Bills

Senate Bill No. 355: Charter of the Philippine Trade Representative Office

The Center for Global Development in Washington D.C. ranked the Philippines as the most resilient economy among 21 countries studied. Our island nation ranked number one above South Korea and China, second and third respectively.fi]

The country is also considered among the most entrepreneurial countries in the world in a report produced by Approved Index.[2]

The Philippines is now considered a highly competitive player in the market of foreign direct investments thanks to our robust economy and the great potential of our workforce.

In 2014, our country’s net foreign direct investments reached a record-breaking 6.2 billion U.S. dollars – a stark improvement from our 2010 net FDI of 1.07 billion U.S. dollars.[4]

To maintain this competitiveness, we need to improve trade negotiation and facilitation and ensure that we have a cohesive and coherent trade policy that upholds the country’s national interest.

The Charter of the Philippine Trade Representative Office kick-starts this initiative by creating the Philippine Trade Representative Office or PTRO. The PTRO is tasked to consolidate and harmonize all existing functions from various government agencies such as the Bureau of International Trade Relations under the Department of Trade and Industry (DTI), Attaches and Permanent Missions to the World Trade Organization (WTO), Association o f Southeast Asian Nations (ASEAN) and United Nations International Organization (UNIO), and the trade negotiating and policy making functions of the Tariff and Related Matters Committee (TRMC). This is in order to enhance the formulation of domestic and national priorities that should drive our trade positions and negotiations.

The PTRO shall also form the Multi-Sectoral Advisory Committee (MSAC) that will compose members from both government and civil society, including representatives from the agriculture industry, labor sector, small business, service sectors, retailers and consumer groups, to advice the office on trade matters in relation to the country’s achievement of its economic goals.

Our country is now open for business. Let’s pass the Charter of the Philippine Trade Representative Office to bolster our positions and voice in the international trade community.

In view of the foregoing, the approval of this bill is earnestly sought.

PDFicon DOWNLOAD SBN 355

Senate Bill No. 354: Secured Transactions Act

Micro, small, and medium enterprises (MSMEs) are critical in the country’s drive to maintain strong economic growth and uplift millions who live in poverty considering that in 2014 they comprised 99.6% of all Philippine businesses, generated 62.8% of all jobs in the Philippines,1and contributed to around 35% to Philippine GDP.2

The challenge is to ensure that microenterprises grow into small business; and small businesses develop into medium-sized enterprises. We must provide these businesses with an enabling environment so they survive, grow, and expand to create better lives for their families and increase job opportunities for other Filipinos. Crucial to their growth is access to financing at reasonable rates.

While there is notable growth in the microfinance sector, there is still a major gap relative to financing small enterprises, whose loan requirements are beyond the scope of microfinance institutions. Despite being a growth area for banks, SME financing is still considered unattractive given the perceived risks, without traditional collateral such as land and other real property. However, MSMEs’ assets are mostly personal in nature (equipment, inventory, motor vehicle, accounts receivable,etc.), making it difficult for MSMEs to meet bank requirements to get loan approvals. 

As early as 1906, the Philippines has in place a secured transactions legal environment, the Chattel Mortgage Law, and a document-based movable collateral registry operated by the Register of Deeds. The current regime recognizes a diverse set of movable assets acceptable as collateral for loan purposes (e.g., motor vehicles, standing crops, like rice, sugarcane, and other agri-aqua commodities, equipment, etc.,); however, these assets are not being fully utilized nor preferred by banks as loan collateral, except motor vehicles, which leaves the law ineffective to increase trade or facilitate access to finance for MSMEs, and underscores the need to modernize these laws governing movable asset lending in the Philippines. 

The Secured Transactions bill seeks to enable financial institutions to rethink how they view collateral and reduce the perceived risks, by providing protection for framework to govern lending transactions that involve the use of personal property as collateral, as well as the design, establishment, and operation of a unified, centralized, online notice-basednational collateral registry to assure banks that the collateral being submitted has not already been utilized for another loan. These reforms have the potential to increase credit access for women and small businesses, reduce the risks of non-satisfaction of debt and thereby lower the cost of borrowing, and reduce the rate of non-performing loans of financial institutions. 

Jurisdictions like Mexico, Vietnam, and China have undertaken similar reforms and have seen their positive impacts. For example, in Mexico, similar reforms led to the creation of a national Accounts Receivable Finance Platform by the government’s development bank, which has supported at least 130,000 SMEs through accounts receivable financing. In Vietnam, the number of collateral registrations (each representing a loan) surpassed 6000,000 cumulatively over a period of four years. In China, loans with movable asset security are now disbursed at about USD 3.0 trillion per year. 

The bill can bring growth to both MSMEs and to our financial institutions, and enjoin our banks to take part in MSME development with less risk. This measure provides us an opportunity to create a win-win, balanced environment for financial institutions and small businesses, which will generate more employment and sustainable livelihood for Filipinos across the country. 

