The Future of LGU Public-Private Partnerships for the People (P4) and Reclamation
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1 The Future of LGU Public-Private Partnerships for the People (P4) and Reclamation Alberto C. Agra Chairman, Philippine Reclamation Authority Certified PPP and Regulation Specialist TM Adviser to DILG on PPP PPP Law and Local Government Law Professor, and Political Law Bar Reviewer, Ateneo Law School Principal Author, Amicus Imperiorum Locorum (Friend of LGUs) President, Forensic Solutions Columnist, PPP Lead, BusinessMirror PhD Candidate, Leadership Studies major in Public Management, Ateneo School of Government Former Acting Secretary of Justice, Acting Solicitor General and Government Corporate Counsel
2 My Own Waste-to-Energy/ Renewable Energy 2. Water Supply 3. Septage/ Sewerage 4. Reclamation 5. Rehabilitation Centers 6. Monorail 7. Bridges 8. Mixed-Use Land Dev t 9. Markets and Terminals 10. Smart LGUs
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4 31 LGU JV Projects 1. Cavite Province Housing 2. Camarines Sur Water 3. Camarines Sur Wind Power 4. Iloilo City Ferry Terminal 5. Pasay City Reclamation 6. Paranaque City Reclamation 7. General Tinio Reservoir 8. Calamba Regional Government Center 9. San Juan City Columbarium 10. Nueva Ecija Business Hub 11. Valenzuela City Center 12. Valenzuela City Market 13. Bataan Transport Mall 14. Bataan Capitol Redevelopment 15. Cordova Reclamation 16. Tiwi Water Supply Improvement 17. Davao Port Development 18. Malabon Socialized Housing 19. Manila Dialysis Center 20. Manila Harrison Plaza 21. Manila Quinta Market 22. Manila Sta. Ana Market 23. Manila San Andres Market 24. Manila Trabajo Market 25. Manila Sampaloc Market 26. Manila New Antipolo Market 27. Manila Reclamation 28. Quezon Bulk Water, Hydro Power and Wind Power 29. Cebu-Cordova Bridge 30. San Luis Mini-Hydro 31. Puerto Princesa Waste-to-Energy
5 9 LGU Non-JV PPP Projects 1. Mandaluyong City Marketplace (BT/ BOT) 2. Cebu Property Ventures Development (Corporatization) 3. Northern Samar Provincial Hospital Pharmacy (Lease, O&M) 4. Legazpi City Bus Terminal (Lease, BOT) 5. Tarlac City Slaughterhouse (ROT) 6. Tarlac City Common Terminal (DOT) 7. Tarlac City Business Licensing Division Building (BOT) 8. Passi City CityMall (Lease) 9. Batangas Terminal (Lease)
6 Implementation/ Funding Schemes Public-Private Partnerships Loans/ Grants/ ODA/ MDFO National/ Local Government Funds LGU Any 2 or all of the above or none of the above
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8 Need for a Framework Authority based on the Constitution and Law, and confirmed by OP, OES, DOJ and DILG Vision/ Development Plan Strategy/ Policy PPP or JV Framework/ Ordinance/ Code PPP Enabling Structures PPP Projects/ Contracts stability, consistency, transparency, integrity, accountability, reliability and enforceability
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13 24+ PPP Modalities 1. Build-Transfer 2. Build-Lease-Transfer 3. Build-Operate-Transfer 4. Build-Own-Operate 5. Build-Transfer-Operate 6. Contract-Add-Operate 7. Develop-Operate-Transfer 8. Rehabilitate-Operate-Transfer 9. Rehabilitate-Own-Operate 10. Rehabilitate-Lease-Transfer* 11. Rehabilitate-Transfer* 12. Rehabilitate-Transfer-Operate* 13. Concession Arrangement 14. Joint Venture 15. Lease or Affermage 16. Management Contract 17. Management Contract (No Public Funds) 18. Service Contract 19. Service Contract (No Public Funds) 20. Divestment or Disposition 21. Corporatization 22. Subsidiary with Private Equity 23. Onerous Donation 24. Gratuitous Donation 25. Others
