SEOUL METROPOLITAN GOVERNMENT ORDINANCE ON THE PROMOTION OF SOCIAL ENTERPRISES Comparison

SEOUL METROPOLITAN GOVERNMENT ORDINANCE ON THE PROMOTION OF SOCIAL ENTERPRISES

SEOUL METROPOLITAN GOVERNMENT ORDINANCE ON THE PROMOTION OF SOCIAL ENTERPRISES
Partial Amendment No. 6097, Jan. 07, 2016	Amendment of Other Laws No. 6386, Jan. 05, 2017
Article 1 (Purpose) The purpose of this Ordinance is to contribute to the integration of communities and improvement in the quality of life of residents by enhancing social services and creating new jobs through the promotion of and support to social enterprises and prospective social enterprises in accordance with the Social Enterprise Promotion Act. <Amended by Ordinance No. 5217, Jan. 5, 2012; Ordinance No. 5450, Mar. 28, 2013>	Article 1 (Purpose) The purpose of this Ordinance is to contribute to the integration of communities and improvement in the quality of life of residents by enhancing social services and creating new jobs through the promotion of and support to social enterprises and Seoul-type social enterprises in accordance with the Social Enterprise Promotion Act. <Amended by Ordinance No. 5217, Jan. 5, 2012; Ordinance No. 5450, Mar. 28, 2013>
Article 2 (Definitions) The definitions of terms used in this Ordinance shall be as follows: <Amended by Ordinance No. 5450, Mar. 28, 2013> 1. The term "social enterprise" means an enterprise referred to in subparagraph 1 of Article 2 of the Social Enterprise Promotion Act (hereinafter referred to as the "Act"); 2. The term "prospective social enterprise" means an enterprise which is yet uncertified as a social enterprise referred to in subparagraph 1, but is substantiated as a social enterprise, such as provision of social services, provision of jobs to disadvantaged classes, etc., and is selected by the Seoul Metropolitan Government for conversion and promotion as a social enterprise; 3. The term "disadvantaged classes" means classes referred to in subparagraph 2 of Article 2 of the Act; 4. The term "social services" means services referred to in subparagraph 3 of Article 2 of the Act; 5. The term "connected enterprise" means an enterprise referred to in subparagraph 4 of Article 2 of the Act.	Article 2 (Definitions) The definitions of terms used in this Ordinance shall be as follows: <Amended by Ordinance No. 5450, Mar. 28, 2013; Ordinance No. 6093, Jan. 7, 2016> 1. The term "social enterprise" means an enterprise referred to in subparagraph 1 of Article 2 of the Social Enterprise Promotion Act (hereinafter referred to as the "Act"); 2. The term " Seoul-type social enterprise" means an enterprise which is yet uncertified as a social enterprise referred to in subparagraph 1, but is substantiated as a social enterprise, such as provision of social services, provision of jobs to vulnerable social groups, etc., and is designated by the Seoul Metropolitan Government for conversion and promotion as a social enterprise; 3. The term "vulnerable social groups" means classes in subparagraph 2 of Article 2 of the Act; 4. The term "social services" means services in subparagraph 3 of Article 2 of the Act; 5. The term " associated enterprise" means an enterprise in subparagraph 4 of Article 2 of the Act.
