ACT ON THE ESTABLISHMENT AND MANAGEMENT OF LOCAL MEDICAL CENTERS
Act No. 7589, Jul. 31, 2005
Amended by Act No. 8366, Apr. 11, 2007
Act No. 8852, Feb. 29, 2008
Act No. 9847, Dec. 29, 2009
Act No. 9932, Jan. 18, 2010
Act No. 11254, Feb. 1, 2012
Act No. 12072, Aug. 13, 2013
Act No. 13111, Jan. 28, 2015
Act No. 14008, Feb. 3, 2016
Act No. 14894, Sep. 19, 2017
The purpose of this Act is to contribute to improving the health of local residents and developing the local health and medical service by prescribing matters concerning the establishment and operation of local medical centers and assistance thereto.
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
The term "local medical centers" referred to in this Act means medical institutions established pursuant to this Act in order to offer medical services to local residents.
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 3 (Legal Personality) |
A local medical center shall be a juristic person.
| Article 4 (Establishment and Registration) |
| (1) | Local governments may establish local medical centers. If necessary, local governments may consolidate, or establish a branch of, local medical centers. |
| (2) | A local medical center shall be established at the time when it registers such establishment at the location of its main office. |
| (3) | Where a local government establishes, consolidates, or establishes a branch of, local medical centers under paragraph (1), it shall have prior consultation with the Minister of Health and Welfare. <Newly Inserted by Act No. 12072, Aug. 13, 2013> |
| (4) | In cases falling under any of the following, a local government shall, in advance, examine matters such as promotion of the health of local residents, impacts on local health and medical services, and project feasibility. In such case, matters necessary for the methods, procedures, etc. for the examination shall be prescribed by Presidential Decree: <Newly Inserted by Act No. 12072, Aug. 13, 2013> |
| 1. | Where local medical centers are established, consolidated, or a branch thereof is established; |
| 2. | Where it intends to dissolve a local medical center; |
| 3. | Where it intends to newly construct, relocate or sell a local medical center; |
| 4. | Where it otherwise intends to change matters important for the operation of a local medical center. |
| (5) | Where a local government intends to establish a local medical center, it shall prescribe necessary matters concerning the establishment, duties and operation thereof by Municipal Ordinance of local government except for those prescribed by this Act. <Amended by Act No. 12072, Aug. 13, 2013> |
| (6) | The registration of establishment of local medical centers prescribed in paragraph (2), registration of the establishment of branches, registration of relocation, the matters concerning registration of modification and other matters necessary for the registration of local medical centers shall be prescribed by Presidential Decree. <Amended by Act No. 12072, Aug. 13, 2013> |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 5 (Names, etc. of Local Medical Centers) |
| (1) | A local medical center shall be named by including "medical center" to the name of the local government that has established the relevant local medical center. |
| (2) | No entity that is not a local medical center under this Act shall use the name prescribed in paragraph (1) or any name similar thereto. |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 6 (Articles of Incorporation) |
| (1) | The articles of incorporation of local medical centers shall include the following: <Amended by Act No. 13111, Jan. 28, 2015> |
| 3. | Location of the main office; |
| 4. | Matters concerning business; |
| 5. | Matters concerning executive officers and employees; |
| 6. | Matters concerning organization; |
| 7. | Matters concerning board of directors; |
| 8. | Matters concerning property and accounting; |
| 9. | Matters concerning the method of public announcement; |
| 10. | Matters concerning the modification of articles of incorporation; |
| 11. | Matters concerning dissolution and consolidation; |
| 11-2. | Matters concerning the establishment of branches; |
| 12. | Other matters prescribed by Presidential Decree. |
| (2) | Where the articles of incorporation of local medical centers are to be modified, authorization shall be obtained from the head of the relevant local government. |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| (1) | Local medical centers shall conduct the following projects: <Amended by Act No. 13111, Jan. 28, 2015; Act No. 14008, Feb. 3, 2016> |
| 1. | A project of medical examination and treatment of local residents; |
| 3. | Deleted; <by Act No. 13111, Jan. 28, 2015> |
| 4. | A health education project for medical professionals, medical technicians and local residents; |
| 5. | Matters concerning the dissemination, etc. of medical knowledge and clinical skills; |
