A residential complex in Chengdu has made headlines by distributing a substantial cash dividend to its homeowners. The source of this significant payout has been traced back to the community's accumulated public revenue.
On the morning of July 18th, well before 9 a.m., the central square of the Jinlin Junjing residential complex in Wuhou District, Chengdu, was bustling with residents. Property managers had been notifying homeowners in building group chats for several days prior, reminding them to prepare necessary documents such as property certificates and ID cards. They were informed they could collect their cash during any time slot from the 18th to the 21st.
Ms. Xu, the first homeowner to receive a queue number at the distribution event, came downstairs at 8:40 a.m. "This is the first time the complex has distributed the surplus from public revenue to the owners. It's very exciting," she said. After a few minutes of document verification, signing, and cash counting, Ms. Xu received 880 yuan in hand.
This money originated from the surplus of the complex's public revenue accumulated over the past three years. The Jinlin Junjing community had faced significant challenges after its original property management company ceased operations years ago, leading to a period of disarray.
Wang Yue, a homeowner born in the 1990s, connected with other young residents through volunteer work. They collectively decided to run for positions on the upcoming homeowners' committee election. "The work of the committee requires the energy and determination of young people, as well as a strong sense of public duty," Wang Yue noted.
After Wang Yue and other young residents took over, the third homeowners' committee of Jinlin Junjing introduced a new property management company. They systematically reviewed and revitalized various channels of public income, including parking fees, advertising revenue, and venue rentals. Over nearly three years, the community's public revenue surplus reached 1.9 million yuan.
Following calculations to ensure sufficient emergency reserves, the committee initiated a homeowner vote. The decision was made to allocate 1 million yuan to be returned to all homeowners at a rate of 10 yuan per square meter. This applied to both residential units and commercial shops, benefiting nearly 1,100 households in total.
"The voter participation rate exceeded 71%, with a 97% approval rate," Wang Yue stated. Determining a secure and trustworthy distribution method was a primary concern for Wang Yue and the team. They proactively ensured the committee was removed from the direct fund flow. The on-site distribution was handled by personnel from the property management company and the bank, with cash never physically passing through the committee's hands.
Some residents raised questions, such as "Why 10 yuan per square meter?" and "Why only 1 million and not more?" Wang Yue explained that the standard was calculated based on the complex's total area and the three-year revenue surplus. "We cannot deplete all our reserves. We need to retain sufficient funds for next year's expenses, like elevator maintenance and landscaping," he clarified.
Related Context: Management of Residential Public Revenue
In a move to further standardize the management of public revenue in residential complexes and protect homeowners' rights, the Sichuan Provincial Department of Housing and Urban-Rural Development recently issued the "Guidance on Standardizing the Management of Public Revenue in Residential Complexes Across the Province." This guidance took effect on July 15th.
The document aims to clarify the ownership and management entities of public revenue, address pressing public concerns, and use the regulation of this key community matter as a starting point to drive deeper urban governance reforms. The guidance provides specific operational requirements regarding the scope of public revenue income and expenditure, management entities, usage procedures, and disclosure and transfer protocols.
Regarding the use of public revenue, the guidance specifies that it can generally be used to supplement maintenance funds for buildings and affiliated facilities, update and renovate shared equipment, and cover insurance and inspection costs for properties and common facilities. It explicitly states that public revenue must not be used for expenses that should legally or contractually be borne by property developers, utility companies, individuals, or property service enterprises.
While public revenue from residential complexes belongs collectively to the homeowners, its usage is not unlimited. The guidance provides clear regulations on which expenses can be covered by public revenue and which situations prohibit its use.
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