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Historical Materials Related to Integrated Utilization of National Properties

Since national assets were managed by various agencies, and effective evaluation mechanisms and cost concepts for asset management among various management agencies were lacking, many national assets ended up in an idle state, with a low degree of utilization, or even situations of no occupancy and improper use. Due to the decentralized management of national assets, it was often impossible to make an overall coordination on the use of resources. Many government agencies that required lands would need to prepare budgets to lease or expropriate lands from the private sector, while many national assets were standing idle at the same time, resulting in financial waste. In order to change that situation, the Executive Yuan established a task-oriented “National Assets Operation and Administration Commission (NAOAC)” in April 2002, to establish a unified management mechanism for national assets with a positive and professional attitude, and an open and transparent handling method. The members of the NAOAC consisted of the Minister of Finance serving as the convener, the Deputy Minister of Finance serving as the deputy convener, 13 deputy heads of relevant ministries and committees, and 5 experts and scholars. After the establishment of the NAOAC, in order to review the status of the national assets, general case review principles were first established at the policy level, which then were handed over to respective competent authorities for implementation. At present, general case review principles and proposals are formulated, including “Implementation Directions for Unified Operation and Administration of National Assets”, “Principles of Operation and Administration of National Assets”, “Principles for the Survival of State-owned Enterprises of Non-corporate Organizations”, “Principles for the Survival of State-owned Enterprises of Corporate Organizations”, “Principles for Reviewing Release of Shares in Enterprises Invested by the Central Government”, “Principles for the Survival of Non-operating Special Funds of the Central Government”, “Proposal for Strengthening the Handling of Idle National Real Estate, with Low Degree of Utilization, or in Situations of Vacancy”, and “Proposal for Strengthening the Handling of National Premises and Lands of Dormitories and Staff Housing”. According to the above-mentioned principles and proposals, the respective competent authorities had changed the real estate not required by the public sectors into non-public use properties, which were handed over to the National Property Bureau (which was adjusted to National Property Administration (NPA) on January 1, 2013) according to law. To enhance the efficiency of reviewing national assets, the Ministry of Finance also formulated the “Medium-term Plan for Matters of Operating and Administering National Assets (for July 2004 to June 2008)”, where the main work items include the clearance of national assets, building databases, and enhancing the efficiency of reviewing national assets. Accordingly, the National Property Bureau formulated the “Phase II Clearance Plan for National Public Real Estate in an Idle State, with Low Degree of Utilization, or in Situations of Vacancy”, “Pilot Plan for Registration Operations of Unregistered Land, Survey Data”, and “Principles for the Uncompensated Provision and Use of National Public Use Properties”, as well as revised the “Principles for Handling National Public Use and Occupied Real Estate by Various Agencies” and “Precautions for Changing National Publicly Use Real Estate into Non-Public Use Property”. Through information gathering, the National Property Bureau successively established databases for lands of national public institutions and non-urban lands for specific target business in counties and cities. An operation platform for changes of national public use property data; a database containing data of operating and administering, leasing, or borrowing of offices and dormitories by central agencies; and data on central government needs in staffing and offices and dormitories was established. Also, the Bureau studied how to simplify appropriation procedures and expedite the take-over of national public use lands by administrative agencies, to enhance the efficiency of the management of national lands. After many years of operation of the NAOAC, the respective competent authorities had established a cost-effective concept for the real estates under their administration. Therefore, the thinking of reviewing the efficiency of asset usage was also changed. Where in the past, the focus was on returning real estate in an idle state and with a low degree of utilization under the management of state-own enterprises or government agencies back to National Treasury for overall planning, in the new stage, the focus was on how to urge each administrative agency or state-owned enterprise to improve the efficiency of managing the public assets of real estate under their administration. The Ministry of Finance (MOF), therefore, formulated and reported a “Proposal for Strengthening Benefits of Administrating and Utilizing National Properties” to the Executive Yuan for approval on November 11, 2008. Moreover, the MOF made a suggestion to the Executive Yuan on December 25, 2008 to cease the operation of the NAOAC. Accordingly, such suggestion was approved by the Executive Yuan on January 12, 2009.