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SEOUL METROPOLITAN GOVERNMENT ORDINANCE ON THE PROMOTION OF AND SUPPORT FOR URBAN RENEWAL

CHAPTER I GENERAL PROVISIONS Article 1 (Purpose) The purpose of this Ordinance is to prescribe matters necessary to facilitate the implementation of, and enforce, what is delegated to ordinance by the Special Act on the Promotion of and Support for Urban Renewal and the Enforcement Decree thereof and other related Acts and subordinate statutes.

Article 2 (Basic Direction) The basic direction in the renewal of the Seoul Metropolitan Government (hereinafter referred to as the “Seoul Government”) shall be to re-create it as a competitive city in which all the citizens enjoy happiness, aiming at each of the following:
1. Job creation and the strengthening of urban competitiveness;
2. Improvement in the quality of life and the realization of living welfare;
3. The creation of a pleasant and safe living environment;
4. The enhancement of local cultural values and the recovery of natural scenery;
5. The strengthening of residents’ capabilities, community vitalization, etc.

Article 3 (Definitions) The definitions of terms used in this Ordinance are as follows:
1. The term “resident consultation body” means a voluntary resident cooperation body that is organized to participate in the development of an urban renewal plan and the performance of projects for the relevant area and to proactively present its opinion;
2. The term “project council” means a consultative body that consists of the operator of an urban renewal project, interested parties, administrative agencies, etc. to facilitate the implementation of the urban renewal project.

Article 4 (Joint-Use Facilities) “Facilities determined by ordinance” in subparagraph 5 of Article 3 of the Enforcement Decree of the Special Act on the Promotion of and Support for Urban Renewal (hereinafter referred to as the “Enforcement Decree”) means each of the following:
1. Facilities necessary for village safety and joint-use management, such as management offices, joint-use delivery boxes, guardrooms, and security and anti-crime facilities;
2. Welfare facilities for community activities, such as resident sports facilities, public baths, reading rooms, small libraries, village libraries, day care centers, and bicycle racks;
3. Facilities necessary for improving the environmental conditions of villages, such as garbage collection and disposal facilities, recyclable materials collection facilities, pergolas, and joint vegetable gardens;
4. Facilities necessary for community vitalization, such as joint workplaces, joint markets, joint conference rooms, and joint warehouses.

Article 5 (Responsibilities, etc.) (1) The Mayor of the Seoul Metropolitan Government (hereinafter referred to as the “Mayor”) shall continuously implement policies for promoting urban renewal, including administrative and financial assistance, to perform urban renewal projects.
(2) Every resident has both the right to participate in urban renewal projects and the duty to proactively act in light of the obligations and roles he/she has to discharge in resident participation.
(3) Every project operator shall endeavor to adequately reflect opinions of as many residents as possible at all stages of project planning and completion and faithfully implement the project according to the objectives thereof.

CHAPTER II SYSTEM FOR IMPLEMENTING URBAN RENEWAL Article 6 (Organization and Operation of Urban Renewal Committee) (1) Pursuant to Article 8 (2) of the Special Act on the Promotion of and Support for Urban Renewal (hereinafter referred to as the “Act”), the Urban Planning Committee of the Seoul Metropolitan Government (hereinafter referred to as the “City Urban Planning Committee”) established under the Seoul Metropolitan Government Ordinance on Urban Planning shall act as Urban Renewal Committee.
(2) If an urban renewal subcommittee is established within the City Urban Planning Committee to review urban renewal-related matters more in detail, it shall include experts or activists with field experiences in urban renewal projects.

Article 7 (Organization and Operation of Exclusively Responsible Organization) (1) The ‘Urban Renewal Headquarters’ under the Seoul Metropolitan Government Ordinance on the Establishment of Administrative Organs shall act as an exclusively responsible organization that exercises overall control over and coordinates urban renewal-related work to support the development of an urban renewal strategy plan and an urban renewal promotion plan and the implementation of urban renewal projects, etc., and to promote consultation, etc. between relevant departments and agencies under Article 9 of the Act.
(2) If necessary to facilitate the functions of the exclusively responsible organization, the Mayor may appoint an expert in the field of urban renewal as a public official in a fixed-term position.

