Charmaine Tadalan Archives - ��ý Online

Not all tax reforms approved by yearend

��ý — Mon, 17 Sep 2018 16:32:42 +0000

By Elijah Joseph C. Tubayan
and Charmaine A. Tadalan
Reporters
REMAINING TAX REFORMS targeted by the Executive will bag final approval in the House of Representatives this 17^th Congress, a leader of the chamber assured on Monday, but not all will hurdle both legislative chambers by yearend as President Rodrigo R. Duterte (PRRD) requested in his third State of the Nation Address (SoNA) last July.
The Executive had submitted all tax reform packages to Congress in July in hopes of securing legislative approval by Dec. 14 — when lawmakers go on their Christmas break — since legislators are expected to increasingly be taken up with preparations for the May 2019 mid-term elections towards yearend.
Newly installed House Ways and Means panel Chairman Rep. Estrellita B. Suansing of Nueva Ecija’s first district told reporters on Monday that she is committed to securing final approval of all tax reforms “before my term ends and before Speaker’s (Gloria M. Arroyo’s) term will end” on June 7 next year, the last day of the 17^th Congress.
“We have six bills pending, we have six months to go… at least one bill should be passed in the House (on) third and final reading every month,” Ms. Suansing said.
Sought for comment, Presidential Spokesperson Harry L. Roque, Jr. sidestepped a question on Mr. Duterte’s request for yearend approval of all tax reform tranches, replying in a mobile phone message: “We’re very happy for the support the Committee gave to this administration initiative.”
Sought separately for comment, Finance Undersecretary Karl Kendrick T. Chua said only that “consistent with PRRD’s SoNA, we hope Congress can pass all tax reform packages ‘in succession’.”
Only the first package has been enacted so far: Republic Act No. 10963 or the Tax Reform for Acceleration and Inclusion Act (TRAIN) that slashed personal income tax rates but increased or added taxes on a host of items besides scrapping value added tax exemptions.
Still awaiting plenary approval in the House is the second package — the Tax Reform for Attracting Better and High-quality Opportunities (TRABAHO) bill — which reduces the corporate income tax rate gradually to 20% from 30% currently and removes redundant fiscal incentives that have been costing the economy billions of pesos in foregone revenues yearly, among other measures.
The other proposed reforms include a general tax amnesty, further increases in tobacco and alcohol excise tax rates, a bigger government take in mining revenues, adoption of a uniform valuation scheme for real property taxes at the local level and streamlining of taxes on passive income, among other measures.
NEW MINING TAX ‘PUNISHING’
The House on Monday began committee-level discussions on the tax bills designed to give government a bigger share in revenues of miners, who opposed both measures.
The Ways and Means committee started deliberations on the Department of Finance (DoF)-backed House Bill No. 7994, which seeks to impose a uniform royalty equivalent to five percent of miners’ gross output on top of all other national and local taxes.
It also discussed House Bill 422, which seeks to impose a 10% tax on miners’ gross revenues, or a 55% levy on their adjusted net mining revenue — defined as gross revenue less production and other deductible costs, but not to exceed 10% of direct mining, milling and processing costs — whichever is higher, in lieu of all national and local taxes except for taxes on real property, value added, capital gains, stock transactions, documentary stamps, donors, and other fees.
“We will get ‘yung magagandang (the good) provisions; we will consolidate the two bills,” she said. “We want to finish the technical working group (meetings) this week so that makalabas na kami ng (we can come up with the) committee report. If there is a committee report this week then baka in two weeks time nasa (the measure will be with the) plenary �Բ�.”
The DoF expects HB 7994 to generate a P1.83-billion incremental revenue in the first year of implementation.
Ms. Suansing said both bills address Executive Order No. 79, signed by Benigno S.C. Aquino III in 2012, as the new revenue-sharing scheme will allow the Executive to lift the moratorium on new mining contracts.
The Chamber of Mines of the Philippines (CoMP) opposed both bills during the hearing, saying taxes on the industry are already “very heavy,” as levies on minerals have just been increased by TRAIN, which took effect last January.
“We were hoping that the four percent was enough… It would be too much of a burden and would make our country’s tax structure uncompetitive. The total tax will be punishing,” said CoMP Executive Director Ronald S. Recidoro in an interview after the hearing.
He cited a 2012 International Monetary Fund study that the Philippines’ current mining tax is “already too high to attract quality investments that we need.”
Mr. Recidoro said that he would prefer a tax on net revenues, as the tax on gross would be “regressive” for miners given large up-front costs on heavy machinery, power and labor.
“The tax structure must be progressive. Base the tax not on gross, but on profit, such that when profits increase, tax rates go up. It’s more equitable,” he explained. “If profits go up then we’re okay with an increased tax rate, but there should be a commensurate deduction in tax rates when profits are low.”
But Ms. Suansing said: “they are earning in some months, some months they are losing. Ganun talaga ang negosyo (That’s business).”
Walter W. Brown, president and chief executive officer of listed Apex Mining Company, Inc., said in the same hearing that “[t]he imposition of the same tax regime for all types of mines should be amended.”
“Before we tax mines we should take a look at the cost structure… underground miners’ cost structure is much higher versus nickel miners. It should be subject to much more definitive study.”

