The English version is translated and uploaded only for the purpose of no other than PR, and thereby, Enforcement Decree of the Distribution Facilities Development and Operation Act in the Korean language will prevail regarding authorization and permission Enforcement Decree of the Distribution Facilities Development and Operation Act [Enforcement: Jan. 1, 2009] [Presidential Decree No. 21231, Dec. 31, 2008, Amendments of other laws and regulations] (Logistics Facilities and Information Division) Ministry of Land, Transportation, and Maritime Affairs, Telephone: 02-2110-6358 Chapter 1 General Provisions Article 1 (Purpose) The purpose of this Decree is to prescribe matters delegated by the Distribution Facilities Development and Operation Act and matters necessary for the enforcement thereof. Article 2 (Sizes, etc. of Processing and Assembly Facilities) 1 Processing and assembly facilities not larger than the sizes as designated by Presidential Decree in the proviso of Subsection 2, Article 2 of the Distribution Facilities Development and Operation Act, (hereinafter referred to as the Act ), mean processing and assembly facilities of which the total floor area is less than a quarter of the total floor area of the distribution terminal. 2 Other facilities equipped with distribution functions and designated by Presidential Decree in (i), Subsection 7, Article 2 of the Act mean facilities of the
following subsections: <Amended by Presidential Decree No. 20722, February 29, 2008> 1. Bonded warehouses under the Customs Act; 2. Facilities for marine product processing businesses, (facilities only for freezing and refrigeration businesses), under Article 19 of the Marine Products Quality Control Act; 3. Cargo handling, storage, and processing facilities in the harbor area under Subsection 6, Article 2 of the Harbor Act; 4. Facilities for cargo transport, and incidental and support facilities in the airport area under Subsection 6, Article 2 of the Aviation Act; 5. Cargo transport, handling, and storage facilities used by railroad businesses for their operations under Subsection 8, Article 2 of the Railroad Enterprise Act; 6. Other facilities equipped with functions prescribed by Ordinance of the Ministry of Land, Transportation, and Maritime Affairs. 3 Processing and manufacturing facilities designated by Presidential Decree in (a) of Subsection 8, Article 2 of the Act mean facilities falling under any of the following subsections: <Amended by Presidential Decree No. 20722, February 29, 2008> 1. Processed goods production factories under Article 5 of the Act for Agricultural Products Processing Industry Development; 2. Agricultural and fishery products distribution center, (including general stock farm product treatment facilities that perform butchery, processing, storage, etc. of stock farm products), in the producing area under Article 51 of the Act on the Distribution and Price Stabilization of Agricultural and Fishery Products; 3. Factories under Subsection 1, Article 2 of the Industrial Cluster Development and Factory Establishment Act; 4. Marine processed goods production factories under Article 17 of the Fishery Products Quality Control Act and facilities, (facilities for freezing and refrigeration businesses and marine product processing facilities on shipboards are excluded), for marine product processing businesses under Article 19 of the same Act; and
5. Other manufacturing and processing facilities designated by Ordinance of the Ministry of Land, Transportation, and Maritime Affairs. 4 Other facilities designated by Presidential Decree to improve the performance of the distribution complex in (e) of Subsection 8, Article 2 of the Act mean facilities falling under any of the following subsections: <Amended by Presidential Decree No. 20722, February 29, 2008> 1. Cultural and assembly facilities under Subsection 5, Table 1 of the Enforcement Decree of the Building Act; 2. Facilities to treat waste coming from occupied companies and support agencies; and 3. Other facilities prescribed by Ordinance of the Ministry of Land, Transportation, and Maritime Affairs to improve the performance of the distribution complex. Chapter 2 Establishment of a General Distribution Facilities Development Plan Article 3 (Establishment of a General Distribution Facilities Development Plan) 1 Other matters designated by Presidential Decree in Subsection 10, Section 3, Article 4 of the Act mean matters relating to infrastructure, including water, energy, communications, etc. 2 The amendments of details designated by Presidential Decree in the latter part of Section 1, Article 5 of the Act mean the amendment of demand and supply plans for the distribution facilities exceeding ten hundredths (10/100) of the distribution facility site for each distribution facility. 3 When the head of the central administrative agency concerned requests of the Minister of Land, Transportation, and Maritime Affairs, (hereinafter referred to as the Minister ), an alteration of the General Distribution Facilities Development Plan in accordance with Section 3, Article 5 of the Act, it shall submit to the Minister documents relating to matters pertaining to the following subsections: <Amended by Presidential Decree No. 20722, February 29, 2008>
1. Current situations about the distribution facilities; 2. Plans for financing and investment; and 3. Other matters prescribed by Ordinance of the Minster of Land, Transportation, and Maritime Affairs. 4 When the Minister requests data or cooperation deemed necessary for the establishment or alteration of the General Distribution Facilities Development Plan in accordance with Section 3, Article 5 of the Act, it shall make clear the content of the data or cooperation and the period for the submission thereof. <Amended Presidential Decree No. 20722, February 29, 2008> Chapter 3 Distribution Terminal Business Article 4 (Registration of Composite Distribution Terminal Business) 1 Public agencies designated by Presidential Decree in Subsection 2, Section 2, Article 7 of the Act mean agencies pertaining to the following subsections: 1. Korea Railroad Corporation under the Korea Railroad Corporation Act; 2. Korea Land Corporation under the Korea Land Corporation Act; 3. Korea Expressway Corporation under the Korea Expressway Corporation Act; 4. Korea National Housing Corporation under the Korea National Housing Corporation Act; 5. Korea Water Resources Corporation under the Korea Water Resources Corporation Act; 6. Korea Rural Community Corporation under the Korea Rural Community Corporation Act; and 7. Korea Harbor Corporation under the Korea Harbor Corporation Act. 2 Details prescribed by Presidential Decree in Section 3, Article 7 of the Act mean matters other than any of the following subsections:
