Organizational Arrangements for the Infrastructure Projects Center in the Riyadh Region

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In the name of Allah, the Most Gracious, the Most Merciful

Council of Ministers Decision No. (902) dated 30/12/1444 AH

The Council of Ministers

After reviewingthe correspondence received from the Royal Court No. 51929 dated 29/7/1444 AH, including the letter of His Excellency the Minister of Municipal, Rural Affairs and Housing No. 4300440029 dated 14/6/1443 AH, regarding the establishment of the Infrastructure Projects Center in the Riyadh Region.

After reviewingthe draft organizational arrangements for the Infrastructure Projects Center in the Riyadh Region.

After reviewingthe Royal Circular Order No. (55685) dated 30/11/1438 AH.

After reviewingtheLaw of Municipalities and Rural Areasissued by Royal Decree No. (M/5) dated 21/2/1397 AH.

After reviewingtheLaw of Municipal Licensing Proceduresissued by Royal Decree No. (M/59) dated 23/9/1435 AH.

After reviewingtheCouncil of Ministers Decision No. (766) dated 30/11/1441 AH.

After reviewingtheRegulation of Penalties for Municipal Violationsissued by Council of Ministers Decision No. (92) dated 5/2/1442 AH.

After reviewingthe memoranda No. (727) dated 3/3/1444 AH, No. (2928) dated 25/9/1444 AH, and No. (3287) dated 5/11/1444 AH, prepared by the Bureau of Experts at the Council of Ministers.

After reviewingthe recommendation prepared by the Council of Economic and Development Affairs No. (7-44/40/D) dated 14/10/1444 AH.

After reviewingthe recommendation of the General Committee of the Council of Ministers No. (11883) dated 18/11/1444 AH.

 

It is decided as follows:

First:Approval of the establishment of the Infrastructure Projects Center in the Riyadh Region, in accordance with its accompanying organizational arrangements.

Second:The Center – referred to in item (First) of this decision – shall exercise the competencies and authorities of the Ministry of Municipal, Rural Affairs and Housing, the Riyadh Region Municipality, and the municipalities of the region – as legally approved – related to infrastructure works and projects in the Riyadh Region, including matters related to issuing licenses and permits and collecting fees and financial consideration for them, provided that the Center complies with the applicable regulations governing these matters.

Third: 1- Without prejudice to the Ministry of Municipal, Rural Affairs and Housing exercising its competencies stipulated in theRegulation of Penalties for Municipal Violations– issued by Council of Ministers Decision No. (92) dated 5/2/1442 AH – and in consideration of the provisions ofArticle (Five) of the Regulation, His Excellency the Minister of Municipal, Rural Affairs and Housing and His Highness the Mayor of Riyadh Region, Chairman of the Board of Directors of the Infrastructure Projects Center in the Riyadh Region, shall agree on defining the violations listed in the table referred to inArticle (Three) of the Regulation– related to the Center’s competencies according to its organizational arrangements mentioned in item (First) of this decision – which the Center shall monitor in accordance with paragraph (3) of this item, and impose the penalties stipulated in the Regulation.

2- His Highness the Mayor of Riyadh Region, Chairman of the Board of Directors of the Infrastructure Projects Center in the Riyadh Region, shall issue the necessary executive decisions regarding what is stated in paragraph (3) of this item and how to apply them, taking into account coordination – as necessary – with His Excellency the Minister of Municipal, Rural Affairs and Housing.

3- Taking into account the provisions ofArticle (Five) of the Regulation of Penalties for Municipal Violationsissued by Council of Ministers Decision No. (92) dated 5/2/1442 AH, His Excellency the Minister of Municipal, Rural Affairs and Housing delegates His Highness the Mayor of Riyadh Region, Chairman of the Board of Directors of the Infrastructure Projects Center in the Riyadh Region, regarding issuing a decision on who among the Center’s employees or others shall monitor violations – related to the Center’s competencies according to its organizational arrangements mentioned in item (First) of this decision – which will be specified in the table referred to inArticle (Three) of the Regulation, and impose the penalties stipulated in the Regulation.

4- Nothing in the preceding paragraphs shall prejudice what is stipulated by the municipal laws and other relevant regulations.

