The first step in the legislative process is the proposal of bills. Regular bills may come from: the Executive Yuan, the Judicial Yuan, the Examination Yuan, the Control Yuan, members of the Legislative Yuan and party caucuses under the Organic Law of the Legislative Yuan. Budgetary bills, however, shall be prepared only by the Executive Yuan.
Bills are first sent to the Procedure Committee, where the Secretary General sets the bill agenda, printed upon the Committee's deliberation and approval. The Procedure Committee consists of 19 members from each political party (caucus) on the basis of the parties' proportional representation in the legislature. Each party (caucus) The Procedure Committee shall determine the order in must have at least one member. which the bills will be deliberated in the Yuan Sitting.
Government-proposed or member-proposed bills shall be listed on the agenda for report. The title of bills shall be read out loud in the Yuan Sitting (First Reading). After the report. First Reading, these bills shall be immediately referred to appropriate committees for examination, or proceed directly for the Second Reading. Other bills proposed by members of shall have their titles read, and those who make the propositions shall explain the gist the bills. After general discussion, these bills shall, upon resolution of the Yuan Sitting, be referred to appropriate committees for examination, or sent directly to the Second Reading, or excluded from further discussion. Before budgetary bills are referred for examination, of the Executive Yuan, the Director-General of the Budget, Accounting and the President Statistics Office and the Minister of Finance shall present themselves in the Yuan Sitting to report on government administration and the formulation of budget, and to answer interpellation.
While deliberating the bills, the committees may invite government employees and related parties of the general public to attend committee meetings and to present oral explanation or to provide ideas for members' reference. When statutory bills are referred But the articles that for deliberation, those of similar nature may be deliberated together. have been discussed and passed item by item shall not go through deliberation once more for the reason that they are combined together. After the deliberation, it shall be decided whether these bills shall be referred to party caucuses for further negotiations. Those that not have to go through such negotiations shall be referred to the Yuan Sitting for do discussion, or, upon resolution of the Sitting without further discussion, be dealt with according to the committee's examination conclusion.
To deliberate bills referred to by the Yuan Sitting, each committee may hold public The committee may invite an appropriate hearings in accordance with relevant regulations. percentage of government employees and concerned parties to express pros and cons regarding the bills, and the results shall be sent to all members as well as those who were present at the hearings for their reference in deliberations. Second Reading, discussions shall be conducted to review the bills that have passed
At the committee deliberation or the bills that, by resolution of the Yuan Sitting, are sent directly to the Second Reading. At the Second Reading, the title of bills shall be read out before these bills go through general discussions followed by article-by-article discussions. The Second Reading is of great of thorough discussions, revisions, re-examinations, revocations, importance for it is the very stage withdrawals and other decisions. The bills that have completed the Second Reading shall undergo the Third Reading in the following Yuan Sitting. They may, however, proceed for the Third Reading at the of the Second Reading, if it is thus decided by vote upon the same Sitting following the conclusion proposal of any member present in the Sitting, with the signatures or consensus of no less than 15 members.
In the Third Reading, revisions other than the rephrasing of bills are not permitted, unless bills are found self-contradictory, unconstitutional or in conflict with other laws. Only statutory and budgetary bills are required to go through the entire three-reading procedure in the Legislative Yuan. All other bills require just two readings to finish the legal procedure in the Legislative Yuan.
Should any member disagree with the resolution reached upon parts or all of the contents of a statutory or budgetary bill, the member may, pursuant to law, propose a re-consideration motion after the voting on the bill but before the adjournment of the next Yuan Sitting. After the motion is voted upon, the member shall not propose any more re-consideration motion on the same issue.
At the time when legislators' term comes to an end, all the bills, except budgetary (final account) and petition bills that have not been resolved upon, shall not continue to be examined in the next Legislative Yuan.
The Legislative Yuan shall have statutory and budgetary bills that have passed the Third Reading sent to the State President for promulgation at the same time the bills are sent to the Executive Yuan. The State President shall promulgate these bills within 10 days after receiving them, or, as stipulated in Article 3 of the Additional Articles of the Constitution, the Executive Yuan may return the bills to the Legislative Yuan for reconsideration in accordance with the procedures.