Provisions of Shanghai Municipality on Residential Property Management
Provisions of Shanghai Municipality on Residential Property Management
(Adopted at the 14th Session of the Standing Committee of the 12th Shanghai Municipal People’s Congress on August 19, 2004; revised at the 23rd Session of the Standing Committee of the 13th Shanghai Municipal People’s Congress on December 23, 2010; amended according to the Decision to Revise the Provisions of Shanghai Municipality on Residential Property Management adopted at the 7th Session of the Standing Committee of the 15th Shanghai Municipal People’s Congress on November 22, 2018)
Chapter I General Provisions
Article 1
With a view to regulating residential property (real estate) management activities and safeguarding the legitimate rights and interests of property owners and property service enterprises, these Provisions are formulated according to the Property Law of the People’s Republic of China, the Regulations on Property Management of the State Council and other relevant laws and administrative regulations, and in the light of the actual circumstances of this Municipality.
Article 2
These Provisions shall apply to the management and use of residential properties, and the supervision and control thereof within the jurisdiction of this Municipality.
Article 3
The term “residential property management” (hereinafter referred to as “property management”) as mentioned in these Provisions means the activities carried out by the property owners, through selecting and hiring a property service enterprise, according to the property service contract between the former and the latter or in another form -- activities of repair, maintenance and management of the buildings and their supporting facilities, equipment and relevant grounds to maintain environmental sanitation and good order.
The term “property owner” as mentioned in these Provisions means the holder of the title deed of the property.
The term “user” as mentioned in these Provisions means the lessee (tenant) of a property or a person who actually uses a property.
Article 4
The municipal housing administrative department shall be in charge of the supervision and administration of the property management in this Municipality. The district housing administrative departments shall be in charge of the supervision and administration of the property management within their respective jurisdiction, and shall guide and supervise the township and town people’s governments to execute administration over property-related management.
The municipal housing administrative department shall perform the following functions and duties:
1. formulating the relevant policies on property management in this Municipality;
2. establishing and perfecting the hierarchical training system for property management;
3. guiding the district housing administrative departments to conduct supervision and administration of the property management within their respective area;
4. guiding the property management association to formulate self-discipline norms and carry out its work;
5. creating an information platform for the Municipality’s unified property management and supervision;
6. exercising supervision and administration over the property management industry and related property management work.
A district housing administrative department shall perform the following functions and duties:
1. organizing the implementation of the policies and rules related to property management;
2. exercising the supervision and administration of the property service enterprises and their employees within its jurisdiction;
3. guiding and supervising the bidding for property management;
4. exercising administration of the collecting and routine use of the special maintenance fund prior to the establishment of the property owners’ congress;
5. confirming such matters as the area defined for property management, the rooms for a property service enterprise, and the rooms for the property owners' committee (hereinafter jointly referred to as “property management areas”);
6. guiding the town/township people’s governments and the sub-district offices in their supervision and administration of the work of the property owners’ congress and the property owners' committee as well as other property management work.
7. guiding the town/township people’s governments and the sub-district offices in providing training in property management; and
8. performing other supervisory and administrative duties in property management.
The municipal departments of development and reform, construction, transportation, public security, water affairs, greening and urban appearance, civil affairs, planning, finance, taxation, judicial administration, urban-management law enforcement, market supervision and administration, emergency administration, etc. shall each perform their respective duties to cooperate in implementing these Provisions.
Article 5
The district people’s government shall institute a working system for comprehensive administration of the residential districts, organize relevant district administrative departments, the town/township people’s governments, and the sub-district offices to arrange, promote and coordinate the property management work within their jurisdictions.
The town/township people’s governments and the sub-district offices shall, within their jurisdiction, institute a working system for comprehensive administration of the residential districts to coordinate and handle general matters in property management and settle disputes. The housing administration agencies set up by the aforesaid governments and offices (hereinafter “housing agencies”) undertake the specific matters related to housing management.
The town/township people’s governments and the sub-district offices shall preform the following functions and duties:
1. guiding and supervising the establishment and re-election of the property owners’ congress and committee, and undertaking the filing procedure;
2. guiding and supervising the routine operation of the property owners’ congress and committee, and providing training for members of the preparatory group of the property owners’ congress (hereinafter referred to as the “preparatory group”), members of the property owners' committee, and members of the preparatory group for committee re-election;
3. participating in the examination and acceptance of the property, and guiding and supervising the handover and takeover of property management projects within their respective jurisdiction;
4. filing the property service contracts, and conducting routine supervision and inspection over the property service within the property management area;
5. supervising the property owners and users in using and maintaining the property according to the provisions;
6. establishing a mechanism for handling property-management-related disputes and mediations and for complaining and reporting, mediating property-management-related disputes, and handling property-management-related complaints and reports;
7. establishing a mechanism for emergency service and guarantee for the property; and
8. other functions and duties as stipulated by laws, rules and regulations.
Article 6
A governance framework for a residential district shall be established and perfected in this Municipality with the Party organization in the residential district as the leading core and with the participation of the neighborhood committee or the villagers committee, the property owners' committee, the property service enterprise, and the property owners, so as to promote innovations in residential property management.
The neighborhood committee and the villagers committee shall assist the town/township people’s governments in conducting neighborhood administration and property-management-related work in the service for the neighborhood, strengthening guidance and supervision for the property owners' committees, and guiding the committees’ standardized operation in the form of self-governance.
Article 7
The municipal property management association is a non-governmental organization that provides service and self-discipline management for the whole trade, and shall formulate and implement self-discipline norms according to law, organize professional trainings, mediate disputes between property service enterprises, and safeguard the legitimate rights and interests of property service enterprises.
This Municipality encourages property service enterprises to join the municipal property management association.
Chapter II Property Owners and the Property Owners’ Congress
Article 8
A residential district with shared supporting facilities and equipment, including a district that is constructed by stages or by two or more development units jointly, shall be delimited as one independent property management area. If a residential district is partitioned into two or more geographic neighborhoods or separate communities by roads and/or streams and the responsibilities for management and maintenance of their shared supporting facilities and equipment can be clearly defined, each of the neighborhoods or communities may be delimited as an independent property management area.
Article 9
The housing administrative department shall be in charge of approving property management areas.
When applying for the permit for a planned residential construction project, the development unit shall apply to the district housing administrative department for delimitation of the property management areas, and the district housing administrative department shall, in turn, make a decision on whether to approve the proposed delimitation within five days.
In selling its housing, the development unit shall specify the property management area delimited by the district housing administrative department for the buyer in the housing unit sale contract.
Article 10
Where a property management area has not yet been delimited or has to be adjusted, the district housing administrative department shall, jointly with the town/township people’s government or the sub-district office, determine the delimitation in accordance with Article 8 and in consideration of the location of the local neighborhood committee or villagers committee. Where the property management area is to be adjusted, the adjustment shall be approved by both the property owners who possess exclusive areas that account for more than half of the total construction area of the buildings and by the property owners who account for more than half of the total number of the property owners.
After a property management area is adjusted, the district housing administrative department shall publicize the adjustment in the area.
Article 11
To undertake the procedure of obtaining the permission for delivering the housing for use, the development unit shall submit the following documents to the housing agency:
1. the site plan after completion of the construction project, and documents of project completion and acceptance such as the drawings of the individual buildings, architectural structures, equipment, supporting facilities, and underground pipelines;
2. technical documents about the installment, use and maintenance of the facilities and equipment;
3. property quality guarantees and property use instructions; and
4. other documents necessary for property management.
When the development unit undertakes the procedure of property examination and acceptance, it shall hand the documents as prescribed in the preceding paragraph over to the property service enterprise.
A property owner may approach the housing agency or the property service enterprise to check the documents concerning his/her property management area as prescribed in Paragraph 1.
