There is a significant increase in the demand of social care service for the aging population in modern society. As a result, it has become a major focus for the government to create or revise policies with respect to both of the quantity and quality of the institutional are. After passing the first amendment of the Senior Citizens Welfare Ac in Taiwan, it allows long-term care institutions to be operated as for-profit entities. However, the same regulation was not applied to nursing homes whose operations are in the jurisdiction of the Department of Health the Executive Yuan. This article analyzes mainly the intra-governmental and government-private (nonprofit and for-profit) relationships in the area of long-term care service providers for the elderly, which is based on the analytical framework of structural transformation of the public sp ere proposed by Antonin Wagner (2000). The focus of this paper, as a consequence, is to explain how and why the long-term care system in Taiwan has been changed since the late 1990s by examining both aspects of time and transformation. The secondary data analysis was used to investigate the profile of the senior citizens welfare institutions and nursing home in Taiwan in terms of their characteristics and the transformation in their number since 1997. The method of ”in-depth interview” was then adopted to assemble key information from managers of the institutions, as well as public officers.