| 6. | Implementation of public health measures of the State or local governments; |
| 7. | Support for various projects relating to infectious diseases; |
| 8. | Implementation and management of other health and medical projects recognized as necessary by the Minister of Health and Welfare and the heads of local governments. |
| (2) | Local medical centers may conduct a project prescribed in paragraph (1) jointly with other medical institution, university or research institute, or conclude an agreement on the assistance of human resources and technology therewith. |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 8 (Executive Officers) |
| (1) | Local medical centers shall have executive officers provided in each of the following subparagraphs: |
| 2. | Eight to twelve directors; |
| (2) | The president of a local medical center (hereinafter referred to as “president”) shall be appointed by the head of a local government on the recommendation of the executive officer recommendation committee prescribed by Presidential Decree from among persons with specialized knowledge and abilities concerning the operation of local medical center. The same shall also apply in case of reappointment. |
| (3) | A director of a local medical center (hereinafter referred to as “director”) shall be appointed by the president on the recommendation of the executive officer recommendation committee under paragraph (2) and with approval from the head of a local government, and the auditor of the local medical center (hereinafter referred to as “auditor”) shall be appointed by the head of a local government: Provided, That in case of reappointing a director or appointing a director prescribed in paragraph (4) 1 and 2, the recommendation of the executive officer recommendation committee is not required. |
| (4) | Directors shall include those that fall under each of the following subparagraphs, and their appointment shall be made in such a way as to take into consideration the sex ratio and maintain balance among those provided in each of the following subparagraphs: |
| 1. | At least two public officials belonging to a local government who are recommended by the head of the local government (in such cases, one of them shall be the head of a local public health center); |
| 2. | At least one person recommended by the local council; |
| 3. | At least one expert in the field of health and medical service who has abundant knowledge and experience in public health and medical services or hospital operations, and at least one person recommended by the local health and medical society; |
| 5. | At least one representative of the local residents. |
| (5) | The president shall work full-time, and whether the directors and auditor work full-time or part-time shall be prescribed by ordinance of the relevant local government. |
| (6) | The auditor shall audit the duties and accounts of the local medical center. |
| (7) | The procedures, methods, etc. for recommendation of the president and directors by the executive officer recommendation committee under paragraphs (2) and (3) shall be prescribed by Ordinance of the Ministry of Health and Welfare. |
[This Article Wholly Amended by Act No. 13111, Jan. 28, 2015]
| Article 8-2 (Terms of Office of Executive Officers) |
| (1) | The term of office of a president shall be three years. |
| (2) | The terms of office of a director and an auditor shall be three years and may be renewable only once within three years. |
| (3) | Where the position of a president, director or auditor becomes vacant during his/her term of office, the term of office of his/her successor shall commence newly. |
[This Article Newly Inserted by Act No. 13111, Jan. 28, 2015]
| Article 9 (Board of Directors) |
| (1) | Local medical centers shall have a board of directors for deliberation on and resolution of the following: |
| 1. | Matters concerning the modification of articles of incorporation; |
| 2. | Matters concerning business plans, budget and closing accounts; |
| 3. | Matters concerning organization; |
| 4. | Matters concerning acquisition and disposal of properties; |
| 5. | Matters concerning the enactment and modification of provisions on personnel management, remuneration, service, etc.; |
| 6. | Other matters deemed necessary by the board of directors. |
| (2) | The board of directors shall consist of the president and directors. <Amended by Act No. 13111, Jan. 28, 2015> |
| (3) | The president shall convene the meetings of the board of directors and preside over the meetings. <Amended by Act No. 13111, Jan. 28, 2015> |
| (4) | The board of directors shall go into session with the attendance of a majority of the total directors and pass a resolution with the approval of a majority of those present. |
| (5) | The auditor may attend the board of directors and state his/her opinions. |
