A Dissertation Submitted to Mzumbe University Dar Es Salaam Campus College in Partial Fulfillment of the Requirements for the Degree of Masters of Public Administration.A research on Public Private Partnership (PPP) policy in Health service delivery: A Case of St. Augustine Muheza Council Designated Hospital (CDH) was done at the Hospital in Muheza and fifty two (52) respondents participated. The General objective of the study was to determine the extent that PPP, has been contributing to improving health service delivery at St. Augustine Muheza CDH and the specific objectives were to: Investigate the extent to which PPP, BOO model was evident at the Hospital, Investigate the extent that the model has been contributing to improving health service delivery, Identify constraints to the model in health service delivery and Identify reasons behind the constraints to the model in health services delivery at the Hospital. The research design used was a case study and methods used to collect data included: Interview and Focus Group Discussions. Data collection instruments used were interview guide and documentary review schedule. The findings indicate that PPP, BOO model was evident at St. Augustine Muheza CDH with the Government of Tanzania and the Anglican Church of Diocese of Tanga being the partners. The contribution of PPP to health service delivery was most established in terms of human, financial, material and physical resources that acted as inputs to the health service delivery system. However, the potential of PPP contribution was limited by constraints including shortage in the supply of drugs and a number of human resource issues. It is recommended that the Government and the Diocese should address the issues of shortage in drugs supply and human resource at the appropriate levels. The address of human resource issues should include the establishment of the position of Human Resource Manager within the Management Team.