In a move to maximize the value of city-owned assets, the Baguio City Council has officially approved on second reading a landmark ordinance establishing comprehensive policy guidelines for joint ventures and lease agreements that aim to create a comprehensive and structured framework for the city to partner with the private sector for purely commercial arrangements.
Known as the “Baguio JV and Lease Ordinance” and principally authored by Councilor Paolo Raynor E. Salvosa, the legislation seeks to monetize city properties to generate additional revenue for local programs and services. The ordinance specifically targets projects that do not provide public infrastructure or development services, which are already covered by the national PPP Code.
The ordinance focuses on commercial ventures for revenue generation such as: Commercial retail and office spaces, paid parking facilities, Entertainment and recreational centers, and Industrial or warehouse spaces and real estate development.
The ordinance mandates that all transactions be conducted in an “open, fair, transparent, and competitive manner” to protect the public interest. To facilitate this, a Selection Committee (SC) will be created for every proposed project, chaired by the City Administrator or a designated high-ranking official.
The primary and preferred method for choosing private partners will be Competitive Selection, ensuring the city receives the best possible terms. The ordinance also outlines specific “Baguio-Specific Standards,” requiring all developments to comply with the city’s environmental carrying capacity, heritage conservation rules, and building height limits.
Following the successful motion for approval on second reading during the city council session, the committee report recommended that the proposed ordinance proceed to publication by posting. This step ensures that the public is informed of the new guidelines before they are finalized into law.
By enacting these guidelines, the city government aims to encourage qualified private entities with expertise in property management and project development to invest in Baguio, turning underutilized assets into viable alternatives for achieving the city’s development goals. **Sean Kimrhed P. Lardizabal (UC BA Comm Student/SP
