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👥On February 7, 2024, a roundtable discussion "Licensing in construction: discussion of innovations" with the participation of Head of State Inspectorate for Architecture and Urban Development of Ukraine Oleksandr Novytskyi was held.

At the end of the year, on December 19, 2023, the State Inspectorate for Architecture and Urban Development of Ukraine (SIAUD) published the draft Resolution of the Cabinet of Ministers of Ukraine on licensing the construction of objects, which by the class of consequences (responsibility) belong to objects with medium (СС2) and significant (СС3) consequences.

☝️The main purpose of such publication is to receive comments and suggestions from individuals and legal entities, their associations. Therefore, on the initiative of SIAUD, it was decided to hold a joint roundtable discussion with the Confederation of Builders of Ukraine, as the largest specialized association.

👤Lev Partskhaladze, President of the CBU, noted that such open meetings are a manifestation of SIAUD’s readiness for cooperation with business: "This is a manifestation of openness, transparency and honesty”. 

👤 Oleksandr Novytskyi, Head of the State Inspectorate for Architecture and Urban Development of Ukraine, emphasized that SIAUD and the construction business have a common task - to ensure that all processes are thought out and foreseen: "Everything that SIAUD develops and implements, we want to do with the element of digitalization, with the minimization of the human factor for avoiding corruption risks. We want to introduce a new, convenient, high-quality service for the market and thus create the most "equal" and transparent rules for all participants. It is as simple and clear as possible."

He reminded that from March 2020, obtaining construction licenses is not regulated by law (the Resolution of the CMU has lapsed dated 06/30/2016 No. 256). Thus, during the period of martial law, the possibility of submitting a declaration on economic proceedings was introduced (on March 18, 2022, the Resolution of the CMU "Some issues of ensuring the conduct of economic activities under martial law" was adopted).

During the period of martial law, almost 3,000 declarations were registered in SIAUD according to this principle. However, according to the document, these declarations are valid until the end of martial law and 1 more year, that is, they are temporary and there will be need to replace them at some point.

Therefore, SIAUD has already offered for discussion the project of the Resolution of the Cabinet of Ministers of Ukraine regarding the licensing of the construction of objects of the class of consequences СС2 and СС3, which provides for a simplified mechanism for obtaining licenses exclusively in electronic form.

Regarding the basic principles of this concept. The whole mechanism, according to Oleksandr Novytskyi, will be organized in the way of submission in electronic form, dual consideration by the system or in some cases by an official of SIAUD, and issuance.

The effect of the Resolution applies to virtually all business entities in the construction industry:

✔️who intend to obtain a license;

✔️who received a license before the Resolution came into force;

✔️who received a declaration on the implementation of construction business activities.

At the same time, a transition period of 6 months is provided for those who received licenses earlier or had a declaration that currently need activation.

Also, the Head of SIAUD informed the participants of the roundtable about more details of the licensing conditions. He informed that the reputational conditions were separately highlighted, including the impeccable business reputation of the manager, his deputy, chief engineer, owners of significant participation and ultimate beneficial owners licensee, licensee.

💬"This is not an abstract norm. This will not be decided at the discretion of the official, but a very comprehensive list of criteria is provided," Oleksandr Novytskyi explained.

🗣️In particular, Vice-President of the CBU Anatoliy Berkuta and members of the Board of Directors of the CBU joined the active discussion: Anzhelika Livitska, partner of Arzinger, Olga Sydorchuk, head of Sempra Law, Olesia Romanenko, lawyer and managing partner of Olsten Partners Law Company, Alexey Kulagin, managing owner of development company "OMOKS", Maksym Potyuk (Максим Потюк) the owner of LLC SABD and others. Specific proposals were given regarding the conditions of licensing, attracting non-residents, revising the categories of the type of activity of companies, etc.

The issue of licensing is very urgent and causes a lively discussion in business, and therefore, as a result of the roundtable discussion, it was decided to create a Working Group of the CBU on licensing in construction for all interested parties, the meeting of which is planned for next week.

💬"We are grateful for the initiative of conducting and personal participation of SIAUD. This is important for the construction business and the country's economy as a whole," Lev Partskhaladze summarized.

You can watch the recording of the event at the link (Ukrainian language):

https://www.youtube.com/live/JXyY4QN-o6Q?si=8Y7VJ1LGIYgQiLmt 

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