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ACT ON THE ESTABLISHMENT AND MANAGEMENT OF COUNCILS, COMMISSIONS AND COMMITTEES UNDER ADMINISTRATIVE AGENCIES

[Enforcement Date 26. Jul, 2017.] [Act No.14839, 26. Jul, 2017., Amendment by Other Act]

행정안전부  (경제조직과) , 02-2100-4452, 4461


 

Article 1 (Purpose)

The purpose of this Act is to contribute to improving democracy, transparency and efficiency in the operation of committees by prescribing matters necessary for the establishment and operation of committees belonging to administrative agencies.
 

Article 2 (Basic Principles)(1) The head of an administrative agency shall effectively coordinate interests concerning major policies, arrange for related administrative agencies to systematically reach an agreement and have consultation, and conduct administration democratically and efficiently by fairly and appropriately operating committees (referring to collegiate organizations comprised of several members to provide advice as requested on, coordinate, consult, deliberate or pass a resolution on affairs under the jurisdiction of an administrative agency, regardless of the name thereof, such as a committee, council, conference, etc.; hereinafter the same shall apply).

(2) No committee shall provide advice as requested on, coordinate, consult about, deliberate, or pass a resolution on matters that restrict the people's rights or impose duties on the people beyond functions and powers prescribed by statutes.
 

Article 3 (Scope of Application)(1) This Act shall apply to the following committees belonging to administrative agencies:

1. The President and agencies under his/her control;

2.The Prime Minister and agencies under his/her control;

3. Central administrative agencies and agencies belonging thereto under Article 2 (2) of the Government Organization Act.

(2) Notwithstanding the provisions of paragraph (1), this Act shall not apply to committees established under the Constitution and committees established as central administrative agencies under other Acts pursuant to Article 2 (2) of the Government Organization Act: Provided, That this shall not apply where a committee is established and operated in a committee established as a central administrative agency.
 

Article 4 (Relationship with other Acts)

Where other Acts on the establishment and operation of committees are enacted or amended, such other Acts shall be enacted or amended in line with the purpose and basic principles of this Act.
 

Article 5 (Requirements for Establishment of Committees)(1) Where a collegiate administrative agency (hereinafter referred to as "administrative committee") is established pursuant to Article 5 of the Government Organization Act, it shall meet the following requirements:

1. The details of the business thereof need to be determined by hearing the opinion of persons who have expert knowledge or experience;

2.The business thereof shall be conducted following the prudent procedures due to the nature of the business thereof;

3. The business thereof shall not overlap with the business of any existing administrative agency, but shall have originality;

4. The business thereof shall have continuity and constancy.

(2) Committees excluding an administrative committee (hereinafter referred to as "consultative committee, etc,") shall meet the requirements under paragraph (1) 1 and 2.
 

Article 6 (Procedures, etc. for Establishment of Committees)(1) Where the head of an administrative agency (where there exists the head of a central administrative agency in charge of the operation, such as the performance of a role as the administrative secretary, etc., of any committee under the control of the President and the Prime Minister, referring to the head of such central administrative agency; hereinafter the same shall apply) intends to establish a committee, he/she shall consult with the Minister of the Interior and Safety in advance. In such cases, the scope of committees subject to consultation shall be prescribed by Presidential Decree.  <Amended by Act No. 11690, Mar. 23, 2013; Act No. 12844, Nov. 19, 2014; Act No. 14839, Jul. 26, 2017>

(2) Where the head of an administrative agency establishes a committee, he/she shall stipulate the following matters in statutes: Provided, That in cases falling under subparagraph 4, the foregoing shall be limited to cases where a fair and objective deliberation or resolution is particularly required, such as authorization or permission, dispute settlement, etc., which are related to the rights and obligations of the citizens:  <Amended by Act No. 13462, Aug. 11, 2015>

1. The objectives of establishment, functions, and nature;

2. The composition and the term of office of the committee members;

3. The term for existence of the committee (if such term exists);

4. Grounds for disqualification of, exclusion of, challenge to, and voluntary refrainment by a member of the committee;

5. Matters prescribed by Presidential Decree, such as the convocation of meetings and the quorum required for resolution of the committee.

(3) Where the head of an administrative agency establishes a committee necessary for cases that require a fair and objective deliberation or resolution, such as authorization or permission, dispute settlement, etc. which are related to the rights and obligations of the citizens, he/she shall take a measure necessary to stipulate matters concerning legal fiction of public officials for the purposes of penalty provisions for a non-public official committee member (including a member of a subcommittee, etc. established under Article 8 (3)) in any related Acts.  <Amended by Act No. 13462, Aug. 11, 2015>

(4) The head of an administrative agency shall prepare, for fair and objective operation of a committee, a criteria for discharge or dismissal of a member of the committee who is deemed to be inappropriate to maintain the position of a committee member due to malfeasance, etc. in relation to his/her duties.  <Newly Inserted by Act No. 13462, Aug. 11, 2015>

(5) Except as provided for in paragraphs (1) through (4), necessary matters concerning the method and procedure for establishment of a committee shall be determined by Presidential Decree.  <Newly Inserted by Act No. 13462, Aug. 11, 2015>
 

Article 7 (Restrictions, etc. on Establishment of Overlapping Committees)(1) No head of any administrative agency shall establish or operate a committee overlapping in nature and functions with a committee established under such agency or related agency.

(2) The head of an administrative agency shall connect multiple committees that are similar or related in their characteristics or functions into a system of one committee, subcommittees, and standing expert committees, and operate such system.  <Newly Inserted by Act No. 13462, Aug. 11, 2015>

(3) The head of an administrative agency shall endeavor to establish or operate an integrated committee to reflect opinions of experts from various sectors on policies under his/her jurisdiction to prevent an unnecessary consultative committee, etc. from being established.
 

Article 8 (Composition of Committees)(1) A committee shall be comprised of non-standing members in the appropriate number of persons necessary to efficiently achieve the objectives of the establishment thereof: Provided, That in special cases prescribed by Presidential Decree, such as an administrative committee, etc., it may have the minimum standing members necessary to achieve the objectives thereof.

(2) Except in special cases prescribed by Presidential Decree, a term of office of a non-public official member shall not exceed three years.

(3) If necessary for efficiently operating a committee, a subcommittee, etc. may be established under the committee.