1. Alterations of the area of composite distribution terminal sites, (only the alteration of an area not exceeding one tenth (1/10) of the site without regard to the times of alteration); 2. Alteration of construction or equipment of the composite distribution terminal; and 3. Alteration of the name or location of the place of business. 3 Any person, (hereinafter referred to as the Composite Distribution Terminal Business ), who has formed a registration as a composite distribution terminal business in accordance with Section 1, Article 7 of the Act shall present documents prescribed by Ordinance of the Ministry of Land, Transportation, and Maritime Affairs to the Minister when making an application for alteration of the registered details under Section 3 of the same Article. <Amended by Presidential Decree No. 20722, February 29, 2008> Article 5 (Authorization, etc. for Work Implementation) 1 For a distribution terminal business, (hereinafter referred to as the Distribution Terminal Business Entity ) under Section 1, Article 10 of the Act to obtain authorization on work implementation or authorization on alteration under Section 1, Article 9 of the Act, the Composite Distribution Terminal Business Entity shall submit an application for work implementation or alteration attached with a written work plan to the Minister, and the person intending to operate the general distribution terminal business shall submit the application to the Special Metropolitan City Mayor, Metropolitan City Mayor, Do governor, or special autonomous Do governor, (hereinafter referred to as the mayor/do governor ). <Amended by Presidential Decree No. 20722, February 29, 2008> 2 Details prescribed by Presidential Decree that require authorization of the alteration of a work plan in the latter part of Section 1, Article 9 of the Act mean any of the following subsections: <Amended by Presidential Decree No. 20722, February 29, 2008> 1. Alteration of the work period;
2. Alteration of the area of the distribution terminal site (only the alteration of an area exceeding one tenth (1/10) of the site); 3. Alteration of the total floor space, (the total area of all floors of a building; the same applies hereinafter), of buildings within a distribution terminal, (only the alteration of an area exceeding one tenth (1/10) of the site); and 4. Alteration of public facilities within the distribution terminal, such as roads, railroads, plazas, greenery, and other facilities prescribed by Ordinance of the Ministry of Land, Transportation, and Maritime Affairs. Article 6 (Consultation regarding Disuse, etc.) 1 To request consultation with heads of administrative agencies relating to the disuse and sale of State- or local government-owned properties under the latter part of Section 2, Article 13 of the Act, the Minister or mayor/do governor shall attach documents of the following subsection: <Amended by Presidential Decree No. 20722, February 29, 2008; Amended by Presidential Decree No. 21231, Dec. 31, 2008> 1. Detailed statement of properties subject to consultation; 2. Documents showing details of consultations about disuse, sale, and appraisal methods of properties; 3. Deleted <Dec. 31, 2008> 4. Deleted <Dec. 31, 2008> 5. Location drawing; and 6. Certificate of unregistered property (required only for unregistered properties). 2 Heads of administrative agencies consulted pursuant to Section 1 shall confirm all the administrative information of the following subsections through the public use of administrative information under Section 1, Article 21 of the e-government Act: <Established Dec. 31, 2008> 1. Transcript of land (forest land) register; 2. Transcript of the register; and 3. Transcript of cadastral map.
3 The Minister of Strategy and Finance may have the properties managed or disposed in accordance with Section 4, Article 13 of the Act managed or disposed on consignment in accordance with Section 3, Article 32 of the State Properties Act. <Amended by Presidential Decree No. 20722, February 29, 2008; Amended by Presidential Decree No. 21231, Dec. 31, 2008> Article 7 (Offenses, Surcharge Amount, etc.) 1 Offenses and surcharge amounts under Section 2, Article 18 of the Act are as shown in Table 1. 2 The Minister may increase or reduce the surcharge amount under Section 1 considering the scale of the business, particularity of the business area, extent and frequency of the offense/s, and other circumstances within the limits of a half of the amount. In the case of being increased, the total surcharge amount shall not exceed ten million won. <Amended by Presidential Decree No. 20722, February 29, 2008> Article 8 (Imposition and Payment of Surcharges) 1 Where a surcharge is imposed under Article 7, the Minister shall investigate and confirm the offense and notify the imposed of the surcharge with a documentary statement of the offense and the method and time limit for lodging objections. <Amended by Presidential Decree No. 20722, February 29, 2008> 2 Any person who has received a notification under Section 1 shall pay the surcharge to the receiving agency specified by the Minister within 20 days from the date of notification, provided that, in the event that the surcharge cannot be paid before the expiry of the time limits due to natural calamities or any other uncontrollable accidents, it shall be paid within 7 days from the date the reason is no longer valid. <Amended by Presidential Decree No. 20722, February 29, 2008> 3 The receiving agency that has received the surcharge under Section 2 shall deliver the receipt for the surcharge to the payer.
