sbdcsierra Chapter 475 Solving the Funding Problem for New Town Development
Chapter 475 Solving the Funding Problem for New Town Development
"Secretary, several enterprises in our county are developing rapidly, and some enterprises in the townships are supplying them with raw materials."
For example, the canned food company now has such a large output, most of which is supplied by township enterprises.
For example, the liquor company has already ordered base liquor from township wineries...
Currently, the county's enterprises have not yet grown significantly, and the related enterprises in the townships have only just turned a profit, making it the perfect time to invest in or acquire them.
That's why I wanted to do what the county did and rescue all the township enterprises, letting them use the reform funds for technological upgrades.
I just didn't expect that with so many township enterprises, 500 million yuan is simply not enough for a township.
When I reported this to County Chief Qi, he not only did not support me, but also criticized me.
As for the industrial park and the first-class six-lane dual carriageway main road project, many of the county's business owners did not participate because County Chief Qi required contractors or individuals to advance funds.
In the new city area, County Chief Qi plans to establish a city investment company to handle the first phase of development, which has already been approved at the meeting.
Those business owners who want to participate will have to wait until phase two.
Guo Hongguang explained.
"Hongguang, since it's difficult to keep all the companies, let's keep some of them."
Our primary goal is to complete the reform of township and village enterprises and achieve results.
You know the situation in the county; they can't afford to give you the money right now.
Since those business owners want to invest in or buy township enterprises, then let them invest and buy them.
In addition to the business owners in the county, we should also involve business owners in the townships.
In this way, our reforms will proceed much more smoothly.
Our county is developing rapidly; we must hurry up and achieve results so that we can be promoted as soon as possible.
Liao Changyong said.
It is impossible for Guo Hongguang to replicate Qi Tongwei's approach.
Qi Tongwei had enough funds to reform the county's enterprises, but Guo Hongguang did not.
With so many townships, it's impossible to carry out shareholding reforms on all enterprises with just 500 million yuan from one township.
Qi Tongwei is currently gaining momentum and is showing signs of overtaking him.
If Guo Hongguang fails to reform township enterprises, it will affect his authority as the county party secretary.
"Okay, secretary!"
Guo Hongguang nodded.
Since the Party Secretary has said so, he has no choice but to do as the Party Secretary says.
"You're the deputy county head, so you just need to keep an eye on the big picture."
The specific tasks will be handled by the Township Enterprise Management Bureau and the townships.
Liao Changyong gave his instructions.
As the competent authority, the Township Enterprise Administration Bureau should be responsible for the reform of township enterprises in conjunction with the townships.
"Okay, Secretary, thank you for your guidance!"
Guo Hongguang nodded.
He knew the secretary was giving him instructions.
Moreover, the Party Secretary said that the business owners in the county and townships should participate by investing in or buying township enterprises.
Then they can decide who invests in which company and who buys which company.
There will definitely be plenty of benefits then.
Once the reform of township enterprises is completed, I can buy two nice houses in the city.
Qi Tongwei submitted the proposal to the Standing Committee to establish a city investment company to develop and construct the new city, and the Standing Committee successfully discussed and approved it.
Then Xichun County officially established a city investment company with a sub-county level structure, with the county government allocating 3400 million yuan as start-up capital.
The manager of the city investment company is Sheng Dazhu, deputy director of the county government office, and the deputy managers are Hou Yong, head of the secretariat of the county government office, and Yu Zhenghai, head of the comprehensive section of the county party committee office.
Sheng Dazhu is a veteran of the county government; he has long been a section chief and is considered a key figure in the government.
Hou Yong, the former deputy head of the Secretariat Section of the County Government Office, took over the position after Luo Kang became the deputy director of the County Government Office.
Yu Zhenghai, the head of the General Affairs Section of the County Party Committee Office, has been in his position for several years and was promoted to deputy section chief along with Hou Yong.
Then, Bai Xi, the head of the General Affairs Section, was promoted to the position of deputy director of the office. The heads of the Personnel Section and the General Affairs Section were replaced by deputy heads, who were promoted from within the same department.
As a result, the county government office promoted seven people at once, which boosted the enthusiasm of the cadres.
"Comrades Sheng Dazhu, Hou Yong, and Yu Zhenghai, the planning for the new city has been completed, and the development plan for the first phase has been finalized."
The subsequent development and construction will depend on the city investment company.
We must complete the development and construction on time, with high quality, in accordance with the county's plans and requirements!
Don't worry about the funding; the county will help you with that.
Qi Tongwei called Sheng Dazhu, Hou Yong, and Yu Zhenghai to his office for a briefing.
He strongly advocated for the new city, and he put a lot of thought and effort into its planning. He was determined to get the basic structure out as soon as possible and make it fully formed.
Xichun County is experiencing rapid development, and the development of its towns must keep pace.
"Yes, County Chief Qi!"
The three nodded.
Afterwards, Qi Tongwei called over the five banks in the county to hold a meeting with the urban investment company.
"Today's meeting is mainly to discuss the funding issues for urban investment companies to develop new towns."
As required by the province and city, Xichun County is to become a county with a GDP of 10 billion yuan.
Water, electricity, and transportation infrastructure are already under construction and will be resolved soon.
In terms of economic development, industrial parks are under development and construction.
The remaining money will be used for urban development.
In this regard, the county has already planned the new town, and the first phase of development and construction plan has also been formulated.
The next step is development and construction.
However, the county's funds are limited and insufficient to support the development and construction of the new town, so banks are needed to provide assistance.
Each of the five banks in our county will lend 100 million yuan to the urban investment company, with the county government acting as guarantor.
Of course, the county will not let you suffer losses; they will allocate mortgage business to you.
You can refuse, but you will no longer be involved in the county's major project loans, mortgage applications, or business account openings!
After having Luo Kang distribute the new city plan and the first phase of development and construction plan to everyone at the meeting, Qi Tongwei got straight to the point.
Qi Tongwei directly assigned the task of 100 million yuan to each bank.
The collateral is the land, but the mortgage procedures can only be completed after the urban investment company acquires the land.
Despite the difficulties, the development of Xichun County is foreseeable.
If banks can seize the opportunity, they will develop rapidly.
However, if they fail to capitalize on this opportunity, they will lose a lot of business and quickly fall behind other banks.
After thinking for a while, the five banks agreed to each lend 100 million yuan to the urban investment company, but the funds would be disbursed in three installments.
Qi Tongwei disagreed; everything had to be done in one go.
Arriving in three batches will affect the development of the new city. He wants to acquire five or six thousand acres of land at once, and then level the land and build roads.
Then, the land will be gradually sold off to resolve subsequent funding issues.
After the first phase of development and construction, the new city will be able to attract many people to develop it.
At that time, land prices will rise rapidly.
By simply selling a portion of the land, the money from the land acquisition can be recovered quickly, and the bank loans can be repaid, allowing the banks to have more funds for mortgage business.
Ultimately, the bank gritted its teeth and agreed, and the local government financing vehicle company quickly received a total loan of 500 million yuan.
Five banks signed an agreement with the urban investment company, under which they would split the mortgage business for the residential and commercial properties developed by the company.