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SPECIAL ACT ON THE CONSTRUCTION AND OPERATION OF BUS RAPID TRANSIT SYSTEM

Act No. 12734, jun. 3, 2014

Amended by Act No. 13668, Dec. 29, 2015

Act No. 13797, Jan. 19, 2016

CHAPTER I GENERAL PROVISIONS
 Article 1 (Purpose)
The purpose of this Act is to provide for matters concerning the construction and operation of bus rapid transit systems to solve traffic problems of metropolitan areas, and thereby to contribute to the improvement of public welfare by facilitating the use thereof and promoting the comprehensive development of related industries.
 Article 2 (Definitions)
Definitions of terms used in this Act shall be as follows:
1. The term "bus rapid transit system" means the bus rapid transit system defined in subparagraph 5 of Article 2 of the Act on the Support and Promotion of Utilization of Mass Transit System constructed and operated in metropolitan areas, which is operated with system facilities prescribed by Presidential Decree, such as exclusive motor vehicle lanes, intersections and bus stops for the bus rapid transit system, and exclusive motor vehicles;
2. The term "metropolitan area" means a metropolitan area defined in subparagraph 1 of Article 2 of the Special Act on the Management of Intercity Transport in Metropolitan Areas;
3. The term "system facilities" means any of the following facilities and land necessary for the operation of a bus rapid transit system:
(a) Exclusive driving lanes: Exclusive roads, exclusive motor vehicle lanes and appurtenant facilities for use only by exclusive motor vehicles;
(b) Intersections of a bus rapid transit system: Intersections and appurtenance facilities that support preferential use by motor vehicles using bus rapid transit system through such three-dimensional facilities as an overpass or underground passage, signal equipment, control facilities, etc.;
(c) Transit facilities: Transit facilities defined in subparagraph 3 of Article 2 of the Urban Traffic Improvement Promotion Act, which enable the passengers of exclusive motor vehicles to transfer to other means of transport;
(d) Other facilities prescribed by Presidential Decree as those for the construction, maintenance, repair and operation of a bus rapid transit system;
4. The term "exclusive motor vehicle" means a motor vehicle prescribed by Presidential Decree, which has the right to travel along exclusive driving lanes;
5. The term "system construction project" means any of the following projects for the construction of a bus rapid transit system:
(a) Construction or improvement of system facilities;
(b) Development of convenience facilities, such as housing facilities for persons whose residence has been lost;
(c) Construction of substitute public facilities, etc. to be installed under Article 13 (1);
6. The term "metropolitan bus rapid transit system" means a bus rapid transit system that passes through two or more of the Special Metropolitan City, Metropolitan Cities, Special Self-Governing City, or Dos (hereinafter referred to as "Cities/Dos").
 Article 3 (Relationship to other Acts)
Except as otherwise expressly provided for in any other Act, matters concerning the construction and operation of a bus rapid transit system shall be governed by this Act.
 Article 4 (Formulation, etc. of Bus Rapid Transit Systems)
(1) In order to construct efficient bus rapid transit systems, the Minister of Land, Infrastructure and Transport shall formulate a comprehensive plan for efficient bus rapid transit systems on a ten-year basis (hereinafter referred to as "comprehensive plan").
(2) A comprehensive plan shall include the following matters:
1. Mid- and long-term plans for construction of bus rapid transit systems;
2. Plans for construction of transport systems connected to other means of transport;
3. Plans for increasing operation efficiency;
4. Plans for raising required funds;
5. Matters concerning the assignment of roles, such as sharing of financial resources, principal agents to implement and operate system construction projects;
6. Plans to construct and operate environment-friendly bus rapid transit systems;
7. Other matters deemed necessary to construct systematic bus rapid transit systems.
(3) A comprehensive plan shall be formulated in such a way that it can harmonize with the following plans:
1. The plan for national core transport network under Article 4 of the National Transport System Efficiency Act;
2. The mid-term plan for investment in transport facilities under Article 6 of the National Transport System Efficiency Act;
3. The master plan for intercity transport in metropolitan areas under Article 3 of the Special Act on the Management of Intercity Transport in Metropolitan Areas;
4. The implementation plan for intercity transport in metropolitan areas under Article 3-2 of the Special Act on the Management of Intercity Transport in Metropolitan Areas;
5. The plan to construct and manage roads under Article 6 of the Road Act;
6. The plan to construct urban railroad networks under Article 5 of the Urban Railroad Act, and the master plan for urban railroads by route under Article 6 of the same Act;
7. The construction plan for national railroad networks under Article 4 of the Railroad Construction Act.
(4) Where the Minister of Land, Infrastructure and Transport intends to formulate or modify a comprehensive plan, he/she shall consult with the head of a related central administrative agency, the Special Metropolitan City Mayor, a Metropolitan City Mayor, the Special Self-Governing City Mayor, or a Do Governor (hereinafter referred to as "Mayor/Do Governor"), and thereafter refer the matter to the National Transport Commission established under Article 106 of the National Transport System Efficiency Act (hereinafter referred to as the "National Transport Commission") for deliberation: Provided, That this shall not apply to modification of any insignificant matters prescribed by Presidential Decree.
(5) The Minister of Land, Infrastructure and Transport shall examine the appropriateness of a comprehensive plan every five years from the date of its formulation, and shall take measures for modification, if necessary.
(6) Where the Minister of Land, Infrastructure and Transport formulates or modifies a comprehensive plan, he/she shall publicly notify it as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
CHAPTER II CONSTRUCTION AND OPERATION OF BUS RAPID TRANSIT SYSTEMS
 Article 5 (Formulation of Plan for Developing Bus Rapid Transit Systems)
(1) A Mayor/Do Governor who intends to construct a bus rapid transit system in his/her jurisdictional district shall formulate a development plan by each system construction project (hereinafter referred to as "development plan"): Provided, That this shall not apply to cases prescribed by Presidential Decree.
