NEW Interior and Local Government Secretary Benjamin “Benhur” Abalos Jr. has urged local officials, especially the mayors, to consider “partnering” with the private sector to generate more funds for local projects.

Speaking at the orientation for newly-elected officials (NEOs) in Clark, Pampanga Thursday, Abalos told the local officials to be more creative and innovative in looking for funds for their respective projects.

“There is always strategic planning. If you want to make a difference, maraming paraan,” he stressed.

A former mayor of Mandaluyong City, Abalos Jr., cited the Build-Operate-Transfer (BOT) initiative under the Private-Public-Partnership (PPP) program, which the LGUs (local government units) can bank on to generate resources.

BOT is a project delivery mechanism in which government entities enter into a partnership with the private sector to implement projects.

Under the BOT, Abalos Jr. said he spearheaded the Mandaluyong Marketplace, which happens to be the first PPP project in the country involving the development, financing, and construction of a public market, slaughterhouse, recreation, parking lots, and commercial complex.

Aside from utilizing the BOT, he also floated the idea of leasing “air rights” – a best practice he likewise executed as a local chief executive of Mandaluyong City, which has aided in augmenting the city’s local coffers.

In the said innovation, the Mandaluyong City LGU allowed SM Megamall to construct a “connector building” between the mall’s two structures, provided that they pay the “air rights” since the space between them is owned by Mandaluyong.

“As local chief executives of their respective LGUs, governors, and mayors should always think outside the box and explore ways and means on how to get things done with the help of the private sector and other stakeholders for the benefit of their constituents. We did this in Mandaluyong, and I hope this can also be done in other LGUs as well,” said the former Mandaluyong chief exec.

Under the National Building Code of the Philippines, air rights is the right to develop physically and subsequently benefit or profit from the continued use of the air space above the road right-of-way (RROW).

According to the DILG (Department of the Interior and Local Government) chief, local officials may also study the broad taxing powers given to LGUs by the Local Government Code of 1991 to increase their resource base.

He, however, cautioned them to always see to it that all the papers and documents where they affix their signature should always be in accordance with the law.

“Just make sure na lahat ng pipirmahan niyo at gagawin niyo ay always in accordance with the law,” Abalos stressed.