Accelerated Infrastructure Delivery Act

Senate Office of the Secretarp TWENTIETH CONGRESS OF THE REPUBLIC OF THE PHILIPPINES 26 MAR -9 P4:14 First Regular Session ) SENATE RECEIVED BY: S. No. 1949 Introduced by Senator JV Ejercito AN ACT STREAMLINING THE IMPLEMENTATION OF GOVERNMENT INFRASTRUCTURE PROJECTS THROUGH ROUND-THE-CLOCK OPERATIONS TO PROMOTE EFFICIENCY AND ITS EFFECTIVE EXECUTION EXPLANATORY NOTE In 2017, the Philippine government incurred approximately P230 million in penalties and commitment fees due to delays and failures to follow construction timelines for key infrastructure projects, illustrating how every delay translates into substantial financial loss. In more recent years, delays have continued to cost the government heavily. According to audit reports and economic reviews, delayed and inefficient project implementation has led to billions of pesos in commitment fees and penalties, including at least P296 million in commitment fees in 2024 alone from delayed projects and a cumulative P2.2 billion from problematic official development assistance (ODA)-funded projects flagged in previous years.1 These delays have broader consequences beyond financial penalties. Audits by the Commission on Audit (COA) found that delayed projects worth hundreds of billions of pesos remain unfinished or suspended, depriving communities of timely access to 1 https://qa.philstar.com/headlines/2025/12/05/2491955/coa-flags-dpwhs-p241-billion-delayed- projects?utm_source=chatgpt.com

essential infrastructure like school buildings, farm-to-market roads, flood mitigation works, and health facilities. When infrastructure projects are not completed on schedule, the intended public benefits - improved transportation, safer roads, better health services, and disaster resilience - are postponed or lost altogether. This means Filipino citizens are unable to fully use or benefit from facilities that were meant to improve their daily lives, undermining public trust and slowing local economic activity.3 Delayed implementation also affects national development. Slow project delivery reduces the effectiveness of government spending, weakens investor and consumer confidence, and can dampen overall economic growth as funds are tied up rather than driving productive activity. For example, a recent economic report linked significant setbacks in infrastructure and governance confidence to a sharp slowdown in GDP growth, illustrating how stalled projects can ripple across the economy. 4 The Accelerated Infrastructure Delivery Act aims to address these systemic inefficiencies by institutionalizing continuous, round-the-clock operations for priority infrastructure projects. By ensuring stronger project planning, monitoring, and execution, this measure seeks to complete critical infrastructure on schedule, reduce unnecessary penalties, and ensure that public funds are used for their intended purpose. In doing so, it will help improve infrastructure delivery, enhance economic competitiveness, and allow Filipinos to reap the full benefits of timely development projects. In pursuit of infrastructure development, the immediate passage of this legislation is earnestly sought. • a JV EJERCITO 2 https://www.philstar.com/headlines/2024/12/04/2404997/dpwh-flagged-delayed-projects-worth-p2159- billion?utm_source=chatgpt.com 3 https://www.philstar.com/headlines/2024/12/04/2404997/dpwh-flagged-delayed-projects-worth-p2159- billion?utm_source=chatgpt.com 4 https://www.reuters.com/world/asia-pacific/philippines-q3-gdp-grows-40-yy-slowest-rate-more-than-four- years-2025-11-07/?utm_source=chatgpt.com

Senate Office of the Ser etary TWENTIETH CONGRESS OF THE REPUBLIC OF THE PHILIPPINES ) MAR -9 P4:14 First Regular Session SENATE RECEIVED BY: S. No. 1949 Introduced by Senator IV Ejercito AN ACT STREAMLINING THE IMPLEMENTATION OF GOVERNMENT INFRASTRUCTURE PROJECTS THROUGH ROUND-THE-CLOCK OPERATIONS TO PROMOTE EFFICIENCY AND ITS EFFECTIVE EXECUTION Be it enacted by the Senate and the House of Representatives of the Philippines in Congress assembled:

Section 1. Short Title. - This Act shall be known as the "Accelerated

2 Infrastructure Delivery Act".

Sec. 2. Declaration of Policy. - It is hereby declared the policy of the State to

4 enhance the efficiency of all government infrastructure projects which entails their completion according to schedule. To achieve this, the State mandates a comprehensive approach on round-the-clock operations of such projects to optimize 7 public resources and expedite project timelines.