Article 3 (Deliberation on Matters concerning Social Enterprises, etc.) (1) The Seoul Metropolitan Government Mayor (hereinafter referred to as the "Mayor") shall establish the Seoul Metropolitan Social Enterprise Promotion Committee (hereinafter referred to as the "Committee") under the jurisdiction of the Seoul Metropolitan Government Mayor (hereinafter referred to as the "Mayor") to deliberate on the matters referred to in the following subparagraphs concerning the establishment and operation of social enterprises and prospective social enterprises (hereinafter referred to as "social enterprises, etc."): <Amended by Ordinance No. 5217, Jan. 5, 2012; Ordinance No. 5355, Sep. 28, 2012> 1. through 4. Deleted. <by Ordinance No. 5355, Sep. 28, 2012> (2) through (7) Deleted. <by Ordinance No. 5355, Sep. 28, 2012>	Article 3 (Deliberation on Matters concerning Social Enterprises, etc.) (1) The Mayor of the Seoul Metropolitan Government (hereinafter referred to as the "Mayor") shall send matters for deliberation regarding promotion of social enterprises, Seoul-type social enterprises, etc., formulation and evaluation of an execution plan by year, and operation of and support to such enterprises, before the Social Economy Committee established under the Seoul Metropolitan City Framework Ordinance on Social Economy: <Amended by Ordinance No. 5217, Jan. 5, 2012; Ordinance No. 5355, Sep. 28, 2012; Ordinance No. 6061, Jan. 7, 2016> 1. through 4. Deleted. <by Ordinance No. 5355, Sep. 28, 2012> (2) through (7) Deleted. <by Ordinance No. 5355, Sep. 28, 2012>
Article 4 (Plan for Promotion of Social Enterprises) (1) The Mayor shall formulate and execute a promotion plan of social enterprises (hereinafter referred to as "promotion plan") of the Seoul Metropolitan Government to enhance social services and create jobs. (2) A promotion plan referred to in paragraph (1) shall include the following matters: <Amended by Ordinance No. 5217, Jan. 5, 2012> 1. Guidelines for the promotion of and support to social enterprises, etc.; 2. Matters concerning the establishment of infrastructure and the creation of conditions for vitalization of social enterprises, etc.; 3. Matters concerning management support to social enterprises, etc.; 4. Matters concerning training of managerial human resources and education and training of employees of social enterprises, etc.; 5. Matters concerning securing finance for, and financial support to social enterprises, etc.; 6. Matters concerning the improvement of sustainability, such as assistance in finding markets and facilities of social enterprises, etc.; 7. Matters concerning cooperation among agencies related to social enterprises; 8. Matters concerning social enterprises support organization; 9. Matters concerning preferential purchase from social enterprises; 10. Matters concerning the provision of preferential opportunity at the time of entrustment of administrative affairs of the Seoul Metropolitan Government to private sectors; 11. Other matters necessary for the promotion of and support to social enterprises, etc. (3) The Mayor shall formulate and execute an execution plan by year in accordance with a promotion plan. (4) Upon termination of the planned term of a promotion plan referred to in paragraph (1) or an execution plan by year referred to in paragraph (3), the Mayor shall evaluate the outcomes, etc. of the relevant plan and reflect the matters requiring improvement in the plan for the following year. <Amended by Ordinance No. 5217, Jan. 5, 2012>	Article 4 (Plan for Promotion of Social Enterprises) (1) The Mayor shall formulate and execute a promotion plan of social enterprises (hereinafter referred to as "promotion plan") of the Seoul Metropolitan Government to enhance social services and create jobs. (2) A promotion plan referred to in paragraph (1) shall include the following matters: <Amended by Ordinance No. 5217, Jan. 5, 2012; Ordinance No. 6061, Jan. 7, 2016> 1. Guidelines for the promotion of and support to social enterprises, etc.; 2. Social services provided through social enterprises and target levels of employment to be created through such social services; 3. Discovering and promoting social enterprises; 4. Matters concerning the establishment of infrastructure and the creation of conditions for vitalization of social enterprises, etc.; 5. Matters concerning management support to social enterprises, etc.; 6. Matters concerning training of managerial human resources and education and training of employees of social enterprises, etc.; 7. Matters concerning securing finance for, and financial support to social enterprises, etc.; 8. Matters concerning the improvement of sustainability, such as assistance in finding markets and facilities of social enterprises, etc.; 9. Matters concerning cooperation among agencies related to social enterprises; 10. Matters concerning social enterprises support organization; 11. Matters concerning preferential purchase from social enterprises; 12. Matters concerning the provision of preferential opportunity at the time of entrustment of administrative affairs of the Seoul Metropolitan Government to private sectors; 13. Other matters necessary for the promotion of and support to social enterprises, etc. (3) The Mayor shall formulate and execute an execution plan by year in accordance with a promotion plan. (4) Upon termination of the planned term of a promotion plan referred to in paragraph (1) or an execution plan by year referred to in paragraph (3), the Mayor shall evaluate the outcomes, etc. of the relevant plan and reflect the matters requiring improvement in the plan for the following year. <Amended by Ordinance No. 5217, Jan. 5, 2012>