Article 8 (Designation, etc. of Urban Renewal Support Institutions of Seoul Metropolitan Government) (1) If necessary to facilitate the performance of an urban renewal project, the Mayor may designate an institution in or to which an investment or contribution is made by the Seoul Government as an urban renewal support institution.
(2) Matters concerning the designation, etc. of the urban renewal support institutions of the Seoul Metropolitan Government may be separately determined by the Mayor.

Article 9 (Establishment of Urban Renewal Support Center) (1) The Mayor may establish an urban renewal support center under Article 11 of the Act.
(2) The head of the urban renewal support center shall be appointed or commissioned by the Mayor from among the experts who have plenty of learning and experience in urban renewal as well as service experience in various urban renewal projects.
(3) The urban renewal support center shall be comprised of technical experts who can take charge of communication between residents and administrative agencies, support for and advice to residents, etc. in developing a renewal-related plan, etc.
(4) The Mayor may dispatch related public officials to the urban renewal support center to ensure its efficient operations.
(5) If necessary to perform the functions of the urban renewal support center, the head of the urban renewal support center may request the provision of materials or other cooperation from public officials of the Seoul Government and relevant administrative agencies and from other relevant institutions, corporations and organizations.

Article 10 (Operation of Urban Renewal Support Center and Entrustment of Functions thereof) The Mayor may entrust the functions of the urban renewal support center to a corporation, organization, etc. that meets specified requirements for experience, expertise, etc. in urban renewal, as the need arises. In such cases, the details of the procedure, etc. shall be as provided in the Seoul Metropolitan Government Ordinance on the Entrustment of Administrative Affairs to Private Organizations.

Article 11 (Functions of Urban Renewal Support Center) “Functions determined by ordinance of a local government” in subparagraph 2 of Article 15 of the Decree means each of the following:
1. Prior review of residents’ proposals for designating urban renewal promotion areas;
2. Support for resident consultation bodies and project councils;
3. Connection and communication with intermediary support organizations that support community-level projects, such as local cultural foundations, self-support centers and market revitalization foundations;
4. Support for the trust of unoccupied offices and stores, joint child nursing and care, and local festivals and other urban renewal projects jointly planned and preformed by local residents, merchants, etc. and the establishment, etc. of the organizations to perform those projects;
5. Urban renewal-related public relations;
6. Other functions determined by the Mayor as necessary for supporting urban renewal projects.

CHAPTER III URBAN RENEWAL STRATEGY PLAN, ETC. Article 12 (Development of Urban Renewal Strategy Plan) (1) Pursuant to Article 12 of the Act, the Mayor shall develop an urban renewal strategy plan for the whole or a part of the area over which he/she has jurisdiction.
(2) The urban renewal strategy plan under paragraph (1) shall include the basic directions and implementation strategies for promoting and supporting urban renewal in the area over which the Mayor has jurisdiction.
(3) The urban renewal strategy plan shall conform to the national basic guidelines for urban renewal and the urban basic plan.
(4) The Mayor may require the heads of the Gus, etc. under his/her jurisdiction to submit a plan for developing or modifying the strategy plan.
(5) The Mayor may seek advice from the City Urban Planning Committee to streamline the urban renewal strategy planning.

Article 13 (Basic Survey for Developing Urban Renewal Strategy Plan) (1) Pursuant to Article 14 of the Act and Article 18 of the Decree, the Mayor may conduct a basic survey in which the spatial scope is the entire area over which he/she has jurisdiction and the unit of analysis is Eup/Myeon/Dong (referring to “administrative Dong”; hereinafter the same shall apply) in principle, which may be subdivided into the unit of a census output area or lot if necessary.
(2) The basic survey shall be conducted in consideration of the objective described in each of the following subparagraphs:
1. Understanding of the characteristics of the covered area and the environs thereof;
2. Understanding of the present state and actual conditions of urban growth and decline, etc.;
3. Analysis of declining urban areas and identification of local longstanding issues;
4. Exploration of the causes of urban decline and the solutions thereto;
5. Survey and identification of urban human, physical and historical-cultural resources and potential;
6. Accumulation of basic data for continuous monitoring.
(3) The basic survey may be conducted using the integrated information system for urban renewal under Article 29 of the Act and the statistical data, etc. compiled by the Statistics Korea.

