Original Title: Notice of the People’s Government of Songjiang District, Shanghai, on Issuing the “Measures for the Support and Management of Industrial Support Funds in Songjiang District”
To the People’s Governments of All Towns and Subdistrict Offices, and All Departments of the District Government:
Having been reviewed and approved at the 70th Executive Meeting of the District Government, the "Measures for the Support and Management of Industrial Support Funds in Songjiang District" are hereby issued to you. Please ensure strict compliance and implementation.
August 7, 2024
Measures for the Support and Management of Industrial Support Funds in Songjiang District
Chapter I General Provisions
Article 1 (Guiding Principles)
In accordance with the requirements of the "Shanghai Municipal Measures for the Administration of Special Funds for Promoting High-Quality Industrial Development (Interim)" and in light of the actual conditions of this district, these Measures are formulated to fully leverage the role of fiscal funds in supporting, guiding, and promoting industrial development and transformation and upgrading; to focus on key priorities and implement targeted policies; and to further enhance the efficiency of fund utilization.
Article 2 (Funding Guarantee)
Industrial support funds refer to funds allocated from the district-level fiscal budget and provided in conjunction with various industrial policies formulated by the District Development and Reform Commission, the District Economic Commission, the District Science and Technology Commission, the District Culture and Tourism Bureau, the District Market Regulation Bureau, the District Ecology and Environment Bureau, and other relevant departments (hereinafter referred to as the “District Industrial Management Departments”). These funds are incorporated into the budget management of the District Industrial Management Departments.
Article 3 (Basic Principles)
The basic principles of these Measures are as follows:
(1) Government Guidance, Focus on Priorities. Centering on Songjiang’s “6+X” strategic emerging industries development framework, the measures focus on key sectors, key industrial parks, and key enterprises. By addressing weaknesses and bottlenecks in industrial development through fiscal support and guidance, the measures aim to further mobilize and leverage the role of market entities, stimulate corporate innovation, and promote industrial upgrading and high-quality development.
(2) Total Control, Performance First. A system linking increases and decreases in funding will be established. In accordance with the principle of performance priority, the total annual budget allocation for each department will be adjusted based on the performance evaluation results of industrial support funds from respective industrial management departments, thereby fully leveraging the catalytic effect of fiscal funds. Industrial project performance management will be strengthened; project reviews should integrate policy orientation with project performance to select the best projects for approval, focusing on performance indicators such as operating revenue, output value, industrial fixed-asset investment, and the number of tourists attracted, to enhance the efficiency of fiscal fund utilization.
(3) Dedicated Use and Tiered Cost-Sharing. In accordance with fiscal fund management requirements, continuously optimize the management mechanisms and information technology capabilities for industrial support funds. Industrial support funds shall operate under a mechanism led by the district level, with cost-sharing between the district and town levels (including subdistricts and industrial parks). The cost-sharing ratios between the district and town levels shall be determined comprehensively based on industry classifications and project benefits.
Chapter II Scope, Methods, and Recipients of Support
Article 4 (Scope of Support)
Support funds are primarily used to promote the optimization of Songjiang’s industrial structure and the transformation and upgrading of industries, and to support enterprises within the district in enhancing their production, service, and research capabilities, thereby facilitating high-quality development of the industrial economy. Specifically, this includes: the development of advanced manufacturing; the upgrading of service industry capabilities and industry clustering; the integrated development of advanced manufacturing and modern services; the construction of new infrastructure; the development and construction of industrial parks; the promotion of innovation and entrepreneurship; the implementation of intellectual property strategies; and financial services supporting the real economy.
Article 5 (Methods of Support)
Support funds shall be provided through methods such as grant-in-aid, interest and fee subsidies, innovation vouchers, and matching subsidies. Innovation vouchers are issued in electronic form; they are collected and redeemed by service providers and serve as a policy tool to support enterprises and teams in purchasing professional services. The specific scope and methods of use are specified in the industrial policies.
Except for qualification incentive projects not exceeding 200,000 yuan, in principle, the same enterprise may receive support under no more than two different industrial policies within a single year, and a single industrial project may only receive support under one policy.
Chapter III Management Mechanism
Article 6 (Management Responsibilities)
Each unit shall perform its respective duties in accordance with its functional responsibilities:
(1) District Industrial Support Fund Management Joint Conference System: The Joint Conference consists of district government leaders, heads of relevant departments from the district industrial management authorities, the District Finance Bureau, and other relevant departments; its office is located within the District Finance Bureau. The primary responsibilities of the Joint Conference include: first, coordinating the formulation of regional industrial support policies; second, reviewing annual funding allocation plans; and third, coordinating the prioritization of support fund allocations within the region based on the specialized evaluation results and performance targets submitted by each industrial department.
(2) The responsibilities of each industrial management department include: First, formulating industrial support fund policies, clarifying policy performance targets, scope of support, support methods, and support standards; where contracts are involved, standard contract templates shall be attached to the industrial policies; second, determining the priorities for industrial support fund allocation, compiling annual project application guidelines, and publishing them via the information platform; third, compiling departmental special budgets for support funds based on project applications and evaluation results, and providing supporting calculations;fourth, to conduct due diligence and oversight of the support funds, bearing supervisory responsibility for the authenticity of project documentation, project implementation progress, achievement of project objectives, and the traceability of fund usage; fifth, to disburse funds in a timely manner in accordance with prescribed procedures; and sixth, to be responsible for financial audit management regarding the completion of major projects, such as those under the “case-by-case” approval mechanism.