| (6) | Necessary matters concerning the authority and operation of the board of directors and an auditor shall be prescribed by the articles of incorporation. |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| (1) | The president shall represent the local medical center, take full charge of the duties of the local medical center, and direct and supervise the staff members belonging to him/her. |
| (2) | Where the president is unable to perform his/her duties for any unavoidable reason, an executive officer in the order determined by the articles of incorporation shall perform his/her duties as agent. |
[This Article Wholly Amended by Act No. 13111, Jan. 28, 2015]
| Article 10-2 (Agreements, etc. with Presidents) |
| (1) | The head of a local government shall make an agreement with the president that falls under each of the following subparagraphs: |
| 1. | The agreement concerning the operational objectives to be achieved by the president during his/her term of office, performance-based incentives, responsibility, etc.; |
| 2. | A performance agreement concerning the details of operational objectives to be achieved by the president during the pertinent year. |
| (2) | The agreement prescribed in paragraph (1) shall be made at the time set according to each of the following subparagraphs: |
| 1. | The agreement prescribed in paragraph (1) 1: When the president is appointed; |
| 2. | The agreement prescribed in paragraph (1) 2: Not later than one month after commencement of each fiscal year. |
| (3) | Where the head of a local government determines the president’s remuneration for the next year, he/she shall reflect the level of achievement of the operational objectives under paragraph (1) 2. |
| (4) | Where any unavoidable circumstance to change the details of an agreement made under paragraph (1) 1 occur, the head of the local government and the president may do so through mutual consultation. |
| (5) | The methods, etc. for preparing documents and agreements necessary for making agreements prescribed in paragraph (1) shall be determined by the Minister of Health and Welfare. |
[This Article Newly Inserted by Act No. 13111, Jan. 28, 2015]
| Article 11 (Grounds for Disqualification for Executive Officers) |
| (1) | No person who falls under any of the following subparagraphs shall be an executive officer of a local medical center: <Amended by Act No. 14894, Sep. 19, 2017> |
| 1. | A person who is not a Korean national; |
| 2. | A minor, a person under adult guardianship or a person under limited guardianship; |
| 3. | A bankrupt who has not been reinstated; |
| 4. | A person for whom two years have not passed from the date execution was terminated (including cases in which execution is deemed terminated) or exempted after he/she had been punished by imprisonment without prison labor or heavier punishment; |
| 5. | A person whose qualification has been deprived or suspended by law or court decision. |
| (2) | If an executive officer of the local medical center falls under any of the subparagraphs of paragraph (1) or is identified as a person falling thereunder at the time of his/her appointment, he/she shall deservedly resign from office. |
| (3) | An activity involved by an executive officer resigned pursuant to paragraph (2) shall not lose effect. |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 12 (Appointment and Dismissal of Employees) |
Employees of a local medical center shall be appointed and dismissed by the president as prescribed by its articles of incorporation.
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 13 (Holding Concurrent Post) |
| (1) | Where necessary for conducting projects pursuant to Article 7, a public official of education working at a university under subparagraph 1 of Article 2 of the Higher Education Act, or a person working at a university, research institute and medical institution may conduct concurrent duties of research or medical treatment at a local medical center with the permission of the head of the university, research institute or medical institution to which such public official of education or person belongs. |
| (2) | The duties and remuneration of a person who is assigned to concurrent duties at a local medical center pursuant to paragraph (1) and other matters necessary for performing concurrent duties shall be prescribed by Presidential Decree. |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 13-2 (Enactment and Amendment of Local Medical Center Regulations) |
Where any local medical center enacts or amends any regulations regarding its organization, remuneration, property management, etc., which entail budgetary measures, it shall report such fact to the head of a local government after resolution by its board of directors.
[This Article Newly Inserted by Act No. 13111, Jan. 28, 2015]
| Article 14 (Business Year) |
The business year of local medical centers shall coincide with the fiscal year of general accounting of a local government.