Article 14 (Residents’ Participation in Urban Renewal Strategy Planning) (1) The Mayor shall guarantee residents, the subjects of urban renewal to participate in the process of developing an urban renewal strategy plan to the maximum extent practicable.
(2) The Mayor shall endeavor to disclose relevant information to promote resident participation and to enhance residents’ sense of participation through educational programs, publicity activities, etc.
(3) The Mayor shall endeavor to constantly collect and reflect residents’ opinions in developing the urban renewal strategy plan.
(4) The Mayor may make a survey of residents’ opinions if deemed necessary to seek opinions directly from residents about an urban renewal policy, etc.

Article 15 (Residents’ Proposals for Designating Urban Renewal Promotion Areas) Every resident (including any interested party; hereinafter the same shall apply) may propose to designate an urban renewal promotion area or change such designation under Article 18 of the Act and Article 23 of the Decree.

Article 16 (Development of Urban Renewal Promotion Plan) (1) The Mayor may develop an urban renewal promotion plan for an urban renewal promotion area designated under the urban renewal strategy plan pursuant to Article 19 of the Act.
(2) The urban renewal promotion plan shall conform to the urban renewal strategy plan.
(3) The urban renewal promotion plan shall be subdivided into an ‘urban economy-based promotion plan’ and a ‘neighborhood renewal-type promotion plan’ according to the local circumstances.
(4) The Mayor may require the heads of the Gus, etc. under his/her jurisdiction to submit a plan for developing or modifying the urban renewal promotion plan.
(5) The Mayor may seek advice from the City Urban Planning Committee to streamline the urban renewal promotion planning.

Article 17 (Approval of Urban Renewal Promotion Plan) The Mayor may, upon receipt of a request for approving a neighborhood renewal-type promotion plan from the head of a Gu, etc. under Article 20 (2) of the Act, require the head of the Gu, etc. to submit a plan for promoting urban renewal with the following documents:
1. Record of public hearing results;
2. Record of opinions presented by the relevant local council under Article 20 of the Act;
3. Details of advice, if any, provided by the advisory group or urban planning committee of the relevant Gu;
4. Documents required for determining the national support to be provided under Article 20 (4) of the Act;
5. Other materials deemed by the Mayor necessary to approve the urban renewal promotion plan.

Article 18 (Residents’ Participation in Urban Renewal Promotion Planning) Article 14 shall apply mutatis mutandis to the participation of residents in urban renewal promotion planning. In such cases, the “urban renewal strategy plan” shall be deemed “urban renewal promotion plan”.

Article 19 (Evaluation of Urban Renewal Promotion Plan) (1) Where necessary to evaluate the implementation results, etc. of an urban renewal promotion plan under Article 24 of the Act and Article 31 of the Decree, the Mayor may investigate the status, results, etc. of project implementation by each of the urban renewal project operators and, if necessary, require him/her to submit a report or relevant materials.
(2) Any project operator who is provided with a subsidy for an urban renewal project shall submit to the Mayor a report specifying the implementation results of the project, the details of project settlement, the details of self-evaluation, etc. not later than the end of each year.
(3) To evaluate the implementation results, etc. of a neighborhood renewal-type promotion plan for the previous year, the Mayor may require the head of a Gu under his/her jurisdiction to undergo the investigation of the status, results, etc. of project implementation and to submit necessary reports or relevant materials.

CHAPTER IV IMPLEMENTATION OF URBAN RENEWAL PROJECTS Article 20 (Implementation and Management of Urban Renewal Projects) (1) With respect to various urban renewal projects performed according to an urban renewal promotion plan, the Mayor shall manage the entire project schedule and closely examine the period, methods, etc. of budget support to facilitate the implementation of those projects and to maximize project outcomes.
(2) The Mayor shall devise and implement necessary measures for an urban renewal project that shows slow progress.
(3) Subsequent to an urban renewal project, the Mayor shall devise and implement necessary measures, such as the operation of programs for strengthening residents’ capabilities, to ensure the sustainability of the project outcomes and to enable residents to promote urban renewal projects on their own initiative.