Sec. 3. Coverage. - This Act shall apply to all government infrastructure projects

funded by the national government, local government units, and government-owned and controlled corporations, particularly those involving hard infrastructure projects like the construction, repair, and maintenance of roads and bridges.

Sec. 4. Round-the-Clock Operations. -

(a) All government infrastructure projects covered by this Act shall implement round-the-clock operations to ensure their efficiency and timeline compliance. (b) The implementing agency shall develop an appropriate shift schedule among the workers, taking into consideration the nature and scope of the

project and relevant labor laws and regulations, to maximize workforce and equipment utilization. (c) The minimum number of shifts in a single day for projects that will implement round-the-clock operations shall be no less than three (3). (d) Adequate provisions shall be made for the welfare, safety, and fair compensation of all workers engaged in round-the-clock operations.

Sec. 5. Budgetary Allocation. - Funding for the implementation of this Act shall

8 be sourced from the annual budget of the concerned government agencies. 9 Appropriations shall include provisions to cover additional expenses related to round- 10 the-clock operations, such as overtime pay, safety measures, and logistical 11 requirements.

Sec. 6. Incentives. - To motivate compliance and ensure the efficiency of round-

the-clock operations, contractors and workers engaged in government infrastructure projects under this Act may be eligible for incentives based on the criteria and guidelines established by the appropriate implementing agency.

Sec. 7. Workforce Management - The implementing agency:

(a) Shall coordinate with the relevant labor agencies to ensure the availability of skilled workers for round-the-clock operations. (b) May initiate training programs to enhance the skills of workers and improve their adaptability to shift work.

Sec. 8. Health and Safety Standards. - The implementing agency shall establish

and enforce health and safety standards for round-the-clock operations to protect the well-being of workers and mitigate potential occupational and safety hazards.

Sec. 9. Penalties for Non-Compliance. -

(a) Failure to adhere to the provisions of this Act shall result in penalties for the implementing agency, such as but not limited to possible budgetary reductions for future projects. (b) Contractors found to be negligent in implementing the provisions of this Act will face sanctions, such as but not limited to suspension from bidding for and participating in other government projects.

Sec. 10. Research and Development - A portion of the budget allocated for

infrastructure projects shall be earmarked for research and development initiatives

1 aimed at identifying innovative technologies and practices to further enhance the 2 efficiency of round-the-clock operations.

Sec. 11. Accessibility and Indusivity. -

(a) The implementing agency shall ensure that round-the-clock operations are accessible to all workers, taking into consideration the needs of vulnerable sectors such as women, persons with disabilities, and marginalized communities. (b) Adequate accommodations and support services shall be provided to workers as necessary.

Sec. 12. Public Awareness Campaign. -The implementing agency shall conduct

11 a public awareness campaign to inform the public about the benefits of round-the- 12 clock operations, the anticipated impact on project timelines, and the measures taken 13 to address potential concerns.

Sec. 13. Integration with National Development Plans. - The Implementation of

round-the-clock operations shall be Integrated into existing and future national and local development plans to ensure alignment with overall development goals.

Sec. 14. Periodic Review. - The effectiveness of round-the-clock operations shall

14 be subject to periodic review by the implementing agency, with adjustments made as necessary to improve efficiency and address emerging challenges.

Sec. 15. Separability Clause. - Should any part of this Act be declared 17

unconstitutional or invalid, the other provisions hereof that are not affected thereby shall continue to be in full force and effect.

Sec. 16. Effectivity. -This Act shall take effect fifteen (15) days after its

publication in the Official Gazette or In a newspaper of general circulation. Approved,