Current and major repairs. What does a contractor need to know? Part I

Current and major repairs. What does a contractor need to know? Part I

03/09/2019

As is known, part 1 of Article 55.8 of the Town Planning Code of the Russian Federation (hereinafter referred to as the Civil Code of the Russian Federation) directly stipulates that an individual entrepreneur or legal entity has the right to carry out construction, reconstruction, major repairs, demolition of capital construction projects under a construction contract, under a contract for the implementation of demolition agreement concluded with the developer, technical customer, person responsible for the operation of the building, structure, or regional operator, provided that such an individual entrepreneur or such legal entity is a member of a self-regulatory organization in the field of construction, reconstruction, major repairs, demolition of capital construction projects .

It follows from this norm that membership in a construction SRO is necessary only for subjects of law who, in particular, carry out capital, and not current, repairs of a capital construction project.

The legal department of the Association of SROs "Commonwealth of Builders" quite often receives requests with the question: how to distinguish a major repair from a current one?

Clause 14.2 of Article 1 of the Civil Code of the Russian Federation establishes that major repairs of capital construction projects (except for linear objects) - replacement and (or) restoration of building structures of capital construction projects or elements of such structures, with the exception of load-bearing building structures, replacement and (or) restoration of systems engineering and technical support and networks of engineering and technical support for capital construction projects or their elements, as well as the replacement of individual elements of load-bearing building structures with similar or other elements that improve the performance of such structures and (or) restoration of these elements. As indicated by the “Methodological recommendations for organizing prosecutorial supervision over the implementation of legislation during the resettlement of citizens from emergency housing stock and major repairs of common property in apartment buildings” (approved by the Prosecutor General’s Office of Russia on January 21, 2019 No. 71-16-2019), the characteristic features of major and current repairs are defined in paragraph 14.2 of Article 1, Article 55.24 of the Civil Code of the Russian Federation.

The main distinguishing feature of a major overhaul from a current one is the purpose of its implementation. If current repairs are intended to maintain the parameters of stability and reliability of buildings, then major repairs are aimed at restoring, replacing worn-out structures (including load-bearing ones) or changing the parameters of the building.

In addition, to carry out major repairs, the design documentation provided for in Part 2 of Article 48 of the Civil Code of the Russian Federation is required. When carrying out routine repairs, such documentation is not prepared. By letter dated 07/03/2017 No. 29521-OG/04 “On the issue of distinguishing the concepts of “major repairs” and “current repairs”, the Ministry of Construction of Russia considers it appropriate to be guided by part 14.2 of article 1 of the Civil Code of the Russian Federation and paragraph 2.2 of the Methodological Manual on the content when distinguishing between the concepts of capital and current repairs and repair of the housing stock MDK 2-04.2004, according to which current repairs of the common property of a residential building are repairs carried out in a planned manner in order to restore the serviceability or operability of a residential building, partially restore its resource with the replacement or restoration of its components of a limited range established by regulatory and technical documentation.

A more recent legal position of the Ministry of Construction of Russia (letter dated February 27, 2018 No. 7026-AS/08) is that current repairs include the elimination of minor faults identified during the daily operation of a fixed asset, in which the object is practically not out of service, and its technical characteristics do not change, work on systematic and timely protection of fixed assets from premature wear by carrying out preventive measures; capital repairs include the restoration of the lost original technical characteristics of the object as a whole, while the main technical and economic indicators remain unchanged.

In addition to the above, we consider adding the opinion of the legal department of the Association of SROs “Commonwealth of Builders”, which is that the difference between current repairs and major repairs lies in the type and nature of the work performed. As an example, let us turn to regulations adopted quite a long time ago, but currently in force, which provide a fairly clear distinction between these concepts, for example, to the Decree of the USSR State Construction Committee of December 29, 1973 No. 279 “On approval of the Regulations on carrying out planned preventive maintenance” repair of industrial buildings and structures" (MDS 13-14.2000), Appendix 8 of which establishes a list of work on major repairs of buildings and structures, dividing them according to these criteria.

