The legislation was signed by the President of the Republic, Luis Abinader, on May 1, 2026, and was formally incorporated into the national legal system
SANTO DOMINGO – Although the construction sector considers the enactment of Law 16-26 an important step forward, representatives of the contractors say that the real challenge will begin now: the validation of files and the effective start of outstanding payments accumulated over decades.
The legislation, as explained by members of the Codiano Institutional Committee (CIC), authorizes the recognition and payment of claims arising from works carried out for the Dominican State, in addition to creating a special commission in charge of reviewing the cases included in the regulations.
However, for the engineers and companies involved, the current expectation is focused on what will happen after the promulgation: the formal integration of that commission, the purging of the files and the start of the administrative process that would allow the historical claims to be converted into concrete payments.
Contractors expect the commission to be formed immediately
Miguel Liberato, spokesperson for the CIC, explained that the sector expects the Government to officially announce the full integration of the commission contemplated in the law in the coming days.
This body will be made up of representatives from the Ministry of Finance and Economy, the Comptroller General of the Republic, the General Directorate of Budget and the General Directorate of Public Procurement and Contracting.
According to Liberato, the commission will be responsible for receiving, reviewing, validating, and purging the files corresponding to hundreds of contractors who are claiming outstanding payments for works carried out for public institutions.
"The CIC expects that in the coming days the country will officially learn the full composition of the commission," he said.
The organization also asked the Ministry of Finance to expedite the process to avoid further administrative delays.
The sector expects the first applications to be evaluated
Civil engineer Manuel Inoa stated that some of the files originally promoted by the CIC were already being evaluated by the Ministry of Finance even before the enactment of the law.
As he explained, many of the cases have registered contracts, volume calculations and validated legal documentation, although some present administrative inconsistencies related to addenda or complementary processes.
“Everything is in the Treasury,” Inoa stated, referring to the status of the files corresponding to the initial group of contractors linked to the CIC.
The engineer stated that one of the main predictions for the sector is that cases with more complete documentation may become the first to be processed for payment once the commission begins its functions.
They hope the process will revive businesses and restore confidence
Representatives of the sector believe that the legislation could generate a significant economic effect on Dominican construction, especially for companies and professionals affected for years by payment delays.
Miguel Liberato pointed out that the measure could represent an injection of liquidity for contractors who maintain historical claims against the State, while Manuel Inoa believes that the process would also serve to restore confidence to those who carry out public works.
“It gives engineers a motivation to build for the Dominican State,” Inoa said.
The CIC believes that, if the process moves forward in an organized manner, the legislation could become an institutional precedent to strengthen public procurement mechanisms and prevent future projects from becoming trapped for years in incomplete administrative processes.
More than 600 individuals and legal entities would be impacted
According to data provided by the CIC, around 600 individuals and legal entities are listed in the legislation as potential creditors of the State.
The law includes files related to works carried out for entities such as the Ministry of Education, the National Institute of Hydraulic Resources, the National Institute of Drinking Water and Sewerage, and the Office of Supervising Engineers of State Works.
The legislative document lists paving projects, rural roads, schools, housing, sanitation systems and public works developed in different provinces of the country.
“Many died waiting”
For Manuel Inoa, the impact of the legislation is not only economic.
The engineer stated that at least 18 professionals linked to these claims have died in recent years while awaiting a definitive solution from the State.
For that reason, he maintains that the sector expects the enactment of the law not to remain merely a legal provision, but to translate into concrete actions, agile validations, and effective payments for the contractors included in the process.
Assigned numbering
On May 1st of this year, the law was formally incorporated into the national legal system, after the Executive Branch assigned the number 16-26 to the law that orders the recognition, validation and payment of old outstanding debts with contractors of the Dominican State.
Law 16-26 represents a significant step towards resolving a historical debt claimed for decades by dozens of contractors whose works were completed, received, and are currently in service to the Dominican State and society, spokespeople said.
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