(4) The head of an administrative agency shall appoint or commission persons who have extensive expert knowledge or experience in related fields within the minimum period from the date on which the statutes concerning the establishment and operation of committees enter into force.

(5) In addition to matters prescribed in paragraphs (1) through (4), necessary matters concerning the composition of a committee shall be prescribed by Presidential Decree.
 

Article 9 (Operation of Committees)(1) The head of an administrative agency shall notify the committee members of the meeting schedule, agenda, etc. by seven days before he/she holds a meeting: Provided, That this shall not apply where he/she needs to hold a meeting due to emergency or in cases prescribed by Presidential Decree, such as matters related to the national security, etc.;

(2) Except in cases prescribed by Presidential Decree, such as cases where the details of the agenda are insignificant, etc., a committee shall be held by a meeting attended by the members thereof (including a video conference).

(3) Where there exists an interested party related to the agenda of a meeting, a committee shall hear his/her opinion or have him/her attend the relevant meeting.

(4) A committee shall be operated fairly to prevent a specific committee member from unfairly delivering or passing a resolution on any agenda.

(5) In addition to matters prescribed in paragraphs (1) through (4), necessary matters concerning the operation of a committee shall be prescribed by Presidential Decree.
 

Article 10 (Secretariats, etc. of Committees)(1) An administrative committee may have the minimum secretariat required, and matters concerning the composition and the legally fixed number of officials of the secretariat shall be prescribed by Presidential Decree stipulating the organization and the legally fixed number of officials of an administrative agency.

(2) No secretariat shall be established in a consultative committee, etc. or employees, such as standing expert members shall be assigned to such committee: Provided, That this shall not apply to a committee, if it is impractical for the head of an administrative agency to directly support the committee's business, meeting the requirements prescribed by Presidential Decree.
 

Article 11 (Term for Existence of Committees)(1) Where the head of an administrative agency establishes an administrative committee that he/she needs to operate temporarily pursuant to Article 5 of the Government Organization Act, he/she shall determine the term for existence thereof within the minimum period required to achieve the objectives thereof and stipulate the same in the Act.

(2) Where no apparent grounds exist to maintain a consultative committee, etc. when the head of an administrative agency establishes it, he/she shall determine the term for existence thereof and stipulate the same in statutes. In such cases, he/she shall set the term for existence thereof within the minimum period required to achieve the objectives thereof, and such term shall not exceed five years in principle.

(3) Except for a consultative committee, etc. prescribed by Presidential Decree, such as a consultative committee the term for existence of which has been determined under paragraph (2), the head of an administrative agency shall verify every two years whether to maintain any of the consultative committee, etc. under his/her jurisdiction and submit the results thereof to the Minister of the Interior and Safety.  <Amended by Act No. 11690, Mar. 23, 2013; Act No. 12844, Nov. 19, 2014; Act No. 14839, Jul. 26, 2017>

(4) Where the Minister of the Interior and Safety deems it necessary to abolish, etc. a consultative committee based on the results of verification submitted under paragraph (3), he/she shall include the results thereof in a readjustment plan under Article 14 (1).  <Amended by Act No. 11690, Mar. 23, 2013; Act No. 12844, Nov. 19, 2014; Act No. 14839, Jul. 26, 2017>

(5) Matters necessary for verification, etc. as to whether to maintain a consultative committee, etc. under paragraph (3) shall be prescribed by Presidential Decree.
 

Article 12 (Allowances)

The head of an administrative agency may pay an allowance to a committee member who attends a committee meeting within budget limits: Provided, That this shall not apply where a public official member attends a committee meeting directly related to his/her business.
 

Article 13 (Notification, etc. of Current Status and Details of Activities of Committees)(1) Where a committee is established, the head of an administrative agency shall notify the Minister of the Interior and Safety of the following current status of the committee without delay after it is established: Provided, That committees prescribed by Presidential Decree, such as committees established under each administrative agency in common pursuant to other statutes, shall be excluded from the committees subject to notification, and the head of an administrative agency may determine the scope of notification in consultation with the Minister of the Interior and Safety on the committees subject to non-disclosure pursuant to other statutes:  <Amended by Act No. 11690, Mar. 23, 2013; Act No. 12844, Nov. 19, 2014; Act No. 14839, Jul. 26, 2017>

1. The composition and functions of the committee;

2. An operating plan of the committee, such as the holding of committee meetings;

3. Matters prescribed by Presidential Decree, such as human resources for the operation of the committee and the current status of budget.

(2) The head of an administrative agency shall notify the Minister of the Interior and Safety of detailed statements of activities, such as the details of the execution of budget and the outcomes of operation, of the committees under his/her jurisdiction each year: Provided, That he/she may exclude committees prescribed by Presidential Decree, such as committees established in each administrative agency in common pursuant to other statutes, from the committees subject to notification, and determine the scope of notification in consultation with the Minister of the Interior and Safety on the committees subject to non-disclosure pursuant to other statutes.  <Amended by Act No. 11690, Mar. 23, 2013; Act No. 12844, Nov. 19, 2014; Act No. 14839, Jul. 26, 2017>

(3) The head of an administrative agency shall prepare the minutes, shorthand notes, or recording of committees specifically and conscientiously pursuant to Article 17 (2) of the Public Records Management Act.
 

Article 14 (Inspection on Activities of Committees)(1) The Minister of the Interior and Safety shall inspect the current status and detailed statements of activities of committees notified pursuant to Article 13 (1) and (2) and formulate a readjustment plan concerning the correction and supplement of the operation of committees, the integration or discontinuance of committees, and similar matters.  <Amended by Act No. 11690, Mar. 23, 2013; Act No. 12844, Nov. 19, 2014; Act No. 14839, Jul. 26, 2017>

(2) To conduct business under paragraph (1), the Minister of the Interior and Safety may ascertain detailed statements of activities, etc. of committees or require relevant administrative agencies to submit related materials.  <Amended by Act No. 11690, Mar. 23, 2013; Act No. 12844, Nov. 19, 2014; Act No. 14839, Jul. 26, 2017>

(3) The head of an administrative agency requested to submit related materials pursuant to paragraph (2) shall comply with such request in the absence of special circumstances.