To save the reader’s time searching for the specified legal acts, we will quote the named works on the basis of “building”, as most often mentioned in questions from builders: I. Foundations

1. Changing wooden chairs or replacing them with stone or concrete pillars.
2. Partial relocation (up to 10%), as well as strengthening of stone foundations and basement walls, not associated with the superstructure of the building or additional loads from newly installed equipment. 3. Restoration of vertical and horizontal insulation of foundations. 4. Restoration of the existing blind area around the building (more than 20% of the total area of ​​the blind area). 5. Repair of existing drains around the building. 6. Replacement of single collapsing stone and concrete pillars. II.
Walls and columns 1. Seal cracks in brick or stone walls, clearing grooves, and bandaging seams with old masonry.
2. Construction and repair of structures that strengthen stone walls. 3. Relaying of dilapidated brick cornices, lintels of pit parapets and protruding parts of walls. 4. Relaying and repair of individual dilapidated sections of stone walls up to 20% of the total volume of masonry, not associated with the superstructure of the building or additional loads from newly installed equipment. 5. Strengthening reinforced concrete and stone columns with clips. 6. Repair and partial replacement (up to 20% of the total volume) of columns, not associated with additional loads from newly installed equipment. 7. Change of fillers in walls with stone, reinforced concrete and metal frames (up to 40%). 8. Replacement of dilapidated crowns of log or cobblestone walls (up to 20% of the total surface of the walls). 9. Continuous caulking of log or cobblestone walls. 10. Partial replacement of sheathing, backfill and slab insulation of frame walls (up to 50% of the total wall area). 11. Replacement or repair of cladding and insulation of wooden plinths. 12. Repair of stone plinths of wooden walls with their relocation up to 50% of the total volume. 13. Re-installation and replacement of worn-out clamps of log and cobblestone walls. III.
Partitions 1. Repair, change and replacement of worn partitions with more advanced designs of all types of partitions.
2. When carrying out major repairs of partitions, partial redevelopment is allowed with an increase in the total area of ​​the partitions by no more than 20%. IV.
Roofs and coverings 1. Replacement of dilapidated wooden covering trusses or replacing them with prefabricated reinforced concrete ones.
2. Complete or partial replacement of dilapidated metal and reinforced concrete trusses, as well as replacement of metal trusses with prefabricated reinforced concrete trusses. 3. Strengthening trusses when changing types of covering (replacing wood slabs with precast reinforced concrete, cold coverings with warm ones, etc.), when suspending lifting devices, as well as in case of corrosion of components and other elements of metal and prefabricated reinforced concrete trusses. 4. Partial or complete replacement of rafters, mauerlats and sheathing. 5. Repair of load-bearing structures of skylights. 6. Repair of devices for opening the covers of skylights. 7. Partial or complete replacement of dilapidated coating elements, as well as their replacement with more progressive and durable ones. 8. Partial (over 10% of the total roof area) or complete replacement or replacement of all types of roofing. 9. Reconstruction of roofs due to replacement of roofing material. 10. Partial or complete replacement of wall gutters, slopes and coverings of chimneys and other protruding devices above the roof. V. Interfloor ceilings and floors
1. Repair or replacement of interfloor ceilings.
2. Replacement of individual structures or floors as a whole with more advanced and durable structures. 3. Strengthening all types of interfloor and attic floors. 4. Partial (more than 10% of the total floor area in the building) or complete replacement of all types of floors and their bases. 5. Reconstruction of floors during repairs with replacement with stronger and more durable materials. In this case, the type of floors must comply with the requirements of the standards and technical conditions for new construction. VI.
Windows, doors and gates 1. Complete replacement of dilapidated window and door units, as well as gates of production buildings.
VII.
Stairs and porches 1. Partial or complete replacement of staircases, ramps and porches.
2. Change and strengthening of all types of stairs and their individual elements. VIII.
Internal plastering, tiling and painting works 1. Resumption of plastering of all premises and repair of plaster in an amount of more than 10% of the total plastered surface.
2. Change of wall cladding in an amount of more than 10% of the total area of ​​veneered surfaces. 3. Continuous anti-corrosion painting of metal structures. IX.
Facades 1. Repair and renewal of cladding of an area of ​​more than 10% of the lined surface.
2. Complete or partial (more than 10%) restoration of plaster. 3. Complete restoration of rods, cornices, belts, sandriks, etc. 4. Renewal of molded parts. 5. Continuous painting with stable compounds. 6. Cleaning the facade with sandblasting machines. 7. Change of balcony slabs and fences. 8. Change of coverings of protruding parts of the building. X. Furnaces
1. Complete refurbishment of all types of heating furnaces, chimneys and their bases.
2. Re-equipment of furnaces to burn coal and gas. 3. Complete refurbishment of kitchen stoves. XI.
Central heating 1. Replacement of individual sections and units of heating boilers, boiler units, or complete replacement of boiler units (if the boiler unit is not an independent inventory item).
2. Repair and replacement of expanders, condensation traps and other network equipment. 3. Repair and re-laying of foundations for boilers. 4. Automation of boiler rooms. 5. Transfer from stove heating to central heating. 6. Changing heating registers. 7. Connection of buildings to heating networks (at a distance from the building to the network of no more than 100 m). XII.
Ventilation 1. Partial or complete replacement of air ducts.
2. Changing fans. 3. Rewinding or changing electric motors. 4. Change of dampers, deflectors, throttle valves, blinds. 5. Partial or complete replacement of ventilation ducts. 6. Change of air heaters. 7. Change of heating units. 8. Changing filters. 9. Change of cyclones. 10. Change of individual chamber designs. XIII.
Water supply and sewerage 1. Partial or complete replacement of the pipeline inside the building, including water supply inlets and sewerage outlets.
XIV.
Hot water supply 1. Change of coils and boilers.
2. Change of pipeline, parts and, in general, pumping units, tanks and pipeline insulation. XV.
Electrical lighting and communications 1. Replacement of worn-out sections of the network (more than 10%). 2. Change of safety shields. 3. Repair or restoration of cable channels. 4. When overhauling the network, it is allowed to replace lamps with other types (conventional ones with fluorescent ones).