14 Governing Laws/ Rules PPP Modality BOT Law Variants (9+) Concession Joint Ventures Management and Service Contract* RT, RLT and RTO Lease/ Affermage/ Donations Governing Law BOT Law Special Laws/ Local Ordinance NEDA JV Guidelines/ Local Ordinance GPRA/ Local Ordinance Local Ordinance Civil Code/ Local Ordinance Divestment/ Disposition Commission on Audit Circular No Corporatization Corporation Code
15 LGU Contributions Money and Capital Regular and Special Funds, IRA, RPT, SEF, Share in National Wealth, Calamity Fund, Development Fund, Loan Proceeds, Grants, Bonds, Securities, Subsidy, Equity, Cost-Sharing, Viability Gap Funding, Cost Avoidance or Savings (actual/ current or future/ monetized) Non-Cash (Anything of Value) Services, Personnel, Intellectual Property, Usufruct, Land (own or expropriated), Minimum Revenue Guarantee, Right-of-Way, Goodwill, Franchise, Concession, Credit Enhancement, Tax Incentives/ Holidays, Police Power
16 LGU Structures Local Chief Executive Vice- LCE/Sanggunian PPP-Selection Committee (7) PPP-Regulatory Authority (9)
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18 PACT Procedures Competitive Selection/ Open Bidding Competitive Challenge/ Unsolicited Proposal Competitive Negotiations
19 (1) Competitive Selection Prepare Tender Documents Evaluation of 2 Proposals Award and Approval of Contract Invitation to Apply for Eligibility and Submit Proposals Submission/ Receipt of Proposals Execution of PPP Agreement Qualification of PSPs Pre-Selection Conference Submission of Conditions Precedent
20 (2) Competitive Challenge Submission of UP with Project Study and Draft Contract Initial Evaluation (Eligibility, Project Acceptability and Completeness) Letter of Acceptance (or Rejection) Conferment of Original Proponent (OP) Status Stage 1 Stage 2 Negotiations (Technical and Financial Terms) Certification of Successful Negotiations (or Failed Negotiations) Public Consultations on Draft Contract Tender Documents Invite Challengers Post Security Proposals Evaluated Right to Match Council Authorization Sign Contract Reimbursement of Project Study Cost if OP not get Award Stage 3 Unsolicited Proposal Detailed Negotiations Challenge/ Right to Match
21 DILG Policy Shift: P3 to P4
22 DILG MC o BLGD as DILG P4 Unit o Template PPP Ordinance (patterned after Agra s) o P4 Database o P4 Training o 10 P4 Core Values o Promote P4 at Barangay Level o P4 Awards o Leagues and CSO support
23 Trends at LGU Level o Joint Venture or Lease o Not follow BOT Law o No national gov t approvals for award regardless of amount o No national gov t contribution o Non-cash contributions o Unsolicited Proposals o Unincorporated o Bundling of Projects o Inter-LGU PPPs
24 Reclamation Proponents Mandate of Provinces and Cities Authority of PRA and other GOCCs Interest of Private Sector
25 Partnership Models PRA LGUs Other GOCCs PSP Owner/ Procurer Contractor Proponent Partner, Lessee Regulator/ Share Proponent --- Partner, Share as Landowner Co-Proponent/ Regulator/ Share Proponent --- Partner, Share as Landowner Regulator/ Share --- Proponent Partner, Share as Landowner Co-Proponent/ Regulator/ Share Co-Proponent/ Regulator/ Share --- Proponent Partner, Share as Landowner (Co)-Proponent (Co)-Proponent Partner, Share as Landowner
26 City Reclamation Projects for PRA Consideration (28/144) Davao Navotas Bacolod Alaminos Pasay Las Pinas Paranaque Manila Coron Lapu-Lapu Mandaue Baybay Panabo Marawi Maasin Catbalogan Ozamiz Bacoor Tarlac Cavite Santa Rosa Los Banos Legaspi Sorsogon Cadiz Iloilo Toledo Iligan
27 (0917) THANK YOU.
PPPs LGUs GOCCs Alberto C. Agra
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