Poverty alleviation funds "sleeping on the job" is by no means as simple as waste

Poverty alleviation funds not only carry the hopes of people in impoverished areas for a better life, but also bear the weight of the Party and the state's major development strategies. A large amount of funds lying idle in accounts "sleeping on the job" not only increases the cost of capital occupation and causes a waste of resources, but also affects the implementation of the country's macro policies, delaying development opportunities and the advancement of the poverty alleviation strategy. The impact cannot be called small, and the losses cannot be called few.

Recently, the National Audit Office released the announcement on the follow-up audit results of the implementation of major national policies and measures in the second quarter of 2016. Regarding the previously discovered problems of poverty alleviation funds being wasted or left idle, the announcement stated that among the 203.654 billion yuan of central funds involving 1,077 units and 1,633 projects in this audit, 4.3347 million yuan of poverty alleviation funds were fraudulently obtained in violation of regulations or used for expenditures unrelated to poverty alleviation tasks, and 97.0682 million yuan of poverty alleviation funds were left idle without timely effectiveness.

More than 4 million yuan of poverty alleviation funds fraudulently obtained, and more than 97 million yuan of poverty alleviation funds left idle - these two sets of data reflect the prominent problems in the current management and use of poverty alleviation project funds. For a long period in the past, the problem of poverty alleviation funds being fraudulently obtained or used in violation of regulations had always attracted much attention due to its egregious nature and great social harm. In recent years, as the country has continuously intensified its poverty alleviation and development efforts, the scale of poverty alleviation fund investment and project construction has grown larger and larger, and relevant departments have strengthened supervision over related fields and stepped up the crackdown on duty-related crimes in the poverty alleviation field. At the same time, a new phenomenon is that the problem of idle poverty alleviation funds has begun to stand out. At the end of June this year, the National Audit Office reported to the National People's Congress on the audit of the implementation of the 2015 central budget and other fiscal revenues and expenditures. According to the report, the key spot checks on poverty alleviation funds covered 40 counties in 17 provinces. Of the 5.013 billion yuan of poverty alleviation funds spot-checked, as of the end of March 2016, 843 million yuan (17%) had been idle for more than 1 year, of which 260 million yuan had been idle for more than 2 years, with the longest exceeding 15 years; 29 poverty alleviation projects in 17 counties were abandoned, left idle, or failed to achieve expected results after completion, resulting in losses and waste of 27.0611 million yuan.

Compared with being fraudulently obtained or used in violation of regulations, poverty alleviation funds being left idle may appear as though the money is still there and the nature is not serious. But in fact, the idleness of poverty alleviation funds to a large extent means the stagnation of related work. Poverty alleviation funds not only carry the hopes of people in impoverished areas for a better life, but also bear the weight of the Party and the state's major development strategies. A large amount of funds lying idle in accounts "sleeping on the job" not only increases the cost of capital occupation and causes a waste of resources, but also affects the implementation of the country's macro policies, delaying development opportunities and the advancement of the poverty alleviation strategy. The impact cannot be called small, and the losses cannot be called few.

So why does a large amount of poverty alleviation funds end up idle? In some areas, the longest delay reached as long as 15 years. It can be seen that this is not merely a problem with the efficiency of fund use and management, but also reflects the inaction of relevant departments and the absence of supervision mechanisms.

First, there is a lack of scientific decision-making. Some places are often extraordinarily eager when applying for project funds, neglecting scientific planning and blindly seeking more and bigger, but after the funds are in place they find that either the projects do not match grassroots realities and are difficult to implement, or the required matching funds are too much to bear, causing projects to fail to land. Second, there are constraints from usage regulations. According to current regulations on fund allocation and use, "money for soy sauce cannot be used to buy vinegar." Although the central government has also issued relevant policies requiring greater reform efforts, in practice it is often difficult for the grassroots to break through these regulations for effective integration, resulting in an inability to act. Some places dare not integrate funds for fear of affecting special assessments and performance evaluations, all of which seriously affect the coordinated use of fiscal funds and the exertion of their benefits. Third, there is an absence of accountability mechanisms. At present, there is a lack of effective supervision and accountability mechanisms for idle poverty alleviation funds, causing some departments, once they encounter obstacles or difficulties in advancing poverty alleviation work, to hold the mindset of preferring to do less than more, letting funds sit idle without trying to solve the problem. In addition, practical difficulties such as difficulties in local fiscal matching and insufficient precision in identifying poverty alleviation targets have also suppressed local initiative in poverty alleviation, leading to problems such as idle funds.

It should be noted that although in recent years China has increased investment in impoverished areas, on the whole, China's poverty alleviation funds are absolutely not so plentiful that they cannot be used up and can be left to "sleep on the job" for years without any action. Especially at this critical moment when the sprint toward building a moderately prosperous society in all respects by 2020 has already begun, and against the backdrop of the current economic development entering a new normal and the growth rate of national fiscal revenue declining, and in circumstances where some places are still deeply impoverished and poverty alleviation funds are relatively scarce, how to use limited poverty alleviation funds well and fully is of utmost importance. This is not only a matter of efficiency, but also a matter of fairness, and moreover a political requirement.

Time waits for no one. At present, we should focus on starting with some poverty alleviation funds and projects that have long been idle. What should be recovered should be recovered, and what should be resolved should be resolved. We must both settle old accounts and prevent new ones, clarifying them one by one and implementing them one by one. The key is to see what demands of the impoverished people lie behind them that have long remained unresolved and must be responded to as soon as possible.

From the perspective of long-term development, to solve the problem of idle poverty alleviation funds, targeted measures must be taken, with efforts made before the event, during the event, after the event, and outside the event. First, at the source, the approval gate must be well guarded, adhering to scientific project initiation and scientific planning, proceeding from reality, and ensuring that fund applications match project requirements. Relevant departments must conduct scientific demonstration and review of poverty alleviation projects reported by the grassroots. Second, supervision during project implementation must be strengthened. For projects and budgets that have already been approved for implementation, competent departments should promptly urge implementation, provide effective guidance and assistance for difficulties in project implementation, and promptly correct existing problems. Third, post-event accountability must be well carried out. For projects and relevant responsible persons that leave large amounts of poverty alleviation funds idle for long periods without reason, accountability must be enforced, and similar phenomena of funds being idle for 15 years must never be allowed to recur. For places where poverty alleviation funds are used with high efficiency, commendations and rewards may be given in accordance with relevant regulations. In addition, reform efforts in related fields must be intensified, the integration of poverty alleviation funds and poverty alleviation projects must be promoted, the problem of funds coming from multiple sources and being "sprinkled like pepper" must be avoided, fiscal matching requirements in special areas must be reduced or eliminated, and the funding burden borne by impoverished people must be effectively lightened.