4 When it has delivered the surcharge receipt under Section 3, the receiving agency shall give the Minister notice of having received the surcharge. <Amended by Presidential Decree No. 20722, February 29, 2008> 5 Surcharges shall not be paid in installments. Article 9 (Reminders and Collection of Surcharges) 1 The Minister shall send a reminder to the person notified of a surcharge under Section 3, Article 18 of the Act within 7 days after the due date of payment when the person has failed to pay the surcharge. In this case, the time limit for payment shall not exceed 10 days from the date the reminder was sent. <Amended by Presidential Decree No. 20722, February 29, 2008> 2 In the event that the person who has received the reminder under Section 1 fails to pay the surcharge by the time limit, the Minister may have his/her official forcibly collect the surcharge following the example of a disposition of national taxes in arrears. In this case, the official shall carry a certificate proving his/her legal authority to present to those persons concerned. <Amended by Presidential Decree No. 20722, February 29, 2008> Article 10 (Establishment of Association) 1 In the event that distribution terminal businesses are intended to establish a Distribution Terminal Business Association, (hereinafter referred to as an Association ), under Article 19 of the Act, promoters consisting of 7 or more businesses shall submit an application for authorization on the establishment, attached with documents of the following subsections, to the Minister after passing the decision at the inaugural meeting: <Amended by Presidential Decree No. 20722, February 29, 2008> 1. Articles of association; 2. List and resumes of promoters; 3. List of members;
4. Business plan, and revenue and expenditure plan; and 5. Minutes of the inaugural meeting. Article 11 (Articles of Association) Articles of Association shall include matters outlined in the following subsections: 1. Purpose; 2. Name; 3. Location of the office; 4. Matters relating to membership and the general meeting; 5. Matters relating to directors; 6. Matters relating to business activities; 7. Matters relating to budgeting and membership fees; 8. Matters relating to alterations of the Articles of Association; 9. Matters relating to dissolution; and 10. Matters relating to the method of announcements. Article 12 (Business) The Association shall conduct the business activities of the following subsections: <Amended by Presidential Decree No. 20722, February 29, 2008> 1. Pursuit of the sound development of the distribution terminal business and common interests of the business entities; 2. Compilation and management of statistics necessary for the development of the distribution terminal business, and collection, investigation, and research of foreign data; 3. Training and education of managers and employees; 4. Guidance on the improvement of the management in the distribution terminal businesses; 5. Business activities consigned by the Minister; and 6. Business activities incidental to each of Subsections 1 to 5.
Chapter 4 Development and Operation of a Distribution Complex Article 13 (Designation of a Distribution Complex) 1 The size designated by Presidential Decree in the provision of Section 1, Article 22 of the Act means one million (1,000,000) sq. meters. 2 The amendments of important matters designated by Presidential Decree in the latter parts of Sections 2 and 3, Article 22 of the Act mean alterations of the following subsections: 1. Alterations of the area designated for the distribution complex, (only an amendment of an area exceeding one tenth (1/10) of the total area); 2. Alterations of an area for the distribution complex facility sites, (only an amendment of an area exceeding one tenth (1/10) of the total area), or amendment of the use of the area for the distribution complex facility sites; 3. Alterations of the infrastructure, (including drains), (only an amendment of an area exceeding one tenth (1/10) of the total area), or an amendment of the site for the facilities hereof; or 4. Alterations of the distribution complex development project undertaker. Article 14 (Application for Designation as Distribution Complex) 1 When designating a distribution complex in accordance with Section 2 or 3, Article 22 of the Act, the Minister or mayor/do governor, (hereinafter referred to as the Distribution Complex Designator ), shall designate a distribution complex only when it conforms to the distribution complex development plans and Distribution Complex Development Guidelines under Article 15. <Amended by Presidential Decree No. 20722, February 29, 2008> 2 Any person who intends to apply for a designation of a distribution complex under Section 4, Article 22 of the Act shall submit an application for designation, attached with documents and drawings of each of the following subsections, to the Distribution Complex Designator:
1. Location drawing, and drawings showing arrangements and air views of facilities; 2. Documents showing the uses of land subject to designation; 3. Documents relating to the conditions of the location, including water, energy, traffic, and communications; 4. Documents relating to plans for the disposition of developed land, facilities, etc., (disposition plans shall show location, area, price determination method, qualifications for and how to selected persons for supply, time, method, and conditions of supply, and matters relating to lease and management. The same shall apply hereinafter.) 3 When an area for which an application for a designation as a distribution complex is deemed unsuitable to be so designated, the Distribution Complex Designator shall notify the applicant of the reason thereof. 4 Other matters prescribed by Presidential Decree in Subsection 9, Section 5, Article 22 of the Act mean matters of the following subsections: 1. Plans for supporting major facilities for distribution complex development; and 2. Plans for land substitution, where necessary. Article 15 (Distribution Complex Development Guidelines) 1 In the event that it is deemed necessary for the rational development of distribution complex, the Minister shall prepare and announce the basic guidelines of distribution complex development, (hereinafter referred to as the Distribution Complex Development Guidelines ), in the official gazette. <Amended by Presidential Decree No. 20722, February 29, 2008> 2 When preparing the Distribution Complex Development Guidelines, the Minister shall hear opinions of the mayor/do governor and have consultations with all central administrative agencies concerned, and pass the deliberations of the Distribution Facilities Subcommittee under Subsection 2, Section 1, Article 19 of the Basic Distribution Act. The same shall apply to alterations of the Distribution Complex Development Guidelines, provided, however, that the same shall not apply to alterations
