Report Concerning Some Economic Policy Opinions for Cultural Undertakings

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State Council:

Since the 3rd Plenum of the 11th Party Congress, our country’s cultural undertakings have seen relatively quick recovery and development, and have adapted to a certain extent to the popular masses’ incessantly increasing culture life needs, and have engendered a desirable influence at home and abroad. But, because of being subject to State financial resource constraints and a number of other factors, the poor foundations and lacking facilities that exist for a long time in our country’s culture undertakings, and the situation of no adaptation to economic development, has not yet been basically changed.

In order to make socialist culture undertakings flourish and develop, realistically resolve the question of material civilization and spiritual civilization construction “one hand hard, one hand soft”, implement the spirit of the 3rd plenum of the 11th Party Congress concerning “the Centre and the localities must all bring spiritual civilization construction into economic and social development plans, and progressively expand the necessary inputs”, as well as the requirements concerning “the necessity to continuously, vigorously and reliably conduct all sorts of cultural management structure reform, earnestly research formulation of economic policies stimulating cultural undertaking development in the “People’s Republic of China Ten-Year Programme and Outline of the Eighth Five-Year Plan for National Economic and Social Development” passed at the 4th Plenum of the 7th National People’s Congress, at the same time as deepening cultural management system reform and strengthening internal management, all levels’ governments and relevant entities must give support and guarantees in policies, in order bring about coordinated development of cultural undertakings with economic construction.

To this end, concerning the present questions relating to cultural economic policies that urgently need to be resolved, after consultation with relevant entities such as the National Planning Commission, the Ministry of Finances, the Ministry of Personnel, the Ministry of Construction, the General Administration of Customs, etc., the following opinions are put forward:


I, All levels’ governments must genuinely make cultural undertakings into an important aspect of socialist spiritual civilization construction, give it high regard in their thoughts, expand guidance in their policies, and give support in finances. It is necessary to expand cultural undertaking funding input year after year, progressively reform the situation of tight cultural funding, provide the necessary material conditions for carrying forward excellent ethnic culture, and make socialist art and culture flourish.


II, All levels’ culture entities must formulate and perfect all management systems, coordinate with relevant entities in formulating cultural economic policies conforming to the real situation of those regions, strengthen team construction and financial management, pay attention to business management, incessantly raise management levels. It is necessary to carry on the fine tradition of running undertakings in a hardworking and thrifty manner, reasonably adjust cultural funding support structures, excavate internal potential, within the scope permitted by State policies, fully utilize the present human power, material resources and financial resources, vigorously and reasonable organize income, strengthen autonomous development capacity, reasonably use undertaking funding, raise the utilization effect of funds.


III, All levels’ governments must bring cultural facility construction into their agendas, and realistically make arrangements. It is necessary to bring the indispensible cultural entertainment facility construction required by the masses into general planning for town and country establishment, with reasonable distribution and uniform construction. In the “Eighth Five-Year Plan” period, it is necessary to strive to achieve that every county has a library and a culture centre and that all villages have a culture station. All localities constructing residential communities, must strictly according to the municipal planning requirements, comprehensively plan cultural entertainment activity venues, and implement synchronized construction. Small-district non-commercial culture facility input may be listed in residential community construction investment.


IV, It is necessary to suitably expand basic construction investment for culture undertakings. Provinces, autonomous regions, municipalities and plan-listed cities meeting conditions, shall every year have a certain basic culture construction investment amount and following the improvement of the economic situation, progressively expand investment in this aspect, making it maintain a suitable expansion proportion with investment in material civilization construction aspects. All levels’ planning entities shall not consider culture construction projects put forward as necessary constructions by local culture controlling authorities as “large halls or guest houses” and subject to constraints, but shall as far as possible grant support, and arrange implementation of investment in the annual planning. During the “Eighth Five-Year Plan” period, art performance troupes that went through adjusting and reforming, under the presupposition of fully utilizing all presently existing social venues suitable for performance, must progressively construct their own performance venues with regard to the local financial situation.


V, At present, the problem that all localities’ presently existing theatres and cinemas are gravely old and shabby is utterly prominent, it is necessary to grasp conducting of maintenance and renovation, strengthen equipment, improve conditions. Required funding, apart from certain maintenance costs arranged annually by all levels’ financial entities, authorized to cultural entities for uniform control and use, it is also permitted to adopt other methods to raise money, such as cinema ticket prive attachments and collecting from “making culture subsidize culture” income after tax. Concrete rules on raising money and bonuses, are formulated by all localities’ culture entities on the basis of the real situation, and are implemented after being reported to and reported by State-stipulated entities that have authorization powers.


