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ACT ON SPECIAL CASES CONCERNING ACQUIREMENT OF SCHOOL SITE

[Effective July 31, 2009] [Act No. 9401, Jan. 30, 2009. Amendment of Other Laws and Regulations]

Ministry of Education, Science and Technology (Education Facilities Support Division) 02-2100-6300

Article 1 (Purpose)

The purpose of this Act is to make it easy to secure school sites and, if it is not possible to secure the school site, make it easy to extend the existing school located nearby, by providing special exceptions on sharing expenses, etc. in relation to the formation, development and supply of school sites for public elementary, middle and high schools.

[This Article Wholly Amended by Act No. 8679, Dec. 14, 2007] Article 2 (Definitions)

The definitions of terms used in this Act shall be as follows.

1. The term "school site" means a portion of land required for new construction of school facilities including school building, gymnasium, practice area and other facilities for public elementary, middle and high school.

2. The term "development project" means a project to foster and develop land for housing construction with a scale of more than 100 households or to construct apartment houses among the projects implemented under the Building Act, the Urban Development Act, the Act on Maintenance and Improvement of Urban Areas and Dwelling Conditions for Residents, the Housing Act, the Housing Site Development Promotion Act, and the Act on Location of Industry and Development.

3. The term "share for school site" means the expenses levied to those engaged in development projects (hereinafter referred to as the "Share") by the mayor of Special Metropolitan City or Metropolitan City and governor of Do or Special Self-governing Do (hereinafter referred to as the "Mayor/Do governor") for the purpose of securing school sites and, if not possible to secure the school site, to extend the existing school located nearby.

[This Article Wholly Amended by Act No. 8679, Dec. 14, 2007] Article 3 (Fostering and Development of School Site) (1) The party that implements development projects (hereinafter referred to as "development project implementer") with a size of more than 300 households (the development projects falling under subparagraph 3 of Article 5 (4) will count the number of households deducting development project part, and the housing reconstruction project as prescribed in item c of subparagraph 2 of Article 2 of the Act on Maintenance and Improvement of Urban Areas and Dwelling Conditions for Residents will count the number of households deducting the existing households) shall include in their execution plan, which is formulated for the execution the development project, the matters on fostering and developing the school site. In this case, the regulations concerning the establishment criteria of school facilities as prescribed in Article 43 of the National Land Planning and Utilization Act shall apply mutatis mutandis to the location and size of the school site.

(2) For development projects not meeting the establishment criteria of school facilities as provided in paragraph (1), the superintendent of educational affairs in Special Metropolitan City, Metropolitan Cities, Dos and Special self-governing Do (hereinafter referred to as the "Superintendent") shall have the development project implementer secure a school site of proper size according to the project scale and local circumstances: Provided, that in the event that the region is so small that the development project implementer cannot secure a school site, the Superintendent may request the development project implementer to a secure school site adjacent to the project site.

(3) When intending to develop school sites as referred to in paragraph (1) or secure school sites according to paragraph (2), a development project implementer shall refer to the opinion of the Superintendent. In this case, the Superintendent shall consult on sharing expenses with Mayor/Do governor who bears half of the purchase cost of school sites according to Article 4 (4).

(4) When the execution plan for development projects that contains the plan on fostering and developing of school sites as referred to in paragraph (1) is approved or permitted, Mayor/Do governor concerned shall formulate an urban management plan according to Article 25 of the National Land Planning and Utilization Act without delay for the school site. (5) Matters necessary for securing a school site of proper size as referred to in paragraph (2) shall be prescribed by the Presidential Decree. [This Article Wholly Amended by Act No. 8679, Dec. 14, 2007] Article 4 (Acquirement of School Site and Sharing Expenses) (1) Development project implementers who are Special Metropolitan City, Metropolitan Cities, Dos and Special self-governing Do (hereinafter referred to as the "Cities/Dos") shall secure school sites as provided in Article 3 and make the site become public property belonging to a special account for educational expenses of the Cities/Dos concerned.

(2) Development project implementers who are not Cities/Dos shall supply school sites as provided in Article 3 to Cities/Dos concerned, and the Cities/Dos shall secure the school site and make it become public property belonging to a special account for educational expenses of the Cities/Dos concerned. (3) Supply prices of school sites as referred to in paragraphs (1) and (2) shall be subject to any of the following subparagraphs.

