Institute for Social Vision Design

How to Write a Park-PFI Solicitation Guidelines Document — Using the MLIT Word Template with Real-World Examples [2026 Edition]

横田直也
About 13 min read

A detailed breakdown of the ten legally required items under the Urban Park Act, guidance on downloading and using the Ministry of Land, Infrastructure, Transport and Tourism Word template, and a comparison with the 61-page Koriyama City guidelines — equipping practitioners with a complete, workable approach.

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TL;DR

  1. The Park-PFI solicitation guidelines must include all ten legally mandated items under Article 5-2, Paragraph 2 of the Urban Park Act. Missing any item renders the solicitation process invalid
  2. MLIT publishes a Word template that municipalities can customize as the standard starting point for drafting guidelines
  3. Koriyama City's guidelines for Kaiseizan Park span 11 chapters and 61 pages, incorporating legally required items alongside practical innovations such as sounding bonus points and a risk allocation table

What Are Park-PFI Solicitation Guidelines

When a municipality intends to implement , the first statutory document it must publish is the solicitation guidelines for installation and management (hereafter "guidelines"). Article 5-2, Paragraph 1 of the Urban Park Act mandates that guidelines be drafted and publicly announced "when a park management authority intends to publicly solicit a person to install or manage publicly solicited park facilities."

Guidelines are not merely a request for proposals. The conditions set out in the guidelines become the legal basis for all subsequent procedures — participation screening, plan certification, and agreement execution. It is legally impermissible to introduce conditions during evaluation that do not appear in the guidelines, or to impose certification requirements that contradict the guidelines.

The Urban Park Act requires that at least one month elapse between the public announcement of the guidelines and the deadline for submitting installation and management plans (Enforcement Rules, Article 3-4). This minimum period reflects the time private-sector businesses need to thoroughly examine and develop a business plan in response.

Drafting errors — missing legally required items, or setting contradictory conditions — create defects in the entire solicitation process. Prior review by the municipality's legal department and legal counsel is essential.


Detailed Explanation of the Ten Legally Required Items

Article 5-2, Paragraph 2 of the Urban Park Act enumerates ten items (Items 1 through 10) that must be included in the guidelines. Below is a systematic explanation of each item along with practical considerations.

Item 1: Types of Publicly Solicited Park Facilities

Specifies the type of facilities sought for installation. Municipalities may enumerate specific business types (e.g., "restaurant," "café," "food and beverage outlet") or use broader language (e.g., "commercial facilities that contribute to vitality and community engagement").

Practical consideration: Overly narrow specifications limit the pool of applicants; overly broad language makes evaluation difficult. Working backwards from identified community needs — insufficient dining options, lack of rest areas, absence of children's facilities — to clarify the "functions required" is an effective approach.

Item 2: Location of Publicly Solicited Park Facilities

Specifies the location, area, current condition, and applicable regulations for the installation zone. Attaching a location map and site layout is mandatory. Building coverage ratios (as defined in the ordinance), and availability of utilities such as electricity, gas, and water must also be described.

Practical consideration: Inaccuracies in utility availability — particularly gas line presence and sewage treatment methods — can determine whether food service operations are viable. A pre-solicitation site survey with cross-referencing against drawings is indispensable.

Item 3: Start Dates for Installation and Management

Specifies when installation and management of revenue facilities are to begin. The timeline must account for design, construction, building permit processing, and other legal procedures.

Practical consideration: When private operators need to secure financing, the period from construction commencement to opening often spans one to two years. Setting overly tight completion deadlines reduces the number of applicants. Coordinating the construction schedule of designated park facilities with revenue facility construction must be addressed during the planning stage.

Item 4: Minimum Usage Fee

Specifies the minimum usage fee to be paid by the revenue facility operator. The amount may not fall below the level prescribed by the relevant municipal ordinance (Article 5-2, Paragraph 2, Item 4).

Practical consideration: The usage fee directly affects the financial viability of private operators. Setting the minimum too high deters applicants; too low reduces revenue returned to the park management authority. The fee should be validated against usage fee data from comparable parks and the operator's projected annual sales per floor area.

Item 5: Construction of Designated Park Facilities

Specifies the types, specifications, quantities, and cost-sharing arrangements for designated park facilities (toilets, paths, plazas, benches, lighting, etc.) to be constructed by the private operator.

Practical consideration: Clearly distinguishing "what the park management authority will construct" from "what the private operator must fund at minimum" is critical. Ambiguous language becomes a source of dispute after plan certification. Setting an upper limit on the municipality's cost share enables private operators to build accurate financial projections.

Item 6: Installation of Convenience Enhancement Facilities

Where bicycle parking, signage, advertising towers, or information boards ("convenience enhancement facilities") ancillary to revenue facilities are to be permitted, specifies their types, locations, and conditions.

Practical consideration: Conditions for advertising towers and signage must be consistent with the landscape ordinance. When such facilities are permitted, it is advisable to explicitly state standards for color, size, and placement.

Item 7: Environmental Maintenance and Improvement Measures

Specifies the day-to-day maintenance requirements — cleaning, planting management, etc. — to be carried out by the revenue facility operator.

