The self-regulatory association of builders is a non-profit structure that unites within its ranks several subjects of the same type of activity. In our case, these are builders. Membership in the SRO provides for the vesting of powers of responsibility and supervisory activities of all its participants, as well as the issuance of permits in the form of admission to the most complex work. In addition, the conditions of membership in the SRO of builders allow its participants to carry out work that has a limited principle of operation under the law. In Russia, up to 24 types of SROs are currently operating in an organized manner, each of which complies with legal requirements.
SRO and SRO Permit
SRO approval in Moscow can be obtained from a self-regulatory organization, the data of which is in the Rostechnadzor database. Previously, SRO approval was called a “license to carry out work” and was issued by a government agency. It is necessary to obtain SRO approval only for types of activities that are defined by current legislation (they are listed above).
To obtain SRO approval, all companies must become a member of a self-regulatory organization, which is allowed by regulatory documents to carry out such activities.
The list of necessary numerous documentation that must be submitted in order to become a member of the SRO is determined by current legislation. However, the governing bodies of the SRO can independently determine additional documents that must be provided for membership in a particular SRO. Thus, some construction SROs require that applicants provide documentation of completed projects and customer reviews of the work of the applicant company’s employees.
Strict requirements are imposed not only on documentation, but also on the professional qualities of the employees of the applicant company. All company employees are required to have a level of competence that allows them to carry out professional activities without compromising safety, strictly in accordance with current government rules and standards.
Such strict rules for admission to SRO membership are not a whim of the management of a self-regulating company, but a requirement of the current legislation. Moreover, the SRO bears full legal responsibility for the activities of each of its members: participants in a non-profit partnership are jointly and severally responsible for each other’s activities.
A company whose work receives complaints from customers may be deprived of SRO access, which automatically leads to the fact that the company will not be able to work in this area. It will be almost impossible to become a member of another specialized SRO.
As a rule, an SRO permit does not have a validity period; an enterprise will have the right to engage in a specific type of business activity as long as it is a member of a specialized SRO.
Considering the complexity of completing the mandatory procedure for membership in an SRO, it would be correct to entrust the provision of a package of documents to professional lawyers who have successful experience in passing this process.
What is meant by SRO?
SRO is an abbreviation that stands for self-regulatory non-profit organization . This includes business entities united in their industry segment on a professional basis. The purpose of this organization is to replace compulsory state licensing in some areas with self-regulatory activities.
On the other hand, such organizations are a kind of trade union of companies, which helps facilitate the implementation of various types of economic activities. This is the selection of companies that can perform certain types of activities with high quality. An SRO cannot be a commercial association; the organization's budget is formed exclusively from contributions from the entities that are part of it. The activities of SROs are regulated by the Town Planning Code and other regulations.
SRO membership
Types of activities for which membership in an SRO is mandatory: Auditing; Architectural and construction design; Credit cooperation; Heat supply; Engineering survey; Work of arbitration managers (carrying out bankruptcy of legal entities and individuals); Valuation activities; Activities in the field of energy survey; Work of audit unions of agricultural cooperatives; Construction.
Types of activities in which membership in an SRO is voluntary:
- Professional provision of services in the securities market;
- Operation of non-state pension funds;
- Carrying out advertising business;
- Functioning of patent attorneys;
- Functioning of housing savings cooperatives;
- Functioning of microfinance organizations;
- Mediation activities to resolve disputes.
Membership fees
To become an equal member of a self-regulatory organization and obtain SRO approval, you must fulfill one more indispensable condition - pay the membership fee. The legislator determined the amount of contribution for surveyors and designers in construction - 500 thousand rubles. However, when an enterprise has a civil liability insurance contract for the results of its activities, then the contribution amount is reduced to 150 thousand rubles.
For construction organizations, the amount of the membership fee is 1 million rubles, and if there is an insurance contract, the amount is reduced to 300 thousand rubles.
SRO approval for engineering surveys can be obtained not only by “reputable” enterprises, but also by individual entrepreneurs who have a specialized education and relevant work experience. They are required to undergo a special training program for a specific SRO and successfully pass exams.
To obtain SRO approval for architectural and design work, company employees are required to confirm their qualifications. All SRO permits clearly indicate the list of works that the organization is allowed to carry out. This may be one or more types of work that employees of the enterprise are able to professionally perform.
Construction companies with SRO approval can take part in various tenders and compete for government orders.
Registration of individual entrepreneurs for construction
An individual entrepreneur can work in construction on an equal basis with legal entities.
