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THE ENFORCEMENT RULES OF THE MUNICIPAL ORDINANCE OF SEOUL METROPOLITAN CITY ON THE CONSTRUCTION, SUPPLY, ETC.

THE ENFORCEMENT RULES OF THE MUNICIPAL ORDINANCE OF SEOUL METROPOLITAN CITY ON THE CONSTRUCTION, SUPPLY, ETC.

CHAPTER Ⅰ GENERAL PROVISIONS Article 1 (Purpose) The purpose of this Rule is to provide for matters madated by the Seoul Metropolitan Government Ordinance on Construction, Supply, etc. of Public Housing and Articles 18 of the Enforcement Rule of the Special Act on Public Housing and matters necessary for the enforcement thereof. <Amended by Ordinance No. 4190, Oct. 12, 2017>

Article 2 (Definitions) The terms used in this Rule shall be defined as follows: <Amended by Ordinance No. 4054, Oct. 22, 2015; Ordinance No. 4190, Oct. 12, 2017>
1. The term "long-term rental housing on which a lump-sum deposit is made" means public rental housing under Article 2 (1) 4 of the Enforcement Decree of the Special Act on Public Housing;
2. The term "householder" means a person who is the head of a household under subparagraph 3 of Article 2 of the Rules on Housing Supply;
3. The term "member of a household" means a member of a household that does not currently own a house under subparagraph 4 of Article 2 of the Rules on Housing Supply;
4. The term "occupant" means a tenant who moves into long-term rental housing on which a lump-sum deposit is made by concluding a housing rental contract (hereinafter referred to as "contract") as he/she is selected as a successful applicant for long-term rental housing on which a lump-sum deposit is made;
5. The term "occupant's savings" means the occupant's savings referred to in Article 56 of the Housing Act;
6. The term "managing entity" means Seoul Housing and Communities Corporation which directly constructs long-term rental housing on which a lump-sum deposit is made or conducts affairs concerning the supply and management of the aforesaid long-term rental housing as entrusted by the Mayor of Seoul Metropolitan City (hereinafter referred to as the "Mayor");
7. The term "price of rental housing on which a lump-sum deposit is made" means a price determined to be not more than 80% of the average of earnest money deposits on rental housing on which a lump-sum deposit is made of two or three apartment complexes which are similar to relevant rental housing in terms of type, size, living conditions, etc. among housing which are located in the same Si/Gun/Gu as that of public rental housing supplied by the managing entity as long-term rental housing on which a lump-sum deposit is made or in adjacent Sis/Guns/Gus: Provided, That where it is difficult to select complexes which are similar in terms of size, etc. in adjacent areas for comparison with the relevant public housing, survey, calculation, etc. may be entrusted to specialized research institutions;
8. The term "successful applicant" means a person selected by the managing entity according to criteria for selecting occupants under Articles 3 and 4 and finally determined to be eligible to enter into a contract by separately verifying eligibility for occupation in term of homeownership, income standards, etc., and appropriateness and truthfulness of matters in applications, etc.;
9. The term "person who enters into a contract" means a person with whom the managing entity enters into a rental agreement after determining such person to be eligible to occupy long-term rental housing on which a lump-sum deposit is made.

