As Merged Cities Flourish, Citizens Expect 'Premium Benefits'

“Citizens welcome it, but the city and city council are reluctant?” With more than 50% of residents approving the selection of the merger target area, Suwon City and its city council send messages of welcome, while Hwaseong and Osan cities and their councils show reluctance. However, unlike such political resistance that could be interpreted as political self-interest, citizens are focusing on what direct benefits the merged city would bring.

Unlike the Cheongju-Cheongwon administrative district merger, where the government publicly expressed financial and policy support benefits, the Suwon-Hwaseong-Osan region lacks detailed plans. An official from the Ministry of Interior and Safety stated, “Cheongju-Cheongwon was selected as a merger target while discussions were already considerably advanced, whereas discussions for the Suwon-Hwaseong-Osan region were weak in fact,” and added, “However, we plan to provide financial and policy support ahead of other regions based on proposals from these areas.”

● Substantial Expansion of Government Financial Support

In other words, by specifically examining what financial and policy support the government provides, one can infer the benefits that will return to residents. First, looking at plans for Cheongju City and Cheongwon County, which the government promised to support, it will establish four administrative districts and temporary organizations, and provide 250 billion won in local transfer taxes over 10 years for use as regional development funds.

As it is an agricultural-urban complex city, the government also promised priority support for various government-sponsored projects such as regional agricultural cluster projects, hub agricultural product distribution centers, dry storage facilities, and agricultural product brands. Additionally, tax benefits such as license taxes, resident taxes, and property taxes in eup and myeon (township) areas will be maintained even after the merger.

Prior to the merger, special grants of 5 billion won each will be provided. Grants that were previously provided to each region separately will be guaranteed for five years after the merger, and approximately 60% of the ordinary transfer tax for the merged local government will be provided in installments over 10 years. The national treasury subsidy rate will also be 10% higher than the general standard. The government expects the Cheongju City-Cheongwon County merger to yield total unified effects of 448 billion won over 10 years, including 252.3 billion won in incentives, 154.7 billion won in improved citizen services, and 41 billion won in administrative cost savings. It appears that Suwon, Hwaseong, and Osan would receive similar types of financial support if merged.

● Priority Allocation of SOC Budget for Long-Delayed Metropolitan Railway Projects

Separately from financial support, the government plans to prioritize budget allocation to merged local governments when expanding social overhead capital (SOC). The government explained that it will prioritize budgets for metropolitan railways such as the Ori-Suwon Bundang Line extension project (originally scheduled for 2013 but delayed more than 5 years), and the Incheon-Suwon double-track railway project, as well as for metropolitan roads and port projects. The plan is to secure funds from the special account for regional development and the special account for transportation facilities.

Additionally, the government will provide priority budget support when establishing museums, cultural centers, art parks, and public sports facilities, and will increase the proportion of merged autonomous entities among support targets for each cultural facility to 5% or higher. For merged cities considering the creation of metropolitan cultural cities, the government plans to designate them as priority regions for public design creation projects.

Therefore, if a merged city is created, it can receive support from the Ministry of Culture, Sports and Tourism for metropolitan cultural city creation projects. Considering the historical backgrounds of the three local governments centered on the legacy of King Jeongjo and regional cultural events, it is expected that the city will develop into a cultural and tourism city harmonizing history and culture.

● School District Reorganization in Merged City

Along with this, it is expected that conditions for education, housing, and culture will improve through elementary, middle, and high school district reorganization considering living zones, expansion of libraries and cultural welfare centers, and other measures. The Ministry of Education and Science and Technology plans to allow school district reorganization according to living zones under the authority of provincial education superintendents, and will give priority to merged autonomous entities when designating dormitory-type high schools, meister high schools, and autonomous private high schools. The view is that inter-regional human exchange will become more active and more effective in talent cultivation.

Additionally, the government is reviewing plans to support cost savings from regional education office integration through personnel and operational expenses as special education grants, and to support office renovation costs through special education finance grants. The government also plans to provide preferential budget allocation when merged cities foster locally specialized and strategic industries, and to give priority to new projects promoted by merged cities.

● How Will the Merged City's Name and City Hall Location Be Determined?

Notably, even after becoming a merged city, taxes will not increase. This is because it is not a matter of being elevated to metropolitan city status. The government emphasized that even if eups, myeons, and dongs are converted to dongs, causing tax increase factors, it will amend related laws to block tax increases. However, the merged city plans to institutionally complement the current system by expanding special provisions concerning large cities under the existing province to a greater extent than now.

The name of the merged city and the location of city hall will be determined after a resident referendum by forming a "Merger Promotion Committee" composed of representatives from each autonomous entity in equal numbers, and the committee will deliberate and decide on detailed matters. Therefore, the name or city hall location will not be determined solely by city size. The government will present minimal guidelines for consultation procedures and standards to facilitate smooth coordination between local governments, and decisions will be made autonomously through consultation with experts.

● Citizens' Concerns About Undesired Facilities in Hwaseong and Osan Are 'Unfounded'

It appears that the concern about concentration of undesired facilities, one of the greatest worries among citizens of Hwaseong and Osan, will be unfounded. Suwon City already has undesired facilities such as incinerators, crematoriums, recycling facilities, and wastewater treatment plants, and even if additional facilities are needed due to expanded regional size, it is impossible to install them against residents' wishes. Rather, Suwon's crematorium provides benefits where residents pay only 300,000 won (compared to 1 million won in other local governments) through resident rate application. Public utility charges such as water and sewage rates are also reduced through shared use.
Additionally, the number of basic council members will not be adjusted before next year's local elections, but there is a possibility of adjustment after merger considering regional circumstances. With three municipal chiefs reduced to one position, cost savings in election expenses and administrative promotion expenses are expected, as well as cost savings from joint use of public facilities.

Due to the expanded urban living zone, people will not be subject to surcharges for buses, taxis, and other transportation, and it is expected that concentrated development can be prevented through metropolitan city planning. An official from the Ministry of Interior and Safety stated, “We are surveying specific regional support benefits for merger target areas, and plan to announce them once confirmed,” and added, “In particular, if merged cities propose financial resources and various projects necessary for merger, we will actively review accommodating them.”