of trivial matters as prescribed by Ordinance of the Ministry of Land, Transportation, and Maritime Affairs. <Feb. 29, 2008> 3 The Distribution Complex Development Guidelines shall be prepared in such a way as to ensure the reasonable apportionment of distribution complex facilities land among regions for balanced regional development. 4 Matters necessary for the writing of the Distribution Complex Development Guidelines shall be designated by Ordinance of the Ministry of Land, Transportation, and Maritime Affairs. <Amended by Presidential Decree No. 20722, February 29, 2008> Article 16 (Announcement of Distribution Complex Designation or Amendment) 1 Matters prescribed by Presidential Decree in Section 1, Article 23 of the Act mean matters relating to the following subsections: 1. Name, location, and area of the distribution complex; 2. Purpose of the designation of the distribution complex; 3. Undertaker of the distribution complex development project; 4. Period and method for the development of the distribution complex; 5. Plans for land use and major basic facilities; 6. Business types for invitation and plans for their arrangement; 7. Particulars and owners of land, structures, or articles fixed on land and rights other than ownership thereof, mining rights, fishing rights, and water rights subject to expropriation or use, where necessary, and name and address of persons concerned, (hereinafter referred to as Land, etc. ), under Subsection 5, Article 2 of the Act on the Acquisition of Land, etc. for Public Works and Compensation Thereof; 8. Support plans for major facilities for distribution complex development; 9. Plans for land restitution to former land owners; 10. Basic plans for public water reclamation under Articles 4 and 8 of the Public Waters Reclamation Act;
11. Urban management plans under Article 30 of the National Land Planning and Utilization Act; 12. Land shape drawings, etc. under Section 3, Article 8 of the Basic Act on Regulations on Land Use; and 13. Methods for the public reading of relevant books. 2 Where matters under Subsections 3, 7, or 9, Section 1 are not decided at the time of distribution complex designation, such matters may be separately announced later after their details are determined. 3 Where the mayor/do governor has designated or altered a distribution complex and announced matters under subsections of Section 1, it shall notify the Minister of any details of such announcements without delay. <Feb. 29, 2008> Article 17 (Hearing of Opinions of Residents, etc.) 1 In case of intending to hear opinions of residents and experts concerning a designation of a distribution complex, the Distribution Complex Designator shall send details of the draft distribution complex development plan to the special autonomous Do governor, head of a city, Gun or Gu, (hereafter meaning the head of an autonomous Gu; hereinafter referred to as the Head of the City/Gun/Gu ), and upon receipt thereof, the Head of the City/Gun/ Gu shall announce all important details in the daily newspaper published in the region for the purposes of public reading for more than 14 days. 2 Any person who has an opinion about any details of the distribution complex development plan draft announced under Section 1 may submit opinions in writing to the Head of the City/Gun/ Gu concerned within the period for public reading. 3 The Head of the City/Gun/ Gu concerned shall submit comments and opinions presented under Section 2 to the Distribution Complex Designator. 4 Trivial matters prescribed by Presidential Decree in the provision of Section 1, Article 24 of the Act mean matters relating to the following subsections: 1. Alterations of the designated area for a distribution complex, (only alterations of an area not exceeding one tenth (1/10) of the site);
2. Alterations of the designated area for distribution complex facilities, (only alterations of an area not exceeding one tenth (1/10) of the site), or alterations of the usage purpose of a distribution complex facilities site; and 3. Alterations of the area for infrastructure, (including drains), (only alterations of an area not exceeding one tenth (1/10) of the site), or alterations of the location of such the facilities. 5 In case of intending to omit the process of hearing opinions of residents and relevant experts, the Distribution Complex Designator shall have consultations with the heads of administrative agencies concerned in advance. Article 18 (Acts Subject to Permission) 1 Acts that shall obtain permissions from the Head of the City/Gun/Gu under Section 1, Article 25 of the Act are as per the following subsections: 1. Construction, etc. of buildings: Construction, large-scale repair, or alteration of the purpose of use of buildings, (including temporary buildings), under Subsection 2, Section 1, Article 2 of the Building Act; 2. Installation of structures: Installation of artificially made structures, (excluding structures under Subsection 2, Section 1, Article 2 of the Building Act); 3. Alterations of land shape and quality: Acts of altering land shapes by way of cutting, raising, leveling, and/or paving the ground, digging land, and/or the reclamation of public waters; 4. Gathering of earth and rocks: Gathering of earth and rocks, such as earth, sand, pebbles, and rocks. Subsection 3 shall apply, however, to such acts for the purpose of altering land shape and quality; 5. Division of land; 6. Piling up of articles: Piling up of articles that are difficult to move for in excess of one month; and 7. Lumbering or planting of bamboo and trees.
