By The Star Staff
New executive and administrative orders aimed at simplifying and streamlining the permitting system were the main focus of a status report delivered by Gov. Jenniffer González Colón earlier this week at an event organized by the Puerto Rico Builders Association (ACPR by its initials in Spanish).
One example of the executive orders (OE) mentioned is OE-2025-003, which outlines an expedited procedure for submitting and processing permit applications for federally funded projects, emergency projects, and critical or strategic projects. Under this order, the concerned agencies must provide their feedback on a project within 20 days. If no response is received within that time frame, it will be assumed that the agencies have no recommendations, and the OGPe official must process the permit application and grant it without delay.
The measures announced by the governor were enthusiastically received by members of the construction industry in a packed hall on Wednesday. ACPR President Agustín Rojo Montilla expressed strong support for the governor’s vision.
“Although historically, the construction sector is not at its best, we are seeing that the administration has the right focus and vision for the steps that need to be taken to correct this,” he said. “We are very excited that the governor’s vision -- from her commitment during the election campaign to the information she shared today and the work being done -- is aligned.”
For both the governor and the construction sector, simplifying the permitting process and eliminating vague regulations is crucial.
“We need agility and timely responses,” González Colón emphasized.
In recent years, the construction sector has generated nearly 8% of Puerto Rico’s gross domestic product (GDP) and is estimated to have created some 50,000 direct jobs. However, despite these positive figures, one of the biggest challenges currently facing the sector is the shortage of affordable housing, as noted by Rojo Montilla.
Additionally, fewer than 600 homes were built across all price ranges in Puerto Rico by 2024. In 2015, a Land Use Plan (LUP) was approved, designating 86% of the island’s land in categories that hinder development. The LUP is expected to be revised this year.
“The ACPR is ready to collaborate with the administration to find a fair balance between conservation, redevelopment, and development,” Rojo Montilla said.
Restrictive policies such as the town housing tax and a complicated permitting process have led to 55% of the island’s housing being informal or illegal, he noted. That not only makes those homes more vulnerable to natural disasters, but also reduces tax revenue since they do not contribute to the Municipal Revenue Collections Center.
“These homes are built in flood-prone areas that are sensitive to natural disasters, and their roofs often suffer damage when hurricanes inevitably strike,” Rojo Montilla said. “The solution lies in promoting formal construction that adheres to codes by making the permitting process easier.”
The three executive orders the governor has signed so far to simplify, streamline, and consolidate permitting processes in Puerto Rico to accelerate construction and economic development are as follows:
Executive Order 2025-002: Permit Simplification Task Force.
Executive Order 2025-003: Expedited Process for the Processing and Evaluation of Permits for Federally Funded Projects, Emergency Projects, and Critical or Strategic Projects.
Executive Order 2025-004: Exempts permit and endorsement requirements for landslide projects financed with state funds.