CHAPTER I GENERAL PROVISIONS
The purpose of this Act is to ensure the appropriate protection of public property and commodities and the efficient management and disposal thereof by providing for basic matters regarding public property and commodities. <Amended on Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
The terms used in this Act are defined as follows: <Amended on Apr. 20, 2021>
| 1. | The term "public property" means any property prescribed in each subparagraph of Article 4 (1), which falls under the ownership of a local government at a cost to the local government, by contributed acceptance, or by enforcement of statutes; |
| 2. | The term "commodity" means any movable property owned or kept for use by a local government, excluding the following: |
| 3. | The term "contributed acceptance" means the gratuitous transfer of the ownership of property prescribed in any subparagraph of Article 4 (1) to a local government by a person other than a local government, and the acceptance thereof by the local government; |
| 4. | The term "management" means any and all activities performed for the purposes of acquiring, operating, retaining, or preserving public property and commodities; |
| 5. | The term “relevant local government” means a local government that owns public property or commodities; |
| 6. | The term "disposal" means the transfer of the ownership of any public property or commodities to a person other than the relevant local government by means of sale, exchange, transfer, trust, contribution in kind, etc.; |
| 7. | The term "permission for use" means permitting any person other than the relevant local government to use or profit from any administrative property prescribed in Article 5 (2) for a certain period, either for a fee or free of charge; |
| 8. | The term "loan contract" means any contract concluded to allow any person other than the relevant local government to use or profit from any general property prescribed in Article 5 (3) or commodities for a fixed period, whether for a fee or at no charge; |
| 9. | The term "indemnity" means any amount of money imposed on a person who has used, profited from, or occupied any public property or commodities without any permission for use or loan contract (including persons who have used, profited from, or occupied any public property or commodities without another permission for use or loan contract after the expiry of the previous permission for use or loan contract; hereinafter referred to as "unauthorized occupant"). |
[This Article Wholly Amended on Feb. 4, 2010]
| Article 2-2 (Relationship to Other Statutes) |
Except as otherwise provided in other statutes, this Act shall apply to the management or disposal of any public property and commodities. <Amended on Apr. 20, 2021>
[This Article Newly Inserted on Feb. 4, 2010]
| Article 3 (Duty of Care of Public Officials Managing Public Property or Commodities) |
Any public official engaged in the management of public property or commodities shall comply with this Act, and other statutes or regulations pertaining to the management of public property or commodities and shall meet the duty of care as a good manager. <Amended on Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
| Article 3-2 (Basic Principles for Management and Disposal of Public Property and Commodities) |
Where a local government manages or disposes of any public property, it shall comply with the following principles:
| 1. | The common interests of the relevant local government shall be served; |
| 2. | The acquisition or disposal of public property shall be made to strike a balance; |
| 3. | The local government shall consider its public values and utility; |
| 4. | The local government shall follow transparent and efficient procedures. |
[This Article Newly Inserted on Feb. 4, 2010]
CHAPTER II COMMON PROVISIONS ON PUBLIC PROPERTY
| Article 4 (Scope of Public Property) |
| (1) | The scope of public property shall be as follows: <Amended on Feb. 4, 2010; Jan. 20, 2015; Apr. 20, 2021> |
| 1. | Real estate and the appurtenances thereof; |
| 2. | Vessels, floating bridges, floating docks, and aircraft and the appurtenances thereof; |
| 3. | Important machinery and apparatuses used for public-managed projects or public-managed facilities; |
| 4. | Superficies, easements, leasehold rights, mining rights, and other rights equivalent thereto; |
| 5. | Any of the following rights (hereinafter referred to as "intellectual property"): |
| (b) | Copyrights, neighboring copyrights, rights of database producers and other rights protected under the Copyright Act and registered with the Korea Copyright Commission pursuant to Articles 53 and 112 (1) of the same Act (hereinafter referred to as "copyright, etc."); |
| 6. | Stocks, rights arising from an investment, corporate bonds, local bond securities, state bond securities and other equivalent securities; |
| 7. | Beneficial right of real estate trust; |
| 8. | Property under construction among those prescribed in subparagraph 1 or 2; |
| (2) | The scope of machinery and apparatuses referred to in paragraphs (1) 3 shall be prescribed by Presidential Decree. |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 5 (Classifications and Types of Public Property) |
| (1) | Public property shall be classified into administrative property and general property, according to its use. |
| (2) | “Administrative property” means the following property: <Amended on Apr. 20, 2021> |
| 1. | Property for official use: |
Property that the relevant local government directly uses or decides to directly use for administrative or business purposes or as a residential campus for public officials, and property under construction for such purposes;
| 2. | Property for public use: |
Property that the relevant local government directly uses or decides to directly use for public purposes, and property under construction for such purposes;
| 3. | Property for enterprises: |
Property that the relevant local government uses or decides to use for an enterprise managed by the local government or as a residential campus for employees belonging to such enterprise, and property under construction for such purposes;
| 4. | Property for preservation: |
Property that a local government preserves or decides to preserve pursuant to statutes, regulations, municipal ordinances or rules, or for other needs.
| (3) | “General property” means all public property other than administrative property. |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 6 (Protection of Public Property) |
| (1) | No person shall use or profit from public property unless he or she complies with the procedures and methods prescribed by this Act or any other Act. |
[This Article Wholly Amended on Feb. 4, 2010]
| Article 6-2 (Demand for Data on Public Property) |
| (1) | The Minister of the Interior and Safety may have the heads of local governments submit data on the management status, etc. of public property in order to promote the efficient use of public property, etc. <Amended on Jul. 26, 2017> |
| (2) | The Minister of the Interior and Safety may instruct and supervise the heads of local governments regarding management, etc. of public property or require them to take other necessary measures. <Amended on Jul. 26, 2017> |
[This Article Newly Inserted on Jan. 20, 2015]
| Article 7 (Contributed Acceptance) |
| (1) | Where any person intends to donate his or her property prescribed in any subparagraph of Article 4 (1) to a local government, the head of the local government may accept the donation, as prescribed by Presidential Decree. |
| (2) | Where it is impracticable for a local government to manage the property to be donated pursuant to paragraph (1); where a local government does not need such property; or where the donation is subject to a condition, the local government shall not accept the donation, as prescribed by Presidential Decree: Provided, That the donation shall not be deemed to be subject to a condition in any of the following cases: <Amended on Apr. 20, 2021> |
| 1. | Where any property, which is to be donated as administrative property, is donated on condition that the donor, his or her heir, or other general successor shall be permitted to use the property free of charge; |
| 2. | Regarding any administrative property whose use is repealed, where a person donates a facility to be used as a substitute for the administrative property on condition that such administrative property to be disused shall be transferred to the donor, his or her heir, or other general successor pursuant to Article 40 (1) 3, to the extent of the expenses incurred by him or her. |
[This Article Wholly Amended on Jan. 20, 2015]
| Article 8 (Restriction on Acquisition of Property on Which Private Rights Have Been Established) |
No property on which private rights have been established shall be acquired as public property unless such rights are extinguished: Provided, That this Article shall not apply where the property is acquired by a court ruling. <Amended on Feb. 4, 2010; Jan. 20, 2015; Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
| Article 9 (Registration on Official Register) |
| (1) | Upon acquiring any public property or accepting any donation, the head of a local government shall record or register it or take any other measures necessary for preserving the right without delay, as prescribed by statutes or regulations. <Amended on Feb. 4, 2010> |
| (2) | The rightful person enlisted on the title deed of public property, such as real estate or other rights, which should be recorded or registered in the official register, shall be the relevant local government: Provided, That as for any public property belonging to the special account for educational expenses prescribed in the Local Education Autonomy Act, the name of its competent authority, "superintendent of education", shall be enlisted additionally on the title deed. |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 10 (Med-Term Public Property Management Plans) |
| (1) | The head of a local government shall formulate a plan for the management and disposal of public property for the period of at least five fiscal years beginning with the following fiscal year to manage and dispose of public property in a planned manner (hereinafter referred to as "mid-term public property management plan") and shall submit the plan, accompanied by a budget bill, to the local council. |
| (2) | Where the head of a local government formulates a mid-term public property management plan, he or she shall ensure that the mid-term public property management plan is correlated with a local plan formulated under the relevant statutes or regulations, in accordance with the guidelines determined by the Minister of the Interior and Safety. |
| (3) | A mid-term public property management plan shall include the following: |
| 1. | Mid- to long-term policy direction for the efficient management and disposal of public property; |
| 2. | A comprehensive plan for the management or disposal of public property; |
| 3. | Matters regarding the standards for the disposal of public property; |
| 4. | Matters regarding a comprehensive plan for special cases such as reduction of, or exemption from, usage fees for public property; |
| 5. | Other matters regarding the management or disposal of public property prescribed by Presidential Decree. |
| (4) | The Minister of the Interior and Safety may annually notify the heads of local governments of the standards for formulating a mid-term public property management plan and guidelines containing other information necessary for the formulation thereof. |
[This Article Newly Inserted on Apr. 20, 2021]
[Previous Article 10 moved to Article 10-2 <Apr. 20, 2021>]
| Article 10-2 (Public Property Management Plan) |
| (1) | The head of a local government shall annually formulate a plan for the acquisition and disposal of public property for the following fiscal year in accordance with a mid-term public property management plan (hereinafter referred to as "public property management plan") before the local council passes a resolution on the budget, and then shall finalize the plan after the passage of a resolution by the local council. In such cases, the same shall also apply where the formulated public property management plan is revoked or partially amended for any unavoidable reasons. <Amended on Feb. 4, 2010; Jan. 20, 2015; Apr. 20, 2021> |
| (2) | The Special Metropolitan City, a Metropolitan City, a Special Self-Governing City Mayor, a Do Governor, and a Special Self-Governing Province Governor shall submit a public property management plan to the local council at least 50 days prior to the commencement of a fiscal year and the head of a Si/Gun/Gu (referring to the head of an autonomous Gu; hereinafter the same shall apply) shall do so at least 40 days prior to the commencement of a fiscal year. <Newly Inserted on Jan. 20, 2015; Apr. 20, 2021> |
| (3) | Notwithstanding paragraph (2), where a business plan is amended during the fiscal year or where a reason arises for the urgent acquisition or disposal of public property, a public property management plan may be formulated and submitted during that fiscal year. In such cases, Article 55 of the Local Autonomy Act shall apply to the procedures for submission. <Newly Inserted on Jan. 20, 2015; Jan. 12, 2021; Apr. 20, 2021> |
| (4) | Matters necessary for the scope, etc. of public property to be included in a public property management plan shall be prescribed by Presidential Decree. <Amended on Jan. 20, 2015; Apr. 20, 2021> |
| (5) | Where a local council passes a resolution on a public property management plan, the local council’s resolution on the acquisition and disposal of important property pursuant to Article 47 (1) 6 of the Local Autonomy Act shall be deemed passed. <Amended on Jan. 20, 2015; Jan. 12, 2021; Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
[Title Amended on Apr. 20, 2021]
[Moved from Article 10 <Apr. 20, 2021>]
| Article 11 (Change or Repeal of Use) |
Where any public property falls under any of the following, the head of a local government may change or repeal such use: <Amended on Apr. 20, 2021>
