Issues

Bam to Fight against Removal of Coop’s Tax Exemption

Senator Bam Aquino has committed to fight against any move to remove tax exemption given to cooperatives.

Sen. Bam made the pronouncement amid fears by cooperatives that the tax exemption granted to them by the Cooperative Code of the Philippines will be removed in the proposed Fiscal Incentives Rationalization Law.

 “We will not allow that to happen,” said Sen. Bam, chairman of the Committee on Trade, Commerce and Entrepreneurship.

 “We will make sure the cooperatives retain their tax exemptions,” he added.

Instead of burdening them, Sen. Bam said the government must give all the support small businesses need to prosper.

“Dapat ibigay ng pamahalaan ang lahat ng kailangang tulong ng maliliit na negosyante para umunlad,” Sen. Bam emphasized.

Sen. Bam said he’s taking up the cudgels for cooperatives to continue the legacy of his late uncle Agapito “Butz” Aquino, who, during his time as senator and congressman, pushed for the welfare of cooperatives in the country.

Considered as the father of modern cooperatives, Butz Aquino worked with the Philippine Cooperative Center as chairman until his death in August 17 of this year.

The Philippine Cooperative Center strongly opposes the repeal of Articles 60 and 61 of the Cooperative Code of the Philippines or Republic Act 9520, which aims to rescind the tax exemption privileges of cooperatives in the country.

Republic Act 9520 gives cooperatives with assets of not more than P10 million exemption from all national, city, municipal or barangay taxes.

Cooperatives are also exempt from customs duties, advance sales or compensation taxes on their importation of machineries, equipment and spare parts used by them.

According to data from the Cooperative Development Authority, there are 24,652 registered cooperatives in the country as of December 2014, with over 13 million individual members.

“Hindi tayo papayag na tanggalan ang mga kooperatiba ng tulong dahil ang laki ng tulong nila sa mahihirap nating kababayan,” added Sen. Bam, who worked with cooperatives and poor communities as a social entrepreneur before becoming a senator.

 

P-Noy Signs Youth Entrepreneurship Act into Law, Boosts Fight Against Unemployment

President Aquino has signed the Youth Entrepreneurship Act into law, strengthening the government’s push to address the growing number of unemployed young people in the country.

 The Youth Entrepreneurship Act, now known as Republic Act No. 10679, was approved by the Chief Executive last August 27, 2015.

“Now that it has become a law, the government now has an additional means to address and combat the growing number of jobless youths,” said Sen. Bam Aquino, author and prinicipal sponsor of the Youth Entrepreneurship Act.

“This law will open more opportunities for the youth to become more productive citizens of the country through entrepreneurial means,” added Sen. Bam, chairman of the Committee on Youth, and Trade, Commerce and Entrepreneurship.

The Philippines Statistics Authority (PSA) said that there are around 1.32 million unemployed youth, with ages ranging from 15 to 24 years old as of January 2015.

The measure creates financial literacy modules in all levels of Philippine education, to inculcate a culture of enterprise development among the Filipino youth.

“This Act will help revolutionize our mindset as a people from wanting to be an employee of a company to being a boss of our own enterprise,” Sen. Bam stressed.

The Act also provides would-be youth entrepreneurs access to financing, training, market linkages, and other means of support that will help them run and develop their own business.

With the approval of the Youth Entrepreneurship Act, Sen. Bam now has five laws to his credit in two years.

The neophyte senator principally sponsored and co-authored the Philippine Competition Act or Republic Act 10667. He also principally sponsored the Foreign Ships Co-Loading Act or Republic Act 10668.

Last year, the President approved the Go Negosyo Act, which was principally authored and sponsored by Sen. Bam, and the Philippine Lemon Law.

In addition to his laws, Sen. Bam has initiated investigation into the slow and expensive Internet in the country and the congestion that hounded Port of Manila early this year.  It was resolved and operations went to normal capacity early this year.

Moreover, Sen. Bam has filed resolutions to investigate the Bureau of Customs’ controversial policy on balikbayan boxes and look into possible means to alleviate the Metro Manila traffic problem.

Bam to Port Stakeholders: Be Ready for ‘Ber’ Months

With “ber” months just days away, Senator Bam Aquino urged government and private stakeholders to work together to ensure that there will be no repeat of the congestion that hounded Port of Manila last year.

 “Now that we have learned our lesson from last year, we must not let our guard down. This early, we must ensure that congestion will not hamper port operation during the coming ‘ber’ months,” said Aquino, chairman of the Senate Committee on Trade, Commerce and Entrepreneurship.