Fourth:The Ministry of Municipal, Rural Affairs and Housing and the Infrastructure Projects Center in the Riyadh Region shall sign a memorandum of understanding between them that includes the necessary arrangements and mechanisms for the Center to exercise the competencies and authorities – referred to in items (Second) and (Third) of this decision – and the memorandum shall specify the timeline for the Center to commence exercising those competencies and authorities.

Fifth:His Highness the Mayor of Riyadh Region, Chairman of the Board of Directors of the Infrastructure Projects Center in the Riyadh Region, shall perform the duties of the Center’s Board of Directors until it is formed, provided that this is limited to exercising the Board’s competencies related to managing its affairs, without including competencies related to approving policies and financial and administrative regulations.

Sixth:The exercise of the Board of Directors’ authority referred to in paragraph (7) of item (Fifth) of the arrangements – mentioned in item (First) of this decision – shall be in agreement with the Ministry of Finance and the Non-Oil Revenues Development Center, until the issuance and implementation of the regulation on the exercise of public authorities and institutions and their equivalents in imposing financial consideration for the services and works they provide.

Seventh:His Highness the Mayor of Riyadh Region, Chairman of the Board of Directors of the Infrastructure Projects Center in the Riyadh Region, and His Excellency the Minister of Finance shall agree on all matters related to investing the Center’s funds and establishing appropriate mechanisms that enable the Center to benefit from its revenues and the financial consideration for the works and services it provides, ensuring the financial sustainability of the Center, without prejudice to the provisions of the Royal Circular Order No. (55685) dated 30/11/1438 AH.

Eighth:The Ministry of Finance – in cooperation with: the Expenditure and Projects Efficiency Authority, and the Riyadh Region Municipality – shall study the initial budget request for the Infrastructure Projects Center in the Riyadh Region – referred to in item (First) of this decision – amounting to (150,000,000) one hundred and fifty million riyals, including a detailed breakdown of expenditure items (operational and capital), the related annual cash flows, and the mechanism for securing the aforementioned amount. The Ministry shall submit the study within no more than (14) days.

Prime Minister

First

The following words and phrases – wherever they appear in these arrangements – are intended to have the meanings specified next to each:

Arrangements: The organizational arrangements for the Infrastructure Projects Center in the Riyadh Region.

The Authority: The Royal Commission for Riyadh City.

The Center: The Infrastructure Projects Center in the Riyadh Region.

The Council: The Board of Directors of the Center.

The President: The President of the Council.

The Chief Executive Officer: The Chief Executive Officer of the Center.

The Region: The administrative boundaries of the Riyadh Region as defined by law.

Infrastructure Projects: Projects related to telecommunications, energy, water, sewage, roads, and similar services, including projects from both government and private entities, as well as major projects, if they are linked to or intersect with the works of infrastructure projects.

Infrastructure Project Works: The works related to the implementation, development, operation, and maintenance of infrastructure projects.

Secondly

The center enjoys public legal personality and financial and administrative independence, and is organizationally linked to the Board of Directors of the Authority. Its headquarters is located in the city of Riyadh, and it has the authority to establish branches or offices within the region as needed and as determined by the Council.

Thirdly

The center aims to enhance the infrastructure projects in the region, which improves the quality of life and enhances the urban landscape, and contributes to achieving spending efficiency in those works and projects. To achieve its objectives, it has the authority to do the following:

1- Propose projects for the laws and regulations required by the nature of its work, and propose amendments to the existing ones in agreement with the relevant government entities, and submit them to the Board of Directors of the Authority in preparation for completing the legal procedures.

2- Develop a comprehensive detailed plan for the infrastructure projects in the region, including programs, timelines, and specific phases, in coordination with the relevant entities.

3- Establish controls, requirements, standards, methodologies, and methods specific to the infrastructure projects in the region, in coordination with the relevant government entities, to contribute to achieving its objectives.

4- Issue licenses for infrastructure projects in the region and revoke, cancel, or suspend them either wholly or partially, permanently or temporarily, and collect the fees and financial compensation for them, in accordance with the relevant legal provisions.

5- Supervise and inspect the infrastructure projects in the region and take necessary actions regarding them, in accordance with the relevant legal provisions.

6- Create a platform to collect, store, and manage information, data, and plans related to infrastructure projects in the region, and enable government and private entities to access them according to the controls established for this purpose.

7- Collaborate with government and private entities to establish and adopt the necessary technical enablers to achieve its objectives, including benefiting from available databases for infrastructure projects in the region and linking with them.

