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114 OG No. 24, 4161 (June 11, 2018)

[ REPUBLIC ACT NO. 11032, May 28, 2018 ]

AN ACT PROMOTING EASE OF DOING BUSINESS AND EFFICIENT

DELI VERY OF GOVERNMENT SERVICES, AMENDING FOR THE
PURPOSE REPUBLIC ACT NO. 9485, OTHERWISE KNOWN AS THE
ANTI-RED TAPE ACT OF 2007, AND FOR OTHER PURPOSES

Be it enacted by the Senate and House of Representatives of the Philippines in

Congress assembled;

SECTION 1. Section 1. Republic Act No. 9485, otherwise known as the "Anti-Red Tape
Act of 2007", in hereby amended to read as follows:

"SECTION 1. Short Title. - This Act shall be known as the Eases of Doing
Business and Efficient Government Service Delivery Act of 2018.''

SEC. 2. Section 2 of the same Act is hereby amended to read as follows:

"SEC 2. Declaration of Policy. It is hereby declared the policy of the State to

promote integrity, accountability, proper management of public affairs and
public property as well as to establish effective practices, aimed at efficient
turnaround of the delivery of government services and the prevention of
graft and corruption in government. Towards this end. the State shall
maintain honesty and responsibility among its public officials and
employees, and shall take appropriate measures to promote transparency in
each agency with regard to the manner of transacting with the public, which
shall encompass a program for the adoption of simplified requirements and
procedures that, will reduce red tape and expedite business and
nonbusiness related transactions in government."

SEC. 3. Section 3 of the same Act is hereby amended to read as follows:

"SEC. 3. Coverage. - This Act shall apply to all government offices and
agencies including local government units (LGUs), government-owned or -
controlled corporations and other government instrumentalities, whether
located in the Philippines or abroad, that provide services covering business
and nonbusiness related transactions as defined in this Act."

SEC. 4. Section 4 of the same Act is hereby amended to read as follows:

"SEC. 4. Definition of Terms. As used in this Act, the following terms are
defined as follows:

“(a) Action refers to the written approval or disapproval made by a

government office or agency on the application or request submitted by an

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applicant or requesting party for processing:

“(b) Business One Stop Shop (BOSS) - a single common site or location, or
a single online website or portal designated for the Business Permit and
Licensing System (BPLS) of an LGU to receive and process applications,
receive payments, and issue approved licenses, clearances, permits, or
authorizations:

"(c) Business-related transactions - a set of regulatory requirements that a

business entity must comply with to engage, operate or continue to operate
a business, such as, but not limited to, collection or preparation of a number
of documents, submission to national and local government authorities,
approval of application submitted., and receipt of a formal certificate or
certificates, permits, licenses which include primary and secondary,
clearances and such similar authorization or documents which confer
eligibility to operate or continue to operate as a legitimate business;

"(d) Complex transactions - applications or requests submitted by applicants

or requesting parties of a government office which necessitate evaluation in
the resolution of complicated issues by an officer or employee of said
government office, such transactions to be determined by the office
concerned:

"(e) Fixer - any individual whether or not officially involved in the operation
of a government office or agency who has access to people working therein,
and whether or not in collusion with them, facilitates speedy completion of
transactions for pecuniary gain or any other advantage or consideration;

"(f) Government service - the process or transaction between applicants or

requesting parties and government offices or agencies involving applications
tor any privilege, right, reward, license, clearance, permit or authorization,
concession, or for any modification, renewal or extension of the enumerated
applications or requests which are acted upon in the ordinary course of
business of the agency or office concerned;

"(g) Highly technical application - an application which requires the use of

technical knowledge, specialized skills and/or training in the processing
and/or evaluation thereof;

"(h) Nonbusiness transactions - all other government transactions not falling

under Section 4 (c) of this Act:

"(i) Officer or employee a person employed in a government office or agency

required to perform specific duties and responsibilities related to the
application or request submitted by an applicant or requesting party for
processing;

"(j) Processing time - the time consumed by an LGU or national government

agency (NGA) from the receipt of an application or request with complete
requirements, accompanying documents and payment of fees to the

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issuance of certification or such similar documents approving or
disapproving an application or request;

"(k) Red tape - any regulation, rule, or administrative procedure or system

that is ineffective or detrimental in achieving its intended objectives and, as
a result, produces slow, suboptimal. and undesirable social outcomes;

"(1) Regulation - any legal instrument that gives effect to a government

policy intervention and includes licensing, imposing information obligation, .
compliance to standards or payment of any form of fee, levy, charge or any
other statutory and regulatory requirements necessary to carry out activity;
and

"(m) Simple transactions - applications or requests submitted by applicants

or requesting parties of a government office or agency which only require
ministerial actions on the part of the public officer or employee, or that
which present only inconsequential issues for the resolution by an officer or
employee of said government office.”