Usually, Aquino said heavy volume of containers arrive from September to December, in time for the Christmas season.

“Sa ngayon, normal ang operasyon at maluwag pa ang ating mga pantalan.  Ngunit maaaring maulit ang port congestion sa inaasahang pagdagsa ng mga kargamento sa huling bahagi ng taon,” added Sen. Bam.

Early this year, Sen. Bam has initiated a probe on the congestion that occurred at the Port of Manila. After bringing government agencies and private stakeholders in one table, the problem has been ironed out after several months of investigation.

During the last hearing, stakeholders reported that the utilization rate at the Port of Manila is now between 70 to 80 percent. In addition, waiting time for trucks has improved while cargo ships can now load or unload cargoes in just mere hours, instead of days at the height of the congestion year.

Meanwhile, Sen. Bam expects the passage of the Foreign Ships Co-Loading Act or Republic Act 10688 to help decongest the country’s major ports. The law now allows foreign ships carrying imported cargoes and cargoes to be exported out of the country to dock in multiple ports.

“This will save time, costs and energy for our exporters and importers in sending their raw materials, and goods and products in and out of the country,” the senator added.

“By allowing foreign ships to go directly to other domestic ports around the country, it will lower production costs for our entrepreneurs, free up space in the Port of Manila, improve the import and export system of the country,” Sen. Bam said.

It will also turn the shipping industry into a more modern, more equipped and more competitive sector, enabling it to keep up with other ASEAN countries such as Singapore, Thailand and Indonesia.

Bam: Losses to Heavy Traffic to Reach P6B by 2030

If not fully addressed immediately, a senator warned that economic losses due to heavy traffic in Metro Manila could balloon to P6 billion a day from the current P2.4 billion by 2030.

For this reason, Sen. Bam Aquino has filed a resolution seeking to review the existing Roadmap for Transport Infrastructure Development to formulate effective strategies and solutions to address the negative economic impact of the worsening traffic conditions in Metro Manila.

“Commuters as well as private vehicle owner suffer the monstrous and extremely costly traffic every day in Metro Manila,” Sen. Bam stressed in his Senate Resolution No. 1532, citing a study conducted by the Japan International Cooperation Agency (JICA)

The study entitled, “Roadmap for Transport Infrastructure Development for Metro Manila and Surrounding Areas,” was conducted in coordination with the Department of Transportation and Communications (DOTC), Department of Public Works and Highways (DPWH), Metropolitan Manila Development Authority (MMDA), and other relevant agencies.

The roadmap was approved last Sept. 2, 2014 by the National Economic Development Authority (NEDA) Board.

According to the study’s preliminary analysis, Sen. Bam said the lower-income households will be the hardest hit when congestion worsens by 2030 as they will spend no less than 20 percent of their monthly household income for transport.

“Without intervention, traffic demand will likely increase by 13 percent in 2030, and transport cost will be 2.5 percent higher,” Sen. Bam said.

According to Sen. Bam, relevant government agencies and local government units must contribute to the crafting to an effective planning strategies and traffic management systems in order to improve traffic conditions in Metro Manila.

“The MMDA cannot solve the worsening traffic condition alone. The DPWH, Land Transportation Office (LTO) and Land Transportation Franchising and Regulating Board (LTFRB), and the private sector must also do their share in solving the dilemma,” said Sen. Bam.

Among the factors that contributed to the worsening traffic condition is the significant population increase in Metro Manila which now stands at 16.5 million.

“Maaantala ang ating kaunlaran kung ang araw-araw na biyahe ay ikalulugi ng ating mga mamamayan at ng buong bansa,” added Sen. Bam, a micro, small and medium enterprises’ welfare advocate.

Bam Renews Call for Updated Fees for Balikbayan Boxes

Senator Bam Aquino renewed his call to update the current minimum fee threshold for balikbayan boxes, making it cheaper and hassle-free for 10 million overseas Filipino workers (OFWs) to send their packages to their loved ones in the Philippines. 

Sen. Bam, chairman of the Senate Committee on Trade, Commerce and Entrepreneurship, issued the pronouncement after OFWs expressed alarm over the Bureau of Customs’ plan to tax and randomly inspect balikbayan boxes as part of the agency’s anti-smuggling campaign.

