• Journal of Korean Society of Industrial and Systems Engineering
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• v.35 no.3
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• pp.1-6
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• 2012

This paper aims to suggest a validity analysis model that would be helpful for local governments considering u-City construction projects and a methodology for them to promote build-transfer-lease (BTL) u-City projects. This methodology mainly uses quantitative and qualitative analysis based on the Value For Money (VFM) designed by the Public and Private Infrastructure Investment Management Center (PIMAC) under the Korea Development Institute (KDI). BTL projects requires a large amount of capital and involves long-term investments. Therefore, multi-faceted validity analysis is required for the success of a project. This study will enumerate various factors to be considered in the pre-analysis of validity of BTL projects and suggest a methodology to verify them. A case study of a BTL project promoted by Ansan City assisted in designing this study in detail.

• KDI Journal of Economic Policy
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• v.39 no.1
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• pp.41-82
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• 2017

This paper studies the risks associated with local finance in Korea by identifying the financial status of each local government, including the financial burdens of PPP projects, and examined governmental future burdens related to PPP projects. We reviewed all fiscal burdens associated with projects, such as, for BTL (Build-Transfer-Lease) types of projects, facility lease and operating expenses, and, for the BTO (Build-Transfer-Operate) types of projects, construction subsidies that are paid at the construction stage, MRG (Minimum Revenue Guarantee) payments and the government's share of payment. Furthermore, we compared the annual expenditures of local governments on PPP projects against their annual budgets and checked if the 2% ceiling rule could be applied.

• The Journal of Sustainable Design and Educational Environment Research
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• v.6 no.1
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• pp.25-48
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• 2007

Korean government implemented the Build-Transfer-Lease (BTL) mechanism since 2005 as one of the privatization methods to procure the social infrastructure with private investment. The mechanism was originally prepared 10 provide such public properties as education facilities, child-care facilities, old generation recuperation facilities, medical welfare facilities, military personnel's apartments, environment facilities, and lease apartments. Since 2005, a total of 13.5 trillion won-valued private fund has been directed to the public educational facilities, which occupies 58% of the total private investment in the facilities of the seven categories. However, many officials in the local public entities have anticipated that the local entities need to be restructured or downsized because of the privatization in stead of providing the educational facilities by governmental finance. The main objective of this study is to identify the appropriate technocrat organization structures to manage the privatization procedures.

• Korean Journal of Construction Engineering and Management
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• v.7 no.1 s.29
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• pp.168-175
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• 2006

Since the partly changed 'Private Investment Act for Social Infrastructure Projects' set forth in January 2005, the number of BTL(Build-Transfer-Lease) projects offered to the market has rapidly increased. The scope of BTL projects offered covers not only legally defined facilities but several facilities for the private schools. A BTL project, by definition, is a way of project management that includes the entire process of development such as planning, design, construction and operation over the period of 20-30 years. As a result, various types of risk may happen at each stage of the project and it is extremely important to efficiently control the sensitive factors that affect the risk profiles of the project. The examples of the sensitive factors are construction cost, interest rate, discount rate, lease amount, rental fee, O&M cost and so on. This study examines the characteristics of these sensitivity factors, analyzes their impact on the project feasibility and suggests the alternatives to manage them efficiently.

• Proceedings of the Korean Institute Of Construction Engineering and Management
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• 2006.11a
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• pp.111-116
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• 2006

The objective of this research is to develop an assesment system for BTL Project. A new method for the prediction of construction and maintenance cost in the educational facilities has been considered and under development by the authors. This paper explains the current BTL assesment method used by most local district office of education and lists its potential problems. Main conceptual modules in the new Assesment System are shown in this paper. Also, viable results of each module are discussed in this paper.

• Journal of the Korean Institute of Educational Facilities
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• v.14 no.4
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• pp.34-42
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• 2007

The investment of BTL(Build-Transfer-Lease) projects for the educational facilities has been increased since 2005. However, many trial errors and problems have been occurring due to the lack of inspection criteria in maintenance cost for the lift cycle of the facilities. Thus, purpose of this study is to derive regression equation for the daily inspection and the regular inspection through analysis of CAD data in order to set the inspection criteria. It is possible to calculate economical maintenance cost of BTL project in educational facilities using criteria of inspection time through the regression equation developed in this study.

• The Journal of Sustainable Design and Educational Environment Research
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• v.7 no.2
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• pp.30-46
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• 2008

In this study, were prepared after statistical analysis was conducted of assessment items and marks distribution for the selection of executors of the BTL project. When tests of the degree of dispersion and degree of appropriateness for each assessment item were analyzed, it was found that the degree of dispersion among assessment points has the power of discrimination since it is highly marked in the design field and operation management field. In contrast, 'business management plan' and 'investment composition for economic quality assessment' have a low level of the power of discrimination since points given to them have smaller difference between business projects.

• International conference on construction engineering and project management
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• 2009.05a
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• pp.649-657
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• 2009

BTL projects, which has been 3 years since it was carried out in 2008, trigged the controversy on the adequacy in the calculation of disbursement for Government due to such problems as low earning rate and the burden of service level compared with the project suggestion. Thus, the purpose of this study is to offer a suggestion on the calculation system for the purpose of the standardized - expense appropriation by item and database including the antecedent study on the finance model and the feasibility in BTL projects. The system is composed of 4 steps - project management, basic database, an analysis on expense by item and the result, and an analysis on sensitivity, and it is possible to carry out a comparative analysis on single and multi alternatives by variable change along with the ground on expense calculation.

• The Journal of Sustainable Design and Educational Environment Research
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• v.8 no.1
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• pp.11-22
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• 2009

School is a basic and the most fundamental facility of city planning just like other basic public facilities including the village office. Every plan is established on the basis of school. However, the problems such as the population reduction resulting from the nuclear family-zation and low birth rate, employment and welfare of the aged people resulting from "the old aged society", and the infant nursing and education resulting from a rapid increase of the working couples become notable and accordingly more requirements are being made. Reflecting this trend, the concept and operation system should be changed. Up to now, the BTL projects of the educational facilities are gaining a reputation of being efficient in terms of national budget running, but at the same time receiving negative reputation in terms of budget saving under the civil creativity and efficiency. Through upgrading the private sector investment projects into the BTO+BTL system and further into the BTO(Build Transfer Operate), we can accomplish the original goals of the private sector investment projects, and can make the education budget operation more efficient, and can greatly improve the education environments. However, we should not underestimate in this process that these facilities should not negatively affect the education environments. In any situation, the owners of schools are students.

• Architectural research
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• v.14 no.1
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• pp.35-44
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• 2012

Build-Transfer-Lease (BTL) was introduced to the domestic construction market in 2005. Now, seven years later, the BTL model is most active for educational facilities. In 2011, 93 educational facility projects entered the maintenance stage. Considering the characteristics of today's BTL projects for educational facilities, the main issues are the initial performance and maintenance of educational facilities and the service-providing status for the 20-year operational management period, in relation to providing safety and convenience to students, the facility users. Seeking a solution, local education offices and departments in charge of BTL under the Ministry of Education, Science, and Technology have been exploring various methods of evaluating operational maintenance performance from various perspectives. For educational facility BTL projects, however, the appropriateness of initial operation performance evaluation, rather than considering the 20-year operational management period, is controversial in regards to sustainability. On this account, performance evaluation items in four areas-operational maintenance evaluation, facility performance status evaluation, maintenance subject evaluation, and sustainable change response evaluation-should be extracted. An indicator of facility performance evaluation is presented in this study through an AHP survey targeting experts, as part of establishing an operation performance evaluation system for educational facility BTL projects.