SEC. 5. Section 5 of the same Act is hereby amended to read as follows;

"SEC. 5. Reengineering of Systems and Procedures. - All offices and

agencies which provide government services are hereby mandated to
regularly undertake cost compliance analysis, time and motion studies,
undergo evaluation and improvement of their transaction systems and
procedures and reengineer the same if deemed necessary to reduce
bureaucratic red tape and processing time.

"The Anti-Red Tape Authority, created in this Act, shall coordinate with all
government offices covered under Section 3 of this Art in the review of
existing laws, executive issuances and local ordinances, and recommend the
repeal of the same if deemed outdated, redundant, and adds undue
regulatory burden to the transacting public.

"All proposed regulations of government agencies under Section 8 of this Act

shall undergo regulatory impact assessment to establish if the proposed
regulation does not add undue regulatory burden and cost to these agencies
and the applicants or requesting parties: Provided, That when necessary,
any proposed regulation may undergo pilot implementation to assess
regulatory impact.

"'Upon effectivity of this Act, all LGUs and NGAs are directed to initiate
review of existing policies and operations and commence with the
reengineering of their systems and procedures in compliance with the
provisions of this Act, pending the approval of the implementing: rules and
regulations (IRR) thereof,"

SEC. 6. Section 6 of the same Act is hereby amended to read as follows:

"SEC. 6. Citizen's Charter. - All government agencies including departments,

bureaus, offices, instrumentalities, or government-owned and/or -controlled

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corporations, or LGUs shall set up their respective most current, and
updated service standards to be known as the Citizen's Charter in the form
of information billboards which shall be posted at the main entrance of
offices or at the most conspicuous place, in their respective websites and in
the form of published materials written either in English, Filipino, or in the
local dialect, that detail;

"(a) A comprehensive and uniform checklist of requirements for each type of

application or request;

“(b) The procedure to obtain a particular service;

"(c) The person/8 responsible for each step:

“(d) The maximum time to conclude the process;

“(e) The document/s to be presented by the applicant or requesting party, if

necessary;

"(f) The amount of fees, if necessary; and

"(g) The procedure for filing complaints."

SEC. 7. A new Section 7 is hereby inserted after Section 6 of the same Act to read as
follows:

“SEC. 7. Zero-Contract Policy.- Except during the preliminary assessment of

the request and evaluation of sufficiency of submitted requirements, no
government officer or employee shall have any contact, in any manner,
unless strictly necessary with any applicant or requesting party concerning
an application or request. Once the Department of Information and
Communications Technology (DICT) has completed a web-based software
enabled business registration system that is acceptable to the public as
mandated under Section 26 of this Act, all transactions shall be coursed
through such system. All government agencies including LGUs shall adopt a
zero-contact policy.”

SEC. 8. Section 7 of' the same Art us hereby renumbered as Section 8 to read as
follows:

"SEC. 8. Accountability of Heads of Offices and Agencies, The head of the

office or agency shall be primarily responsible for the implementation of this
Act and shall be held accountable to the public in rendering fast efficient,
convenient and reliable service. All transactions and processes are deemed
to have been made with the permission or clearance from the highest
authority having jurisdiction over the government office or agency
concerned."

SEC. 9. Section 8 of the same Act is hereby amended and renumbered as Section 9 to
read as follows;

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"SEC. 9. Accessing Government Services.- The following shall be adopted by
all government offices and agencies:

"(a) Acceptance of Applications or Requests. -

"(1) All officers or employees shall accept written applications, requests,

and/or documents being submitted by applicants or requesting parties of the
offices or agencies.

"(2) The receiving officer or employee shall perform a preliminary

assessment of the application or request submitted with its supporting
documents to ensure a more expeditious action on the application or
request. The receiving officer or employee shall immediately inform the
applicant or requesting party of any deficiency in the accompanying
requirements, which shall be limited to those enumerated in the Citizen's
Charter.

"(3) The receiving officer or employee shall assign a unique identification

number to an application or request, which shall be the identifying number
for all subsequent transactions between the government and the applicant
or requesting party regarding such specific application or request.

"(4) The receiving officer or employee shall issue an acknowledgement

receipt containing the seal of the agency, the name of the responsible officer
or employee, his/her unit and designation, and the date and tune of receipt
of such application or request.

"(b) Action of Office. –

“(1) All applications or requests submitted shall be acted upon by the

assigned officer or employee within the prescribed processing time stated in
the Citizen’s Charter which shall not be longer than three (3) working days
in the case of simple transactions and seven (7) working days in the case of
complex transactions from the date the request and/or complete application
or request was received;

"For applications or requests involving activities which pose danger to public

health, public safety, public morals, public policy, and highly technical
application, (he prescribed processing time shall in no case be longer than
twenty (20) working days or as determined by the government agency or
instrumentality concerned, whichever is shorter.

"The maximum time prescribed above may be extended only once for the
same number of days, which shall be indicated in the Citizen's Charter. Prior
to the lapse of the processing time, the office or agency concerned shall
notify the applicant or requesting party in writing of the reason for the
extension and final date of release of the government service/a requested.
Such written notification shall be signed by the applicant or requesting party
to serve as proof of notice. 