Article 12
In property management, a property owner is entitled to the following rights:
1. receiving the service of the property service enterprise according to the terms of the property service contract;
2. proposing convocation of the property owners’ congress and a meeting of the property owners’ group, and making proposals on matters concerning property management;
3. proposing formulation and revision of management stipulations, special-maintenance-fund management stipulations, and rules of procedure of the property owners’ congress;
4. participating in the property owners’ congress and a meeting of the property owners’ group, and exercise the right to vote;
5. electing members of the property owners' committee, and having the right to be elected;
6. supervising the work of the property owners' committee;
7. supervising the property service enterprise in performing the property service contract;
8. having the right to know and supervise the use of the shared parts, the shared facilities and equipment and relevant grounds within the property management area;
9. supervising the management and use of the special maintenance fund; and
10. other rights provided by the laws and regulations.
In property management, a property owner shall perform the following duties:
1. observing the interim management stipulations, management stipulations, rules of procedure of the property owners’ congress, and special-maintenance-fund management stipulations;
2. observing the rules on the use of the shared parts, the shared facilities and equipment and relevant grounds within the property management area, and the rules on maintenance of public order, public security and environmental sanitation;
3. implementing the decision of the property owners’ congress and the decision made by the property owners' committee authorized by the property owners’ congress;
4. paying his/her share of the special maintenance fund in a timely fashion;
5. paying the property service fee in a timely fashion;
6. performing his/her duty of safe use of the housing unit;
7. providing the property owners' committee with his/her address and contact information; and
8. other obligations as provided by laws and regulations.
With regard to the shared parts outside a property owner’s exclusive area, he/she shall both enjoy his/her the right and assume his/her duties, and shall not fail to perform his/her duties by giving up his/her right.
Article 13
The property owners’ congress is composed of all property owners in the property management area.
If more than 50% of the total construction area of the buildings in a property management area has been sold and handed over for use, or if the first housing unit has been sold and handed over for use for two full years, the inaugural general meeting of the property owners shall be called to establish the property owners’ congress. However, if there is only one owner, or if there are too few owners and they all agree not to establish the property owners’ congress, the owner(s) shall jointly perform the duties of the property owners’ congress and the property owners' committee.
Article 14
Where a property management area meets one of the conditions for establishing a property owners’ congress as provided in Paragraph 2 of Article 13, the development unit shall submit to the town/township people’s government or the sub-district office in the locality a written report about establishing the congress together with the following documents:
1. the approval of the property management area;
2. the certificate of the allocation of the rooms for property management;
3. the detailed name list of property owners and the construction area of their respective property;
4. the time of sale and the time of handover of the property; and
5. a detailed list of the amount of the special maintenance fund raised.
In case the development unit fails to make a timely written report, property owners themselves may submit a written request for establishing the property owners’ congress to the town/township people’s government or the sub-district office.
Article 15
The town/township people’s government or the sub-district office shall, within 60 days after receiving the written report from the development unit or from property owners, set up a preparatory group for the property owners’ congress. The preparatory group shall publicize the name list of its members in the property management area within 7 days from the date of its establishment.
The preparatory group shall consist of representatives of property owners, the development unit, the town/township people’s government or the sub-district office, and the local neighborhood committee or villagers committee. The preparatory group shall have an odd number of members, and the representatives of property owners in the group shall meet the conditions as provided in Paragraph 2 of Article 20 of these Provisions, and shall not be less than half of the total number of the group members. The representative of the town/township people’s government or the sub-district office shall be the head of the preparatory group.
The town/township people’s government or the sub-district office shall organize the property owners to recommend and select their representatives to the preparatory group.
If a property owner has objection to any member of the preparatory group, the town/township people’s government or the sub-district office shall settle the matter through coordination.
Before the preparatory group starts its preparatory work, the town/township people’s government or the sub-district office shall provide training for the group members.
Article 16
The preparatory group shall do well the following preparatory work:
1. ascertaining and making public the property owners’ identities, total number, and their respective exclusive construction area;
2. determining the time, place, form and content of the inaugural meeting of the property owners’ congress;
3. drafting the management stipulations and the rules of procedure of the property owners’ congress;
4. determining the voting procedure for the inaugural meeting of the property owners’ congress;
5. formulating the process of selecting candidates for the property owners' committee and determining the list of the candidates;
6. formulating the procedure for electing the property owners' committee; and
7. making other preparations for the inaugural meeting of the property owners’ congress.
The matters as provided in the preceding paragraph shall be publicized in the property management area 15 days before the convening of the inaugural meeting of the property owners’ congress. If a property owner has objection to the matters publicized, the preparatory group shall record the objection and reply to it.
The preparatory group shall convene the inaugural meeting of the property owners’ congress within 90 days from the date of its establishment.
The preparatory group shall be dissolved once the property owners' committee is established according to law.
Article 17
The property owners’ congress can, in addition to performing the functions and duties as provided in the Property Law of the People’s Republic of China and the Regulations on Property Management of the State Council, make decisions on the overhead expenses of the property owners' committee, and annul inappropriate decisions by property owners’ groups.
Article 18
The meeting of the property owners’ congress may mean either property owners’ get-together discussion or the collection of their written opinions. It must be participated in by both the property owners who possess exclusive areas accounting for more than half of the total construction area of the buildings and the property owners who account for more than half of the total number of the property owners in the property management area.
A decision made at the meeting of the property owners’ congress shall be subject to the approval by both the property owners who possess exclusive areas accounting for more than half of the total construction area of the buildings and the property owners who account for more than half of the total number of the property owners. A decision made at the meeting of the property owners’ congress on the raising and use of the special maintenance fund or on the renovation or reconstruction of buildings or their auxiliary facilities shall be subject to the approval by both the property owners who possess exclusive areas accounting for more than 2/3 of the total construction area of the buildings and the property owners who account for more than 2/3 of the total number of the property owners.
A property owner may entrust an agent to attend the meeting of the property owners’ congress. The agent shall present the property owner’s power of attorney to the meeting and shall exercise the voting right according to his/her principal’s opinions on the matter under discussion.
Article 19
The rules of procedure adopted at the inaugural meeting of the property owners’ congress shall include agreements on the congress’ rules of discussing and voting, the setting-up of property owners’ groups, the composition and office term of the property owners' committee, the removal and by-election of committee members, etc.
Article 20
The property owners' committee shall be elected by a meeting of the property owners’ congress and perform its functions and duties according to law. It shall have an odd membership of five or more; but in the case of a residential district with a total construction area of less than 10,000 square meters, the committee may be composed of three members. The preparatory group shall determine the number of the committee members and the proportions of different types of owners according to the size of the property management area and the proportions of different ownerships of the buildings. Members of the property owners' committee shall have an office term of 3 to 5 years.
A member of the property owners' committee shall meet the requirements as provided in the Regulations of the State Council on Property Management, and he/she himself, his/her spouse and his/her immediate relatives do not serve the property management area or take a post in the property service enterprise. In case a property owner who has damaged the load-bearing structure of his/her housing unit, illegally put up buildings or structures, spoiled the building exterior appearance, altered the use of the property without authorization, delayed the payment of the property service charges or the special maintenance fund, or illegally rent out his/her housing unit, and has failed to mend up, he/she shall not be a member of the property owners' committee. The property owners’ congress may further decide, according to law, circumstances in which an owner shall not be a member of the property owners' committee.
A candidate for the membership of the property owners' committee shall promise in writing that he/she conforms to the requirements set forth in the preceding paragraph, shall perform his/her duties in a comprehensive way, and shall not abuse his/her power to seek personal gains.