Budget debates stalled amid friction in House

��ý — Mon, 17 Sep 2018 13:02:20 +0000

PLENARY DEBATES on the proposed 2019 budget were stalled at the House of Representatives on Monday amid a brewing conflict among the House leaders.
Majority Leader Rolando G. Andaya, Jr. said the committee report on House Bill 8196, Fiscal Year 2019 General Appropriations Bill, has not been endorsed to the plenary by the Rules Committee.
“(The) committee report is still being ironed out, ‘yung sinasabing ayaw niya pirmahan (the one he doesn’t want to sign),” Mr. Andaya told reporters in a press briefing, Monday, referring to Appropriations Committee Chair Karlo Alexei B. Nograles.
On the other hand, Mr. Nograles claims that the committee report had been prepared as early as last week.
“We’ve been ready and willing to defend this since… we approved the committee report last week,” Mr. Nograles said.
He also disclosed the House leaders had instructed him to conduct a committee meeting on Monday morning, ahead of the scheduled debates at 10:00 a.m.
“There was a meeting. They wanted me to conduct a committee hearing this morning. They wanted me to approve other committee report(s) which did not happen,” Mr. Nograles told reporters in an ambush interview.
Mr. Andaya, however, disputed Mr. Nograles, saying it was he who called the meeting.
“I think he’s the one who has the copy of the committee report… I cannot prepare a committee report for him. I’m not the chairman of the Committee on Appropriations. I can only suggest things to him,” the Majority Leader also said.
When asked when the chamber plans to resume plenary debates, Mr. Andaya said “hopefully, tomorrow morning we can start.”
Also on Monday, Minority Leader Danilo E. Suarez said there were plans to oust Mr. Nograles from the Appropriations Committee.
“The minority leader cannot speak for the majority coalition, and has in fact already withdrawn his previous statement,” Mr. Nograles said in response.
“Be that as it may, if anybody wants to remove me as Chair of the Committee on Appropriations, then they can have the position, but they cannot be allowed to make the President break his promise to our people,” he added. — Charmaine A. Tadalan

Poverty database bill hurdles House committees

��ý — Sun, 16 Sep 2018 13:43:30 +0000

A SUBSTITUTE bill establishing a data collection system for welfare beneficiaries, has been approved by two committees at the House of Representatives.

House Bill (HB) 8217, or the Consolidated Poverty Data Collection (CPDC) System Act will set up the data collection effort at local government unit (LGU) level. The bill said the database is an “economic and social tool towards the formulation and implementation of poverty alleviation and development programs.”
The bill names the Philippine Statistics Authority (PSA) as the lead implementing agency, in coordination with the Department of Information and Communications Technology and the Department of Interior and Local Government.
LGUs will serve as the primary data collectors, which will require the deployment of additional PSA statisticians at the provincial level.
Data collected by LGUs is to be transmitted to the PSA, which will compile them in a national CPDC System databank. LGUs may maintain their own CPDC database for planning and program implementation at the local level.
The bill has also provided measures to protect the privacy of participants and requires voluntary participation by individuals.
It provides for financial assistance to low-income LGUs.
“Fourth, fifth, and sixth class LGUs shall be given assistance in the first three years of implementation of the act,” according to the bill.
The bill consolidates HBs 4700 and 5588, and was reported out by the Committees on Poverty Alleviation and Appropriations to the Rules Committee. — Charmaine A. Tadalan