Article 5 (Designation, etc. of Prospective Social Enterprises) (1) The Mayor may designate a prospective social enterprise from among organizations which are able to develop into social enterprises by separately determining the standards which have relaxed the requirements referred to in Article 8 of the Act and Article 9 of the Decree, and formulate and execute policies for support and promotion leading to it converting to a social enterprise. <Amended by Ordinance No. 5217, Jan. 5, 2012; Ordinance No. 5450, Mar. 28, 2013> (2) Necessary matters concerning the requirements, procedures for and cancellation of designation of a prospective social enterprise referred to in paragraph (1) shall be prescribed by the Rules. <Amended by Ordinance No. 5217, Jan. 5, 2012	Article 5 (Designation, etc. of Seoul-Type Social Enterprises) (1) The Mayor may designate a Seoul-type social enterprise from among organizations which are able to develop into social enterprises by separately determining the standards which have relaxed the requirements referred to in Article 8 of the Act and Article 9 of the Decree, and formulate and execute policies for support and promotion leading to it converting to a social enterprise. <Amended by Ordinance No. 5217, Jan. 5, 2012; Ordinance No. 5450, Mar. 28, 2013> (2) Necessary matters concerning the requirements, procedures for and cancellation of designation of a Seoul-type social enterprise referred to in paragraph (1) shall be prescribed by the Rules. <Amended by Ordinance No. 5217, Jan. 5, 2012
Article 6 (Management Support) (1) In order to provide various support, such as professional advice and provision of information in fields of management, law, technology, taxation affairs, labor relations, accounting, education and training, and public relations necessary for the establishment and operation of social enterprises, etc., the Mayor shall establish and operate the Seoul Metropolitan Government Social Economy Support Center. <Amended by Ordinance No. 5217, Jan. 5, 2012; Ordinance No. 5450, Mar. 28, 2013> (2) The Mayor may contract out the operation of the Seoul Metropolitan Government Social Economy Support Center or establish a separate independent corporation therefor in accordance with the Seoul Metropolitan Government Ordinance on the Entrustment of Administrative Affairs to Private Sectors. <Amended by Ordinance No. 5217, Jan. 5, 2012; Ordinance No. 5450, Mar. 28, 2013> (3) Where the Mayor entrusts support affairs pursuant to paragraph (2), he/she may subsidize all or some of expenses within the extent of budget. (4) The Seoul Metropolitan Government Social Economy Support Center shall perform the following business: <Newly Inserted by Ordinance No. 5450, Mar. 28, 2013> 1. Training of social enterprisers, discovery of social enterprise models, and support for commercialization. 2. Monitoring, consultant service, and evaluation of social enterprises; 3. Support for the establishment and operation of social economy networks by category of business, regions and wide areas; 4. Establishment of support system for public relations and education for vitalization of social economy; 5. Support for creation of social economy markets; 6. Research and development of support systems and policies for social economy, etc. 7. Other matters that can contribute to the promotion of social enterprises, etc.	Article 6 (Management Support, etc.) (1) The Mayor may provide support necessary for the establishment and operation of social enterprises, etc. in accordance with Article 14 of the Seoul Metropolitan City Framework Ordinance on Social Economy (hereinafter referred to as the “Framework Ordinance”). <Amended by Ordinance No. 6386, Jan. 5, 2017> (2) If the Mayor provides education and training for the development of professional manpower necessary for the establishment and operation of social enterprises and for the improvement of capability of workers of social enterprises, it shall be governed by Article 16 of the Framework Ordinance. [This Article Wholly Amended by Ordinance No. 5883, May 14, 2015]
Article 6-2 (Support, etc. for Education and Training) The Mayor may conduct education and training for the training of specialists necessary for the establishment and operation of social enterprises and for the improvement of capability of workers of social enterprises. [This Article Newly Inserted by Ordinance No. 5110, Jul. 28, 2011]	Article 6-2 Deleted. &#lt;by Ordinance No. 5883, May 14, 2015&#gt;
Article 7 (Support of Cost of Equipment, etc.) (1) The Mayor may subsidize, or grant loans for, the expenses for the purchase of a site and the cost of equipment, etc. necessary for the establishment and operation of social enterprises, etc. in accordance with the related Acts and subordinate statutes, or preferentially lease public land or mitigate the use fee, etc. pursuant to the Seoul Metropolitan Government Ordinance on the Management of Public Property and Commodities. <Amended by Ordinance No. 5217, Jan. 5, 2012> (2) The Mayor may transfer unused articles, etc. to social enterprises, etc. free of charge.	Article 7 (Support of Cost of Equipment, etc.) (1) The Mayor may subsidize, or grant loans for, the expenses for the purchase of a site and the cost of equipment, etc. necessary for the establishment and operation of social enterprises, etc. in accordance with the related statutes, or preferentially lease public land or mitigate the use fee, etc. pursuant to the Seoul Metropolitan Government Ordinance on the Management of Public Property and Commodities. <Amended by Ordinance No. 5217, Jan. 5, 2012> (2) The Mayor may transfer unused articles, etc. to social enterprises, etc. free of charge.