(4) The Minister of the Interior and Safety may recommend the head of an administrative agency to take necessary measures according to a readjustment plan under paragraph (1).  <Amended by Act No. 11690, Mar. 23, 2013; Act No. 12844, Nov. 19, 2014; Act No. 14839, Jul. 26, 2017>

(5) The head of an administrative agency shall notify, without delay, the Minister of the Interior and Safety of the results of measures taken upon recommendation under paragraph (4).  <Amended by Act No. 11690, Mar. 23, 2013; Act No. 12844, Nov. 19, 2014; Act No. 14839, Jul. 26, 2017>
 

Article 15 (Disclosure of Operation of Committees and Reporting to the National Assembly)(1) The head of an administrative agency shall disclose the current status, detailed statements of activities, and similar matters of committees in accordance with Article 13 (1) and (2) on its Internet website, etc., and report the same to the competent standing committee of the National Assembly of the Republic of Korea as prescribed by Presidential Decree.

(2) The Minister of the Interior and Safety shall prepare a report concerning the current status of the operation of committees, in which a readjustment plan of committees formulated under Article 14, the results of measures taken, and similar matters are integrated, and annually submit the same to the National Assembly of the Republic of Korea before a regular session of the National Assembly is held.  <Amended by Act No. 11690, Mar. 23, 2013; Act No. 12844, Nov. 19, 2014; Act No. 14839, Jul. 26, 2017>
 

  

부칙  ADDENDA <Act No. 11690,  Mar. 23,  2013>

Article 1 (Enforcement Date) 

 

 

 

 

부칙  ADDENDA <Act No. 12844,  Nov. 19,  2014>

Article 1 (Enforcement Date) 

 

 

 

부칙  ADDENDUM <Act No. 13462,  Aug. 11,  2015>

This Act shall enter into force three months after the date of its promulgation: Provided, That the amended provisons of Article 6 (3) shall enter into force one year after the date of its promulgation.
  

부칙  ADDENDA <Act No. 14839,  Jul. 26,  2017>

Article 1 (Enforcement Date)


This Act shall enter into force on the date of its promulgation: Provided, That among the Acts amended pursuant to Article 5 of this Addenda, amended parts of the Acts which were promulgated before this Act enters into force but the enforcement dates of which have not arrived, shall enter into force on the enforcement date of the relevant Act, respectively.

Articles 2 through 6 Omitted. 

 

 

 

 

 

 

 

ELECTRONIC PROCUREMENT UTILIZATION AND PROMOTION ACT

[Enforcement Date 30. Mar, 2016.] [Act No.13626, 29. Dec, 2015., Partial Amendment]

조달청  (전자조달기획과) , 070-4056-7215

기획재정부  (계약제도과) , 044-215-5211


 

CHAPTER I GENERAL PROVISIONS
 

Article 1 (Purpose)

The purpose of this Act is to provide for matters necessary for electronic processing of procurement services of procuring entities, thereby ensuring safety, reliability, and fairness in their procurement services and promote and facilitate smooth implementation of electronic procurement services.
 

Article 2 (Definitions)

The terms used in this Act shall be defined as follows:

1. The term "procuring entity" means a State agency, a local government, or any public organization specified by Presidential Decree;

2. The term "contracting agent" means a person delegated or entrusted with contract management for and on behalf of a procuring entity under relevant statutes;

3. The term "procurement services" means services provided in relation to the purchase and supply of goods or services that the head of a procuring entity requires as well as services related to facilities construction contracts;

4. The term "integrated national electronic procurement system" means an information system established and operated by the Administrator of the Public Procurement Service under Article 12 in order to electronically process procurement services;

5. The term "electronic procurement" means electronic processing of procurement services by using or utilizing the integrated national electronic procurement system;

6. The term "electronic procurement user" means a person registered as a user in the integrated national electronic procurement system under Article 17.
 

Article 3 (Scope of Application)

This Act shall apply to persons who use or utilize the integrated national electronic procurement system (hereinafter referred to as the "Electronic Procurement System").
 

Article 4 (Relationship with Other Acts)

Except as otherwise expressly provided for in the Act on Contracts to Which the State Is a Party, the Act on Contracts to Which a Local Government Is a Party, or any other Act, electronic procurement shall be governed by this Act.
 

CHAPTER II DIGITALIZATION OF PROCUREMENT SERVICES
 

Article 5 (Electronic Processing of Procurement Services)(1) The head of each procuring entity shall endeavor to process procurement services electronically by using or utilizing the Electronic Procurement System.

(2) The Administrator of the Public Procurement Service shall formulate policies for facilitating electronic procurement.
 

Article 6 (Electronic Publication of Competitive Bidding)(1) When the head of a procuring entity or a contracting agent intends to electronically process a competitive bidding process, he/she shall publish a notice of intended procurement on the Electronic Procurement System.

(2) The method and time-period for a publication under paragraph (1) and other necessary matters shall be prescribed by Presidential Decree.
 

Article 7 (Electronic Bid)

When an electronic procurement user intends to participate in a competitive bid or a process for determining the awardee of a non-bid contract through the Electronic Procurement System (hereinafter referred to as "electronic bid"), the user shall submit a bidding document or a quotation in electronic form, as prescribed by Presidential Decree.
 

Article 8 (Electronic Publication of Contractor)

The head of a procuring entity or a contracting agent may publish the person determined to be a contractor in an electronic bid (hereinafter referred to as "contractor") on the Electronic Procurement System.
 

Article 9 (Preparation of Electronic Contracts and Formation of Contracts)(1) When the head of a procuring entity or a contracting agent intends to conclude a contract with the contractor by using the Electronic Procurement System, he/she shall prepare a contract in electronic form (hereinafter referred to as "electronic contract") on the Electronic Procurement System, which states the purpose of the contract, contract amount, compliance period, contract bond or default interest, and other necessary matters.

(2) A contract made in accordance with paragraph (1) shall be duly formed when it meets each of the following requirements in the order set forth below:

1. The head of the procuring entity or the contracting agent shall transmit an electronic contract to the contractor through the Electronic Procurement System;

2. The contractor shall transmit to the head of the procuring entity or the contracting agent his/her assent to the terms and conditions of the electronic contract received under subparagraph 1 through the Electronic Procurement System;

3. The head of the procuring entity or the contracting agent shall finally confirm the electronic contract received under subparagraph 2 and transmit the confirmed contract to the contractor through the Electronic Procurement System.
 