Bill filed to exempt OFW dependents from travel tax

��ý — Sun, 16 Sep 2018 13:40:16 +0000

A BILL exempting the dependents of Overseas Filipino Workers from paying travel tax has been filed at the House of Representatives.
House Bill 8196, introduced by Bulacan Rep. Jose Antonio R. Sy-Alvarado, will cover dependents of either married or solo parents working overseas.
Passengers leaving the country are charged P1,620 travel tax for economy and business class seats, regardless of the place where the air ticket was issued, as provided in Presidential Decree 1183. The rate increases to P2,700 for first class tickets.
At present, migrant workers are exempted from paying travel tax, documentary stamp tax and airport fees.
If enacted, the bill will change Section 35 of the Migrant Workers and Overseas Filipinos Act of 1995, as amended, by including in the exemption the dependents of OFWs.
Mr. Sy-Alvarado filed the measure in consideration of the economic contributions of OFWs.
“The total remittances of our beloved overseas workers amount to billions of dollars which in return contributes to a positive impact on the country’s earnings and foreign exchange rate,” he said in the explanatory note.
The bill intends to “alleviate their sacrifices to their respective families and recognize their valuable role,” he added.
The proposed bill is pending at the House Committee on Overseas Affairs with a related measure House Bill 6138, authored by Davao del Norte Rep. Pantaleon D. Alvarez and Ilocos Norte Rep. Rodolfo C. Fariñas. — Charmaine A. Tadalan

House resolution seeks to block national franchise for solar firm

��ý — Thu, 13 Sep 2018 13:20:59 +0000

A RESOLUTION seeking to block a bill granting a franchise to Solar Para sa Bayan Corp. has been filed at the House of Representatives, with the resolution’s backers claiming that the franchise conflicts with the Electric Power Industry Reform Act (EPIRA).
“The unconstitutional nature of this Bill grants Solar a Master Franchise to operate all throughout the Philippine archipelago,” PACMAN Rep. Michael L. Romero said in a briefing, Thursday.
“This is a blanket authority that would allow it to infringe and encroach on all existing franchises of main transmission grids,” he added.
House Bill 8179 will grant the Solar Para sa Bayan a franchise to construct, install, establish, operate and maintain distributable power technologies and minigrid systems.
According to House Resolution 2182, the franchise violates Section 59 of the EPIRA Law, which provided that “only those which are in remote and unviable villages that the franchise utility is unable to service for any reason shall be opened to other qualified parties.”
The bill, the resolution’s backers said, will also duplicate the functions of the National Grid Corp. of the Philippines.
JUST ADDRESSING UNMET NEEDS
Solar Para sa Bayan was founded by Solar Philippines President Leandro L. Leviste, who said in a mobile phone message on Friday evening that the company was just meeting communities’ needs.
“First, whoever made these claims must not have read the bill. The text explicitly states it is non-exclusive, gives no incentives, incurs zero cost to government, and obligates us to charge the least cost for power and be subject to ERC regulation. What the bill does is give us the right to offer the Filipino people an alternative to their current providers — which is unsurprisingly why these providers must be so alarmed,” Mr. Leviste said in response to a request for comment.
“Second, the status quo has failed to address the needs of 20 million Filipinos without 24/7 electricity, and many more who endure the highest power rates in Asia; which is why a Pulse Asia survey indicates that 82% of Filipinos favor new options for electric providers; and over 30 members of the House committee overwhelmingly approved the bill after extensive deliberations. Yet power companies want to preserve their existing monopolies and deprive Filipinos of non-exclusive alternatives like us,” he added.
“Lastly, Solar Para Sa Bayan already has minigrids in 12 towns to benefit 200,000 Filipinos, the first time a company has invested in such areas without any government subsidy. We would be glad if others would emulate instead of block these projects, so we can all bring affordable, reliable electricity to every Filipino as fast as possible. The people in Mindoro, Palawan, Masbate, Cagayan, and Aurora, who are receiving 24/7 power for the first time from us, could care less of the opinions of a few people in Manila.”
DISADVANTAGE
The resolution was filed by Buhay Rep. Jose L. Atienza and PACMAN Reps. Romero and Enrico A. Pineda among others.
The legislators also noted that the bill was passed after only two committee hearings.
The bill was also opposed by associations of solar power developers, who cited its hasty approval without the necessary consultation.
“We all agreed that we are going to sign a common statement to register our opposition against House Bill 8179… We want to articulate our position and convey why we are against this particular bill,” according to Ma. Theresa C. Capellan, president of the Philippine Solar and Storage Energy Alliance (PSSEA), in a news conference on Thursday in Makati City.
Aside from PSSEA, the other groups that oppose the franchise are the Confederation of Solar Developers of the Philippines, Inc. (CSDP); Renewable Energy Association of the Philippines (REAP); Organization of Socialized and Economic Housing Developers of the Philippines, Inc.; and Philippine Rural Electric Cooperatives Association, Inc., she said.
Ms. Capellan noted that such a franchise also disadvantages developers like REAP, a group of small and medium enterprises (SMEs) that install solar rooftops.
“It will practically destroy the SMEs in solar,” she said.
Don Mario Y. Dia, president of CSDP, said there is no need for the issuance of the franchise for Solar Para sa Bayan.
“There is no legal necessity to grant the proposed franchise to a specific entity,” he said, pointing out that the solar energy sector is vibrant and competitive. “What is so special about this franchise given to this specific entity?”
In their joint statement, the associations called on Congress to “junk” HB 8179.
“Instead, our policy makers and legislators should craft another bill that promotes fair and healthy competition, fosters reforms and innovations, for qualified third parties (QTPs) in un-served and missionary areas, enabling the continuing expansion of clean energy projects, broader and more efficient services, and lower electricity rates, especially for unserved and underserved areas,” they said.
Republic Act No. 9136 or the Electric Power Industry Reform Act of 2001 (EPIRA) lays down the legal requirements for any entity to participate in the generation and supply sectors, they said.
“All generators and suppliers of electricity in contestable markets do not need any national franchise. The supply rules already in place provide that the prices to be charged by suppliers are not subject to the regulation of the ERC (Energy Regulatory Commission),” they said.
They said EPIRA covers un-served and missionary areas by allowing QTPs to supply and distribute electricity to un-energized communities. — Victor V. Saulon and Charmaine A. Tadalan