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"If the application or request for license, clearance, permit, certification or
authorization shall require the approval of the local Sangguniang Bayan,
Sanggunuing Panlungsod, or the Sangguniang Panlalawigan as the ease may
be the Sanggunian concerned shall foe given a period of forty-five (45)
working days to act on the application or request, which can be extended for
another twenty (20) working days. If the local Sanggiunian concerned has
denied the application or request, the reason for the denial, as well as the
remedial measures that may be taken by the applicant shall be. cited by the
concerned Sanggunian.

"In cases where the cause of delay is due to force majeure or natural or
man-made disasters, which result to damage or destruction of documents,
and/or system failure of the computerized or automatic processing, the
prescribed processing times mandated in this Act shall be suspended and
appropriate adjustments shall be made.

''(2) No application or request shall be returned to the applicant or

requesting party without appropriate action. In case an application or
request is disapproved, the officer or employee who rendered the decision
shall send a formal notice to the applicant or requesting party within the
prescribed processing time, stating therein the reason for the disapproval. A
finding by a competent authority of

A violation of any or other laws by the applicant or requesting party shall

constitute a valid ground for the disapproval of the application or request,
without prejudice to other grounds provided in this Act or other pertinent
laws.

“(c) Denial of application or Request for Accesss to Government Service.-Any

denial of application request for access to government service shall be fully
explained in writing, stating the name of the person making the denial and
the grounds upon which such denial is based. Any denial of application or
request is deemed to have been made with the permission or clearance from
the highest authority having jurisdiction over the government office or
agency concerned.

"(d) Limitation of Signatories. - The number of signatories in any document

shall be limited to a maximum of three (3) signatures which shall represent;
officers directly supervising the office or agency concerned: Provided, That
in case the authorized signatory is on official business or official leave, an
alternate shall be designated as signatory. Electronic signatures or pre-
signed license, clearance, permit, certification or authorization with
adequate security and control mechanism may be used.

“(e) Electronic Versions of Licenses, Clearances, Permits, Certifications or

Authorizations.- All government agencies covered under Section 3 of this Act
shall, when applicable, develop electronics versions of licenses, clearances,
permits, certifications or authorizations with the same level of authority as
that of the signed hard copy, which may be printed by the applicants or
requesting parties in the convenience of their offices.

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"(f) Adoption of Working Schedules to Serve Applicants or Requesting
Parties. - Heads of offices and agencies which render government services
shall adopt appropriate working schedules; to ensure that all applicants or
requesting parties who are within their premises prior to the end of official
working hours are attended to and served even during lunch break and after
regular working hours. 

"(g) Identification Card. - All employees transacting with, the public shall be
provided with an official identification card which shall be visibly worn during
office hours.

" (h) Establishment of Public Assistance/ Complaints Desk. - Each office or

agency .shall establish a public assistance/complaints desk in all their
offices."

SEC. 10. Section 9 of the same Art is hereby amended and renumbered as Section 10
to read m follows:

"SEC, 10. Automatic Approval or Automatic Extension of License, Clearance,

Permit, Certification or Authorization. If a government, office or agency fails
to approve or disapprove an original application or request for issuance of
license, clearance, permit, certification or authorization within the prescribed
processing time, said application or request shall be deemed approved:
Provided, That all required documents have been submitted and all required
fees and charges have been paid. The acknowledgement receipt together
with the official receipt for payment of all required fees issued to the
applicant or requesting party shall be enough proof or has the same force
and effect of a license, clearance, permit, certification or authorization under
this automatic approval mechanism.

“If a government office or agency fails to act on an application or request for

renewal of a license, clearance, permit, certification or authorrzation subject
for renewal within thy prescribed processing tune, said license, clearance,
permit, certification or authorization shall automatically be extended:
Provided, That the Authority, in coordination with the Civil Service
Commission (CSC), Department of Trade and Industry (DTI). Securities and
Exchange Commission (SEC), Department of the Interior and Local
Government (DILG) and other agencies which shall formulate the IRR of this
Act, shall provide a listing of simple, complex, highly technical applications,
and activities which pose danger to public health, public safety, public
morals or to public policy."

SEC. 11. New sections to be numbered as Sections 11, 12 , 13, 14, 15. 16, .17, 18 and
19 are hereby inserted after Section 9 of the same Act, to read as follows:

"SEC. 11. Streamlined Procedures for the Issuance of Local Business

Licenses. Clearances, Permits, Certifications or Authorizations. - The LGUs
are mandated to implement the following revised guidelines in the issuance
of business licenses, clearances, permits, certifications or authorizations:

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"(a) A single or unified business application form shall be used in processing
new applications for business permits and business renewals which
consolidates all the information of the applicant or requesting party by
various local government departments, such as, but. not limited to, the local
taxes and clearances, building clearance, sanitary permit, zoning clearance,
and other specific LGU requirements, as the case may be. including the fire
clearance from the Bureau of Fire Protection (BFP). The unified form shall be
made available online using technology-neutral platforms such as, but not
limited to. the central business portal or the city/ municipality's website and
various channels for dissemination. Hard copies of the unified forms shall
likewise be made available at all times in designated areas of the concerned
office and/or agency.

