

Lu Zhengdong is determined to change this model by implementing land reserves and then transferring land to allow land use rights to enter the market on a large scale.

When acquiring land, the center first applies to the planning department to determine the planning conditions, evaluates the land to be acquired, and then signs an acquisition agreement with the original land user, and then goes through the acquisition reserve procedures in accordance with the relevant regulations, and pays the acquisition fee and reserve. The compensation fee for the acquisition of state-owned land use rights and the related expenses required for the early development of the land shall be raised by the Finance Bureau through various channels.

For the transfer of land, we will first attract investment through various channels, select suitable investors for bidding according to the conditions of credit, qualification, performance, etc., and then sign a land development compensation agreement with them, and then the competent government departments will handle the land transfer procedures.

According to this idea, Lu Zhengdong plans to set up a municipal land reserve development center, and at the same time set up a municipal land acquisition reserve management committee, with the deputy mayor as the director, the deputy secretary-general of the municipal government, the director of the municipal land management bureau as the deputy director, the municipal planning commission, the municipal economic commission, the municipal urban and rural construction commission, the municipal finance and taxation bureau, the municipal planning bureau, the municipal housing management bureau, the municipal land management bureau, the municipal industrial and commercial bank, the municipal construction bank, the municipal traffic bank, and the municipal cooperative bank as members of the management committee, set up a land auction process, and clarify the rights and responsibilities of land reserve transfer. At the same time, an entity should also be established under the land reserve center to be responsible for turning the raw land of the reserve into maturity for sale.

In order to promote this work, it is also necessary to start studying the reform of the administrative management system of the urban (county) districts, and it is necessary to arouse their enthusiasm and, in accordance with Lu Zhengdong's design, streamline and delegate power to the districts and counties in the transfer of land, and the municipal land management bureau is only responsible for controlling the total amount of land transfer and confirming the pricing plans of different land plots reported by the counties.

Regarding some of the connections in the land transfer of cities and districts, Lu Zhengdong appeared to be very cautious.

Generally speaking, municipal districts are the beneficiaries of the urbanization development strategy due to their special location advantages, and they also look beautiful from the outside. However, there are advantages and disadvantages, and compared with municipal counties, municipal districts have less authority in all aspects because of the city-level organs.

First of all, almost all large enterprises and good enterprises are taxed by the city, that is, good things are returned to the city, and in Anxin. Due to financial difficulties. Even the education surcharge collected by the city is tens of millions of yuan a year. According to the regulations, it should be given to the district, because there are no primary and secondary schools in the city, but the district did not get the money, and did not dare to go to the city to ask for it.

Now life is not easy in the city, and life in the district is not good, there is a mismatch between responsibilities and rights, and the district below is already full of complaints and complaints.

The city and the municipal district are the relationship between 'Lao Tzu' and 'son'. The city not only 'robbed' a lot of district interests, but also managed the hat of the district leader, 'Lao Tzu' is doing wrong, 'son' also has to obey, the people in the district want to solve the problem, but also afraid of offending the city, this contradictory mentality is spreading in the hearts of the public officials in the municipal district, if the city puts most of the land that is easy to sell under the management of the city, the land that the district can control is almost the township, that is equivalent to cutting off the district's biggest source of wealth in addition to taxes.

I'm afraid the opinions in the following districts will be even greater. Lu Zhengdong thought about it, this is not a good thing in any way. It is necessary to straighten out the financial and peacemaking powers of governments at all levels in the entire administrative management system, establish a mechanism that matches "responsibilities, powers, and interests," and fully arouse the enthusiasm of the districts below, so as to fundamentally solve the problem, and this is the fundamental way to solve the problem. Although the land transfer fee is indeed very tempting for Lu Zhengdong, he still vetoes such an idea.

For the districts where the urban area is located, the city and the district will join forces, and all land transfers will be uniformly auctioned and listed by the city, and the proceeds will be appropriately divided by the city and district. Of course, the stock of land that originally belonged to the city is not included in this list.

Lu Zhengdong's idea is to implement "two-level government and two-level management" in suburban counties, and all the income from land transfer will be kept in the county, but the county should undertake the corresponding municipal supporting projects......

After Lu Zhengdong had another more formed idea, he asked his secretary Sheng Xingbo to inform You Jinzhong, An Junyi, and the relevant departments of finance, land, planning, construction, and real estate to discuss it first, and after thinking about it, he personally called Zhou Liwei and asked him to participate in the discussion.