(2) A development plan shall include the following matters:
1. Survey on current conditions of the city and traffic;
2. Prediction of traffic demand for using the bus rapid transit system;
3. Economic feasibility and justifiability of the bus rapid transit system, and assessment of other related matters;
4. Matters concerning connected traffic system;
5. A plan for the name and total length of the route, starting point, destination, bus stops, garages, intersections of the bus rapid transit system, etc.;
6. Details of the system construction project, project period, and project implementer;
7. Costs of the system construction project and fund-raising plans;
8. An annual project implementation plan;
9. A plan for conservation and management of environment;
10. A plan for management and maintenance of the system facilities;
11. Other matters prescribed by Presidential Decree.
(3) Where a Mayor/Do Governor intends to formulate or modify a development plan, he/she shall hear the opinions of the head of the relevant Si/Gun/Gu in advance, and consult with the heads of related central administrative agencies and related Mayors/Do Governors: Provided, That this shall not apply to modification of any insignificant matters prescribed by Presidential Decree.
(4) A Mayor/Do Governor who has formulated a development plan shall publicly notify it as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport: Provided, that it shall be publicly notified by the Minister of Land, Infrastructure and Transport, where the Minister of Land, Infrastructure and Transport has approved a development plan pursuant to paragraph (5) or has directly formulated it pursuant to paragraph (6).
(5) Notwithstanding paragraph (1), in cases of a metropolitan bus rapid transit system prescribed by Presidential Decree, the relevant Mayor and Do Governor shall jointly establish a development plan, and obtain approval from the Minister of Land, Infrastructure and Transport following deliberation by the National Transport Commission.
(6) Notwithstanding paragraph (1), the Minister of Land, Infrastructure and Transport may directly formulate a development plan, if necessary. In such cases, paragraph (3) shall apply mutatis mutandis.
(7) Any person falling under any subparagraph of Article 6, other than a Mayor/Do Governor, (hereinafter referred to as "project implementer") may request a Mayor/Do Governor to formulate a development plan, appending data set forth in subparagraphs of paragraph (2).
 Article 6 (Implementers of System Construction Projects)
A system construction project shall be implemented by any of the following entities:
1. The State or a local government;
2. A public institution under Article 4 of the Act on the Management of Public Institutions or a government-invested institution;
3. A local government-invested public corporation under the Local Public Enterprises Act;
4. A local government association under Article 159 of the Local Autonomy Act;
5. Any one equivalent to subparagraph 1 through 4 as prescribed by Presidential Decree.
 Article 7 (Approval of Implementation Plans)
(1) A project implementer that intends to implement a system construction project in accordance with a development plan, shall prepare an implementation plan for the system construction project, including the details, sections, and period of the relevant project, and other matters prescribed by Presidential Decree, (hereinafter referred to as "implementation plan") and obtain approval thereof from the competent Mayor/Do Governor: Provided, That, where it intends to implement a system construction project in accordance with a development plan formulated or approved by the Minister of Land, Infrastructure and Transport, it shall obtain approval from the Minister of Land, Infrastructure and Transport.
(2) Where necessary for efficient implementation of a system construction project, a project implementer may prepare implementation plans by section or by facility.
(3) The Minister of Land, Infrastructure and Transport or a Mayor/Do Governor who intends to approve an implementation plan under paragraph (1) (hereinafter referred to as "person authorized to approve implementation plans") shall consult with Mayors/Do Governors having jurisdiction over the administrative districts through which route of the relevant bus rapid transit system passes, and hear opinions of the residents, related experts, etc. by publicly announcing the draft implementation plan, as prescribed by Presidential Decree.
(4) A person authorized to approve implementation plans shall consult in advance with the head of the relevant local government or the managing agency of the relevant public facilities, where an implementation plan that he/she intends to approve contains any matter related to the devolvement, transfer, or concession of public facilities, etc. referred to in Article 13 (3).
(5) Where a person authorized to approve implementation plans intends to approve an implementation plan which requires the expropriation or use of land, etc. under Article 10 (1), he/she shall notify his/her intention in advance to the owners of the relevant land, etc. and interested persons, as prescribed by Presidential Decree: Provided, That this shall not apply to cases prescribed by Presidential Decree, such as the case where the owners of the land, etc. and interested parties have concluded a consultation thereabout as at the time the project implementer applies for approval of the implementation plan.
(6) A person authorized to approve implementation plans who has approved an implementation plan pursuant to paragraph (1), shall publicly notify such fact as prescribed by Presidential Decree and send the related documents to the related Mayor/Do Governor and the head of the related Si/Gun/Gu.
(7) The head of a local government in receipt of related documents under paragraph (6) shall, where any matter to be determined by an urban or Gun management plan under the National Land Planning and Utilization Act is included in the related documents, take necessary measures in accordance with Article 32 of the same Act, such as approval and public announcement of topographic maps. In such cases the project implementer shall submit documents necessary for the public announcement, etc. of topographic maps to the head of the local government.
(8) A project implementer that intends to modify any matter prescribed by Presidential Decree among matters specified in an implementation plan which was approved under paragraph (1), shall obtain approval from the person authorized to approve implementation plans. In such cases paragraphs (3) through (7) shall apply mutatis mutandis.
(9) Where a project implementer fails to commence the project in accordance with its implementation plan within three years from the date public notification was made pursuant to paragraph (6), the approval of the relevant implementation shall lose its effect.