Practical consideration: Where Park-PFI is integrated with the designated manager system, roles must be clearly delineated in the guidelines. Failing to clarify "who cleans which area at what frequency" at the guidelines stage leads to confusion during subsequent agreement negotiations.

Item 8: Validity Period of Certification

Specifies the validity period (maximum of 20 years) of the installation and management plan certification. The period should reflect the scale of investment and the time required to recover it.

Practical consideration: Setting a period of 20 years requires that the plan include the construction of designated park facilities (Article 5-8, Paragraph 1). Where only revenue facilities are involved, the maximum is 10 years (consistent with ordinary installation and management permits). This distinction requires careful attention.

Item 9: Evaluation Criteria

Specifies the criteria used to evaluate submitted plans. The MLIT guidelines propose six evaluation items: (1) business implementation policy, (2) business implementation structure, (3) facility installation plan, (4) facility management and operations plan, (5) business plan, and (6) price proposal.

Practical consideration: The allocation of scoring weights shapes the nature of proposals. Higher weight on "price proposal" drives price competition; higher weight on "business implementation policy" shifts competition toward proposal quality. Reflecting the municipality's priority challenges — vitality creation, local employment, accessibility for older residents — in the scoring weights is essential. For detailed guidance, see Park-PFI Scoring Criteria Design.

Item 10: Details of Solicitation Implementation

Specifies eligibility criteria, required submission documents, evaluation schedule, agreement terms, and other implementation details not covered in Items 1 through 9.

Practical consideration: Overly restrictive eligibility requirements undermine competitive integrity; excessively lenient requirements risk attracting applicants without genuine capacity to execute the project.


Using the MLIT Word Template

Where to download the template, its structure, and how to customize it — along with its inherent limitations

Where to Download

The MLIT Urban Bureau publishes a Word-format template for solicitation guidelines. It is available at:

Template Structure and How to Use It

The template is a draft document covering all ten required items, with sample language and notes for each. The recommended approach is as follows:

  1. Fill in park-specific information for Items 1–4: Based on the physical characteristics of the park (location, area, utilities)
  2. Draft Item 5 in conjunction with an improvement plan: Prepare a facility improvement plan (scope of aging-facility renewal, construction cost estimates) before drafting this item
  3. Create a separate scoring table for Item 9: Use the template's evaluation items as a base and adjust weights to reflect local priorities
  4. Attach schedules and document checklists as annexes to Item 10: Clearly state deadlines for each stage — intent to participate, application submission, and evaluation

Limitations of the Template

The MLIT template is a starting point only. The following areas require municipality-specific customization:

  • Alignment with local ordinances: Building coverage ratios, occupation restrictions, and landscape ordinance conditions vary by municipality
  • Integration with the designated manager system: When integrated with designated management, designated management specifications must be incorporated into the guidelines
  • Explicit notation of sounding bonus points: When prior sounding participation is to be rewarded with bonus points, this must be stated in the guidelines along with the point value

Comparison with Koriyama City's Real-World Guidelines

The guidelines published by Koriyama City for Kaiseizan Park in April 2022 constitute a detailed 61-page, 170KB document. They comprehensively address all ten legal requirements while incorporating a range of practical innovations.

ChapterTitleCorresponding Legal Item
Chapter 1Project OverviewGeneral overview, Item 3, Item 8
Chapter 2Solicitation ProceduresItem 10
Chapter 3Selection of Designated InstallerItem 9 (evaluation criteria)
Chapter 4Post-Selection ProceduresItem 10 (agreements, etc.)
Chapter 5Designated Park Facility ConstructionItem 5
Chapter 6Publicly Solicited Park FacilitiesItems 1, 2, 4
Chapter 7Convenience Enhancement FacilitiesItem 6
Chapter 8Environmental Maintenance MeasuresItem 7
Chapter 9Designated ManagementItem 10 (designated management integration)
Chapter 10Risk AllocationItem 10 (risk allocation)
Chapter 11MiscellaneousItem 10 (insolvency provisions, etc.)

Notable Innovations in the Koriyama Guidelines

① Explicit notation of sounding bonus points: Chapter 3's scoring criteria include "incentive points" — +5 points for trial sounding participation and +3 points for market sounding participation. This design encourages private-sector dialogue well before the formal solicitation.

② Clear cost-sharing structure: The designated park facility construction cost is explicitly divided as "municipality: up to 90%, private sector: at least 10%." Revenue facilities (publicly solicited park facilities) are designated as "fully privately funded," making it straightforward for private operators to build financial projections.

③ Comprehensive risk allocation table: Chapter 10 contains a detailed risk allocation table covering the design, construction, and operations phases, clarifying which party bears each category of risk — facilitating business planning for prospective operators.

④ Integrated designated management: Chapter 9 explicitly states designated management duties and costs (total designated management fee: JPY 1.44 billion over 19 years), serving as a model for integrated solicitation of Park-PFI and designated management.