| 1. | Where administrative property is practically no longer used for administrative purposes; |
| 2. | Where some of the administrative property, including international sports facilities and other sports facilities, conference facilities and other international conference centers, international exhibition halls and other exhibition halls, and other public facilities are determined not to be used for their original purposes; |
| 3. | Where any public property is necessary for the entrusted development under Article 43-3; |
| 4. | Where it is intended to change the use of property, from general property to administrative property. |
[This Article Wholly Amended on Feb. 4, 2010]
| Article 12 (Transfer of Property between Accounts) |
Where any property belonging to one of the accounts of a local government is to be transferred to another, such transfer shall be done onerously: Provided, That where it is transferred to be used as official or public property, the transfer may be done gratuitously through deliberation of the public property council of the relevant local government. <Amended on Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
| Article 13 (Prohibition on Constructing Permanent Facilities) |
No person, other than the head of the relevant local government, shall construct any types of structures, such as buildings, ditches, bridges, and other permanent facilities on public property: Provided, That the same shall not apply to cases prescribed by Presidential Decree where no disruption is caused to the use and utilization of the relevant public property. <Amended on Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
| Article 14 (Delegation of Management of Public Property and Relevant Duties) |
| (1) | Where the head of a local government manages or disposes of the public property under his or her jurisdiction, he or she may delegate the management or disposal of the public property to a public official under his or her jurisdiction; the Special Metropolitan City Mayor, a Special-Self Governing City Mayor, or a Do Governor may delegate the management or disposal of the property to the head of a Si/Gun/Gu. <Amended on Apr. 20, 2021> |
| (2) | The public official delegated under paragraph (1) shall be referred to as "property manager." |
| (3) | Where the Special Metropolitan City Mayor, a Special-Self Governing City Mayor, or a Do Governor delegates the management or disposal of public property to the head of a Si/Gun/Gu under paragraph (1), the Special Metropolitan City, the Special-Self Governing City, or the Do shall transfer the amount prescribed by Presidential Decree to the relevant Si/Gun/Gu to make up for the expenses incurred in such duties. <Newly Inserted on Feb. 4, 2010; Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 15 (Restrictions on Conduct of Property Managers) |
| (1) | No property manager or any other public official engaged in duties related to the management of public property shall acquire public property which he or she manages or exchange it with his or her private property: Provided, That the same shall not apply where he or she obtains permission therefor from the head of the relevant local government. <Amended on Apr. 20, 2021> |
| (2) | Any conduct committed in violation of paragraph (1) shall be null and void. |
| (3) | Where a public official of the relevant local government who is not subject to paragraph (1) intends to acquire public property or exchange it with his or her private property, he or she shall report to the head of the relevant local government in advance, as prescribed by Presidential Decree. <Newly Inserted on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 16 (Public Property Council) |
| (1) | A public property council shall be established under each local government to advise on the management and disposal of public property to the head of the local government. |
| (2) | A public property council referred to in paragraph (1) shall deliberate on the following: <Amended on Jan. 20, 2015; Apr. 20, 2021> |
| 1. | Where a mid-term public property management plan or a public property management plan is formulated or amended pursuant to Articles 10 and 10-2; |
| 2. | Where any administrative property use is changed or repealed pursuant to Article 11; |
| 3. | Where any general property use is changed to an administrative property use pursuant to Article 11; |
| 4. | Where any property is transferred between accounts gratuitously pursuant to the proviso of Article 12; |
| 5. | Where usage fees or rental fees are reduced or exempted pursuant to Article 24 or 34, or other statutes; |
| 6. | Other cases prescribed by ordinance of the relevant local government with respect to the management, disposal, etc. of public property. |
| (3) | The public property council referred to in paragraph (1) shall consist of at least seven and up to 15 members, including one chairperson and two vice chairpersons, as prescribed in the following: <Newly Inserted on Jan. 20, 2015; Apr. 20, 2021> |
| 1. | The vice head of the relevant local government shall serve as the chairperson of the public property council; |
| 2. | The director general in charge of property management in the relevant local government and one civilian member shall respectively serve as a vice chairperson of the council; the vice chairperson who is a civilian member shall be elected among and by the members of the public property council; |
| 3. | The members of the council shall be appointed or commissioned by the head of the local government from among the public officials under its jurisdiction and persons with abundant knowledge and experience in the field of public property. In such cases, the fixed number of civilian members shall constitute a majority of the total fixed number of members of the council. |
| (4) | Other matters necessary for the composition and operation of a public property council shall be prescribed by Presidential Decree. <Newly Inserted on Jan. 20, 2015> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 17 (Consultation on Bills of Statutes or Regulations Related to Public Property) |
Where the head of a central administrative agency intends to enact, amend, or repeal any statute or regulation related to the management and disposal of public property, he or she shall consult in advance with the Minister of the Interior and Safety. <Amended on Mar. 23, 2013; Nov. 19, 2014; Jul. 26, 2017>
[This Article Wholly Amended on Dec. 26, 2008]
| Article 18 (Payment of Expenses for Public Property of Local Governments Used by the State) |
Where the State uses public property of a local government, it shall bear the expenses incurred in the management thereof: Provided, That the same shall not apply where consent is obtained from the local council. <Amended on Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
| Article 18-2 (Public Property Management Fund) |
| (1) | The head of a local government may establish a public property management fund (hereinafter referred to as the "Fund") to enhance the utility of public property through a balanced supply of and demand for public property and through development, etc. thereof. |
| (2) | The Fund shall be financed from the following resources: |
| 1. | Contributions or contributed property from a local government; |
| 2. | Money transferred from other accounts or funds; |
| 3. | Some of the proceeds from the management of property, such as rental fees, indemnities, etc. related to general property (excluding securities), and of the proceeds from the disposal of property, such as sale and exchange; |
| 4. | Proceeds from the management and disposal of the developed general property; |
| 5. | Other proceeds from the management and operation of the Fund other than financial resources prescribed in subparagraphs 1 through 4. |
| (3) | The Fund shall be used for any of the following purposes: |
| 1. | Payment of the expenses incurred in the acquisition of public property; |
| 2. | Payment of the expenses incurred in the management, disposal and development of general property; |
| 3. | Payment of the amount of attribution or entrustment fees necessary for delegating or entrusting duties relating to the management or disposal of real estate among general property; |
| 4. | Funds transferred into other accounts or funds; |
| 5. | Payment of the expenses incurred in the management or operation of the Fund, other than the uses prescribed in subparagraphs 1 through 4. |
| (4) | Matters regarding the vesting ratio of proceeds from disposal such as sale and exchange under paragraph (2) 3, and other matters necessary for the operation, etc. of the Fund shall be prescribed by Presidential Decree. |
[This Article Newly Inserted on Apr. 20, 2021]
| Article 18-3 (Public Property Policy Council) |
| (1) | A Public Property Policy Council (hereinafter referred to as the "Council") shall be established under the Ministry of the Interior and Safety to conduct consultation and coordination on the following matters: |
| 1. | Matters regarding major policy directions for public property; |
| 2. | Important matters regarding the establishment and repeal of statutes, regulations, and systems related to public property; |
| 3. | Other matters requiring consultation and coordination on public property. |
| (2) | The Council shall be comprised of up to 20 members, including the chairperson. |
| (3) | The Vice Minister of the Interior and Safety shall serve as the chairperson of the Council, and the Council members shall be appointed or commissioned by the Minister of the Interior and Safety, from among the following persons. In such cases, the fixed number of members who are not public officials shall be at least 1/2 of the total fixed number of members: |
| 1. | Nine public officials of a local government; |
| 3. | Persons who have extensive knowledge of and experience in the field of public property. |
| (4) | Other matters necessary for the organization, operation, etc. of the Council shall be prescribed by Presidential Decree. |
[This Article Newly Inserted on Apr. 20, 2021]
CHAPTER III ADMINISTRATIVE PROPERTY
| Article 19 (Restrictions on Disposal) |
| (1) | No administrative property shall be lent, sold, exchanged, transferred, or trusted, or subject to a payment in substitutes or an investment, and no private right shall be established on administrative property: Provided, That the same shall not apply in any of the following cases: <Amended on Feb. 4, 2010; Apr. 20, 2021> |
| 1. | Where the administrative property is transferred to the State or another local government on condition that its use and nature are maintained, as prescribed by Presidential Decree; |
| 2. | Where the administrative property is exchanged with property owned by a person other than the relevant local government to manage it as administrative property; |
| (2) | Where any administrative property is transferred pursuant to paragraph (1) 1, a special agreement shall be registered stating that the transfer contract shall be canceled should the property that has been transferred be used for any purpose other than the purpose of the transfer within 10 years. |
| (3) | The types, prices, etc. of administrative property exchanged pursuant to paragraph (1) 2 may be restricted as prescribed by Presidential Decree. <Newly Inserted on Feb. 4, 2010> |
| (4) | Where any administrative property is to be exchanged with another property pursuant to paragraph (1) 2, if the prices of the two are not the same, the difference shall be paid in cash. <Newly Inserted on Feb. 4, 2010> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 20 (Permission for Use) |
| (1) | The head of a local government may grant permission to use any administrative property to the extent not detrimental to its purpose or use. <Amended on Apr. 20, 2021> |
| (2) | Where the head of a local government intends to grant permission to use any administrative property under paragraph (1), he or she shall use an open competitive bid process: Provided, That he or she may grant permission through a selective competitive bid process, a nominated competitive bid process, or a private contract in any of the following cases: <Amended on Feb. 4, 2010; Jan. 7, 2014; Jan. 20, 2015; Apr. 20, 2021> |
| 1. | Cases prescribed by Presidential Decree which are deemed necessary in view of the purpose, nature, etc. of the permission; |
| 2. | Where the donor, his or her heir, or other general successor prescribed in Article 7 (2) 1 is granted permission to use administrative property free of charge. |
| (3) | No person granted permission to use administrative property under paragraph (1) shall allow any other third party to use or profit from the administrative property: Provided, That where the person granted permission to use administrative property under paragraph (1) happens to be the donor of the administrative property, his or her heir, or other general successor prescribed in Article 7 (2) 1, he or she may allow any other third party to use or profit from such administrative property after obtaining approval of the head of the relevant local government. <Amended on Apr. 20, 2021> |
| (4) | Where it is deemed that using or profiting from administrative property under the proviso of paragraph (3) is detrimental to its purpose or use or will make it impracticable to restore the administrative property to its original state, the head of the local government shall not grant approval. <Amended on Apr. 20, 2021> |
| (5) | A person granted permission to use administrative property under paragraph (1) shall return the administrative property in its original state when the period of permission for use expires or when the permission for use is revoked under Article 25: Provided That where the head of the local government approves in advance any change to the original state of the administrative property, it may be returned in such changed state. <Amended on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
[Title Amended on Apr. 20, 2021]
| Article 21 (Period of Permission for Use) |