Article 8 (Financial Support) (1) Where the Mayor deems it necessary for self-sufficiency of social enterprises, etc., he/she may give financial support within the extent of budget. (2) Procedures for providing financial support referred to in paragraph (1) and required documents, business performance report, cancellation of support and procedures for collection, etc, shall be prescribed by the Rules. (3) and (4) Deleted. <by Ordinance No. 5217, Jan. 5, 2012>	Article 8 (Financial Support) (1) Where the Mayor deems it necessary for self-sufficiency of social enterprises, etc., he/she may give financial support within the extent of budget. (2) Procedures for providing financial support referred to in paragraph (1) and required documents, business performance report, cancellation of support and procedures for collection, etc, shall be prescribed by the Rules. (3) and (4) Deleted. <by Ordinance No. 5217, Jan. 5, 2012>
Article 9 (Promotion of Preferential Purchase) The Mayor and the head of each affiliated organization may treat social enterprises, etc. preferentially in accordance with the related regulations when contracting for the construction, manufacture or purchase of commodities, or services. [This Article Wholly Amended by Ordinance No. 5217, Jan. 5, 2012]	Article 9 (Promotion of Preferential Purchase) (1) The Mayor or the head of an entity affiliated with the Seoul Metropolitan Government shall promote preferential purchase of goods produced or services rendered by social economic enterprises when contracting for construction, manufacture or purchase of articles, or services, in accordance with Article 8 of the Seoul Metropolitan Government Ordinance on Facilitation of Purchase of Social Economic Enterprise-Manufactured Products and Support for Development of Their Markets. <Amended by Ordinance No. 6093, Jan. 7, 2016> (2) The Mayor or the head of an entity affiliated with the Seoul Government shall include separate purchase plans for goods produced or services rendered by social economic enterprises, when preparing a purchase plan under Article 5 (1) of the Act on Facilitation of Purchase of Small and Medium Enterprise-Manufactured Products and Support for Development of Their Markets. [This Article Wholly Amended by Ordinance No. 5678, Mar 20, 2014]
Article 9-2 (Provision of Preferential Opportunity of Business Entrusted to Private Sectors) The Mayor may treat social enterprises, etc. preferentially in accordance with related regulations when entrusting the administrative affairs of the Seoul Metropolitan Government to private sectors. [This Article Newly Inserted by Ordinance No. 5217, Jan. 5, 2012]	Same as left
Article 10 (Reduction and Exemption of City Taxes) The Mayor may reduce and exempt city taxes imposed on social enterprises, etc. as prescribed by the Local Tax Act and Seoul Metropolitan Government Ordinance on Reduction and Exemption of City Taxes.	Article 10 (Reduction and Exemption of City Taxes) The Mayor may reduce and exempt city taxes imposed on social enterprises, etc. as prescribed by the Local Tax Act and Seoul Metropolitan Government Ordinance on Tax Reduction or Exemption.
