Programme of rehabilitating housing blocks situated in localities in disfavoured areas

Legislative framework:

• GEO no. 125/2004 on setting up special measures for rehabilitation of housing blocks situated in localities in disfavoured areas, approved with amendments by Law no. 60/2005
• Methodological norms for the application of the ordinance, approved by GD no. 663/2005
• Decision no. 1677/2006 approving the Programme of rehabilitating housing blocks situated in localities in disfavoured areas for 2006
• Decision no. 280/2007 approving the Programme of rehabilitating housing blocks situated in localities in disfavoured areas for 2007

Purpose: Rehabilitation of housing blocks situated in localities in disfavoured areas. Housing blocks, as defined by Government Emergency Ordinance no. 125/2004, are multi-storey buildings intended for housing purposes, owned by natural/legal persons, presenting serious degradation of the structural system and major deficiencies at the thermal/hydro-insulation system. The disfavoured areas and the periods for which these areas are declared comply with the provisions of the Government decisions issued for the application of GEO no. 24/1998.

Objective: Rehabilitation of housing blocks situated in localities in disfavoured areas, multi-storey buildings owned by natural/legal persons, presenting serious degradation of the structural system and major deficiencies at the thermal/hydro-insulation system.

Programme development characteristics:

• general characteristics:
  • based on proposals substantiated by the National Investment Company and carried out further to requests from the local councils (that take into consideration the selection criteria provided by law), the Ministry of Regional Development and Housing elaborates annual programmes which are approved by Government Decision.
• main characteristics of the programme:
  • the public administration authorities in the localities situated in disfavoured areas have the obligation to analyse the situation of the existing housing stock, to identify and send, through the specialised territorial staff of the National Investment Company, proposals to include in the programme the housing blocks presenting evident degradation of the structural and/or thermal insulation system;
  • the authorities of the public administration elaborate proposals based on the selection and scoring criteria provided by law which are approved, as the case may be, by the local council, subject to the prior endorsement of the county inspectorate in constructions;
  • the National Investment Company analyses the proposals sent by local councils and submits the substantiations of annual programmes to the Ministry of Regional Development and Housing.
  • the annual programmes are elaborated by the Ministry of Regional Development and Housing and are approved by Government Decision.
  • the owners or tenants of the housing blocks included in the programmes benefit from subsidies from the state budget for the expert’s report, design and execution of rehabilitation works, within the limits of the funds allocated for such purpose, provided that the owners/tenants associations conclude a convention with the National Investment Company in this respect, to carry out actions to rehabilitate the housing blocks;
  • excepted from the benefit of financing are the owners or tenants, the legal persons, other than the local public administration authorities, who will bear a share of the expenses related to the expert`s report, design and execution of rehabilitation works.

Development stages:

• Centralisation and analysis, by the National Investment Company, of the proposals sent by the local administration for including, in annual programs, the blocks of flats presenting evident degradation of the structural and/or thermal insulation system;
• Elaboration of annual programmes, by the Ministry of Regional Development and Housing, based on proposals of the National Investment Company;
• Approval of the annual programme by Government Decision, within the limits of the annual budgetary provisions approved for such destination;
• Payment of the expenses made for the technical expert’s report, expert’s report on energy, the design and execution of intervention works, based on the payment documents elaborated on a monthly basis by the CNI - S.A. and registered with the Ministry of Regional Development and Housing, which, after verifying and centralising them, draws up the substantiation note for the opening of budgetary loans.

With the aim of carrying out the programmes, the CNI - S.A. shall fulfil the following duties, according to law:

• concluding the convention between CNI - SA, as coordinator of the programmes, according to the ordinance, and the owners / tenants associations, as beneficiary of rehabilitation works, according to art. 6 of GEO no. 125/2004;
• technical expert`s report and energy report on the housing blocks;
• preparing documentations and support them within the Technical and Economic Council of the Ministry of Regional Development and Housing, for the approval of the technical-economic indicators for the intervention works;
• designing intervention works on the housing blocks for which the technical-economic indicators were approved and obtaining the building authorisation;
• organizing public procurement procedures;
• execution of intervention works, including the follow-up and technical supervision of works by authorised specialised staff;
• acceptance upon the finalisation of intervention works and final acceptance;
• substantiating the funds required to carry out the works;
• justifying the use of the amounts allocated from the state budget to carry out the programme.

Implementing authority: The Ministry of Regional Development and Housing, through the National Investment Company.

Beneficiaries: Natural or legal persons who own multi-storey housing blocks, situated in localities in disfavoured areas, presenting serious degradation of the structural system and major deficiencies of the thermal/hydro-insulation system

Financing sources: State budget.

• mode of financing:
  • the special measures to rehabilitate housing blocks are financed from the state budget, within the limits of the funds allocated for such purpose, through the budget of the Ministry of Regional Development and Housing.
• main characteristics:
  • the expert’s report, the design and the execution of rehabilitation works on housing blocks are subsidised from the state budget;
  • excepted are the owners or the tenants in the housing blocks, other than the local public authorities, who bear a share of the expenses related to the expert`s report, design and execution of rehabilitation works.

Programme Value: According to the annual state budget laws.

Duration: Permanent.

Contact person: Apreotesei Daniel, Evaluator adviser,
e-mail: daniel.apreotesei@mdrl.ro