You can find the list of works for the second sign of “structure” by referring directly to the text of the document.

In the next part of the series of articles, it is planned to talk about the lists of main works carried out during major repairs for social and cultural facilities and residential premises.

And according to established tradition, at the end of each article we remind you that the specialists of the legal department of the Association of SROs “Commonwealth of Builders” are always ready to provide free advice on legal issues that arise not only in the construction sector, but also in other areas. Let us repeat that we are interested in this, first of all, solely for the purpose of professional self-improvement and accumulation of experience, for you - perhaps the legal solution we have found will be the most optimal in solving your problem.

Our website on the Internet: www.sodstr.ru.

Documents Statistics on documents and execution of orders

RUSSIAN FEDERATION

THE FEDERAL LAW

On introducing amendments to the Housing Code of the Russian Federation and certain legislative acts of the Russian Federation and invalidating certain provisions of legislative acts of the Russian Federation

Adopted by the State Duma on December 14, 2012
Approved by the Federation Council on December 19, 2012

(As amended by Federal Law No. 176-FZ dated June 29, 2015)

Article 1

Introduce into the Housing Code of the Russian Federation (Collected Legislation of the Russian Federation, 2005, No. 1, Art. 14; 2006, No. 1, Art. 10; No. 52, Art. 5498; 2007, No. 1, Art. 13, 14, 21; No. 43, Art. 5084; 2008, No. 17, Art. 1756; No. 20, Art. 2251; No. 30, Art. 3616; 2009, No. 23, Art. 2776; No. 39, Art. 4542; No. 48, Art. 5711; No. 51, Article 6153; 2010, No. 19, Article 2278; No. 31, Article 4206; No. 49, Article 6424; 2011, No. 23, Article 3263; No. 30, Article 4590; No. 49, Art. 7027, 7061; No. 50, Art. 7337, 7343, 7359; 2012, No. 10, Art. 1163; No. 14, Art. 1552; No. 24, Art. 3072; No. 26, Art. 3446; No. 27, Article 3587; No. 31, Article 4322) the following changes:

1) Article 2 shall be supplemented with paragraph 61 as follows:

“61) organize the provision of timely major repairs of common property in apartment buildings at the expense of contributions from the owners of premises in such buildings for major repairs of common property in apartment buildings, budget funds and other sources of financing not prohibited by law;”;

2) in part 1 of article 4:

a) paragraph 11 should be supplemented with the words “including payment of a contribution for major repairs of common property in an apartment building (hereinafter also referred to as the contribution for major repairs)”;

b) add paragraph 111 with the following content:

“111) the formation and use of a capital repair fund for common property in an apartment building (hereinafter referred to as the capital repair fund);”;