 Article 8 (Access, etc. to Land)
Where necessary to prepare an implementation plan or to implement a system construction project, a project implementer may perform the following activities. In such cases, Articles 130 (2) through (9) and 131 of the National Land Planning and Utilization Act shall apply mutatis mutandis:
1. Access to any third person's land;
2. Use of any third person's land as a material storage yard or temporary passage;
3. Alteration or removal of standing trees, earth, stones, or other obstacles.
 Article 9 (Legal Fiction as Authorization, Permission, etc. under other Acts)
(1) Where a person authorized to approve implementation plans approves an implementation plan pursuant to Article 7 (1), it shall be deemed that the following consultation, approval, permission, authorization, consent, cancellation, determination, report, designation, license, deliberation, disposition, etc. (hereinafter referred to as “authorization, permission, etc.”) are made or obtained; and where any public notification of approval of an implementation plan is made pursuant to paragraph (6) of the same Article, it shall be deemed that public notification or public announcement of authorization, permission, etc. is made under related Acts: <Amended by Act No. 13797, Jan. 19, 2016>
1. Deliberation by a deliberation committee on construction technology prescribed in Article 5 of the Construction Technology Promotion Act;
2. Deliberation by a building committee under Article 4 of the Building Act, building permit under Article 11 of the same Act, building report under Article 14 of the same Act, permission for temporary structures under Article 20 of the same Act, and consultation about construction of a building for public use under Article 29 of the same Act;
3. Determination of an urban or Gun management plan under Article 30 of the National Land Planning and Utilization Act (limited to infrastructure defined in subparagraph 6 of Article 2 of the same Act), permission for development activities under Article 56 of the same Act, determination of an implementer of an urban or Gun planning facility project under Article 86 of the same Act, and formulation, authorization of an implementation plan under Article 88 of the same Act;
4. Permission to divert farmland or consultation under Article 34 of the Farmland Act;
5. Consultation with or approval by a road management agency under Article 17 of the Road Act (limited to consultation and approval related to the assignment and public announcement of routes of roads under Article 19 of the same Act, determination of road zones under Article 25 of the same Act, permission to implement road works by persons other than road management agencies under Article 36 of the same Act, and permission to occupy and use roads under Article 61 of the same Act);
7. Permission to build private roads under Article 4 of the Private Road Act;
8. Permission for felling, etc. trees or bamboo in land for erosion control under Article 14 of the Erosion Control Work Act, and cancellation of designation of land for erosion control under Article 20 of the same Act;
9. Permission for conversion of mountainous districts under Article 14 of the Mountainous Districts Management Act, report on conversion of mountainous districts under Article 15 of the same Act, permission for and reporting on temporary use of mountainous districts under Article 15-2 of the same Act, permission for and reporting on felling standing timer, etc. under Article 36 (1) or (4) of the Creation and Management of Forest Resources Act, permission for and report on activities prescribed in Article 9 (1) or (2) 1 or 2 of the Forest Protection Act in a forest conservation zone (excluding forest genetic resources protection zones), and cancellation of designation of forest conservation zones under Article 11 (1) 1 of the same Act;
11. Consultation with a park management agency under Article 71 (1) of the Natural Parks Act (limited to consultation concerning permission of acts in a park area under Article 23 of the same Act);
12. Permission for reburial of unclaimed graves under Article 27 (1) of the Act on Funeral Services, Etc.;
13. Permission for acts set forth in subparagraphs of Article 21-2 of the Grassland Act, including permission for altering the form and quality of land under the same Article, and permission for, report on, or consultation about conversion of the use of grassland under Article 23 of the same Act;
14. Permission to execute construction works related to public sewerage system under Article 16 of the Sewerage Act, permission for occupation and use of public sewerage system under Article 24 of the same Act, and report on installation of private sewerage treatment facilities under Article 34 of the same Act;
15. Consultation with or approval by a river management agency under Article 6 of the River Act (limited to the consultation or approval related to permission for execution of river works under Article 30 of the same Act, permission for occupancy and use of rivers under Article 33 of the same Act, permission for use of river water under Article 50 of the same Act, and permission for occupancy and use of small rivers under Article 14 of the Small River Maintenance Act;
16. Permission for land transaction contracts under Article 11 of the Act on Report on Real Estate Transactions, Etc.
(2) If a person authorized to approve implementation plans intends to approve an implementation plan containing any matter prescribed in subparagraphs of paragraph (1), he/she shall prepare related documents submitted by the project implementer and consult in advance with the heads of related administrative agencies.
(3) The head of a related administrative agency in receipt of a request for consultation under paragraph (2), shall submit his/her opinion to the person authorized to approve implementation plans within 30 days from the date of receipt of such request. In such cases, the consultation shall be deemed to have been concluded unless his/her opinion is submitted within the said period.
 Article 10 (Expropriation and Use)
(1) Where necessary to implement a system construction project, a project implementer may expropriate or use land, goods or rights referred to in Article 3 of the Act on Acquisition of and Compensation for Land, etc. for Public Works Projects (hereinafter referred to as "land, etc.").
(2) Where a person authorized to approve implementation plans approves and publicly notifies an implementation plan pursuant to Article 7, it shall be deemed that the project approval under Article 20 (1) of the Act on Acquisition of and Compensation for Land, etc. for Public Works Projects is obtained and the public announcement of a project approval under Article 22 of the same Act is made; and, notwithstanding Articles 23 (1) and 28 (1) of the same Act, an application for adjudication may be filed within the project implementation period specified in the implementation plan.
(3) The Central Land Tribunal shall be the land tribunal having jurisdiction over adjudication of the expropriation or use of land, etc. under paragraph (1).
(4) Except as otherwise expressly provided for in this Act, the Act on Acquisition of and Compensation for Land, etc. for Public Works Projects shall apply mutatis mutandis to matters concerning the expropriation or use of land, etc. under paragraph (1).
