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SEOUL METROPOLITAN GOVERNMENT ORDINANCE ON SUPPORT, ETC. FOR PROMOTION OF SOCIAL HOUSING

CHAPTER I GENERAL PROVISIONS Article 1 (Purpose) The purpose of this Ordinance is to prescribe matters necessary for promoting social housing so as to improve dwelling conditions of socially and economically disadvantaged people and to foster and support social economic entities for housing.

Article 2 (Definitions) The terms used in this Ordinance shall be defined as follows:
1. "Social housing" means rental housing units, etc. supplied by social economic entities for housing to socially and economically disadvantaged people;
2. "Socially and economically disadvantaged people" means the people referred to in the following subparagraphs:
(a) The vulnerable social group defined by subparagraph 2 of Article 2 of the Social Enterprise Promotion Act and Article 2 of the Enforcement Decree of said Act;
(b) Housing-disadvantaged persons defined by subparagraph 2 of Article 2 of the Seoul Metropolitan Government Framework Ordinance on Housing Welfare;
(c) Single young-adult households and other households determined eligible for assistance appropriate for stable dwelling conditions and that meet the criteria separately determined by the Mayor of the Seoul Metropolitan Government (hereinafter referred to as the "Mayor");
3. "Social economic entities for housing" means the entities that engage in housing projects in accordance with provisions of the Housing Act, the Rental Housing Act, the Act on the Maintenance and Improvement of Urban Areas and Dwelling Conditions for Residents, or any other relevant statutes, among nonprofit corporations defined in Article 32 of the Civil Act, public corporations established with permission under Article 4 of the Act on the Establishment and Operation of Public Interest Corporations, cooperatives established under Article 85 of the Framework Act on Cooperatives, and social enterprises certified under Article 8 of the Social Enterprise Promotion Act.

Article 3 (Assistance to Social Economic Entities for Housing) The Mayor, the heads of autonomous Gus, and the President of the SH Corporation (hereinafter referred to as "Mayor and other relevant authorities") may render assistance to social economic entities for housing in the following manners, within budgetary limits:
1. Provision of funds and human resources and investment in kind;
2. Provision of the land for the construction of social housing units;
3. Management and entrustment of social housing units;
4. Loans or subsidies for rental deposits, etc. for social housing units;
5. Loans or subsidies for expenses of management of social housing units;
6. Loans or subsidies for expenses of construction, reconstruction, or remodelling of social housing units;
7. Loans or subsidies for housing expenses to residents in social housing units;
8. Assistance in other matters that the Mayor deems necessary for improving dwelling conditions of socially and economically disadvantaged people.

Article 4 (Principle of Social Benefit from Assistance) (1) In principle, the Mayor and other relevant authorities shall render assistance only where social benefits, tangible or intangible, are expected from such assistance, when they invest or lend public finance or funds to social economic entities for housing, invest or provide assistance, in kind, with public assets or assets from a fund, or fully or partially exempt such entities from local taxes, etc.
(2) When the Mayor and other relevant authorities assess social benefits under paragraph (1), they may include the reduction of direct and indirect expenses of public institutions and public investment institutions at the present and for the future, out of profits attributable to project entities, the creation of jobs, ripple effects to the economy, etc. in the assessment.

Article 5 (Principle of Preservation of Public Assets) In principle, a social economic entity for housing to whom the Mayor or other relevant authority has provided public land or the land owned by a fund or any other asset for assistance in kind shall return the property in its original state to the investing authority, when the relevant project is completed or discontinued: Provided, That such property shall be returned in the state at the time of discontinuance or completion of the relevant project, if it is impracticable to restore the property to its original state, because a building or any other asset still has a depreciable or residual value.

CHAPTER II ASSISTANCE, ETC. IN PROMOTION OF SOCIAL HOUSING Article 6 (Formulation of Master Plan) (1) The Mayor shall formulate a master plan for assisting in the promotion of social housing in the Seoul Metropolitan Government (hereinafter referred to as "master plan") for every five years so as to promote the improvement of dwelling conditions of socially and economically disadvantaged people and efficient assistance to social economic entities for housing.
(2) The master plan shall stipulate the following elements:
1. The direction of policies on the improvement of dwelling conditions of socially and economically disadvantaged people and assistance to social economic entities for housing, schemes for implementing such policies, and the system for assistance;
2. Schemes to establish and operate an integrated support center of the Seoul Metropolitan Government for social housing;
3. Establishment and operation of systems for cooperation between private and public sectors, such as a social housing committee in the Seoul Metropolitan Government;
4. Search for the land to be supplied for social housing and current conditions of such land;
5. Other matters necessary for the improvement of dwelling conditions of socially and economically disadvantaged people and assistance to social economic entities for housing.
(3) When the Mayor intends to formulate a master plan, he/she shall collect residents' opinions as much as possible.
(4) When a master plan is formulated under paragraph (1), the contents thereof shall be reported to the relevant Standing Committee of the Metropolitan Council.

