RA NO.

11032:
EASE OF DOING BUSINESS AND
EFFICIENT GOVERNMENT SERVICE
DELIVERY ACT OF 2018 AND ITS
IRR
 AUTHORS
Authored by Representatives Santos-Recto, Bolilia, Sy-Alvarado, STATUS:
Biron, Yap (A.), Tambunting, Rodriguez (M.), Castelo, Belaro,
Villarica, Zubiri, Tugna, Belmonte (R.), Primicias-Agabas,
Villafuerte, Chipeco, Alvarez, P., Fariñas, Suarez, Romualdo, • Signed and
Silverio, Vergara, Gomez, Treñas, Alvarez (F.), Relampagos, approved by
Belmonte (J.C.), Limkaichong, Acosta-Alba, Go (M.), Savellano,
Lopez (C.), Uy (J.), Garcia (J.E.), Abaya, Canama, Evardone, President
Javier, Cagas, Jalosjos, Montoro, Romualdez, Rodriguez (I.), Rodrigo R.
Durano, Ong (H.), Sagarbarria, Laogan, Duavit, Dimaporo (A.),
Marcoleta, Tupas, Mendoza, Arcillas, Chavez, Eusebio, Nograles Duterte on May
(K.), Biazon, Garin (O.), Lanete and Lobregat, 28, 2018

Authored by Senators Recto (R) , Aquino IV (B), Poe (G), Villar

(C), Gordon (R), Lacson (P)

Approved by the Bicameral Conference Committee on February

14, 2018,
Driven by : Sen. Juan Miguel Zubiri – Senate Committee on
Trade, Commerce, and Entrepreneurship
Representative Ferjenel G. Biron – HoR Committee on Trade
and Industry
 SALIENT FEATURES

RA NO. 11032:
EASE OF DOING BUSINESS AND EFFICIENT
GOVERNMENT SERVICE DELIVERY ACT OF 2018 AND
ITS IMPLEMENTING RULES AND REGULATIONS
 RULE I, SEC. 4 IRR
DEFINITION OF TERMS
• Action – approval/disapproval by a govt
officer/employee on the application/request submitted
by an applicant/requesting party for processing;
• Applicant/requesting party – those who availed and
will avail of the services
• Application/requests – formal request to an authority
for access to government service
• Business-related transactions – regulatory requirements
that a business entity must comply, to start operating a
business entity in a municipality, i.e. collection or
preparation of a number of documentation, submission
to government authorities, approval of application
submitted, receipt of formal certificate, etc.
 RULE I, SEC. 4 IRR
DEFINITION OF TERMS
• Complex transactions – applications or requests which
necessitate evaluation in the resolution of complicated
issues
• Highly technical application/transaction – transaction
which requires the use of technical knowledge,
specialized skills and/or training in the processing
and/or evaluation thereof
• Processing time – time consumed for the acceptance
of application or request with complete requirements,
accompanying documents, and payment of fees, up
to the issuance of certification/approval/disapproval
 RULE I, SEC. 4 IRR
DEFINITION OF TERMS
• Report Card Survey – evaluation tool that provides
quantitative measure of actual government service
user perception on the quality, efficiency and
adequacy of different government services
• Simple transactions – applications or requests which
only require ministerial actions (no regard to or exercise
of judgement), or which present only inconsequential
issues for the resolution
 COVERAGE (SEC. 3)
All government offices and agencies including:

National Local Government Owned

Government Government & Controlled
Agencies Units (LGUs) Corporations
(NGAs) (GOCCs)

Other Government Instrumentalities (whether

located in the Philippines or abroad)
 REENGINEERING OF SYSTEMS
AND PROCEDURES (SEC. 5)
All government agencies shall:
• Undertake cost compliance analysis, time
and motion studies
• Undergo evaluation and improvement of
their transaction systems and procedures
• Undergo regulatory impact assessment to
the proposed regulations
• Initiate review of existing policies and
operations
• Commence with the reengineering of their
systems and procedures.
 COVERAGE AND PROCEDURES
(IRR RULE III, SEC. 2)
All government agencies shall submit a
comprehensive list of services to the ARTA
Authority:
1. Steps
2. Transaction Costs
a) Primary
b) Other transaction (Building Permit; FSIC)
3. Substantial Compliance Cost (e.g.
MEEDO)
4. Number of Signatures
5. Number of Documents (to complete the
cycle)
 CITIZEN’S CHARTER (SEC. 6)
All government agencies shall set up their
most current and updated Citizen's
Charter. Must indicate:

