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Busan Metropolitan City Ordinance on Defect Management of Public Facility Construction Projects

By Accounting & Property Management Division Dec 16, 2024 4  Views
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Busan Metropolitan City Ordinance on Defect Management of Public Facility Construction Projects

Enforcement Date 22. May, 2024.

Busan Metropolitan City Ordinance No. 7290, 22. May, 2024., Enacted

  • Article 1 (Purpose)
  • The purpose of this Ordinance is to stipulate the necessary measures for defect management of facility construction projects ordered by Busan Metropolitan City, in order to prevent poor construction practices and avoid budget waste through efficient management and systematic defect inspections.
  • Article 2 (Definitions)
  • The terms used in this Ordinance are defined as follows:
    • 1. The term "Facility construction" means public construction projects ordered by Busan Metropolitan City (including its subordinate agencies and business offices) for the purpose of public welfare.
    • 2. The term "Defect inspection" means inspections conducted in accordance with Article 70 of the Enforcement Decree of the Act on Contracts to which a Local Government is a Party (hereinafter referred to as "Enforcement Decree").
    • 3. The term "Defect Management Support System" means an online-based environment established to systematically and rigorously manage defect inspections.
  • Article 3 (Responsibilities of the Mayor)
  • (1) The Mayor of Busan Metropolitan City (hereinafter referred to as "Mayor") shall ensure that the head of the department responsible for managing facility construction (hereinafter referred to as "Department Head") establishes and implements defect management measures to prevent administrative and financial losses related to facility construction.
  • (2) The Mayor shall endeavor to provide education and training to enhance the expertise of public officials responsible for defect inspections of facility construction.
  • Article 4 (Defect Inspections)
  • (1) The Department Head shall conduct defect inspections at least twice a year during the guarantee period of the construction contract.
  • (2) The Department Head shall prepare and retain defect inspection records. However, for contracts with a value of 30 million KRW or less, preparation of defect inspection records may be omitted.
  • (3) The Department Head shall, in cases where the defect inspection falls under any of the categories listed in Article 70 (2) of the Enforcement Decree, commission a specialized institution to conduct the necessary inspections.
  • (4) If any defects are discovered as a result of the inspection, the Department Head shall promptly take necessary corrective actions.
  • Article 5 (Guidance and Inspection)
  • The Mayor may verify the defect inspection records prepared in accordance with Article 4 (2) and conduct guidance and inspections based on them. In such cases, the contractor or other relevant parties may be requested to attend.
  • Article 6 (Establishment and Operation of the System)
  • The Mayor shall establish or operate a "Defect Management Support System" (hereinafter referred to as "System") or a similar management system, to ensure systematic and rigorous defect inspections of facility construction. The System shall perform the following functions:
    • 1. Integrated defect history management
    • 2. Automatic notifications of the guarantee period for defects
    • 3. Online input and management of defect inspection data
    • 4. Provision of forms for defect inspection reports required for the completion of defect repairs
    • 5. Other matters deemed necessary by the Mayor for defect inspections of facility construction.
  • Article 7 (Maintenance and Management of the System)
  • (1) The Mayor may appoint a System Administrator responsible for the efficient operation and management of the System.
  • (2) The System Administrator may outsource the development and maintenance of the System to an external specialized institution for its efficient operation.
  • Article 8 (Statistical Management and Disclosure)
  • The Mayor shall manage the construction details and defect inspection status of facility construction projects registered in the System by category and may publicly disclose such information annually on the Busan Metropolitan City website.

ADDENDUM

Ordinance No. 7290, 22. May, 2024.

  • This ordinance shall enter into force on the date of its promulgation.