| Article 15 (Accounting Standards) |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 16 (Submission of Business Plans, etc.) |
| (1) | The president shall prepare a business plan and a budget bill of the local medical center before each business year starts, and obtain approval from the head of a local government after resolution by the board of directors, as prescribed by Presidential Decree. <Amended by Act No. 13111, Jan. 28, 2015> |
| (2) | Where the president intends to change any important matter prescribed by Presidential Decree after obtaining approval prescribed in paragraph (1), he/she shall prepare in advance a business plan or a budget bill that specifies the details of and reasons for such change and obtain approval from the head of a local government after resolution by the board of directors. <Newly Inserted by Act No. 13111, Jan. 28, 2015> |
| (3) | The head of a local government shall submit the business plan and the budget bill approved under paragraphs (1) and (2) to the Minister of Health and Welfare not later than seven days after the date of approval. <Newly Inserted by Act No. 13111, Jan. 28, 2015> |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 17 (Subsidies, etc.) |
| (1) | If necessary for conducting measures of a public health and medical service, the State may provide any part of expenses incurred for public health and medical service projects, such as the establishment of the local medical centers, expansion of facilities and equipment securing excellent medical professionals, etc. within budgetary limit. |
| (2) | Local governments may give contributions to cover the expenses needed for the establishment of local medical centers or give subsidies for the operation thereof. |
| (3) | The State or local governments may make an inquiry into the expenses incurred by a local medical center in carrying out the projects referred to in Article 7 (1) 2 and 4 through 7 or in complying with the principles referred to in Article 17 (1) of the Public Health and Medical Services Act. <Newly Inserted by Act No. 13111, Jan. 28, 2015> |
| (4) | Where the State or local governments reimburse expenses or provides a contribution or subsidy under paragraph (1) or (2), it may adjust the scale, etc. thereof based on the inquiry made under paragraph (3). <Newly Inserted by Act No. 13111, Jan. 28, 2015> |
| (5) | Individuals, corporations or organizations may donate money or other property to a local medical center in order to assist the projects of local medical centers. <Amened by Act No. 13111, Jan. 28, 2015> |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 18 (Financial Resources) |
A local medical center shall be operated with earnings under Article 7, subsidies under Article 17, contributions, donations and other income. [This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 19 (Borrowing Money) |
| (1) | A local medical center may obtain long-term or temporary loans with the approval of the head of a local government. |
| (2) | The head of a local government may guarantee the repayment of long-term or temporary loan under paragraph (1). |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 20 (Submission, etc. of Account Settlement) |
| (1) | The president shall prepare the statement of revenue and expenditure accounts for every business year as prescribed by Presidential Decree, submit such statement to the Minister of Health and Welfare and the head of a local government by no later than the end of February of the following year after resolution by the board of directors, and obtain approval therefor from the head of a local government. <Amended by Act No. 13111, Jan. 28, 2015> |
| (2) | The statement of revenue and expenditure prescribed in paragraph (1) shall be accompanied by the following documents: |
| 1. | A financial statement and annexed documents; |
| 2. | Audit testimonials of a certified public accountant designated by a local government; |
| 3. | Other documents prescribed by Ordinance of the Ministry of Health and Welfare in order to clarify the details of an account settlement. |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 20-2 (Business Shutdown, etc. of Local Medical Centers) |
| (1) | Where a local medical center intends to shut down its business or go into dissolution, the head of a local government shall have prior consultation with the Minister of Health and Welfare. In such cases, necessary matters concerning the timing of, procedures, etc. for the consultation shall be prescribed by Presidential Decree. <Amended by Act No. 13111, Jan. 28, 2015> |
| (2) | The remaining property of a local medical center after dissolution shall be disposed of, in accordance with the articles of incorporation of the relevant local medical center: Provided, That the portion of the remaining property that falls under subsidy from the National Treasury may devolve on the National Treasury or be required to be used for the public health and medical service programs. <Amended by Act No. 13111, Jan. 28, 2015> |
| (3) | With respect to a local medical center that seeks to shut down its business or go into dissolution prescribed in paragraph (1), the head of a local government shall in advance direct its president to take the following measures and ascertain whether they are implemented: <Newly Inserted by Act No. 13111, Jan. 28, 2015> |
| 1. | Guidance and support necessary for transferring the inpatients of the local medical center to another medical institution; |
| 2. | Ascertainment of the use of subsidies, contributions, etc. and of the remainder of the assets derived therefrom; |
| 3. | Other necessary measures to protect the rights and interests of the patients who use the local medical center. |
[This Article Newly Inserted by Act No. 12072, Aug. 13, 2013]
| Article 21 (Evaluation of Operation and Guidance) |
| (1) | The Minister of Health and Welfare shall conduct evaluation of the operation of local medical centers, as prescribed by Presidential Decree, and devise necessary measures in accordance with the results of the evaluation: Provided, That, if deemed necessary, the Minister of Health and Welfare may have the heads of local governments conduct the evaluation of operation. |