Article 9-2 (Electronic Processing of Management of Subcontracts)(1) Where the head of a procuring entity or a contracting agent intends to electronically process subcontracting affairs in connection with a contract made with a contractor, he/she shall use the electronic system operated by the head of the procuring entity for the management of subcontracts.

(2) Necessary matters relating to the content of, and procedure for, the electronic processing of subcontract management under paragraph (1) and other necessary matters shall be prescribed by Presidential Decree.

[This Article Newly Inserted by Act No. 13626, Dec. 29, 2015]
 

Article 10 (Electronic Payment of Bonds)(1) The head of a procuring entity or a contracting agent may require bidders or the contractor to pay a bid bond, contract bond, warranty bond, etc. under contract law, etc. using the Electronic Procurement System.

(2) The payment of a bid bond, contract bond, warranty bond, etc. under paragraph (1) shall be made by submitting a letter of guarantee in electronic form: Provided, That the foregoing shall not apply where such bond is paid in cash, etc. in accordance with any statute related to contract law.  <Newly Inserted by Act No. 13626, Dec. 29, 2015>

(3) Necessary matters relating to the method, procedure, etc. for payment under paragraphs (1) and (2) shall be prescribed by Presidential Decree.  <Amended by Act No. 13626, Dec. 29, 2015>
 

Article 11 (Transmission and Receipt of Electronic Documents)(1) Every document prepared, transmitted, received, or stored in electronic form (hereinafter referred to as "electronic document") in or through the Electronic Procurement System under Articles 6 through 10, shall bear an official digital signature defined under subparagraph 3 of Article 2 of the Digital Signature Act (including an administrative digital signature defined under subparagraph 9 of Article 2 of the Electronic Government Act).

(2) An electronic document shall be deemed transmitted or received at the time it is entered into the Electronic Procurement System: Provided, That a bidding document submitted by an electronic procurement user may be deemed received when it is presented to the licensed certification authority in accordance with Article 20 of the Digital Signature Act, if it is impossible to ascertain the time when the document is entered into the Electronic Procurement System.

(3) Notwithstanding the proviso to Article 6 (2) 1 of the Framework Act on Electronic Documents and Transactions, an electronic document entered into any computer system other than the Electronic Procurement System shall be deemed not received, regardless of whether it has been printed out.

(4) Notwithstanding Article 7 (2) or (3) of the Framework Act on Electronic Documents and Transactions, an electronic document entered into the Electronic Procurement System shall be deemed transmitted, regardless of the transmitter's actual intention.

(5) Notwithstanding Article 9 of the Framework Act on Electronic Documents and Transactions, no transmitter of an electronic document may request confirmation on the receipt of the document or attach any condition on the effectuation of the document: Provided, That if the head of the relevant procuring entity or contracting agent prescribes different rules for this matter, such rules shall apply.
 

CHAPTER III OPERATION AND MANAGEMENT OF ELECTRONIC PROCUREMENT SYSTEM
 

Article 12 (Establishment, Operation, etc. of Electronic Procurement System)(1) The Administrator of the Public Procurement Service shall establish the Electronic Procurement System so as to electronically process procurement services.

(2) The Administrator of the Public Procurement Service may request the head of a procuring entity or the head of any relevant institution to provide data or information necessary to establish and operate the Electronic Procurement System, as prescribed by Presidential Decree. The head of an institution in receipt of a request for provision of data or information shall comply with such request, except in exceptional circumstances.

(3) The Administrator of the Public Procurement Service may determine and publicly notify standards for the establishment and operation of the Electronic Procurement System.
 

Article 13 (Request to Make Contracts Using Electronic Procurement System)

When the head of a procuring entity intends to request the Administrator of the Public Procurement Service to make a contract for the purchase or supply of goods for procurement or a contract on a project for the construction of a facility under the Government Procurement Act, he/she shall make such request through the Electronic Procurement System: Provided, That the foregoing shall not apply in extenuating circumstances due to a natural disaster, computer problem, etc.
 

Article 14 (Establishment and Operation of Independent Electronic Procurement System)(1) If the head of a procuring entity deems it necessary to electronically process procurement services, he/she may establish and operate an independent Electronic Procurement System linked to the Electronic Procurement System.

(2) If the head of a procuring entity governed by the Act on Contracts to Which the State Is a Party or the Act on the Management of Public Institutions intends to establish an independent electronic procurement system under paragraph (1), he/she shall hold prior consultation with the Minister of Strategy and Finance thereon.
 

Article 15 (Use or Utilization of Electronic Procurement System by Any Person Other Than Procuring Entities)(1) Any person who is not a procuring entity may use or utilize the Electronic Procurement System for such purpose as holding electronic bidding events or developing and providing a new service by utilizing the Electronic Procurement System, subject to approval from the Administrator of the Public Procurement Service.

(2) In any of the following cases, the Administrator of the Public Procurement Service may deny approval for the use or utilization of the Electronic Procurement System, to a person who is not a procuring entity:

1. If the person makes a false statement in the application to use or utilize the Electronic Procurement System;

2. If the person intends to use or utilize the system for disturbing sound order in a bidding process or violating any related statute;

3. Other cases specified by Presidential Decree as not appropriate for a person who is not a procuring entity to use or utilize the Electronic Procurement System.
 

CHAPTER IV MANAGEMENT AND PROTECTION OF INFORMATION OF ELECTRONIC PROCUREMENT USERS
 

Article 16 (Management and Provision of Information, etc. Related to Contracts)(1) The Administrator of the Public Procurement Service shall systematically manage information on bidding, information related to contracts, and information on commodity lists defined under subparagraph 3 of Article 2 of the Act on the Management and Use of Information on Commodity Lists (hereinafter referred to as “information on commodity lists”) through the Electronic Procurement System.

(2) If an electronic procurement user finds it necessary to enter or modify any information on commodity lists, which is managed through the Electronic Procurement System under paragraph (1), the user shall request the Administrator of the Public Procurement Service to enter or modify such information.