8- Review what government and private entities prepare in terms of strategic and detailed plans related to infrastructure projects to be implemented in the region, along with their data, information, and budgets, and work with those entities to develop and update them in accordance with what the center establishes based on paragraph (2) of this item.

9- Review what government and private entities prepare in terms of plans related to infrastructure projects to be implemented in the region, their scope of work, and timelines, and work with those entities to develop and update them in accordance with what the center establishes based on paragraph (2) of this item.

10- Enable government and private entities to access the comprehensive detailed plan - referred to in paragraph (2) of this item - and the approved timelines for infrastructure projects in the region according to the controls established for this purpose.

11- Receive reports and complaints related to infrastructure projects in the region and take necessary actions regarding them, in accordance with the relevant legal provisions.

12- Form partnerships with government and private entities in areas related to the center's activities, contributing to achieving its objectives and in accordance with the established legal procedures.

13- Collaborate with research centers, institutions, and specialized consulting firms at both local and international levels in areas related to the center's activities, contributing to achieving its objectives.

14- Prepare reports - as needed - to evaluate and measure the compliance of government and private entities with what the center establishes - according to its competencies - regarding infrastructure projects in the region, propose what it deems appropriate in this regard, and submit it to the Board of Directors of the Authority in accordance with the established procedures.

The center may seek assistance from the private sector - as needed and as decided by the council - to carry out any of its tasks, in accordance with the established legal procedures.

Fourthly

Previous Amendments
  • 1- The Center shall have a Board of Directors chaired by the Secretary of Riyadh Region, with the following members:

    • A- A representative from the Ministry of Municipal and Rural Affairs and Housing.

    • B- A representative from the Ministry of Environment, Water, and Agriculture.

    • C- A representative from the Ministry of Energy.

    • D- A representative from the Communications, Space, and Technology Authority.

    • E- A representative from the General Authority for Roads.

    • F- A representative from the Royal Commission for Riyadh City.

    • G- The Chief Executive Officer.

    • H- Two members from the private sector, appointed by an order of the Council of Ministers based on the nomination of the Board Chairman and the approval of the Authority’s Board of Directors, with a membership term of three (3) years renewable once.

  • 2- The rank of the representatives of the government entities referred to in paragraph (1) of this clause shall not be less than the fifteenth rank or its equivalent.

Fifth

The Council is the authority supervising the affairs of the center, its management, and the conduct of its matters. It makes all necessary decisions to achieve its objectives and implement its competencies as stipulated in the arrangements. In particular, it has the following:

1- Approving the general policies related to the center's activities and the necessary plans and programs, monitoring their implementation, and reporting on what requires completing regulatory procedures in this regard.

2- Approving the comprehensive detailed plan for infrastructure projects in the region, including programs, timelines, and implementation phases.

3- Approving the controls, conditions, standards, methodologies, and methods specific to infrastructure projects in the region.

4- Proposing draft laws and regulations or their amendments related to the center's competencies, after coordinating with the relevant government entities, and submitting them to the Board of Directors of the Authority to complete the regulatory procedures.

5- Approving the organizational structure of the center.

6- Approving the administrative and financial regulations and other internal regulations necessary for the center's operations, provided that the approval of the administrative regulations is in agreement with the Ministry of Human Resources and Social Development, and the approval of the financial regulations and provisions with financial implications in the administrative regulations is in agreement with the Ministry of Finance.

7- Approving the financial compensation for the works and services provided by the center.

8- Approving the annual budget project for the center, its final account, the auditor's report, and the annual report, and presenting them to the Board of Directors of the Authority to be submitted according to the regulatory procedures.

9- Appointing an external auditor (or more) and an internal financial controller.

10- Accepting gifts, donations, grants, bequests, and endowments, in accordance with the governing provisions.

11- Approving the opening of branches or offices for the center within the region.

12- Approving the conclusion of agreements, protocols, memoranda of understanding, and contracts, in accordance with the established regulatory procedures.

To achieve its competencies and without prejudice to the duties assigned to it, the Council may form permanent or temporary committees from its members or others, delegating to them tasks it deems appropriate. The decision to form each committee specifies its chairperson, members, and competencies, and it may seek assistance from whomever it deems necessary to perform the assigned tasks. It may also delegate some of its competencies to its chairperson or to any of its members or the CEO.

Sixthly

1- The Council meetings are held at the headquarters of the main center. It is permissible, when necessary, to hold them in another location within the Kingdom.