| (2) | The evaluation of operation under paragraph (1) shall include elements, such as the management situation of local medical centers, weight of public health and medical service in the services rendered by local medical centers, degree of contribution to the promotion of local residents' health, efficiency of duties, and customer service. <Amended by Act No. 13111, Jan. 28, 2015> |
| (3) | Where the head of a local government have conducted the evaluation of operation pursuant to the proviso to paragraph (1), he/she shall submit a report on the evaluation of operation, financial statement and other documents prescribed by Presidential Decree to the Minster of Health and Welfare within one month from the completion thereof. |
| (4) | The Minister of Health and Welfare may give necessary guidances or recommendations, such as publicly announcing the results of the evaluation of operation or directing the heads of local governments and the presidents to develop and submit operational improvement plans for the efficient operation of local medical centers. <Amended by Act No. 13111, Jan. 28, 2015> |
| (5) | When conducting the evaluation of operation prescribed in the main body of paragraph (1), the Minister of Health and Welfare may have the performance agreement under Article 10-2 (1) 2 submitted by the head of the local government to evaluate whether the president has fulfilled the performance agreement and the degree of fulfillment. <Amended by Act No. 13111, Jan. 28, 2015> |
| (6) | Where necessary in light of the results of evaluation on the fulfillment of the performance agreement under paragraph (5), the Minister of Health and Welfare may require the head of a local government to dismiss the president. In such cases, the head of a local government shall dismiss the president unless there is any justifiable reason to the contrary and give notice to the Minister of Health and Welfare of the result. <Newly Inserted by Act No. 13111, Jan. 28, 2015> |
| (7) | Necessary matters concerning the detailed criteria, procedures, etc. for the evaluation of operation under paragraphs (1) through (5) shall be prescribed by Ordinance of the Ministry of Health and Welfare. <Newly Inserted by Act No. 13111, Jan. 28, 2015> |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 21-2 (Operation Guidelines) |
| (1) | The Minister of Health and Welfare may determine operation guidelines to govern local medical centers concerning the following matters (hereinafter referred to as “operation guidelines” in this Article). In such cases, the Minister of Health and Welfare may hear in advance opinions of the heads of local governments if deemed necessary to ensure efficient operation, etc. of local medical centers: |
| 1. | Performance of the projects prescribed in Article 7; |
| 2. | Organization management, the full number of staff, and personnel management; |
| 3. | Budget and funds management; |
| 4. | Other matters that the Minister of Health and Welfare deems necessary for local medical centers to render and efficiently manage public health and medical service. |
| (2) | Upon determination of operation guidelines, the Minister of Health and Welfare shall give notice thereof to the heads of local governments and presidents. |
[This Article Newly Inserted by Act No. 13111, Jan. 28, 2015]
| Article 22 (Examination of Operation and Corrective Measures) |
| (1) | Where local medical centers fall under any of the following subparagraphs as a result of the evaluation of operation under the main body of Article 21 (1) or of the analysis of documents, etc. under paragraph (3) of the same Article, the Minister of Health and Welfare shall examine the operation of such local medical center as prescribed by Presidential Decree and publicly announce the results: <Amended by Act No. 13111, Jan. 28, 2015> |
| 1. | Where a net loss for the current year has incurred consecutively for three business years or more; |
| 2. | Where the business income has profoundly decreased compared with that of the previous year without any specific reason; |
| 3. | Where the management structure needs restructuring, such as the scope of business has been reduced due to the management environment, a corporation has been dissolved, public medical services cannot be functioned properly, etc.; |
| 4. | Where the weight of public health and medical service is too low in the services of the local medical center; |
| 5. | Where the Minister of Health and Welfare otherwise deems it necessary for the local medical center to render public health and medical service. |
| (2) | Where deemed necessary in the course of the examination of management under paragraph (1), the Minister of Health and Welfare may request the head of a local government or the president to take necessary measures for improving management, such as dismissal of executive officers of the relevant local medical center, organizational restructuring, etc. |
| (3) | Upon receipt of a request under paragraph (2), the head of a local government and the president shall comply therewith unless any justifiable ground exists. |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 23 (Guidance, Supervision, etc.) |
| (1) | The head of a local government may guide and supervise the duties of a local medical center, order the center to report necessary matters concerning duties, accounting, etc., and submit necessary documents. |
| (2) | Where deemed necessary for the guidance and supervision of local medical centers, the Minister of Health and Welfare and the heads of local governments may have public officials subject to the jurisdiction thereof examine matters concerning the duties, accounting and property of local medical centers. |
| (3) | A public official examining pursuant to paragraph (2) shall carry a certificate indicating his/her authority and present it to relevant persons. |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 24 (Publication of Business Operations, etc.) |