The property owners' committee shall perform the following functions and duties:
1. calling meetings of the property owners’ congress, and making an annual report on the state of the property management and the performance of the property owners' committee;
2. implementing the decision of the property owners’ congress, and handling the routine management matters of the congress;
3. signing a property service contract on behalf of the property owners with the property service enterprise selected by the property owners’ congress;
4. drawing up the annual financial budget and final account of the property owners’ congress;
5. drawing up a scheme for business management of the shared parts of the property and a scheme for the management, use and distribution of the property owners’ joint proceeds;
6. drawing up management rules on the seal, finance, archives, parking, pets, and interior and exterior decoration;
7. supervising the use of the special maintenance fund, organizing the replenishment of the special maintenance fund and raising the special maintenance fund once again;
8. collecting the opinions and suggestions of the property owners and users in good time, seeing that the property owners pay the property service charges, and supervising and assisting the property service enterprise in executing the property service contract;
9. supervising the implementation of the management stipulations; and preventing property owners from violating the management stipulations; and
10. other functions and duties assigned by the property owners’ congress.
The property owners' committee shall subject itself to the supervision of the property owners’ congress and the property owners, and to the guidance and supervision of the relevant administrative departments, the town/township people’s government or the sub-district office, and the neighborhood committee or the villagers committee.
Article 21
Candidates for the property owners' committee shall be selected by the preparatory group through such methods as directly soliciting property owners’ opinions, holding forums, and using a recommendation form. The preparatory group shall examine the candidates’ qualifications, propose a list of candidates, and submit it to the town/township people’s government or the sub-district office. The preparatory group shall also publicize the basic information about the candidates in the property management area.
Members of the property owners' committee shall be elected by a meeting of the property owners’ congress. The director and the deputy director shall be elected from among the members of the property owners' committee. Within three days after the election, the preparatory group shall publicize the name list of the director, deputy director and other members of the property owners' committee in the property management area.
The director of the property owners' committee shall be in charge of the routine matters of the committee and performing the following functions and duties:
1. calling and presiding over the meeting of the property owners' committee;
2. putting forward the topics for discussion at the meeting of the property owners' committee; and
3. signing relevant documents according to the decisions made at the meeting of the property owners’ congress.
In case the director of the property owners' committee is unable to perform his/her functions and duties for a certain reason, the deputy director shall work on his/her behalf.
Article 22
The town/township people’ s government or the sub-district office shall, jointly with the district housing administrative department, regularly organize members of the property owners' committee to receive trainings in property-management-related laws, rules, regulations and normative documents and in norms for routine operation.
Article 23
The property owners' committee shall, within 30 days of its establishment by election, undergo the filing procedure with the town/township people’ s government or the sub-district office on the strength of the following documents:
1. the minutes of the meeting of the property owners’ congress and the decisions thereof;
2. the rules of procedure of the property owners’ congress;
3. the management stipulations;
4. the stipulations on managing the special maintenance fund;
5. the name list of the members of the property owners' committee, their basic personal information, and their written promises; and
6. records of the trainings for the members of the property owners' committee.
The town/township people’ s government or the sub-district office shall issue to the legally elected property owners' committee the certificate testifying the registration of the property owners’ congress and the property owners' committee and the permit for engraving the committees’ official seal. The certificate shall bear the names of the property owners’ congress and the property owners' committee, the session, the term of office, the names of the leaders and their office address.
The property owners' committee shall engrave and use its seal according to law. The words on the seal shall include the name of the property owners' committee and its session.
Article 24
In view of the work of the property owners' committee, the property owners’ congress may provide the members of the committee with appropriate allowances, which can be reimbursed from the property owners’ joint proceeds from the shared sources or other sources. The standard of the allowances and the raising, management and use of the fund shall be decided by the congress.
Article 25
The property owners’ congress may hold regular or unscheduled meetings. A regular meeting shall be held according to the congress’ rules of procedure. An unscheduled meeting shall be organized by the property owners' committee when more than 20% of the property owners propose it.
To hold a meeting of the property owners’ congress, the property owners' committee shall notify in writing the housing agency and the local neighborhood committee or villagers committee of the time, place, topics for discussion and agenda of the meeting, and shall invite their representatives and solicit their opinions and suggestions.
Where the property owners' committee fails to hold a meeting of the property owners’ congress as required by law, the town/township people’s government or the sub-district office shall urge it to do so before a set date; if it fails to do so again, the town/township people’s government or the sub-district office may organize a congress meeting upon the request of property owners.
Article 26
Meetings of the property owners' committee include regular and unscheduled meetings.
A regular meeting shall be held according to the congress’ rules of procedure and at least once every two months. Where more than 1/3 of the members of the property owners' committee propose an unscheduled meeting, the committee shall hold such a meeting in good time.
A meeting of the property owners' committee shall be participated in by more than half of its members. Representatives of the neighborhood committee or villagers committee in the locality shall be invited to attend the meeting without the voting right, and property owners may be invited as auditors. A member of the property owners' committee shall not entrust another person to participate in the committee meeting.
A decision of the property owners' committee shall obtain the approval and signature of more than half of the committee members, and within three days of the making of the decision, the committee shall publicize the content of the meeting and the matters decided in the property management area as well as notify the local neighborhood committee or villagers committee.
Where the director and deputy director of the property owners' committee fail to hold a committee meeting without good reason, the town/township people’s government or the sub-district office shall, upon property owners’ written request, designate another committee member to hold and preside over the meeting.
Article 27
The property owners' committee shall have a system of regularly receiving property owners and users to listen to their opinions and suggestions on the property management and the routine work of the committee, and subject itself to the consultations, complaints and supervision of property owners and users.
The property owners' committee shall make regular records of its work, record the meetings of the property owners’ congress and the property owners' committee, and record the negotiations for and the signing of property service contracts, and other important matters in property management. The committee shall keep such records in good condition
The property owners' committee shall have a system of information disclosure, and shall, according to the provisions and in good time, publicize the decisions made by itself and the property owners’ congress, and all the decisions and important matters in property management such as the selection of a property service enterprise and the property service contract; it shall also regularly publicize the balance sheets of the special maintenance fund and property owners’ joint proceeds, and receive property owners for their inquiries about the property management information on file.
Article 28
The property owners' committee shall, five months before the expiration of its term of office, report in writing to the town/township people’s government or the sub-district office. The town/township people’s government or the sub-district office shall, within 60 days of receipt of the report, establish a re-election group, which shall organize a meeting of the property owners’ congress to elect a new property owners' committee prior to the expiration of the term of office of the outgoing property owners' committee.
Where the property owners' committee fails to submit a report according to the provisions in the preceding paragraph, the town/township people’s government or the sub-district office may, at the request of property owners, organize the setting-up of a re-election group, which shall organize the convocation of a meeting of the property owners’ congress to elect a new property owners' committee.
The re-election group shall consist of representatives of the property owners, the town/township people’s government or the sub-district office, and the local neighborhood committee or villagers committee. The group shall have an odd number of members and the representatives of property owners in it shall meet the requirements provided in Paragraph 2 of Article 20 of these Provisions and shall not be less than half of its total number. The leader of the group shall be the representative of the town/township people’s government or the sub-district office.
During the period between the establishment of the re-election group and that of a new property owners' committee, the outgoing property owners' committee shall not organize a meeting of the property owners’ congress to decide the following matters:
1. hiring or firing a property service enterprise;
2. adjusting the standards of property service charges;
3. major matters such as property maintenance, renewal and renovation except those as prescribed in the management stipulations; and
4. other major matters.
Article 29
The outgoing property owners' committee shall, within 10 days of the establishment of the re-election group, hand the relevant financial papers and vouchers, the name list of the property owners, documents such as the summaries of meetings, the official seal, the money and materials of the property owners’ congress over to the local housing agency for safekeeping. In case the property owners’ congress or the property owners' committee needs, according to law, to use the aforesaid items, the local housing agency shall provide them without delay.