1. In the event that development project implementers fall under any of the following items, they shall supply school sites free of charge (in the case of maintenance and improvement project according to the Act on Maintenance and Improvement of Urban Areas and Dwelling Conditions for Residents, if the size of the project is over two thousand households, it shall be 50/100 of school site formation cost for elementary and middle schools and 70/100 of school site formation cost for high school, and if the size of the project is below two thousand households, the formation cost shall be the supply price): a. Government or local government;

b. Public institution as provided in Article 4 of the Act on the Management of Public Institutions;

c. Enterprise directly run by local government as provided in Article 5 of the Local Public Enterprises Act;

d. Local public enterprise as provided in Article 49 of the Local Public Enterprises Act; and

e. Local public corporation as provided in Article 76 of the Local Public Enterprises Act; and

2. When development project implementers who do not fall under any items of subparagraph 1, the supply price of school sites shall be subject to the price determined through real estate appraisal as provided in subparagraph 7 of Article 2 of the Public Notice of Values and Appraisal of Real Estate Act. (4) Expenses required by Cities/Dos for securing school site as provided in paragraphs (1) and (2) shall be equally shared from general accounts and special accounts for educational expenses of the Cities/Dos concerned. (5) Deleted

(6) "Formation cost" as referred to in subparagraph 1 of Article 3 means the cost of site formation in the case such cost is prescribed in the relevant laws and regulations under subparagraph 2 of Article 2. In the case that the site formation cost is not prescribed, it shall mean the price computed by the mutatis mutandis application of the computation method of housing site formation cost as provided in Article 18 (3) of the Housing Site Development Promotion Act. (7) In the case that the development project implementers supply school sites or school facilities free of charge and make them become public property belonging to special accounts for educational expenses, the costs required for such free supply can be included in the development cost as provided in Article 11 (1) of the Restitution of Development Gains Act.

(8) In the event the development project implementers falling under any item of subparagraph 1 of paragraph 3 implements development projects, a land necessary for new construction of school facilities (including school building, gymnasium and practice area) may be supplied at the price of less than the formation cost of the school site to a school foundation provided in Article 2 (2) of the Private School Act, which intends to establish a private school (limited to elementary, middle and high schools) within the development project region or relocate one to the region. [This Article Wholly Amended by Act No. 8679, Dec. 14, 2007] Article 4-2 (Special Cases Concerning School Facilities) (1) In the case that the development project implementer falling under any item of subparagraph 1 of Article 4 (3) implements development projects of supplying school sites free of charge in the Seoul Metropolitan area under Article 2 (1) of the Seoul Metropolitan Area Readjustment Planning Act, he/she shall establish school facilities including small parks and landscaping green zones, and supply them free of charge to the office of education in the City/Do concerned as public property subject to special account of the City/Do concerned for educational expenses.

(2) The development project implementer who establishes school facilities as provided under paragraph (1) shall consult with the Superintendent on the number and size of schools, small parks and landscaping green zones to be established within the school site as well as the opening period and establishment cost of the school.

(3) The development project implementer who establishes school facilities as provided under paragraph (1) may secure a portion of land within the development region as an urban park or green zone with the land area calculated by deducting a maximum of 1/100 of the development project area from the standard area provided under the same paragraph, notwithstanding Article 14 (2) of the Act on Urban Parks and Greenbelts, etc.

(4) Any development gains generated from the reduction of urban parks or green zones as provided under paragraph (3) shall be used as establishment costs for school facilities.

(5) In the case of establishing school facilities as provided under paragraph (1), if the establishment cost exceeds development gains as provided under paragraph (4), the difference shall be fixed through consultation as provided under paragraph (2) and shared by the Superintendent.

(6) In the case that the development project implementers who do not fall under any person obligated to supply school facilities free of charge according to paragraph (1) establish and supply school facilities free of charge, the provisions of paragraph (2) through (4) shall apply mutatis mutandis. [This Article Inserted by Act No. 9743, May 28, 2009] Article 5 (Imposition and Collection of Share )

(1) The Mayor/Do governor may levy and collect the share from any person who develops and sells land in lots lands for construction of single-household houses or parcel out apartment houses within the development project area: Provided that the same shall not apply to a development project falling under any of the following subparagraphs.