| (1) | The president shall publish operations of the local medical center to residents regarding the following: |
| 1. | Annual operational objectives and the budget bill and business plan; |
| 2. | The statement of revenue and expenditure; |
| 3. | The present status of executive officers and human resources in service; |
| 4. | The present status of the labor cost budget and its execution; |
| 5. | The details of the collective agreement made between the president and employees; |
| 6. | The results of the evaluation of operation prescribed in Article 21 and the measures taken according thereto; |
| 7. | The results of the examination of operation prescribed in Article 22 and the measures taken according thereto; |
| 8. | The results of the examination prescribed in Article 23 (2); |
| 9. | The articles of incorporation, regulations, and minutes of the board of directors (excluding any business secrets in the minutes of the board of directors); |
| 10. | The results of local medical center auditing by the head of a local government (including the matters pointed out and the actions required and the plan for measures to be taken according thereto) or self-audit report; |
| 12. | Other matters that are important for operation of the local medical center, as prescribed by Ordinance of the Ministry of Health and Welfare. |
| (2) | The president shall publish the information prescribed in the subparagraphs of paragraph (1) through the media designated by the Minister of Health and Welfare, including the homepage of the local medical center, and keep in its main office the documents necessary to ascertain the information published. |
| (3) | The timing, methods, procedures, etc. for the publication prescribed in paragraphs (1) and (2) shall be prescribed by Ordinance of the Ministry of Health and Welfare. |
[This Article Wholly Amended by Act No. 13111, Jan. 28, 2015]
| Article 24-2 (Combined Publication) |
| (1) | Where necessary for improving the operation of local medical centers, the Minister of Health and Welfare may standardize and make combined publication of the particulars prescribed in the subparagraphs of Article 24 (1) (hereinafter referred to as “combined publication” in this Article). |
| (2) | The Minister of Health and Welfare may request presidents to submit materials necessary for combined publication. In such cases, the presidents shall comply with that request unless there is any special reason to the contrary. |
| (3) | Where a president fails to make the publication under Article 24 or to submit the materials under paragraph (2) or includes any false information in that publication or submits any false material, the Minister of Health and Welfare may direct the relevant local medical center to publicly announce that fact and correct the false information, etc. and further request the head of the relevant local government to take personnel measures, etc. against the persons involved. In such cases, the head of the relevant local government shall pay regard to that request and give notice to the Minister of Health and Welfare of the result of his/her actions. |
| (4) | The criteria, methods, etc. for combined publication, the methods for public announcement under paragraph (3), etc. shall be prescribed by Ordinance of the Ministry of Health and Welfare. |
[This Article Newly Inserted by Act No. 13111, Jan. 28, 2015]
| Article 25 (Dispatch of Public Officials) |
Where it is necessary for the support of projects conducted by local medical centers, the head of a local government may dispatch public officials subject to the jurisdiction thereof to local medical centers.
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 26 (Delegation and Entrustment of Authority and Operation) |
| (1) | Part of the authority of the Minster of Health and Welfare under this Act may be delegated to the heads of local governments, as prescribed by Presidential Decree. |
| (2) | Where necessary for achieving the objectives of local medical centers, part of the authority of the heads of local governments under this Act may be entrusted to the president, as prescribed by municipal ordinances. |
| (3) | Matters concerning the entrusted operation of university hospitals, etc. of local medical centers shall be prescribed by municipal ordinances of the relevant local government. In such cases, the approval of the Minister of Health and Welfare shall be obtained. |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 27 (Relationship with Other Acts) |
Except as otherwise expressly provided for in this Act, the provisions of the Civil Act concerning incorporated foundations shall apply mutatis mutandis to local medical centers. [This Article Wholly Amended by Act No. 13111, Jan. 28, 2015]
| Article 28 (Legal Fiction of Public Officials in Application of Penalty Provisions) |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
| Article 29 (Administrative Fines) |
| (1) | Any person who falls under any of the following shall be subject to an administrative fine not exceeding three million won: |
| 1. | A person who uses a similar name, in violation of Article 5 (2); |
| 2. | A person who refuses, interferes with or evades the examination prescribed in Article 23 (2) without good cause. |
| (2) | Administrative fines prescribed in paragraph (1) shall be imposed and collected by the heads of local governments as prescribed by municipal ordinances of local governments: Provided, That in cases of an administrative fine imposed on a person who refuses, interferes with or evades the examination performed by public officials of the Ministry of Health and Welfare from among the administrative fines prescribed in paragraph (1) 2, such administrative fines shall be imposed and collected by the Minister of Health and Welfare, as prescribed by Presidential Decree. |
[This Article Wholly Amended by Act No. 11254, Feb. 1, 2012]
ADDENDA
Article 1 (Enforcement Date)
This Act shall enter into force two months after the date of its promulgation.