| (1) | The period of permission for the use of any administrative property shall be up to five years from the date such permission is obtained: Provided, That in cases falling under Article 7 (2) 1, the period of permission for use shall be up to the period from the date of obtaining permission for gratuitous use to the date when the total sum of usage fees reaches the value of the property donated, and such period shall not exceed 20 years in total (hereafter in this Article referred to as “total usable period”). <Amended on Jan. 7, 2014; Jan. 20, 2015; Apr. 20, 2021> |
| (2) | With respect to permission for use granted under a private contract prescribed in Article 20 (2) 1, the head of a local government may renew the permission for use within the period of permission for use under the main clause of paragraph (1) before the period of permission for use expires: Provided, That the period of permission for use shall be renewed only once, except for using or profiting under the private contract. <Amended on Feb. 4, 2010; Jan. 20, 2015; Apr. 20, 2021> |
| (3) | The head of a local government may renew permission for use by up to five years on only one occasion for a person not subject to paragraph (2) as well: Provided, That in cases falling under Article 7 (2) 1, such permission for use may be renewed by up to 10 years within the total usable period on only one occasion. <Amended on Jun. 8, 2010; Jan. 7, 2014; Jan. 20, 2015; Apr. 20, 2021> |
| (4) | Where a person granted permission for use falls under any of the following subparagraphs, the head of the relevant local government may extend the relevant period of permission for use. In such cases, the period of permission for use to be extended shall not exceed the period during which such person is not able to use or profit from the relevant administrative property for any of the following reasons: <Amended on Feb. 4, 2010; Apr. 20, 2021; Nov. 15, 2022> |
| 2. | Where the use of the property is restricted due to causes attributable to the relevant local government. |
| (5) | Any person who intends to obtain renewal of permission for use pursuant to paragraphs (2) and (3) or to obtain an extension of the period of permission for use pursuant to paragraph (4) shall apply to the head of the local government for the renewal of permission for use or for an extension of the period of permission for use at least one month prior to the expiration of the relevant period of permission for use. <Newly Inserted on Feb. 4, 2010; Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
[Title Amended on Apr. 20, 2021]
| (1) | Where the head of a local government grants permission to use any administrative property, he or she shall annually collect usage fees based on the rates and calculation methods prescribed by Presidential Decree: Provided, That where the annual usage fees do not exceed the amount prescribed by Presidential Decree, all the usage fees for the period of permission for use may be collected in a lump sum. <Amended on Apr. 20, 2021> |
| (2) | The usage fees prescribed in paragraph (1) shall be paid in a lump sum within a period prescribed by Presidential Decree: Provided, That in cases prescribed by Presidential Decree where it is deemed impracticable to require a lump sum payment of the usage fees, the usage fees may be paid in installments in the amount determined by adding the interest prescribed by Presidential Decree in consideration of the level of the interest rate of one-year term deposits. |
| (3) | Where the usage fees are to be paid in installments pursuant to the proviso of paragraph (2), it may be required to deposit guarantee money not larger than the amount prescribed by Presidential Decree or to purchase the performance guarantee insurance with the local government being the insured. <Amended on Apr. 20, 2021> |
| (4) | Deleted. <Feb. 4, 2010> |
| (5) | Where all the usage fees are collected in a lump sum pursuant to the proviso of paragraph (1), no rental fees shall be additionally collected or returned, despite an increase or decrease in usage fees over the period of permission for use. <Newly Inserted on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 23 (Adjustment of Usage Fees) |
| (1) | Where a person (his or her heir or other general successor shall be deemed the same person as his or her predecessor) continuously uses or profits from the same administrative property for over one year, and if the annual usage fees for the relevant year calculated pursuant to Article 22 (1) increase by at least 5/100 compared to the annual usage fees for the preceding year, the head of a local government may adjust and reduce the usage fees by the increased amount, as prescribed by Presidential Decree. <Amended on Jan. 7, 2014; Apr. 20, 2021> |
| (2) | Where any general property becomes subject to usage fees prescribed in this Act for such reasons as change of use, paragraph (1) shall apply mutatis mutandis to the calculation of its usage fees. <Amended on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 24 (Reduction of or Exemption from Usage Fees) |
| (1) | When granting permission to use any administrative property, the head of a local government may exempt the relevant usage fees in any of the following cases, notwithstanding Article 22: <Amended on Apr. 20, 2021; Nov. 15, 2022> |
| 1. | Where the State or a local government intends to directly use the administrative property for official or public use or for non-profit public service; |
| 2. | Regarding any donated property accepted for the purpose of using it as administrative property, where permission is granted to the donor, his or her heir, or other general successor to allow him or her to use such property pursuant to Article 7 (2) 1; |
| 3. | Where a person who plans to build and donate a new building, etc. intends to use the site for the new building, etc., during the period of construction thereof; |
| 4. | Other cases prescribed by Presidential Decree and agreed by the local council, such as permitting local residents affected by a disaster to use the administrative property for a certain period. |
| (2) | Notwithstanding Article 22, in cases prescribed by Presidential Decree including where it is necessary to vitalize the local economy, the head of a local government may reduce usage fees as prescribed by Presidential Decree. |
| (3) | Where a person who has obtained permission to use administrative property is not able to use such property for a certain period due to a disaster, the head of a local government may reduce the usage fees and interest thereon over the period required for complete recovery from the relevant disaster by the amount calculated by applying a daily rate. <Amended on Apr. 20, 2021; Nov. 15, 2022> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 25 (Cancellation of Permission for Use) |
| (1) | Where any person who has obtained permission to use administrative property pursuant to Article 20 (1) falls under any of the following, the head of a local government may revoke such permission: <Amended on Apr. 20, 2021> |
| 1. | Where he or she allows any third person to use or profit from the administrative property for which permission for use has been granted, in violation of Article 20 (3); |
| 2. | Where he or she neglects the management of the relevant administrative property or violates the purpose of its use; |
| 3. | Where he or she alters the original state of the administrative property for which permission for use has been granted, without obtaining approval of the head of the relevant local government; |
| 4. | Where he or she is found to have obtained permission for use by making a false statement, submitting any false documentary evidence, or engaging in any other improper conduct; |
| 5. | Where he or she fails to pay usage fees within the payment deadline prescribed in Article 22 (2). |
| (2) | Where administrative property for which permission for use has been granted is directly required by the State or a local government for its official or public use, the head of the local government may revoke such permission. <Amended on Apr. 20, 2021> |
| (3) | Where a person who has obtained the relevant permission suffers a loss due to revocation thereof pursuant to paragraph (2), compensation shall be paid as prescribed by Presidential Decree. <Amended on Apr. 20, 2021> |
| (4) | Where the head of a local government revokes permission for using administrative property, which has been donated, under paragraph (1) or (2), and where there is a person who has used or profited from such administrative property under the proviso of Article 20 (3), the head of the local government shall notify him or her of such revocation. <Amended on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
[Title Amended on Apr. 20, 2021]
Where the head of a local government intends to revoke permission to use any administrative property pursuant to Article 25 (1), he or she shall hold a hearing thereon. <Amended on Apr. 20, 2021> [This Article Wholly Amended on Dec. 26, 2008]
| Article 27 (Entrustment of Management of Administrative Property) |
| (1) | Where it is deemed necessary for the efficient management of administrative property, the head of a local government may entrust the management of such property (hereinafter referred to as "entrustment of management") to a person other than a local government, as prescribed by Presidential Decree. |
| (2) | The head of a local government shall entrust the management of administrative property under paragraph (1) by an open competitive bid: Provided, That where it is deemed necessary in view of the purpose, nature, and scale of a contract, regional characteristics, etc., the eligibility to participate in a bid may be limited, or a restrictive tender or private contract may be used, as prescribed by Presidential Decree. <Newly Inserted on Jan. 20, 2015> |
| (3) | Where the head of a local government entrusts the management of administrative property under paragraph (1), he or she may calculate and collect entrustment fees each year as prescribed by Presidential Decree. <Newly Inserted on Jan. 20, 2015> |
| (4) | A person who has been entrusted with the management of administrative property under paragraph (1) shall be deemed to have obtained permission to use such administrative property under Article 20. <Newly Inserted on Feb. 4, 2010; Jan. 20, 2015; Apr. 20, 2021> |
| (5) | A person deemed to have obtained permission to use administrative property pursuant to paragraph (4) may allow any other third party to use or profit from the administrative property to the extent that he or she does not violate the terms of entrustment of management, after obtaining approval of the head of a local government, notwithstanding the main clause of Article 20 (3). <Newly Inserted on Feb. 4, 2010; Jan. 20, 2015; Apr. 20, 2021; Nov. 15, 2022> |
| (6) | Where a person who has been entrusted with management pursuant to paragraph (1) obtains approval of the head of the relevant local government in advance, he or she may use usage fees to cover expenses for the management of the entrusted administrative property, or a person entrusted to manage such property may be allowed to have all or part of the increased income attributable to the efficient management, etc. of such administrative property as his or her income. <Amended on Feb. 4, 2010; Jan. 20, 2015; Apr. 20, 2021> |
| (7) | A local government may grant subsidies to a person entrusted with management to cover the expenses incurred therein. <Amended on Feb. 4, 2010; Jan. 20, 2015> |
| (8) | The following matters shall be prescribed by Presidential Decree: <Amended on Feb. 4, 2010; Jan. 20, 2015; Apr. 20, 2021> |
| 1. | The qualifications of a person for being entrusted with management; |
| 2. | The duration of entrustment of management, and the management of entrusted property; |
| 3. | Payment of expenses using usage fees prescribed in paragraph (6); |
| 4. | Taking all or part of an increase in usage fees as the income of a person entrusted with management; |
| 5. | Other necessary matters regarding the entrustment of management. |
[This Article Wholly Amended on Dec. 26, 2008]
CHAPTER IV GENERAL PROPERTY
SECTION 1 Common Provisions
| Article 28 (Management and Disposal) |
| (1) | Any general property may be lent, sold, exchanged, transferred, or trusted, or a private right may be established in accordance with the following; an investment in kind or payment in substitutes may be made, as prescribed by statutes, regulations, or municipal ordinances: <Amended on Apr. 20, 2021> |
| 2. | Where a foreign-invested company under Article 2 (1) 6 of the Foreign Investment Promotion Act builds an infrastructure facility, concludes an investment agreement on condition that the relevant local government purchases such facility, and then establishes a mortgage to secure the performance thereof, as prescribed by ordinance of the local government. |
| (2) | Matters regarding the scope and details of an investment in kind or payment in substitutes shall be prescribed by Presidential Decree. <Amended on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
[Title Amended on Apr. 20, 2021]
| Article 29 (Methods of Contract) |
| (1) | Any loan or sales contract involving general property shall be concluded through an open competitive bid process: Provided, That in cases prescribed by Presidential Decree, a selective competitive bid process or a nominated competitive bid process may be used or a private contract may be concluded; in cases of securities, public sale of securities prescribed in Article 9 (9) of the Financial Investment Services and Capital Markets Act shall be used; and in cases of selling general property referred to in Article 4 (1) 2 and 3 of this Act, Article 76 (3) shall apply mutatis mutandis. <Amended on Feb. 4, 2010; Jan. 20, 2015; Apr. 20, 2021> |
| (2) | When selling securities pursuant to the proviso of paragraph (1), matters necessary for calculating the price shall be prescribed by Presidential Decree. |
| (3) | No person who takes out a loan under paragraph (1) shall allow any other third party to use such general property. <Newly Inserted on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 30 (Pricing of Property Subject to Disposal) |
The price of general property to be disposed of shall be determined in consideration of the market price, as prescribed by Presidential Decree.