How to open an individual entrepreneur for construction work in 2020 is presented in step-by-step instructions:
- Select OKVED. The choice is made from the all-Russian classifier OKVED-2, which has been in effect since 2020. The main goal of this stage is to determine a specific direction of activity. The code must be indicated in the registration application. The construction direction corresponds to section F of the Classifier. The section includes different areas of repair (major and current), new construction. Urban planning, architecture and design are not included in this section. The entrepreneur chooses only one main OKVED and an unlimited number of additional ones. The choice of the latter does not mean that the individual entrepreneur will necessarily work in these directions.
- Choosing a form of taxation. For individual entrepreneurs and organizations in the construction industry, there are 4 modes: OSNO, simplified tax system, UTII, PSN. In the future, you can switch to a different taxation regime by writing a corresponding application.
- Payment of state duty – 800 rubles.
- Transfer of documents to the Federal Tax Service. Only 3 documents are required: a passport, a receipt confirming the fact of payment of the duty, an application for registration of form P21001.
The most popular OKVED standards among individual entrepreneurs working in the construction industry:
- 45.31 – electrical installation work;
- 45.32 – insulation work;
- 45.33 – sanitary and technical work;
- 45.42 – carpentry and carpentry work;
- 45.43 – floor coverings and wall cladding;
- 45.44 – painting and glass work.
Registration is considered completed after making an entry in the Unified State Register of Entrepreneurs. The duration of the procedure is 3-5 days. It is worth noting that an entrepreneur can not only personally apply to the Federal Tax Service for registration, but also draw up a power of attorney certified by a notary for the representative. In addition, online registration is available. However, preparation for running a construction business does not end there; individual entrepreneurs need permission from the SRO.
If, upon registration, an individual entrepreneur does not submit an application for the transition to one of the special tax regimes, then OSNO will automatically be applied. Permission to use a special regime is not required; the application is of a notification nature.
Why are self-regulatory organizations needed in construction?
In the summer of 2008, Federal Law No. 148 “On Amendments to the Town Planning Code of the Russian Federation and Certain Legislative Acts of the Russian Federation” came into force, which changed the norms and standards in the construction industry.
Based on this legislative act, all organizations wishing to work in the construction business (construct objects, carry out architectural and construction design, engage in reconstruction, etc.) are required to be members of some self-regulatory organization.
Art. 55.1 of the Urban Planning Code: “The content of the activities of a self-regulatory organization is the development and approval of documents provided for in Article 55.5 of this Code, as well as monitoring compliance by members of the self-regulatory organization with the requirements of these documents.”
Based on the current legislation, self-regulatory organizations of the construction industry are organized into National Associations of SROs in specialized areas:
- National Association of Builders;
- National Association of Designers;
- National Association of Prospectors.
On July 13, 2020, Federal Law No. 223 “On self-regulatory organizations in the financial market and on amendments to Articles 2 and 3 of the Federal Law “on amendments to certain legislative acts of the Russian Federation” was adopted. This legislative act more clearly regulates the activities of financial organizations in the field of microcredit, which is widely used by Russian citizens.
Requirements for obtaining an SRO certificate
Federal Law No. 315 dated December 1, 2007 regulates the activities of self-regulatory organizations. Article 5 regulates the process of joining an SRO:
- a participant can be a member of only one SRO within one industry;
- information about participation is entered into the register of legal entities (full name, INN, OGRN, address, information about SRO, type of employment, participant status).
Article 7 of Federal Law-315 states that an SRO must provide access to information on its website, including access to information about legal entities that have ceased their activities in this organization.
Permission to work was issued from 01/01/2009 to 07/01/2017 in construction, design, survey and energy audit. This provision was abolished by Federal Law No. 372. From July 1, 2017, entry into the SRO of enterprises operating within the listed industries is confirmed by an extract from the register of participants.
According to Article 55.5-1 of the Civil Code of the Russian Federation, design, construction and survey specialists in the position of chief project engineer (chief project architect) must:
- be on the national register of specialists in the required industries;
- have a higher education in construction,
- have been employed for at least 3 years in engineering specialties;
- have extensive work experience (from 10 years of employment);
- improve your qualifications (at least once every 5 years).
Article 55.6 of the Civil Code of the Russian Federation explains the procedure for admission to the number of participants in the SRO:
- The SRO includes legal entities and individual entrepreneurs that meet all requirements and have paid
contribution to the compensation fund and providing information on the required documents.
- Only those individual entrepreneurs and legal entities that are registered in the same subject of the Russian Federation as the self-regulatory organization can become participants in the SRO. The exception is foreign legal entities and those organizations that are registered in entities without SRO.
- The SRO may request materials within two months for the purpose of checking an individual entrepreneur or legal entity.
- The SRO has the right to refuse admission if the individual entrepreneur or legal entity does not meet the criteria, does not provide all the necessary documents, or is already a member of a similar organization.