3) in article 12:

a) add paragraph 101 with the following content:

“101) determining the procedure for establishing the need for major repairs of common property in an apartment building;”;

b) add paragraph 164 with the following content:

“164) monitoring the use of housing stock and ensuring its safety;”;

c) add paragraph 165 with the following content:

“165) methodological support for the activities of regional operators (including the development of methodological recommendations for the creation of regional operators and ensuring their activities, recommended reporting forms and the procedure for its submission);";

d) add paragraph 166 with the following content:

“166) monitoring the choice and implementation by owners of premises in an apartment building of a method for forming a capital repair fund;”;

4) Article 13 shall be supplemented with paragraph 82 as follows:

“82) establishing the minimum amount of contribution for major repairs;”;

5) Article 19 is supplemented with part 6 as follows:

"6. Monitoring the use of the housing stock and ensuring its safety is carried out by the federal executive body authorized by the Government of the Russian Federation in the manner established by the Government of the Russian Federation.”;

6) in article 20:

a) part 1, after the words “use and maintenance of common property of owners of premises in apartment buildings,” add the words “formation of capital repair funds,” after the words “provision of utility services to owners and users of premises in apartment buildings and residential buildings,” add the words “, specialized non-profit organizations that carry out activities aimed at ensuring the overhaul of common property in apartment buildings (hereinafter referred to as the regional operator)";

b) part 3, after the words “inspections of legal entities”, be supplemented with the words “(except for regional operators)”, supplemented with the following sentence: “Relations related to the implementation of state housing supervision in relation to the activities of regional operators, the organization and conduct of their inspections, apply provisions of the said Federal Law, taking into account the features provided for in Part 43 of this article.”;

c) add part 43 with the following content:

"43. Inspections of the activities of regional operators are carried out at any frequency and without the formation of an annual plan for conducting scheduled inspections. There is no time limit for inspections. Unscheduled inspections of regional operators are carried out without coordination with the prosecutor’s office and without prior notification of regional operators about the conduct of such inspections.”;

7) add Article 361 with the following content:

“Article 361. General funds held in a special account

1. The owners of premises in an apartment building have the rights to funds located in a special account intended for transferring funds for major repairs of common property in an apartment building and opened with a credit organization (hereinafter referred to as the special account), and formed from contributions to capital repairs, interest paid in connection with improper fulfillment of the obligation to pay such contributions, and interest accrued by the credit institution for the use of funds in a special account.

2. The share of the owner of a premises in an apartment building in the right to funds located in a special account is proportional to the total amount of contributions for major repairs paid by the owner of such premises and the previous owner of such premises.

3. The right of the owner of a premises in an apartment building to a share of the funds in a special account follows the fate of the ownership of such premises.

4. When transferring ownership of premises in an apartment building, the share of the new owner of such premises in the right to funds located in a special account is equal to the share in the right to these funds of the previous owner of such premises.

5. The owner of premises in an apartment building does not have the right to demand the allocation of his share of funds in a special account.

6. When acquiring ownership of a premises in an apartment building, the acquirer of such premises receives a share in the right to the funds in a special account.

7. The terms of the agreement, according to which the transfer of ownership of premises in an apartment building is not accompanied by the transfer of a share in the right to funds held in a special account, are void.”;

in part 2 of article 44:

a) paragraph 1 should be supplemented with the words “on the use of the capital repair fund”;

b) add paragraph 11 with the following content:

“11) making decisions on the choice of the method of forming the capital repair fund, the amount of the contribution for capital repairs in terms of its size exceeding the established minimum amount of the contribution for capital repairs, the minimum amount of the capital repair fund in terms of its size exceeding the established minimum size of the capital repair fund ( in the event that the law of a constituent entity of the Russian Federation establishes a minimum size of the capital repair fund), choosing a person authorized to open a special account and carry out transactions with funds located in the special account;”;

c) add paragraph 12 with the following content:

“12) making decisions on the receipt by a homeowners’ association or a housing construction cooperative, a housing cooperative or another specialized consumer cooperative, a management organization and, in the direct management of an apartment building, by the owners of premises in this building by a person authorized by a decision of the general meeting of such owners, a loan or loan for capital repairs of common property in an apartment building, on determining the essential terms of a credit agreement or loan agreement, on the receipt by these persons of a guarantee, guarantee for this loan or loan and on the conditions for obtaining the specified guarantee, guarantee, as well as on repayment from the capital repair fund of the loan or a loan used to pay for the costs of major repairs of common property in an apartment building, and the payment of interest for the use of this loan or loan, payment from the capital repair fund of the costs of obtaining the specified guarantees and sureties;”;

