In 2000, the Agricultural Development Act was amended to alter farmland use policy. Previously, the governing principles of the Act were that “farmland should be owned by those who farm it,” and “farmland should be used only for farming.” Under the amendments, it was decided to relax the first principle. To put it more concretely, the amended act allowed farmland to be freely bought and sold, and permitted any natural person to take possession of farmland. Moreover, it permitted the construction of farmhouses or collective farmhouse complexes on farmland, with the condition that such construction would not have a negative impact on the agricultural production environment or rural community development.

　　In order to ensure that there is no separation between a given farmhouse and the operation of the given farm, the Agricultural Development Act and the “Regulations for Constructing Farmhouses on Agricultural Land” (hereafter “Farmhouse Regulations”) both clearly stipulate that anyone applying to build a farmhouse must be a farmer. That is to say, farmhouses should only be built because they are needed by persons who actually work the land, and not just by anyone who happens to own farmland. However, in the past, the process for verifying someone’s qualifications as a “working farmer” became a mere formality, without any substantive confirmation that persons applying to build farmhouses actually worked the land.

　　Analysis of data on farmhouse construction permits that were issued from 2008 through 2013 showed that, nationwide, of persons initiating construction of farmhouses, only 38.8% qualified for Farmers Health Insurance or for Category 3 of National Health Insurance. This means that 61.2% of such persons had not actually proven their status as farmers. It is for this reason that in March of 2015 the COA initiated changes to the Farmhouse Regulations. The amendments were announced jointly by the COA and the Ministry of the Interior on September 4 of 2015. The purposes of the amendments are: (a) to ensure thorough implementation of the policy that farmland shall be used for agricultural production; (b) to facilitate young people returning home to engage in agriculture, and (c) to correct the chaotic situation with respect to farmhouse construction and return to the original legislative intent regarding farmhouses. Major points of these amendments include the following:

Methods for confirming that applicants to build farmhouses are in fact farmers

　　When a person applies to build a farmhouse, he or she must: (1) attach documentation proving that the applicant is involved in agricultural production; and (2) receive confirmation of this status at a meeting of the relevant local government authorities with participation by outside experts or academics. However, in cases where the applicant is covered under Farmers Health Insurance, or falls into Category 3 of National Health Insurance, because these require prior confirmation of concrete participation in agricultural production, such applicants are exempt from the above two requirements.

　　Applicants who must provide new documentation that they are in fact farmers should do so by providing at least one of the following for each year of at least two years preceding the date of the application:

● Documentation of having received agricultural natural-disaster relief.

● Documentation of having received subsidies for contract production (not including fallow land) under the COA program called “Adjust the Cultivation Structure and Revitalize Farmland.”

● Documentation of having sold rice to the government for national rice reserves.

● Documentation of having received other relevant subsidies from the agricultural authorities (not including subsidies for manpower training).

● Documentation or receipts proving sales of self-produced agro-products. The minimum criteria for proof is sales of NT$30,600 per 0.1 hectare of land, multiplied by the total area of land farmed by the applicant.

● Documentation of agro-products receiving certification as being “organic,” as being traceable agricultural products, or as being “premium agro-products”; or of receiving permission to use “place-of-origin” labeling (geographical indications). (The relevant certification must still be in effect at the time of application.)

● Any other documentation proving that the applicant is actually engaged in agricultural production.

Requirement that applicants attach an operational plan for their farmland

　　Anyone applying to build a farmhouse must attach an operational plan describing how the given farmland on which the house would be built will actually be used in agricultural operations, as well as overall facilities and other relevant information about the land. This plan must be sent to the governing agency within the local government with jurisdiction for review and approval.

　　The main purpose underlying the COA’s amending of the Farmhouse Regulations was to make clear our position that “farmland should be used for farming.” Farmhouses should only be built for persons who are actually engaged in agricultural production, not for purposes of investment, resale, or economic activities unrelated to agriculture (such as hostels, factories, or vacation villas).