(3) If the head of a procuring entity or a person who is not a procuring entity but has obtained approval from the Administrator of the Public Procurement Service under Article 15, requests the provision of information on bidding, information related to contracts, or information on commodity lists under paragraph (1), the Administrator of the Public Procurement Service shall provide such information in accordance with the Personal Information Protection Act.
 

Article 17 (Registration, etc. of Electronic Procurement Users)(1) A person who intends to contract electronically with a procuring entity or a person who is not a procuring entity through the Electronic Procurement System shall register him/herself as a user in the Electronic Procurement System, as prescribed by Presidential Decree.

(2) If an electronic procurement user finds an error in the information registered under paragraph (1) or there is a change in such information, he/she shall file for registration of the correction or change.
 

Article 18 (Protection of Confidential Information)(1) The Administrator of the Public Procurement Service shall formulate measures to protect personal information, trade secrets, etc. of electronic procurement users.

(2) No head of any procuring entity or contracting agent shall provide or divulge trade secrets of a contractor to any third party without the consent of the contractor.

(3) No person who manages and operates, or has formerly managed and operated, the Electronic Procurement System shall divulge any content of an electronic document or any other relevant information obtained in the course of his/her duties, or use, or allow any third party to use, such information for any purpose other than for performing his/her duties.

(4) Matters necessary for the details of the measures to protect trade secret under paragraph (1) shall be prescribed by Presidential Decree.
 

Article 19 (Prohibition of Disturbance of Electronic Procurement Services)(1) No person shall disturb any electronic procurement service by entering false information or a fraudulent order into the Electronic Procurement System.

(2) No person shall forge or alter any electronic document or any other related information stored in the Electronic Procurement System, or use any forged or altered information.
 

Article 20 (Prohibition of Unlawful Electronic Procurement Acts)

No person shall transfer or lend his/her authorized certificate defined under subparagraph 8 of Article 2 of the Digital Signature Act to any third person with intent to aid and abet the person in participating in an electronic bid, or acquire or borrow such authorized certificate with intent to participate in an electronic bid.
 

CHAPTER V PROMOTION OF, AND ASSISTANCE IN, ELECTRONIC PROCUREMENT SERVICES
 

Article 21 (Education and Training on Electronic Procurement)

The Administrator of the Public Procurement Service may operate educational and training programs on the use or utilization of the Electronic Procurement System for public officials or executive officers and employees in charge of electronic procurement services in each procuring entity, or electronic procurement users and their executive officers and employees.
 

Article 22 (Promotion of International Cooperation and Exportation)

In order to promote international cooperation in electronic procurement and the exportation of the Electronic Procurement System, the Administrator of the Public Procurement Service may conduct the following activities:

1. Publicity of electronic procurement;

2. Exchange of technologies and personnel;

3. Joint survey and research, and technical cooperation;

4. Global standardization;

5. Assistance to, and cooperation with, domestic companies in entering into electronic procurement markets of foreign governments;

6. Other activities that the Administrator of the Public Procurement Service deems necessary.
 

Article 23 (Electronic Procurement Support Center)(1) In order to render assistance in developing and stably operating the Electronic Procurement System, the Administrator of the Public Procurement Service may designate an electronic procurement support center (hereinafter referred to as “support center").

(2) A support center shall perform the following activities:

1. Assistance in managing and operating the Electronic Procurement System;

2. Research on technologies for stably operating the Electronic Procurement System and assisting education on the system;

3. Assistance in developing overseas markets for the Electronic Procurement System and the exportation of the system;

4. Research and development for promoting and activating digitalization of procurement services;

5. Assistance in international cooperation and publicity in relation to electronic procurement;

6. Programs for assisting and cooperating with, domestic companies in entering into electronic procurement markets of foreign governments;

7. Other services entrusted by the head of a procuring entity.

(3) A support center may engage in activities for profit in order to secure funds to cover necessary expenses incurred in performing the activities listed in paragraph (2).

(4) Deleted.  <by Act No. 13626, Dec. 29, 2015>

(5) Necessary matters relating to the criteria for the designation of a support center, reporting of the results of performance of services, subsidization of expenses, etc. shall be prescribed by Presidential Decree.
 

Article 24 (Revocation of Designation of Support Center)

In any of the following cases, the Administrator of the Public Procurement Service may revoke the designation of a support center or issue an order to suspend operation of its business for a specified period not exceeding six months: Provided, That he/she shall revoke the designation if a support center falls within subparagraph 1:

1. If the support center has obtained the designation by fraud or any other wrongful means;

2. If the support center has no record of performance of services for at least two consecutive years without just grounds;

3. If the support center becomes incapable of performing the activities listed in Article 23 (2);

4. If the support center ceases to meet any of the designation criteria referred to in Article 23 (5).
 

CHAPTER VI SUPPLEMENTARY PROVISIONS
 

Article 25 (Usage Fees for Electronic Procurement System)(1) The Administrator of the Public Procurement Service may collect usage fees from the following persons for using or utilizing the Electronic Procurement System:

1. A procuring entity that directly holds an electronic bidding event;

2. A person who contracts with a procuring entity or any person other than a procuring entity through an electronic bidding process;

3. A procuring entity that utilizes the Electronic Procurement System for establishing and operating an independent Electronic Procurement System under Article 14 (1);

4. A person who is not a procuring entity but uses the Electronic Procurement System in order to hold an electronic bidding event under Article 15;

5. A person who is not a procuring entity but utilizes the Electronic Procurement System in order to develop and provide a new service under Article 15;

6. An electronic procurement user who requests the registration or modification of information on commodity lists under Article 16 (2).

(2) If a person does not pay the usage fee under paragraph (1) by the specified deadline, a late payment charge may be imposed on the person.

(3) Necessary matters relating to the amounts of the usage fees and late payment charges under paragraphs (1) and (2), the payment methods for such fees and charges, etc. shall be prescribed by Presidential Decree.
 

Article 26 (Payment of Reward Money)(1) The Administrator of the Public Procurement Service may pay reward money to a person who reports or informs of any fraudulent electronic procurement activities specified in Article 20 and submit evidentiary materials (hereinafter referred to as "reporting person"), within budgetary limits.

(2) The person in receipt of a report or information shall keep confidential the identity, etc. of the reporting person.

(3) Necessary matters relating to the scope of persons entitled to reward money under paragraph (1), the guidelines and procedures for paying reward money, etc, shall be prescribed by Presidential Decree.
 