In view of the foregoing, immediate passage of this bill is earnestly sought. 


PDFicon DOWNLOAD SBN 354

Senate Bill No. 353: Internet Shared Infra

As our island nation continues to build roads that connect communities and expand logistics, we also have an opportunity to improve our information and communications technology (ICT) and boost access to the information superhighway.

Imagine working CCTV cameras at every corner, roads designed with fiber optic cables and electrical networks beneath them, and stop signs that radiate mobile data signals.

No longer relegated to the pages of a sci-fi novel or the screening of a futuristic movie, this level of design and technology is in the here and now, readily available for our utilization. Why not take advantage of today’s technology and design infrastructure to deliver as many services as it can to our citizens?

The Shared Infrastructure for ICT Bill encourages us to rethink and maximize our infrastructure projects to include features that advance our ICT.

This measure pushes for the inclusion on shared utility corridors for fiber optic cables in road networks in the hopes of improving connectivity and increasing competition for Internet service providers while generating additional revenue for the government.

Let’s make the most of our infrastructure projects and endeavor to provide quick, quality access to ICT services to every Filipino.

In view of the foregoing, the approval of this bill is earnestly sought.

PDFicon DOWNLOAD SBN 353

Senate Bill No. 352: Open Door Policy

With the Philippines fast becoming the rising star of Asia and the rest of the world, it is our mandate to build an inclusive and prosperous country for all Filipinos.

We have made strides to build an improved society through policies that uplift and empower the marginalized sectors. However, we often overlook the seemingly trivial but unjust hurdles many Filipinos face on a daily basis, such as their inability to adhere to unnecessary government regulations.

Tragically, not every Filipino can afford to buy shoes and more formal clothing. But every Filipino should be permitted to participate in assemblies that affect them and their community, particularly legislative hearings and sessions. All Filipinos must be granted access to frontline services, especially from public offices.

Unfortunately, needless dress code policies serve as barriers to many of our marginalized Filipinos as they seek to become more participative and rightfully demand services.

How can they raise their voice when they’re standing in the heat and behind cold walls? These are the countrymen we are called to serve.

Thus, it is high time to open our government offices and be more considerate of our policies for all Filipinos, regardiess of our economic status.

The Philippine Government Agency Open Door Act aims to mandate all government offices to accept entry to all Filipinos and to eliminate the dress code that some government agencies and units are following.

We are called to open the doors to those that have the least in our society, those we have the most to learn from, and those that we desperately need to hear.

We have the opportunity and a duty to generate policies that contribute to a nation that is fair, just and inclusive. We have a responsibility to create a Philippines where all Filipinos, even minorities and marginalized sectors can live free from discrimination.

Senate Bill No. 351: Freelancers Protection Act

Freelancing is no longer just a temporary state while looking for your dream job. For many intelligent and skilled Filipinos with a strong network and marketable services, it is a long-term career choice.

For many people that value mobility, their own time, and freedom from a fixed employer, freelancing is a dream job and fundamental source of livelihood.

With more and more freelancers in the country, we are confronted with an urgent need to protect this new sector and empower them with ease of doing business.

One of the biggest challenges of a freelancer is non-payment, which is why the Freelancer Bill gives freelancers the power to demand from their employer what they are rightfully due as per their signed contract.

In the event that an employer refuses to pay a freelancer for services rendered, the aggrieved party can file a complaint to the Department of Labor and Employment (DOLE) and can expect the agency to investigate and, should the complaint be considered valid, a penalty of up to P250,000 shall be imposed on the non-compliant employer.

Further civil penalties will also be imposed for every day that the employer refuses to compensate the freelancer and, in addition, the aggrieved party has the option of filing a civil case against his or her employer.

This measure also takes into account ease of doing business for freelancers, making it easier for freelancers to register in the Bureau of Internal Revenue (BIR) and mandates that freelancers be exempted from tax payments for the first 3 years.

In our age of instantaneous global communication and interconnectivity, increased specialization, and a millennialism that values mobility, creativity, and entrepreneurship, we can only expect our pool of freelancers to grow.

Let us waste no time in ensuring that they are not inconvenienced by red tape and that they are protected from difficult, even fraudulent clients.

In view of the forgoing, the approval of this bill is earnestly sought.

PDFicon DOWNLOAD SBN 351

Senate Bill No. 350: Social Value Act

A common practice in government procurement, guided by Philippine procurement laws, is to consider price as the major criterion for awarding government purchases and contracts. However, given the current social climate, there is now a need to consider other factors that enable a product or service to deliver adequate or even added value to both the purchaser and to the community at large.

Thus, we wish to introduce the concept of “social value” as an additional criterion governing Philippine government procurement.

“Social value,” as we define it in this measure, “refers to the additional benefit to society of procuring a good or service, over and above the direct benefit and value of the good or service to the procuring entity. Additional benefits may include support for poor communities or marginalized groups, advancement of human rights and social justice, protection of the environment, and community development.”

