Permitting reform seeks to ease project, business approval in PR.
- The San Juan Daily Star
- 8 hours ago
- 3 min read
By THE STAR STAFF
As part of the implementation of a new Planning and Permits Code, Verónica Ferraiuoli Hornedo, the coordinator of government efficiency at La Fortaleza, outlined the importance of the legislation in an interview during Thursday’s “En Récord” program, highlighting its goal of dismantling unnecessary bureaucracy and laying the groundwork to facilitate investment and local development.
Ferraiuoli said the measure stems from a firm commitment included in the government’s policy agenda to transform and simplify Puerto Rico’s permitting system, a step she described as fundamental to economic development.
“This legislation comes from a promise made in the Government Program to modernize and simplify the permits process on the island,” Ferraiuoli said. “The bill we presented alongside the governor and the Secretary of the Department of Economic Development and Commerce, Sebastián Negrón Reichard, is a direct result of the findings of the Final Report of the Permits Task Force, published on December 10, 2025.”
The report diagnosed a permitting system weighed down by an overly complex and inconsistent legal framework. Ferraiuoli said the existing structure consists of thousands of pages spread across nearly 100 legal instruments, including 45 separate laws governing different aspects of planning and permitting.
“The system was essentially paralyzed by a fragmented and incoherent legal model,” she said. “The new approach proposes the creation of a unified Planning and Permits Code for Puerto Rico that guarantees a consistent and uniform reform while eliminating duplicative standards.”
The administration of Gov. Jenniffer González Colón, on inauguration day in 2025, took its first step toward reform by establishing the Task Force for Permit Simplification through Executive Order OE‑2025‑02. The group was charged with evaluating the permitting framework and proposing structural changes to improve efficiency and transparency.
The new legislation reorganizes the system by consolidating the permitting authority into a single entity, establishing a unified regulation and promoting the use of technological tools to accelerate processing. Government estimates indicate that the proposed reforms could reduce permit evaluation times by up to 80%.
Among the innovations introduced is an Automatic Single Permit for small and midsize businesses, as well as accelerated processing categories for priority projects. Ferraiuoli emphasized that the efficiencies will not come at the expense of environmental safeguards.
“Environmental standards remain rigorous,” she said, stressing that the reform balances economic development with responsible planning.
Supporters of the measure say the new Planning and Permits Code represents a historic move by the central government to repeal outdated and ineffective regulations that have long complicated daily operations for citizens and entrepreneurs alike.
Ferraiuoli summarized the intent of the legislation as straightforward: simplifying the lives of the thousands of merchants and residents who confront excessive bureaucratic processes every day.
“This is about making government work better for our people,” she said. “It’s a decisive action to remove obstacles that have hindered growth for far too long.”
Critics of the bill warned that a provision limiting environmental reviews only to cases deemed to have a “significant impact” could open the door to the destruction of natural resources and allow construction in environmentally unsuitable areas.
Opponents also argued that the proposed changes could facilitate the “encroachment into protected zones” or lead to unplanned and disorganized development.
House speaker to lead special commission to address reform
Earlier on Thursday, Speaker of the Puerto Rico House of Representatives Carlos “Johnny” Méndez Núñez announced the filing of Resolution 662 to create a special commission tasked with addressing House Bill 1213 -- a piece of legislation driving the permits system reform.
“When the new majority in the House was sworn in during January 2025, we made it one of our priorities to pass a genuine reform of the permits system during this four-year term,” Méndez Núñez said in a written statement.
“Our people, as well as small and midsize business owners, cannot reach their full developmental potential without a true reform of the permits system,” he added.
Méndez Núñez will chair the new commission, which was set to be officially established during Thursday’s legislative session. The body will consist of nine members, including one member from each delegation represented in the lower chamber.
The House speaker said he intends to fast-track what would be the first major permitting reform in more than 17 years, arguing that excessive bureaucracy under the current system has delayed business activity and construction projects.
Public hearings on the permit reform bill are scheduled to begin in the Senate on Monday.