[This Article Wholly Amended on Dec. 26, 2008]
| Article 31 (Loan Periods) |
| (1) | The period of lending general property shall not exceed the periods classified as follows: Provided, That the same shall not apply in cases prescribed by Presidential Decree to promote the local economy: <Amended on Apr. 20, 2021> |
| 1. | Land and its fixtures: Five years; |
| 2. | The property other than those under subparagraph 1: One year. |
| (2) | Where property is lent through a private contract under the proviso of Article 29 (1), the head of a local government may renew the loan contract, for a period not exceeding the loan period prescribed in paragraph (1), before the loan period expires: Provided, That the loan period may be renewed only once, except for lending under a private contract. <Amended on Feb. 4, 2010; Apr. 20, 2021> |
| (3) | The head of a local government may renew a loan contract only on one occasion for a person not subject to paragraph (2) as well. In such cases, any renewed period of loan shall not exceed the loan period prescribed in paragraph (1). <Amended on Feb. 4, 2010; Jan. 7, 2014> |
| (4) | Where a person who has borrowed property falls under any of the following subparagraphs, the head of a local government may extend the loan period. In such cases, the loan period may be extended by up to the period during which such person is not able to use the property for the following reasons: <Amended on Feb. 4, 2010; Nov. 15, 2022> |
| 1. | Where any damage is sustained as a result of a disaster; |
| 2. | Where the use of the property is restricted due to causes attributable to the relevant local government. |
| (5) | Any person who intends to obtain renewal of the loan contract pursuant to paragraphs (2) and (3) or who intends to obtain an extension of the loan period pursuant to paragraph (4) shall apply to the head of the local government for the renewal of the loan contract or for an extension of the loan period at least one month prior to the expiration of the loan period. <Newly Inserted on Feb. 4, 2010> |
[This Article Wholly Amended on Dec. 26, 2008]
| (1) | Where a contract for lending general property is concluded, rental fees shall be annually collected by applying the rates and calculation methods prescribed by Presidential Decree: Provided, That where annual rental fees do not exceed the amount prescribed by Presidential Decree, all the rental fees for the rental period may be collected in a lump sum. <Amended on Apr. 20, 2021> |
| (2) | The rental fees prescribed in paragraph (1) shall be paid in a lump sum within a period prescribed by Presidential Decree: Provided, That in cases prescribed by Presidential Decree where it is deemed impracticable to require a lump sum payment of the rental fees, the rental fees may be paid in installments in the amount determined by adding the interest prescribed by Presidential Decree in consideration of the level of the interest rate of one-year term deposits. |
| (3) | Where the rental fees are to be paid in installments pursuant to the proviso of paragraph (2), it may be required to deposit guarantee money not larger than the amount prescribed by Presidential Decree or to purchase the performance guarantee insurance with the local government being the insured. <Amended on Apr. 20, 2021> |
| (4) | Where all the rental fees are collected in a lump sum pursuant to the proviso of paragraph (1), no rental fees shall be additionally collected or returned, despite an increase or decrease in rental fees over the rental period. <Newly Inserted on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 33 (Adjustment of Rental Fees) |
| (1) | Where a person (his or her heir or other general successor shall be deemed the same person as his or her predecessor) continuously borrows the same general property for over one year, and if the annual rental fees for the relevant year calculated pursuant to Article 32 (1) increase by at least 5/100 compared to the annual rental fees for the preceding year, the head of a local government may adjust and reduce the rental fees by the increased amount, as prescribed by Presidential Decree. <Amended on Jan. 7, 2014; Apr. 20, 2021> |
| (2) | Where administrative property, which is subject to paying usage fees or occupation and usage fees under other statutes, becomes subject to payment of rental fees prescribed in this Act for such reasons as repeal of use, paragraph (1) shall apply mutatis mutandis to calculating its rental fees. |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 34 (Reduction of or Exemption from Rental Fees) |
| (1) | Notwithstanding Article 32, where a loan contract of general property is concluded, its rental fees may be reduced or exempted in any of the following cases: |
| 1. | Where the State or a local government intends to directly use the relevant general property for official or public use or for non-profit public service; |
| 2. | Other cases prescribed by Presidential Decree and agreed by the local council, including where it is deemed necessary to promote the local economy. |
| (2) | Notwithstanding Article 32, in cases prescribed by Presidential Decree, the head of a local government may wholly or partially reduce or exempt rental fees, as prescribed by ordinance of the local government. <Amended on Feb. 4, 2010; Apr. 20, 2021> |
| (3) | Where a person who has borrowed general property is not able to use such general property for a certain period due to a disaster, the head of a local government may reduce the rental fees and interest thereon over the period required for complete recovery from the relevant disaster by the amount calculated by applying a daily rate. <Amended on Nov. 15, 2022> |
| (4) | Where the relevant local government occupies the property of another person and the owner of the relevant property occupies the general property at the same time, the head of the relevant local government may reduce or exempt rental fees for the general property occupied by the owner of the relevant property, as prescribed by Presidential Decree. <Newly Inserted on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 35 (Termination or Cancellation of Loan Contracts) |
| (1) | Where any person who has borrowed general property falls under any of the following, the head of a local government may terminate or cancel the relevant loan contract: <Amended on Feb. 4, 2010> |
| 1. | Where the State or a local government needs the general property that has been lent in order to use it directly for official or public purposes; |
| 2. | Where he or she who has borrowed the general property neglects the management of the relevant property or violates the purpose of its use; |
| 3. | Where he or she transfers the rights to the general property that he or she has borrowed or subleases such general property; |
| 4. | Where he or she alters the original state of the general property that he or she has borrowed without consent of the head of the relevant local government; |
| 5. | Where he or she is found to have concluded the relevant contract by making a false statement, submitting any false documentary evidence, or using any other improper means; |
| 6. | Where he or she fails to pay the rental fees within the payment deadline under Article 32 (2). |
| (2) | Where the head of a local government terminates or cancels a contract under paragraph (1), he or she shall take necessary measures to restore the relevant rights without delay. |
| (3) | Where the termination or cancelation of the contract for the reason prescribed in paragraph (1) 1 causes losses to the other party to the contract, the State or a local government to use the relevant property shall compensate for the losses, as prescribed by Presidential Decree. |
| (4) | Deleted. <Feb. 4, 2010> |
[This Article Wholly Amended on Dec. 26, 2008]
[Title Amended on Apr. 20, 2021]
| Article 36 (Sale of General Property) |
| (1) | General property may be sold, except in any of the following cases: <Amended on Jan. 7, 2014; Apr. 20, 2021> |
| 1. | Where the head of a local government intends to change the use of the relevant property, from general property to administrative property, under subparagraph 4 of Article 11 in order to use it for administrative purposes; |
| 3. | Where general property is subject to restriction on disposal provided for in the standards for operation referred to in Article 94-2 (1) in consideration of the necessity of future administrative purposes, etc.; |
| 4. | In cases of property prescribed by Presidential Decree, which is designated by the head of a local government as requiring management by the local government. |
| (2) | Where general property is to be sold for public purposes, the sale may be made to a purchaser specifying the use of the property and the period to be used for that use specified, as prescribed by Presidential Decree. <Newly Inserted on Feb. 4, 2010> |
| (3) | Where general property is sold by specifying its use under paragraph (2), a special agreement shall be registered stating that the relevant sales agreement shall be canceled should a cause provided for in Article 38 (1) 2 occurs. <Newly Inserted on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 37 (Payment of Proceeds from Sale) |
| (1) | The proceeds from the sale of any general property shall be paid in a lump sum within a period prescribed by Presidential Decree: Provided, That in cases prescribed by Presidential Decree where it is deemed impracticable to require a lump sum payment of the proceeds from the sale of general property, the payment may be made in installments with the interest determined by Presidential Decree in consideration of the level of the interest rate of one-year term deposits. |
| (2) | The proviso of paragraph (1) shall not apply to the proceeds from the sale of movables among general property. |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 38 (Termination or Cancellation of Sales Contract) |
| (1) | Where any purchaser of general property falls under any of the following, the head of a local government may terminate or cancel the relevant sales contract: <Amended on Feb. 4, 2010> |
| 1. | Where he or she is found to have concluded the relevant contract by making a false statement, submitting any false documentary evidence, or engaging in any other improper conduct; |
| 2. | In cases of sale prescribed in Article 36 (2), where he or she fails to use the relevant property for its specified use or to comply with the period to use it for such specified use; |
| 3. | Where he or she fails to pay the purchase price by the payment deadline prescribed in Article 37 (1). |
| (2) | Where the head of a local government terminates or cancels a contract under paragraph (1), he or she shall take necessary measures to restore the relevant rights without delay. |
| (3) | Where the purchaser of general property fails to pay the purchase price by the payment deadline prescribed in Article 37 (1), the head of a local government may collect it in the same manner as delinquent local taxes are collected. <Amended on Jan. 7, 2014> |
[This Article Wholly Amended on Dec. 26, 2008]
[Title Amended on Apr. 20, 2021]
| (1) | The head of a local government may exchange land, buildings, or other fixtures on land, which is or are general property, with State property, public property of any other local government, or private property in any of the following cases: Provided, That the foregoing shall not apply when the Act on Acquisition of and Compensation for Land for Public Works Projects is applied: <Amended on Feb. 4, 2010> |
| 1. | Where the relevant local government directly uses it as property for official or public purposes; or where it is necessary to increase the usefulness of property by keeping small-scale general property in one place for administrative purposes; |
| 2. | Where it is impracticable to dispose of the relevant property by other methods, such as sale, while it is necessary to increase the value and usability of general property; |
| 3. | Where the State or another local government requests exchange in order to directly use it for official or public purposes, or on the ground that it is necessary to increase the usefulness of property by keeping small-scale general property in one place for administrative purposes; |
| 4. | Where it is deemed necessary to vitalize the local economy or to enhance the welfare of local residents, in cases agreed by the local council. |
| (2) | The types, prices, etc., of general property exchanged pursuant to paragraph (1) may be restricted, as prescribed by Presidential Decree. |
| (3) | Where any property is to be exchanged with another property pursuant to paragraph (1), if the prices of the two are not the same, the difference shall be paid in cash |
[This Article Wholly Amended on Dec. 26, 2008]
| (1) | General property may be transferred in any of the following cases: <Amended on Apr. 20, 2021> |
| 1. | Where a Si/Gun/autonomous Gu located in the relevant Special Metropolitan City, Metropolitan City, or Do needs general property for official or public use; |
| 2. | Where general property, which has been created with a subsidy from the National Treasury or a local subsidy whose use has been designated or with a donation, is to be transferred according to the relevant use; |
| 3. | In cases of administrative property whose use is repealed, where the administrative property is transferred to a person who has prepared and provided another facility to replace such use, or to his or her heir or other general successor; |
| 4. | Where land located in an urban planning project implementation area is transferred to a local government that has executed the urban planning project; |
| 5. | In other cases prescribed by Presidential Decree, where the value of assets falls or it is not necessary to possess assets. |
| (2) | Where any general property is transferred for any reason prescribed in paragraph (1) 1 or 2, a special agreement shall be registered stating that the transfer agreement shall be canceled should the general property that has been transferred be used for any purpose other than the purpose of the transfer within 10 years. |
| (3) | The subject and scope of transfer provided for in paragraph (1) 2 shall be prescribed by Presidential Decree. <Newly Inserted on Feb. 4, 2010> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 41 (Cancellation of Transfer Contracts) |
| (1) | Where any person to whom general property has been transferred falls under any of the following, the relevant transfer contract may be canceled: |
| 1. | Where the transferee fails to use general property, which has been transferred by designating its use, for its designated use even after the designated date passes; or where the transferee uses the general property for such designated use for a while but ceases to use it for the use during the designated period; |
| 2. | Where the transferee is found to have concluded the contract by making false statements, submitting false documentary evidence, or engaging in any other improper conduct. |
| (2) | Where the head of a local government cancels a contract under paragraph (1), he or she shall take necessary measures to restore the relevant rights without delay. |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 42 (Trust Development) |
| (1) | General property (limited to land and its fixtures; hereafter in this Section the same shall apply) may be trusted to and developed by a trust company which transacts the business of real estate trust. <Amended on Apr. 20, 2021> |
| (2) | The trust of any general property prescribed in paragraph (1) shall not be made with intent to obtain the results of a gratuitous loan, exchange, or transfer in violation of this Act, and the beneficiary shall not be a person other than the relevant local government. |
| (3) | The types of trust referred to in paragraph (1) shall be as follows: |
| 1. | Sale-type trust: A trust that develops general property that has been trusted, and pays the proceeds from selling the property to a local government; |
