The Department of the Interior and Local Government (DILG) launched on September 6 its newest Valenzuela City-inspired program, dubbed as “LGU P4” or “Public-Private Partnership for the People Initiative for Local Governments,” aimed at jump-starting stronger partnerships between the LGUs and the private sectors for the implementation of infrastructure and basic services.

The PPP is the second governance practice employed by the City Government of Valenzuela that is adapted by the DILG as a national policy. The first one is the 3S Plus in Public Service Program, which also became one of the bases for the creation of Joint Memorandum Circular signed by DILG and Departments of Trade and Industry (DTI) and Information and Communication Technology (DICT).

DILG Secretary Ismael ‘Mike’ Sueno said the LGU P4 will serve as the vehicle for private sector participation in the provision of infrastructure and social services that will be carried out by the local sectors.

The public-private partnership can be forged through the following schemes, among others: Build-and-Transfer (BT); Build-Lease-and-Transfer (BLT); Build-Operate-and-Transfer (BOT); Contract-Add-and-Operate (CAO); Develop Operate-and-Transfer (DOT); Rehabilitate-Operate-and-Transfer (ROT); Concession; Joint Venture (JV); Lease or Affermage; Management Contract using or without LGU funds; Service Contract using or without LGU funds; Divestment or Disposition; Corporatization; Incorporation of a Subsidiary with private sector equity; Gratuitous Donations.

During the forum organized by the DILG-Local Government Authority (LGA) at B-Hotel last august 23 dubbed as Growing Local Economies thru Business Friendly and Competitive LGUs: Scaling-Up Lessons from LGSP-LED, Mayor REX Gatchalian presented before a delegation composed of representatives from the academe, local government and national government agencies the success story of the city in applying the PPP model in implementing urban renewal initiatives for the benefit of the people.

Valenzuela City started engaging in PPP when the City Ordinance No. 140, Series of 2014 or the city’s “Joint Venture Ordinance” was promulgated in July 2014.  Two landmark LGU-initiated PPP projects was rolled out immediately after -- the construction and operation of the Valenzuela Town Center inside the Valenzuela People’s Park and the rehabilitation of the 22-year old Marulas Public Market.

Mayor REX said that the Valenzuela City Government has able to maximize limited resources through utilization of private funds for public services such as the Public Market.  He also emphasized that the city has able to boost the local economy due to the new investment that came in after the implementation of the two PPP projects.

The city mayor witnessed the signing of the Memorandum of Agreement between the DILG, National Economic and Development Authority (NEDA)’s Public-Private Partnership Center, the Philippine Chamber of Commerce and Industry (PCCI) and the Union of Local Authorities of the Philippines (ULAP) held at the Napolcom Center.