⑤ Pre-disclosed selection committee composition: Chapter 3 discloses the selection committee membership in advance (including university professors, certified public accountants, and the managing director of a park management foundation), ensuring transparency and institutional credibility.


Beyond the ten legally required items, the MLIT guidelines recommend additional items that are optional under law but practically indispensable.

Eligibility Criteria Design

Eligibility requirements should be designed with the objective of selecting applicants with genuine capacity to execute the project. Overly restrictive criteria undermine competitive integrity.

Sample standard eligibility requirements:

  • Applicant must be a legally incorporated entity (individual or consortium)
  • Applicant must not be in a state of net liabilities as of the most recent financial statements
  • Applicant must hold a construction business license (where construction works are involved)
  • Applicant must be capable of obtaining a food business license under the Food Sanitation Act (for food service operations)
  • Applicant must not be subject to suspension of business, public disclosure of violations, or other disqualifying conditions

Where consortiums are permitted, requirements for the lead firm, the roles of consortium members, and liability allocation must also be specified.

Business Insolvency Provisions

Defining in advance how to handle the insolvency of an operator is the most significant risk mitigation measure available to municipalities.

Items to address:

  • Obligations and security deposits for repair and restoration of designated park facilities
  • Mandatory insurance coverage and submission of insurance certificates
  • Requirements and procedures for business succession to a successor operator
  • Conditions under which the municipality may purchase facilities or assume interim management

Urban Development Fund (Vitality Promotion Project Loans)

The national government operates the Urban Development Fund (Vitality Promotion Project Loans), under which the national government provides subsidized loans covering half of funds lent by local governments to private operators. Where this scheme is to be utilized, it must be noted in the guidelines.


Designing Evaluation Criteria (A Deeper Look at Item 9)

Two-Stage Selection Structure

The MLIT guidelines recommend conducting selection in two stages: Stage 1 (screening) and Stage 2 (evaluation).

  • Stage 1 (screening): Objective review under Article 5-4, Paragraph 1. Confirms alignment with guidelines, financial soundness (no net liabilities), and track record in construction and management
  • Stage 2 (evaluation): Quantitative scoring restricted to applicants who pass screening. Conducted by a committee comprising at least two academic experts — a statutory requirement

The Six Evaluation Items and Scoring Design

The following shows typical scoring weight ranges for the six evaluation items proposed in the MLIT guidelines:

Evaluation ItemPrimary Evaluation ContentTypical Weight Range
① Business Implementation PolicyAddressing local challenges, improving park quality, stimulating local economy15–25%
② Business Implementation StructureLocal firm participation, financial soundness, role allocation15–20%
③ Facility Installation PlanDesign quality, accessibility, construction plan10–20%
④ Facility Management and Operations PlanSafety, disaster response, community engagement15–20%
⑤ Business PlanFinancial projections, withdrawal risk mitigation15–20%
⑥ Price ProposalMunicipality's burden for designated park facilities; usage fee10–20%

Key design principle: Assigning excessive weight to Item ⑥ (price proposal) risks inducing price dumping. To prevent the scenario in which an operator submits an aggressive price proposal and subsequently becomes insolvent, price proposal weighting is typically capped at 15–20% of total points.

Setting a Minimum Qualifying Score

To safeguard fairness and practical executability, setting a minimum qualifying score is recommended. In the Koriyama City case, the threshold was set at "at least 60% of total possible points across all evaluators, with no primary evaluation category — overall plan, improvement works, or management — falling below 60%."


Pre-Publication Quality Checklist

The following checklist should be reviewed before publicly announcing guidelines:

Legal requirements:

  • All ten legally required items (Items 1–10) are included
  • The minimum usage fee in Item 4 is not below the ordinance-prescribed level
  • The certification validity period in Item 8 does not exceed 20 years (contingent on designated park facility construction)
  • At least one month elapses between public announcement and the plan submission deadline

Practical requirements:

  • Building coverage ratio and occupation restriction figures from the ordinance are accurately stated
  • Utility availability (electricity, gas, water, sewage) has been confirmed on-site
  • The risk allocation table distinguishes "construction risk," "operations risk," and "force majeure risk"
  • The selection committee has at least two academic experts confirmed

References

Guidelines for Improving the Quality of Urban Parks through Park-PFI (Revised May 30, 2025) (2025)

Kaiseizan Park Park-PFI Solicitation Guidelines (April 2022) (2022)

MLIT Park-PFI Utilization Page (Templates, Case Studies, etc.) (2025)

PPP/PFI Policy Briefing Materials (2024)


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Questions to Reflect On

  1. Have you confirmed the applicable ordinance figures for building coverage ratios and occupation restrictions, and reflected them accurately in Item 2?
  2. Is the minimum usage fee in Item 4 consistent with the ordinance and financially viable for private operators?
  3. Does the scoring structure in Item 9 reflect the municipality's priority challenges?

Key Terms in This Article

Park-PFI
A system under Japan's Urban Parks Act that publicly solicits private operators to develop and manage revenue-generating facilities (e.g., cafés) alongside park facilities. Established by 2017 law revision with up to 20-year permits.
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