Comprehensive and uniform

checklist of requirements for each
type of application or request

Procedure to obtain a particular

service

Person/s responsible for each

step
 FORM AND CONTENT
(RULE IV, SEC. 2)
1. Comprehensive and uniform checklist
2. Procedure to obtain a particular checklist
3. Person responsible for each step
4. Maximum time to conclude the process
5. Document to be presented by the applicant or
requesting party
6. Amount of fees and place of payment
7. Procedure for filing complaint
 RESPONSIBILITIES OF GOVERNMENT
AGENCIES
(RULE IV, SEC. 3)
1. Set up the most current and updated service
standards
2. Develop and foster client feedback mechanism and
client satisfaction measurement
3. Monitor and periodically review the Citizen’s Charter
4. Submission of a new Citizen’s Charter by government
agencies
 REENGINEERING…....
Maximum time to conclude the
process

Document/s to be presented by
the applicant or requesting party

Amount of fees

Procedure for filing complaints

 NEW PROVISION: ADOPTION OF ZERO
CONTACT POLICY (SEC. 7)
All government agencies including local
government units (LGUs) shall adopt a zero-contact
policy.

Face to face transaction is LIMITED only 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 requesting party concerning an
application or request.

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 ZERO CONTACT POLICY
(IRR RULE V, SEC. 2)
Exceptions:

1. Payment of application and other fees (if no online

payment facility or applicant prefers over-the-
counter payment)

2. For complex and/or highly technical transactions

(e.g. inspection, training or meeting when
appearance is an integral part of the application
process)

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 ZERO CONTACT POLICY
(IRR RULE V, SEC. 2)
Exceptions:

1. Payment of application and other fees (if no online

payment facility or applicant prefers over-the-
counter payment)

2. For complex and/or highly technical transactions

(e.g. inspection, training or meeting when
appearance is an integral part of the application
process)

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 ACCESSING GOVERNMENT SERVICES
(IRR RULE VII)
Sec.2 - Acceptance of Applications and
Requests
• Preliminary assessment of application or
request and its supporting documents
(checklist) and inform clients of its deficiency.
• Deficient or incomplete application/requests
shall not be processed
• If complete, receiving officer/employee shall
assign a unique ID number and issues
acknowledgment receipt signifying
acceptance

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 ACCESSING GOVERNMENT SERVICES
(IRR RULE VII)
The acknowledgement receipt shall contain the
following:
• ID or transaction number
• Seal of the agency
• Name of the responsible officer or employee
and designation
• Date and time of receipt
• Phone number of the office (for follow up)

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 IRR RULE VII, SECTION 3
ACTION OF OFFICES

Working days for Working days for

simple Highly Technical
transactions Application

Application or request for

45 working license, clearance, permit
days or authorization which
Working days for This can be require the approval of the
complex extended for local Sangguniang Bayan,
transactions another Sangguniang Panlungsod,
twenty (20) or the Sangguniang
working days
Panlalawigan.
The number of signatories in any document shall be limited to a maximum of
three (3) signatures from 5 signatories.
 IRR RULE VII
ACCESSING GOVERNMENT SERVICES

• No application or request shall be returned without

appropriate action (sec. 3)
• Approve
• Disapprove
• Deny

• If disapprove or denied: (sec. 4, Rule VII, IRR)

• Send notice to the applicant within the prescribed
processing time, stating the reason therefor
• Fully explain in writing by the officer who denied the
request
 IRR RULE VII
ACCESSING GOVERNMENT SERVICES
• Limitation of signatories (sec. 5)
• At least 3: department head; head of office; next-in-
rank

• Adoption of working schedule to serve clients (sec.

7)
• Establish a rotation scheme

• Identification card (sec. 8)

• Establishment of Public Assistance and Complaints
Desk
 IRR RULE VIII
AUTOMATIC APPROVAL OF LICENSE,
PERMIT, CERTIFICATION AND
• Conditions:
AUTHORIZATION
• Fails to approve or disapprove an original
application or request
• All the required documents have been submitted;
and
• All the required fees and charges have been paid.

• Exception:
• Licenses, clearances, permits, certifications, or
authorizations have already expired at the time of
the submission of application or request.
 STREAMLINED PROCEDURES FOR THE
ISSUANCE OF LOCAL BUSINESS LICENSES,
CLEARANCES, PERMITS OR AUTHORIZATIONS
(SEC. 11)
Use of Unified Business Application Form

Establishment of Business One Stop Shop

(BOSS)
Cities/Municipalities are mandated to
automate their business permitting and
licensing system within 3 years.
 PROCEDURES….
• Barangay clearances and
permits related to doing
business shall be applied,
issued, and collected at
the city/municipality. (Co-
location with LGUs)

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.
Co-location with the Business One Stop Shop (BOSS)

Enter into agreements with LGUs and develop an

online or electronic mechanism for such
applications.