| 2. | Rent-type trust: A trust that develops general property that has been trusted, and pays the proceeds generated from leasing the property for a certain period to a local government; |
| 3. | Hybrid trust: A trust that develops general property that has been trusted, selling part of the property and leasing part of the property for a certain period to pay the proceeds generated therefrom to a local government. |
| (4) | The trust periods according to the types of trust prescribed in paragraph (3) shall be as follows: |
| 1. | Sale-type trust: Until the sale is completed, up to a period of five years; |
| 2. | Rent-type trust and hybrid trust: Up to a period of 30 years. |
| (5) | The trust periods referred to in paragraph (4) may be renewed. In such cases, the renewed period shall not exceed the trust period provided for in paragraph (4) for each time renewal is granted. |
[This Article Wholly Amended on Dec. 26, 2008]
[Title Amended on Apr. 20, 2021]
Necessary matters concerning the method of vesting the proceeds generated from the trust in a local government, the trust fees to be paid to trust companies, the scope of selecting trust companies, etc. pursuant to Article 42 shall be prescribed by Presidential Decree. [This Article Wholly Amended on Dec. 26, 2008]
| Article 43-2 (Entrustment of General Property) |
| (1) | The head of a local government may entrust the duties of managing or disposing of general property to a person, prescribed by Presidential Decree, as a corporation established under a special Act for the purpose of efficiently managing or disposing of general property. |
| (2) | A person entrusted with the duties under paragraph (1) (hereafter in this Section referred to as “entrusted institution”) shall manage or dispose of the entrusted property with due care as a good manager. <Amended on Feb. 4, 2010> |
| (3) | No entrusted institution shall engage in any of the following conduct without approval of a local government: |
| 1. | Using the entrusted property for purposes other than the use of entrustment; |
| 2. | Altering the original state of the entrusted property. |
| (4) | The head of a local government may terminate the entrustment of all or part of the property in any of the following cases: |
| 1. | Where the entrusted property is required for official or public purposes; |
| 2. | Where the entrusted institution has violated this Act. |
| (5) | The scope of institutions to be entrusted with the duties, the entrustment period, and other matters necessary for entrustment shall be prescribed by Presidential Decree. |
[This Article Newly Inserted on Dec. 26, 2008]
[Title Amended on Feb. 4, 2010]
| Article 43-3 (Entrusted Development) |
| (1) | The head of a local government may entrust an institution with the development of the relevant general property for its efficient utilization. <Amended on Apr. 20, 2021> |
| (2) | Development referred to in paragraph (1) means the following: <Newly Inserted on Dec. 29, 2020> |
| (3) | The types of development referred to in paragraph (1) shall be as follows: <Amended on Dec. 29, 2020> |
| 1. | Sale-type development: Developing the property that has been entrusted, and paying the proceeds from selling the property to a local government; |
| 2. | Rent-type development: Developing the property that has been entrusted, and paying the proceeds generated from leasing it for a certain period to a local government; |
| 3. | Hybrid development: Developing the property that has been entrusted, and selling part of the property and leasing part of the property for a certain period to pay the proceeds generated therefrom to a local government. |
| (4) | The entrustment period for each type of development prescribed in paragraph (3) shall be as follows: <Amended on Dec. 29, 2020> |
| 1. | Sale-type development: Until the sale is completed, but up to a period of five years; |
| 2. | Rent-type development: Up to a period of 30 years; |
| 3. | Hybrid-type development: In cases of sale-type development, until the sale is completed, up to a period of five years; and in cases of rent-type development, up to a period of 30 years. |
| (5) | The entrustment periods referred to in paragraph (4) may be renewed. In such cases, the renewed period shall not exceed the entrustment period provided for in paragraph (4), each time renewal is granted. <Amended on Dec. 29, 2020> |
| (6) | A local government may use part of the property developed under paragraph (1) as administrative property. In such cases, the price for the portion used by the local government may be paid by such methods as subtracting the relevant amount from the proceeds to be paid to the local government. <Amended on Feb. 4, 2010; Dec. 29, 2020> |
| (7) | In cases of developing general property under paragraph (1), the following matters shall be considered: <Newly Inserted on Dec. 29, 2020> |
| 1. | Soundness of financial management, such as increase of financial revenue; |
| 2. | Convenience for the public, such as providing public facilities; |
| 3. | Contribution to local development, such as improvement of surrounding environments; |
| 4. | Other necessities for achieving administrative objectives, in addition to the matters prescribed in subparagraphs 1 through 3. |
| (8) | The head of a local government shall disclose the outcomes of entrusting the development of general property under paragraph (1) in accordance with the procedures and methods prescribed by Presidential Decree. <Newly Inserted on Apr. 20, 2021> |
| (9) | Methods of vesting the proceeds generated from the entrusted development in a local government, the fees to be paid to an entrusted institution, and other necessary matters shall be prescribed by Presidential Decree. <Newly Inserted on Apr. 20, 2021> |
[This Article Newly Inserted on Dec. 26, 2008]
[Title Amended on Apr. 20, 2021]
| Article 43-4 Deleted. <Apr. 20, 2021> |
CHAPTER IV-2 SPECIAL CASES CONCERNING MANAGEMENT AND DISPOSAL OF INTELLECTUAL PROPERTY
| Article 43-5 (Permission to Use Intellectual Property) |
| (1) | A person who has obtained permission to use or borrow intellectual property (hereinafter referred to as "permission for use, etc.") may allow any third person to use or profit from such intellectual property after obtaining approval from the head of the relevant local government, notwithstanding the main clause of Article 20 (3) and Article 35 (1). <Amended on Apr. 20, 2021> |
| (2) | A person who has obtained permission for use, etc. of copyright, etc., may transform, change, or adapt the relevant work after obtaining approval therefor from the head of the local government that manages the relevant intellectual property. |
[This Article Newly Inserted on Jan. 20, 2015]
[Title Amended on Apr. 20, 2021]
| Article 43-6 (Methods of Granting Permission for Use of Intellectual Property) |
| (1) | Where the head of a local government intends to grant permission for use, etc. of intellectual property, notwithstanding the main clause of Article 20 (2) and the main clause of Article 29 (1), he or she shall do so by a private contract, and may grant permission to several persons at a time or on several occasions. |
| (2) | No person who obtains permission for use, etc. pursuant to paragraph (1) shall interfere with the use of the relevant intellectual property by any third person. |
| (3) | The head of a local government may revoke permission for use, etc., granted to a person who interferes with the use of the relevant intellectual property by any third person in violation of paragraph (2). |
| (4) | Where no person, other than the relevant applicant, intends to obtain permission for use, etc., during the period of permission for use, etc., provided for in Article 43-9 (1); or where it is deemed particularly necessary to efficiently manage intellectual property as prescribed by Presidential Decree, notwithstanding paragraph (1), the head of a local government may grant permission for use, etc., only to a specific person. In such cases, the main clause of Article 20 (2) and the main clause of Article 29 (1) shall apply to the methods of granting permission for use, etc. |
[This Article Newly Inserted on Jan. 20, 2015]
| Article 43-7 (Usage Fees of Intellectual Property) |
| (1) | Where permission for use, etc. of intellectual property is granted, notwithstanding Articles 22 (1) and 32 (1), usage fees or rental fees shall be collected in an amount prescribed by Presidential Decree taking into account revenue from the relevant intellectual property, etc. |
| (2) | Articles 23 and 33 (1) shall not apply where a person (his or her heir or other general successors shall be deemed the same person as his or her predecessor) continuously uses or profits from the same intellectual property. |
[This Article Newly Inserted on Jan. 20, 2015]
| Article 43-8 (Reduction of or Exemption from Usage Fees or Rental Fees of Intellectual Property) |
Except as provided in Articles 24 (1) and 34 (1), usage fees or rental fees may be reduced or exempted, as prescribed by Presidential Decree, in any of the following cases: <Amended on Jun. 22, 2015; Oct. 16, 2018; Dec. 28, 2021> | 2. | In other cases where it is deemed necessary to utilize intellectual property for public purposes: Reduction or exemption. |
[This Article Newly Inserted on Jan. 20, 2015]
| Article 43-9 (Period of Permission for Use of Intellectual Property) |
| (1) | Notwithstanding Article 21 or 31, the period of permission to use or borrow intellectual property shall be prescribed by Presidential Decree within a period of five years. |
| (2) | Where the period of permission to use or borrow intellectual property (excluding intellectual property prescribed by Presidential Decree) referred to in paragraph (1) expires, the period of permission for use, etc. previously granted may be renewed by a period not exceeding the period of permission to use or borrow prescribed in paragraph (1): Provided, That the permission for use, etc., granted under Article 43-6 (4) may be renewed only on one occasion. |
[This Article Newly Inserted on Jan. 20, 2015]
| Article 43-10 (Vesting of Copyright) |
| (1) | Where the head of a local government concludes a contract for producing a work with a person, other than the relevant local government, he or she shall prescribe matters regarding the vesting of copyright on the work in the contract. |
| (2) | Where the head of a local government concludes a contract for collaborative creation with a person, other than the relevant local government, notwithstanding Article 8, the copyright on the end product shall be jointly owned; the shares therein shall be equally divided, except as otherwise provided for: Provided, That the principal agent in whom the copyright is vested, the share ratio, etc., may be otherwise determined taking into consideration the level of contribution to the end product and the characteristics of the subject matter of the contract, such as national security, national defense and diplomatic relations. |
| (3) | Where the head of a local government concludes a contract under paragraphs (1) and (2), he or she shall conclude no contract to the effect that the copyright on the end product is fully vested in a person, other than the relevant local government. |
[This Article Newly Inserted on Jan. 20, 2015]
CHAPTER V PUBLIC PROPERTY REGISTER AND REPORTING
| Article 44 (Register and Inspections) |
| (1) | The head of a local government and the head of each government agency shall take necessary measures for preserving its right to the public property under its jurisdiction, such as the record and registration thereof, according to the classifications and types of the relevant public property prescribed in Article 5; and prepare the register of the public property by attaching relevant drawings and other evidential documents thereto. In such cases, electronic data may substitute for the public property register. |
| (2) | A property manager shall inspect the actual status of the public property under his or her jurisdiction each year; prepare and retain the records on matters regarding the management of and changes to such property; and report the results thereof to the head of the relevant local government. |
| (3) | Where it is deemed necessary to efficiently manage public property, the head of a local government may request a specialized institution to inspect the actual management status of public property, determining the scope of public property subject to inspection, the period of inspection, the matters to be inspected, the cost of inspection, etc. |
| (4) | Matters necessary for the scope, methods, etc. of the inspection of the actual status of public property referred to in paragraph (2) shall be prescribed by Presidential Decree. <Newly Inserted on Feb. 4, 2010> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 45 (Perusal of Property-Related Official Books) |
Where it is necessary to manage public property (including disposition on delinquency), any public official in charge of duties regarding public property or any person entrusted with duties of managing or disposing of general property pursuant to Article 43-2 may request the head of the registry office or the head of any other relevant administrative agency to allow the perusal or reproduction of any necessary documents, or to issue a certified copy or extract, or a certificate of registered matters, of such documents, without any charge. <Amended on Feb. 4, 2010; Apr. 12, 2011> [This Article Wholly Amended on Dec. 26, 2008]
| Article 46 (Price Assessment) |
Any accounting treatment of public property, including assessment of the price of public property, shall be in conformity with the accounting standards prescribed in Article 12 of the Local Accounting Act. <Amended on May 29, 2016> [This Article Wholly Amended on Feb. 4, 2010]
| Article 47 (Preparation of Reports on Actual Status of Public Property) |
| (1) | The head of a local government shall prepare a report on the increase or decrease of the public property under its jurisdiction between the immediately preceding fiscal year and the relevant fiscal year, and a report on the current value of such public property based on the updated prices as of December 31 of each year, as prescribed by Presidential Decree; and submit them to the relevant local council. <Amended on Apr. 20, 2021> |
| (2) | Where the head of a local government prepares a report on the increase or decrease of public property pursuant to paragraph (1), he or she shall examine and analyze the increase or decrease from the immediately preceding year organized by causes therefor and by relevant detail. |
[This Article Wholly Amended on Dec. 26, 2008]
CHAPTER VI COMMON PROVISIONS ON COMMODITIES
| Article 48 Deleted. <Feb. 4, 2010> |
| Article 49 (Classification of Commodities) |
| (1) | The head of a local government shall classify commodities by function, nature, agency, and item, according to their use and disposal purposes, so as to improve the appropriateness in the management or disposal of the commodities under his or her jurisdiction. <Amended on Apr. 20, 2021> |
| (2) | The classification prescribed in paragraph (1) shall not be contrary to the purpose of commodity-related expenses stated in the budget of the relevant local government: Provided, That where it is impracticable to classify the commodities according to the purpose stated in the budget for any special reason, they may be classified otherwise. <Amended on Apr. 20, 2021> |
| (3) | The criteria for the classification of commodities and other matters necessary for classifying commodities under paragraphs (1) and (2) shall be prescribed by Presidential Decree. |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 50 (Prohibition of Investment) |
The head of a local government shall not use commodities for investment purposes or establish a private right on them, except in accordance with statutes or municipal ordinances. <Amended on Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
| Article 51 (Standardization) |
The head of a local government shall standardize the commodities used by its organs as prescribed by Presidential Decree.
