18 Nov 2018

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President Duterte signed on Monday, May 28, 2018, Republic Act 11032, an act promoting ease of doing business in the Philippines and efficient delivery of government services. Witnessing the signing were senators led by the new Senate President Vicente Sotto III, members of the House of Representatives led by Speaker Pantaleon Alvarez, cabinet officials led by Executive Secretary Salvador Medialdea and Trade and Industry Secretary Ramon Lopez.

Also invited were the Quezon City government, as the benchmark for ease of doing business studies in the Philippines, and other officials from the government and private sectors who are all working with the National Competitiveness Council (NCC) in streamlining regulatory processes for all indicators involved in doing business in thecountry.

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The new law applies to all government agencies and all local governments that provide “services covering business and nonbusiness transactions covered by the act.”

The law mandates the reengineering of systems and procedures to improve transaction systems. The prescribed working times are, as follows: 3 working days to complete processing ‘simple’ transactions; 7 working days for ‘complex’ transactions; and 20 working days for ‘highly technical transactions. In case, an agency fails to approve or disapprove an original application, within the prescribed period, the application shall be deemed approved.

Earlier this year, the Quezon City Government operationalized its one-stop shops, not only for business registration but also for the processing of construction and occupancy permits. This has substantially reduced the processing time for these transactions to a few hours (for business permits) to 5 to 7 working days (for building or occupancy permits for simple structures). Both systems co-locate the Bureau of Fire Protection evaluators into the respective systems, for the fire safety inspection certificates.

These are in compliance with the provisions of RA 11032 which mandates the establishment of a one-stop shop with a co-located representative of the Bureau of Fire Protection.

The new law further provide for the automation of permits and license systems within 3 years of the effectivity of this act, and the issuance of the barangay clearance, not by the barangay, but by the city or municipality, with the condition that fees are remitted to the barangay.