System introduced in 2003

The “Designated Manager System” is a new system created by the Act for Partial Revision of the Local Autonomy Act enacted on September 2, 2003, which revised the “Management Consignment System” for the management of public facilities. Since there are no legal restrictions on the scope of designated managers, private companies and NPOs can manage public facilities in addition to conventional public organizations, and it is expected to improve services and efficiency of facility management.

Because the procedure for selecting a designated manager is left entirely to the ordinance, it is not necessarily necessary to select a designated manager by public solicitation or other methods if it can be explained to the council and residents, and it is possible to stipulate in the ordinance that the PFI business can be selected as the designated manager. It is also possible to stipulate in the ordinance that a PFI provider can be selected as the designated manager.

  • [About PFI and the Designated Manager System: Ministry of Internal Affairs and Communications Notice (Municipal PFI Promotion Center) : Office for Promotion of Private Finance Initiative (PPP/PFI Promotion Office) - Cabinet Office https://www8.cao.go.jp/pfi/pfi_jouhou/tebiki/jitsumu/link/link_ jitsumu01_09.html]

relevance

  • PFI: System introduced in 1999
    • The PFI system is a method of public works projects based on the PFI Law (Law Concerning the Promotion of Private Finance Initiative) that utilizes private-sector funds, management capabilities, and technical expertise to design, construct, renovate, renew, maintain, and operate public facilities and equipment.

      • PDF Ministry of Land, Infrastructure, Transport and Tourism

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