The new property owners' committee shall, within 30 days of its establishment, undergo the filing procedure about the re-election with the town/township people’s government or the sub-district office. The local housing agency shall, within 10 days after the filing of the re-election, hand the items mentioned in the preceding paragraph over to the new property owners' committee.
In case of resistance to handing over the items mentioned in Paragraph 1, the new property owners' committee may request the town/township people’s government or the sub-district office in the locality to urge the handover, and the public security organ in the locality shall provide assistance.
Article 30
Where a member of the property owners' committee no longer serves on the committee, he/she shall hand the items mentioned in Paragraph 1 of Article 29 of these Provisions in his/her keeping over to the property owners' committee within 10 days; in case he/she refuses to do so, the property owners' committee may handle the matter according to Paragraph 3 of Article 29 of these Provisions.
Article 31
The membership of a member of the property owner’s committee shall be handled according to Paragraph 2 of this Article if the member meets one of the following conditions;
1. he/she is no longer a property owner in the property management area;
2. he/she has submitted a written resignation to the property owners' committee;
3. he/she can no longer perform his/her duties owing to reasons like health though he/she has not submitted a resignation;
4. he/she refuses to call a meeting of the property owners' committee;
5. he/she is absent from more than half of all the meetings of the property owners' committee in the year; and
6. he/she has violated his/her written promises.
If a committee member’s conditions fall under Items 1 and 2 of the preceding paragraph, his/her membership terminates automatically on the date when those conditions occur. If his/her conditions fall under Item 3 of the preceding paragraph, his/her membership terminates after this is adopted by the property owners’ congress. If his/her conditions fall under Items 4-6 of the preceding paragraph, he/she shall be removed from the committee after this is adopted by the property owners’ congress. The property owners' committee shall publicize the termination or removal of a committee member in the property management area.
Article 32
Where the number of the members of a property owners' committee is not enough but surpasses half of the total number, the property owners’ congress may re-elect new committee members.
When the conditions of the property owners' committee fall into one of the following categories, the town/township people’s government or the sub-district office shall organize the convocation of a meeting of the property owners’ congress, which shall start the re-election procedure.
1. The number of the members of the property owners' committee falls below half of the total number.
2. The committee has ceased operating for six consecutive months.
3. A decision by the committee has seriously violated the laws and regulations.
4. Other reasons because of which the committee cannot operate normally.
If the property owners’ congress decides to re-elect a property owners' committee ahead of time, the re-election group shall organize the convocation of a meeting of the congress to elect a new property owners' committee.
Article 33
In case of a change in the name, the area covered or the membership of the property owners' committee, the rules of procedure of the property owners’ congress, or the management stipulations, the property owners' committee shall report, within 30 days, the change to the town/township people’s government or the sub-district office for filing.
In case a property owners' committee cannot continue to exist due to an adjustment of the property management area, the loss of the housing units, or other reasons, the committee shall, within 30 days, contact the town/township people’s government or the sub-district office to undergo the filing of registration canceling.
Article 34
Where the town/township people’s government or the sub-district office has accepted the filing application of a property owners' committee according to Articles 23, 29 and 33 of these Provisions, it shall, within 20 days, complete the filing procedure and send a duplicate copy to the district housing administrative department.
Article 35
Where there are two or more buildings in one property management area, property owners’ groups may be formed on the basis of a building or a separate-numbered section of a building. A property owners’ group shall consist of all the property owners of the building or the separate-numbered section.
The property owners’ group shall perform the following functions and duties:
1. electing representatives of the property owners to attend the meetings of the property owners’ congress to voice the opinions and wishes of the group;
2. deciding the repair, renewal, renovation and maintenance of the shared parts and shared facilities and equipment used by the group; and
3. deciding other matters relating to the group.
The representative of the group elected by the property owners shall preside over the discussions of the group. The group shall perform the functions and duties as provided in the preceding paragraph with reference to the rules of procedure of the property owners’ congress.
Article 36
The people’s mediation committee established by the neighborhood committee or villagers committee may mediate, according to law, property management disputes among the property owners, the property owners' committee and the property service enterprise in the locality.
Chapter III Property Management Service
Article 37
The housing administrative department shall supervise and check the services by the property service enterprise according to law.
The norms on the number of the property management areas and the total construction area that a property service project manager is allowed to undertake shall be formulated by the municipal housing administrative department.
Article 38
The municipal housing administrative department shall establish credit archives about property service enterprises and their project managers on the basis of how they fulfill the property service contracts, handle complaints, make routine checks, etc.
Article 39
Before selecting and hiring a property service enterprise, the property owners' committee shall draft a selection and hiring plan, which shall include the enterprise’s credit and management performance, the property service items and charges, the terms of the property service contract, and the method of selecting and hiring.
After the selection and hiring plan is adopted by voting at the meeting of the property owners’ congress, the property owners' committee shall publicize it in the property management area.
Article 40
The development unit shall use the bidding method to select and hire a property service enterprise, and sign a preliminary property service contract with the enterprise, and use the contract as an attachment to the housing sale contract.
The property owners’ congress is encouraged to adopt the bidding method to select and hire a property service enterprise openly, fairly and justly.
Where the bidding method is used to select and hire a property service enterprise, the bidding shall be conducted on the platform of property management supervision and service information.
Article 41
The development unit shall, before applying for the housing pre-sale permit, draw up interim management stipulations and the user’s manual as attachments to the housing sale contract by referring to the sample texts provided by the municipal housing administrative department.
The interim management stipulations shall include the regulations for the use and maintenance of the property, the obligations of the property owner, and the liabilities for breaching the interim management stipulations, etc., but shall not contradict the relevant laws, rules and regulations, or infringe upon the legitimate rights and interests of the property buyer. The interim management stipulations shall be reported to the district housing administrative department for filing.
The user’s manual shall make explicit the housing unit’s plane layout, structure and accessory equipment, provide a detailed drawing of the load-bearing structures, specify the shared parts and equipment that must not be occupied or moved for private use, and provide tips about safe and proper use of the housing unit.
The housing sale contract signed by the development unit and the buyer shall include what has been laid down in the preliminary property service contract, the plane layout drawing of the housing unit in the documents relating to the construction-planning permit, and all the supporting facilities and equipment belonging to all the property owners in the property management area as listed in the housing takeover document.
The development unit shall not hand the ownership or exclusive use right of any shared parts over to another property owner.
Article 42
The development unit shall provide independent above ground property management rooms, with the property service enterprise’s construction area taking up 0.2% of the total construction area of the buildings in the property management area, but not less than 100 square meters; and the property owners' committee taking up a construction area of no less than 30 square meters. In the property handover, the development unit shall hand the property management rooms over to the property service enterprise first, which shall turn them over to the property owners’ congress within 30 days after its establishment.
In examining and approving a construction-planning permit, the planning administrative department shall specify the location of the property management rooms on the map attached to the permit.
In examining and approving a housing pre-sale permit and in handling the initial registration of the property ownership, the district housing administrative department shall specify the numbers of the property management rooms.
The property management rooms shall not be partitioned, transferred, mortgaged, or relocated without authorization.
Article 43
The following supporting facilities and equipment belong to all the property owners in a property management area:
1. the property management rooms;
2. the gatekeepers’ rooms, the telephone exchange room, the monitoring room, the garbage can rooms, the public unwalled ground floor area, and shared halls and corridors;
3. the garages for non-motor vehicles built as planned in the property management area;
4. the parking lots of the joint-ownership social-security housing and expropriation-resettlement housing that are built together on a separate site;
5. the shared greenery, roads and grounds in the property management area;
6. all the properties that shall belong to all the property owners as set forth in the housing sale contract or other documents by the development unit; and
7. other shared facilities and equipment which shall be shared by all the property owners according to law.
