DDEC seeks $28.8 million budget increase for fiscal 2026-27
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Puerto Rico’s Department of Economic Development and Commerce (DDEC) is seeking a $28.8 million budget increase for fiscal year 2026-27, with agency officials citing rising pension obligations, infrastructure investments and operational costs as key drivers behind the request.
During a public hearing before the Senate Treasury, Budget and PROMESA Committee, DDEC Secretary Sebastián Negrón Reichard said the agency submitted a proposed budget of $107.4 million, including $29.7 million from the General Fund and $77.7 million in self-generated revenue.
Negrón said the requested increase would primarily support payroll expenses, professional services, capital improvement projects and PayGo pension obligations.
“The budget request for FY2027 represents an increase of $28.8 million compared to fiscal year 2026,” Negrón said during the hearing. He noted that $8 million of the increase is tied to PayGo expenses, while $14.8 million would fund infrastructure investments and permanent improvement projects.
According to the secretary, the increase in pension-related costs reflects adjustments tied to retirees whose pension expenses had previously been covered by other agencies, despite belonging to offices consolidated under DDEC.
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