Issues of military-civilian relations in Taiwan have attracted the attention of scholars during Taiwan's democratization process. Existing literature have borrowed heavily from Western theories and were primarily focused on research at a national or institutional level. This paper proposes to take a bottom-up approach, to look at the relations through a case at the local level, Penghu County, and it will adopt a historical and structural approach, relying on fieldwork, in-depth interviews, past documents and official statistics. We will begin from the early stage of military presence on Penghu islands, and proceed to analyze the transition of military roles in Penghu since 1945. The primary findings include: why and how the military's domination of local politics in Penghu has collapsed since 1986, and how it has gradually taken up the role of aiding local development, a new role that has emerged since.