A Study on the Feasibility Study for Local Government Investment Projects- Focusing on development of local sport complex
AUTHORS
Gongcheol Jeong,Ph.D. Student, Major in Real Estate Studies, Faculty of Regional Development, Kongju Nat’l University. Yesan, Chungnam, South Korea
Jaehwan Kim,Corresponding author, Associate Professor, Major in Real Estate Studies, Faculty of Regional Development, Kongju Nat’l University. Yesan, Chungnam, South Korea
Heecheol Shim,Analyst, Local Investment Management Center, Korea Research Institute for Local Administration, Nambusunhwanro, Seochogu, Seoul, South Korea
ABSTRACT
This study focused on the feasibility analysis conducted in advance to secure the soundness of local investment projects and to measure their business feasibility. The assessment method was proposed through a net present value, internal return rate and cost benefit analysis in order to comply with the feasibility assessment for the establishment or development of various commercial facilities, including the development of sports facilities in the region by local governments. This enabled us to present the evaluation system and evaluation results that should be considered in the future, along with an important measure of the success or failure of the operation of the facility (estimated project cost relative to facility fees).
KEYWORDS
Local Government Investment Project, Feasibility Study, Net Present Value, Internal Rate of Return, Benefit Cost Analysis, Sports Complex
REFERENCES
[1] C. Jinho, Editor, A study on the rational supply criteria of local public goods, Seoul National University, Seoul (2003)
[2] C. Kiseon, The Korea Journal of Local Public Finance. A Study on the Determinants of Financial Growth in Local Government. Korean Association For Local Finance. (2007), Vol.12, No.3, pp.213-238.
[3] H. Donghyo, The Korean Journal of Local Government Studies. A Study on Factors of the Failure of Policies Taken by the Local Government - Focusing on the Naubul Stream Covering Project of Jinju City -. The Korean Association for Local Government Studies. (2010), Vol.14, No.3, pp.315-334.
[4] H. Myungsoon, The Korea Journal of Local Public Finance. A Study on Factors of the Failure of Policies Taken by the Local Government - Focusing on the Naubul Stream Covering Project of Jinju City -. Korean Association For Local Finance. (2011), Vol.16, No.1, pp.177-210.
[5] K. Jaehyeong, Editor, A Study on the Efficiency of Budget Management for Public Investment Projects I: Reinforcement of Integrated Management from Pre-Planning to Post-Evaluation, Korea Development Institute, Seoul (2000)
[6] K. Nanyeong and C. Hyeongseok, Editor, Status of the examination and feasibility study operation of the local finance investment and loan business, Audit and Inspection Research Institute, Seoul (2012)
[7] L. Changgyun and H. Neungsik, Editor, An Establishment for the Self-Evaluation System of Investment Programs by Local Governments, Korea Research Institute for Local Administraion, Seoul (2006)
[8] L. Jaewon, The Korean Journal of Local Government Studies. A Study on the Method of Capital Investment Decision in Local Government. The Korean Association for Local Government Studies. (2003), Vol.7, No.2, pp.7-25.
[9] L. Segu and B. Changheum, Editor, A Study on the Development of Guidelines for Feasibility Study for Public Investment Projects in Seoul, The Seoul Institute, Seoul (2002)
[10] L. Younghwan, Editor, Reforming Local Fiscal Management System, Gyeonggi Research Institute, Gyeonggido (2010)
[11] M. Spackman, Economic Systems. Public–private partnerships: lessons from the British approach. ELSEVIER. (2002), Vol.26, No.3, pp.283-301.
[12] O. Youngmin, Journal of the 2010 Spring Conference of the Korean Association of Local Finance. A Study on the Design Alternatives of the Local Financial Crisis Management System. Korean Association of Local Finance. (2010), Vol.2010, No.4, pp.153-178.
[13] P. Byeonghee, P. Wankyu and L. Byungin, The Journal of Korean Public Policy. A Research on the Efficient Schemes to Mitigate Defects of the Local Government Investment Appraisal System. The Korean Association Of Public Policy. (2011), Vol.13, No.4, pp.153-185.