Last Aug. 26, 2014, Sen. Bam filed Senate Bill No. 2373, seeking to update the current de minimis threshold, or the minimal volume of declaration of goods in the customs for consignments, balikbakan boxes and other low-value and low-risk packages.

“Now that the spotlight is focused on the issue, we call on fellow lawmakers to hasten the passage of the measure to make it cheaper and hassle-free for 10 million OFWs to send their packages to their loved ones in the Philippines,” Sen. Bam said. 

Currently, the Philippines has the lowest de minimis threshold in the ASEAN, at PhP10 or US$0.23. The ASEAN average threshold is at a hundred dollars.

In his bill, Sen. Bam wants the de minimis level to increase to a more realistic and relevant figure of P10,000 by amending Sec. 709 of the Tariff and Customs Code.

Through this, Aquino said balikbayan boxes and other packages of OFWs, entrepreneurs and other individuals will be processed by Customs faster with minimum fees.

“The extremely low Philippine threshold has not been changed since 1957 and is clearly antiquated. It needs to be updated to be reflective of current prices,” the senator said. 

The lawmaker explained that thresholds for customs declaration signify increased documentation and processes for shipments at entry points in the country.

“Increased documentation leads to larger turnover and delivery time of goods, and larger administration costs that would yield lower revenue impact for both businesses and government,” Sen. Bam said.

“While we understand that random inspection is part of our efforts to curb entry of illegal goods, we should not burden our honest and hardworking OFWs by subjecting their packages to searches that result in damages, pilferages, and loss of goods, which they purchased and sacrificed for their loved ones back home,” he added.

“In addition to this reform, let’s continue to modernize our Customs systems to make our inspections more transparent and efficient, and supportive to our OFW families,” Sen. Bam, who also presided over the port congestion hearings.

Furthermore, Sen. Bam stressed that it will enable the BOC to focus its efforts in looking out for high-value, high-risk and high-revenue goods for collection and enforcement.

Bam Pushes for Work for Rural Poor

The heads or single adult members of poor families living in rural areas will be given temporary employment, once the bill filed by Sen. Bam Aquino is enacted into law.

“Considering that almost 80 percent of Filipinos living in poverty reside in our rural areas, we are in urgent need of measures to combat poverty and unemployment beyond our cities and urban hubs in the short term and long term,” Sen. Bam said of his Senate Bill No. 2903 or the Rural Employment Act of 2015.

 “As such, we need to take a look at our rural communities and provide opportunities to those along the countryside and within our islands, beginning with our less fortunate countrymen,” added the senator, who worked with poor communities before he ran for the Senate.

According to Sen. Bam, the bill, if passed, aims to provide heads or single adult members of poor families in rural areas fair wages for temporary unskilled work for a minimum of 45 days but not more than 90 days in every calendar year.

 It mandates the Department of Social Welfare and Development, in coordination with local government units, to hire unemployed Filipinos to maintain, build and rehabilitate shared, public facilities and livelihood assets within their communities.

This way, Sen. Bam said the bill addresses the issue of unemployment in rural areas and involves our less fortunate citizen in nation building at the same time. 

“Let us bring opportunities, wealth and capacity to the Philippine islands, especially in the countryside. Let every Filipino reap the fruits of our positive progress and development,” added the senator, a world-renowned social entrepreneur.

Bam Seeks to Clarify Gov’t Policy on Uber, GrabCar

A senator seeks to investigate the enforcement of government’s programs and policies on new application-based transportation system in the country, such as Uber and GrabCar.

Sen. Bam Aquino filed Senate Resolution No. 1508 after the Land Transportation Franchising and Regulatory Board (LTFRB) ordered the apprehension of unregistered Internet application-based transport systems with a fine of P200,000 and impoundment of three months.

The LTFRB’s move came after Department of Transportation and Communications issued Department Order No. 2015-11, which recognizes and puts in place appropriate regulation for four new modes of public transportations such as airport buses, bus rapid transits (BRTs), transport network vehicle service (TNVS) and premium taxi.

“There is a need to delineate and clarify the various transportation policies pertaining to the different transport administration components such as planning, policy making, data management and enforcement,” said Sen. Bam, chairman of the Senate Committee on Trade, Commerce and Entrepreneurship.

“The main challenge of the different government agencies and offices is to align their rules and regulations, as well as policies, in order to solve the worsening traffic conditions in Metro Manila,” the senator added.

In his resolution, Sen. Bam said this lack of communication between the DOTC and LTFRB underscores a National Center for Transportation Studies report, which shows lack of coordination and overlapping functions among transportation and traffic related units of the national and local government units.