 Article 11 (Lending, etc. of State or Public Property)
(1) Any land necessary for a system construction project as land owned by the State or a local government within the system construction project zone specified in the implementation plan, shall not be sold or transferred for purposes other than the relevant project.
(2) Notwithstanding the State Property Act or the Public Property and Commodity Management Act, any property owned by the State or a local government within a system construction project zone specified in an implementation plan may be lent or sold to the project implementer through a negotiated contract. In such cases, a person authorized to approve implementation plans shall consult in advance with the head of a related central administrative agency or the head of a related local government as to the lending or sale of the relevant property.
(3) Where a request for consultation is received under the latter part of paragraph (2), the head of a related administrative agency shall rescind the use of or sell the property, or take other necessary measures within 60 days from the date of receipt of such request.
(4) Notwithstanding other Acts and subordinate statutes, the state property whose management agency cannot be identified among the property intended to be sold to a project implementer pursuant to paragraph (2), shall be managed or disposed of by the Minister of Strategy and Finance.
 Article 12 (Entrustment of Affairs Related to Purchase of Land, etc.)
(1) A project implementer other than the State or a local government may entrust the affairs related to the purchase of land, compensation for damage, relocation measures, etc. for a system construction project to the head of the competent local government or a public institution under Article 4 (1) of the Act on the Management of Public Institutions, as prescribed by Presidential Decree.
(2) Entrustment fees, etc. incurred for entrusting the affairs related to the purchase of land, compensation for damage, relocation measures, etc. pursuant to paragraph (1), shall be prescribed by Presidential Decree.
 Article 13 (Construction of Substitute Public Facilities, etc.)
(1) Where there are any public facilities, military facilities or public buildings prescribed by Presidential Decree (hereafter in this Article, referred to as "public facilities, etc.") in any land to be integrated into a system construction project, the person authorized to approve implementation plans may allow the project implementer to construct public facilities, etc. which substitute for existing public facilities, etc. (hereafter in this Article, referred to as "substitute public facilities, etc.") at the request of the management agency or the owner of the relevant public facilities, etc.
(2) Where a person authorized to approve implementation plans allows a project implementer to construct substitute public facilities, etc. pursuant to paragraph (1), he/she shall clearly indicate such fact when he/she approves the implementation plan as prescribed by Presidential Decree.
(3) Where a certificate of completion of the construction of substitute public facilities, etc. is received under Article 14, such facilities shall be handled according to the following category, notwithstanding the State Property Act, the Public Property and Commodity Management Act or any other Act and subordinate statutes:
1. Existing public facilities, etc.: To be devolved free of charge on the project implementer;
2. Substitute public facilities, etc.: To be devolved free of charge on the State, a local government, or the owner of existing public facilities, etc.;
3. Newly constructed public facilities: To be devolved free of charge on, or to be transferred to, the management agency which will be responsible to manage the relevant facilities or to be conceded free of charge to the local government which will be responsible to manage the relevant facilities.
(4) In registering any substitute public facilities, etc. referred to in paragraph (3), document attesting the cause for registration under the Registration of Real Estate Act shall be substituted by the certificate of approval of the implementation plan or the certificate of approval of the modification of the implementation plan and the certificate of completion of construction.
 Article 14 (Confirmation of Completion of Construction)
(1) Upon completion of construction works related to a system construction project, the project implementer shall submit a report on the completion of the construction without delay to the person authorized to approve implementation plans and obtain confirmation of the completion of the construction. In such cases, the person authorized to approve implementation plans in receipt of an application for confirmation of the completion of the construction may request the head of an institution prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport to conduct an inspection necessary to confirm the completion of the construction.
(2) Upon receipt of an application for confirmation of the completion of construction under paragraph (1), the person authorized to approve implementation plans shall confirm the completion thereof and publicly notify such fact as prescribed by Presidential Decree, if the relevant construction works are deemed executed as approved.
(3) Where a person authorized to approve implementation plans makes a public notification under paragraph (2), it shall be deemed that an inspection on completion of the construction works is conducted or authorization on completion of the construction works is obtained relating to the relevant project, pursuant to authorization, permission, etc., under the subparagraphs of Article 9 (1).
(4) No person authorized to approve implementation plans shall use any land or facility developed or constructed through a system construction project before the public notification is made under paragraph (2): Provided, That this shall not apply where the permission to use it before the completion of construction is obtained from the Minister of Land, Infrastructure and Transport or the competent Mayor/Do Governor.
(5) Where necessary for the efficient implementation of a system construction project, a person authorized to approve implementation plans may apply for the confirmation of completion of construction by classifying into sections or facilities within the scope of the implementation plan.
 Article 15 (Devolvement, etc. of Facilities)
The land and facilities developed or constructed through a system construction project shall be devolved on the administration office from the date of notification under Article 14 (2): Provided, That this shall not apply to the land and facilities prescribed by Presidential Decree, such as the land and facilities not directly used for the operation of a bus rapid transit system.
 Article 16 (Bearing of Costs)
(1) Costs required for the construction and operation of a bus rapid transit system shall be borne by the Cities/Dos having jurisdiction over the relevant system facilities: Provided, That where the State provides a subsidy in accordance with Article 32 or related Acts, such as the Special Act on the Management of Intercity Transport in Metropolitan Areas, the competent Cities/Dos shall bear the amount remaining after subtracting the amount of subsidy from the relevant cost, in accordance with the ratio that they would have been responsible for, were it not for the subsidy.
(2) Notwithstanding paragraph (1), in cases of expenses that are difficult to be distinguished as to which City/Do has the jurisdiction thereover, such as the expenses related to exclusive motor vehicles or garages, they shall be borne as prescribed by Presidential Decree, taking into consideration the sharing ratio of other expenses.
