Draft Development Code developed

20.07.2010 20:19
In the near future the construction industry will receive a single set of work rules. June 30 the parliament approved the first reading of the draft Development Code. The authors are confident that the agreed document, simplifying licensing procedures and precise regulation of construction activities increase the investment attractiveness of the industry. However, the main effect of the actions of the new Code may be in another ...<br /><br />Large developers will be able to eliminate smaller competitors, and officials under the guise of public interest, may still be actively build up recreational areas.<br /><br />One all<br />Draft Development Code developed by Vladimir Rybakov (OL), Yuriy Serbin, Arnold Radovtsom (both - BYT), Vladimir Polyachenko (PSD), Adam Martyniuk (CPU) and Valery Baranov (block Lytvyn). He must replace the thousands of regulations governing building activity now. However, the proposed codification of a number of shortcomings. "The document does not provide transcripts of some key definitions.<br /><br />It is unclear who should be considered a general designer, what architectural design, scientific research organization, architectural work, design documentation, the general contractor. If these concepts would be understood by-laws, then they can get the objects and people in general have no relation to construction ", - explained the" DS "First Deputy Chairman of the Council of Association" Ukrainian Union of project organizations "Alexander Luganov.<br /><br />However, the positive momentum can be regarded as the disappearance of the building regulations the concept of "urban planning study. Now, with the right connections in the government can, for example, to get permission to build a home or other facility not provided the master plan. In the presence of important arguments town planning commission of local councils will prove the necessity of its construction, which often becomes the basis for obtaining all necessary permits. Urban Development Code eliminates this corruption scheme of building, bypassing the general plan.<br /><br />Experts anoint that the draft did not reflect many of the key issues, such as facility location and other industrial facilities in the cities and other settlements. "The Code should establish a direct prohibition, for example, the construction within the city of new metallurgical plants and other hazardous industries", - explained Mr. Luganov. However, all these factors can be taken into account in the preparation of the second reading.<br />Building mezhdusoboychik<br /><br />One of the main innovations of the draft Development Code is the empowerment of licensing powers of self-regulatory organizations. This provision lobbied domestic builders, in particular members of the Ukrainian Construction Association, which is one of the first exercise of such powers. According to the draft status of self-regulatory organizations may obtain an association or union, with offices in all regions of the country and no less than 150 members.<br /><br />"Today the problem is that the license for construction works are available on the formal grounds - on the basis of submitted documents. The level of real knowledge and professionalism no one checks or at the time of issuance of the license, or during its operation, what is wrong. For example, now have 37 thousand licensed companies involved in design. During the crisis, many of them have suspended their activities.<br /><br />And no one knows how well they can prepare for new projects after the restoration of the construction industry. Intelligent same organization will issue a license only on the basis of successfully completed tests confirming the professional level of the potential licensee. In turn, they should be responsible for licensing activities, including criminal ", - says Alexander Luganov.<br /><br />However, deputies are not satisfied with all the appetites of the building lobbies. In particular, the draft Code introduces the licensing of self-regulatory organizations, but does not alter the state licensing, as requested by professional associations. In addition, lobbyists say unreasonable requirement for self-regulating organization that wants to get licensing powers, be composed of not less than 150 members.<br /><br />This rule is a blueprint copied from the Russian Development Code. For Russia, given the size of the state, a small number. We also are not all narrow realm of association can boast such a number of participants. However, bargained licensing powers for self-regulatory organizations, large companies, whose representatives are usually included in their governing bodies were able to remove from the market of smaller and weaker competitors (this is not enough to give them a license).<br /><br />The oligarchs decided to housing<br />Draft Development Code provides ample opportunities to improve the living conditions of senior officials and close to the power wealthy Ukrainians who prefer to build houses in the sanctuary. The document stipulates that in cases where at building up impossible to balance the interests of the state, communities and individuals, mode of construction may be regulated not by the norms of the Code, and the special regulations of the Cabinet.<br /><br />It is about building on land recreational purposes, defense, areas of historical ranges, nature reserves and future development of transport and engineering infrastructure in the border, as well as in areas of emergencies. "Under the guise of public interest, the government may adopt special procedures for construction of protected areas, making it easier to close to power companies or individuals to obtain permits," - said the lawyer Konnov and Sozanovsky Dmitry Sichkar.<br /><br />To prevent possible abuses in the construction of large projects, approving the general plan and the concept of human settlements, the relevant projects will be required to undergo public hearings. However, as the lawyers assert, the corresponding norm has been included in the bill "for show". "The procedure for public hearings spelled out blurry. In addition, as now, the final word in the approval of a project will be authorized for local authorities ", - explains Mr. Sichkar.<br /><br />Unlimited possibilities for corruption in the power of the opening and award procedure of temporary structures for entrepreneurial activity (bins, kiosks and other temporary buildings without basement). "According to the document to get the right to place such an object, you first need to conclude the right to lease or purchase land for him. That is all the current small-scale entrepreneurs, once they have run out of permits for placement of kiosks, make execute lease rights in local government. And to get them, businesses will have to fork out for an informal gratitude to the officials "- allow lawyers.<br /><br />Certainly, the positive point is specifically stipulated in the draft Code of Conduct: the legally established temporary objects can be removed only by court. But how will communicate installed without building - is unclear. This opens up possibilities for violations of property rights of entrepreneurs who, for whatever reason have not received permission to install the kiosk. According to lawyers, at least the business can win a claim for damage to property.<br /><br />The ability to bribe officials to open a business and other rules of the draft Development Code, which allows the possibility of moving the temporary structures in the case of reconstruction of engineering networks, roads, buildings and structures. "Unfortunately, the document contains no provisions about where it may be postponed until a temporary technical object and whether he can return to their original location after work. It is evident that the transfer of such facilities with the center of Kiev to the edge can significantly affect the profit entrepreneur. Those left unsaid in the bill could take officials to secure informal earnings by making the right decisions ", - adds Dmitry Sichkar.<br /><br />In general, the experts describe the draft Code as a rather crude. The main scientific and expert management of the Verkhovna Rada even recommend sending him to repeat the first reading. But because it contains too many nice for officials and industry lobbyists, the rules of its final approval will not be postponed indefinitely.<br /><br />Alex Nabozhnyak Business Capital<br />
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