Senate committee hears Manuel Cidre’s confirmation; nominee vows permit turnaround, stricter incentives oversight and workforce push

Manuel Cidre, the secretary‑designate for Puerto Rico’s Department of Economic Development and Commerce, defended a five‑pillar economic plan and made several operational promises during a May 18 confirmation hearing before the Senate Committee on Appointments.

Cidre opened by describing his personal and business background and the department’s recent consolidation, noting the reorganized department now includes more than 500 employees. He said the Fiscal Oversight Board had certified that the agency had met about “setenta y cinco por ciento” of the objectives in the FY2021 fiscal plan, using that milestone as evidence of progress in the reorganization.

On pandemic relief and small businesses, Cidre recounted programs rolled out by the department, including the Business Interruption Grant (BIC), which he said identified roughly 15,000 participants eligible for between $5,000 and $15,000 depending on staff size, a $3 million creative‑industry incentive and an expanded fund that can reimburse up to $50,000 to businesses that purchased PPE and other COVID‑related supplies.

Cidre made a specific operational pledge on permitting: “Estamos comprometidos … que el tiempo de obtención de permisos sea de cuarenta y ocho horas para julio treinta y uno del dos mil veintiuno,” he said, while acknowledging municipal autonomy and environmental or safety reviews can complicate some cases. He also described steps to strengthen the Single Business Portal and remote inspection mechanisms to reduce backlog, which he said had fallen from roughly 11,000 pending cases in December toward a much smaller number.

Senators pressed Cidre on labor and the minimum wage. Several lawmakers asked for data on how an increase from $7.25 to $15 per hour might affect small and medium businesses. Cidre cited studies and told senators that “sobre setenta mil empleos se pudieran perder,” emphasizing a sectoral approach and measures to reduce the cost of living alongside wage changes. He urged collaboration with federal agencies so benefit‑cliffs do not penalize workers who increase earnings.

On the broader topic of labor reform, Sen. Rafael Bernabé said some groups want to revoke the 2017 reform and “restablecer los derechos laborales que existían antes del dos mil diecisiete.” Cidre said he favored a careful review and a tempered reform rather than blanket revocation, but said he was willing to discuss options with the legislature.

Several senators raised the incentives regime — including Ley 22 (the investor code), Ley 20 and the general incentives code — and the fiscal cost of tax expenditures. Sen. Juan Zaragoza urged stronger compliance controls, including an annual independent certification by a CPA or other independent entity to confirm that decree recipients meet obligations. Cidre said the code should be used to promote real local investment and that the department would prioritize oversight and accountability.

The nominee also addressed port, airport and large‑scale infrastructure opportunities. He described Roosevelt Road and the port of Ponce as strategic assets but warned against overly long exclusive contracts; he said the government should act as a partner with a master developer and reserve options to sell or stay as a partner later.

On energy and the LUMA contract, senators asked whether the administration should adjust the agreement. Cidre said contracts can be reviewed and measured, and he urged continued legislative oversight to ensure contracts “suman y no restan.” Regarding Puerto Rico’s debt adjustment, Cidre said his focus would be on minimizing annual debt servicing that constrains the budget and said there was still room to negotiate better terms.

Senators asked for follow‑up details. Committee members requested district‑level data on use of the COVID prevention fund and on how many businesses in certain districts received assistance; Cidre’s office agreed to provide comparative information to the committee within five business days.

The committee received two written submissions for the record (the Association of Industrialists of Puerto Rico and the Puerto Rico Builders Association). The hearing concluded at 12:38 p.m.; no formal vote on confirmation was recorded during the session.