Article 7 (Formulation and Announcement of Implementation Plans) (1) The Mayor shall formulate and execute an annual implementation plan for assisting the promotion of social housing in the Seoul Metropolitan Government (hereinafter referred to as "implementation plan") every year in accordance with the master plan under Article 6.
(2) The implementation plan shall include the following elements:
1. The direction of the implementation of relevant policies and a plan for major projects;
2. Schemes for administrative and financial assistance for implementing projects;
3. Matters concerning the criteria for eligibility for assistance, the scale of assistance, the procedure for assistance, etc.;
4. Other matters necessary for the improvement of dwelling conditions of socially and economically disadvantaged people and assistance to social economic entities for housing.
(3) When the Mayor formulates and executes an implementation plan, he/she shall ensure that the plan conforms to major policies of the Seoul Metropolitan Government.
(4) The Mayor shall announce the implementation plans under paragraph (1) through the web-site of the Seoul Metropolitan Government and by other means.

Article 8 (Formulation of Urban Plans, etc. for Promotion of Social Housing) When the Mayor formulates a master urban plan under the National Land Planning and Utilization Act, a comprehensive housing plan under the Housing Act, etc., he/she shall endeavor to include schemes to promote the supply of social housing units for socially and economically disadvantaged people in such plans.

Article 9 (Preparation of Sites for Social Housing through Urban Development, etc.) (1) When the Mayor formulates or rearranges the following plans, he/she shall endeavor to secure sites that can be supplied to social economic entities for housing:
1. An urban development plan under the Urban Development Act;
2. A rearrangement plan under the Act on the Maintenance and Improvement of Urban Areas and Dwelling Conditions for Residents;
3, An urban renewal acceleration plan under the Special Act on the Promotion of Urban Renewal;
4. A strategic urban renewal plan and a plan for promotion of urban renewal under the Special Act on Promotion of, and Assistance in, Urban Renewal.
(2) The Mayor may lease the land alloted in recompense for development outlay in urban development districts to social economic entities for housing in accordance with the criteria under relevant regulations and municipal ordinances.


CHAPTER III IMPLEMENTATION OF JOINT PROJECTS BY MAYOR AND RELEVANT AUTHORITIES Article 10 (Implementation of Joint Projects by Mayor and Relevant Authorities) The Mayor or other relevant authority may jointly implement a housing project, such as a project for leasing or management of housing units, with social economic entities for housing by investing capital in cash or in kind or providing human resources.

Article 11 (Procedure for Implementation of Joint Projects, etc.) (1) If a social economic entity for housing wishes to jointly implement a project under Article 10, it shall submit a project proposal, stating the following matters therein, to the Mayor or other relevant authority:
1. The prospective project site;
2. Objectives of the project and subject matters of the policy;
3. Details of the project;
4. Management plans, including a financing plan;
5. Matters for which assistance from the Mayor or other joint project implementer is required and allocation of work duties, expenses, and responsibilities between joint project implementers;
6. Social benefits expected from the project.
(2) Upon receipt of a project proposal under paragraph (1), the Mayor or other relevant authority shall make a decision on whether to jointly implement a project after hearing opinions from the integrated support center of the Seoul Metropolitan Government for social housing and other related agencies. In such cases, necessary matters, such as the procedure and method for decision-making, shall be determined by the Mayor.
(3) Joint project entities may be changed or added by an agreement between project entities in the course of hearing and reviewing opinions under paragraph (2).
(4) A joint project selected under paragraph (2) shall be implemented under an agreement made between project entities. In such cases, a special-purpose corporation may be established under an agreement between project entities.

Article 12 (Application Mutatis Mutandis of Relevant Statutes) Except as otherwise provide by this Ordinance, the Civil Act and other relevant statutes shall apply mutatis mutandis to the agreement and establishment of a special-purpose corporation under Article 11 (4).