(3) The loss incurred from the operation of a bus rapid transit system shall be shared by related Cities/Dos as prescribed by Presidential Decree.
 Article 17 (Technical Standards for Bus Rapid Transit Systems)
(1) Each bus rapid transit system shall be constructed in accordance with the technical standards determined and publicly notified by the Minister of Land, Infrastructure and Transport.
(2) Each person who manages a bus rapid transit system shall maintain and manage it by conducting inspections, repairs, etc. in accordance with the technical standards determined and publicly notified by the Minister of Land, Infrastructure and Transport.
 Article 18 (Exclusive Driving Lanes, etc.)
(1) Where a public notification is made under Article 14 (2), a Mayor/Do Governor shall publicly notify matters concerning the construction, operation, and use of exclusive driving lanes, as prescribed by Presidential Decree. In such cases, notwithstanding Article 15 of the Road Traffic Act, a Mayor/Do Governor may determine the types of exclusive motor vehicles that can travel along the exclusive driving lanes within the scope prescribed by Presidential Decree pursuant to subparagraph 4 of Article 2, and publicly announce them together with the aforementioned matters.
(2) Articles 15 (3) and 143, subparagraph 1 of Article 156, and Articles 160 (3) and 161 of the Road Traffic Act shall apply mutatis mutandis respectively to the restriction on traveling along exclusive driving lanes referred to in paragraph (1), regulation, penalty provisions, etc. In such cases, "exclusive motor vehicle lanes" shall be construed as "exclusive driving lanes".
(3) Where necessary for the smooth operation of a bus rapid transit system prescribed by Presidential Decree, such as a metropolitan bus rapid transit system, a Mayor/Do Governor may request the head of a Si/Gun (excluding the head of a Gun in a Metropolitan City) or a person entrusted with the authority to install and manage signal apparatuses referred to in Article 3 (1) of the Road Traffic Act pursuant to Article 147 of the same Act to allow priority traffic of exclusive motor vehicles at the intersections of the bus rapid transit system. In such cases, a person in receipt of such request shall comply therewith except in extenuating circumstances.
CHAPTER III TRANSPORT BUSINESS USING BUS RAPID TRANSIT SYSTEM
 Article 19 (License, etc. for Transport Business)
(1) A person who intends to operate a business of transporting passengers for profit by using a bus rapid transit system (hereinafter referred to as "transport business"), shall prepare a business plan as prescribed by Presidential Decree and obtain license for the transport business from a person authorized to approve implementation plans of the relevant system construction project (hereinafter referred to as "person authorized to license transport business).
(2) In granting a license under paragraph (1), a person authorized to grant a license for a transport business shall issue a license fixing a period not exceeding six years, taking into consideration the changes in traffic conditions, passenger demand, etc.
(3) Any person who intends to transfer, acquire or merge a transport business shall report thereon in advance to the person authorized to grant a license for transport business, as prescribed by Presidential Decree.
(4) Where a person who has obtained a license under paragraph (1) (hereinafter referred to as "transport business operator") intends to temporarily shut down or close his/her transport business, he/she shall obtain prior permission from the person authorized to grant a license for a transport business as prescribed by Presidential Decree. In such cases, the period of temporary business shutdown shall not exceed one year.
(5) A transport business operator who intends to temporarily shut down all or part of or to close all of his/her transport business shall post the purport thereof in advance at the business place and other conspicuous places easily recognizable by the general public.
(6) Where a transport business operator dies, and if his/her inheritor intends to continue the transport business, he/she shall file a report on his/her intention with the person authorized to grant a license for a transport business within 90 days from the date of the death of the predecessor, as prescribed by Presidential Decree.
 Article 20 (Criteria for Licensing Transport Business)
(1) The criteria for licensing under Article 19 (1) shall be as follows:
1. The business plan referred to in Article 19 (1) shall satisfy the demand for transport and the supply of transport capacity;
2. The applicant for the license shall satisfy the criteria for the minimum number of motor vehicles for the license, garage space, incidental facilities, and other criteria prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport;
3. The applicant for the license shall satisfy the criteria prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport, such as the driving experience of persons engaged in driving service of passenger transport business, whether or not any traffic accident has occurred, and places of their residence.
(2) The Minister of Land, Infrastructure and Transport may determine the criteria for the estimation of the supply of transport capacity referred to in paragraph (1) 1 and notify them to each Mayor/Do Governor.
 Article 21 (Grounds for Disqualification)
Any of the following persons shall not be qualified to receive a license for transport business. This shall also apply to a corporation which has any of the following persons among its executive officers:
1. A person under adult guardianship or a person under limited guardianship;
2. A bankrupt person who has not been reinstated;
3. A person for whom two years have not passed since the date an imprisonment with prison labor or a heavier punishment is fully executed on him/her after being sentenced by a court for violating this Act (including cases where the sentence is deemed completely executed) or since the date he/she was exempted;
4. A person who is subject to suspended sentence of imprisonment with prison labor or heavier punishment declared by a court by reason of violating this Act;
5. A person whose license for transport business was cancelled, and for whom two years have not passed since the date of cancellation of his/her license.
 Article 22 (Commencement of Transport Service)
A transport business operator shall have his/her transport facilities specified in the business plan confirmed and commence transport service no later than the date or before the lapse of the period designated by the person authorized to grant a license for a transport business: Provided, That, where a transport business operator is unable to commence transport service not later than the date or before the lapse of the period designated, the person authorized to grant a license for a transport business may postpone such date or extend such period.