When the development unit applies for initial registration of the ownership of the housing, it shall also apply to register the supporting facilities and equipment mentioned in the preceding paragraph, and the real estate registration office shall record them in the real estate register but without issuing a title deed. The development unit shall make public such information as the locations and construction areas of the shared supporting facilities and equipment at a prominent place in the property management area.
Article 44
The property service enterprise shall provide service in accordance with the terms of the property service contract. The contract may include the following jobs:
1. the use, management and maintenance of the shared parts, facilities and equipment of the property;
2. the maintenance of the shared greeneries;
3. the cleaning of the shared areas;
4. the keeping of the order in the shared areas;
5. the management of the parking of vehicles;
6. the management measures against prohibited acts in the use of the property;
7. the keeping of the expenditure accounts for the repair, renewal, renovation and maintenance of the property;
8. the safekeeping of property management files; and
9. other jobs entrusted by the property owners’ congress or property owners.
The property service enterprise may leave a specialized job stipulated in the property service contract, but not all the jobs stipulated therein, in the care of a professional service enterprise.
The property service enterprise shall submit the property service contract to the housing agency within 30 days of the signing of the property service contract.
Article 45
The property service enterprise shall, in providing property management service, comply with the following provisions:
1. meeting the technical standards and norms set by the State and this Municipality;
2. informing property owners and users in good time of the tips about safe and proper use of the housing unit;
3. periodically consulting property owners for their opinions and suggestions to improve and perfect its services; and
4. cooperating with the neighborhood committee or villagers committee in community management.
The property service enterprise shall assist in ensuring security and order in the property management area.
Article 46
The property owners' committee shall, three months before the expiration of the property service contract, organize a meeting of the property owners’ congress to decide whether to re-hire the property service enterprise or to hire a new one, and notify the property service enterprise of the decision in writing. Where the property owners’ congress decides to re-hire the property service enterprise and this enterprise agrees to be re-hired, the property owners' committee and the enterprise shall conclude a new property service contract before the expiration of the present contract.
Where the property service enterprise decides not to continue its service upon expiration of the property service contract, it shall notify the property owners' committee of its decision in writing three months before the expiration.
Where the property owners’ congress makes no decision whether to re-hire the property service enterprise or to hire a new one upon expiration of the property service contract, the property service enterprise shall continue to provide service according to the contract, and the rights and obligations under the contract shall be extended. During the extension period, either party shall notify the other in writing three months in advance if it wants to terminate the contract.
Article 47
The property service enterprise shall establish and keep the following documents and files:
1. the management files on the shared parts in the property management area;
2. the files on such shared facilities and equipment as the monitoring systems, lifts, water pumps, electric anti-theft doors, and records of their operation, repair and maintenance;
3. the water-tank cleaning records and the water-tank test reports;
4. the documents of housing decoration and renovation management;
5. the name list of the property owners;
6. the written agreements for water supply, power supply, garbage removal, telecommunication signal setups signed between the enterprise or the development unit and the public utility units; and
7. other important data of the enterprise’s property management service related to the interests of the property owners.
The property service enterprise shall periodically publicize the information and data as provided in Items 1-3 of the preceding paragraph.
The property service enterprise shall take effective measures to property keep the information and data about the property owners acquired in the process of its property service.
Article 48
Property service charges shall be regulated by the market, and the property owners and the property service enterprise shall negotiate on the principle of reasonableness, openness before determining the terms of the property service contract.
If the same service items and standards are adopted in the same property management area, the property service charges shall follow the same standard as well.
The municipal housing administrative department shall periodically publish property service standards for residential districts. The association of the property management industry shall periodically publish information about the property service charges it has monitored.
The property service enterprise shall publicize its service items, service standards, items subject to charges, charging standards, etc. in the property management area. Where the service-item-remuneration charging method is adopted, the property service enterprise shall report every year to the property owners' committee or all property owners about the previous year’s audited service-related balance sheet, propose this year’s budget for service-related incomes and expenses, and publicize the aforesaid information in the property management area. Where the calculating method of lump-sum-payment for property service is adopted, the property service enterprise shall, prior to adjusting the property service charging standards, report to the property owners' committee or all the property owners the audited service-related incomes and expenses or the charging standards evaluated by a third party, and publicize the aforesaid information in the property management area.
The information mentioned in the preceding paragraph shall be publicized at a prominent place in the property management area.
Article 49
The property service charges incurred in the month from the effective date of the preliminary property service contract to the date when a property is handed over to its buyer shall be borne by the development unit.
The property service charges incurred in the months between the month following the month in which a property is handed over to its buyer and the month in which the preliminary property service contract expires shall be borne by the buyer of the property in accordance with the rates for the preliminary property management services agreed upon in the housing sale contract; in the absence of such an agreement, the development unit shall bear the charges.
The property owner shall pay property service charges pursuant to the terms of the property service contract; where a property owner fails to pay property service charges before the set date, the property owners' committee shall urge him/her to pay the charges and the property service enterprise may bring a lawsuit to the people’s court.
In transferring his/her property, a property owner shall settle the property service charges with the property service enterprise; if he/she fails to settle the charges, he/she and the buyer shall reach an agreement on the settlement and notify the property service enterprise of the agreement.
Article 50
The property service enterprise shall, within 10 days of the termination of the property service contract, submit the following data and materials to the development unit or the property owners' committee:
1. the data provided in Paragraph 1 of Article 11 and in Article 47 of these Provisions;
2. the data on the operation, repair, renovation, renewal, renovation and maintenance of the shared parts during the period of the management service;
3. the balance of the property owners’ joint proceeds;
4. the balance of the property service fund and the materials purchased with the property service fund if the service-item-remuneration charging method is adopted;
5. the rooms for property management; and
6. other data and materials that shall be handed over.
Article 51
To use the shared parts of the property for activities like advertising and commercial promotions needs the approval of the property owners’ congress or the joint owners of these share parts as well as an announcement in the property management area. The property owners’ congress may authorize the property owners' committee to approve the use the shared parts owned by all property owners for the aforesaid activities.
The joint proceeds shall be used mainly to supplement the special maintenance fund, and may also be used according to a decision of the property owners’ congress. If the joint proceeds are used mainly to supplement the special maintenance fund, they shall supplement the fund on a quarterly basis, and more than 50% of them shall be used to supplement the fund. The remaining part of the proceeds shall, according to the decision of the property owners’ congress or the property owners of the joint proceeds, be used for such purposes as the overhead expenses of the property owners’ congress or committee, the fees for auditing the property management activities, the property maintenance expenses of the owners of the joint proceeds, or other property management needs.
Article 52
The district housing administrative department shall set up a data bank for initial selection of an interim property service enterprise. Where the property service enterprise has withdrawn but the property owners’ congress has not hired a new one, the property owners' committee may report to the town/township people’s government or the sub-district office so as to select from the data bank a property service enterprise for interim service. Where the property owners' committee has not been set up, the neighborhood committee or villagers committee may, upon proposal by more than 20% of the property owners, report to the town/township people’s government or the sub-district office so as to select from the data bank a property service enterprise for interim service.
The period of interim property service shall not be more than six months, and the charges shall be borne by all property owners.
Article 53
With approval both by the property owners who possess exclusive areas that account for more than half of the total construction area of the buildings and by the property owners who account for more than half of the total number of property owners, the property owners may manage the property by themselves and decide the following matters:
1. an executive organ for self-management and the person responsible;
2. the coverage, standards, charges, and time limit of the self-management;
3. a plan for hiring professional agencies; and
4. other matters relating to self-management.
The facilities and equipment relating to personal or property safety or needing special requirements such as lifts, fire-fighting apparatus or technical safety systems shall be entrusted to professional agencies for repair and maintenance.