At the root of this concept is the recognition that government funds should be allocated to products, services, and programs that offer the greatest good, at the best value. Therefore, when evaluating suppliers for government purchases, contracts, and projects, purchasers must look beyond price and also consider such factors as quality, production practices, and even the impact that these practices have on a larger community.

Legislature is thus urged to pass this proposed “Social Value Act”. By redefining the concept of “social value” and “value for money,” we can enable the state to maximize benefits for society and also drive up service quality and inclusive e-growth. 

In view of the foregoing, immediate approval of this bill is earnestly sought. 

PDFicon DOWNLOAD SBN 350

Senate Bill No. 349: Inclusive Business Promotion Act

In the recently concluded Asia-Pacific Economic Cooperation or APEC Summit held in the Manila, we had the first ever high-level discussion on Inclusive Business, which promoted the idea of companies taking part in development, not just through philanthropy but also through their products and supply chains.

Under this inclusive business umbrella are social enterprises as well as large corporations that utilize their products, services, or even their supply chains to help poor communities create a sustainable industry and become financially successful.

This concept of business taking part in nation-building and social development is finally catching on and all over the world, allies in the fight against poverty have found an effective weapon – conscientious entrepreneurship – to beat poverty and create prosperity.

There is no better time than now to establish policies in support of this movement.

“Inclusive Business (IB),” as defined in this measure, refers to “a business approach that provides decent work and economic opportunities or relevant and affordable goods or services for poor and low income and/or marginalized sectors of society by making them part of the organization’s core operations as producers, consumers, workers, owners or business partners, directly contributing to improved living standards, poverty reduction and systemic inclusion in a manner that is sustainable, in scale or scalable, and replicable.”

The Inclusive Business Bill provides for the establishment of a national strategy for the promotion of Inclusive Businesses to be implemented by a new office, the Inclusive Business Center. The bill also provides policies for IB accreditation, and providing support and incentives for IBs and their community partners, including social enterprises.

A key strategy for providing sustainable livelihood and reducing poverty, especially in the countryside, is by integrating poor communities as suppliers of goods and/or services in the value chain of large businesses.

Inclusive Business companies can serve to link poor communities to more viable markets, enhancing economic opportunities and sources of income, and enabling them level up from subsistence livelihood.

Let us enjoin the private sector to take part in the creating shared prosperity in our nation.

In view of the foregoing, that passage of this bill is earnestly sought.  

PDFicon DOWNLOAD SBN 349

Senate Bill No. 348: Government Efficiency Office Act

PDFicon DOWNLOAD SBN 348

Senate Bill No. 178: The National Payment Systems Act

We operate in a world of trade and transactions. Today, thanks to innovations in science and technology, the interchange of resources can be completed quicker and more efficiently through online payments.

But while many countries have embraced these advancements, 99% of payments in the Philippines remain cash-based while only 1% is paid through electronic systems.

According to a study done by Better Than Cash Alliance, the Philippine e-commerce industry makes up less than 1% of total commerce in the country. This is relatively low compared to our ASEAN neighbors who generate 4-5% in e-commerce transactions.

The potential for growth and development of industry as well as the opportunity to improve and bolster of our financial systems must not be put to waste. To drive the economy forward, it is imperative that we empower the market with updated and streamlined payment systems.

Thus, the National Payment Systems Act seeks to organize, manage, and regulate all matters affecting payment instructions in the country under the Bangko Sentral ng Pilipinas to promote effective interoperability among payment systems, incorporating digital transactions.

In order to ensure the security and efficiency of payments for the benefit of all stakeholders – consumers, businesses, and financial institutions alike, we must upgrade the management and regulation of our payment industry.

Now, more than ever, we are compelled to advance our systems along with our ASEAN neighbors.

Through this measure, we have the opportunity to protect retailers, enhance buyer experience, boost the confidence in our financial sector, and keep pace with the ever-improving technology for cashless payment. 

In view of the foregoing, immediate passage of this bill is earnestly sought. 

PDFicon DOWNLOAD SBN 178

 

Senate Bill No. 171: Open Access in Data Transmission

 

We live in the information age where instantaneous access to reliable data can save you money, get you your dream concert tickets, save lives in times of calamity, and even spark a political revolution witnessed all around the world.

Technology has refashioned our world, empowering us with information at our fingertips.

What many of us don’t see are the multiple levels and layers that data zips through to move from one point to another, from one user to the next.

If this complex data network is not designed and managed properly, it may cost users’ time and money. And for a nation with a pressing problem with slow and expensive Internet services, it is imperative that we explore all avenues to improve data transmission.

This measure sets the regulatory framework to promote effective data transmission, taking into account the ever-changing nature of technology.

This bill will bolster the powers of the National Telecommunications Commission to create a healthy environment for the development and growth of data networks and their associated industries to improve access to information for every Filipino.

In view of the foregoing, the passage of this bill is earnestly sought.

PDFicon DOWNLOAD SBN 171

Scroll to top