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GTI Global Network > Current Issue > New Laws
New Laws
The “2013-2015 Plan of Beijing Municipality on the Total Quantity, Deployment and Development of Amusement Game Entertainment Venues”

The Plan is formulated in accordance with the spirits of such documents as “the Notice of the Ministry of Culture, Ministry of Public Security and State Administration for Industry and Commerce Concerning Further Strengthening the Administration of Amusement Game Entertainment Venues (No. 4 (2009) of the Ministry of Culture), and “the Opinions of Beijing Municipality Concerning Further Strengthening the Implementation of Amusement Game Entertainment Venue Administration Work” (No. 779 (2009) of the Beijing Municipal Bureau of Culture) for the purposes of further carrying out “the Regulations on the Administration of Entertainment Venues” and “the Measures for the Administration of Entertainment Venues” (Order No. 55 of the Ministry of Culture) of the State Council of China.

I. Guiding ideology

Carry out the scientific development concept, scientific planning, orderly access, regulated operation and steady development; strengthen market monitoring, optimize existing venues and improve the exit mechanism; provide guidance for establishment of the areas housing amusement game entertainment venues such as commercial areas, resorts and tourist areas; facilitate amusement game entertainment venues to increase the levels of operation and management, and guide amusement game entertainment venues to have a healthy development toward the directions of increasing scale, branding, and adopting complete style and distinctive features.

II. The principles of deployment planning

(I) Unify and coordinate administration.  On the basis of not being lower than the entire municipality’s minimum usable area, all districts and counties may establish their own minimum usable area standards for amusement game entertainment venues in their localities in order to increase the scale of operations and the levels of management at amusement game entertainment venues and and facilitate a healthy and orderly development of these venues.  Amusement game entertainment venues should have game facilities and equipment that are compatible with their usable areas. 
(II) Orderly and regulated development.  The work of examining and approving the establishment of new venues shall be launched in an orderly fashion based on that the existing amusement game entertainment venues conduct operations in accordance with the law, consumers are satisfied and the operating order at these venues is sound.  Insist on laying equal stress on regulation and development, approve one and then monitor one, and avoid blindly facilitating fast development.
(III) Optimize existing venues.  Expand the scope of law enforcement, introduce positive competition mechanisms to the market, and optimize the venues that have been examined and approved.  For the districts and counties that do not get newly added quotas for the period 2013- 2013, they should follow the principle of one exiting first before another one can enter when granting examination and approval.
(IV) Promote the development of chain store operations.  Center on the development of chain and brand enterprises and encourage entertainment venues to carry out chain operations and brand operations.  The chain operation model is a type of modern operating method and organizational form that carries out service standardization, professional operation and standardized management, and can achieve economies of scale.
(V) Guide toward scientific deployment.  Use those integrated cultural, sports and leisure venues like commercial areas, resorts and tourist areas as the main areas for amusement game entertainment venue development and planning.

III. Total quantity and deployment allocation

The planned total quantity for the entire municipality’s amusement game entertainment venues in the period 2013-2015 shall not exceed 907 and it is planned to be controlled at 829.  The total quantity of newly added venues should be controlled at 340; the planned total quantity of newly added venues must not exceed 418.

For the districts and counties with the planned quantity for development exceeding 10, the Municipal Bureau of Culture shall use 20% of the total quantity as the ratio to implement reservation and control so as to make unified appropriations and allocations for the establishment of jointly invested and cooperative amusement game entertainment venues and for meeting the actual needs of the entertainment market development in all districts and counties.

IV. Requirements for the establishment of amusement game entertainment venues

(I) Entertainment venues are not allowed to be established in the following locations:
Those buildings whose purposes include residence;
Museums, Libraries, and the buildings verified as cultural relics protection units;
Residential areas;
The surroundings of junior high or elementary schools stipulated in the Education Law;
The surroundings of hospitals that have acquired “the Practice License of Medical Institution” in accordance with the provisions of “the Regulations on the Administration of Medical Institutions” and the detailed implementing rules;
The surroundings of the Committees of the Communist Party of China at all levels and all of their work departments, the people’s congresses at all levels, the people’s governments at all levels and all of their work departments, the people’s political consultative conferences at all levels, the people’s courts at all levels, the procurators at all levels, and the Democratic Party organizations at all levels;
The crowds gathering places such as train stations and airports;
Under the first basement level of a building (not including first basement level);
The areas adjoining hazardous chemical warehouses.  An entertainment venue must conform to the related rules of “the Regulations on the Safety Administration of Hazardous Chemicals regarding its distance from hazardous chemical warehouses.

(II) The following requirements shall be met to establish an entertainment venue:
Have facilities and equipment that are compatible with its operating activities, and the contents of cultural products provided should conform to the rules on the production, publication and importation of cultural products;
The machine models and categories used in the venue should belong to the machine models and categories with contents examined and approved by the competent administrative department of culture;
The usable space of an amusement game entertainment venue shall not be smaller than 500 square meters and shall reach the minimum space requirement stipulated by local district or country, and the usable area does not include non-business areas such as office and warehouse;
Conform to the rules related to national public security administration, fire safety and environmental noise;
Other requirements stipulated by the laws, regulations and rules.