When it came to the day of discussion, You Jinzhong and An Junyi came quickly, and Zhou Liwei waited for a while before arriving.

Lu Zhengdong glanced at Zhou Liwei, Zhou Liwei finally settled down a lot recently after wrestling his wrist with him.

The meeting was chaired by Lu Zhengdong, who first talked about the land reserve:

In the past, the urban land supply system of free and indefinite administrative allocation was implemented for a long time, and even the business land of industrial and commercial enterprises was also provided free of charge in the form of administrative allocation.

Although Anxin gradually established and implemented a system of land use right transfer with compensation and a limited period of time since 90 years, and strictly limited the scope of land allocation, it has not changed the existing pattern of a large amount of urban land stock being controlled by various enterprises and institutions.

There are also large and small state-owned enterprises, some of which have leaders who are incapable of management and production, but they are very active in selling land, and every enterprise can sell land to developers and then sell the land at a high or low price, and they have no intention of really running their main business.

And all the land of our municipal government is only those three plots, and the reserve land in the hands of the municipal government is almost zero, and the government wants to use the land, and it has to buy land from the developer.

On the one hand, it is necessary to strictly enforce the regulations on the prohibition of idleness of land that has already been approved, and to collect idle fees that should be collected and to recover land use rights. More importantly, our city should be led by the government, and all the operating authority of the previous primary land market will be collected to the land reserve institution. After the land is expropriated, funds are invested in demolition and resettlement or replacement and relocation, and funds are invested in land consolidation, and the 'cooked land' that can be used directly is handed over to the local land transfer center for listing. Land bank is a necessary strategic measure for a developing city. Cities such as New York and Paris that are saturated with development will not expand again, and there is no point in engaging in land reserves. However, in developing cities, urban expansion is inevitable, so land reserve is a necessary strategic measure for developing cities. The essence of land reserve is to "frame" the land reserve in the next few decades in one step at the beginning of development......

In a word: it is necessary to reserve in advance, pay attention to one step, and reserve enough land in a relatively short period of time; Then the water will flow and supply year by year, so that the land market will be firmly controlled. A tube is formed to feed water. A pond holds water. The pattern of water discharge from a faucet has formed a virtuous circle of land resource allocation......"

What a big spirit! What a big deal! If this thing is really done, Anxin's life will be much better in the future, but everyone is a little at a loss: no matter how big the money is, it needs funds, how to solve the funds?

"On the issue of funds, we can consider taking out a part of the land transfer money as start-up capital, and then taking the land as the core to roll out the operation of raising construction funds. The first cycle is the cycle from reserve to financing to project, for example, in terms of planning, the urban investment company reserves 10,000 mu of land, and the urban investment company takes out part of the funds to complete the land acquisition and relocation and property rights transfer within the planning red line, so as to become a credit asset, which can be mortgaged in the bank for infrastructure construction.

In this way, after the land is reserved, it is invested, developed, and then transferred to real estate developers through the guò market. This is a process of land appreciation, maybe 300,000 yuan per mu of land, 1 million yuan per mu when transferred. Part of the transfer money is transferred to the district and county governments and municipal governments, and some is used to offset various investments in infrastructure. After all, a lot of infrastructure is public spending by the government.

Most of these funds invested in advance are financed in the bank, so that after the land transfer, there is money to repay the bank's money, so that the "land bundling project" model is used to solve the repayment problem of municipal infrastructure fund-raising, and the development of the capital chain is maintained in the form of rolling construction, rolling reserve and rolling repayment, thus forming a virtuous circle ......"

The participants nodded frequently, this is definitely a good way, even Zhou Liwei couldn't help but sigh secretly, Lu Zhengdong's idea is correct, through guò early large-scale land reserves, and then gradually release land supply, so as to obtain a larger land grade benefits, and make the money made by those speculators who speculate on land by the government, so as to truly make land an important source of revenue for the government in addition to taxes. This seems very simple, but in fact, it has to be linked one by one, first there must be start-up capital, and there must be a way to sell it out in a short period of time, so that it can be circulated, Lu Zhengdong can not only find the start-up capital, but also look at it without worrying about not being able to transfer it, which requires real skills.

However, Anxin's land market is very disorderly, privately changing the nature of land use, speculating on land, and introducing this trick has cut off many people's financial routes, Lu Zhengdong is afraid that he will offend some people, I don't know if Lu Zhengdong can resist it.

Lu Zhengdong knows this very well in his heart, but he believes that these people can't afford to make any waves at all, and if they want to speculate on the land, then let the government speculate!