"(b) A one-stop business facilitation service. hereinafter referred to as the

business one stop shop. (BOSS) for the city/municipality's business
permitting and licensing system to receive and process manual and/or
electronic submission of application for license-, clearance, permit,
certification or authorization shall be established within the
cities/municipalities' Negosyo Center as provided for under Republic Act No.
10644, otherwise known as the "'Go Negosyo Act". There shall be a queuing
mechanism in the BOSS to better manage the flow of applications among
the LGUs ’ departments receiving and processing applications. LGUs shall
implement colocation of the offices of the treasury, business permits and
Licensing office, zoning office, including the BPP, and other relevant
city/municipality offices/ departments, among others, engaged in starting a
business, dealing with construction permits.

"(c) Cities/Municipalities are mandated to automate their business

permitting and licensing' system or set up an electronic BOSS within a
period of three (3) years upon the effectivity of this Act for a more efficient
business registration processes, Cities/Municipalities with electronic BOSS
shall develop electronic versions of licenses, clearances, permits,
certifications or authorizations with the same level of authority, which may
be printed by businesses in the convenience of their offices. The DICT shall
make available to LGUs the software for the computerization of the business
permit and licensing system. The DICT, DTI, and DILG, shall provide
technical assistance in the planning and implementation of a computerized
or software-enabled business permitting and licensing system.

"(d) To lessen the transaction requirements, other local clearances such as,
but not limited to, sanitary permits, environmental and agricultural
clearances shall be issued together with the business permit.

"(e) Business permits shall be valid for a period of one (l) year. The
city/municipality may have the option to renew business permits within the
first month of the year or on the anniversary date of the issuance of the
business permit.

"(f) Barangay clearances and permits related to doing business shall be

applied, issued, and collected at the city/municipality in accordance with the
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prescribed processing time of this Act: Provided, That the share in the
collections shall he remitted to the respective barangays.

"The pertinent provisions of Republic Act No. 7160, otherwise known as "The
Local Government Code of 1991", specifically Article IV, Section 152(c) is
hereby amended accordingly."

"SEC. 12. Streamlined Procedures for Securing Fire Safety Evaluation

Clearance (FSEC), Fire Safety Inspection Certificate (FSIC), and Certification
of Fire Incidents for Fire Insurance. - For the issuance of FSEC, FSIC, and
certification of fire incidents, the following shall be adopted to make
business permitting more efficient:

“(a) Issuance of FSEC and FSIC shall in no ease be longer than seven (7)
working days:

"(b) For new business permit application, the FSIC already issued during the
occupancy permit, stage shall be sufficient as basis for the issuance of the
FSIC for a business entity as a requirement for the business permit;

"(c) For renewal of business permit, the BFP shall, within three (3) working
days from application, present the FSIC to the city/municipality, either thru
the copy of the FSIC or the negative/positive list: Provided, That the
business entity shall inform the BFP and submit the necessary documentary
requirements if renovations, modifications .or any form of alterations are
made to the original building structure thirty (30) working days before the
expiration of the business permit:

"(d) If the BFP fails to furnish the city/ municipality with an FSIC or to
inform the same through the negative/positive list within three (3) working
days from the application of business renewal, the business entity shall be
deemed to have a temporary valid FSIC and, therefore, shall serve as the
basis for the automatic renewal of the business permit:

“(e) Issuance of the certification of fire incident for fire insurance purposes
shall in no case be longer than twenty (20) working days, and may be
extended only once for another twenty (20) working days;

"(f) The BFP or any of its officials or employees shall not sell, offer to sell, or
recommend specific brands of fire extinguishers and other fire safety
equipment to any applicant or requesting party or business entity. Any
violation thereof shall be punishable by imprisonment of one (1) year to six
(6) years and a penalty of not less than Five hundred thousand pesos
(P500.000.00). but not mare than Two million pesos (P2.000,000.00):

"(g) The BFP shall colocate with the BOSS or in an appropriate area
designated by the city/municipality within its premises to assess and collect
the fire safety inspection fees;

"(h) The BFP may enter into agreements with cities/municipalities, allowing
the latter to be deputized as assessors and/or collecting agents for the fire

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safety inspection fees: and

''(i) The BFP shall develop and adopt an online-or electronic mechanism in
assessing fees, collecting/accepting payments and sharing/exchange of
other relevant data on business permit processing.

"The pertinent provisions of Republic Act No. 9514. otherwise known as the
"Revised Fire Code of the Philippines of 2008", are hereby amended
accordingly."