9) paragraph 5 of part 2 of Article 153 shall be supplemented with the words “taking into account the rule established by part 3 of Article 169 of this Code”;

10) Part 2 of Article 154 should be stated as follows:

"2. Payment for residential premises and utilities for the owner of premises in an apartment building includes:

1) fees for the maintenance and repair of residential premises, including fees for services and work related to the management of an apartment building, maintenance, and routine repairs of common property in an apartment building;

2) contribution for major repairs;

3) fees for utilities, current and capital” shall be replaced with the words “and current”, supplemented with the words “including payment of contributions for capital repairs in accordance with Article 171 of this Code”;

b) part 6 should be supplemented with the words “including paying contributions for major repairs in accordance with Article 171 of this Code”;

c) in part 7, the words “cases provided for in part 71 of this article” should be replaced with the words “cases provided for in part 71 of this article and article 171 of this Code”;

d) part 14 after the word “(debtors)” should be supplemented with the words “(except for contributions for capital repairs)”;

e) add part 141 with the following content:

"141. Owners of premises in an apartment building who have lately and (or) not fully paid contributions for capital repairs are required to pay interest to the capital repair fund in the amount established in the manner prescribed by Part 14 of this article. Payment of the specified interest is carried out in the manner established for the payment of contributions for major repairs.”;

12) Article 156:

a) add part 81 with the following content:

"81. The minimum amount of the contribution for major repairs is established by a regulatory legal act of a constituent entity of the Russian Federation in accordance with methodological recommendations approved by the federal executive body authorized by the Government of the Russian Federation, in the manner established by the law of the constituent entity of the Russian Federation, based on the occupied total area of ​​the premises in an apartment building owned by the owner such premises, and can be differentiated depending on the municipality in which the apartment building is located, taking into account its type and number of storeys, the cost of major repairs of individual elements of building structures and engineering systems of the apartment building, the standard periods for their effective operation before the next major repair (standard periods between repairs), as well as taking into account the list of works for major repairs of common property in an apartment building established by this Code and the regulatory legal act of the constituent entity of the Russian Federation.”;

b) add part 82 with the following content:

"82. Owners of premises in an apartment building may decide to establish a contribution for major repairs in an amount exceeding the minimum amount of such contribution established by a regulatory legal act of a constituent entity of the Russian Federation.”;

13) in article 158:

a) Part 1 should be supplemented with the words “and contributions for capital repairs”;

b) part 2 should be stated as follows:

"2. Expenses for major repairs of common property in an apartment building are financed from the capital repair fund and other sources not prohibited by law.”;

c) part 3 should be supplemented with the words “including the obligation not fulfilled by the previous owner to pay contributions for major repairs”;

14) in article 159:

a) in part 6, the second sentence should be stated as follows: “The amount of the regional standard for the cost of housing and communal services is established for the persons specified in paragraphs 1 - 3 of part 2 of this article, based on the amount of payment for the use of residential premises (rental fee) for tenants under social tenancy agreements living in residential premises located in apartment buildings, the level of improvement, design and technical parameters of which correspond to the average conditions in the municipality, the amount of payment used to calculate the fee for the maintenance and repair of residential premises for these tenants, prices, tariffs and standards for the consumption of utility services used to calculate utility fees for these tenants.", supplemented with the following sentence: "The size of the regional standard for the cost of housing and communal services is established for owners of residential premises based on the amount of the fee used to calculate maintenance fees and repair of residential premises for the specified tenants, the minimum amount of contribution for capital repairs (when paying in accordance with this Code of contributions for capital repairs), prices, tariffs for resources necessary for the provision of utilities, and utility consumption standards used to calculate fees for utilities for the specified tenants.”;

b) part 11, after the words “cost of housing and communal services”, add the words “including the cost of housing and communal services for owners of residential premises who, in accordance with this Code, pay contributions for major repairs,”;

15) add Section IX with the following content:

