Depending on the circumstances, the area covered by an urban plan shall include land reserved for the following public facilities:
(1) Roads, parks, greeneries, squares, playgrounds, civil airports, parking spaces, waterways, and ports;
(2) Schools, social education institutions, social welfare facilities, sports venues, marketplaces, medical and health institutions, and government agencies
(3) Water supply and drainage systems, post offices, telecommunications offices, substations, and other public services;
(4) Other public facilities specified in this chapter.
In principle, the public facilities specified in the subparagraphs of the preceding paragraph shall be installed in public land when available.

The public facilities to be installed, the location and the size of the area shall be determined according to the population, land use, transportation systems, and future development in order to facilitate the daily life activities of the residents and ensure the quality of the living environment.

The road systems, parking spaces and gas stations shall be arranged according to the zoning, traffic flows, and expected development. Railways and highways that pass through the planned area shall be prevented from going through the central area.

Parks, sports venues, greeneries, squares and playgrounds shall be installed systematically according to the population density and the natural environment. Except for special circumstances, the total area used for these public facilities may not be less than 10% of the total area covered by an urban plan.

Elementary and secondary schools, social education venues, social welfare facilities, marketplaces, post offices, telecommunications offices, substations, health offices, police stations, fire stations, and raid shelters shall be installed according to the number of households and spread of residents in the area.

Slaughterhouses, garbage disposal plants, funeral homes, crematoriums, public cemeteries, sewage treatment plants, and LPG plants shall be installed on the edge of the area to prevent hindrance to urban development and the safety, living amenity, and sanitation in the area.

Land reserved for public service facilities shall be expropriated or purchased by the operators of such public services according to related laws. Land for other public facilities shall be acquired by the concerned government of township, town or county-administered city through the following approaches:
(1) Expropriation,
(2) Zone expropriation,
(3) Urban land readjustment.

Compensation for land obtained through expropriation or zone expropriation for public facilities shall be made in accordance with the average current value of the neighboring non-public facility land announced by the government during the fiscal year in which the expropriation is made. If necessary, an extra percentage may be added but it shall not exceed 40% of the said value. Compensation for the land improvements shall be made according to the cost required for reconstruction.
The land price evaluation committee of the concerned special municipality or county/city government shall decide the standard of the extra percentage described in the preceding paragraph when evaluating the current land value of the fiscal year.

Land reserved for public facilities may be used for construction of temporary buildings by application before it is obtained for the planned purposes.
When notified by the local government that the construction of public facilities is to commence and the said buildings must be dismantled within a given period, the owners of the temporary buildings described in the preceding paragraph must comply unconditionally. Otherwise, compulsory dismantling shall be enforced.
The Ministry of the Interior shall stipulate the regulations regarding the use of temporary buildings on land reserved for public facilities in urban plans.

The extra compensation obtained for land expropriated for public facilities according to Paragraph 1 of Article 49 shall be exempted from income tax. If the amount is inherited or transferred as a gift between spouses or lineal relatives, it shall be exempted from inheritance tax or gift tax.

Owners of private land reserved for public facilities may apply for exchange with public land not reserved for public facilities without being subject to related regulations in the Land Act, National Property Act and the property management regulations of governments at all levels. Owners of land that has been demarcated as reserved for public facilities for 25 years or more but has not been expropriated shall have the priority to apply for such exchanges.
The Ministry of the Interior shall stipulate the regulations regarding the range of land exchange described in the preceding paragraph, as well as the priority order, calculation, operating and application procedure, and required documents.
The Executive Yuan shall determine the enforcement date of this article.

Land designated as reserved for public facilities may not be put to use in contradiction to the purposes specified. However, the original use may be continued or changed to other use not as contradictory to the purposes specified.

Expropriation of private land or appropriation of public land by governments at all levels within the area covered by an urban plan may not be in contradiction to the local urban planning. Public land must be processed according to the local urban planning. To construct public facilities on land that has been reserved for public facilities, the concerned special municipality or county/city government , or township, or county-administered city office shall conduct the appropriation according to related regulations and also compensate for the land improvements, if any, according to the cost required to make the reconstruction.

If the land where a private individual or group is given permission to invest on public facilities and operate public services belongs to public land, the said party may apply to the managing agency to rent the land in question; if the land belongs to private owners and both sides are unable to reach a purchase agreement, the said party shall prepare the amount and request the special municipality or county/city government to make the purchase on its behalf.

Public land rented according to the preceding article may not be subleased. If the private individual or group operating a public facility loses the capacity to continue the operation or engages in any operation inconsistent with the approved plan or fails to abide by related regulations, the special municipality or county/city government may notify the managing agency to terminate the lease immediately and rent the land to another party to continue the operation. If necessary, the said government may take over the operation. Under such circumstances, the said private individual or group shall be compensated for already installed facilities according to the amount determined after asset reassessment.

If the land purchased by a special municipality or county/city government on behalf of a private individual or group is transferred or the operator engages in any operation inconsistent with the plan approved, the said special municipality or county/city government shall have the priority to purchase the land at the original price. Private individuals or groups that transfer such land without the approval of the concerned special municipality or county/city government , the priority given to the special municipality or county/city government to purchase the land in question shall prevail over the transfer.

Public facilities that have been completed and voluntarily donated along with the land to the local government by private individuals or groups shall be registered as the property of the city, township, or county-administered city. The city, township, or county-administered city receiving the donation shall be responsible for the maintenance of such properties and also award the donors.