“SEC. 13. Central Business Portal (CBP). - To eliminate bureaucratic red

tape, avert graft and corrupt practices and to promote transparency and
sustain ease of doing business, the DICT shall be primarily responsible in
establishing, operating and maintaining a CBP or other similar technology, as
the D1CT may prescribe.

"The CBP shall serve as a central system to receive applications and capture
application data involving business-related transactions, including primary
and secondary licenses, and business clearances, permits, certifications or
authorizations issued by the LGUs: Provided, That the CBP may also provide
links to the online registration or application systems established by NGAs.

"The DICT, upon consultation with the National Privacy Commission (NPC),
NGAs and LGUs shall issue rules and guidelines on the following: (a) the
establishment, operation and maintenance of the CBP; and (b) the use of
electronic signatures.

"The DICT is hereby mandated to implement: an Interconnectivitv

Infrastructure Development Program for interconnectivity between and
among NGAs and LGUs.

"The DICT. in coordination with other concerned NGAs and LGUs, shall also
conduct. information dissemination campaigns aimed towards raising public
awareness on the existence of the CBP and the improved access to and
effective utilization of the program.''

"SEC. 14. Philippine Business Databank (PBD). — Within a period of one (1)
year from the effeetivsty of this Act. the DICT, in coordination with the
concerned agencies, shall establish, manage and. maintain a PBD which
shall provide the concerned NGAs and LGUs access to data and information
of registered business entities for purposes of verifying the validity,
existence of and other relevant information pertaining to business entities.
All concerned NGAs and LGUs shall either link their own database with the
system or periodically submit to the system updates relevant to the
information registered with them.

"The DICT. in consultation with the DTI. SEC. Cooperative Development

Authority (CDAs NPC, DILG. LGUs, and other concerned agencies, shall issue
the IRR on the development, management, operation and maintenance of
the PBD within three (3) months from the effectivity of this Act.

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"Documents already submitted by an applicant or requesting party to an
agency which has access to the PBD shall no longer be required by other
NUAs and LG Us having the same access. Documents or information shall be
crosschecked and retrieved in the PBD.

"At the local government level, the city or municipal business process and
licensing office shall not require the same documents already provided by an
applicant or requesting party to the local government departments in
connection with other business-related licenses, clearances, permits,
certifications or authorizations such as, but not limited to, tax clearance,
occupancy permit and barangay clearance,"

"SEC. 15. In-terconnectiviiy Infrastructure Development, In order to

expedite the processing of licenses, clearances, permits, certifications or
authorizations, the Authority, together with the DICT, shall develop a fast
and reliable interconnectivity infrastructure. In relation to this, the
processing and approval of licenses, clearances, permits, certifications or
authorizations for the installation and operation of tele-communication,
broadcast towers, facilities, equipment and service shall be:

"'(a) a total of seven (7) working days for those issued by the barangay:

"(b) a total of seven (7) working days for those issued by LGUs; and

"(c) seven (7) working days for those issued by NGAs, '

“If the granting authority fails to approve or disapprove an application for a

license, clearance, permit, certification or authorization within the prescribed
processing time, said application deemed approved: Provided, That when
the appropriate local legislative body is necessary, a non extendible period of
twenty (20) working days is hereby prescribed.

"For homeowners and other community clearances, the officers of the

homeowners association shall be given ten (10) working days to refer the
application to the members of the association pursuant to Section 10(k) of
Republic Act No. 9901. otherwise known as the "Magna Carta for
Homeowners and Homeowners Associations'": Provided, That a
nonextendible period of thirty (30) working days is granted the homeowners
association to give its consent or disapproval: Provided, further, That in case
of disapproval, the granting authority shall notify the applicant or requesting
party within the prescribed period of the reason/s for disapproval as well as
remedial measures-" that may be taken by the applicant or requesting party.

“Within three- (3) months upon the approval of the IRR of this Art, the
Authority, in coordination with the DICT. shall review and recommend the
repeal of outdated, redundant and unnecessary licenses, clearances,
permits, certifications or authorizations being required by NGAs, LGUs, and
private entities.”

“SEC. 16. Anti-Red Tape Unit in the Civil Service Communion (CSC). - The
CSC shall maintain an ants-red tape unit in its central and all its regional

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offices, utilize Report Card Survey findings for purposive- and integrated
government- wide human resource systems and programs toward efficient
delivery of government service as contemplated in this Act: and receive,
review, hear, and decide on complaints on erring government employees and
officials and noncompliance with the provisions of this Act."

"SEC. 17. Anti-Red Tape Authority. - To ensure the attainment of the

objectives of this Act. there is hereby created the Ants-Red Tape Authority,
herein referred to as the Authority, which shall be organized within six (6)
months after the effectivity of this Act. The Authority shall he attached to
the Office of the President.