Bureau of Fire Protection shall not sell, offer 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 Php 500,000.00 but not more than Php
2,000,000.00.
 NEW PROVISION: STREAMLINED
PROCEDURES FOR FSEC, FSIC, AND
CERTIFICATION OF FIRE INCIDENTS FOR
FIRE INSURANCE. (SEC. 12)
TYPE OF APPLICATION NUMBER OF DAYS

Fire Safety Evaluation seven (7) working days.

Clearance (FSEC)

Fire Safety Inspection seven (7) working days.

Clearance (FSIC)

Certification of Fire twenty (20) working days

Incident (CFI) (extended once)
 NEW PROVISION: CREATION OF CENTRAL
BUSINESS PORTAL (SEC. 13)
• DICT is primarily responsible in establishing,
operating and maintaining a central business
portal or other similar technology

• 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 or
authorizations issued by the local government
units.

• Provide links to the online registration or

 NEW PROVISION: ESTABLISHMENT OF
PHILIPPINE BUSINESS DATABANK (SEC. 14)

• DICT in coordination with other government agencies

will establish a Philippine Business Databank within a
period of one (1) year.

• Provide 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.
 NEW PROVISION: INTERCONNECTIVITY
INFRASTRUCTURE DEVELOPMENT
(SEC. 15)
TYPE OF TYPE OF NUMBER OF
APPLICATION GOVERNTMEN DAYS
T
AGENCY/OFFI
CE
Processing and BARANGAY Seven (7)
approval of working days
licenses, NGAs Seven (7)
clearances, working days
permits or
LGUs Seven (7)
authorizations for
working days
the installation and
operation of Local non-extendible
telecommunicatio Legislative period of twenty
 NEW PROVISION: INTERCONNECTIVITY
INFRASTRUCTURE DEVELOPMENT
(SEC. 15)
• For homeowners and other community clearances, the
officers of the homeowner’s 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. 9904 otherwise known as the
“Magna Carta for Homeowners and Homeowners
Associations”

• Within three (3) months upon the approval of the IRR

of this Act, the Authority, in coordination with the DICT,
shall review and recommend the repeal of outdated,
redundant and unnecessary licenses, clearances,
permits or authorizations being required by NGAs,
LGUs, and private entities.
NEW PROVISION: ANTI-RED TAPE
UNIT IN CIVIL SERVICE
COMMISSION (SEC. 16)
The Anti-Red Tape Unit in Civil Service Commission
(CSC) shall:

1. Maintain an anti-red tape unit in its central and

all its regional offices

2. Utilize Report Card Survey (for purposive and

integrated government-wide human resource
systems and programs)

3. Receive, review, hear, and decide on complaints

on erring government employees and officials
and non-compliance.
 NEW PROVISION: CREATION OF THE ANTI-
RED TAPE AUTHORITY
(SEC. 17)
• Director General (DG) with a
rank of Secretary
• (3) Deputy Directors – General
(DDG) for legal, operations, and
COMPOSITION
administration and finance. The
DDG are career officials with a
rank equivalent to
Undersecretary
• DG – Appointed and co-
terminus with the President of
TENURE AND EMPLOYMENT
the Philippines
STATUS
• DDG – Appointed by the
President of the Philippines
• Anti-Red Tape Authority attached under the Office of the President
(OP).
POWERS AND FUNCTIONS OF THE
ANTI-RED TAPE AUTHORITY
(SEC. 17)
(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 this Act, and issue notice of warning to erring and/or
non-complying government employees or officials;

(d) Initiate investigation, motu propio or upon receipt of a complaint,

refer the same to the appropriate agency, or file cases for violations
of this Act;
POWERS AND FUNCTIONS OF THE
ANTI-RED TAPE AUTHORITY
(SEC. 17)
(e) Assist complainants in filing necessary cases 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;
 POWER AND FUNCTIONS OF THE ANTI-
RED TAPE AUTHORITY(SEC. 17)
(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;

(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
 NEW PROVISION: STRUCTURE OF
THE EODB/ARTA ADVISORY
COUNCIL (SEC. 19)
Chairperson - Secretary of the DTI

Vice-Chairperson - Director General of the Authority

Members: Secretaries of the DICT, DILG

and Department of Finance (DOF), and
two (2) representatives from the private
sector