Article 21 (Resident Consultation Bodies) (1) Matters concerning the organization and dissolution of resident consultation bodies under subparagraph 1 of Article 3 shall be prescribed by rule.
(2) The Mayor shall guarantee resident consultation bodies an opportunity to participate in the process of implementing urban renewal projects and may provide resident consultation bodies with subsidies to cover expenses incurred by them in carrying out their activities, etc. within the budget limits.
(3) Each resident consultation body shall, upon receipt of budget support, report the details, etc. of execution of the budget for the pertinent year to both the Seoul Government and the urban renewal support center not later than the end of each year.

Article 22 (Project Councils) (1) To facilitate the performance of an urban renewal project, the Mayor may organize and operate a project council that consists of the operator of the urban renewal project, interested parties, administrative agencies, etc.
(2) Each project council shall collect the opinions of interested parties involved in the urban renewal project, seek understanding and cooperation necessary to implement the project, and settle disputes and conflicts by building consensus on project performance.
(3) Detailed matters regarding the organization and operation of project councils shall be determined by the Mayor in consideration of the characteristics, etc. of the urban renewal projects.
(4) The Mayor may separately make up a budget necessary for operating project councils.

CHAPTER V SUPPORT FOR PROMOTION OF URBAN RENEWAL Article 23 (Subsidies or Loans) (1) If necessary for promoting urban renewal, the Mayor may extend subsidies or loans to cover all or some of the expenses incurred in relation to each of the subparagraphs of Article 27 (1) of the Act.
(2) The terms of extending subsidies or loans under paragraph (1), maturity, interest rates, overdue interest, etc. shall be prescribed by rule.

Article 24 (Support for Urban Renewal Projects) (1) The Mayor shall develop a project support plan, on an annual basis, specifying the projects eligible for support, the amount of support, etc.
(2) The Mayor may make up a budget on an annual basis to cover the expenses necessary to support urban renewal projects, including the share of local expenses in the projects eligible for National Treasury subsidies.
(3) When making a decision on support for an urban renewal project, the Mayor shall determine whether or not to provide support, the amount of support, etc. after examining the necessity, feasibility, etc. of the project.

Article 25 (Recovery of Subsidies) The Mayor may direct the operator of an urban renewal project to return the subsidy provided and interest accrued thereon if any of the following subparagraphs is applicable:
1. Where the project cost is used for other than its original purpose or any of the terms of support is violated;
2. Where any of the Local Finance Act, the Seoul Metropolitan Government Ordinance on the Management of Subsidies, etc. is violated;
3. Where the subsidy has been obtained by fraud or other wrongful means;
4. Where the project is delayed for at least six months without a justifiable reason;
5. Where any of the provisions of this Ordinance is violated or a false report is filed.

Article 26 (Establishment of Special Account on Urban Renewal) (1) The Mayor may establish a special account on urban renewal (hereinafter referred to as “special account”) to facilitate and support urban renewal promotion and urban renewal projects under Article 28 of the Act.
(2) Detailed matters regarding the establishment, operation and management of the special account shall be prescribed by separate ordinance.

Article 27 (Special Cases concerning Relaxation, etc. of Building Regulations) (1) The extent of relaxation of the building-to-land ratio under Article 39 (1) of the Decree is as follows:
1. Where the site for infrastructure is supplied: Within (the building-to-land ratio applied to specific-use areas as at the time an urban renewal promotion area is designated) × (1 + the area of the site for infrastructure supplied ÷ the original area of the lot);
2. Where a separate restriction is placed on heights as required by the urban renewal promotion plan including the protection of cultural heritage, etc., urban scenery, environmental improvement, and the revitalization of streets: Within the ratio provided in Article 84 of the Enforcement Decree of the National Land Planning and Utilization Act.
(2) The criteria for installing parking lots in an urban renewal promotion area under Article 32 (2) of the Act may be relaxed by the urban renewal promotion plan to the extent determined by the Seoul Metropolitan Government Ordinance on the Installation and Management of Parking Lots if a public parking lot is installed in the place provided in each of the subparagraphs of Article 7 (2) of the Enforcement Decree of the Parking Lot Act.

CHAPTER VI SUPPLEMENTARY PROVISIONS Article 28 (Enforcement Rule) Matters necessary for the enforcement of this Ordinance shall be prescribed by rule.