FACILITY-MANAGEMENT
The future of public facilities, on comparable information.
Usage, upkeep, reviewing what a facility is for, and public-private partnership: the questions a decision turns on.
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How to Conduct Market Sounding: A Six-Step Procedure from MLIT's Guidance for Municipalities
A structured breakdown of MLIT's guidance on market sounding for local public entities (published June 2018, updated October 2019). Covers the purpose of sounding between project conception and operator selection, the five things it captures, the six-step implementation flow with cautions at each step, the IP protection question, and the confirmation procedure at result publication.
VFM Simplified Calculation Model: How Municipal Staff Evaluate PPP/PFI Feasibility at the Internal Review Stage
A comprehensive walkthrough of the VFM Simplified Calculation Model Manual published by MLIT (Ministry of Land, Infrastructure, Transport and Tourism) in April 2017. Covers the definition of VFM (Value For Money), the five-step calculation procedure in the Excel-based model, three changes from the 2008 model, the four outputs, and operational limits. The manual positions itself as an in-house judgment tool for municipal staff before commissioning external consultants.
Public Facility Management DX: The State of FM System Adoption in Japanese Municipalities
An analysis of municipal facility management (FM) system adoption in light of the 2024 revisions to MIC's 'Comprehensive Plan for Public Facilities Management.' Integration of BIM/CIM, GIS, and inspection data, and the connection points with PPP/PFI.
Water PPP After the Osaka Expo — Two 'First-in-Japan' Cases, Wide-Area Consolidation, and the 2027 Deadline Municipalities Now Face
Around the time of the 2025 Osaka-Kansai Expo, Osaka City procured the renewal of its trunk water mains as a PFI (¥52.5 billion; the winning companies announced it as a first in Japan), Osakasayama and Kawachinagano jointly tendered a wide-area Level 3.5 sewerage contract (described by the two cities as Japan's first), and the Osaka Water Supply Authority grew to 19 municipalities. From FY2027, national support for sewage pipe renewal requires a decision to adopt Water PPP. This article sets out the roughly three years the two cities took to reach the tender, and seven decision axes.
PFI Guideline 2025 Revision Explained — Three Pillars on Price Adjustment and Private-Sector Proposals
On June 4, 2025, Japan's Private Finance Initiative Promotion Council adopted partial revisions to the PFI Guidelines. This article unpacks the three pillars — price adjustment response, private-sector proposal promotion, and ensuring fair returns — and analyzes the practical implications for municipalities and private operators. A continuation of our earlier article on the 2024 PFI Act amendments.
How to Brief the Assembly — Explanation Templates and Anticipated Questions for PPP/PFI Adoption
Assembly briefings are an unavoidable step when adopting PPP/PFI. This article provides templates for briefing timing, frequency, and material structure, along with frequently asked questions from assembly members and model answers — a practical guide for securing assembly approval smoothly.
Operator Bankruptcy Response in PFI and Designated Manager Projects — Municipal Risk Management
When a PFI operator or designated manager goes bankrupt, the municipality must simultaneously ensure service continuity and minimize impact on residents. This article systematically covers response procedures by bankruptcy type (financial deterioration, sudden insolvency, voluntary withdrawal), direct management reversion procedures, contractual risk hedging, and monitoring structures for recurrence prevention.
Resident Lawsuits and Injunction Cases in PPP/PFI Projects — Legal Risks and Prevention
A systematic analysis of cases where PPP/PFI projects became targets of resident lawsuits and injunction requests. Covers the pattern from resident audit requests to lawsuits, the requirements for granting injunctions, and risk management strategies for both municipalities and operators — providing a framework for preventive legal risk management.
Optimal PPP/PFI Method Selection by Municipality Size — From Under 50,000 to Designated Cities
The optimal PPP/PFI method varies by municipality population, fiscal capacity, and organizational resources. This article presents a framework for realistic method selection across five population tiers — from municipalities under 50,000 to designated cities — analyzing success requirements and considerations for each stage.
PFI Act Amendment Trends — Key Points of the 2024 Revision and Impact on Municipalities
A comprehensive analysis of recent PFI Act amendments: the 2022 amendment (effective 2023) expanding eligible facilities to include sports and assembly venues, strengthening concession-designated manager system coordination, and the 2024 Action Plan revision with updated priority areas and upward-revised project targets.
PPP/PFI FAQ for Private Sector Operators — Entry, Procedures, and Risk Questions Answered
A systematic compilation of 30 practical questions for private sector operators considering entry into PPP/PFI projects. Covers sounding survey participation, proposal writing, risk allocation concepts, and local business entry barriers — with detailed answers to the 10 most critical questions.
Public Asset Management FAQ for Municipal Officials — 30 Essential Questions Answered
A systematic compilation of 30 practical questions that municipal facility management and planning staff frequently face — from comprehensive management plan formulation to PPP/PFI method selection and resident consensus building — with detailed answers to the 10 most critical questions.
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