"The Authority shall have the following powers and functions:

"(a) Implement and oversee a national policy on anti-red tape and ease of
doing business:

"(b)  Implement various ease of doing business and anti-red tape reform
initiatives aimed at improving the ranking of the Philippines;

"(c) Monitor and evaluate the compliance of agencies covered under Section
3 of tins Act, and issue notice of warning to erring and/or noncomplying
government employees or officials;

"(d) Initiate investigation, motu proprio or upon receipt of a complaint, refer

the same to the appropriate agency, or file cases for violations of this

"(e) Assist complainants in filing necessary ease with the CSC, the
Ombudsman and other appropriate courts, as the case may be:

"(f) Recommend policies, processes and systems to improve regulatory

management to increase the productivity, efficiency, and effectiveness of
business permitting and licensing agencies:

"(g) Review proposed major regulations of government agencies, using

submitted regulatory impact assessments, subject to proportionality rules to
be determined by the Authority;

"(h) Conduct regulatory management training programs to capacitate NGAs

and LGUs to comply with sound regulatory management practices;

"(i) Prepare, in consultation with the appropriate agencies, regulatory

management manuals for all government agencies and/or instrumentalities
and LGUs:

"(j) Provide technical assistance and advisory opinions in the review of

proposed national or local legislation, regulations or procedures;

"(k) Ensure the dissemination of and public access to information on

regulatory management system and changes in laws and regulations
relevant to the public by establishing the Philippine Business Regulations
Information System:

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"(l) Enlist the assistance of the CSC, DTI and other government agencies in
the implementation of its powers and functions provided for in this Act; and

''(m) Perform such acts as may be necessary to attain the objectives of this
Act."

''SEC. 18. Composition of the Authority. - The Authority shall be headed by a

Director General to be appointed by the President of the Philippines upon
effectivity of this Act. and such appointment shall be coterminous with the
tenure of the President of the Philippines. The Director General shall enjoy
the benefits, privileges, and emoluments equivalent to the rank of Secretary.

"The Director General shall oversee the day-to-day operations of the

Authority. He/She shall be assisted by three (3) Deputy Directors General
each for legal, operations, and administration and finance: Provided, That
they are career officials as defined in existing laws, rules and regulations.
The Deputy Directors General shall enjoy the benefits, privileges, and
emoluments equivalent to the rank of Undersecretary and shall likewise be
appointed by the President, of the Philippines.

"The Director General of the Authority, in consultation with the CSC, DTI and
the Department. of Budget .and Management (DBM), shall determine the
organizational structures including regional or field offices, qualification
standards, staffing pattern and compensation of the newly created Authority
in accordance with existing laws, rules and regulations: Provided, That in the
absence of regional or field offices, the Authority may deputize the regional
personnel of the DTI to perform its powers and functions."

"SEC. 19. Ease of Doing Business and Anti-Red Tape Advisory Council. -
There is hereby created an Ease of Doing Business and Anti-Red Tape
Advisory Council, herein referred to as the Council. It shall be composed of
the Secretary of the DTI as Chairperson, the Director General of the
Authority as Vice-Chairperson, the Secretaries of the DICT. DILG and
Department of Finance (DOF), and two (2) representatives from- the private
sector as members. The department secretaries may designate their
representatives, who shall sit in a permanent capacity, with no less than
Undersecretary in rank, and their acts shall be considered the acts of their
principals. The private sector representatives shall be appointed by the
President of the Philippines for a term of three (3) years, and may be
reappointed only once, from the nominees submitted by reputable business
groups or associations.

"The Council shall be the policy and advisory- body to the Authority. 'The
Council shall formulate policies and programs that will continuously enhance
and improve the country's competitiveness and ease of doing business.
Towards this end, the Council shall have the following powers and functions:

"(a) Plan, draft and propose a national policy on ease of doing business and
anti-red tape;

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"(b) Recommend policies, processes and systems to improve regulatory
management to increase the productivity, efficiency, and effectiveness of
permitting and licensing agencies;

"(c) Design and identify systems that will continuously enhance and improve
the delivery of services in government and ease of doing business in the
country:

"(d) Authorize the creation or appointment of specific working groups or task

forces in aid of the implementation of this Act;

"(e) Propose- legislation, amendments or modifications to Philippine laws

related to anti-red tape and ease of doing business;

"(f) Periodically review and assess the country's competitiveness

performance, challenges, and issues:

"(g) Provide technical assistance and advisory opinions in the review of

proposed national or local legislation, regulations, or procedures;

"(h) Recommend to the Authority the issuance of the appropriate measures

to promote transparency and efficiency in business practices and delivery of
services in government; and

“(i) Perform such other functions as may be necessary or as may be directed

by the President of the Philippines for the successful implementation to
attain the objectives of this Act.

"The Authority shall serve as Secretariat to the Council to be headed by its

Deputy Director General for operations.

"The National Competitiveness Council (NCC), created under Executive

Order No. 44, Series of 2011, shall be renamed and reorganized as the
Council. The pertinent provisions under the following presidential order:
Executive Order No. 571, Executive Order No. 4-1, and Administrative Order
No. 38 are hereby repealed accordingly."

