DDEC issues filings to strengthen permitting, speed up approvals

Economic Development and Commerce Secretary Sebastián Negrón Reichard (Facebook via Jenniffer González Colón)

By THE STAR STAFF

The Puerto Rico Department of Economic Development and Commerce (DDEC by its acronym in Spanish), its Permits Management Office (OGPe), and Planning Board (JP) have announced a series of formal filings with the Financial Oversight and Management Board and the Office of Management and Budget (OMB) aimed at securing resources to strengthen the island’s permitting system and accelerate approval of projects critical to economic growth.

The measures are part of a comprehensive strategy combining legal, administrative and technological actions to modernize the permitting process, reduce evaluation times, and ensure greater transparency and efficiency.

As required by Law 161-2009, DDEC will move forward with hiring specialized professionals to support technical evaluations and recommendations within OGPe. The initiative will be funded with $780,000 requested from the OMB under previously allocated resources for “Economic Growth and Ease of Doing Business Initiatives.” The funds will help clear backlogs and ensure compliance with deadlines established under recent reforms.

In addition, DDEC and the JP have begun implementing the Qualified Professional mechanism created by Law 131-2024. The agencies jointly requested technical and consulting support from the oversight board to establish a registry of accredited engineers, planners, architects and specialists authorized to issue technical recommendations within the permitting system. Their integration into the Single Business Portal is expected to reduce bottlenecks and accelerate both public and private projects without compromising regulatory compliance.

“These actions represent a decisive step toward a permitting system that facilitates, rather than hinders, economic development,” DDEC Secretary Sebastián Negrón Reichard said. “We are proposing a structural reform that combines legislation, technology, and technical expertise to give investors confidence that Puerto Rico is an agile, reliable, and competitive place to do business.”

Planning Board President Héctor A. Morales Martínez emphasized that the Qualified Professional model “introduces a necessary evolution in Puerto Rico’s permitting system, incorporating independent experts to bring agility without sacrificing technical rigor or public oversight.”

Complementing those efforts, OGPe issued Administrative Order OA-2025-003 to update designations of officials authorized to certify resolutions and plans at regional offices in Arecibo, Aguadilla, Ponce, Humacao and San Juan. The order aims to standardize criteria and strengthen internal controls. Between July 31 and Oct. 29, OGPe processed about 600 plans -- an average of 46 per week. With seven additional staff assigned to the task, weekly output is expected to rise to 80-120 plans, boosting productivity by up to 160%.

OGPe also formalized interagency agreements with key entities, including the Puerto Rico Aqueduct and Sewer Authority, Highways and Transportation Authority, Department of Natural and Environmental Resources, Institute of Puerto Rican Culture, Telecommunications Bureau, Electric Power Authority, Department of Health and State Historic Preservation Office. The agreements grant agency representatives formal authority to issue technical recommendations, further reducing response times and improving coordination.

“These complementary actions -- strategic personnel reassignment, interagency agreements, and the Qualified Professional model -- are all designed to improve agility and service for citizens,” OGPe Assistant Secretary Norberto Almodóvar Vélez said.

Negrón Reichard added that “[e]very measure, from resource allocation to interagency coordination, is part of the same transformation agenda.”

“We want a permitting system that keeps pace with Puerto Rico’s economic development and fosters investment without compromising integrity,” he said.