How to Actively and Steadily Advance the Reform of the Rural Collective Property Rights System

The reform of the rural collective property rights system is a major enrichment and improvement of rural production relations. Rural collective property rights are rich in connotation and constitute complete property rights including ownership, usufructuary rights and security interests. The reform of the rural collective property rights system should be based on establishing a modern rural collective property rights system with Chinese characteristics, and its key points should be clear property rights and complete powers and functions; maximizing the protection and realization of members' rights and interests; and invigorating property rights and their effective realization.

Actively explore the shareholding system reform of rural collective property rights, especially the reform of operating assets. Shareholding system reform is the key link in solving the current problems of rural collective property rights and also the key element in establishing a modern rural collective property rights system. At the same time, several specific issues should be grasped.

First, the confirmation of membership status in rural collective economic organizations. To confirm collective membership qualifications, the first step is to clarify the time point for the generation and continuation of the collective organizational relationship. The rural land contracting relationship is the core manifestation of the relationship between rural collective economic organizations and their members. The three types of rural land contracting relationships - always unchanged, long-term unchanged, and dynamically adjusted - should be treated differently. For those always unchanged, membership qualifications can be confirmed based on the collective membership situation at the time of the first round of land distribution; for those long-term unchanged, membership qualifications can be confirmed based on the collective membership situation at the time of the second round of contracting; for those dynamically adjusted, an appropriate time point should be selected to confirm membership qualifications. Once confirmed, no further adjustment or change should be made, so as to promote the realization of “long-term unchanged.”

Second, the confirmation of ownership rights over rural collective assets. In accordance with the provisions of the Property Law, rights should be confirmed to rural collective economic organizations, which may be various types of economic entities such as cooperatives, share-based economic organizations, and companies. These economic organizations should gradually be separated from social management organizations such as village committees and villagers' groups. Legislation work on the Rural Collective Economic Organization Law should be accelerated. Where there is no economic organization, efforts should be made promptly to establish one suited to local realities.

Third, the establishment and management of equity in the reform of the rural collective property rights system. In advancing the reform of the rural collective property rights system, for resource-based assets the main task is confirmation, registration and certification of rights; for operating assets the main task is shareholding cooperative system reform; and for public welfare assets the main task is exploring new mechanisms for unified collective operation (community-based management). The shareholding reform of operating assets is the direction of future development. As to whether collective shares need to be established in the shareholding cooperative system reform of operating assets, this should be combined with local realities, distinguish different situations, respect local wishes, and let each locality decide for itself whether to establish them; it is not appropriate to make overly strict and rigid provisions. However, where collective shares are established, institutional provisions should be made for the management and income distribution of collective shares.

Fourth, the market entity status of rural collective economic organizations. Rural collective economic organizations should be granted market entity status, and various types of collective economic organizations should be granted legal person qualification. The market entity status and legal person qualification of collective economic organizations should be registered and recorded, with qualification certificates issued by the government. Judging from the current management systems for various market entities and social entities, the recognition and confirmation of organizational legal person qualification generally falls into two categories: one is social organization legal person, registered and confirmed by civil affairs departments; the other is economic legal person, registered and confirmed by industry and commerce departments. Considering the rural economic attributes of rural collective economic organizations and the rural social attributes of collective members, whether the registration and recording of such entities can be placed with agricultural economic management departments at or above the county level would be conducive to effectively strengthening supervision in light of production realities.