 Article 23 (Report on Fares)
(1) A transport business operator who intends to determine or alter fares within the criteria and extent of the rate prescribed by Presidential Decree, shall file a report thereon to the person authorized to license transport business. In such cases, the transport business operator shall determine or alter the fares reasonably taking into consideration the cost of fares, fairness with fares of other transport means, etc.
(2) Where a transport business operator determines or alters fares under paragraph (1), he/she shall take measures, such as public announcement of such matters in advance to general public, so as not to cause any inconvenience to passengers of the bus rapid transit system.
 Article 24 (Terms and Conditions of Transport)
(1) A transport business operator shall determine the terms and conditions of transport, and report them to the person authorized to grant a license for a transport business. This shall also apply to any modification of the terms and conditions of transport.
(2) Matters to be included in the terms and conditions of transport referred to in paragraph (1) and other necessary matters shall be prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
 Article 25 (Modification of Business Plan)
(1) A transport business operator who intends to modify his/her business plan referred to Article 19 (1) shall obtain authorization from the person authorized to license transport business: Provided, That, where he/she intends to modify any insignificant matters prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport, he/she shall file a report thereon with the person authorized to grant a license for a transport business.
(2) Where a transport business operator falls under any of the following cases, the person authorized to grant a license for a transport business may impose restriction on the modification of the business plan under paragraph (1):
1. Where he/she fails to commence transport service before the lapse of the date or period set for the commencement of transport service under Article 22;
2. Where he/she fails to fulfill an order received under Article 26 to improve business;
3. Where one year has not elapsed since the receipt of an order to modify his/her business plan which accompanies retirement of a route, reduction of the number of motor vehicles, etc.;
4. Where the scale of a traffic accident or the frequency of the occurrence of traffic accidents is the same as or exceeds the level prescribed by Presidential Decree.
(3) Procedures for modification of a business plan, criteria, and other necessary matters under paragraphs (1) and (2) shall be prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
 Article 26 (Order to Improve Business)
(1) Where deemed necessary for smooth urban traffic and improvement of the safety and convenience of passengers of a bus rapid transit system, a person authorized to grant a license for a transport business may order the following matters to a transport business operator:
1. Modification of his/her business plan under Article 19 (1);
2. Adjustment of fares;
3. Improvement of exclusive motor vehicles or system facilities;
4. Alteration of his/her business plan in such matters as operation hours, service frequency, etc.;
5. Modification of the terms and conditions of transport under Article 24;
6. Improvement of methods of collecting fares;
7. Entering into an insurance contract or joining in a mutual-aid for automobile accident compensation;
8. Measures necessary to ensure safe transport and improvement of service.
(2) Where it is necessary to urgently increase the supply of transport capacity in an area or route where it is difficult to provide regular-route passenger transport service or urban railroad service due to a natural disaster, etc., the person authorized to grant a license for a transport business may order a transport business operator to operate exclusive motor vehicles as substitute means of transport, such as an order to extend or alter routes, or to operate temporary routes.
(3) Where a transport business operator suffers any loss in fulfilling an operation order under paragraph (2), the person authorized to grant a license for a transport business shall compensate for the loss as prescribed by Presidential Decree.
 Article 27 (Prohibition, etc. of Use of Name)
(1) No transport business operator shall allow another transport business operator or a person who is not a transport business operator to operate transport business by using all or part of the exclusive motor vehicle fleet of the transport business operator with or without compensation. In such cases, this shall also apply where a transport business operator gives any instruction related to the business to another transport business operator or a person who is not a transport business operator.
(2) No transport business operator shall operate transport business under his/her or another person's name by using all or part of exclusive motor vehicles of another transport business operator. In such cases, this shall also apply where a transport business operator receives any instruction related to the his/her business from another transport business operator.
(3) No person who is not a transport business operator shall operate transport business under his/her or another person's name by using all or part of the exclusive motor vehicle fleet of a transport business operator. In such cases, this shall also apply where a person who is not a transport business operator receives any instruction related to the his/her business from a transport business operator.
 Article 28 (Indication on Motor Vehicles)
A transport business operator shall indicate his/her name, signs, and other matters prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport on the outside of a an exclusive motor vehicle.
 Article 29 (Qualification for Transport Employees)
(1) Each person engaged in driving service of transport business (hereinafter referred to as "transport employee") shall satisfy all of the following requirements:
1. He/she shall satisfy the requirements necessary for driving service prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport, such as the age and driving experience;
2. He/she shall pass a detailed inspection for driving aptitude conducted by the Minister of Land, Infrastructure and Transport, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport;
3. A person who satisfies the requirements prescribed in subparagraphs 1 and 2 shall hold a qualification acquired from the Minister of Land, Infrastructure and Transport or the relevant Mayor/Do Governor, after passing an examination administered by the Minister of Land, Infrastructure and Transport or such Mayor/Do Governor on passenger transport service-related statutes, geographical familiarity, etc.
(2) Each transport business operator shall allow only persons who meet the requirements for transport employee referred to in paragraph (1) to engage in driving service.
(3) The administration of an examination, acquisition of qualification, and other matters necessary for the qualification for transport employee under paragraph (1) 3 shall be prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
 Article 30 (Matters to be Observed by Transport Employees)
Transport employees are prohibited from the following acts:
1. Refusing passengers or forcing them to alight on the way to a destination without good cause;
2. Charging excessive fares;
3. Starting or operating a motor vehicle without shutting the door firmly;
4. Starting a motor vehicle before passengers complete boarding, or passing a stop without stopping despite passengers waiting to board or alight;
5. Failing to make public announcements;
6. Violating other matters to be observed by transport employees for safety while driving and for passenger convenience prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
 Article 31 (Application Mutatis Mutandis of the Passenger Transport Service Act)
Except as otherwise expressly provided for in this Act, the Passenger Transport Service Act shall apply mutatis mutandis to matters concerning the transport business.