1. In the case of selling in lots the land or houses for relocating as provided by the Act on the Acquisition of Land, etc. for Public Works and the Compensation Therefor;

2. In the case of parceling out rental houses;

3. In the case of parceling out to the existing residents and owners of land or buildings within an urban development project area as provided under subparagraph 2 of Article 2 (1) of the Urban Development Act;

4. In the case of dwelling conditions improvement project as provided under item a of Article 2 (2) of the Act on Maintenance and Improvement of Urban Areas and Dwelling Conditions for Residents;

5. In the case of parceling out to the existing residents and owners of land or building in maintenance and improvement project area as provided under items b through d of Article 2 (2) of the Act on Maintenance and Improvement of Urban Areas and Dwelling Conditions for Residents; and

6. In the case of parceling out to members of remodeling house union as provided under item d of Article 2 (9) of the Housing Act. (2) Deleted.

(3) Matters necessary for the method, procedure, etc. of levying and collecting shares as provided under paragraph (1) shall be prescribed by the Presidential Decree.

(4) The Mayor/Do governor may exempt shares in the case of falling under any of the following subparagraphs: Provided that the Share shall be exempted for the cases of subparagraphs 1, 3 and 4.

1. In the case that the development project implementer donates school sites free of charge to special accounts for educational expenses according to the suggestion of the Superintendent under Article 3 (3);

2. In the case of implementing development projects in areas having no demand for new construction of schools due to the continued decrease of school age population in the past three years;

3. In the case of implementing development projects that do not generate demand for school attendance, such as welfare housing project for the aged under Article 32 of the Welfare of the Aged Act; or

4. In the case that the development project implementer supplies school sites or school facilities free of charge to make them become public property subject to special accounts for educational expenses of the City/Do concerned. [This Article Wholly Amended by Act No. 6219, Jan. 28, 2000] [2007 Heonga9, Sept. 25, 2008, Article 5 (4) of the previous Act on Special Cases Concerning Acquirement of School Site, Etc. (after being amended by Act No. 7397, March 24, 2005 and before being amended by Act No. 8679, Dec. 14, 2007) shall not be inconsistent with the Constitutional Law. The above legal clause shall apply continuously until lawmakers amend it by Act No. 9401, Jan. 30, 2009] Article 5-2 (Computation Criteria of Share)

(1) The share under Article 5 (1) shall be levied on the basis of selling price in the case of apartment houses, and on the basis of the selling price of single- household housing sites in the case of lands to construct single-household houses. (2) The shares as provided under paragraph (1) shall be computed according to the criteria of the following subparagraphs.

1. Apartment house: Selling (parceling out) price of apartment house per house unit multiplied by 8/1000; and

2. Land to construct single-household house: Selling (in lots) price of land for single-household house multiplied by 14/1000.

[This Article Wholly Amended by Act No. 8679, Dec. 14, 2007] Article 5-3 (Mandatory Collection of Share, Etc.) (1) When a person obligated to bear shares have not paid it by the due date, Mayor/Do governor shall issue demand notes within 10 days after the due date. In this case, the extended due date of payment shall be extended to 10 days from the issuance date of the demand notice.

(2) When the person obligated to bear shares have not paid it by the due date as provided under the proviso of paragraph (1), the Mayor/Do governor may collect additional charges equivalent to 5/100 of the Share. (3) When the person obligated to bear shares have not paid the share and additional charges until the designated due date after receiving the demand notice, the Mayor/Do governor may collect them according to the example of disposition on default for local taxes in arrear.

[This Article Wholly Amended by Act No. 8679, Dec. 14, 2007] Article 6 (Financial Resources of Expenses Borne by Cities/Dos) (1) Cities/Dos may provide expenses to be borne by general accounts of the relevant City/Do for securing school sites, as provided under Article 4, from the financial resources falling under any of the following subparagraphs.