CHAPTER VII PENALTY PROVISIONS
 

Article 27 (Penalty Provisions)(1) Any of the following persons shall be punished by imprisonment for not more than ten years or by a fine not exceeding 100 million won:

1. A person who disturbs electronic procurement services by entering false information or a fraudulent order into the Electronic Procurement System, in violation of Article 19 (1);

2. A person who forges or alters an electronic document or any other related information stored in the Electronic Procurement System or uses forged or altered information, in violation of Article 19 (2).

(2) Any person who attempts to commit any of the crimes specified in paragraph (1) shall be punished.
 

Article 28 (Penalty Provisions)

Any of the following persons shall be punished by imprisonment for not more than five years or by a fine not exceeding 50 million won:

1. A person who provides or divulges trade secrets of a contractor to any third party, in violation of Article 18 (2);

2. A person who divulges any content of an electronic document or any other relevant information obtained in the course of his/her duties, or uses, or allows any third party to use, such information for other than a purpose for performing his/her duties, in violation of Article 18 (3).
 

Article 29 (Penalty Provisions)

Any person who transfers or lends an authorized certificate to another person with intent to aid and abet the person to participate in an electronic bid, or acquires or borrows such authorized certificate with intent to participate in an electronic bid, shall be punished by imprisonment for not more than one year or by a fine not exceeding 10 million won.
 

Article 30 (Joint Penalty Provisions)

If the representative of a corporation or an agent, employee, or servant who works for a corporation or for an individual, commits any offense specified in Article 27 or 29 in connection with the business of the corporation or individual, not only such offender shall be punished accordingly, but the corporation or individual also shall be punished by the fine specified in the relevant Article: Provided, That the foregoing shall not apply where the corporation or individual has not neglected due care and supervision over the relevant business to prevent such offense.
 

Article 31

Deleted.  <by Act No. 13626, Dec. 29, 2015>
 

   

부칙  ADDENDA <Act No. 13626,  Dec. 29,  2015>

Article 1 (Enforcement Date)


This Act shall enter into force three months after the date of its promulgation.

Article 2 (Applicability)

The amended provisions of Article 9-2 (1) shall apply beginning with the first contract made after this Act enters into force.

Article 3 (Transitional Measure Concerning Administrative Fines)

Notwithstanding the amended provisions of Articles 23 (4) and 31, the former provisions shall apply where a person violates any of the former provisions of Article 23 (4) before this Act enters into force.
 
 

 

 

 

 

 

 

 

ENFORCEMENT DECREE OF THE ELECTRONIC PROCUREMENT UTILIZATION AND PROMOTION ACT

[Enforcement Date 27. Sep, 2016.] [Presidential Decree No.27513, 27. Sep, 2016., Partial Amendment]

조달청  (전자조달기획과) , 070-4056-7215

기획재정부  (계약제도과) , 044-215-5211


 

Article 1 (Purpose)

The purpose of this Decree is to provide for the matters delegated by the Electronic Procurement Utilization and Promotion Act and those necessary for the enforcement thereof.
 

Article 2 (Scope of Public Organizations)

"Public organization specified by Presidential Decree" in subparagraph 1 of Article 2 of the Electronic Procurement Utilization and Promotion Act (hereinafter referred to as the "Act"), means any of the following institutions recognized by the Administrator of the Public Procurement Service as a procuring entity upon receipt of a request to allow it to use or utilize the integrated national electronic procurement system (hereinafter referred to as the "Electronic Procurement System"):

1. A public institution designated under Article 4 of the Act on the Management of Public Institutions;

2. A school established under the Elementary and Secondary Education Act, the Higher Education Act, or any other Act;

3. An institution established with funding from a local government;

4. An institution funded by a local government;

5. A corporation established for a public purpose under a Special Act;

6. An institution where the total shares of the institutions specified in subparagraphs 1 through 5 amount to at least 50 percent of its equity capital;

7. An institution recognized by the Administrator of the Public Procurement Service under Article 4 of the Enforcement Decree of the Government Procurement Act, in addition to the institutions specified in subparagraphs 1 through 6.
 

Article 3 (Policies for Facilitating Electronic Procurement)

The policies for facilitating electronic procurement referred to in Article 5 (2) of the Act shall include the following:

1. Basic direction-setting for promoting electronic procurement;

2. Development and operation of the Electronic Procurement System;

3. Plans to collect, analyze, and utilize statistical data for electronic procurement;

4. Other matters necessary to facilitate electronic procurement, including education and training on electronic procurement.
 

Article 4 (Method, Period, etc. for Electronic Publication)(1) Articles 33 through 36 of the Enforcement Decree of the Act on Contracts to Which the State Is a Party, and Articles 33 through 36 of the Enforcement Decree of the Act on Contracts to Which a Local Government Is a Party shall apply to the method and period for publication under Article 6 (2) of the Act.

(2) In cases of an international competitive bidding, the head of a procuring entity or a contracting agent shall publish a notice of the matters specified in the subparagraphs of Article 8 (2) of the Regulations on Special Cases concerning the Enforcement Decree of the Act on Contracts to Which the State Is a Party in Specific Procurement on the Electronic Procurement System.

(3) If there is a discrepancy between the notice published on the Electronic Procurement System and the bid notice in the form of an attached file (hereinafter referred to as "bid notice"), the contents of the bid notice shall take precedence: Provided, That, in cases of the date of bid notice, if discrepancy exists between the date posted on the Electronic Procurement System and the date stated in the bid notice, the date posted on the Electronic Procurement System shall take precedence.

(4) Except as otherwise expressly provided for in paragraphs (1) through (3), matters necessary for the electronic publication of competitive bidding shall be prescribed by Ordinance of the Ministry of Strategy and Finance.
 

Article 5 (Submission of Bidding Documents in Electronic Form)(1) An electronic procurement user shall submit a bidding document in electronic form under Article 7 of the Act (hereinafter referred to as "electronic bidding document") through the Electronic Procurement System within the period designated in the electronic publication of notice of competitive bidding.

(2) An electronic procurement user may submit only one electronic bidding document for one and the same bidding event by the same computer.

