Good for business

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EDITORIAL
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Sunday, March 4, 2018
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NOTHING attracts investors like having the government’s assurance that the processing and release of licenses and permits would be fast, hassle-free, and efficient. Its opposite is also true – nothing discourages them more than the long, slow, circuitous, arduous, and corruption-laden processing of needed documents.

Thus one recent development in Congress is most welcome: the Bicameral Conference Committee has successfully harmonized disagreeing provisions of a measure that could very well shoot up investor confidence. Consolidated by the House of Representatives and Senate were House Bill (HB) No.6579 and Senate Bill (SB) No.1311, resulting in the proposed measure titled, “The Ease of Doing Business and Efficient Government Service Delivery Act of 2018.”

It covers business-related transactions in all government offices and agencies including local government units (LGUs), government-owned or controlled corporations and other government instrumentalities.

In a lot of ways, the spirit of the measure reflects the culture of efficiency that President Rodrigo Duterte promoted when he was still Davao City mayor. He has repeatedly said that it’s his pet peeve to see people standing in long queues, so it makes sense that he would want the same level of efficiency all over the country.

A key proposal is the “zero-contact 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. This minimizes the chance of corruption among government workers and ensures the prompt filing and processing of the applicants’ requirements from the get-go.

Among the highlights of the measure is its institutionalization of streamlined procedures for the issuance of local business licenses, clearances, and permits. A single or unified business application form shall be used in processing new application or business permits and business renewals which consolidates all the information of the applicant or request party by various local government departments. This covers local taxes and clearances, building clearance, sanitary permit, zoning clearance, and other specific local government unit requirements, including the fire clearance from the Bureau of Fire Protection.

The Ease of Doing Business and Efficient Government Service Delivery Act directs all LGUs to set up a one-stop business facilitation service. It will receive and process manual and/or electronic submission of application for license, clearance, permit or authorization.

LGUs are also mandated to automate their business permitting and licensing system. This will guarantee more efficient business registration processes.
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