Article 2 (Transitional Measures concerning Local Government-Invested Public Corporations)
| (1) | Local government-invested public corporations established for the purpose of medical service as prescribed by the Local Public Enterprises Act as at the time this Act enters into force shall be deemed local medical centers. |
| (2) | The rights, responsibilities and properties of local government-invested public corporations prescribed in the provisions of paragraph (1) shall be succeeded by local medical centers. |
Article 3 (Transitional Measures concerning Municipal Ordinance and Articles of Incorporation)
The articles of incorporation of local government-invested public corporations prescribed in Article 2 of Addenda and Municipal Ordinances enacted as prescribed by the Local Public Enterprises Act as at the time this Act enters into force shall be deemed the articles of incorporation and Municipal Ordinances under this Act: Provided, That local governments and local government-invested public corporations shall readjust Municipal Ordinances and the articles of incorporation as prescribed by this Act within six months from the date this Act enters into force, and take necessary measures, such as the modification of registration, etc. Article 4 (Transitional Measures concerning Executive Officers and Employees)
| (1) | The president, auditor and directors appointed as prescribed by the Local Public Enterprises Act as at the time this Act enters into force shall be deemed the president, auditor and directors who have been appointed as prescribed by this Act: Provided, That the term of office shall be the remaining period prescribed by the provisions of the Local Public Enterprises Act. |
| (2) | The employees appointed as prescribed by the Local Public Enterprises Act as at the time this Act enters into force shall be deemed employees appointed pursuant to the provisions of Article 12. |
Article 5 (Transitional Measures concerning Entrusted Operation)
The operation of local medical centers being operated under the entrustment as at the time this Act enters into force shall be deemed entrusted pursuant to the provisions of Article 26 (3). Article 6 (Applicability concerning Imposition of Administrative Fines)
The imposition of administrative fines prescribed in the provisions of Article 29 (1) 1 shall apply beginning from the first person who commits a violation after this Act enters into force. Article 7 Omitted.
ADDENDA <Act No. 8366, Apr. 11, 2007>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 21 Omitted.
ADDENDA <Act No. 8852, Feb. 29, 2008>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 7 Omitted.
ADDENDA <Act No. 9847, Dec 29, 2009>
Article 1 (Enforcement Date)
This Act shall enter into force one year after the date of its promulgation.
Articles 2 through 22 Omitted.
ADDENDA <Act No. 9932, Jan. 18, 2010>
Article 1 (Enforcement Date)
This Act shall enter into force two months after the date of its promulgation. (Proviso Omitted.)
Articles 2 through 5 Omitted.
ADDENDUM <Act No. 11254, Feb. 1, 2012>
This Act shall enter into force on the date of its promulgation.
ADDENDA <Act No. 12072, Aug. 13, 2013>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation.