VI, Realistically resolving the problem of all levels’ public library book-buying funding being tight. All levels’ finance entities shall in consultation with the culture entity of the same level, according to circumstances such as libraries’ scale, personnel allotment, book collection, etc., check and ratify their expenses budget, and shall indicate book-buying funds, and implement that special finds are used for their specific purpose. When checking and ratifying regular funding and book-buying funding, it is necessary to both strictly control personnel allotments, avoid personnel fees to overrun professional fees, and to fully consider extra support factors such as for salary, commodity price and periodical price increases as well as foreign exchange raises, and increase them year after year.


VII, It is necessary to continuously implement rectification and reform policies, reasonably adjust distribution and reduce superfluous staff of art performance troupes. It is necessary to give the necessary support to art performance troupes determined to be preserved after rectification. It is necessary to earnestly implement the Ministry of Culture and Ministry of Finance jointly-issued “Provisional Rules on Art Performance Troupes Financial Management” (CCN No. (1986)1227). All levels’ financial entities and cultural controlling authorities, when checking and ratifying that there is a discrepancy in their funding, must look after troupes having experimental tasks, troupes serving minors, ethnic minority troupes, and song-and-dance troupes (teams), some ancient or rare art products that have strong artistic traditions and relatively high artistic levels, troupes (teams) that rehearse and perform programmes reflecting real life and major themes. It is necessary to according to financial resource capability, strive to arrange and independently organize and report budgeting, and provide earmarked subsidy for all sorts of troupes’ large-scale renovation and equipment purchase outlays. For fees for retired personnel, a single file is implemented, with special funds for special use. For dance, acrobatics and acrobatic fighting performers and wind music performers, an “Art Category Subsidy” is issued monthly. In order to encourage many performances, to troupes exceeding their quota of completed performance numbers and income planning, “Quota Exceeding Subsidies” may be given according to regulations. Concrete rules for issuing subsidies are formulated by all provincial, autonomous region and municipal finance and culture entities jointly with relevant entities.


VIII, In order to make theatrical art flourish, support must be given to the creation, rehearsal and performance of excellent programmes (shows) persisting in the orientation of serving the people and serving socialism, implementing the guideline of “letting a hundred flowers bloom and a hundred schools contend”, and that have patriotic and socialist education function. Central and provincial, autonomous region and municipal as well as plan-listed city culture controlling authorities shall establish “Special Excellent Programme (Show) Creation and Performance Funds”, mainly to be used for subsidizing and rewarding creation and performance of excellent programmes (shows). The special fund, apart from being regulated all levels’ culture entities’ culture undertaking fees and all levels’ financial discretionary subsidies, may also adopt social fundraising methods as well as collecting from the “making culture subsidize culture” income. All levels’ culture entities shall jointly with finance entities formulate management rules suited to reality for using the “Special Excellent Programme (Show) Creation and Performance Fund”. National reward rules shall be formulated by the Ministry of Culture jointly with related entities for rewarding excellent products (shows), and are implemented after State Council approval; all levels’ reward rules are formulated by provincial, autonomous region and municipal culture entities jointly with relevant entities, and are implemented after approval from the local People’s Government.


IX, According to the characteristics of art performance, as performers who are not suited anymore to perform on stage but have not yet reached pension or retiring age, must change trade to other entities or retire in advance, it is permitted to implement policies to encourage them to change trade or retire in advance, and give a certain trade change or retirement fee. Because all localities’ situations are different, at present, national uniform trade change or retirement fee standards should not be formulated, and they may be formulated by provincial, autonomous region and municipal culture entities jointly with the same level personnel and financial departments according to the local situation, and are implemented after approval by the local People’s Government.


X, In order to strive to raise the cultural level of the entire nation, support old, young, border and poor regions’ culture undertaking construction, all localities shall continue to, according to the provisions of the “Notice Concerning Issuing and Printing the ‘Development Fund for Economic Support of Undeveloped Regions Management Rules'” of the National Committee for Management of the Development Fund for Economic Support for Undeveloped Regions (FBS No. (1986)226), according to the financial situation, grant subsidies to rural culture undertaking focal areas, and effectively stimulate rural culture undertaking development.


XI, In the most recent few years, culture undertaking work units launching “making culture subsidize culture” activities have obtained clear achievements, which have both developed culture undertakings, and to a certain extent diminished the burden on the financial administration, all relevant entities must continue to support this. Concerning problems such as the business orientation, revenue and expenditure management, revolving funds and taxation, etc., all localities shall continue to strictly carry out the provisions of the Ministry of Culture, Ministry of Finance and State Administration of Industry and Commerce “Notice Concerning Printing and Issuing the ‘Provisional Rules on Culture Undertaking Work Units Launching Paid Services and Business Activities” (CBS No. (1987)94).


The above report, if not containing anything inappropriate, is requested to be transferred to all localities and all entities for implementation


Ministry of Culture

10 April 1991






文化部 一九九一年四月十日



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