CHAPTER Ⅱ CRITERIA FOR SELECTING AND MANAGEMENT OF OCCUPANTS OF LONG-TERM RENTAL HOUSING ON WHICH LUMP-SUM DEPOSIT IS MADE Article 3 (Eligibility of and Criteria for Selecting Occupants) (1) The managing entity shall, when supplying long-term rental housing on which a lump-sum deposit is made, select occupants by applying the following income standards: Provided, That in cases of houses constructed and supplied with the support of the treasury of the State and funds from the National Housing Funds (the portion converted to national rental housing) in Article 8 (1) 1 of the Seoul Metropolitan Government Ordinance on the Construction, Supply, etc. of Public Housing (hereinafter referred to as the "Ordinance") shall follow the income standards referred to in subparagraph 1 (b) of attached Table 4 of the Enforcement Rule of the Special Act on Public Housing: <Amended by Ordinance No. 4054, Oct. 22, 2015; Ordinance No. 4190, Oct. 12, 2017>
1. A house with an exclusive-use area of 60 square meters or below: 100 percent or blow of average monthly income of urban workers of the preceding year (Provided, That in cases of rental housing under Article 8 (1) 1 of the Ordinance, such housing shall be preferentially supplied to persons whose income accounts for 70 percent or below of average monthly income of urban workers of the preceding year);
2. A house with an exclusive-use area of more than 60 square meters and not more than 85 square meters: 120 percent or below of average monthly income of urban workers of the preceding year;
3. A house with an exclusive-use area of more than 85 squre meters: 150 percent or below of average monthly income of urban workers of the preceding year.
(2) Eligibility and criteria for selection of occupants of long-term rental housing on which a lump-sum deposit is made under Article 8 (1) 2 of the Ordinance shall be as specified in attached Table 1. <Amended by Ordinance No. 4190, Oct. 12, 2017>
(3) Where the managing entity selects occupants pursuant to paragraph (1) or (2) while there is competition in the same ranking, it shall select occupants pursuant to attached Table 2: Provided, That where it provides national rental housing under Article 2 (1) 2 of the Enforcement Decree of the Special Act on Public Housing as long-term rental housing on which a lump-sum deposit is made, it shall select occupants pursuant to attached Table 4 of the Enforcement Rule of the aforesaid Act. <Amended by Ordinance No. 4190, Oct. 12, 2017>
(4) The managing entity may preferentially supply additional long-term rental housing on which a lump-sum deposit is made as follows to the extent not exceeding ten percent of the amount of supply of long-term rental housing on which a lump-sum deposit is made pursuant to Article 18 (3) of the Enforcement Rule of the Special Act on Public Housing. In such cases, the eligibility and criteria for selection of occupants referred to in subparagraph 2 shall be as specified in attached Table 3: <Amended by Ordinance No. 4054, Oct. 22, 2015; Ordinance No. 4190, Oct. 12, 2017>
1. A member of a household that does not currently own a house, who has at least threechildren who are minors under the Civil Act: A house with an exclusive-use area of more than 60 squre meters nor more than 85 square meters;
2. A member of a household that does not currently own a house, who has at least four children who are minors under the Civil Act: A house with an exclusive-use area of more than 85 square meters.

Article 4 Deleted. &#lt;by Ordinance No. 4190, Oct. 12, 2017&#gt;

Article 5 (Extra Charges for Persons Exceeding Income Standards at Time of Renewal of Contract) (1) Where an occupant of long-term rental housing on which a lump-sum deposit is made fails to comply with the income standards in Article 3 (1), the managing entity shall additionally charge an amount obtained by multiplying the amount of the renewed contract as of the date of renewal of contract by the following extra charge rates according to the degree of exceeding the income standards:

Percentage in excess of income standards
Extra charge rates
First renewal of contract of persons whose income exceeds
Second renewal of contract of persons whose income exceeds
Ten percent or below
100 percent
105 percent
More than ten percent and not more than 30 percent
105 percent
110 percent
More than 30 percent and not more than 50 percent
110 percent
120 percent


(2) Where an occupant whose income exceeds the income standards referred to in paragraph (1) by 50 percent, the managing entity shall evict him/her within six months from the date of expiration of the rental period. <Amended by Ordinance No. 4190, Oct. 12, 2017>

Article 6 (Timing of and Procedures for Selection of Occupants) (1) The managing entity shall determine the timing of selection of occupants in consideration of the timing, amount, etc. of housing supply.
(2) Determination of houses (the number of a building containing the house and the housing unit number) to be occupied by persons to be selected as occupants of long-term rental housing on which a lump-sum deposit is made shall be made through the method of drawing lots on the computer system. <Amended by Ordinance No. 4190, Oct. 12, 2017>
(3) Where the managing entity selects occupants pursuant to Article 3, it shall select occupants in accordance with procedures provided in Section 2 of Chapter III of the Rules on Housing Supply after it formulates a plan to provide long-term rental housing on which a lump-sum deposit is made and reports such plan to the Mayor. <Amended by Ordinance No. 4190, Oct. 12, 2017>
(4) The invitation of occupants shall proceed following the procedures of public notice of invitation, receipt of applications, announcement of persons eligible for document examination, announcement of successful applicants, contracting, etc.