Where the property owners’ congress hire a unit or a natural person to provide such services as cleaning, security, greenery maintenance, and facilities and equipment maintenance, it shall sign a service contract with the unit or natural person. Where it hires a natural person, the person can buy insurances against accidental injury, etc. according to the terms of contract, and the fees shall be borne by the property owners’ congress.
Where the property owners self-manage their properties and need official receipts for the charges, the property owners' committee may, on the strength of the proving document of the housing agency, apply to the local taxation department for the receipts.
The property owners’ congress may entrust an intermediary agency to handle financial matters such as management expenses, the special maintenance fund, and property owners’ joint proceeds, and open an account of the special maintenance fund according to the delegated financial management contract. The congress shall publicize the self-managed accounts to the property owners once every quarter.
Chapter IV Use and Maintenance of the Property
Article 54
Before the development unit applies for delivery of the property for use, it shall, jointly with the property service enterprise, check the shared parts in the property management area, jointly confirm the checking results, sign an agreement of checking and acceptance, and publicize the checking results to the property owners. Representatives of the property owners and the local housing agency may be invited to participate in the checking of the property.
The agreement of checking and acceptance shall clarify the basic information of the property checking, the existing problems, solutions and the time limit for the solution, the rights and obligations of both parties, liabilities for violating the agreement, etc. With reference to the problems identified in the checking, the development unit shall, within 30 days, make rectifications or entrust a property service enterprise to make the rectifications.
The agreement of property checking and acceptance shall be a supplementary agreement to the preliminary property service contract.
The fees for the property checking and acceptance shall be borne by the development unit unless otherwise provided for.
Article 55
The development unit shall maintain the property in accordance with the guaranteed period and guaranteed scope prescribed by the State. Where the development unit entrusts the maintenance to a property service enterprise, it shall conclude an entrustment agreement with the enterprise.
Article 56
The property owner or user shall abide by the State and Municipal provisions and the interim management stipulations or the management stipulations, and use the property in accordance with the provisions on safe property use.
The following acts detrimental to the interests of the public or others shall be prohibited:
1. damaging load-bearing structures;
2. illegally putting up a building or structure;
3. spoiling the appearance of a building;
4. renovating or occupying shared parts of a building without authorization;
5. damaging, occupying or removing shared facilities and equipment without authorization;
6. storing dangerous goods such as inflammable, explosive, poisonous and radioactive substances not in compliance with the safety standards, or storing or laying down things beyond the load-bearing capacity of the building;
7. discharging poisonous or harmful substances;
8. making noises above the prescribed standards; and
9. other acts prohibited by laws, rules or regulations.
Article 57
The property owner or user shall, in decorating or renovating his/her housing unit, comply with the provisions of the State and this Municipality as well as the interim management stipulations or the management stipulations.
Where the property owner or user needs to decorate or renovate his/her housing unit, he/she shall sign a decoration/renovation management agreement with the property service enterprise, which shall include such contents as prohibited acts, garbage storage and removal, the construction period, etc.
Where the property owner or user has not signed a decoration/renovation management agreement with the property service enterprise, the enterprise can prevent the decoration/renovation workers and materials from entering the property management area in accordance with the interim management stipulations or the management stipulations.
While the property service enterprise is making on-site inspection of the housing unit under decoration/renovation, the property owner or user or the decoration/renovation workers shall render their cooperation.
Article 58
The property owner or user shall use the property in accordance with its functions as approved by the relevant planning administrative department or as specified in the real estate title deed, and shall not change the use of the property without authorization.
Where there is a true need to alter the use of a property, the district planning administrative department shall, jointly with the district housing administrative department, propose the scope and the scheme of the alteration, and submit them to the district people’s government for approval after a hearing of the opinions of the interested parties.
Where the owner of one of the housing units wants to alter its use within the allowed scope of permitted alterations, he/she shall comply with the relevant laws, regulations and the management stipulations and obtain the consent of the interested property owners before reporting to the district housing administrative department for approval as well as undergoing the relevant formalities with other administrative departments according to law.
Article 59
Where the property service enterprise finds a property owner or user using, decorating, or renovating his housing unit against the relevant provisions of the State and this Municipality, the interim management stipulations, or the management stipulations, the enterprise shall dissuade or stop him/her on the basis of the aforesaid provisions and stipulations. If its efforts come to no avail, the enterprise shall report to the property owners' committee and relevant administrative departments within 24 hours. The relevant administrative department shall, after receiving the report of the property service enterprise, stop or handle the illegal acts according to law.
Article 60
Suppliers of water, electric power, gas, etc. shall have the responsibility to repair and maintain the household meters as well as the related lines, facilities and equipment before such household meters.
Article 61
If the total number of motor vehicle parking lots provided by the development unit in the property management area is less than or is equal to the total number of the housing units in this area, then one housing-unit owner may buy or be given only one parking lot. Where the number of parking lots exceeds the total number of the housing units, one housing-unit owner may buy or be given an extra parking lot.
The motor vehicle parking lots on shared roads or on other shared grounds shall belong to all property owners.
Where the development unit rents the motor vehicle parking lots in its possession out to property owners or users, the charging standards shall be set in the preliminary property service contract. Before the establishment of the property owners’ congress, the charging standards shall not be adjusted without authorization. After the establishment of the property owners’ congress and if the charging standards need to be adjusted, the development unit shall negotiate with the congress on the principle of fairness and rationality before submitting the new standards to the district housing administrative department for record.
Matters such as the parking, charging standards, expenses, and management of motor vehicles in the shared parts of all the property owners shall be decided by the property owners’ congress. Where the property owners’ congress decides to charge motor vehicles for parking, it shall refer to the charging standards monitored and published by the association of the property management industry. Before the establishment of the property owners’ congress, the development unit can decide the charging standards by referring to the charging standards monitored and published by the association of the property management industry. Such matters as the charging standards, expenses and management shall be set in the preliminary property service contract.
Where the owner of a motor vehicle requires safekeeping, the owner of the motor vehicle and the property service enterprise shall conclude a separate contract for safekeeping.
No charges shall be imposed on the parking of special motor vehicles of police, fire fighting, emergency rescue, first aid, environmental sanitation, etc. that are performing official duties in the property management area.
Article 62
The motor vehicle parking lots in a property management area shall be provided for its property owners and users to use. The development unit shall rent its unsold parking lots out to the property owners and users for them to park their motor vehicles, and shall not refuse to rent out those parking lots on the grounds that it only sells them and does not rent them out. The ownership of the parking lots shall not be transferred to any organization or individual outside the property management area. Where there are surplus parking lots after meeting the needs of the property owners, they may be temporarily rented to an organization or individual outside the property management area on a monthly basis.
The parking of motor vehicles in a property management area shall not obstruct the free passage of other vehicles and pedestrians.
Article 63
The district people’s government shall organize the district administrative departments of transportation, public security, housing, construction, etc. to set up a coordination system of parking resource sharing. If the parking lots of a residential district are seriously insufficient whereas the surrounding commercial area can provide nightly or other temporary parking by using its own parking ground (garages) and adjacent roads, then the town/township people’s government or sub-district office shall propose a scheme for staggered parking hours. Property owners are encouraged to negotiate with the units surrounding their residential district to achieve sharing of parking resources.
Article 64
When new commercial residential housing, public residential housing or non-residential housing within a residential district are sold, the seller and the buyer shall, in accordance with the provisions of the State and this Municipality, put a required sum of money into the special maintenance fund. The special maintenance fund shall be used for no other purposes than the repair, renewal and renovation of the shared parts of the aforesaid housing.
Before a property seller makes the initial registration of the housing unit ownership, he/she shall not only pay his/her share of the special maintenance fund, but also pre-pay the property buyer’s share of the special maintenance fund for the not-yet-sold part of the property.
