Minister of the Presidency José Ignacio Paliza submitted a legislative bill to the Dominican Republic Senate on Thursday to establish a new legal framework for public-private partnerships across the nation.
The proposal, delivered alongside Director General of Public-Private Partnerships Andrés Lugo to Senate President Ricardo de los Santos in Santo Domingo, seeks to repeal existing Law 47-20 while streamlining evaluation processes and shortening procedural deadlines for joint state and commercial projects.
Paliza said that he presented the draft law on the order of President Luis Abinader following six years of experience under the current legislation. He explained that updating the regulatory tool is critical to supporting the national goal of doubling the size of the Dominican economy by 2036.
The minister stated that under Law 47-20, the country had not achieved all the joint ventures it had hoped for. He added that the new measure aims to optimize timelines and improve the framework for private sector participation after being discussed with various industry sectors.
The Dominican Republic, located in the Caribbean, enacted Law 47-20 in 2020 to regulate public-private alliances for major infrastructure and public service developments. The General Directorate of Public-Private Partnerships, known as DGAPP, oversees the evaluation, structuring, and execution of these strategic initiatives across the country's provinces.
Senate review and legislative process
Lugo explained that the initiative aims to modernize the current legal framework by reducing operational timelines for both private companies and public institutions involved in project proposals. He said that there is always room to strengthen legislative initiatives as he formally submitted the document for congressional review.
Upon receiving the bill, Senate President Ricardo de los Santos confirmed that the legislative piece will receive formal processing similar to all other proposals submitted to the National Congress of the Dominican Republic. He noted that human endeavors can always be perfected and improved, emphasizing that six years of application demonstrated the need for significant updates.
De los Santos stated that the bill will be formally introduced during the next Senate session and subsequently referred to a legislative committee for detailed study. He expressed hope that Congress will deliver the finalized legislation to the country within a relatively short period, pointing out that public-private partnerships and private investment are essential drivers of national economic development.
When asked whether the new law could pass during the current legislative session, De los Santos refrained from providing a definitive commitment but assured that lawmakers would examine the proposal without haste, but without pause. He added that the nation would have its updated law in record time.
Key provisions and decision body
The legislative proposal seeks to reform Law 47-20 to create a modernized legal framework that enhances the state's capacity to execute highway and road construction developments. It also aims to attract private investment, improve the delivery of social infrastructure and public services, properly balance risks between the public and private sectors, and protect the state's fiscal sustainability.
Among its central innovations, the bill establishes a Council of Public-Private Partnerships to serve as the highest decision-making authority for joint projects. Under the proposed structure, the council will hold key powers, including declaring public interest in projects, approving tender documents and bidding specifications, awarding contracts, and authorizing the transfer of public resources.
The proposed model allows public-private initiatives to be initiated by either government agencies or private entities. Following its deposit in the Senate, the measure begins its formal legislative journey through the National Congress, requiring approval from both the Senate and the Chamber of Deputies before it can be sent to the executive branch for presidential promulgation.
Economic goals and Samana port project
Paliza reiterated that the Dominican government has established a national objective to double the size of its economy by 2036. He stressed that achieving this benchmark requires active synergy between the public and private sectors, making the legal update necessary to overcome past limitations in forming desired partnerships.
Highlighting ongoing commercial projects, Paliza announced that a major public-private partnership is currently being finalized that could transform the economic profile of Samaná province and its surrounding region. The agreement centers on the cruise port at Arroyo Barril, formerly known as Duarte port, which he described as a win-win arrangement.
The minister stated that the Arroyo Barril project is designed to generate a significant impact across Samaná, positioning the province to receive up to one million cruise passengers annually. Samaná, a northeastern coastal region known for maritime tourism, stands to gain expanded economic activity through the upgraded port infrastructure.