Article 7 (Occupancy Contract, etc.) (1) Deleted. <by Ordinance No. 4190, Oct. 12, 2017>
(2) The management of occupants under Article 8 and the cancellation of an agreement, eviction, etc. under Article 9 shall be specified in the written occupancy contract.
(3) The managing entity shall enter into a contract after it confirms whether a person eligible for occupancy owns a house in accordance with the method and procedure under Article 52 (1) of the Rules on Housing Supply. <Amended by Ordinance No. 4190, Oct. 12, 2017>
(4) The managing entity may stipulate compensation for damage caused by illegal residence, etc. in an occupancy agreement in cases of cancellation or termination of a contract. <Amended by Ordinance No. 4190, Oct. 12, 2017>

Article 8 (Management of Occupants) (1) The managing entity shall manage data concerning applications for occupancy, data concerning expected successful applicants, information on occupants, etc. by using electronic media.
(2) The managing entity shall conduct fact-finding surveys of occupants (including members of households) not less than twice within six months after the date of occupancy and not less than twice annually thereafter, and take legal measures, such as eviction, where a breach of contract is discovered. In such cases, it may adopt the integrated patrol manager system, etc. in consideration of the number of households in each housing complex for reasonable operation. <Amended by Ordinance No. 4190, Oct. 12, 2017>
(3) The managing entity shall confirm whether an occupant (including members of the household) owns a house at least once a year after his/her occupancy. In such cases, Articles 48-3 through 48-7 of the Special Act on Public Housing and Articles 57 and 58 of the Rules on Housing Supply shall apply mutatis mutandis to procedures and methods for confirming ownership of a house. <Amended by Ordinance No. 4190, Oct. 12, 2017>
(4) The managing entity may invite applicants for occupancy by separately allocating lower floors (first and second floors) at the time of announcing the invitation of applicants for occupancy, and where an occupant (including members of the household) wishes to move to a lower floor (first through third floors) due to a disability, disease, etc., it may permit him/her to move to a lower floor as far as it may provide houses on lower floors. <Amended by Ordinance No. 4190, Oct. 12, 2017>
(5) Deleted. <by Ordinance No. 4190, Oct. 12, 2017>
(6) Where necessary to select and manage occupants, the managing entity may request relevant agencies to provide it with computerized information on the resident registration of applicants, their current ownership of real estate and automobiles, etc.

Article 9 (Cancellation of Agreements, Eviction, etc.) Where an occupant falls under any of the following cases, the managing entity shall terminate the contract and take measures, such as eviction: <Amended by Ordinance No. 4190, Oct. 12, 2017>
1. Where he/she falls under Article 47 of the Enforcement Decree of the Special Act on Public Housing, such as the transfer of the right to lease;
2. Deleted; <by Ordinance No. 4190, Oct. 12, 2017>
3. Where he/she commits a violation that constitutes a reason for eviction among the terms and conditions of the contract.
(2) Where an occupant falls under paragraph (1), the managing entity shall take measures, such as eviction, within six months from the date on which a reason for eviction occurs. <Amended by Ordinance No. 4190, Oct. 12, 2017>

Article 10 (Rental Terms and Conditions) (1) The managing entity shall determine the price of long-term rental housing on which a lump-sum deposit is made pursuant to subparagraph 7 of Article 2: Provided, That Standard Rental Security Deposits and Standard Rent of National Rental Housing shall apply to rental housing constructed with funds provided by the Government and the National Housing Fund. <Amended by Ordinance No. 4190, Oct. 12, 2017>
(2) Where housing is provided again within one year from the date of public announcement of invitation of applicants for occupancy due to unoccupied houses in housing complexes, for the occupancy of which applicants were invited and which were provided, the managing entity shall provide such houses at the original price of long-term rental housing on which a lump-sum deposit is made, and in cases of houses unoccupied thereafter, it may provide such houses by repricing the aforesaid long-term rental housing to the extent not exceeding 80 percent of the market prices in the adjacent areas. <Amended by Ordinance No. 4190, Oct. 12, 2017>
(3) The price of long-term rental housing on which a lump-sum deposit is made may be adjusted pursuant to the standards, etc. for requesting increase in rent, etc. referred to in Article 49 of the Special Act on Public Housing: Provided, That in cases of long-term rental housing on which a lump-sum deposit is made, which was provided pursuant to Article 3 (1), the managing entity shall impose an extra charge separate from a lump-sum deposit on rental housing on an occupant whose income exceeds income standards when it renews a rental agreement, or evict such occupant pursuant to Article 5. <Amended by Ordinance No. 4190, Oct. 12, 2017>
(4) The managing entity may adjust the price of long-term rental housing on which a lump-sum deposit is made in an appropriate level according to the fluctuations of housing markets, such as declines in housing prices.

