VZCZCXRO2343
RR RUEHCHI RUEHDT RUEHHM
DE RUEHHI #1088/01 1630959
ZNR UUUUU ZZH
R 120959Z JUN 07
FM AMEMBASSY HANOI
TO RUEHC/SECSTATE WASHDC 5619
INFO RUEHHM/AMCONSUL HO CHI MINH 3222
RUEHZS/ASEAN REGIONAL FORUM COLLECTIVE

UNCLAS SECTION 01 OF 02 HANOI 001088 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
STATE FOR EAP/MLS 
 
E.O. 12958: N/A 
TAGS: PHUM PGOV KCOR KPAO SOCI PREL VM
 
SUBJECT: ORDINANCE ON "GRASSROOTS DEMOCRACY:" POWER TO THE 
VILLAGERS? 
 
 
HANOI 00001088  001.2 OF 002 
 
 
Summary 
------- 
 
¶1. (SBU) The National Assembly recently passed the Ordinance on 
Grassroots Democracy, which is intended to allow villagers, with 
local Fatherland Front representatives participating, to convene 
meetings for the purpose of discussing and proposing solutions to 
local problems and nominating candidates for local leadership.  It 
also enshrines some transparency in local governance by requiring 
commune governments to publicize how they raise and spend funds for 
local economic development projects.  Reactions among our contacts 
to the new ordinance have been mixed, with none heralding the advent 
of real democracy in Vietnam.  That said, with the ordinance, the 
GVN is trying to improve transparency and accountability at the 
local level, although the Communist Party will remain inviolate, 
even at the grassroots.  End Summary. 
 
Rules Codified in the Ordinance 
------------------------------- 
 
¶2. (SBU) The National Assembly's Standing Committee recently passed 
the Ordinance on Grassroots Democracy, updating and replacing the 
GVN's 2003 Decree on Grassroots Democracy.  (Note:  When used by the 
GVN and the Party, "democracy" is not the ability of the people to 
freely choose their representatives and leaders, but instead is 
local and central government accountability to the people.  End 
Note.)  The ordinance states that villagers can convene meetings to 
discuss and propose solutions to local problems, though local 
Fatherland Front (FF) representatives (the Party's umbrella 
organization for any and all groups in Vietnam) must participate. 
Furthermore, locals can nominate and justify candidates for village 
or commune head and, every two years, can propose confidence votes 
for people cluster head, village head or commune head. 
 
¶3. (SBU) Problems that cannot be resolved at the village level are 
bumped up to the commune level, then to the district level if still 
unresolved.  District officials have seven working days to decide 
whether the complaint -- for example, over a village or commune 
official's alleged corruption or "abuse of power" -- is valid and 
disciplinary action is needed.  If the district level finds that the 
complaint is not worthy of further action, villagers can appeal to 
the provincial level, but must register the complaint within a week 
of the district's decision. 
 
¶4. (SBU) The ordinance codifies the responsibilities and powers of 
officials and civil servants related to "the settlement of the 
affairs of the people."  To encourage villager participation in and 
discussions about commune governance, the ordinance's Article 4 
strictly prohibits acts that "victimize people who have complaints, 
denunciations and recommendations related to the implementation of 
democracy."  However, the ordinance does not discuss disciplinary 
action for officials who do not comply. 
 
Increasing Transparency? 
------------------------ 
 
¶5. (SBU) The ordinance seeks to enshrine some transparency in local 
governance.  It states that commune governments must publicize 
socio-economic development, land use and regulatory plans and the 
estimates and accounts of annual commune budgets, as well as the 
management and use of funds, investment amounts and development aid 
for programs and projects.  Commune governments must also publicize 
how much money it has "mobilized" via contributions from locals. 
 
¶6. (SBU) The ordinance also gives guidelines on capital loans to 
"develop production" and alleviate poverty, and defines who is 
entitled to borrow capital and how that capital is to be disbursed. 
Commune governments must reveal total fees and other finances 
collected, in addition to the results of investigations, inspections 
and the settlement of "negative incidents" such as corruption cases 
at the commune, village and cluster levels.  The ordinance does not 
specify, however, the types of penalties for local officials who are 
found to not follow these regulations, leaving sanction decisions up 
to the whims of local power holders. 
 
Improving Local "Democracy?" 
---------------------------- 
 
¶7. (SBU) The GVN has touted the ordinance as a "refinement of 
democracy" at the local level.  On June 5, a senior member of the 
Vietnam Lawyer's Association told Poloff that the ordinance is 
important because it gives villagers a say in decisions that affect 
them.  On why the GVN promulgated the ordinance at this time, he 
said that Vietnam faces a different economic, political and social 
situation compared to just five years ago.  With all the changes 
that have taken place over this time period, it was "appropriate to 
upgrade" legal documents governing local-level affairs, he said. 
 
HANOI 00001088  002.2 OF 002 
 
 
 
¶8. (SBU) However, a well-respected law lecturer told Poloff that the 
ordinance is not very different from the GVN's 2003 Decree on 
Grassroots Democracy.  In implementing this decree, the GVN had been 
"pleased with some of its results."  For example, commune 
governments successfully mobilized local resources for economic 
development projects, he said. 
 
¶9. (SBU) Throughout the three-year lifespan of the original GVN 
decree, the government held it up as proof of Vietnam's "democratic 
credentials," the law lecturer continued.  In reality, however, the 
decree did not have much of an impact because the central government 
was reluctant to disseminate information on the local residents' new 
rights, he said.    He fears that local leaders will behave no 
differently with the new ordinance.  Furthermore, while villagers 
can convene meetings to discuss issues, they likely will not speak 
frankly, especially on issues of corruption or other wrongdoing, if 
a local VFF official also attends, he said. 
 
¶10. (SBU) The law lecturer agreed that it is good that the ordinance 
lays out the people's rights to put forth and justify candidates for 
village or commune head and, every two years, to propose confidence 
votes for people cluster head, village head or commune head.  He 
pointed out, however, that these votes are presided over by the 
local Fatherland Front representative.  When the Fatherland Front 
will call meetings, and whether it will conduct them in a clear and 
transparent manner, remain open questions, he said.  Local 
Fatherland Front committee members may just choose not to invite to 
meetings locals who are not happy with their leaders. 
 
¶11. (SBU) Le Dang Doanh, a leading reform advocate, told Poloff that 
the ordinance is a "move in the right direction."  However, problems 
that remain to be tackled are whether there are fair procedures in 
place for putting forth and justifying candidates and decreasing 
Party intervention in the process.  The "producer" will still be 
able to "orchestrate" local elections, he asserted. 
 
Comment 
------- 
 
¶12. (SBU) In issuing the Ordinance on Grassroots Democracy, the GVN 
is seeking to improve transparency and accountability at the local 
level and provide villagers avenues to vent some frustration.  It 
remains an open question, however, as to how the ordinance will work 
in practice.  Local-level institutions remain Party-dominated, and 
another legal document on grassroots democracy does nothing to 
prevent Party members, or those connected to them, from continuing 
to play by their own set of rules.  End Comment. 
 
MARINE