Article 10-2 (Support by Characteristics) (1) The Mayor may assist in the finance or social insurances, etc. by characteristics of social enterprises, such as creation of employment of disadvantaged classes, provision of social services for disadvantaged classes, or vitalization of local communities. (2) The Mayor may assist the social enterprises, etc. the main purpose of which is to create employment of disadvantaged classes with the employment subsidy. (3) The Mayor may provide the social enterprises, etc. that provide social services to disadvantaged classes with preferential opportunity to participate in voucher business, entrustment of administrative affairs of the Seoul Metropolitan Government to private sectors, etc., in accordance with the related regulations. (4) The Mayor may provide the social enterprises, etc. the main purpose of which is to vitalize local communities with preferential opportunity to participate in the local community projects, etc. in accordance with the related regulations. (5) Matters necessary for the implementation of matters prescribed in paragraphs (1) through (4) shall be prescribed by the Rules. [This Article Newly Inserted by Ordinance No. 5217, Jan. 5, 2012]	Article 10-2 (Support by Characteristics) (1) The Mayor may assist in the finance or social insurances, etc. by characteristics of social enterprises, such as creation of employment of vulnerable social groups, provision of social services for vulnerable social groups, or vitalization of local communities. (2) The Mayor may assist the social enterprises, etc. the main purpose of which is to create employment of vulnerable social groups with the employment subsidy. (3) The Mayor may provide the social enterprises, etc. that provide social services to vulnerable social groups with preferential opportunity to participate in voucher business, entrustment of administrative affairs of the Seoul Metropolitan Government to private sectors, etc., in accordance with the related regulations. (4) The Mayor may provide the social enterprises, etc. the main purpose of which is to vitalize local communities with preferential opportunity to participate in the local community projects, etc. in accordance with the related regulations. (5) Matters necessary for the implementation of matters prescribed in paragraphs (1) through (4) shall be prescribed by the rule. [This Article Newly Inserted by Ordinance No. 5217, Jan. 5, 2012]
Article 11 (Expansion of Participation of Private Enterprises, etc.) The Mayor shall formulate measures referred to in the following subparagraphs so that private enterprises or organizations, etc. in a district may participate in the establishment and operation of social enterprises, etc.: 1. Support for the establishment and operation of exchange and cooperation networks among private enterprises and organizations in a district; 2. The expansion of support to participating enterprises for vitalization of connected enterprises.	Article 11 (Expansion of Participation of Private Enterprises, etc.) The Mayor shall formulate measures referred to in the following subparagraphs so that private enterprises or organizations, etc. in a district may participate in the establishment and operation of social enterprises, etc.: 1. Support for the establishment and operation of exchange and cooperation networks among private enterprises and organizations in a district; 2. The expansion of support to participating enterprises for vitalization of associated enterprises.
Article 12 (Public Relations, etc.) The Mayor may formulate measures referred to in the following subparagraphs to help residents in a district to boost understanding on social enterprises, etc.: 1. Support for the discovery of role models in the district and for the proliferation of such roles; 2. Support for the improvement in the quality of goods and services of social enterprises, etc. in the district and for public relations; 3. The proliferation of perception on social enterprises, etc. by holding expert forums and workshops, etc.	Article 12 (Public Relations, etc.) The Mayor may formulate measures referred to in the following subparagraphs to help residents in a district to boost understanding on social enterprises, etc.: 1. Support for the discovery of role models in the district and for the proliferation of such roles; 2. Support for the improvement in the quality of goods and services of social enterprises, etc. in the district and for public relations; 3. The proliferation of perception on social enterprises, etc. by holding expert forums and workshops, etc.