[This Article Wholly Amended on Dec. 26, 2008]
| Article 52 (Commodity Management Officers) |
| (1) | The head of a local government may delegate the duties related to managing the commodities under his or her jurisdiction to a public official under his or her jurisdiction. <Amended on Apr. 20, 2021> |
| (2) | A public official delegated with the duties under paragraph (1) shall be referred to as a "commodity management officer." |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 53 (Commodity Accounting Officials) |
| (1) | A commodity management officer (including public officials who take partial charge of commodity management duties pursuant to Article 55 (1); hereinafter the same shall apply) may delegate duties related to the acquisition, disbursement and custody of commodities (excluding duties related to orders of acquisition or disbursement; hereinafter the same shall apply) that he or she manages to a public official of the government office to which he or she belongs, as prescribed by Presidential Decree. <Amended on Apr. 20, 2021> |
| (2) | A public official delegated with duties of the acquisition, disbursement and custody of commodities under paragraph (1) shall be referred to as a “commodity accounting official.” |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 54 (Commodity Operating Officers) |
| (1) | A commodity management officer may, where necessary, require public officials of the government office to which he or she belongs to use commodities according to the purpose of the administrative affairs or projects of the local government or according to their use, or delegate duties relating to maintaining, preserving and operating commodities in use (hereinafter referred to as “duties related to the use of commodities”) to such public officials, as prescribed by Presidential Decree. <Amended on Apr. 20, 2021> |
| (2) | A public official delegated with duties related to the use of commodities under paragraph (1) shall be referred to as a "commodity operating officer." <Amended on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 55 (Taking Partial Charge of Duties of, and Acting for, Management Agencies) |
| (1) | The head of a local government may have a public official take partial charge of the duties of commodity management; a commodity management officer may have a public official take partial charge of the duties of a commodity accounting official, as prescribed by Presidential Decree. <Amended on Apr. 20, 2021> |
| (2) | Where a commodity management officer is not able to perform his or her duties for any unavoidable reasons, the head of a local government may designate a public official to act on his or her behalf; where a commodity accounting official or a commodity operating officer is not able to perform his or her duties for any unavoidable reasons, a commodity management officer may designate a public official to act on his or her behalf, as prescribed by Presidential Decree. <Amended on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 56 (Sharing of Information on Management of Commodities) |
In order to efficiently and appropriately manage commodities of local governments, the Minister of the Interior and Safety may cooperate with the Administrator of the Public Procurement Service by sharing information on commodity management standards, etc. <Amended on Mar. 23, 2013; Nov. 19, 2014; Jul. 26, 2017; Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
CHAPTER VII MANAGEMENT OF COMMODITIES
SECTION 1 Common Provisions
| Article 57 (Plans for Controlling Supply and Demand of Commodities) |
| (1) | The head of a local government shall formulate a plan for the supply-demand control of commodities regarding the acquisition, use, and disposal of commodities for each fiscal year, in accordance with the budget and administrative affairs, or scheduled projects under his or her jurisdiction, as prescribed by Presidential Decree: Provided, That the same shall not apply to commodities prescribed by the Presidential Decree. <Amended on Apr. 20, 2021> |
| (2) | The head of the local government may amend a plan for the supply-demand control of commodities under paragraph (1), if necessary. <Amended on Apr. 20, 2021> |
| (3) | The head of a local government shall acquire, use, or dispose of commodities according to the plan for the supply-demand control of commodities referred to in paragraph (1) (where the plan is amended pursuant to paragraph (2), referring to the amended plan for the supply-demand control of commodities). |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 58 (Establishment of Commodity Management Standards) |
The head of a local government shall determine the fixed number of major commodities and the standards for using them, as prescribed by Presidential Decree.
[This Article Wholly Amended on Dec. 26, 2008]
| Article 59 (Inventory Control) |
The head of a local government shall establish and administer inventory control standards for commodities frequently used or whose inventory needs to be appropriately maintained. <Amended on Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
| Article 60 (Inventory Investigation) |
| (1) | The head of a local government shall conduct an inventory investigation of the commodities he or she manages every year as prescribed by Presidential Decree, and if deemed necessary, he or she may occasionally conduct inventory investigations. <Amended on Apr. 20, 2021> |
| (2) | Where the results of an inventory investigation referred to in paragraph (1) indicate that there is any loss of or damage to commodities, measures shall be taken in accordance with the Act on Liability of Accounting Personnel. <Amended on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 61 (Inventory Adjustment) |
Where any increase or decrease of the stock of commodities is found as a result of an inventory investigation prescribed in Article 60, if it is obvious that the change was due to clerical mistakes, the head of a local government may make an inventory adjustment as prescribed by Presidential Decree. [This Article Wholly Amended on Dec. 26, 2008]
| Article 62 (Preparation of Reports on Actual Status of Commodities) |
The head of a local government shall prepare a report on the increase or decrease of major commodities between the immediately preceding fiscal year and the relevant fiscal year and a report on the current value of major commodities as of December 31 of each year, as prescribed by Presidential Decree, and submit it to the relevant local council.
[This Article Wholly Amended on Dec. 26, 2008]
| Article 63 (Transfer of Management of Commodities) |
If necessary for the efficient management of commodities, a commodity management officer may transfer the commodities under his or her management to be managed by another commodity management officer in the same local government, as prescribed by Presidential Decree. <Amended on Apr. 20, 2021>
[This Article Wholly Amended on Feb. 4, 2010]
| Article 64 (Maintenance of Commodities) |
The head of a local government shall select commodities to be subject to maintenance, and manage them according to the maintenance standards, as prescribed by Presidential Decree.
[This Article Wholly Amended on Dec. 26, 2008]
| Article 65 (Standard Form) |
A commodity management officer, a commodity operating officer and a commodity accounting official (including any public official who takes partial charge of his or her duties under Article 55 (1); hereinafter the same shall apply) shall keep and maintain records of necessary matters using the standard form prescribed by Presidential Decree (including any entry and output data form necessary for computer processing; hereinafter the same shall apply). [This Article Wholly Amended on Dec. 26, 2008]
| Article 66 (Computerization of Commodity Management) |
The head of a local government shall computerize the duties of commodity management in order to efficiently manage commodities, as prescribed by Presidential Decree. <Amended on Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
| Article 67 (Restrictions on Conduct of Public Officials Engaged in Commodity Management) |
| (1) | No public official engaged in commodity management may acquire commodities that he or she handles from a local government: Provided, That the same shall not apply to commodities prescribed by Presidential Decree. <Amended on Apr. 20, 2021> |
| (2) | No conduct that constitutes a violation of paragraph (1) shall be effective. |
[This Article Wholly Amended on Dec. 26, 2008]
[Title Amended on Apr. 20, 2021]
| (1) | A commodity management officer shall request that a public official in charge of contracts take measures necessary for acquiring commodities covered by a plan for the supply-demand control of commodities referred to in Article 57 within the limit of such plan, and request that the public official take such measures whenever deemed necessary with respect to other commodities. <Amended on Apr. 20, 2021> |
| (2) | Upon receipt of a request referred to in paragraph (1), a public official in charge of contracts shall take necessary measures to acquire the relevant commodities within the budget, as prescribed by Presidential Decree. <Amended on Apr. 20, 2021> |
| (3) | No commodity shall be acquired without any inspection and examination by a public official or technician who is designated by the head of a local government or by a public official to whom the relevant authority is delegated. <Amended on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 69 (Principles of Custody) |
Commodities shall be kept in the custody of facilities of the relevant local government with the due care of a good manager, so that they may be used or disposed of at any time: Provided, That the same shall not apply where it is deemed inappropriate for a commodity management officer to hold them in the custody of such facilities of the relevant local government in view of the use or disposal of such commodities or where any special reason is deemed to exist. <Amended on Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
| Article 70 (Orders for Acquisition and Disbursements) |
| (1) | A commodity management officer who intends to have commodities acquired or disbursed shall order a commodity accounting official to receive or disburse such commodities, specifying the categories of the commodities to be received or disbursed. |
| (2) | No commodity accounting official may acquire and disburse commodities unless an order therefor is issued under paragraph (1). |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 71 (Disposal of Commodities Unfit for Use) |
| (1) | A commodity accounting official shall report to a commodity management officer on any commodities unfit for use or to require repair or alterations among those kept in his or her custody (excluding those returned pursuant to an order issued under Article 73 (2)). <Amended on Apr. 20, 2021> |
| (2) | Where any commodity requires repair or alterations according to a report referred to in paragraph (1) or Article 73 (1), a commodity management officer shall request a public official in charge of contracts or other related public officials to take necessary measures for such repair or alterations. <Amended on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
A commodity management officer who has issued an order to acquire or disburse commodities to use them shall give notice thereof to a commodity operating officer, specifying the purposes of using such commodities; where there is no commodity operating officer, the notice shall be provided to a public official using commodities (hereinafter referred to as “public official using commodities”): Provided, That the same shall not apply where such order to acquire or disburse commodities has been issued upon request by the commodity operating officer or public official using commodities. <Amended on Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
| Article 73 (Return of Commodities in Use) |
| (1) | Where any commodity is neither needed nor fit for use, or requires repair or alterations, among those in use, a commodity operating officer or public official using commodities shall report such fact to a commodity management officer. <Amended on Apr. 20, 2021> |
| (2) | Upon receipt of a report referred to in paragraph (1), a commodity management officer shall ascertain whether the report is true and then order a commodity operating officer or public official using commodities to return the commodity if deemed to be relevant. <Amended on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| (1) | The head of a local government may lend commodities intended for lending or commodities not to cause any disruption to the projects or duties of the local government after lending. <Amended on Apr. 20, 2021> |
| (2) | The head of a local government may lend commodities free of charge in cases prescribed by Presidential Decree. <Newly Inserted on Feb. 4, 2010> |
| (3) | Matters necessary for the rates of rental fees, the methods, etc. of calculating and paying rental fees, where commodities are lent under paragraph (1), shall be prescribed by Presidential Decree. <Amended on Feb. 4, 2010; Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 75 (Decisions on Disuse) |
| (1) | The head of a local government shall, where any commodity under his or her jurisdiction is neither needed nor fit for use, make a decision on the disuse of such commodity: Provided, That in cases of commodities prescribed by Presidential Decree, such decision may be made by a commodity management officer. <Amended on Apr. 20, 2021> |
| (2) | The head of a local government or a commodity management officer may scrap any commodity subject to the decision on disuse he or she has made under paragraph (1) (hereinafter referred to as "commodity in disuse"), if the sale of such commodity is disadvantageous to the local government, or inappropriate or impossible. <Amended on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 76 (Sale of Commodities) |
| (1) | No head of a local government may sell commodities, except those intended for sale or in disuse. <Amended on Apr. 20, 2021> |
| (2) | An open competitive bid process shall be used to sell commodities: Provided, That any property may be sold via an auction or a private contract in cases prescribed by Presidential Decree. <Newly Inserted on Apr. 20, 2021> |