Article 2 (Applicability concerning Consultation, etc. with the Minister of Health and Welfare)
| (1) | The amended provisions of Article 4 (3) shall be applied from the first local medical center established, consolidated or whose branch is established, after this Act enters into force. |
| (2) | The amended provisions of Article 4 (4) shall be applied from a first respective local medical center where a respective case falling under each subparagraph of the amended provisions occur. |
Article 3 (Applicability concerning Business Shutdown, etc. of Local Medical Centers)
| (1) | The amended provisions of Article 20-2 (1) shall be applied from the first local medical center shutting down its business under Article 40 of the Medical Service Act after this Act enters into force. |
| (2) | The amended provisions of Article 20-2 (2) shall be applied from the first local medical center dissolved after this Act enters into force. |
ADDENDA <Act No. 13111, Jan. 28, 2015>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Article 2 (Preparations for Publication of Business Operations, etc. and Combined Publication)
The Minister of Health and Welfare or presidents may take necessary measures concerning the publication of business operations, etc. and combined publication prescribed in the amended provisions of Articles 24 and 24-2 before this Act enters into force. Article 3 (Applicability concerning Directorship)
The amended provisions of Article 8 (4) shall apply where directors are appointed after this Act enters into force. Article 4 (Applicability concerning Local Medical Center Regulations)
The amended provisions of Article 13-2 shall apply where the board of directors resolves the enactment or an amendment of local medical center regulations that entails budgetary measures after this Act enters into force. Article 5 (Applicability concerning Examination of Operation)
The amended provisions of Article 22 (1) shall also apply to the evaluation of operation conducted before this Act enters into force (limited where the period for commencing the examination of operation has not yet elapsed) or to the analysis of a report on the evaluation of operation and other documents submitted by a local government under Article 21 (3) (limited where the period for commencing the examination of operation has not yet elapsed). Article 6 (Special Cases concerning Agreements, etc. with Presidents)
| (1) | Notwithstanding the amended provisions of Article 10-2 (2) 1, where the head of a local government has yet to make an agreement under the amended provisions of Article 10-2 (1) 1 as at the time this Act enters into force, he/she shall make that agreement with the president not later than one month after this Act enters into force: Provided, That where the remaining term of office of the president is less than one year, such agreement is not required. |
| (2) | Notwithstanding the amended provisions of Article 10-2 (2) 2, where the head of a local government has yet to make an agreement under the amended provisions of Article 10-2 (1) 2 as at the time this Act enters into force, he/she shall make that agreement with the president not later than one month after this Act enters into force: Provided, That where the remaining term of office of the president is less than six months, such agreement is not required. |
Article 7 (Transitional Measures concerning Appointment, etc. of Presidents)
| (1) | Any president who has been appointed under the former provisions as at the time this Act enters into force shall be deemed to have been appointed under the amended provisions of Article 8. |
| (2) | Any person for whom the procedure for recommendation by the executive officer recommendation committee is in progress regarding the appointment of a director under the previous provisions of Article 8 (3) as at the time this Act enters into force shall be governed by the former provisions notwithstanding the amended provisions of the proviso to Article 8 (3). |
Article 8 (Transitional Measures concerning Limitations on Terms of Office of Reappointed Directors and Auditors)
Any director or auditor who is reappointed under the former provisions of Article 8 (7) as at the time this Act enters into force shall be governed by the previous provisions notwithstanding the amended provisions of Article 8-2 (2). Article 9 (Transitional Measures concerning Terms of Office of Existing Succeeding Executive Officers)
The term of office of any executive officer who is appointed under the former provisions of Article 8 (8) as at the time this Act enters into force shall be governed by the previous provisions notwithstanding the amended provisions of Article 8-2 (3). Article 10 (Transitional Measures concerning Submission of Business Plans, etc.)
| (1) | A business plan and budget bill of a local medical center that are submitted to the Minister of Health and Welfare and the head of the local government under the former provisions of Article 16 before this Act enters into force shall be deemed a business plan and budget bill approved by the head of the local government after resolution by the board of directors under the amended provisions of Article 16 (1). |
| (2) | Notwithstanding the amended provisions of Article 16 (3), the head of a local government need not submit to the Minister of Health and Welfare the business plan and budget bill that are deemed to be approved by the head of the local government under paragraph (1). |
ADDENDUM <Act No. 14008, Feb. 3, 2016>
This Act shall enter into force on the date of its promulgation: Provided, That the amended provisions of Article 7 (1) 7 of this Act shall enter into force six months after the date of its promulgation.
ADDENDA <Act No. 14894, Sep. 19, 2017>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation.
Article 2 (Transitional Measures concerning Incompetents, etc.)
Notwithstanding the amended provisions of Article 11 (1) 2, the previous provisions shall apply to persons for whom declaration of incompetence or quasi-incompetence remains effective under Article 2 of the Addenda of partial amendment to the Civil Act by Act No. 10429.