** Large-scale Instrument State-owned Asset Sharing Mechanism

According to the National Health and Family Planning Commission, state-owned assets such as hospital large-scale instruments should establish a sharing mechanism and effectively increase the efficiency of the use of state-owned assets.

The National Health and Family Planning Commission recently issued the "Administrative Measures for the Use of State-owned Assets of Budget Management Units", which indicates that the management of state-owned assets of budget management units has gone on the track according to law. The “Measures” proposes to implement dynamic management of state-owned assets; organize the implementation of performance appraisal of state-owned asset management; promote the sharing and common platform construction of assets such as large-scale instruments and equipment; and the establishment of sharing and sharing mechanisms for state-owned assets.

As of 2014, the total assets (original value) of the budget management unit of the National Health and Family Planning Commission had reached 165.6 billion yuan. Some units have problems such as “heavy capital, light assets, heavy purchases, and light management”; the phenomenon of lax approval procedures for external investment and leasing, lending, etc., has caused the loss or loss of state-owned assets in varying degrees.

The "Measures" proposes that the use of state-owned assets shall be governed by a "national unified ownership, comprehensive management by the Ministry of Finance, supervision and management by the National Health and Family Planning Commission, and specific management by all units"; the state-owned assets lease, lease limits, and foreign investment limits shall be clearly defined and shall not be used. State-owned assets are rented out and loaned to individuals. The time for renting and lending of state-owned assets is generally not more than five years; all units are required to be responsible for the maintenance and appreciation of state-owned assets such as foreign investment, leasing, and lending, and to assume the responsibility of maintaining and increasing the value of state-owned assets of funded enterprises. The Ministry of Finance and the National Health and Family Planning Commission supervised the state-owned assets of all units, and clearly stipulated the penalties for illegal use of state-owned assets.

The Measures emphasizes that all units should strictly control foreign investment. The scope of investment is limited to areas related to health care and family planning services. Among them, budget management hospitals are limited to medical service related fields. In addition, the ownership of state-owned assets intended for foreign investment should be clear. Strictly control foreign currency investment and encourage the use of scientific and technological achievements. Strictly control the budget management unit with a high debt-to-liability ratio to invest overseas. If the individual investment or batch value of foreign investment is more than 8 million yuan (inclusive), it shall be reviewed by the National Health and Family Planning Commission and submitted to the Ministry of Finance for approval. Strictly control overseas investment and M&A investment, pay attention to the hidden debts, commitments, sustainable development ability, and employee status of M&A targets, and reasonably determine the payment consideration.