And Lu Zhengdong thinks far more long-term than Zhou Liwei thinks, as the saying goes, if you have food in your hands, you don't panic in your heart, and the same is true for land, the government has abundant land in its hands, and if the land price and housing price are too high, it will be released a little more, and vice versa, it will be released a little less, so that the regulation and control of housing prices and land prices can be truly realized and kept at a relatively reasonable level......

After Lu Zhengdong finished speaking, please express your views, this idea can be said to be a bright spot in solving the city's financial difficulties, and naturally they all agree, so Lu Zhengdong talked about the distribution of land transfer money:

"This problem is easy to solve in the county, after all, the county is a certain distance from the urban area, and it is impossible for the city to go to the county to reserve land. The key is the several districts in the urban area, how the city and the district cooperate to do a good job in this regard, and how to determine the proportion of distribution? This is indeed something that needs to be explored......"

"Mayor, our city's finances are really difficult, since the funds of the land reserve are from the city, and the operation is also operated by the city, the majority must still stay in the city......

Ge Xinjian, director of the Municipal Finance Bureau, said, stretched out two fingers and said:

"Eighty-two? Eight in the city, two in the district? ”

Seeing that Lu Zhengdong was smiling and silent, Ge Xinjian seemed to have made a lot of determination before saying:

"Seventy-three open?"

Ge Xinjian's painful expression made everyone in the venue couldn't help laughing, and even Lu Zhengdong and several deputy mayors couldn't help laughing.

The position of the director of the municipal finance bureau is very sensitive, as the director of the bureau who manages the money bags in the city, compared with the directors of other bureaus in the city, although his position as the director of the bureau is very popular, even more popular than some deputy mayors who do not have enough power, so it is not too much to say this. But the adjustment is also the most frequent, and the financial power is something that the secretary of the municipal party committee and the mayor want to fully control, which is also a position where the game is very fierce.

But Ge Xinjian has always been as stable as Mount Tai when he sits in this position, not because of that one leader, but because of the long-term financial difficulties of Anxin City. How to maintain normal operation with limited financial funds is the first issue that every leader must consider. And Ge Xinjian is very good at this. Whether it's tearing down the east wall to make up the west wall or sprinkling pepper noodles. Always able to barely keep the city running.

However, Ge Xinjian, the director of the financial bureau, is really not good. Because of the financial constraints, Ge Xinjian is famous in the city, and is usually called "Ge Langtai" and "Ge Mian Mian" behind his back, but Ge Xinjian is like a Maitreya Buddha, always smiling, and the director of the district and the county magistrate below also know that the city is in financial difficulties, and he is helpless to see him smiling.

The city has just sold a few pieces of land. Let Ge Xinjian, the director of the finance bureau who has lived a hard life for a long time, finally be relieved, and let him know that the "money" of the land is unlimited, so it is so painful.

"Don't laugh, everyone, I've looked at Anxin's financial income and hard financial expenditures over the years, Lao Ge has really not been easy these years."

The position of the director of the finance bureau is very important, and at present, Lu Zhengdong has not had the opportunity to adjust such a position, so it should be encouraged, and it should be co-opted.

Ge Xinjian shook his head with a smile:

"Don't dare to be, don't dare to be, the mayor is here. My hard days are finally over. ”

Lu Zhengdong waved his hand and said:

"You still have to tighten your belt to get by, and you have to use your limited funds to the best of your ability. Let's talk about it. How is a ratio appropriate? Then solicit the opinions of the districts and counties, and finally go to the office meeting to discuss ......"

Although Lu Zhengdong's bottom line in his heart is fifty-fifty shares, but he did not show it in front of anyone, he knows very well the thoughts of the leaders of the districts and counties below, they are all poor and afraid, and they all want to fight for a larger share of the district, and they must bargain and cry poor. If the city or district is exposed at the beginning or the county does not extract it, those guys will definitely not be satisfied......

The issue of the distribution of land reserves and land transfer funds has indeed stirred up a thousand waves with one stone, and before the time for discussion in the districts and counties, the principal leaders of the following districts and counties have all rushed to Lu Zhengdong to report on their work.

The secretary of the county party committee of Ludong County said that Ludong has always been an economically backward county in the city, and he hopes that the proportion of surrender can be less, and the mayor of Baofeng District in the urban area emphasized that Baofeng District is the center of the city, and the cost of demolition and relocation is higher, and he hopes that the proportion of return can be higher......