(3) The responsibilities of the District Finance Bureau include: First, scientifically estimating the total annual scale of industrial support funds; second, coordinating the annual industrial support fund budgets for all departments based on performance targets and fund utilization plans submitted by the district’s industrial management departments; third, conducting performance oversight of the use of industrial support funds.
(4) The responsibilities of other departments include: the District Development and Reform Commission takes the lead in coordinating the management of industrial support policies; the District Data Bureau is responsible for updating and maintaining basic enterprise information.
(5) The District Audit Bureau is responsible for auditing and supervising the use and management of special funds.
(6) Each sub-district, town, and industrial park is responsible for recommending industrial projects, conducting preliminary reviews, and ensuring the allocation of matching funds.
Article 7 (Budget Management)
The District Industrial Management Department shall prepare the annual industrial support fund budget in accordance with relevant requirements for departmental budget preparation and submit it to the District Finance Bureau for review.
The District Finance Bureau shall determine and allocate the annual budget scale for support funds to each industrial management department based on the annual work plan proposed by the department, the execution of the previous year’s budget (excluding special factors), and with particular reference to the results of annual performance evaluations of departmental policies from previous years. For projects to be funded later, the budget scale for the following year shall be preliminarily allocated. No annual budget shall be allocated for departments that have not established performance targets or whose performance targets have not passed review.
Article 8 (Execution and Management)
Within the approved annual budget allocation, district industrial management departments shall submit project support grant applications to the district government based on actual needs, including district-level documents confirming the approval or acceptance of industrial projects (or municipal-level documents for supporting projects) and other required materials. Upon approval by the district government, the industrial management department shall disburse the relevant funds in a timely manner in accordance with regulations, after verifying compliance with industrial policies and the fulfillment of commitments made by the project entities.
Article 9 (Performance Management)
Prior to the introduction of industrial policies, a demonstration of policy necessity must be conducted, and a pre-implementation performance assessment must be performed regarding the capital-to-output ratio and the feasibility of the plan. Clear, quantifiable performance targets for the industrial policy must be established. New policies shall, in principle, undergo a one-year trial period. Before the end of the trial period, based on the results of the performance evaluation, the policy shall be adjusted and optimized before budget allocations are made for the following year.
Each industrial management department shall establish performance targets that project applicants must meet based on the content of the industrial policies.When approving special management projects, industrial management departments must sign the “Songjiang District Industrial Support Fund Enterprise Performance Target Commitment Letter” and the project approval contract with the project applicant. The Commitment Letter shall serve as the basis for project fund disbursement, performance evaluation, and fund audits. The project approval contract shall clearly specify the agreed conditions and targets that must be met for fund disbursement, as well as relevant follow-up clauses, stipulating that enterprises failing to fulfill or complete the committed performance targets shall return the funds already disbursed.
Current industrial policies shall undergo a comprehensive performance evaluation every three years. Policies shall be revised and improved based on the results of the performance evaluation, and the performance evaluation report shall also serve as the basis for the district finance department to increase, reduce, or withhold industrial support funds.
Article 10 (Monitoring and Management)
The District Industrial Management Department shall exercise full-process oversight over the use of special funds to ensure their standardized, secure, and effective operation. At the same time, it shall strengthen in-process management of projects covered by industrial policies. In cases where a company ceases operations or a project cannot be implemented due to reasons such as the company’s production and operations, the project shall be promptly revoked.
If an enterprise arbitrarily alters or ceases project implementation, the relevant industrial management department shall take the lead in coordinating with relevant units to recover the disbursed support funds within a specified timeframe in accordance with contractual agreements. After the enterprise transfers the returned funds directly via bank transfer to the account of the industrial department, the department shall then remit the funds to the district treasury.
Article 11 (Accountability)
For enterprises and relevant personnel found to have submitted fraudulent applications or misappropriated special funds, the relevant industrial department shall be responsible for recovering the disbursed funds and remitting them to the treasury, revoking the eligibility to apply for projects, and pursuing legal liability against the enterprise and relevant personnel in accordance with the law.
An accountability mechanism for the management of industrial support funds shall be established. During the project application and review process, any personnel found to have assisted enterprises in committing fraud or who have committed dereliction of duty or malfeasance shall be held legally liable in accordance with the law.
Article 12 (Information Disclosure)
The district industrial management department shall disclose the usage of industrial support funds in accordance with the law, item by item.
Chapter IV Supplementary Provisions
Article 13 (Interpreting Authority)
The Songjiang District People’s Government shall be responsible for interpreting these Measures.
Article 14 (Effective Date)
These Measures shall take effect on September 10, 2024. The original "Measures for the Support and Management of Industrial Support Funds in Songjiang District (Shanghai Songjiang Government Regulation [2021] No. 4)" shall be repealed simultaneously.