Article 65
In case there is no special maintenance fund set up or the remaining sum of the special maintenance fund is less than 30% of the fund raised for the first time, the property owners shall promptly replenish the special maintenance fund or raise the special maintenance fund again according to the relevant provisions of the State and this Municipality, the management stipulations on the special maintenance fund, and the decisions made by the property owners’ congress.
To replenish the special maintenance fund or raise the special maintenance fund again, there are two ways: payment by installments and lump-sum payment, and such matters as the specific methods, the amount of the fund to be raised, the time limit, the procedure, entry of the fund into the account, etc. shall be decided by the property owners’ congress.
Where the management stipulations on the special maintenance fund have not specified how to replenish or raise again the special maintenance fund, and the property owners’ congress has not made a decision within 90 days of the occurrence of the situation described in Paragraph 1 of this Article, the property owners' committee shall notify in writing the bank where the special maintenance fund has an account so that the bank will notify the property owners who need to pay the special maintenance fund about the amount and time of their payment. Within 90 days of receipt of the payment notification, the property owners shall increase, all at once, the deposit in the special maintenance fund account to 50% of the initially raised amount.
The town/township people’s government or the sub-district office shall guide and coordinate the work of replenishing or raising again the special maintenance fund.
In applying for the registration of the real-estate-title transfer or the property mortgage, the property owner shall provide the real estate registration office with a certificate of full payment of the special maintenance fund.
If a property owner refuses to pay the special maintenance fund after being notified, the property owners' committee may, upon the strength of a decision of the property owners’ congress, file a suit against him/her with the people’s court according to law.
Article 66
The special maintenance fund shall be deposited in a bank with a separate account for each building and with final settlement for each household.
The property owners' committee and the property service enterprise it has hired shall publicize the balance sheet of the special maintenance fund at least once every half a year, publicize the balance sheet of the property owners’ joint proceeds once every quarter, and subject themselves to the supervision of the property owners.
Article 67
The use of the special maintenance fund and property owners’ joint proceeds shall be examined according to the project price audits and the use procedure.
The property owners’ congress and the property owners' committee shall entrust a qualified intermediary agency to conduct annual financial audits and re-election financial audits about the balance sheets of the special maintenance fund and property owners’ joint proceeds, and about the overhead expenses of the property owners' committee. The results of the audits shall be publicized for 30 days at a prominent place in the property management area.
Article 68
The expenditures for the repair, renewal, renovation and maintenance of the buildings shall be borne according to the following provisions:
1. the expenditures for the property owners’ exclusive parts shall be borne by the owners thereof;
2. the expenditures for the partially shared parts shall be jointly borne by the property owners thereof and be shared in proportion to their respective construction area; and
3. the expenditures for the shared parts of all the property owners shall be borne by all the property owners in the property management area and be shared in proportion to their respective construction area.
If the special maintenance fund is raised in accordance with these Provisions, the expenditures for the repair, renewal and renovation of the partially shared parts and the shared parts of all the property owners shall be reimbursed from the special maintenance fund. However, where the shared parts of the buildings are damaged owing to personal errors, the expenditure shall be borne by the error makers.
Article 69
The maintenance, renewal and renovation of the partially shared parts of the property shall be decided by the property owners thereof and be approved both by the property owners whose exclusive areas account for more than 2/3 of the total construction area of the partially shared parts and by the owners who account for more than 2/3 of the total number of the owners of the partially shared parts. Decisions on other matters shall be approved both by the property owners whose exclusive areas account for more than half of the total construction area of the partially shared parts and by the owners who account for more than half of the total number of the owners who possess the partially shared parts.
The decisions made pursuant to the preceding paragraph shall not contravene the decisions made by the property owners’ congress on the shared parts of all the property owners; then the property owners' committee shall carry out the congress’ decisions.
Article 70
The expenditures for the maintenance and repair of the motor vehicle parking lots and garages shall be borne by the owners thereof. The special maintenance fund for the motor vehicle parking lots and garages shall be paid at the same rates set for other special maintenance funds for property management and incorporated into the accounts of the special maintenance funds of the property owners’ congress as a separate item.
Article 71
The special maintenance fund shall not be used before the development unit submits, as required, a written report for the establishment of the property owners’ congress, and if there is a need for maintenance, renewal, and renovation of the shared parts and shared facilities and equipment in the residential area, the development unit shall pay for them.
If there is a need to use the special maintenance fund during the period from the time when the development unit submits are required written report of proposing establishment of the property owners’ congress to the time right before the property owners’ congress is established, the property service enterprise shall propose a maintenance scheme and execute it only after the neighborhood committee or villagers committee in the locality has solicited the opinions of the property owners of all the shared parts and these property owners have discussed it and approved it according to law. The maintenance scheme involving only some of the shared parts may be submitted to the property owners thereof for discussion and approval according to law.
After being appraised by an intermediary agency designated by the municipal housing administrative department, the maintenance expenditures shall be reimbursed from the special maintenance fund.
Article 72
The property owner shall regularly maintain and repair his/her property and have his/her property tested and appraised as provided for.
The property service enterprise shall fulfill its obligations to do maintenance and repair pursuant to the terms of the property service contract.
Where a building must undergo maintenance or repair as provided by the State and this Municipality, the property owner or the property service enterprise shall fulfill their obligations in time to do the maintenance or repair.
Article 73
In case an emergency endangers the housing, the property service enterprise or the owners’ self-managed executive organ shall promptly take contingent measures to deal with it.
The property service enterprise or the self-managed executive organ shall promptly draw up a scheme for repair and renewal if the shared parts and shared facilities and equipment need repair and renewal in the following circumstances:
1. the water pump or water tank is out of order, thus affecting its normal use;
2. the lift is out of order, and a professional lift testing agency has issued a notification for rectifications that requires the lift to stop operating;
3. the automatic fire alarm, the automatic sprayer or the fire hydrant is damaged, and the fire department has issued a notification for rectifications;
4. the plaster or tiles, or an attached structure threatens to fall off the exterior wall, and a qualified appraising agency has issued a certificate to prove it; and
5. the roof or the exterior wall leaks so seriously as to affect the use of the housing, and a qualified appraising agency has issued a certificate to prove it
Where the repair and renewal as prescribed in the preceding paragraph does not fall into the scope of project quality guarantee and if it is necessary to use the special maintenance fund, the following provisions shall be observed:
1. Prior to the establishment of the property owners’ congress, the property service enterprise shall, on the strength of the relevant documents, report to the housing agency for examination and approval before conducting the repair and renewal. After a qualified intermediary agency assesses the costs of the repair and renewal, the costs shall be submitted to the district housing administrative department so as to be reimbursed from the special maintenance fund.
2. After the establishment of the property owners’ congress, the property service enterprise or the owners’ self-managed executive organ shall, on the strength of the relevant documents, report to the property owners' committee and the local housing agency, submit an application to the property owners' committee for reimbursement from the property maintenance fund, and carry out the maintenance upon the examination and approval of the property owners' committee.
After a qualified intermediary agency assesses the costs for the repair and renewal, the costs shall be reimbursed from the special maintenance fund. If the property owners' committee fails to examine and approve the repair and renewal scheme within 7 days, and the normal use of the housing and the residents’ personal and property safety have been affected, the district housing administrative department may organize the maintenance on behalf of the committee. After a qualified intermediary agency assesses the costs of the maintenance, the costs can be reimbursed from the special maintenance fund on the strength of the intermediary agency’s assessment report and the district housing administrative department’s notification about the reimbursement.