“The Department Order was issued in response to the call of Uber, GrabCar, other similar Internet application-based transportation networks, and the public to recognize this innovative technology and be able to operate legally,” Sen. Bam.

“Let us continue supporting emerging industries and new business models, especially in our public transportation system that will enhance competition and provide better service to our fellow Filipinos,” said Sen. Bam, a staunch supporter of start-ups.

Bam: PH has Talent for New Silicon Valley

The Philippines has more than enough talent and expertise to meet the demand of various technology start-ups, whose expected influx will turn the country into the next “Silicon Valley” of the world.

 “These technology start-ups will have no problem because we have a large pool of talented and skilled Filipinos in the field of information technology (IT), design, and programming and engineering, which they can tap anytime,” said Sen. Bam Aquino, chairman of the Senate Committee on Trade, Commerce and Entrepreneurship.

“Being at par with the world’s best, our IT workers can be a valuable asset for start ups as they try to create a niche in the international and local markets,” added Sen. Bam.

 Aside from talented IT workers, the Philippines also boasts of top Filipino video game designers and animators for online video gaming industry start-ups.

 Sen. Bam made the pronouncement after international business magazine Harvard Business Review reported that the Philippines is fast becoming a destination for technology start-ups. 

The magazine said that technology start-ups have the potential to duplicate the impact of the business processing industry (BPO) in terms of employment generation when it entered the Philippines several years ago.

“Technology start-ups can contribute in solving the country’s unemployment problem as it can provide high-value jobs for thousands of Filipino IT experts, artists and developers,” added Sen. Bam.

 Moreover, the passage of the Philippine Competition Act will make it easier for technology start-ups to penetrate the market and compete with giant IT companies, the senator added. 

Location will not also be a problem for technology start-ups as the Philippine Economic Zone Authority (PEZA) has 200 IT parks in different parts of the country that will suit their needs.

Sen. Bam is a staunch supporter of start-ups as he filed Senate Bill No. 2217 or the Start-Up Business Bill, which grants a two-year tax exemption to any business enterprise that is just starting up.

According to the senator, the bill gives new enterprises the enough time to establish their presence in the market.

“It will also the opportunity for Filipinos to showcase our world class talent and innovative ideas,” Sen. Bam emphasized.

MFI NGOs Act Approved on Third and Final Reading

 

 

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Senator Bam Aquino poses with microfinance non-government organization (NGOs) beneficiaries who witnessed the Senate’s approval of SB No. 2752 or the Microfinance NGOs Act on third and final reading last Monday (August 10, 2015).

The measure aims to strengthen non-government organizations (NGOs) that provide micro financing to the poor who want to start their own business. Aside from loans, microfinance NGOs also provide training programs and seminars to enhance the entrepreneurial skills and financial literacy of their borrowers.

Bam to NTC: Explain Delay in MC on Internet Standards

Where are we in improving the country’s Internet connection service?

Senator Bam Aquino made this pronouncement to the National Telecommunications Commission (NTC), as he wondered why the agency has not yet issued the memorandum circular on the quality of Internet standards.

“Six months have passed since the NTC committed to come out with the memorandum circular but until now, the agency has yet to deliver on its promise,” said Sen. Bam, chairman of the Senate Committee on Trade, Commerce and Entrepreneurship.

“The NTC must provide a detailed and acceptable report on its recent moves to improve the country’s Internet connection service as the approval of their 2016 budget heavily depends on that,” added Aquino.

Appointed recently as one of the vice chairman of the Senate Committee on Finance, Sen. Bam is tasked to scrutinize and approve the budget of several government agencies, including the NTC, Department of Trade and Industry (DTI) and the Bases Conversion and Development Authority (BCDA)

For almost a year now, Sen. Bam has been investigating the slow and expensive Internet in the country.

During one of the hearings earlier this year, the NTC promised to release a memorandum circular that will set Internet quality service in the country, including the minimum speed for broadband and DSL connections.

Six months after, the NTC has yet to deliver on its commitment, which Sen. Bam described as detrimental to the welfare of millions of Internet user in the country.

The committee hearing though has produced small victories that may help achieve a faster and cheaper connection.

The probe has encouraged telecommunication companies to embrace IP peering that will help speed up opening of websites while the Department of Justice (DOJ) has released guidelines against deceptive or misleading internet print, TV and radio advertisements.

 

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