Title
Reorganization of BOT Center to PPP Center
Law
Executive Order No. 8
Decision Date
Sep 9, 2010
Benigno S. Aquino III's Executive Order No. 8 reorganizes the Build-Operate-Transfer Center into the Public-Private Partnership Center, transferring its oversight from the Department of Trade and Industry to the National Economic and Development Authority to enhance infrastructure development through private sector collaboration.

Law Summary

Medium-Term Development Plan (MTPDP) Alignment

  • Government aims to mobilize private sector for accelerating infrastructure financing, construction, rehabilitation, and operation.
  • Focus on obtaining infrastructure through competitive markets with minimal fiscal burden and contingent liabilities.
  • Ensure services are adequate, safe, efficient, reliable, affordable.
  • Promote fair and transparent competition giving private proponents reasonable returns and risk-sharing.

Commitment to Governance Principles

  • Philippine government commits to good governance, transparency, competitiveness, impartiality, and accountability in government transactions including infrastructure projects.

Purpose and Need for Reorganization

  • Need to fast-track Public-Private Partnership (PPP) implementation as a key national development strategy.
  • Revised BOT Law IRR mandates BOT Center to coordinate, monitor, guide agencies/LGUs in BOT projects, and report progress.
  • Prior attachment of BOT Center: Office of the President then Department of Trade and Industry (DTI).
  • Necessity to consolidate coordination and monitoring functions under National Economic and Development Authority (NEDA) for central planning efficiency.
  • Economic Managers agreed to rename BOT Center as PPP Center and attach to NEDA, transferring resources accordingly.

Presidential Authority

  • Executive Order pursuant to Administrative Code of 1987 granting the President control over executive departments and offices.

Renaming and Transfer of BOT Center (Section 1)

  • BOT Center renamed as Public-Private Partnership (PPP) Center.
  • Attachment transferred from DTI to NEDA.

Powers and Functions of PPP Center (Section 2)

  • Covers all PPP programs/projects, BOT Law variants, joint-venture agreements.
  • Project facilitation and assistance to national agencies/government corporations/LGUs.
  • Provides advisory services, technical assistance, training, capacity-building for project preparation and development.
  • Recommends PPP policies, plans, implementation guidelines with consultations.
  • Manages revolving fund "Project Development and Monitoring Facility" to finance business case, feasibility studies, tender documents preparation.
  • Monitors and facilitates priority PPP projects in coordination with NEDA Secretariat.
  • Maintains central database of PPP programs/projects.
  • Recommends improvements in processing timelines, monitors agency/LGU compliance.
  • Prepares annual reports on PPP implementation for submission to the President.
  • Executes other functions critical to PPP program implementation.

Promotion and Marketing Responsibilities (Section 3)

  • Promotion and marketing of PPP projects assigned to DTI.

Leadership and Appointment (Section 4)

  • PPP Center headed by an Executive Director with rank equivalent to Assistant Director General or Assistant Secretary.
  • Appointment made by the President upon Secretary of Socioeconomic Planning's recommendation.

Organizational Structure (Section 5)

  • Secretary of Socioeconomic Planning to revise and approve Organizational and Staffing Pattern after consulting Department of Budget and Management.

Project Development and Monitoring Facility (Section 6)

  • Creation of a working fund of Php300 million for business case, pre-feasibility, feasibility studies for selected PPP programs/projects.

Processing Time for PPP Proposals (Section 7)

  • All qualified solicited PPP proposals to be processed within six (6) months subject to existing laws and rules.

Budget and Funding (Section 8)

  • Department of Budget and Management (DBM) to release funds for PPP Center operations, including Php300 million working fund.
  • Transfer of BOT Center appropriations and Project Development Facility funds to PPP Center’s Project Development and Monitoring Facility.
  • PPP Center may receive contributions, grants, and funds from various government and private sources subject to law.

Transitory Provisions (Section 9)

  • Current BOT Center Executive Director serves temporarily until a new appointment is made.
  • Existing BOT Center personnel to be transferred and retained until revised organization is implemented.
  • Project Development Facility renamed to Project Development and Monitoring Facility.
  • Transfer of all BOT Center funds, records, equipment, contracts, and related rights to PPP Center through NEDA within 30 days.
  • Future appropriations included in NEDA’s annual budget.

Repealing Clause (Section 10)

  • All inconsistent executive/administrative issuances and orders are repealed or modified accordingly.

Separability Clause (Section 11)

  • Invalidity of any provision does not affect validity of remaining provisions.

Effectivity Clause (Section 12)

  • Order takes effect immediately upon publication.

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