| (3) | With respect to commodities referred to in paragraph (1) that have not been sold, the head of a local government may establish special cases of sale, as prescribed by Presidential Decree. <Amended on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
[Title Amended on Apr. 20, 2021]
| Article 77 (Request for Disposal of Commodities in Disuse) |
Where there are commodities in disuse that have yet to be disposed of through the transfer of the management of commodities prescribed in Article 63, and through transfer, sale, etc., the head a local government may request that the Administrator of the Public Procurement Service dispose of such commodities: Provided, That commodities in disuse that are recyclable may be transferred to the Administrator of the Public Procurement Service without compensation. <Amended on Feb. 4, 2010; Apr. 20, 2021> [This Article Wholly Amended on Dec. 26, 2008]
| Article 78 (Transfer of Commodities in Disuse) |
| (1) | In any of the following cases, the head of a local government may transfer any commodity in disuse to a person prescribed by Presidential Decree: <Amended on Apr. 20, 2021> |
| 1. | Where the head of a local government uses national subsidies or donations whose uses are designated to acquire commodities which become subject to the decision on disuse pursuant to Article 75, and transfers such commodities according to their uses; |
| 2. | Where the head of a local government transfers commodities acquired for civil defense, disaster preparedness, or other similar uses, according to their uses; |
| 3. | Where the head of a local government transfers commodities, the management authority for which remains or will remain unchanged, to the State or another local government; |
| 4. | Where the sale of commodities is disadvantageous to a local government, or where expenses therein exceed proceeds from sale; |
| 5. | Where it is deemed beneficial to transfer commodities that can be otherwise repealed under Article 75 (2); |
| 6. | Where commodities have not been sold under Article 76 (3); |
| 7. | Where commodities cannot be used or possessed by a local government pursuant to other statutes; |
| 8. | Where the head of a local government transfers commodities to local residents as prescribed by Presidential Decree. |
| (2) | Other matters necessary for the transfer of commodities in disuse shall be prescribed by Presidential Decree. <Amended on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| (1) | If particularly necessary for the efficient management of certain commodities, a local government may exchange the commodities with commodities owned by a person other than such local government. <Amended on Apr. 20, 2021> |
| (2) | Where any commodity is to be exchanged with another commodity pursuant to paragraph (1) and the prices of the two are not the same, the difference shall be paid in cash: Provided, that the difference shall be paid in a lump sum. |
[This Article Wholly Amended on Dec. 26, 2008]
CHAPTER VIII SUPPLEMENTARY PROVISIONS
| Article 80 (Collection of Overdue Charges) |
Where any person fails to pay the usage fees, rental fees, proceeds from sale, exchange price, or indemnities with regard to public property by their respective payment deadlines, the head of a local government and a person entrusted with the management and disposal of general property under Article 43-2 shall collect overdue charges for the relevant amount (excluding any interest accrued thereon where the payment is deferred or made in installments), as prescribed by Presidential Decree. In such cases, the period for which the overdue charges are imposed shall not exceed 60 months from the payment deadline. <Amended on Jan. 7, 2014; Apr. 20, 2021> [This Article Wholly Amended on Feb. 4, 2010]
| Article 81 (Collection of Indemnities) |
| (1) | The head of a local government and a person entrusted with the management and disposal of general property pursuant to Article 43-2 shall collect the amount equivalent to 120/100 of the usage fees or rental fees for the relevant public property or commodities (hereinafter referred to as “indemnity”) from an unauthorized occupant, as prescribed by Presidential Decree: Provided, That in any of the following cases, indemnities shall not be collected: <Amended on Jan. 7, 2014; Apr. 20, 2021> |
| 1. | Where a person (including his or her heir and general successor) has acquired the right to a certain property by paying a considerable price as a result of his or her belief that the title holder identified in an official register or other public records was a rightful owner, if such property is found to be public property or commodities after its acquisition and is attributed to a local government; |
| 2. | Where the State or a local government has allowed public property or commodities to be occupied, used, or profited from for a certain period due to measures against disasters or for any other unavoidable reason. |
| (2) | The head of a local government may postpone collecting an indemnity or allow payment of the indemnity in installments within a period of five years, as prescribed by Presidential Decree, taking into account the circumstances under which unauthorized occupation has occurred; the financial conditions of the unauthorized occupant; the use of the place occupied without authorization, etc. <Amended on Jan. 7, 2014; Apr. 20, 2021> |
| (3) | Where an indemnity is collected, the usages fees and rental fees referred to in Articles 23 and 33 shall not be adjusted. |
[This Article Wholly Amended on Feb. 4, 2010]
| Article 82 (Additional Dues for Erroneous Payment) |
Where a local government returns the usage fees, rental fees, proceeds from sale, or indemnities of public property which have been erroneously paid, it shall repay the relevant amount and interest accrued thereon, which shall be determined by Presidential Decree in consideration of the level of the interest rate of one-year term deposits, for the period from the day following the date on which such erroneous payment is made until the date the return is made.
[This Article Wholly Amended on Dec. 26, 2008]
| Article 83 (Order to Restore to Original State) |
| (1) | Where public property is occupied or facilities are installed on public property without just cause, the head of a local government may order the restoration to its or their original state or removal of the relevant facilities, or may take necessary measures therefor. |
| (2) | Where a person in receipt of an order prescribed in paragraph (1) fails to comply with the order, such measures as restoring to the original state or removing facilities may be taken under the Administrative Vicarious Execution Act, and the expenses incurred in taking such measures may be collected. |
[This Article Wholly Amended on Feb. 4, 2010]
| Article 84 (Monetary Reward for Reports on Concealed Public Property) |
Any person who finds and reports on concealed public property may be paid a monetary reward as prescribed by Presidential Decree.
[This Article Wholly Amended on Dec. 26, 2008]
| Article 85 (Special Cases concerning Voluntary Restitution of Concealed Public Property) |
Where any person acquires concealed public property in good faith and thereafter returns such property to a local government due to any of the following reasons, the property may be sold to such person through a private contract. In such cases, notwithstanding Article 37, such person may be permitted to purchase the property by installment payments over up to 12 years without interest thereon, or by paying a discounted purchase price in a lump sum calculated by deducting an amount equivalent to up to 80 percent of the original purchase price, as differentiated by the reason of his or her return and as prescribed by Presidential Decree: | 1. | Voluntary restitution; |
| 2. | Settlement in the litigation; |
| 3. | Other causes prescribed by Presidential Decree. |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 86 (Due Wear and Tear of Commodities) |
| (1) | Commodities with wear and tear caused by long-term custody, transportation or any other inevitable ground may be disposed of on the ground of due wear and tear. |
| (2) | Types, item names, and rates of due wear and tear of commodities that may be disposed of on the ground of due wear and tear shall be prescribed by Presidential Decree. <Amended on Apr. 20, 2021> |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 87 (Supply of Commodities) |
No commodity shall be supplied to a contractor of construction work, manufacturing, etc. unless it is under a contract pursuant to this Act or other statutes. <Amended on Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
| Article 88 Deleted. <Apr. 20, 2021> |
| Article 89 (Management of Movables Which Are Not Commodities) |
| (1) | The movables (excluding the movables prescribed in any item of subparagraph 2 of Article 2) which are not commodities as defined in this Act, among the movables kept by a local government, may be managed in ways corresponding to the ways applicable to the commodities prescribed by this Act, as prescribed by Presidential Decree. <Amended on Feb. 4, 2010> |
| (2) | The scope of movables other than commodities referred to in paragraph (1) shall be prescribed by Presidential Decree. |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 90 (Inspection of Commodity Management) |
The head of a local government shall regularly inspect the management of commodities and shall also conduct occasional inspections of the management of commodities under his or her jurisdiction when a commodity management officer, a commodity operating officer, or a commodity accounting official is replaced or otherwise such occasional inspection is needed, as prescribed by Presidential Decree. <Amended on Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
[Title Amended on Apr. 20, 2021]
| Article 91 (Exclusion from Application to Some Commodities) |
With respect to the management of commodities acquired with day-to-day expenses, etc. prescribed in Article 7 of the Local Accounting Act and other commodities prescribed by Presidential Decree, part of this Act may not be applied, as prescribed by Presidential Decree. <Amended on Apr. 20, 2021> [This Article Wholly Amended on Dec. 26, 2008]
| Article 92 (Disclosure of Operational Status of Public Property and Commodities) |
The head of a local government shall disclose the increase or decrease of public property, the current status thereof, the increase or decrease of major commodities, and the current value thereof, to its residents at least once each fiscal year, as prescribed by ordinance of the relevant local government. <Amended on Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
| Article 92-2 (Utilization of Electronic Data Related to Public Property and Commodities) |
| (1) | The Minister of the Interior and Safety may utilize electronic data on public property and commodities of local governments (hereinafter referred to as "electronic data") where it is necessary in implementing its policies for improving the system for managing public property and commodities, etc., and such data may be published through an information processing system, etc. designated and publicly notified by the Minister of the Interior and Safety. <Amended on Mar. 23, 2013; Nov. 19, 2014; Jul. 26, 2017> |
| (2) | Matters necessary for the utilization of electronic data, the scope and procedures for publication, etc. pursuant to paragraph (1) shall be prescribed by Presidential Decree. |
[This Article Newly Inserted on Feb. 4, 2010]
| Article 93 (Appointment of Accounting-Related Officers or Delegation) |
The head of a local government may designate an official post in his or her government office in lieu of appointing a property manager, commodity management officer, commodity operating officer, or commodity accounting official; any person acting on his or her behalf; or any person who takes partial charge of his or her duties (hereinafter referred to as "accounting-related officer"), or in lieu of delegating the duties of accounting-related officers. <Amended on Apr. 20, 2021>
[This Article Wholly Amended on Dec. 26, 2008]
| Article 94 (Acting for, and Taking Partial Charge of Duties of, Accounting-Related Officers) |
Where it is deemed necessary, the head of a local government or a public official delegated with his or her duties may appoint a public official who acts for an accounting-related officer to perform all of such officer’s duties or who takes partial charge thereof.
[This Article Wholly Amended on Dec. 26, 2008]
| Article 94-2 (Standards for Operating Public Property and Commodities) |
| (1) | The Minister of the Interior and Safety may establish the standards for operating public property and commodities so that local governments can handle the management and disposal of public property and commodities and its income and expenditure in a consistent manner. <Amended on Mar. 23, 2013; Nov. 19, 2014; Jul. 26, 2017> |
| (2) | Pursuant to the standards for operating public property and commodities referred to in paragraph (1), a local government may enact and operate municipal ordinances pertaining to the management and disposal of public property and commodities and its income and expenditure. <Amended on Apr. 20, 2021> |
[This Article Newly Inserted on Feb. 4, 2010]
| Article 94-3 (Operation of Office Buildings of Local Governments) |
| (1) | The head of a local government shall manage office buildings of the local government appropriately. |
| (2) | The standards of area for proper management, etc. of office buildings of local governments shall be prescribed by ordinance of the relevant local government within the scope prescribed by Presidential Decree, taking into account the number of residents, the number of public officials, etc. of the relevant local government. |
[This Article Newly Inserted on Feb. 4, 2010]
| Article 95 (Mutual Transfer of Public Property and Commodities) |
Where it is necessary to efficiently manage public property and commodities, the head of a local government may manage or dispose of them through mutual transfer, as prescribed by Presidential Decree.