CHAPTER IV SUPPLEMENTARY PROVISIONS
 Article 32 (Financial Support from the State)
Where the Minister of Land, Infrastructure and Transport approves an implementation plan under Article 7 (1), he/she shall subsidize expenses necessary for the relevant system construction project, as prescribed by Presidential Decree.
 Article 33 (Establishment, etc. of Exclusive Organization)
(1) A person authorized to approve implementation plans may establish an exclusive organization that exercises overall control of and coordinates affairs related to a bus rapid transit system, for holding consultations, etc. among agencies and departments related to the construction and operation of a bus rapid transit system.
(2) A Mayor/Do Governor may designate an association of local government agencies established under Article 159 of the Local Autonomy Act as the exclusive organization.
(3) The exclusive organization shall perform the following services:
1. Survey and management of the current state of and major indicators related to the bus rapid transit system;
2. Facilitation, exercise of overall control, coordination, management, support, evaluation and inspection of bus rapid transit systems;
3. Consultation about affairs of bus rapid transit systems and mutual exchange with related agencies and departments;
4. Raising and managing fund;
5. Operation of the bus rapid transit system;
6. Other matters prescribed by Presidential Decree.
(4) Other matters necessary for the composition, operation, etc. of an exclusive organization shall be prescribed by Presidential Decree.
(5) A local government which intends to establish a local government-invested public corporation responsible for affairs related to the bus rapid transit system pursuant to Article 49 of the Local Public Enterprises Act; or to authorize or modify articles of incorporation to the contents related to the bus rapid transit system pursuant to Article 56 (3) of the same Act, shall consult with the Minister of Land, Infrastructure and Transport in advance.
 Article 34 (Supervision)
(1) Where necessary for the enforcement of this Act, a person authorized to approve implementation plans or a person authorized to grant a license for a transport business may require a project implementer or transportation business operator to make necessary report or submit data concerning the system construction project or transport business, respectively; and grant a public official under his/her control the access to the office, place of business of the project implementer or transportation business operator or other necessary places and inspect such person's business. In such cases the public official who conducts an inspection of such affairs shall carry a document indicating his/her authority and present it to the related, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
(2) Where a project implementer falls under any of the following cases, a person authorized to approve implementation plans may revoke the approval of his/her implementation plan or issue an order to modify his/her implementation plan, to suspend or change construction works, or to alter, change, transfer, etc. facilities or goods. In such cases, the person authorized to approve implementation plans shall publicly notify such fact as prescribed by Presidential Decree:
1. Where he/she obtains any approval under this Act by fraudulent or other improper means;
2. Where he/she violates any order or disposition imposed under this Act;
3. Where it becomes impossible for him/her to continue the system construction project due to changes in circumstances.
 Article 35 (Revocation of License, etc.)
(1) Where a transport business operator falls under any of the following cases, the person authorized to grant a license for a transport business may revoke his/her license or issue an order to suspend all or part of his/her business fixing a period not exceeding six months or to modify his/her business plan which accompanies abolition of a route, reduction of the number of motor vehicles, etc.: Provided, That, in cases falling under subparagraph 1, 8 or 19, the license must be revoked: <Amended by Act No. 13668, Dec. 29, 2015>
1. Where he/she obtains a license (including approval for modification of license) under Article 19 (1) by fraudulent or other improper means;
2. Where he/she fails to perform the matters licensed under Article 19 (1) without a good cause;
3. Where he/she operates his/her business in contravention of the route, operation system, business district, scope of business, licensed period, etc., which are licensed pursuant to Article 19 (1);
4. Where he/she lends any exclusive motor vehicles licensed under Article 19 (1) to another person;
5. Where he/she transfers or acquires transportation business or merges his/her corporation without filing a report, in violation of Article 19 (3);
6. Where he/she temporarily shuts down or closes his/her transportation business or fails to resume his/her business till after the lapse of a suspension period without obtaining permission, in violation of Article 19 (4);
7. Where he/she fails to satisfy the criteria for license prescribed in Article 20: Provided, That this shall not apply where he/she satisfies the criteria within three months;
8. Where he/she falls under any subparagraph of Article 21: Provided, That this shall not apply where an executive officer of the corporation is replaced within three months in the case where the relevant executive officer falls under any ground for disqualification, and where an inheritor transfers transport business to another person within six months from the date of death of his/her predecessor;
9. Where he/she fails to commence transport service before the lapse of the date or the period designated, in violation of Article 22;
10. Where he/she fails to file a report on fares or modification of fares, in violation of Article 23 or collects unjust fares;
11. Where he/she fails to file a report on the terms and conditions of transport or on the modification thereof, in violation of Article 34, or fails to fulfill the reported terms and conditions;
12. Where he/she modifies his/her business plan without obtaining authorization or filing a report, in violation of Article 25;
13. Where he/she fails to fulfill an order to improve his/her business issued under Article 26;
14. Where he/she violates the provisions of Article 27 on the prohibition of the use of name;
15. Where he/she fails to put an indication on a motor vehicle, in violation of Article 28, at least three times a year;
16. Where he/she makes a person who is not qualified as a transport employee engage in driving service, in violation of Article 29 (2);
17. Where he/she fails to submit a report or documents under Article 34 (1) or submits a false report or documents at least three times a year;
18. Where he/she rejects, interferes with, or evades an inspection conducted under Article 34 (1), or fails to answer questions or makes a false statement;
19. Where he/she operates business during the period of business suspension, in violation of an order to suspend business issued under this Act;
20. Where he/she fails to fulfil an order to modify his/her business plan which accompanies abolition of a route, reduction of the number of motor vehicles, etc. under this Article;
21. Where he/she impairs convenient traffic for citizens due to uncertainty of operating business, remarkable aggravation of asset status, or inappropriateness for continued business for any other cause;
22. Where he/she causes death of a person or serious injury to at least three persons in a single traffic accident;
22-2. Where he/she causes traffic accidents at least twice a year, each of which causes casualties;
23. Deleted. <by Act No. 13668, Dec. 29, 2015>
(2) The criteria and procedures for dispositions, and other necessary matters under paragraph (1) shall be prescribed by Presidential Decree.