Article 74
Where the structure of a property has hidden risks or is appraised as dangerous to public interests or others’ legitimate rights and interests, the responsible party shall do timely repair and maintenance, and the property owners related to the work shall render their cooperation. If the responsible party fails or refuses to do the repair and maintenance, the property service enterprise may, on his/her behalf, undertake the work or take emergency precautionary measure upon approval of the property owners’ congress or simply on the basis of the management stipulations, and the costs shall be borne by the responsible party.
Article 75
The exterior walls of the buildings in the property management area shall be kept tidy and intact, and cleaned or painted at regular intervals. The specific methods shall be separately formulated by the Municipal People’s Government.
Article 76
Where the shared parts of the property need repair, maintenance, renewal or renovation, the property owners or users of the relevant exclusive parts shall render their cooperation.
Where the suppliers of water, electric power or gas or the units of information, mail and environmental sanitation, or the civil defense workers need to carry out operations in the property management area, the property service enterprise shall render its cooperation; if the operation needs to be carried out in the exclusive part of a property owner user, the owner or user shall render his/her cooperation.
If the aforesaid operations cause damage to the shared parts or exclusive parts, the responsible suppliers, units or workers shall, according to law, restore these parts to their original state and bear the responsibility of compensation.
Article 77
The property owners, the property owners' committee and the property service enterprise shall perform their respective duties in accordance with the Municipality’s provisions on managing domestic waste classification.
Chapter V Legal Liability
Article 78
Where existent laws, administrative regulations or other regulations of this Municipality have provided for the penalties against violations of these Provisions, the violations shall be handled according to the aforesaid laws and regulations.
Article 79
A property owner or user, in violation of the management stipulations, shall bear the corresponding civil liabilities. The property owners' committee shall try to dissuade or stop offences against the management stipulations; in case its efforts prove ineffective, it may publicize the violation in the property management area, and the affected property owners or users may bring a civil lawsuit against the offender in the people’s court according to law.
Article 80
Where a development unit, in violation of Paragraph 1 of Article 14 of these provisions, fails to report in writing to the town/township people’s government or the sub-district office in the locality that the conditions of the property management area has conformed to the requirements for the establishment of the property owners’ congress, or fails to provide the necessary documents as prescribed, the district housing administrative department shall order the development unit to make corrections before a set date, and may impose on it a fine of not less than 10,000 yuan but not more than 100,000 yuan.
Article 81
Where the property service enterprise, in violation of Article 50 of these Provisions, fails to hand over the relevant documents and materials, the district housing administrative department shall order it to make corrections. In case of failure to make the corrections within the time limit, the department shall issue a circular to criticize the property service enterprise and impose a fine of not less than 10,000 yuan but not more than 100,000 yuan.
Article 82
Where the property owners' committee, the property service enterprise, the property owners’ self-managed executive organ, or the agency accounting firm, in violation of Article 51 of these Provisions, misappropriate or embezzle the property owners’ joint proceeds, the district housing administrative department shall recover the misappropriated or embezzled fund and return it to the property owners, confiscate the illegal gains, and impose a fine of no more than twice the amount of the misappropriated or embezzled fund. Where the misappropriation or embezzlement has constituted a crime, the leader directly in charge and other persons directly responsible shall be investigated for criminal liabilities.
Article 83
Where a load-bearing structure is damaged in violation of Item 1 of Paragraph 2 of Article 56 of these Provisions, the district housing administrative department shall order corrections and a restoration to the original state, and impose a fine of not less than 10,000 yuan but not more than 100,000 yuan. In a serious case, a fine of not less than 100,000 yuan but not more than 200,000 yuan may be imposed.
Article 84
Where a property owner or user illegally puts up a building or structure in violation of Item 2 of Paragraph 2 of Article 56 of these Provisions, the urban-management law enforcement department, and the planning administrative department shall, according to their respective functions and duties and in compliance with the Provisions of Shanghai Municipality on Demolishing Illegal Buildings, demolish the building or structure, and impose a fine of not less than 10,000 yuan but not more than 100,000 yuan.
Article 85
Where a property owner or user, in violation of Items 3, 4 and 5 of Paragraph 2 of Article 56 of these Provisions, damages the appearance of a building, alters or occupies the shared parts of a building without authorization, or damages, or occupies or removes the shared facilities and equipment without authorization, the district housing administrative department shall order him/her to make rectifications and restore them to their original state, and may impose on him/her a fine of not less than 1,000 but not more than 10,000 yuan; in a serious case, a fine of not less than10,000 but not more than 100,000 yuan may be imposed.
Article 86
Where a property owner or user changes, in violation of Article 58 of these Provisions, the use of a property without authorization, the district housing administrative department shall order him/her to make rectifications before a set date and restore them to their original state, and may impose on him/her a fine of not less than 10,000 yuan but not more than 50,000 yuan.
Article 87
Where a property service enterprise, in violation of Article 59 of these Provisions, fails to dissuade or stop the illegal acts of a property owner or user, or fails to report them to the relevant administrative department within the prescribed time limit, the district housing administrative department shall order the enterprise to make corrections, and may impose on it a fine of not less than 1,000 yuan but not more than 10,000 yuan.
Article 88
Where a development unit, in violation of Paragraph 1 of Article 62 of these Provisions, fails to provide motor vehicle parking lots for the property owners and users in the property management area, the district housing administrative department shall order it to make corrections and impose on it a fine of not less than 10,000 yuan but not more than 100,000 yuan.
Article 89
Where the seller of a property, in violation of Paragraph 1 of Article 64 of these Provisions, fails to pay the special maintenance fund as prescribed, the housing administrative department shall order him/her to pay it before a set date, and may impose on him/her a fine of less than one time of the special maintenance fund.
Where a property owner, in violation of Paragraph 1 of Article 65 of these Provisions, fails to replenish a special maintenance fund or raise the special maintenance fund again as prescribed, the housing administrative department shall order him/her to make corrections before a set date.
Article 90
Those who have objection to a specific administrative act of the housing administrative department or other relevant administrative departments may apply for administrative reconsideration or bring an administrative lawsuit according to the Law of the People’s Republic of China on Administrative Reconsideration or the Administrative Litigation Law of the People’s Republic of China.
Where those who refuse to follow a specific administrative act of an administrative department fail to apply for administrative reconsideration or bring an administrative lawsuit before the set date, the administrative department may apply to the people’s court for enforcement.
Article 91
Where a staff member of the housing administrative department, town/township people’s governments, sub-district offices, housing offices, or another relevant administrative department violates these Provisions with any of the following offences, he/she shall be subject to administrative sanctions by his/her unit or by the higher authorities according to law; If the offense constitutes a crime, he/she shall be investigated for criminal liabilities.
1. illegally issuing an administrative license or imposing an administrative penalty;
2. failing to perform the duties of supervision or inspection as provided in these Provisions;
3. failing to make a timely investigation of, or covering up, or conniving at an illegal act, thus causing a consequence; or
4. other negligence of duty, abuse of power, or malpractice for personal gains.
Chapter VI Supplementary Provisions
Article 92
Some technical terms used in these Provisions are defined as follows:
1. the term “exclusive part” means the space in a building that is independent in structure and use, and is used and disposed of at the discretion of a single property owner.
2. the term “partially shared part” means the space, facilities and equipment, ground, etc. that are used and managed by some property owners.
3. the term “shared part of all the property owners” means the space, facilities and equipment, ground, etc. that are used and managed by all the property owners.
Article 93
The municipal housing administrative department shall formulate the sample texts of the interim management stipulations, the management stipulations, the voting procedures for the inaugural meeting of the property owners’ congress, the rules of procedure of the property owners’ congress, the process of selecting candidates for the property owners' committee, the procedure of electing members of the property owners' committee, and the property service contract.
Article 94
Management of non-residential property shall be conducted with reference to these Provisions.
Article 95
These Provisions shall be effective as of April 1, 2011.