With the creation of four new special municipalities on December 25, 2010, the administrative divisions in Taiwan underwent a major reorganization and now comprise five special municipalities, fourteen counties and three provincial cities. The areas controlled, present conditions, and past history of the four newly created special municipalities (New Taipei City, Taichung City, Tainan City and Kaohsiung City) differ significantly from those of Taipei City. Yet, the institutional and operational designs of the four new special municipalities are modeled on the capital. In this paper, we consider the development of the five special municipalities from the perspectives of ”polycentricity” and ”democracy deficit.” By examining the administrative organization of the five special municipalities, we offer critical reflections on the future development of the special municipalities in Taiwan.