SEC. 12. Section 10 of the same Act is hereby amended and renumbered as Section 20
to read as follows:

"SEC. 20. Report Card Survey. - All offices and agencies providing
government services shall be subjected to a Report Card Survey to be
initiated by the Authority, in coordination with the CSC, and the Philippine
Statistics Authority (PSA), which shall be used to obtain feedback on how
provisions in the Citizen's Charter and the provisions of this Act are being
followed and how the agency is performing.

"The Report Card Survey .shall also be used to obtain information and/or
estimates of hidden costs incurred by applicants or requesting parties to
access government services' which may include, but is not limited to, bribes
and payment to fixers. The result of the survey shall also become basis for

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the grant, of awards, recognition and/or incentives for excellent delivery of
services in all government agencies.

"A feedback mechanism shall be established in all agencies covered by this

Act and the results thereof shall he incorporated in their annual report"

SEC. 13. Sections 11 and 12 of the same Act are hereby deleted, and replaced with
new sections to be numbered as Sections 21 and 22, to read as follows:

"SEC 21. Violations und Persons Liable.- Any person who performs or cause
the performance of the following acts shall be liable:

"(a) Refusal to accept application or request with complete requirements

being submitted by an applicant or requesting party without due cause:

"(b) Imposition of additional requirements other than those listed in the

Citizen's Charter;

"(c) Imposition of additional costs not reflected in the Citizen's Charter;

"(d) Failure to give the applicant or requesting party a written notice on the
disapproval of an application or request;

“(e) Failure to render government services within the prescribed processing

time on any application or request without due cause;

“(f) Failure to attend to applicants or requesting parties who are within the
premises of the office or agency concerned prior to the end of official
working hours and during lunch break; and

"(g) Failure or refusal to issue official receipts:

"(h) Fixing and/or collusion with fixers' in consideration of economic and/or

other gain or advantage."

"SEC. 22. Penalties and Liabilities. Any violations of the preceding actions
will warrant the following penalties and liabilities.

“(a) First Offense: Administrative liability with six (6) months suspension:
Provided, however, That in the case of fixing and/or collusion with fixers
under Section 21(h), the penalty and liability under Section 22(b) of this Act
shall apply.

"(b) Second Offense: Administrative liability and criminal liability of dismissal

from the service, perpetual disqualification from holding public office and
forfeiture of retirement, benefits and imprisonment of one (1) year to six (6)
years with a fine of not less than Five hundred thousand pesos
(P500.000.00), but not more than Two million pesos (P2,000,000.00).

"Criminal liability shall also be incurred through the commission of bribery,

extortion, or when the violation was done deliberately and maliciously to
solicit favor in cash or in kind. In such cases, the pertinent provisions of the
Revised Penal Code and other special laws shall apply."
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SEC. 14. Section 13 of the same Act is hereby renumbered as Section 23 to read as
follows:

"SEC, 23. Civil and Criminal Liability, Not Barred. - The finding of
administrative liability under this Act shall not be a bar to the filing of
criminal, civil or other related charges under existing laws arising from the
same act or omission as herein enumerated."

SEC. 15. Section 1.4 of the same Act is hereby amended and renumbered as Section
24 to read as follows:

''SEC. 24. Administrative Jurisdiction. - The administrative jurisdiction on

any violation of the provisions of this Act shall be vested in either the CSC,
or the Office of the Ombudsman as determined by appropriate laws and
issuances,"

SEC. 16, Section 15 of the same Act is hereby renumbered as Section 25, and all
succeeding sections of the same Act are hereby deleted.

"SEC. 25. Immunity; Discharge of Co-Respondent / Accused to be a

Witness. ...... Any public official or employee or any person having been
charged with another offense under this Act and who voluntarily gives
information pertaining to an investigation or who willingly testifies therefore,
shall be exempt from prosecution in the ease/s where his/her information
and testimony are given. The discharge may be granted and directed by the
investigating body or court upon the application or petition of any of the
respondent/accused-informant and before the termination of the
investigation.: Provided, That;

"(a) There is absolute necessity for the testimony of the

respondent/accused-informant whose discharge is requested:

"(b) There is no other direct evidence available for the proper prosecution of
the offense committed. except the testimony of said respondent/accused-
informant;

"(c) The testimony of said respondent/accused- informant can be

substantially corroborated m its material points;

"(d) The respondent/accused-informant has not been previously convicted of

a crime involving moral turpitude; and

“(e) Said respondent/accused-informant does not appear to be the most

guilty.

"Evidence adduced in support of the discharge shall automatically form part

of the records of the investigation. Should the investigating body or court;
deny the motion or request for discharge as a witness, his/her sworn
statement shall be inadmissible as evidence/

SEC. 17. New sections to be numbered as Sections 26. 11, 28, 29, 30, 31, 32 and 33
are hereby inserted after Section 15 of the same Act to read as follows:
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''SEC. 26. Transition from Manual to Soflware- Enabled Business-Related
Transactions. - The DICT, in coordination with other concerned agencies,
shall within three (3) years after the effectivity of this Act, automate
business-related transactions by developing the necessary software and
technology- neutral platforms and secure infrastructure that is web-based
and accessible to the public. The DICT shall ensure that all municipalities
and provinces classified as third (3rd), fourth (4 th). fifth (5 th) and sixth (6
th) class are provided with appropriate equipment and connectivity,
information and communications technology platform, training and capability
building to ensure the LGUs compliance with this Act."