2 In case of intending to give permission for actions under subsections of Section 1 in accordance with Section 1, Article 25 of the Act, and where the undertaker of the distribution complex development project, (hereinafter referred to as the Undertaker ), has already been designated, the Head of the City/Gun/Gu shall hear opinions of the Undertaker in advance. 3 Other actions prescribed by Presidential Decree in Subsection 2, Section 2, Article 25 of the Act mean actions falling under any of the following subsections and not falling under acts required for permission for development under Article 56 of the Act on National Land Planning and Utilization: <Amended by Presidential Decree No. 20722, February 29, 2008> 1. Installation of small-scale structures prescribed by Ordinance of the Ministry of Land, Transportation, and Maritime Affairs for direct use in the production of agricultural and marine products; 2. Alterations of land shape and quality for farming; 3. Gathering of earth and rocks that does not cause impediments to the development of the distribution complex and damage to natural scenic beauty; 4. Piling up of articles on land decided for retention in the distribution complex; and 5. Temporary planting of bamboo and trees for decorative purposes, (excluding temporary planting on farm land). 4 Any person seeking to submit a report under Section 3, Article 25 of the Act shall submit the report to the Head of the City/Gun/Gu concerned, attaching the progress of, and implementation plans for, the work or project within 30 days from the announcement of distribution complex designation. Article 19 (Cancellation of Distribution Complex Designation) 1 The period prescribed by Presidential Decree in Section 1, Article 26 of the Act means 5 years. 2 In case of intending to cancel a distribution complex designation in accordance with Section 2, Article 26 of the Act, the Distribution Complex Designator shall specify
matters relating to the following subsections and consult with the heads of administrative agencies concerned: 1. Reason for and particulars of cancellation; and 2. Matters relating to restitutions of the service area under Article 36 of the Act on National Land Planning and Utilization. 3 In the event that a distribution complex designation has been cancelled in accordance with Sections 1 and 2, Article 26 of the Act, the Distribution Complex Designator shall announce matters relating to the following subsections: 1. Name of the distribution complex; 2. Location and area of the distribution complex to be cancelled; 3. Reason for the cancellation of the distribution complex designation; 4. Whether the service area under Article 36 of the Act on National Land Planning and Utilization is restituted or not; and 5. The method for the public reading of books concerned. Article 20 (Undertaker) 1 The Distribution Complex Designator shall designate the Undertaker under Section 1, Article 27 of the Act in consideration of the feasibility of the project, financing capacity, and relationship with development plans established in accordance with other acts. 2 Public agencies prescribed by Presidential Decree in Subsection 2, Section 2, Article 27 of the Act mean agencies of the following subsections: 1. Korea Land Corporation under the Korea Land Corporation Act; 2. Korea Expressway Corporation under the Korea Expressway Corporation Act; 3. Korea National Housing Corporation under the Korea National Housing Corporation Act; 4. Korea Water Resources Corporation under the Korea Water Resources Corporation Act;
5. Korea Rural Community Corporation under the Korea Rural Community Corporation Act; and 6. Korea Harbor Corporation under the Korea Harbor Corporation Act. 3 Any person who seeks to be designated as the undertaker under Section 3, Article 27 of the Act shall submit an application for designation of the undertaker with the entry of details of the following subsections to the Distribution Complex Designator: 1. Name, (for corporations, names of the organization and representative), and address of the person who seeks to implement the project; 2. Name and location of the distribution complex where the project is to be implemented, and area for project implementation; and 3. The scheme of the project, including name, purpose, outline, implementation period, and implementation method. 4 The application for designation of the undertaker shall be attached with documents and drawings outlined in the following subsections: 1. Location drawing; 2. Business plan; and 3. Financing plan. Article 21 (Vicarious Implementation of Development Project) 1 In the event that the simultaneous development of site for distribution complex facilities and construction of distribution complex facilities is deemed necessary or where it is deemed necessary for the smooth implementation of the distribution complex development project, the Undertaker may have the occupied companies concerned or support agencies vicariously develop the land that they will use for their facilities in accordance with Section 5, Article 27 of the Act. 2 In case of intending to have the occupied companies or support agencies vicariously implement part of the distribution complex development project in accordance with Section 5, Article 27 of the Act, the Undertaker shall form a contract
thereof. In this case, the Undertaker shall submit a report about the vicarious implementation of the distribution complex development project, attached with a copy of the contract, to the Distribution Complex Designator concerned within 14 days from the date of the contract. 3 The Undertaker shall guide and supervise the vicarious undertaker with whom he/she has made a contract in accordance with Section 2 to ensure the faithful implementation of the project by the vicarious undertaker as contracted. Article 22 (Approval of Implementation Plan) 1 In case of intending to approve the distribution complex implementation plan, (hereinafter referred to as the Implementation Plan ), under Section 1, Article 28 of the Act, the Undertaker shall submit an application for approval of the Implementation Plan with an entry of the following details to the Distribution Complex Designator: 1. Name, (for corporations, names of the organization and representative), and address of the Undertaker; 2. Name of the project; 3. Purpose of the project; 4. Location and area of the project; 5. Implementation method and period of the project; 6. Current status of land utilization in the region for the project implementation; 7. Plan for land utilization and basic facilities; and 8. Plan for attribution and management of public facilities. 2 The application for approval of the implementation plan under Section 1 shall be attached with documents and drawings outlined in the following subsections: <Amended by Presidential Decree No. 21231, Dec. 31, 2008> 1. Location drawing; 2. Drawing for land utilization made in conformity with the cadastral map;