• National Competitiveness Council will be renamed and

reorganized as Ease of Doing Business and Anti-Red Tape
Advisory Council, will be the policy and advisory body to the
Authority.
 FUNCTIONS OF THE EODB/ARTA
ADVISORY COUNCIL (SEC. 19)
• Plan, draft and propose a national policy on ease of doing business
and anti-red tape;

• Recommend policies, processes and systems to improve regulatory

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

• Design and identify systems that will continuously enhance and

improve the delivery of services in government and ease of doing
business in the country;

• Authorize the creation or appointment of specific working groups

or taskforces in aid of the implementation of this Act;
 FUNCTIONS OF THE EODB/ARTA
ADVISORY COUNCIL (SEC. 19)
• Propose legislation, amendments or modifications to Philippine laws
related to anti-red tape and ease of doing business;

• Periodically review and assess the country’s competitiveness

performance, challenges, and issues;

• Provide technical assistance and advisory opinions in the review of

proposed national or local legislation, regulations, or procedures;

• 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

• (Perform such other functions as may be necessary or as may be

directed by the President for the successful implementation to
attain the objectives of this Act.
REPORT CARD SURVEY (SEC. 20)

• All offices and agencies providing government services shall

be subjected to a Report Card Survey to be initiated by the
Authority, in coordination with Civil Service Commission (CSC)
and the Philippine Statistical Authority (PSA) to obtain
feedback and information in compliance with the
requirements under the Citizen Charter.

• The RCS will also be used as basis for granting of awards,

recognition, and/or incentives for excellent delivery of services
in all government agencies.
 VIOLATIONS AND PERSONS
LIABLE (SEC. 21)
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/request;
 VIOLATIONS AND PERSONS
LIABLE (SEC. 21)
Any person who performs or cause the performance of the following
acts shall be liable:

e. Failure to render government services within the

prescribed processing time on any application
and/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;

g. Failure or refusal to issue official receipts; and

h. Fixing and/or collusion with fixers in consideration of

economic and/or other gain or advantage.
PENALTIES AND LIABILITIES (SEC.
22)
PENALTY

6 months suspension without pay

FIRST OFFENSE
(administrative liability)

Disqualification from public office and

forfeiture of retirement benefits and
imprisonment of one (1) 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
SECOND OFFENSE (P2,000,000.00) (administrative and
criminal liability
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.
ADMINISTRATIVE JURISDICTION
(SEC. 24)

• 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.
 TRANSITION FROM MANUAL TO
SOFTWARE ENABLED BUSINESS
RELEATED TRANSACTION (SEC. 26)
• 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 (4th), fifth (5th) and sixth (6th) class are provided with appropriate
equipment and connectivity, ICT platform, training and capability building to
ensure the LGUs compliance with this Act.
 TRANSITORY PROVISIONS (SEC.
27)
• Director General of the Authority, in consultation with the DTI shall
determine the organizational structure and personnel
complement of the Authority.

• DTI-Competitiveness Bureau will serve as temporary secretariat of

the Authority until such time that its organizational structure and
personnel complement have been determined and filled up.

• Staff of the Competitiveness Bureau of the DTI shall have the

option to be absorbed or transferred laterally to the Authority
without diminution of their rank, position, salaries and other
emoluments.
 APPROPRIATIONS PROVISION (SEC. 29)
Amount necessary to carry out the provisions of this Act shall be
charged against the current year’s appropriations of the concerned
agencies.

Additional amount of Three hundred million pesos

(P300,000,000.00) as initial funding for the Authority to be
charged against the unexpended contingency funds of the
Office of the President.
IMPLEMENTING RULES AND REGULATIONS
(SEC. 30)
• The Authority with the Civil Service Commission (CSC)
and Department of Trade and Industry (DTI) and in
coordination with DICT, DOF, DILG, NEDA, PSA, CDA, SEC,
the Office of the Ombudsman, Housing and Land
Regulatory Board (HLURB), and the Union of Local
Authorities of the Philippines (ULAP) to promulgate the
necessary rules and regulations within ninety (90)
working days from the effectivity of this Act.
 IMPORTANT DATES TO
REMEMBER:
• May 28, 2018 – Signing of the RA No. 11032:
EODB and Efficient Government Service Delivery
Act of 2018

• June 02, 2018 – Publication of the RA 11032

(Philippine Gazette, Manila Bulletin and Business
Mirror)

• June 17, 2018 – Effectivity of the RA 11032

• October 22, 2018 – 90th day of the Implementing

Rules and Regulations
No.
THANK YOU VERY
MUCH!!!THANK
YOUTHQ