 Article 36 (Revocation, etc. of Qualification of Transport Employees)
(1) Where a person who has obtained the qualification of a transport employee falls under any of the following cases, the person authorized to license transport business may revoke the relevant qualification or suspend the effect of the relevant qualification for a set period not exceeding six months: <Amended by Act No. 13668, Dec. 29, 2015>
1. Where he/she falls under any of subparagraphs 1 through 4 of Article 21;
2. Where he/she fails to comply with the matters to be observed under Article 30;
3. Where he/she obtains qualification of a transport employee by improper means;
4. Where he/she causes casualties in excess of the numbers prescribed by Presidential Decree due to traffic accidents;
5. Where he/she conducts any irregularity in connection with driving service;
6. Where he/she engages in driving service of transport business during the suspension period of the efficacy of qualification of a transport employee under this Article.
(2) Matters necessary for the criteria, procedures, etc. for dispositions under paragraph (1) shall be prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
 Article 37 (Hearings)
A person authorized to approve implementation plans shall hold a hearing, if he/she intends to revoke the approval of an implementation plan under Article 34 (2), revoke a license of transport business under Article 35 (1), or revoke qualification of a transport employee under Article 36 (1).
 Article 38 (Delegation of Authority)
The Minister of Land, Infrastructure and Transport may delegate part of his/her authority under this Act to each Mayor/Do Governor, as prescribed by Presidential Decree.
CHAPTER V PENALTY PROVISIONS
 Article 39 (Penalty Provisions)
Any of the following persons shall be punished by imprisonment with labor for not more than two years or by a fine not exceeding 20 million won:
1. Any person who operates transport business without obtaining a license under Article 19 (1);
2. Any person who obtains a license under Article 19 (1) by fraudulent or other improper means;
3. Any person who operates transport business during the period of business suspension imposed under Article 35 (1).
 Article 40 (Penalty Provisions)
Any of the following persons shall be punished by a fine not exceeding ten million won:
1. Any person who transfers, acquires, or merges a transport business without filing a report under Article 19 (3);
2. Any person who temporarily shuts down or closes his/her transport business without obtaining permission under Article 19 (4);
3. A person who fails to file a report on the terms and conditions of transport under Article 24 (1) or fails to fulfil them;
4. A person who modifies his/her business plan without obtaining authorization or filing a report under Article 25;
5. A person who makes a person who is not qualified as a transport employee engage in driving service, in violation of Article 29 (2).
 Article 41 (Joint Penalty Provisions)
Where the representative of a corporation, or an agent, employee or other person working for a corporation or individual commits a violation under Article 39 or 49 with respect to the duties of the corporation or individual, not only shall such person in violation be punished accordingly, but the corporation or individual shall also be punished by a fine prescribed in the relevant provisions: Provided, That this shall not apply where such corporation or individual has not neglected to take due care and supervision concerning the relevant duties in order to prevent such violation.
 Article 42 (Administrative Fines)
(1) Any of the following persons shall be subject to an administrative fine not exceeding ten million won:
1. Any person who fails to file a report on inheritance under Article 19 (6);
2. Any person who fails to file a report on fares under Article 23 (1).
(2) Any of the following persons shall be subject to an administrative fine not exceeding five million won:
1. Any person who fails to put an indication on a motor vehicle, in violation of Article 27: Provided, That no administrative fine shall be imposed on a person who has received a disposition prescribed in Article 35 (1) against the relevant violation;
2. Any person who engages in driving service of transport business without fulfilling the requirements for a transport employee prescribed in Article 29;
3. A transport business operator who fails to submit documents referred to in Article 34 (1) or submits any false document;
4. A transport business operator who rejects, interferes with, or evades an inspection conducted under Article 34 (1), or gives no answer to any question without good cause.
(3) A person who fails to comply with any matter to be observed prescribed in subparagraphs of Article 30 shall be subject to the imposition of an administrative fine not exceeding 500 thousand won.
(4) The administrative fines under paragraphs (1) through (3) shall be imposed and collected by the Minister of Land, Infrastructure and Transport or a Mayor/Do Governor, as prescribed by Presidential Decree.
ADDENDA
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Article 2 (Transitional Measures concerning Bus Rapid Transit Systems, etc.)
(1) A bus rapid transit system which has been constructed and is in operation in compliance with the criteria referred to in Article 17 (1) and exclusive motor vehicles being operated in the relevant system as at the time this Act enters into force, shall be deemed a bus rapid transit system and exclusive motor vehicles under this Act, respectively.
(2) Bus rapid transit system construction projects for which procedures are in progress under the Special Act on the Construction of Administrative City in Yeongi-Gongju Area for Follow-Up Measures for New Administrative Capital and the Construction Technology Promotion Act as at the time this Act enters into force shall be governed by the former provisions.
ADDENDUM <Act No. 13668, Dec. 29, 2015>
This Act shall enter into force six months after the date of its promulgation.
ADDENDA <Act No. 13797, Jan. 19, 2016>
Article 1 (Enforcement Date)
This Act shall enter into force one year after the date of its promulgation.
Articles 2 through 11 Omitted.