New directorate of construction procedures – DTC in El Salvador

By: Gustavo Vega

We hereby inform you that the Executive Branch through the Presidency of the Republic has created by law the Directorate of Construction Procedures (hereinafter “DTC”).

The DTC will be the office in charge of centralizing procedures and permits necessary for construction and urbanization projects in the country.

Among its objectives are to promote the economic and social development of the construction sector. The law was enacted last February 27 in the Official Gazette No. 30, Volume No. 438, dated February 13, 2023, which contains Executive Decree No. 6, by which the DTC was created.

The creation of this new office is based on the powers granted by the Law of Administrative Procedures, as well as the Law of Regulatory Improvement, which enable the Executive to create single windows to centralize and facilitate the intervention of different government institutions involved in a process, simplifying the interaction of citizens with public institutions.

In order to summarize the contents of Executive Decree No. 6, we have prepared below a list of the main doubts that may arise from the creation of the DTC, which we hope will be useful for the different actors in the construction and urban development project sectors:

What will the DTC be?

  • It will be an office, both physical and virtual, with general competencies for construction and urban development related procedures. The virtual quality is important, as it will be able to handle applications in this way.
  • The DTC will provide its services through its web page at the following link: https://dtc.gob.sv, although it is not yet available, we understand that it will be ready soon as the formation of the DTC is announced and made official by the Executive.
  • It will provide attention to users through a digital platform and will also have staff to provide assistance to users regarding the use of the platform, as well as advice on procedures.
  • The DTC is a specialized agency with autonomy, which will be attached to the Presidency of the Republic.

What procedures will the DTC handle?

  • Feasibilities
  • Authorizations
  • Pronouncements
  • Permits
  • Reception of Works; and
  • Other procedures related to construction

What projects will the DTC handle?

This office will be focused on construction and urbanization permits, nationwide for uses:

  • Commercial
  • Housing
  • Social facilities

What will the DTC be in charge of?

  • It will be the only office in charge of receiving the submission of applications for construction procedures, managing them and notifying the applicants, centralizing in a single office the submission of applications to make it more efficient and agile, since they involve interaction with different institutions to issue permits.

Which will be the institutions that will resolve the applications submitted to the DTC?

As indicated, the DTC will be composed of permanent technical delegates from:

  • Administración Nacional de Acueductos y Alcantarillados (ANDA).
  • Salvadoran Water Authority (Autoridad Salvadoreña del Agua)
  • National Registration Center (CNR)
  • El Salvador Fire Department (Cuerpo de Bomberos de El Salvador)
  • General Directorate of Energy, Hydrocarbons and Mines (Dirección General de Energía, Hidrocarburos y Minas)
  • Ministry of Culture
  • Ministry of Environment and Natural Resources (MARN)
  • Ministry of Public Works and Transportation (MOPT)
  • Ministry of Health
  • Ministry of Labor and Social Security
  • Ministry of Housing
  • Others may be incorporated.

Said institutions of the DTC shall exercise the powers of the procedure corresponding to them, carrying out inter-institutional coordination, as well as joint inspections, for the purpose of resolving the procedures mentioned above.

Notwithstanding, the procedures in process submitted to the DTC member institutions, prior to the entry into force of this Decree, will be resolved and attended by each institution according to its area of competence and internal procedures.

Who will lead the DTC?

It will be headed by the head of the Ministry of Housing, who will serve as chairman of the Board of Directors (hereinafter “CD”) of the DTC, which consists of seven members.

In addition, it will have technical and management units. The members of the board of directors will be the holders or delegates of:

  • Ministry of Housing (Chair of the CD)
  • Secretariat of Commerce and Investments of the Presidency
  • Salvadoran Water Authority
  • National Registration Center (CNR)
  • Ministry of Culture
  • Ministry of Environment and Natural Resources (MARN)
  • Ministry of Public Works and Transportation (MOPT)

Term of office: 3 years, with the possibility of being appointed for one more term.

How will decisions be made in the DTC?

  • At least 4 of the 7 members must be present and will make decisions by simple majority.
  • In the event of a tie, the Chair of the Council will have the casting vote.

What is expected of the DTC?

According to the law issued, the DTC shall:

  • Improve resolution processes, procedures and construction permits.
  • Standardize timelines and reduce response times for processing.
  • Standardize procedures and forms for permits.
  • Disseminate timely information regarding the requirements and procedures to be facilitated by the DTC.
  • There will be a single virtual (computer) platform with easy access to services.
  • For the time being, we are still awaiting future announcements and corresponding acts to formalize the creation and opening of the DTC by the government authorities.

We will be informing you as soon as the web platform is enabled, and you can know more details about the requirements for all the procedures that can be carried out before the DTC.

The aforementioned decree was published in the Official Gazette on February 13, 2023, as stated in its article 24, its entry into force would be eight days after its publication in the Official Gazette. Consequently, as of the date of its official promulgation, said decree is already in force.

For any additional questions, please contact Mr. Gustavo Vega (gvega@consortiumlegal.com) and/or Dr. Diego Martin (dmartin@consortiumlegal.com).