MEMORANDUM CIRCULAR

Section 20 Article 5 of the Constitution provides that the state recognizes the indispensable role of private sector as the main engine for national development. Likewise, Section 1 of RA 7718 or the "Act Authorizing the Financing, Constructions, Operation, and Maintenance of Infrastructure Projects" otherwise known as the Build Operate Transfer (BOT) Law as amended, recognizes the role of private sector as the main engine for national growth and development and provides the most appropriate incentives to mobilize private resources for the purpose of financing infrastructure and development projects implemented by the Government.

In pursuance to the commitment of His Excellency, President Benigno S. Aquino III on good governance, transparency, competitiveness and accountability in alt government transactions which include the implementation of infrastructure programs and projects, the President issued Executive Order No. 8 dated September 9 2010 titled "Reorganization and Renaming the Build Operate and Transfer (BOT) Center to Public-Private Partnership (PPP) Center of the Philippines and Transferring Its attachment from the Department of Trade and industry to the National Economic and Development Authority and for other purposes"

In order to localize the mandated powers and functions of the PPP center, all Local Chief Executives are hereby enjoined to create a Public-Private Partnership (PPP) Sub-Committee in the Local Development Councils to assist the LGUs in setting the economic and social development and coordinate the development efforts as provided for in Section 106 of the Local Government Code of 1991. Specifically, the PPP Sub-Committee shad, among others, assist the LDC in the formulation of action plans and strategies related to the implementation of PPP programs and projects per EO No, 8 s. 2010.

The PPP Sub Committee shall be headed by the Local Economic and Investment Promotion Officer in the case of Provinces and Cities designated pursuant to DILG MG No. 2010-113. In the case of the Municipality, the Local Chief Executive shall designate a staff under the Office of the Mayor to head the PPP Sub- Committee in the municipal level. The PPP Sub-Committee shall be composed of, but not limited to the following representatives of the Offices in the LGU and NGOs/ Civil Society Organizations operating in the LGU:

1. Local Tourism Office

2. Public Employment Service Office (PESO)

3. Local Planning and Development Office

4. Local Engineering Office

5. Representative of the Local Chamber of Commerce

6. Representative of local trade union/organizations or cooperatives

7. Representative of private organizations, foundations, business clubs

8. Representatives of National Agencies such as DTI, DPWH, DOF

The Local Chief Executive may include representatives of other offices in the LGU and NGAs as well as other sectors, NGOs and civil society organizations as members of the PPP-Sub Committee, as may be necessary.

All DILG Regional Directors are hereby directed to assist LGUs in the establishment of the PPP Sub-Committee and to cause the widest dissemination of this Memorandum Circular in their respective jurisdictions,

For the guidance of all concerned.