“CHAPTER IX ORGANIZATION OF CAPITAL REPAIRS OF COMMON PROPERTY IN MULTIPLE APARTMENT BUILDINGS

Chapter 15. General provisions on major repairs of common property in apartment buildings and the procedure for its financing

Article 166. Major repairs of common property in an apartment building

1. List of services and (or) work on major repairs of common property in an apartment building, the provision and (or) implementation of which is financed from the capital repair fund, formed on the basis of the minimum amount of contribution for major repairs established by the regulatory legal act of the constituent entity of the Russian Federation , includes:

1) repair of in-house engineering systems of electrical, heat, gas, water supply, and wastewater disposal;

2) repair or replacement of elevator equipment declared unsuitable for operation, repair of elevator shafts;

3) roof repair, including the conversion of a non-ventilated roof to a ventilated roof, installation of exits to the roof;

4) repair of basements belonging to common property in an apartment building;

5) insulation and repair of the facade;

6) installation of collective (common house) meters for the consumption of resources necessary for the provision of public services, and units for managing and regulating the consumption of these resources (heat energy, hot and cold water, electric energy, gas);

7) repair of the foundation of an apartment building.

2. A regulatory legal act of a constituent entity of the Russian Federation provides a list of services and (or) work on major repairs of common property in an apartment building, financed from the capital repair fund, the amount of which is based on the minimum amount of contribution for major repairs established by a regulatory legal act of a constituent entity of the Russian Federation Federation, may be supplemented with other types of services and (or) works.

3. If the owners of premises in an apartment building decide to establish a contribution for capital repairs in an amount exceeding the minimum contribution for capital repairs, part of the capital repair fund formed from this excess, by decision of the general meeting of owners of premises in an apartment building, can be used to finance any services and (or) work on major repairs of common property in an apartment building.

4. The list of services and (or) works for major repairs of common property in an apartment building, which can be financed from state support provided by a constituent entity of the Russian Federation, is determined by a regulatory legal act of a constituent entity of the Russian Federation.

Article 167. Ensuring timely capital repairs of common property in apartment buildings

State authorities of a constituent entity of the Russian Federation adopt normative legal acts that are aimed at ensuring the timely implementation of major repairs of common property in apartment buildings located on the territory of a constituent entity of the Russian Federation, and by which:

1) the minimum amount of contribution for major repairs of common property in an apartment building is established;

2) the procedure for monitoring the technical condition of apartment buildings is established;

3) a regional operator is created, the issue of forming its property is resolved, the constituent documents of the regional operator are approved, the procedure for the activities of the regional operator is established;

4) the procedure and conditions for providing state support for major repairs of common property in apartment buildings are approved, including for the provision of guarantees, guarantees for loans or borrowings, if the appropriate funds for the implementation of this support are provided for by the law of the subject of the Russian Federation on the budget of the subject Russian Federation;

5) establishes the procedure for the preparation and approval of regional programs for the capital repair of common property in apartment buildings, as well as the requirements for these programs;

6) establishes the procedure for the provision by the person in whose name a special account is opened (hereinafter referred to as the owner of the special account) and the regional operator of information to be provided in accordance with Part 7 of Article 177 and Article 183 of this Code, a list of other information to be provided by these persons, and the procedure for providing such information;

7) establishes the procedure for the payment by the owner of a special account and (or) the regional operator of funds from the capital repair fund to the owners of premises in an apartment building, as well as the procedure for using funds from the capital repair fund for the purpose of demolition or reconstruction of an apartment building in cases provided for by this Code;

a procedure is established for monitoring the targeted expenditure of funds generated from contributions for major repairs and ensuring the safety of these funds.

Article 168. Regional program for capital repairs of common property in apartment buildings

1. The highest executive bodies of state power of the constituent entities of the Russian Federation approve regional programs for the overhaul of common property in apartment buildings for the purpose of planning and organizing the overhaul of common property in apartment buildings, planning for the provision of state support, municipal support for the overhaul of common property in apartment buildings at the expense of funds from the budgets of the constituent entities of the Russian Federation, local budgets (hereinafter referred to as state support, municipal support for capital repairs).

2. The regional program for major repairs of common property in apartment buildings (hereinafter referred to as the regional capital repair program) is formed for the period necessary to carry out major repairs of common property in all apartment buildings located on the territory of a constituent entity of the Russian Federation, and includes:

1) a list of all apartment buildings located on the territory of the sub-city