CHAPTER IV UTILIZATION OF SOCIAL HOUSING UNITS, SUCH AS PUBLIC HOUSING UNITS FOR RENTAL Article 13 (Utilization of Social Housing Units, such as Public Housing Units for Rental) (1) The Mayor or other relevant authority may entrust the management of housing units owned by the local government or any of its affiliate agencies to social economic entities for housing with qualification for housing rental and management business under Article 53-2 of the Housing Act.
(2) The management under paragraph (1) shall be entrusted under an agreement with the Mayor or other relevant authority and a social economic entity for housing, and the Housing Act and other relevant statutes shall apply to relevant matters, except as otherwise provided by this Ordinance.
(3) A social economic entity for housing and eligible for an agrement under paragraph (2) shall be selected from among the proposers.
(4) A proposer referred to in paragraph (3) shall make a project plan referred to in Article 11 (1) and submit the plan to the Mayor or other relevant authority, and the provisions of Article 11 (2) through (4) shall apply mutatis mutandis to the hearing of opinions on the project plan submitted and the decision-making on whether to implement the project.

Article 14 (Subsidization for Expenses of Management of Public Rental Housing Units Utilized for Social Housing) If unexpected expenses are incurred in maintaining and repairing public rental housing units managed by a social economic entity for housing, the Mayor or other relevant authority may subsidize the social economic entity for part of such expenses, within budgetary limits.

Article 15 (Utilization of Private Houses for Social Housing) If a social economic entity for housing intends to lease a third party's house to utilize the house as a rental housing unit for socially and economically disadvantaged people, the Mayor or other relevant authority may grant a loan or subsidy to the social economic entity in any of the following manners, within budgetary limits:
1. Lending a loan for the leasehold deposit for leasing the house from the third party from social investment fund raised under the Seoul Metropolitan Government Ordinance on Establishment and Management of the Social Investment Fund;
2. Lending a loan or granting a subsidy for the leasehold deposit and rents payable by the occupant of the house from the social welfare fund raised under the Seoul Metropolitan Government Ordinance on Social Welfare Fund;
3. Lending a loan or granting a subsidy for expenses of remodelling the house from the social welfare fund raised under the Seoul Metropolitan Government Ordinance on Social Welfare Fund;
4. Lending a loan or granting a subsidy for expenses, etc. incurred in management of the house within a district designated for a project for the management of dwelling conditions from the fund for improvement of urban dwelling conditions under the Seoul Metropolitan Government Ordinance on the Special Account for Housing Projects.

CHAPTER V SOCIAL HOUSING COMMITTEE OF SEOUL METROPOLITAN GOVERNMENT Article 16 (Establishment and Functions of Committee) (1) "The Social Housing Committee of the Seoul Metropolitan Government (hereinafter referred to as the "Committee") may be established in order to deliberate on policies and projects for the improvement of dwelling conditions of socially and economically disadvantaged people and assistance to social economic entities for housing.
(2) The Committee shall deliberate on the following matters:
1. Formulation of master plans and implementation plans;
2. Formulation of annual business plans of the integrated support center for social housing;
3. Entrustment (including renewal of a contract) and operation of the integrated support center for social housing;
4. Other matters that the Mayor deems necessary for supporting social economic entities for housing and socially and economically disadvantaged people for dwelling.

Article 17 (Composition of Committee) (1) The Committee shall be composed of not more than 20 members, including one chairperson and one vice chairperson.
(2) The Vice Mayor II for Administrative Affairs shall serve as chairperson, and the vice chairperson shall be elected by and from among committee members.
(3) Committee members shall comprise ex officio members and commissioned members.
(4) Ex officio members shall comprise Directors-General of the offices and bureaus in charge of innovation, urban affairs, housing, economy, and welfare, public officials at the rank of Director-General and in charge of the management of public enterprises and the examination of investments, standing directors of the SH Corporation, the head of the support center for village communities, the head of the support center for social economy, and the head of the Youth Hub.
(5) Commissioned members shall be commissioned by the Mayor, from among the following persons:
1. Two members of the Seoul Metropolitan Council;
2. Persons who have experience as an executive officer or employee of a nonprofit non-governmental organization for housing;
3. Persons who have experience as an associate or higher-ranking professor or with an equivalent position in a university or a public research institute in a field related to housing;
4. Persons who have experience and knowledge about nonprofit projects for housing.
(6) The Committee shall have an executive secretary who shall carry out administrative affairs of the Committee, and the Director of the Housing Policy Division shall serve as executive secretary.

Article 18 (Term of Office of Committee Members) (1) The term of office of each ex officio member shall correspond to the period during which he/she holds the relevant position.
(2) The term of office of each commissioned member shall be three years but may be renewed consecutively only once: Provided, That the term of office of a new member commissioned to fill a vacancy shall correspond to the remaining term of office of his/her predecessor.

