Changdong Son, advisor at Yoon & Yang LLC

Changdong Son, advisor at Yoon & Yang LLC

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Looking around, we can find many cases of public projects, such as subway lines, roads and public rental housing, that have stalled without being completed even after their scheduled deadlines. Each case likely has its own circumstances.


Public projects do not always proceed as planned. A plan that was reasonable at the outset may no longer match reality as time passes. Unexpected circumstances may arise, or prices may rise sharply, making it difficult to continue a project under the original contract amount. In such cases, rather than simply sticking to the original plan or abandoning the project, it is necessary to find a new way to get it back on track in light of changed circumstances. Revising a plan is reasonable if permitted by law and regulations and consistent with the public interest.


However, public officials face considerable pressure in this process. They may worry that a decision will later be questioned in an audit, or that an effort to salvage a project will be suspected of granting favors or wasting public funds. This is why public officials may hesitate to tackle problems. While decisions are delayed, costs rise, and the public has to endure inconvenience without access to public facilities. At the same time, resolving these problems through legal proceedings can involve more time and expense than they can afford.


One system that can help overcome such obstacles is the Board of Audit and Inspection's pre-consultation service. When the government or a public institution encounters difficulty interpreting laws and regulations or deciding how to proceed, it can seek the Board's opinion and, if it acts accordingly, will not be held accountable. The system is intended to ease the burden on public officials of shouldering responsibility alone and help them proactively seek solutions.


If used effectively, pre-consultation can help the relevant agencies and the Board of Audit and Inspection jointly examine the challenges facing public projects and address them transparently, making it possible to find more reasonable alternatives and prevent unnecessary misunderstandings. This enables public officials to make decisions with conviction, project operators to reduce unnecessary costs, and the public to enjoy the benefits of public projects sooner.


It is important to note, however, that the real value of this system lies in bringing difficult public issues to light transparently and creating the conditions for prompt, reasonable decision-making. The system supports proactive administration, but it should not be mistaken for a simple means of avoiding accountability, nor should the principles of accountability and transparency in public projects be taken lightly. Requiring agencies that apply for consultations to submit sufficient documentation, seeking the views of relevant administrative agencies before the Board reaches a conclusion, and providing detailed disclosures of the consultation process and its conclusions are all intended to address these concerns.


In this regard, agencies seeking a consultation would be better served by thoroughly examining ways to get a project back on track and presenting reasonable alternatives that are legally and practically feasible, rather than vaguely deferring judgment and responsibility to the Board of Audit and Inspection. Providing specific details about how circumstances have changed, what harm could result from delays, and the costs and public benefits of changing the original contract would help ensure an effective consultation.


Recently, government ministries, local governments and public institutions have been actively requesting consultations, and the Board of Audit and Inspection is reportedly working to process them promptly. As more consultation cases accumulate, they will also help resolve other problems involving similar challenges. We hope this system will develop into one that enables our society to address public issues more efficiently.



Son Changdong, advisor at Yoon & Yang LLC (former audit commissioner and second deputy secretary general of the Board of Audit and Inspection)


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