3. Planning plane plan and execution drawings, (for a project including reclamation of public waters, a written explanation of the reclamation work under Section 1, Article 16 of the Enforcement Decree of the Public Waters Reclamation Act is added hereto.); 4. Project cost and financing plan, (including yearly investment plan); 5. Documents relating to the plan for the disposition of developed land and facilities; 6. Particulars of existing distribution complex facilities or buildings retained in the project area; 7. Documents relating to the purchasing or compensation of land, buildings, or rights, and the settlement of residents of the project area; 8. Particulars and owners of land, etc., if any, and names and addresses of persons concerned under Section 5, Article 2 of the Act on the Acquisition of Land for Public Projects and Compensation Thereof; 9. Plans for gratuitous attribution of public facilities, land, etc.; 10. Relevant documents and drawings necessary for decisions about urban management plans; 11. Documents for consultation about the utilization of the sea area under Article 8 of the Enforcement Decree of the Prevention of Marine Pollution Act, (only for public water reclamation projects); 12. For projects subject to environmental impact assessment under the Environmental Impact Assessment Act or projects subject to traffic impact analysis and establishment of improvement measures under the Urban Traffic Improvement Promotion Act, a written environmental impact assessment or written traffic impact analysis and establishment of improvement measures; and 13. Documents relating to the preservation of cultural properties. 3 Important details prescribed by Presidential Decree in the latter part of Section 1, Article 28 of the Act mean matters other than each of the following subsections: 1. Alterations of the address of the Undertaker; 2. Alterations of the representative of an Undertaker that is a corporation;
3. Correction of the implementation area due to mistakes and other problems within the range that do not influence the project implementation area; 4. Alterations of the area for the implementation of projects in divisions within a range that does not exceed the project implementation area; 5. Reduction of the area within a range not exceeding ten hundredths (10/100) of the project implementation area; 6. Increase or decrease of project costs within a range not exceeding ten hundredths (10/100) of the project cost; or 7. Alterations of the site area as a result of a cadastral confirmation survey conducted under Subsection 2, Article 41-3 of the Cadastral Act. Article 23 (Announcement of Approval of Implementation Plan) Matters of the following subsections shall be announced in accordance with Section 1, Article 29 of the Act: 1. Name of the project; 2. Name of the Undertaker, (for corporations, names of the organization and representative); 3. Purpose and summary of the project; 4. Location and area of the project implementation area; 5. Project implementation period, (including dates scheduled for the start and completion of the work); and 6. Matters relating to urban planning facilities under subsections of Section 5, Article 25 of the Enforcement Decree of the National Land Planning and Utilization Act. Article 24 (Implementation of a Distribution Complex Development Project on Consignment) 1 Public facilities prescribed by Presidential Decree in Section 1, Article 31 of the Act mean roads, water supply facilities, railroads, utility-pipe conduits, waste water final treatment facilities, waste treatment facilities, public energy supply facilities, embankment, shore protection, breakwater, estuary dams, and green zones.
2 In case of intending to consign part of a distribution complex development project to the state, local governments, or public agencies in accordance with Section 1, Article 31 of the Act, the Undertaker shall consult with the consignee on matters relating to the following subsections: 1. The area of the consigned project; 2. Type, scale, amount, and other details of the consigned project that can form standards for work design; 3. Implementation period of the consigned project, (including dates scheduled for the start and completion of the work); 4. Payment method of the cost for the consigned project and management of the funds; 5. Matters relating to the management of real estate, machinery, materials, and workers, if the consignor provides them; 6. Matters relating to risk bearing; and 7. Other matters necessary to make certain the consigned project is completed. 3 Public agency as prescribed by Presidential Decree in Section 1, Article 31 of the Act means agencies under subsections of Section 2, Article 20. Article 25 (Land Restitution to Land Owners) 1 Land owners to whom land can be restituted in accordance with Section 1, Article 34 of the Act shall be land owners who intend to construct distribution complex facilities suitable for invited business types and who have land of an area exceeding the minimum supply area specified in the distribution complex development plan. 2 Any person who intends to have land restituted in accordance with Section 1 shall submit an application for land restitution attached with a plan for distribution complex facilities installation to the Undertaker. 3 The application for land restitution under Section 2 shall be made within the consultation period specified in the announcement of compensation regarding the distribution complex.