Lu Zhengdong listened patiently and said that he would consider their opinions in line with the principle of overall planning.

However, apparently his words did not make these secretaries and county magistrates Anxin, and they were still fighting for it in the last effort at the large-scale meeting held by the city government with the participation of the first and second leaders of the district and county, and the various departments of the city also believed that the city was also very difficult now, and could not let too much, and the two sides were holding their own opinions and not giving in to each other.

Lu Zhengdong saw that he understood the situation almost well, and finally spoke:

"I have listened to the opinions of various departments and districts and counties in the city, and the focus of the argument is nothing more than the proportion of distribution, in fact, I have been thinking about it these days, I have an idea, I think it is more appropriate for several districts in the urban area, the city and the district to implement a five-fifty split, and the county, in principle, do not extract in the market, of course, the municipal supporting facilities should also be solved by the county itself......

As soon as Lu Zhengdong's words fell, the deputies of the districts and counties all applauded warmly, and it was obvious that Lu Zhengdong's statement was very unexpected to them.

Lu Zhengdong waved his hand and said:

"Don't be too happy, I say this, there are conditions, there are reasons, I will talk about the conditions first, that is, the district should also come up with a certain amount of funds to enter the land reserve center, so that more together, the start is faster, as for the amount of funds, in principle, it is within its means.

Second, let me talk about the reason, which mainly involves a problem of administrative power and financial power, the division between financial and administrative powers of governments at all levels is not clear, and the scope of income and expenditure has not been straightened out, which is caused by the administrative system, and the city bears the functions of administrative, social management, and economic development responsibility for the area (county) under its jurisdiction.

Most of the taxes collected by the local governments have been received by the central and provincial governments, and the current pyramid-shaped administrative system is determined by the current pyramid-shaped administrative system. Although there are transfer payments, the process is not open and transparent and the transfer payment is slow, sometimes it is far from quenching the thirst of the near.

Without the corresponding financial resources and power in the hands of the city, it is impossible to complete such a task, so it has to go to the district and county to find a way, this problem has been entangled for many years, and this is stored everywhere.

And Anxin City has been in financial difficulties, so the financial rights have been tighter, more prominent, some should belong to the district and county financial rights have also received the city, this is a last resort, and to solve the reality of the mismatch between the financial rights and the power of the municipal districts, it is necessary to straighten out the financial rights and peace rights of governments at all levels from the entire administrative system, and establish a mechanism that matches the 'responsibility, power and interest', so as to fundamentally solve the problem, and the fundamental place is still developing, and we must continue to channel financing through various channels. Vigorously attract investment and introduce enterprises to increase tax sources, strengthen the financial resources of the city at the same level, and the city's finances are relaxed, so as to avoid competing with the district for profit.

Because in fact, the mismatch between the administrative power and the financial power of the following districts and counties also greatly restricts the development of the whole city, which outweighs the loss.

As long as the central and provincial authorities stipulate that it should be given to districts and counties, the city will gradually resolve the issue of delegating or returning it to the districts and counties, gradually straighten out the relationship between administrative power and financial power, and do its best to match administrative power with financial power.

With regard to land reserves and land transfer funds, I would like to emphasize several principles: First, we cannot arbitrarily change the distribution ratio between the two levels in urban areas. Land transfer, regardless of whether it is sold in the city or in the district, after deducting the cost of the land transfer income in several districts of the main city, the city level and the district shall handle it according to the agreement. There is also the time of return, which must be clarified; The second is risk prevention, and land should be approved according to the plan.

Third, you can't buy and sell with a hammer, the reserve land must be used in a planned way, otherwise you will be sold out in a few years during your term of office, and you will develop greatly in a few years, what will happen to the next government? What about the next administration? These long-term and detailed things must be clarified,......, no matter how difficult it is in the city, the city will find its own way to solve it, and will never intercept it.

Of course, after the income distribution method is clear, the district and county should also fully mobilize the enthusiasm of the people below, clearly understand their own financial resources, promote the preliminary work of land transfer in the urban area, and speed up the progress of land acquisition and demolition, so as to reasonably arrange their respective economic and social construction tasks and do a good job in the ......"

For the leaders of the districts and counties, Lu Zhengdong's statement is really what they have been looking forward to for many years, and Lu Zhengdong's speech also revealed that the city's finances will gradually improve, if there is no way, Mayor Lu will definitely not dare to make such a statement, and the officials of the municipal departments are also encouraged...... (To be continued.) )