Although the housing demand increased in downtown, the housing site for housing building were insufficiency. Because of this situation, the necessity of the Urban and Residential Environment Projects is increasing. The Urban and Residential Environment Projects consist of three-stage(Planning stage, Implementation stage, Completion & Finishing stage). For successful projects, cooperation activity among Government, local government, promoter, house owner, construction enterprise is needed. However, the cooperation among stakeholder was not seen in the Urban and Residential Environment Projects. The obstacle in project process appeared. Typically, the obstacle are non-professionalism of project participants, undemocratic project operation, conflict among stakeholder, frequent revise the law, delayed project, increasing of project cost and social cost. To solve the problem, Government revised ‘the Urban and Residential Environment Maintenance Law’ April, 2010. Seoul enforced this law for the first time July, 2010. This is a study for apprehending background, purpose, outline, main contents of the Public Management System and trying to find a way to launch a successful improvement project with an analysis figuring out the negative factors. From the analysis, we have found that the opinion about the Public Management System was negative, that the Public Management System infringed on the right of autonomy for the union member, and that a fund aid was lack, and that a intervention of government caused project delay. In a field of the projects, the Urban and Residential Environment Projects couldn't seek a solution to the move plan and removal of tenants, conflict between the union member and a committee for emergency countermeasure, cost-sharing for infrastructure, high burn charge of the poor. Measures to financing, a resolution on the construction company, cost-sharing estimating program are especially urgently needed. These negative assessment of the Urban and Residential Environment Projects in the existent circumstances were caused by a half-baked system test, excessive intervention of government. To solve these problem, government must implement the pilot projects. Through plenty of pilot projects, the probable negative results decreased. A finished system can reduce confusion and side effects in a field of the projects