4 The Undertaker shall provide the methods and procedures for land restitution in conformity with the standards outlined in the following subsections: 1. Value of the existing land to be restituted shall be the compensation value proposed by the Undertaker for consultation at the time of the compensation announcement and the value of restitution land shall be based on the selling price for the distribution complex facilities land; 2. The restitution area shall be determined based on the existing land area, but it may be increased or decreased considering the local conditions, and supply and demand for a distribution complex; 3. Differences between the value of the existing land and the value for restitution land shall be paid in cash. Article 26 (Scope of Public Facilities) Public facilities under Article 26 of the Act shall be facilities as per the following subsections among public facilities under Section 13, Article 2 of the National Land Planning and Utilization: 1. Roads; 2. Parks; 3. Plazas; 4. Parking lots, (only those installed by the state or local governments); 5. Railroads; 6. Rivers; 7. Green areas; 8. Playing fields, (only those constructed by the state or local governments); 9. Public open areas; 10. Waterworks, (for waterworks constructed by Korea Water Resources Corporation, pipelines only); 11. Sewerage; 12. Utility-pipe conduits; 13. Storing ponds; and
14. Ditches. Article 27 (Construction Scope, Period, etc. of Electrical and Other Facilities) 1 The construction scope of electrical, telecommunication, gas supply, and regional heating facilities under Section 2, Article 38 of the Act shall be as per the following subsections: 1. Electrical facilities: Electrical facilities from the main facilities outside the distribution complex to the border line of the individual lot inside the distribution complex joining with an urban planning road of over 6m by the land utilization plan, (hereinafter referred to as the Individual Lot ); 2. Telecommunication facilities: Duct lines from the main facilities outside the distribution complex to the Individual Lot and cable facilities from the main facilities outside the distribution complex to the first terminal inside the distribution complex; 3. Gas supply facilities: Gas supply facilities from the main gas supply facilities outside the distribution complex to the border line of the Individual Lot inside the distribution complex. In the event that the constant pressure control room is constructed in the Individual Lot inside the distribution complex for the supply of gas for cooking or individual heating, (excluding for a regional concentration heating system), however, gas supply facilities to the constant pressure control room; 4. Regional heating facilities: Heat pipelines from the diverging point of the main heat pipeline outside the distribution complex to the cutoff valve at the entrance of machine rooms in the Individual Lot inside the distribution complex. 2 When approving the implementation plan, the Distribution Complex Designator shall notify the fact to the constructers of electrical, telecommunication, gas supply, and regional heating facilities under Section 2, Article 38 of the Act of the fact without delay. 3 Unless there is special reason, the construction of facilities under Section 1 shall be completed before the date of application for authorization on construction completion, (for any Undertaker that is the Distribution Complex Designator, the date
of completion of the distribution complex development project), under Article 46 of the Act. Article 28 (Support for Cost or Loan) Types of cost that the State or local government may subsidize or finance in accordance with Section 1, Article 39 of the Act shall be as per the following subsections: 1. Cost of the construction of the main road of the distribution complex; 2. Cost of construction of the green area of the distribution complex; 3. Cost of the settlement project; 4. Cost of the development and purchase of land for distribution complex facilities and support facilities; 5. Cost of the construction of water supply facilities, sewage, and waste water final treatment facilities; and 6. Cost of investigations relating to cultural properties. Article 29 (Support for the Construction of Infrastructure) The infrastructure that the State or local government gives in support, in accordance with Section 2, Article 39 shall be as per the following subsections: <Amended by Presidential Decree No. 20722, February 29, 2008> 1. Roads, railroads, and harbor facilities; 2. Water supply and communications facilities; 3. Sewage and waste treatment facilities; 4. Utility-pipeline conduits within the distribution complex; 5. Collective energy supply facilities; and 6. Other public facilities necessary for distribution complex development and prescribed by Ordinance of the Ministry of Land, Transportation, and Maritime Affairs. Article 30 (Revenue Resources of Special Accounts for a Distribution Complex) The proportion prescribed by Presidential Decree in Subsection 6, Section 2, Article 40 of the Act means ten, (10) percent, provided, however, that, in the event that the
municipal ordinance of the local government prescribes a proportion in excess of 10 percent, the proportion shall mean a proportion of over 10 percent. Article 31 (Purposes of Special Accounts for a Distribution Complex) Other matter prescribed by Presidential Decree in Subsection 7, Section 1, Article 41 of the Act mean the cost for the distribution complex development project conducted by local governments. Article 32 (Operation and Management of Special Accounts for a Distribution Complex) 1 The scope of support of special accounts for a distribution complex under Article 41 of the Act shall be as provided by the following subsections: 1. Cost of the following items for a project conducted by the head of the local government: a. Construction cost for distribution complex development project; and b. Construction cost for urban planning facilities for a distribution complex development project under Subsection 10, Article 2 of the National Land Planning and Utilization Act and costs for compensation for private land. 2. Support not exceeding half the cost of the following items for work conducted by persons other than in Subsection 1: a. Cost for construction of urban planning facilities for a distribution complex development project; and b. Construction cost for urban planning facilities connected with a distribution complex development project under Subsection 10, Article 2 of the National Land Planning and Utilization Act. 3. Cost for investigation and research under Subsection 4, Section 1, Article 41 of the Act; and 4. Expenses under Subsection 6, Section 1, Article 41 of the Act.