(3) No electronic procurement user may replace, amend, or revoke an electronic bidding document submitted through the Electronic Procurement System: Provided, That, if an error is found in any important matter entered therein, such as bid price in the electronic bidding document, the electronic procurement user who submitted the electronic bidding document may request the head of the relevant procuring entity or contracting agent to revoke the electronic bid under Article 7 of the Act (hereinafter referred to as "electronic bid"), as prescribed by Ordinance of the Ministry of Strategy and Finance.

(4) Upon receipt of a request to revoke under paragraph (3), the head of a procuring entity or a contracting agent may revoke the electronic bid of such electronic procurement user and treat the relevant electronic bidding document as void.

(5) If the electronic bidding document submitted by an electronic procurement user is treated as void according to his/her request for revoking the electronic bid under the proviso to paragraph (3) or paragraph (4), the electronic procurement user shall not be permitted to participate in the relevant electronic bidding process: Provided, That the foregoing shall not apply where the head of the relevant procuring entity or contracting agent calls for a re-bid or publishes a notice of re-bid under Article 20 of the Enforcement Decree of the Act on Contracts to Which the State Is a Party or Article 19 of the Enforcement Decree of the Act on Contracts to Which a Local Government Is a Party.

(6) If it is impracticable to read a document accompanying an electronic bid submitted through the Electronic Procurement System because the accompanying document of the electronic bid is encrypted or is infected by a computer virus, it shall be deemed that the accompanying document of the electronic bid has not been submitted.
 

Article 6 (Electronic Open Non-Bid Contracts)(1) Where the head of a procuring entity or a contracting agent intends to determine a contractor through the Electronic Procurement System with respect to a non-bid contract, for which he/she shall obtain quotations from at least two persons under Article 30 of the Enforcement Decree of the Act on Contracts to Which the State Is a Party or Article 30 of the Enforcement Decree of the Act on Contracts to Which a Local Government Is a Party, he/she shall publish the notice inviting quotations, clearly stating the matters necessary for submitting quotations in electronic form under Article 7 of the Act (hereinafter referred to as "electronic quotation").

(2) Articles 4 and 5 shall apply mutatis mutandis to the submission of electronic quotations and the publication of notice inviting such quotations under paragraph (1). In such cases, the term "bid notice" in Article 4 shall be construed as "notice inviting quotations," and the term "electronic bidding document" in Article 5 as "electronic quotation."
 

Article 7 (Electronic Processing of Subcontract Management)(1) If an electronic procurement user intends to subcontract with one another, he/she may prepare a subcontract in electronic form on the Electronic Procurement System or the system operated by the head of a procuring entity to electronically manage the subcontract under Article 9-2 (1) of the Act (hereinafter referred to as “Electronic Procurement System, etc.”).

(2) Electronic Procurement System, etc. shall include the following functions:

1. Functions for claim, approval and payment of the following amounts:

a. Amount to be paid to subcontractors, workers, and suppliers of materials or equipments by a person who has made a contract with the head of a procuring entity or a contracting agent (hereinafter referred to as “contractor”);

b. Amount to be paid to workers and suppliers of materials or equipments by a subcontractor;

2. Functions by which the head of a procuring entity or a contracting agent may check the claim, approval and payment referred to in subparagraph 1 in real time;

3. Functions concerning electronic processing such as approval and confirmation which a contractor shall be granted by the head of a procuring entity or a contracting agent related to the subcontract under the relevant Acts such as the Frame Work Act on the Construction Industry;

4. Functions concerning electronic processing of notification to the head of a procuring entity or a contracting agent under the relevant Acts such as the Frame Work Act on the Construction Industry;

5. Other functions which the Administrator of the Public Procurement Service and the head of a procuring entity deem necessary for electronic processing of subcontract management.

(3) A contractor or subcontractor shall open the appropriation account for the payment of amounts referred to in the items of paragraph (2) 1 and register such account on Electronic Procurement System, etc.

(4) Where the head of a procuring entity referred to in Article 14 (2) of the Act intends to establish the system operated for electronic management of subcontracts under Article 9-2 (1), he/she shall consult with the Minister of Strategy and Finance in advance.

[This Article Wholly Amended by Presidential Decree No. 27513, Sep. 27, 2016]
 

Article 8 (Methods, Procedure, etc. for Electronic Payment of Bonds)(1) Where the head of a procuring entity or a contracting agent intends to have a bidder or counter party of a contract pay a bid bond, contract bond, warranty bond, etc. by submitting a letter of guarantee in electronic form through the Electronic Procurement System under Article 10 (1) of the Act and the main sentence of paragraph (2) of the same Article, such payment shall be made by means of submitting a letter of guarantee, etc. defined under Article 37 (2) of the Enforcement Decree of the Act on Contracts to Which the State Is a Party (hereinafter referred to as “letter of guarantee, etc.”) in electronic form: Provided, That the head of a procuring entity or a contracting agent may have him/her directly submit a letter of guarantee, etc. thereto where it is impossible to submit the letter of guarantee, etc. in electronic form due to a failure in the Electronic Procurement System, etc.  <Amended by Presidential Decree No. 27513, Sep. 27, 2016>

(2) A guarantor (referring to an entity that issues an instrument for guarantee, etc. specified in Article 37 (2) of the Enforcement Decree of the Act on Contracts to Which the State Is a Party) shall transmit a letter of guarantee in electronic form to the head of the relevant procuring entity or contracting agent, through the Electronic Procurement System after obtaining certification from a licensed certification authority designated under Article 4 of the Digital Signature Act, and shall then ascertain whether it has been transmitted properly.

(3) A bid bond in electronic form shall be submitted to the Electronic Procurement System by not later than the day immediately before the due date for submitting electronic bidding documents, except as otherwise expressly provided for in the relevant bid notice.
 