1. Among local taxes levied and collected at the region where the development project is implemented, the amount of taxes as determined by the Presidential Decree;

2. Among the shares of development project levied and collected at the region where the development project is implemented according to the Act on Redemption of Development Gains, the amount as determined by the Presidential Decree;

3. The share for school sites levied and collected according to Article 5; and

4. Deleted. (2) When it is not possible to secure the school site despite paragraph (1), the Cities/Dos may provide expenses necessary for expanding schools located nearby from the financial resources of the shares for school sites as provided under subparagraph 3 of paragraph (1).

[This Article Wholly Amended by Act No. 8679, Dec. 14, 2007] Article 7 (Formation, Development, Etc. of State-owned and Public Lands into School Site)

(1) In the case there is a state-owned land, which is general property, or public land, which is miscellaneous property, in a region where the development project is implemented at the time when the project plan was approved, the State or local government concerned may foster, develop and secure the state-owned or public land as a school site, or may grant them to development project implementers notwithstanding the provisions of Article 55 of the State Properties Act and Article 40 of the Act on Management of Co-owned Properties and Articles. (2) The area of state-owned or public land secured as school sites or granted to development project implementers as provided under paragraph (1) shall be that necessary for school sites, and the share ratio between state-owned land and public land shall be that of the area between state-owned land which is general property and public land which is miscellaneous property.

(3) In the case that development project implementers secure or supply school sites according to Article 4, if there is state-owned or public land related to the development project as provided under paragraph (1), the value of the state- owned or public land shall be deducted from the expenses required for securing school sites or the supply price of the school site. In this case, the value of state- owned or public land shall be computed by applying mutatis mutandis the provisions of Articles 67 (1), 70, 71, 74 through 77, and 78 (5) through (7) of the Act on the Acquisition of Land, etc. for Public Works and the Compensation Therefor.

[This Article Wholly Amended by Act No. 8679, Dec. 14, 2007] Article 8 (Mitigated Application of School Facilities Criteria) The criteria of school sites including facilities criteria for public elementary, middle and high schools located in the development project implementation region may be mitigated in its application as prescribed by the Presidential Decree, taking into account the circumstances of the region.

[This Article Wholly Amended by Act No. 8679, Dec. 14, 2007] Article 9 (Delegation of Authority)

(1) The Mayor/Do governor may delegate the work on levying and collecting the shares according to Article 5 to the mayor/head of Gun/Gu (referring to the head of autonomous Gu) as prescribed by ordinance of the respective City/Do. (2) The Superintendent may delegate the work on securing school sites adjacent to the project site according to Article 3 and the work on suggesting opinions to the local superintendent of education in the city/Gun/Gu as prescribed by the relevant education rules.

[This Article Wholly Amended by Act No. 8679, Dec. 14, 2007] Article 10 (Request for Suspension of Construction) If the development project implementer has not secured school sites according to execution plan of development projects according to Article 3 in violation of the conditions to permission or approval of the project plan, the Superintendent may request for the suspension of the construction work in accordance with Article 69 of the Building Act, Article 77 of the Urban Development Act, Article 77 of the Act on the Maintenance and Improvement of Urban Areas and Dwelling Conditions for Residents, Article 91 of the Housing Act, Article 23 of the Housing Site Development Promotion Act, and Article 48 of the Act on Industrial Location and Development, to the authority permitting or approving the execution plan.

[This Article Wholly Amended by Act No. 8679, Dec. 14, 2007] ADDENDA (National Property Act) Article 1 (Enforcement Date)

This Act shall enter into force six months after the date of its promulgation.

Article 2 through 9 Omitted

Article 10 (Amendment of Other Laws and Regulations) (1) through <76> Omitted

<77> A part of the Act on Special Cases Concerning Acquirement of School Site, Etc. shall be amended as follows.

In the provision of Article 7 (1), "state-owned or public land which is miscellaneous property" shall be amended as "state-owned land which is general property or public land which is miscellaneous property," and "Article 44 of the National Property Act" shall become "Article 55 of the National Property Act." In the provision of paragraph (2) of the same Article, "state-owned or public land which is miscellaneous property" shall be amended as "state-owned land which is general property or public land which is miscellaneous property." <78> through <86> Omitted

Article 11 Omitted