- The SRO has the right to refuse admission if the individual entrepreneur or legal entity was the reason for payments from the compensation fund on the basis of another SRO.
- After being admitted to the SRO, you must pay entrance fees and contributions to the compensation fund within 7 days.
Article 20 of Federal Law No. 127 “On Insolvency (Bankruptcy)” regulates the conditions for obtaining an SRO certificate for arbitration management:
- Diploma of Higher Education;
- employment in management from 1 year;
- employment as an assistant to an arbitration manager in a bankruptcy case for at least 2 years;
- successful passing of the theory;
- no disqualifications or criminal records;
- liability Insurance.
Article 111.2 of the same law regulates the inclusion of electronic platforms in the SRO. To be admitted to the SRO, the following conditions must be met:
- compliance of the operator and the electronic site: free access to information, submission of an application for participation in electronic form, use of certified cryptographic systems, information protection, uninterrupted employment in the construction of sites;
- liability Insurance;
- payment of fees.
Article 24 of Federal Law No. 135 “On Valuation Activities in the Russian Federation” regulates the conditions for appraisers to join the SRO. According to the article, the following requirements must be met:
- availability of a diploma of higher education or a document on professional retraining;
- no criminal record;
- availability of a qualification certificate.
Paragraph 3 of Article 18 of Federal Law No. 307 “On Auditing Activities” lists the conditions for joining the organization of auditors:
- availability of a qualification certificate;
- professional reputation;
- payment of fees;
- compliance with the rules;
- no criminal record.
Article 18 of Federal Law-261 explains who can become a participant in an SRO in the energy inspection industry:
- a legal entity with at least 4 employees with knowledge in the current industry;
- Individual entrepreneur with one employee on staff with knowledge in the current industry;
- an individual with knowledge in the current industry;
The entry of credit cooperatives into SROs is discussed in Article 10 of Federal Law No. 223 “On SROs in the financial market.” They need a license (permit) or an extract from the register of financial organizations.
According to Articles 25 and 26 of Federal Law-190 “On Heat Supply”, the following conditions must be met to join:
- Legal entities and individual entrepreneurs must be employed in the heat supply sector.
- The company must have permits to work in the heat supply industry.
- The company's employees have higher or secondary specialized education in the required profile for certain types of work.
- The company's employees have a higher or secondary specialized education for independent work in heat supply, and their employment in their specialty is at least 5 years.
- The company's employees improve their qualifications at least once every 5 years.
Article 29 of Federal Law-221 “On Cadastral Activities” reveals the conditions for the entry of cadastral engineers:
- presence of Russian citizenship;
- availability of higher specialized education or additional education for retraining;
- Experience working as an assistant cadastral engineer (2 years or more);
- successful passing of a specialized theoretical exam;
- no disqualifications or criminal records;
- liability Insurance;
- no other restrictions on entry (ex: upon receipt of a refusal to register cadastral records and non-payment of fees.
Functions of SRO
Rights of a self-regulatory organization in all sectors of the economy:
- Appeals actions, inactions and regulatory documents issued by federal and regional authorities, local governments, if their decisions violate the rights and legitimate interests of the SRO or its individual participants;
- Creates arbitration courts that consider disputes between members of the SRO, on the basis of regulatory legal acts on arbitration courts;
- Apply disciplinary measures to members of the organization for actions that violate regulatory documents of state and municipal authorities, rules and standards of SROs.
Responsibilities of self-regulatory organizations
- Based on the norms of current Russian legislation, develop and adopt normative documents that regulate admission to SRO membership and rules of conduct for members of the organization;
- A self-regulatory organization must ensure unhindered access to information about its activities and the functioning of its members, to the list of work permits for all members of the community;
- Organizes professional training and certification of employees of SRO members;
- Certifies products (goods, services) produced by members of a self-regulatory organization;
- Monitors the activities of all members of the SRO in terms of its compliance with the rules and standards of regulatory documents of all state and municipal bodies and the standards of the organization;
- Considers complaints about the actions of SRO members that entailed a violation of regulatory documents of the Russian Federation or the rules and standards of a self-regulatory organization.
Decisions of any self-regulatory organization or its governing body can be appealed in accordance with the norms of current legislation. This right is written in Article 11 of the Federal Law “On Self-Regulatory Organizations”.
Supervision of SRO activities
SRO organizations are strictly controlled by Rostechnadzor. This government body maintains a register of such self-regulatory organizations. Now there are already more than a thousand organizations in the register, so control over their activities is becoming stricter. The government body is authorized to conduct inspections, considers complaints about unlawful actions of employees of organizations, and studies other cases of violations by SROs. All Rostekhnadzor regulations are mandatory. If representatives of the organization ignore the instructions, this will entail an unscheduled inspection.