Article 9 (Request, etc. for Providing Information for Operation of Electronic Procurement System)(1) Pursuant to Article 12 (2) of the Act, the Administrator of the Public Procurement Service may request the head of a procuring entity or the head of any relevant institution to provide the following data or information:

1. Data or information related to the guidelines for determining the estimated price;

2. Data or information related to the eligibility requirements for participation in a competitive bid;

3. Data or information related to eligibility screening of prospective bidders;

4. Data or information related to the examination of capability to perform a contract;

5. Data or information related to restrictions on participation of inappropriate business entities in a competitive tendering procedure under Article 27 of the Enforcement Decree of the Act on Contracts to Which the State Is a Party or Article 31 of the Enforcement Decree of the Act on Contracts to Which a Local Government Is a Party;

6. Data or information related to the making, performance, cancellation, and termination of contracts;

7. Data or information related to the awarding and performance of contracts;

8. Information related to the temporary or permanent closure, etc. of business of electronic procurement users;

9. Other data or information publicly notified by the Administrator of the Public Procurement Service as deemed necessary for performing contracting services under the Enforcement Decree of the Act on Contracts to Which the State Is a Party or the Enforcement Decree of the Act on Contracts to Which a Local Government Is a Party, in connection with non-bid contracts, amendments to contracts, payment of contract prices, public disclosure of information related to contracts, etc.

(2) The Administrator of the Public Procurement Service may request the head of a relevant institution to provide the data or information specified in paragraph (1) in paper form or by facsimile or other electronic means.

(3) The Administrator of the Public Procurement Service may collect and provide information, etc. on contracts or render services necessary for electronic transactions to the extent necessary to assist procuring entities’ efficient contract management.
 

Article 10 (Restriction on Use or Utilization of Electronic Procurement System)

"Cases specified by Presidential Decree" in Article 15 (2) 3 of the Act means any of the following cases:

1. Where the person has been punished for a violation of any provision of Articles 18 through 20 of the Act during the latest three years;

2. Where the person is delinquent in a national or local tax;

3. Where the person is an inappropriate business entity subject to restrictions on participation in a competitive tendering procedure under Article 27 of the Enforcement Decree of the Act on Contracts to Which the State Is a Party or Article 31 of the Enforcement Decree of the Act on Contracts to Which a Local Government Is a Party.
 

Article 11 (Registration, etc. of Users of Electronic Procurement System)(1) Each person who intends to participate in an electronic bid under Article 7 of the Act shall file for registration as a user under Article 17 (1) of the Act by the day immediately before the due date for submitting electronic bidding documents. The same procedure shall also apply where any registered matter changes.

(2) A person who intends to file for registration as a user or an electronic procurement user who intends to modify his/her registration as a user under Article 17 of the Act shall apply for the user registration or for the modification of such registration through the Electronic Procurement System with an authorized certificate issued by the licensed certification authority under Article 15 of the Digital Signature Act.

(3) Except as otherwise expressly provided for in paragraphs (1) and (2), matters necessary for user registration in the Electronic Procurement System and the modification of such registration shall be determined and publicly notified by the Administrator of the Public Procurement Service.
 

Article 12 (Scope, etc. of Trade Secret)(1) The scope of trade secret under Article 18 (1) of the Act is as follows: Provided, That matters publicly known or matters published with the consent of the relevant electronic procurement user shall be excluded herefrom:

1. Matters with which the name, trade name, address, etc. of an individual user not involved in a transaction made on the Electronic Procurement System can be identified;

2. Matters concerning the price and quantities of the goods or services supplied by an individual user not involved in a transaction made on the Electronic Procurement System;

3. Matters concerning the manufacturing costs;

4. Other matters that constitute a production method or sales method, or information on technology or business management useful for business activities, kept confidential by exerting considerable efforts, and the disclosure of which is likely to give rise to a loss to the relevant electronic procurement user or cause an impediment to his/her business.

(2) The measures to protect trade secrets referred to in Article 18 (4) of the Act are as follows:

1. Formulation and enforcement of regulations on the management of trade secrets;

2. Indication of trade secrets;

3. Education of workers.
 

Article 13 (Criteria, etc. for Designation of Electronic Procurement Support Centers)(1) The criteria for designating an electronic procurement support center under Article 23 (1) of the Act (hereinafter referred to as "support center") are as follows:

1. It shall be a nonprofit corporation that has definite business objectives and practicable implementation plans;

2. Its financing plan shall be reasonable;

3. It shall have assets, experts, records of performance, etc. necessary for performing the activities specified in Article 23 (2) of the Act, which meet or exceed the standards determined by the Administrator of the Public Procurement Service.

(2) A person who wishes to be designated as a support center shall file an application for designation with the Administrator of the Public Procurement Service in the form prescribed by Ordinance of the Ministry of Strategy and Finance. The same procedure shall also apply where a person intends to modify any of the facts relevant to the designation.

(3) Upon receipt of an application for designation under paragraph (2), the Administrator of the Public Procurement Service shall designate a person who meets the designation criteria specified in paragraph (1) as a support center and shall issue a written designation to the relevant applicant in the form prescribed by Ordinance of the Ministry of Strategy and Finance.

(4) The Administrator of the Public Procurement Service may provide a support center with subsidies to cover all or part of the expenses incurred in its performance of the activities specified in Article 23 (2) of the Act, within budgetary limits.

(5) A support center that has been provided with subsidies to cover expenses under paragraph (4) shall submit reports on the performance of services and the execution of budget for the pertinent year and a business plan for the next year to the Administrator of the Public Procurement Service, within two months after the end of its business operations for the pertinent year.
 

Article 14 (Usage Fees for Electronic Procurement System)(1) A usage fee for the Electronic Procurement System under Article 25 (1) of the Act shall be determined and publicly notified by the Administrator of the Public Procurement Service in consultation with the Minister of Strategy and Finance, within the actual cost incurred in the operation of the Electronic Procurement System.

(2) The amount of a late payment charge under Article 25 (2) of the Act shall be prescribed by Ordinance of the Ministry of Strategy and Finance in an amount not exceeding 10/1,000 of the usage fee.

(3) The usage fee and late payment charge under paragraphs (1) and (2) shall be paid in cash: Provided, That the Administrator of the Public Procurement Service may allow the payment by means of electronic cash, electronic settlement, etc. through an electronic communications network.

(4) The usage fee and late payment charge collected from a person falling within any subparagraph of Article 25 (1) of the Act shall be regarded as revenue in the special account for procurement under subparagraph 4 of Article 3 of the Government Enterprise Budget Act.
 

Article 15 (Scope, etc. of Persons Eligible for Monetary Awards)(1) To be eligible for monetary awards under Article 26 (1) of the Act, a person shall be a reporting person (as defined under the aforesaid paragraph) who meets each of the following requirements:

1. The person shall have made a report or given information to an in