The method of measuring the distance between an entertainment venue and a school, hospital or organization: the measurement should be made based on the pedestrian road rules, and the walking distance between any entry/exit door of the venue and any entry/exit door of a school, hospital or organization shall not be smaller than 200 meters.

(III) For the establishment of an entertainment venue, the application should be filed to the competent administrative department of culture in local district or county; for the establishment of an entertainment venue operated by a Chinese-foreign equity joint venture or Chinese-foreign cooperative joint venture, the application should be filed to the municipal competent administrative department of culture, and the competent administrative department of culture at the municipal level may authorize the local competent administrative department of culture above the county level to conduct a field inspection.

For the establishment of an entertainment venue operated by a Chinese-foreign equity joint venture or Chinese-foreign cooperative joint venture, the requirements for establishment as well as the examination and approval standards shall be deployed, planned and administered by the administrative department of culture in local district or county.

V. The procedures for examination and approval, and application materials

The applicant may submit the letter of intent to consult to the administrative department of culture in the local district or county before submitting the application materials for establishing an entertainment venue.  The administrative department of culture should provide consulting services and administrative guidance to the parties concerned based on the letter of intent to consult.

(I) The procedures for examination and approval
1. Acceptance: if the application materials are complete and conform to legal forms, the administrative department of culture shall accept the administrative license application in accordance with the law.
2. Examination: examine the materials submitted by the applicant in accordance with the law.  Examine the machine models and categories, and the contents used by the venue, and attach labels to the qualified ones.  The application materials should conform to legal requirements and standards.  The administrative department of culture should make announcement to society about the matters related to the entertainment venue establishment, inform the applicant and interested parties of their right to request a hearing; if a hearing application is filed by the interested parties, the administrative department of culture shall conduct a hearing in accordance with the rules of “the Administrative Licensing Law of China” and “the Beijing Municipal Measures for Hearing of Administrative Licensing Matters on the Establishment of Entertainment Venues”, and the hearing should be conducted based on the principle of being convenient for the parties concerned.
3. Decision making: in the case that the applicant’s application conforms to legal requirements and standards, the administrative department of culture shall make a written decision to grant the administrative license in accordance with the law.
4. Delivery: in case the administrative department of culture makes a decision to grant the administrative license, the “entertainment operation license” should be issued and delivered to the applicant within 10 days after the day of the decision made.

The length of time for examining and approving the establishment of an amusement game entertainment venue is 20 working days.  The time needed for conducting a hearing is not included in the prescribed time limit, and the administrative department of culture should inform the applicant of the time needed through a written notice.

(II) Application materials
1. Application form.
2. The notice of the pre-approval of name, or business license.
3. Organizational structure and articles of association.
4. Identity documents of the legal representative to be appointed and the main principal, and a written statement for the conditions stipulated in Articles 4, 5 and 52 of “the Regulations on the Administration of Entertainment Venues”.  For applying for the establishment of an entertainment venue operated by a Chinese-foreign equity joint venture or Chinese-foreign cooperative joint venture, the applicant should submit a written statement concerning such personnel as offshore investors in accordance with the law; a document issued by the related organization, or the Chinese Embassy, Consulate or related representative office in the country or region the foreign investors live in that can verify the authenticity of the written statement; submit related documents in accordance with the provisions of foreign investment laws and regulations.
5. Property ownership certificate.  Those that rent operating sites shall also submit the tenancy agreement or the letter of intent to lease.
6. Geographical location map of the business site.
7. On the interior structural layout of the venue, locations of the separately operated game and amusement areas, and the quantities and locations of games and amusement machines should be marked.
8. Approval documents from fire safety and environmental protection departments.  Those that apply for the establishment of entertainment venues operated by Chinese-foreign equity joint ventures or Chinese-foreign cooperative joint ventures shall submit the approval documents from the competent departments of commerce.
9. An entertainment venue must conform to the related rules of “the Regulations on the Safety Administration of Hazardous Chemicals regarding the areas adjoining hazardous chemical warehouses and its distance from hazardous chemical warehouses.
10. Other materials that should be submitted in accordance with the law.

VI. Use and control of total quantity

The Municipal Bureau of Culture shall implement macro control based on the conditions of market development.  The district and county competent administrative departments of culture should strengthen market monitoring, fortify monitoring effectiveness, make scientific and rational deployment, and strictly control the total quantity of sites established.  In principle, the Plan of Beijing Municipality for the Total Quantity and Deployment of Amusement Game Entertainment Venues shall be revised every three years, and after the planned period ends, the unused development quotas of districts and counties shall naturally become invalid.

※The article is published in the GTI Magazine Issue No. 120 in September, 2013.

 

 
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