Article 11 (Maintenance and Repair of Houses) (1) Repairing costs incurred from the aging, damage, etc. of long-term rental housing on which a lump-sum deposit is made and the auxiliary facilities thereto during the rental period shall be borne as stipulated in the contract.
(2) Where an occupant vacates a house, the managing entity may inspect the degree of damage to wallpaper and floor coverings inside the house and require the occupant who vacates the house to bear the cost of repairing them or replace them. <Amended by Ordinance No. 4190, Oct. 12, 2017>

Article 12 (Responsibility of Occupants) Each occupant shall restore facilities, etc. damaged due to his/her negligence to the original state at his/her own cost. <Amended by Ordinance No. 4190, Oct. 12, 2017>

Article 13 (Accumulation, etc. of Special Allowance for Repairs) In order to appropriate for costs for replacement and repair of major facilities of long-term rental housing on which a lump-sum deposit is made, the managing entity shall accumulate and manage a special allowance for repairs each month from the date on which one year passes from the date of completion of construction of the aforesaid long-term rental housing, and Article 57 of the Enforcement Decree of the Special Act on Public Housing shall apply mutatis mutandis to the rate of such allowance, procedures for use, etc. <Amended by Ordinance No. 4190, Oct. 12, 2017>

Article 14 (Use of Buildings, such as Welfare Facilities) The managing entity may allow the head of the competent local government to use welfare facilities, community support facilities, etc. within the housing complex of long-term rental housing on which a lump-sum deposit is made without compensation.

Article 15 (Guidances on Duties, etc.) The Mayor may, if necessary, guide the managing entity in writing or in the field as to overall matters concerning the supply and management of long-term rental housing on which a lump-sum deposit is made.

Article 16 (Detailed Regulations of Managing Entity) The managing entity may prescribe and operate its detailed regulations for the supply and management of long-term rental housing on which a lump-sum deposit is made within the scope of relevant statutes and regulations and this Rule. <Amended by Ordinance No. 4190, Oct. 12, 2017>

CHAPTER Ⅲ DESIGNATION OF ZONES WHERE SUBSIDIES ARE PROVIDED FOR REMODELING Article 17 (Designation of Zones Where Subsidies Are Provided for Remodeling) (1) The head of each autonomous Gu may file an application for designation of a zone, an application for the change thereof, etc. with the Mayor after examining the zone where it is necessary to provide long-term rental housing for the remodeling of which subsidies are provided because old and deteriorating houses are densely situated there.
(2) The Mayor may designate a zone where subsidies are provided for remodeling (including the change of the designation thereof) even in cases where the head of an autonomous Gu under paragraph (1) does not file an application for the designation thereof.(3) Where the Mayor intends to designate a zone where subsidies are provided for remodeling or to change the designation thereof, he/she shall designate such zone or change the designation thereof following deliberation by the Seoul Metropolitan City Integrated Deliberative Committee on Public Housing (hereinafter referred to as the "City Integrated Deliberative Committee") under Article 14 of the Ordinance: Provided, That in cases of minor changes which increase or decrease the area of the zone within ten percent, he/she may choose not to undergo deliberation by the City Integrated Deliberative Committee. <Amended by Ordinance No. 4054, Oct. 22, 2015; Ordinance No. 4190, Oct. 12, 2017>
(4) Where the Mayor designates a zone where subsidies are provided for remodeling or changes the designation thereof pursuant to paragraph (2), he/she shall publish the details thereof in the Official Gazette of Seoul Metropolitan City and make relevant documents available to the general public. <Amended by Ordinance No. 4190, Oct. 12, 2017>

- Table 1 (Eligibility of and Criteria for Selecting Occupants of Buy-to-Rent Long-Term Rental Housing on Which Lump-Sum Deposit Is Made (related to Article 3 (2)))

- Table 2 (Criteria for Selecting Occupants of Long-Term Rental Housing on Which Lump-Sum Deposit Is Made at the Time of Competition in the Same Ranking (related to Article 3 (3)))

- Table 3 (Eligibility of and Criteria for Selecting Occupants of Long-Term Rental Housing on Which Lump-Sum Deposit Is Made Preferentially Supplied to Households with Two or More Children(related to Article 3 (4)) )