2 The scope in which the special account for a distribution complex development under Article 41 of the Act can loan money shall be as provided for in the following subsections: 1. Less than half the cost for an urban planning facilities project that the head of the local government concerned conducts in connection with a distribution complex development project in accordance with Subsection 10, Article 2 of the National Land Planning and Utilization Act; 2. Less than one third (1/3) of the costs for projects of the following items conducted by persons other than as under Subsection 1: a. Cost for construction of urban planning facilities for a distribution complex development project; and b. Construction cost for an urban planning facilities project connected with a distribution complex development project under Subsection 10, Article 2 of the National Land Planning and Utilization Act. Article 33 (Prepayment) 1 Any Undertaker who intend to receive prepayment, (hereinafter referred to as the Prepayment ), under Article 43 of the Act shall obtain approval of the implementation plan for the distribution complex concerned and meet the conditions outlined in the following subsections: 1. The Undertaker falling under Subsections 1 through 3, Section 2, Article 27 of the Act: Ownership over land exceeding thirty hundredths (30/100) of the area on which the implementation plan has been approved shall be secured, and construction work for the distribution complex development project shall be commenced. 2. The Undertaker falling under Subsections 4 and 5, Section 2, Article 27 of the Act: All requirements of the following items shall be met: a. The ownership of the land sold in lots shall be secured and the mortgage on the land shall be cancelled. In the event that the Undertaker has failed to secure ownership of the land or failed to cancel a mortgage on the land for inevitable reasons,
the Undertaker, land owner, and the mortgagee shall notarize a joint agreement pursuant to the following purposes and submit it to the person who has the authority to approve the Implementation Plan under Section 1, Article 28 of the Act: (1) The land owner shall neither assign the land to a third party nor offer the land as security; (2) In the event that any person who has paid the price under Article 43 of the Act has obtained the authorization on completion or permit for use prior to completion authorization and intends to use the land, the land owner and the mortgagee shall assign ownership and cancel the mortgage without delay. b. The land sold shall have been developed by more than ten hundredths (10/100) of the entire planned process; c. The Undertaker shall submit a letter of guarantee, etc., (this refers to a letter of guarantee, insurance policy, certificate of time deposit, beneficiary certificate, etc. as specified by subsections of Section 2, Article 37 of the Enforcement Decree of the Act on Contracts to Which the State is a Party), for the following purpose to the Distribution Complex Designator as security for a refund of the prepayment when he/she fails to perform the agreement for sale in lots: (1) The guaranteed or insured amount shall exceed the prepaid amount plus the amount equivalent to the agreed interest for the guaranteed or insured period, (the amount calculated by the interest rate for a loan on a bill of commercial banks, excluding local banks); (2) The guarantee or insurance period shall commence prior to the receipt date of prepayment and expire more than 30 days after the date of completion. In the event that the project period is extended, the Undertaker shall submit a letter of guarantee, etc. of which the guarantee or insurance period is the original guarantee or insurance period plus the extended project period. 2 The Undertaker shall not offer his/her developed land or facilities as security after the receipt of prepayment under Section 1.
3 In the event that the Undertaker fails to conduct the project as provided for in the agreement for sale in lots or is deemed incapable of conducting the project, the Distribution Complex Designator may use the letter of guarantee, etc. to get the prepayment returned before the distribution complex is completed. Article 34 (Facilities Charge) 1 Public facilities designated by Presidential Decree in Section 1, Article 44 of the Act mean facilities as per the following subsections: 1. Access roads and main roads to the distribution complex; 2. Parks and green areas of the distribution complex, (only parks and green areas decided as urban planning facilities); 3. Water supply facilities, sewage, telecommunication facilities, and waste treatment facilities; and 4. Public facilities attributed to the state or local government gratuitously in accordance with Article 36 of the Act. 2 The cost for the construction of public facilities under Section 1 shall be the sum of land costs, land charges, development costs, infrastructure construction costs, direct labor costs, costs for settlement, selling expenses, administrative expenses, capital cost, and other costs calculated in accordance with standards specified in Section 3, Article 39. 3 In the event that there are two or more Undertakers to whom the provision of Section 1, Article 44 of the Act is applied, the cost for construction of public facilities in the distribution complex shall be jointly shared among those Undertakers in proportion to the usable area allotted to each of them among the total usable area, (including all land areas for existing facilities), of the distribution complex. 4 In the event that public facilities are constructed for the use of specific Undertakers, the whole or part of the construction costs may be shared among the Undertakers who will use the public facilities considering location, construction purpose, usage conditions, and regional conditions, notwithstanding the provision of Section 3.