A junior college or institution of higher education may, after taking into due consideration its resources, circumstances, and development focus, select an appropriate amalgamation counterpart and implement an amalgamation plan.
After weighing and considering current higher education development trends, the distribution of junior colleges and institutions of higher education, and the allocation of educational resources, the MOE may recommend that institutions of higher education implement an amalgamation plan, and assist them to do so.

Public junior colleges or institutions of higher education planning an amalgamation shall draw up an amalgamation plan. An amalgamation plan for national junior colleges or institutions of higher education shall be submitted to the MOE for ratification after it has been approved by the respective university council or junior college governing board. An amalgamation plan for municipal, county, or city junior colleges or institutions of higher education shall be submitted to the MOE for ratification after it has been approved by the respective university council or junior college governing board and by their local government.
For an amalgamation between private junior colleges or institutions of higher education, the school endowment corporation of each of the institutions shall draw up an amalgamation plan and an amalgamation agreement addressing the amalgamation related matters, and submit balance sheets and property inventory audited and certified by a certified public accountant; the amalgamation plan shall be submitted to the MOE for ratification after it has been approved by the respective university (college) councils and boards of directors. There is, however, no need to draw up an amalgamation agreement if the amalgamation is between private educational institutions of the same or different levels established by the same school endowment corporation.
The amalgamation plan referred to in Paragraph 2 shall give explicit details of the following:
1. The origin of the amalgamation plan.
2. An analysis of the current situation of each of the educational institutions involved in the proposed amalgamation and any associated problems.
3. The amalgamation plan procedures.
4. An amalgamation schedule and a list of associated matters that will require being attended to.
5. The contents of the plan: including envisaged growth; the plan for each campus; designated uses of campus buildings and open spaces and any planned changes to these; the organizational structure of the administration, the number of administrative personnel and their deployment; the academic organizational structure, and configuration of subjects, departments, and graduate institutes; and a financial plan.
6. The handling of the rights and interests of the teaching staff, other staff, and students of the amalgamating institutions, and the associated remedy procedures.
7. The drawing up of the by-laws governing matters regarding the selection of the president of the educational institution resulting from the amalgamation and other important matters...
8. Expected benefits.
9. Other relevant measures.

Junior colleges and institutions of higher education shall complete the formulation or revision of their organizational charter and regulations within one year after the MOE approves an amalgamation.
A junior college or institution of higher education newly-formed through an amalgamation shall have one person appointed as president. As is the case for the president of a newly-established junior college or institution of higher education, this first president shall be appointed in accordance with the provisions of Article 16 of the Junior College Act or Article 10 of the University Act, as applicable.

The MOE may, taking into account the national overall resources situation, provide priority funding for the amalgamation of a number of junior colleges or of institutions of higher education.

If junior colleges or institutions of higher education have not implemented an amalgamation in accordance with their amalgamation plan, taking into account the circumstances, the MOE may reduce funding support and/or adjust their student admission quotas.