[This Article Wholly Amended on Dec. 26, 2008]
| Article 96 (Provision of Budgetary Incentives and Administrative Activity Expenses to Public Officials Managing Public Property or Commodities) |
| (1) | Where a public official delegated with the duties of managing public property or commodities or a public official taking partial charge of such duties contributes to increasing budgetary revenue or saving budgetary expenditures by identifying concealed public property; collecting indemnities; or efficiently lending, using, trusting, selling, etc. public property or commodities, the head of a local government may pay such public official budgetary incentives pursuant to Article 48 of the Local Finance Act. |
| (2) | The head of a local government may provide public officials in charge of public property with expenses for their administrative activities (referring to expenses incurred in performing duties for general supervision, maintenance and management of public property) within the budget. |
| (3) | Matters necessary for the scope of paying incentives referred to in paragraph (1) shall be prescribed by Presidential Decree. |
[This Article Wholly Amended on Dec. 26, 2008]
| Article 97 (Application Mutatis Mutandis of the Local Finance Act) |
| (1) | Except as provided in this Act, the Local Finance Act and the Act on Contracts to Which a Local Government Is a Party shall apply mutatis mutandis to the procedures for contracts concerning public property or commodities including the public announcement of a bid and drawing-up of a contract; extinctive prescription of monetary claims and debt obligations; restriction on participation in a bid by illegitimate business operators, etc. <Amended on Jan. 20, 2015> |
| (2) | Where any person fails to pay usage fees referred to in Article 22 (1), rental fees referred to in Article 32 (1), or overdue charges referred to in Article 80 within the payment deadline, the relevant amount may be collected in the same manner as delinquent local taxes are collected. <Amended on Jan. 7, 2014; Apr. 20, 2021> |
[This Article Wholly Amended on Feb. 4, 2010]
| Article 98 (Application of Matters Related to Education, Science, and Physical Education) |
With respect to matters pertaining to education, science, and physical education or matters pertaining to special accounts for educational expenses in this Act, the “head of a local government” or “Special Metropolitan City Mayor, Metropolitan City Mayor, or Do Governor” shall be construed as the “superintendent of education,” and the “Minister of the Interior and Safety” as the “Minister of Education.” <Amended on Mar. 23, 2013; Jan. 7, 2014; Nov. 19, 2014; Jul. 26, 2017>
[This Article Wholly Amended on Dec. 26, 2008]
CHAPTER IX PENALTY PROVISIONS
| Article 99 (Penalty Provisions) |
Any person who has used or profited from administrative property in violation of Article 6 (1) shall be punished by imprisonment with labor for up to two years or by a fine not exceeding 20 million won. <Amended on Feb. 4, 2010; Jan. 7, 2014; May 29, 2016> [This Article Wholly Amended on Dec. 26, 2008]
ADDENDA <Act No. 7665, Aug. 4, 2005>
| (1) | (Enforcement Date) This Act shall enter into force on January 1, 2006. |
| (2) | (Applicability to Indemnities) The provisions concerning indemnities not subject to adjustment of usage fees and rental fees prescribed in Article 81 (5) shall begin to apply to indemnities imposed after this Act enters into force. |
| (3) | (Transitional Measures concerning Permission for Use or Profit-Making) The permission for use or profit-making, loan, or other acts granted or conducted under the former provisions of the Local Finance Act with respect to public property or commodities of local governments as at the time this Act enters into force shall be deemed to have been granted or conducted under this Act. |
| (4) | (Transitional Measures concerning Application for Permission for Use or Profit-Making) Any application for the permission for use or profit-making, loan, etc. made under the former provisions of the Local Finance Act with respect to public property or commodities of local governments as at the time this Act enters into force shall be governed by the former provisions of the Local Finance Act. |
| (5) | (Relationship to Other Statutes) Where any provision pertaining to managing or disposing of public property or commodities of the former Local Finance Act is cited by other statutes as at the time this Act enters into force, if any provision corresponding thereto exists in this Act, this Act or the relevant provision of this Act shall be deemed cited in lieu of such former provision. |
ADDENDA <Act No. 8423, May 11, 2007>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 13 Omitted.
ADDENDA <Act No. 8635, Aug. 3, 2007>
Article 1 (Enforcement Date)
This Act shall enter into force one year and six months after the date of its promulgation. (Proviso Omitted.)
Articles 2 through 44 Omitted.
ADDENDA <Act No. 8852, Feb. 29, 2008>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation: Provided, That ··· <omitted> ··· the amendments to the Acts to be amended pursuant to Article 6 of the Addenda, which were promulgated before this Act enters into force but the enforcement dates of which have yet to arrive, shall enter into force on the enforcement date of the relevant Act.. Articles 2 through 7 Omitted.
ADDENDA <Act No. 9174, Dec. 26, 2008>
Article 1 (Enforcement Date)
This Act shall enter into force four months after the date of its promulgation: Provided, That the amended provisions of Article 21 (3) and (4) shall enter into force on the date of its promulgation, while the amended provisions of the proviso of Article 29 (1) related to the Financial Investment Services and Capital Markets Act shall enter into force on February 4, 2009. Article 2 (Special Cases of Application for Renewal of Periods of Permission for Using or Profit-Making from Administrative Property)
Where the period of a contract for using or profit-making is to expire within one month as at the time the amended provisions of Article 21 (3) enter into force, notwithstanding the amended provisions of Article 21 (4), the application for renewing the period of permission for using or profit-making may be submitted to the head of a local government until the date when the period of permission for using or profit-making ends. Article 3 Omitted.
Article 4 (Relationship to Other Statutes)
Where conservation property which is public property is cited by other statutes or regulations as at the time this Act enters into force, it shall be deemed that property for preservation among administrative property prescribed in this Act has been cited; where miscellaneous property which is public property is cited, it shall be deemed that general property prescribed in this Act has been cited.
ADDENDUM <Act No. 10006, Feb. 4, 2010>
| (1) | (Enforcement Date) This Act shall enter into force six months after the date of its promulgation. |
| (2) | (Applicability to Renewal of Permission for Use or Profit-Making and Loan Contracts) The amended provisions of Articles 21 and 31 shall begin to apply when an application for use or profit-making is made or a loan contract is concluded after this Act enters into force. |
| (3) | (Applicability to Termination of Sales Contracts for Public Purposes) The amended provisions of Article 38 (1) 2 shall begin to apply to sales contracts for public purposes concluded after this Act enters into force. |
| (4) | (Transitional Measures concerning Abolition of Transfer of Management) Notwithstanding the amended provisions of Article 63, where the transfer of management of commodities is made under the former provisions, the institution to which the management of commodities is transferred may continue to use such commodities. |
ADDENDUM <Act No. 10345, Jun. 8, 2010>
| (1) | (Enforcement Date) This Act shall enter into force on the date of its promulgation. |
| (2) | (Applicability) The amended provisions of the proviso of Article 21 (3) shall begin to apply to the renewal granted after this Act enters into force. |
ADDENDA <Act No. 10580, Apr. 12, 2011>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation. (Proviso Omitted.)
Articles 2 through 5 Omitted.
ADDENDA <Act No. 11690, Mar. 23, 2013>
Article 1 (Enforcement Date)
| (1) | This Act shall enter into force on the date of its promulgation. |
Articles 2 through 7 Omitted.
ADDENDA <Act No. 12201, Jan. 7, 2014>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Article 2 (Applicability to Methods for Permission for Use or Profit-Making and Methods for Contracts)
The amended provisions of Article 20 (2) shall begin to apply when a contract for permission for use or profit-making is concluded through a nominated competitive bid after this Act enters into force. Article 3 (Applicability to Period of Permission for Use or Profit-Making)
The amended provisions of Article 21 (1) shall begin to apply when permission for use or profit-making is granted after this Act enters into force. Article 4 (Applicability to Renewal of Contract for Use or Profit-Making)
The amended provisions of Article 21 (3) shall begin to apply when a contract for use or profit-making is renewed after this Act enters into force. Article 5 (Applicability to Deferment of Collection of Indemnities)
The amended provisions of Articles 80 and 81 (2) shall also apply to a person who commits occupation without permission before this Act enters into force (including persons who commit occupation without permission as at the time this Act enters into force), but not subject to paying an indemnity as at the time this Act enters into force. Article 6 (Transitional Measures concerning Mitigation of Conditions of Adjusting Usage Fees)
Notwithstanding the amended provisions of Articles 23 (1) and 33 (1), the former provisions shall apply when the amount of usage fees or rental fees is already determined under the former provisions as at the time this Act enters into force.
ADDENDA <Act No. 12844, Nov. 19, 2014>
Article 1 (Enforcement Date)
This Act shall enter into on the date of its promulgation: Provided, That the amendments to the Acts to be amended pursuant to Article 6 of the Addenda, which were promulgated before this Act enters into force but the enforcement dates of which have yet to arrive, shall enter into force on the enforcement date of the relevant Act. Articles 2 through 7 Omitted.
ADDENDA <Act No. 13017, Jan. 20, 2015>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Article 2 (Applicability to Public Property Management Plans)
The amended provisions of Article 10 (2) and (3) shall begin to apply when a management plan is formulated and submitted after this Act enters into force. Article 3 (Applicability to Period of Gratuitously Using or Profit-Making from Property Accepted as Donations)
The amended provisions of the proviso of Article 21 (1) shall begin to apply to permission for use or profit-making granted after this Act enters into force, while the amended provisions of the proviso of paragraph (3) of the same Article shall begin to apply to renewal of permission for use or profit-making granted after this Act enters into force. Article 4 (Applicability to Entrustment of Management of Administrative Property)
The amended provisions of Article 27 (2) shall begin to apply when a contract for entrustment of management is concluded after this Act enters into force. Article 5 (Applicability to Special Cases of Management or Disposal of Intellectual Property)
The amended provisions of Articles 43-5 through 43-10 shall begin to apply when permission for use, etc. of intellectual property is granted after this Act enters into force. Article 6 (Applicability to Vesting of Copyrights on Intellectual Property)
The amended provisions of Article 43-10 shall begin to apply when a contract is concluded after this Act enters into force.
ADDENDA <Act No. 13383, Jun. 22, 2015>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation. (Proviso Omitted.)
Articles 2 through 4 Omitted.
ADDENDUM <Act No. 14186, May 29, 2016>
This Act shall enter into force six months after the date of its promulgation.
ADDENDA <Act No. 14197, May 29, 2016>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation. (Proviso Omitted.)
Articles 2 through 4 Omitted.
ADDENDA <Act No. 14839, Jul. 26, 2017>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation: Provided, That the amended provisions of the Acts promulgated before this Act enters into force but the dates they enter into force have yet to arrive, from among the Acts amended under Article 5 of the Addenda, shall enter into force on the respective dates the relevant Acts enter into force. Articles 2 through 6 Omitted.
ADDENDUM <Act No. 15794, Oct. 16, 2018>
This Act shall enter into force on the date of its promulgation.
ADDENDUM <Act No. 17765, Dec. 29, 2020>
This Act shall enter into force on January 1, 2021.
ADDENDA <Act No. 17893, Jan. 12, 2021>
Article 1 (Enforcement Date)
This Act shall enter into force one year after the date of its promulgation.
Articles 2 through 23 Omitted.
ADDENDA <Act No. 18086, Apr. 20, 2021>
Article 1 (Enforcement Date)
This Act shall enter into force one year after the date of its promulgation: Provided, That the amended provisions of Article 27 (6) and (8) shall enter into force on the date of its promulgation. Article 2 (Applicability to Restrictions on Conduct of Property Managers)
The amended provisions of Article 15 (3) shall begin to apply where a public official belonging to the relevant local government not governed by Article 15 (1) acquires public property or exchanges it with his or her private property after this Act enters into force. Article 3 (Applicability to Permission for Use)
The amended provisions of Article 20 (2) shall begin to apply where permission for use is granted after this Act enters into force. Article 4 (Applicability to Period of Permission for Use and Loan Period)
The amended provisions of Articles 21 (2) and 31 (2) shall begin to apply where permission for use is granted and a loan contract is concluded after this Act enters into force. Article 5 (Applicability to Usage Fees and Rental Fees)
The amended provisions of Articles 22 and 32 shall begin to apply where usage fees and rental fees are collected after this Act enters into force. Article 6 (Applicability to Method of Contract)
The amended provisions of Article 29 (1) shall begin to apply where a contract is concluded for lending or selling general property after this Act enters into force. Article 7 (Applicability to Entrusted Development)
The amended provisions of Article 43-3 (8) shall apply begin to apply where a contract is concluded for entrusted development after this Act enters into force. Article 8 (Applicability to Collection of Overdue Charges and Indemnities)
The amended provisions of Articles 80 and 81 (1) shall begin to apply where a person entrusted with the management or disposal of general property collects overdue charges and indemnities after this Act enters into force.
ADDENDA <Act No. 18661, Dec. 28, 2021>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation. (Proviso Omitted.)
Articles 2 through 8 Omitted.
ADDENDUM <Act No. 19022, Nov. 15, 2022>
This Act shall enter into force on the date of its promulgation.