2- The Council holds its meetings - at the invitation of the President - periodically, not less than (three) times a year. The President may call for a meeting whenever needed, or whenever at least half of the members request it.

3- In the event of the President's absence, he may appoint a representative from the government entities to preside over the meetings.

4- The invitation to attend the Council meeting must be sent - in writing - at least (seven) days prior to the meeting, and it must include the agenda.

5- For the meeting of the Council to be valid, the presence of the majority of the members - at least - including the President or his representative is required, and decisions are made by a majority of the votes of the attending members at least. In the event of a tie, the side that the President of the meeting votes for shall prevail.

6- The discussions and decisions of the Council are recorded in minutes signed by the President of the meeting and the attending members.

7- No member of the Council may abstain from voting or delegate another member to vote on his behalf in his absence.

8- The Council may, when necessary and in urgent cases at the discretion of the President, hold meetings and vote on decisions remotely using modern technology. Decisions may also be made by circulating them among the Council members, provided that all members sign them and they receive at least a majority of their votes, and these decisions shall be presented to the Council in the first subsequent meeting to be recorded in the minutes of the meeting.

9- A member must maintain the confidentiality of information and not exploit or benefit from it for purposes other than the interests of the center, nor disclose it to others.

10- The Council may invite to its sessions any experts, specialists, and consultants it deems necessary without granting them the right to vote.

Seventh

The center shall have an Executive Director who is appointed and relieved from his position by a decision of the Council, which specifies his salary and other financial benefits. He is responsible for managing the affairs of the center and conducting its operations. His responsibilities include the following:

1- Supervising the workflow in the center.

2- Overseeing the preparation of public policies related to the center's activities, as well as the plans and programs necessary for their implementation, and submitting them to the Council for approval.

3- Supervising the preparation of the comprehensive detailed plan for infrastructure projects in the region, including programs, timelines, and implementation phases, and submitting them to the Council for approval.

4- Supervising the preparation of controls, standards, methodologies, and methods related to infrastructure projects in the region and submitting them to the Council for approval.

5- Proposing the organizational structure of the center, its administrative and financial regulations, and other necessary regulations for its operation, and submitting them to the Council for approval, as well as supervising their implementation after approval.

6- Supervising the preparation of the annual budget project for the center, the draft of its final account, and its annual report, and submitting them to the Council.

7- Appointing the center's staff, supervising them, and terminating their services, in accordance with the powers granted to him and what is specified by the relevant laws and regulations.

8- Contracting with experts, specialists, and consultants in areas related to the center's work, in accordance with the applicable legal procedures.

9- Disbursing from the approved budget and taking financial actions in accordance with the laws and what is specified by the center's internal regulations.

10- Signing agreements, protocols, memoranda of understanding, and contracts, in accordance with the applicable legal procedures and what is specified by the center's internal regulations.

11- Representing the center before the judiciary, government agencies, institutions, and other bodies both inside and outside the Kingdom, and he may delegate others to do so.

12- Supervising the preparation of periodic reports on the progress of the center's work, its achievements, activities, and the impediments it faces, and submitting them to the Council; in preparation for completing what is necessary regarding them.

13- Any other competencies or powers assigned to him by the Council.

The Executive Director may delegate some of his competencies and powers to whomever he sees fit among the center's staff, in accordance with the center's regulations.

Eighth

1- The center shall have an independent annual budget.

2- The financial year of the center is the same as the financial year of the state. Exceptionally, the first financial year of the center shall commence from the date of implementation of the arrangements and shall end at the conclusion of the following financial year of the state.

Ninth

  • 1- The financial resources of the center consist of the following:

    • A- The allocation provided to it in the state’s general Budget.

    • B- The financial fees and charges it collects in exchange for the licenses it grants, the works and services it provides, and the fines it collects.

    • C- The donations, contributions, grants, bequests, and proceeds from endowments accepted by the Council, in accordance with the regulations governing that.

    • D- Other resources approved by the Council, provided they do not conflict with the regulations and instructions.

  • 2- The revenues of the center are deposited in a current account of the Ministry of Finance at the Saudi Central Bank.

  • 3- The center opens an account for itself at the Saudi Central Bank and may open other accounts at any of the banks licensed to operate in the Kingdom, and expenditures from these accounts are made in accordance with the approved budget of the center and its internal regulations.

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