"'SEC. 27. Transitory Provisions. -

"(a) The Director General of the Authority, in consultation with the DTI, shall
determine the organizational structure and personnel complement of the
Authority. To ensure continued implementation of ease of doing business and
anti-red, tape reforms, the teams or units involved in regulatory
improvement and/or ease of doing business-related programs of the DTI-
Competitiveness Bureau shall serve as temporary secretariat of the
Authority until such time that its organizational structure and personnel
complement have been determined and filled up: Provided, That the staff of
the DTJ- Competitiveness Bureau shall have the option to be absorbed or
transferred laterally to the Authority without diminution of their rank,
position, salaries and other emoluments once the staffing pattern and
plantilla position of the Authority has been approved.

“(b) All regulatory management programs and anti-red tape initiatives

across government agencies eha.il be gathered by the Authority. The DTI.
CDA, NCC, DOF, Development Academy of the Philippines (DAP), and
National Economic and Development; Authority (NEDA) shall submit to the
Authority a report on the status of their respective projects related to
regulatory management.

“(c) The Authority, in coordination with CSC and the Council, shall conduct
an information dissemination campaign in all NGAs and LGUs to inform them
of this Act amending Republic Act No. 9485, otherwise known as the Anti-
Red Tape Act of 2007."

"SEC. 28. Congressional Oversight Committee. - To monitor the

implementation of this Act, there shall be created a Congressional Oversight
Committee on Ease of Doing Business (COC-EODB), to be composed of five
(5) members from the Senate, which shall include the Chairpersons of the
Senate Committees on Trade and Commerce and Entrepreneurship, Civil
Service, Government Reorganization and Professional Regulation, and
Economic Affairs: and five (5) members from the House of Representatives
which shall include the Chairpersons of the House Committees on Trade and
Industry, Civil Service and Professional Regulation, Government
Reorganization, and Economic Affairs. The COC-EODB shall be jointly chaired
by the Chairpersons of the Senate Committee on Trade and Commerce and
Entrepreneurship and the House of Representatives Committee on Trade and
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Industry: Provided, That the oversight committee shall cease to exist after
five (5) years upon the effectivity of this Act.

" The Secretariat of the COC-EODB shall be drawn from the existing
personnel of the Senate and House of Representatives committees
comprising the COC-EODB."

"SEC. 29. Appropriations. - The amount necessary to carry out the

provisions of this Act shall be charged against the current year's
appropriations of the concerned agencies. In addition, the amount of Three
hundred million pesos (P300 , 000,000.00) as initial funding for the
Authority to be charged against the unexpended Contingency Fund of the
Office of the President is hereby appropriated. Thereafter, the amount
needed for the implementation of this Act shall be included in the annual
General Appropriations Act."'

"SEC. 30. Implementing Rules and Regulations. - The Authority with the CSC
and DTI, and in coordination with the DICT, DOF, DILG. NEDA, PSA, CDA.
SEC, the Office of the Ombudsman. Housing and Land Use Regulatory Board
(HLURB) and the Union of Local Authorities of the Philippines (ULAP). shall
promulgate the necessary rules and regulations within ninety (90) working
days from the effectivity of this Act."

“SEC. 31. Separability Clause- If any provision of this Act shall be declared
invalid or unconstitutional, such declaration shall not affect the validity of
the remaining provisions of this Act.”

"'SEC. 32. Repealing Clause. - All provisions of laws, presidential decrees,

letters of instruction and other presidential issuances which are incompatible
or inconsistent with the provisions of this Act are hereby deemed amended
or repealed accordingly.”

"SEC, 33. Effectivity. - This Act shall take effect within fifteen (15) days
following its publication in the Official Gazette or in two (2) national
newspapers of general circulation."

SEC. 18. Effectivity. - This Act snail take effect fifteen (15) days after its publication in
the Official Gazette or in two (2) newspapers of general circulation.

Approved,

(SGD.) PANTALEON D. ALVAREZ (SGD.) AQUILINO "KOKO"

Speaker of the House of
PIMENTEL III
Representatives

President of the Senate

This Act which is a consolidation of Senate Bill No. 1311 and House Bill No. 6579 was
finally passed by the Senate and the House of representatives on february 21, 2018
and February 27, 2018, respectively.

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(SGD.) CESAR STRAIT PAREJA (SGD.) LUTGARDO B. BARBO
Secretary General Secretary of the Senate
House of Representatives

Approved: MAY 28 2018

(SGD.) RODRIGO ROA DUTERTE

  President of the Philippines

Source: Supreme Court E-Library

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