Article 13 (Guidance and Supervision) (1) The Mayor may have prospective social enterprises, etc. report the necessary matters, or may conduct the inspection of documents and facilities necessary for guidance and supervision. <Amended by Ordinance No. 5450, Mar. 28, 2013> (2) When any matter is deemed illegally or wrongfully handled as a result of a report or inspection conducted under paragraph (1), the Mayor shall take necessary measures for the correction thereof. (3) Where a social enterprise, etc. has used any subsidy in contravention of the purpose of the support, the Mayor may change or revoke his/her decision on payment of the subsidy or redeem the subsidy already paid. (4) In taking corrective dispositions under paragraph (2) or (3), the Mayor shall notify the relevant enterprise thereof in writing and give an opportunity to state its opinion in advance. [This Article Newly Inserted by Ordinance No. 5217, Jan. 5, 2012]	Article 13 (Guidance and Supervision) (1) The Mayor may have Seoul-type social enterprises, etc. report the necessary matters, or may conduct the inspection of documents and facilities necessary for guidance and supervision. <Amended by Ordinance No. 5450, Mar. 28, 2013> (2) When any matter is deemed illegally or wrongfully handled as a result of a report or inspection conducted under paragraph (1), the Mayor shall take necessary measures for the correction thereof. (3) Where a social enterprise, etc. has used any subsidy in contravention of the purpose of the support, the Mayor may change or revoke his/her decision on payment of the subsidy or redeem the subsidy already paid. (4) In taking corrective dispositions under paragraph (2) or (3), the Mayor shall notify the relevant enterprise thereof in writing and give an opportunity to state its opinion in advance. [This Article Newly Inserted by Ordinance No. 5217, Jan. 5, 2012]
Article 14 (Enforcement Rule) Matters necessary for the enforcement of this Ordinance shall be prescribed by the Enforcement Rule. <Amended by Ordinance No. 5450, Mar. 28, 2013> [This Article Newly Inserted by Ordinance No. 5217, Jan. 5, 2012]	Article 14 (Enforcement Rule) Matters necessary for the enforcement of this Ordinance shall be prescribed by rule. <Amended by Ordinance No. 5450, Mar. 28, 2013> [This Article Newly Inserted by Ordinance No. 5217, Jan. 5, 2012]
	ADDENDUM This Ordinance shall enter into force on the date of its promulgation. ADDENDUM <Ordinance No. 5110, Jul. 28, 2011> This Ordinance shall enter into force on the date of its promulgation. ADDENDA <Ordinance No. 5208, Dec. 29, 2011> Article 1 (Enforcement Date) This Ordinance shall enter into force on January 1, 2012. Article 2 Omitted. ADDENDUM <Ordinance No. 5217, Jan. 5, 2012> This Ordinance shall enter into force on the date of its promulgation. ADDENDA <Ordinance No. 5355, Sep. 28, 2012> Article 1 (Enforcement Date) This Ordinance shall enter into force on the date of its promulgation. Article 2 (Repeal of other Ordinance) The Seoul Metropolitan Government Ordinance on the Regional Economic Council shall be repealed. Article 3 (Transitional Measures) Matters consulted with or deliberated or handled by the Regional Economic Council and the Social Enterprises Promotion Committee of the Seoul Metropolitan Government under the former provisions shall be deemed conducted under this Ordinance. Article 4 Omitted. ADDENDA <Ordinance No. 5450, Mar. 28, 2013> Article 1 (Enforcement Date) This Ordinance shall enter into force on the date of its promulgation. Article 2 Omitted. ADDENDUM <Ordinance No. 5678, Mar. 20, 2014> This Ordinance shall enter into force on the date of its promulgation. ADDENDA <Ordinance No. 5709, May 14, 2014> Article 1 (Enforcement Date) This Ordinance shall enter into force on the date of its promulgation. Articles 2 and 3 Omitted. ADDENDUM <Ordinance No. 5883, May 14, 2015> This Ordinance shall enter into force on the date of its promulgation. ADDENDA <Ordinance No. 6061, Jan. 7, 2016> Article 1 (Enforcement Date) This Ordinance shall enter into force on the date of its promulgation. Article 2 Omitted. ADDENDUM <Ordinance No. 6093, Jan. 7, 2016> This Ordinance shall enter into force on the date of its promulgation. ADDENDUM <Ordinance No. 6097, Jan. 7, 2016> This Ordinance shall enter into force on the date of its promulgation. ADDENDUM <Ordinance No. 6386, Jan. 5, 2017> This Ordinance shall enter into force on the date of its promulgation.