Article 19 (Duties, etc. of Chairperson) (1) The chairperson shall represent the Committee and administer all business affairs of the Committee.
(2) The vice chairperson shall assist the chairperson and shall act on behalf of the chairperson, if the chairperson is unable to perform his/her duties due to an unavoidable cause or event.

Article 20 (Meetings, etc.) (1) Meetings of the Committee shall be divided into regular meetings and special meetings, and regular meetings shall be held twice a year, and special meetings shall be convened in any of the following cases:
1. When the Mayor calls for a meeting;
2. When at least one-third of current committee members call for a meeting;
3. When the chairperson deems it necessary to call for a meeting on any ground.
(2) A meeting shall be duly formed with the attendance of the majority of current committee members, and a resolution shall be adopted by affirmative votes of the majority of the members present at the meeting.

Article 21 (Hearing of Opinions, etc.) When the Committee deems it necessary for an item on the agenda for deliberation, it may summon relevant public officials, experts, and residents to hear their opinions or may request them to make an explanation or to submit documents.

Article 22 (Minutes of Meeting) The executive secretary of the Committee shall take and keep minutes of each meeting.

Article 23 (Allowances) Allowances and travel expenses may be paid to committee members, experts, and other persons who attend a committee meeting, except public officials who attend the meeting as a committee member, within budgetary limits.

CHAPTER VI INTEGRATED SUPPORT CENTER OF SEOUL METROPOLITAN GOVERNMENT FOR SOCIAL HOUSING, ETC. Article 24 (Establishment of Integrated Support Center) The Mayor may establish an integrated support center of the Seoul Metropolitan Government for social housing (hereinafter referred to as the "Integrated Support Center") in order to systematically execute the improvement of dwelling conditions of socially and economically disadvantaged people and assistance to social economic entities engaging in housing and to promote social housing.

Article 25 (Functions of Integrated Support Center) The Integrated Support Center shall perform the following functions:
1. Formulation and execution of business plans for the Integrated Support Center;
2. Surveys of actual dwelling conditions of socially and economically disadvantaged people;
3. Surveys and management of resources for improving dwelling conditions of socially and economically disadvantaged people, such as available houses and building sites;
4. Surveys of current status of social economic entities for housing and search for, and fostering of, such social economic entities;
5. Assistance to social economic entities for housing in formulating, executing, and evaluating plans for support projects;
6. Networking of social economic entities for housing and socially and economically disadvantaged people;
7. Other functions that the Mayor deems necessary.

Article 26 (Management and Operation of Integrated Support Center) (1) In order to efficiently operate the Integrated Support Center, the Mayor may entrust the center to a related corporation or organization in accordance with the Seoul Metropolitan Government Ordinance on the Entrustment of Administrative Affairs to Private Sector.
(2) The criteria for a related corporation or organization to which the operation of the Integrated Support Center may be entrusted under paragraph (1) shall meet the criteria prescribed in Article 9 (2) of the Enforcement Decree of the Act on Support of the Disabled, the Aged, and Other Housing-Disadvantaged People.
(3) If the Mayor deems it necessary for efficient operation of the Integrated Support Center, he/she may dispatch public officials under his/her direction to the center in accordance with the provisions of Article 30-4 of the Local Public Officials Act.

Article 27 (Guidance and Supervision over Operation of Integrated Support Center) (1) The Mayor may require the entrusted institution to report necessary matters related to performance of entrusted administrative functions or may inspect documents, facilities, etc., as necessary for guidance and supervision over entrusted administrative functions.
(2) If the Mayor finds as a result of the inspection under paragraph (1) that entrusted functions have been performed unlawfully or unreasonably, he/she may take necessary measures.
(3) When the Mayor intends to take a measure under paragraph (1), he/she shall notify the entrusted institution of his/her intention, in writing, and shall give the entrusted institution an opportunity to make statements thereon in advance.

Article 28 (Cancellation, etc. of Entrustment Contract) (1) In either of the following cases, the Mayor may cancel the entrustment contract made with an entrusted institution:
1. If the entrusted institution violates any statute or municipal ordinance;
2. If the entrusted institution breaches the entrustment contract.
(2) When the Mayor intends to cancel an entrustment contract under paragraph (1), he/she shall give the entrusted institution an opportunity to make statements thereon in advance.
(3) When an entrustment contract is cancelled under paragraph (1), the entrusted institution shall return entrusted facilities, accumulated intellectual property, etc. promptly.

Article 29 (Enforcement Rules) Matters necessary for the enforcement of this Ordinance shall be prescribed by rule.