Nationwide round-up

��ý — Wed, 12 Sep 2018 13:50:02 +0000

Candidacy filing for 2019 polls moved to Oct. 11-17

THE COMMISSION on Elections (Comelec) announced on Wednesday that dates for the filing of certificate of candidacy(COC) for next year’s national and local elections have been moved to Oct. 11-17.
Comelec Spokesperson James B. Jimenez said in his Twitter account: “The COMELEC en banc has authorized the re-scheduling of the filing of certificate of candidacies for the #2019NLE, to October 11-17, 2018, excluding Saturday and Sunday.”
Mr. Jimenez also said that on the last days, there will be no extension for the filing hours.
The original dates for filing of the COCs were Oct. 1 to 8.
Earlier this week, the House of Representatives and the Senate issued House Concurrent Resolution No. 20, which orders the Comelec to move the filing of COCs to the second week of October to give Congress time to discuss the 2019 National Budget.
Comelec Commissioner Rowena V. Guanzon told reporters yesterday that despite the postponement, they’ll still be able to finish the final list of candidates on Dec. 15, “provided that (the Comelec) will have more people and will have more computers, which the commission en banc approved.”
“The law department (of the Comelec) must have a final list of candidates (by Dec. 15) because that will have to be printed in the ballots,” she explained.
For his part, House Majority Floor Leader Rolando G. Andaya Jr. said in a phone message to reporters, “We, in the House of Representatives, commend the COMELEC for acceding to our request for the re-scheduling of the COC filing period. Now, we can buckle down to work and focus on deliberating the priority legislative measures of the President without the distractions of electoral campaign.”
The lawmaker added, “We expect more productive sessions ahead, with the end in view of completing our task before the election campaign period commences in October.” — Gillian M. Cortez

De Vera-led group asks Supreme Court to settle House minority bloc issue

THE MINORITY group led by ABS Party-list Rep. Eugene Michael B. de Vera has filed a petition before the Supreme Court, seeking to be recognized as the duly constituted Minority bloc in the House of Representatives.
In their 44-page petition, dated Aug. 29, the solons also asked the country’s highest court to issue a temporary restraining order (TRO) against Quezon Rep. Danilo E. Suarez to “cease and desist from performing the duties and functions of the Minority Leader.”
The petition was filed by Mr. de Vera; Davao del Norte Rep. Pantaleon D. Alvarez, the former House speaker; and Ilocos Norte Rep. Rodolfo C. Fariñas, former majority leader; among others.
The case stemmed from the conflict among factions within the chamber that claimed the Suarez-led minority stripped themselves of their minority position after voting in favor of Pampanga Rep. Gloria Macapagal-Arroyo as the new speaker.
Majority Leader Rolando G. Andaya, Jr., who was among the respondents, said that while the petition has been filed, the chamber will continue with its work under the present set-up.
“We recognize and respect their right to seek redress from the Supreme Court. The House leadership will continue with the business of the day under the present organizational set-up. We have a full docket of bills to be passed,” Mr. Andaya said in a statement on Wednesday.
“We enjoin all House members to focus on our legislative work before the onset of the election campaign period,” he added. — Charmaine A. Tadalan

Makabayan bloc backs P10 billion extra NFA budget for use in rice procurement only

��ý — Wed, 12 Sep 2018 13:10:10 +0000

THE MAKABAYAN bloc of legislators on Wednesday filed a resolution backing a P10-billion supplemental budget for the National Food Authority (NFA) for domestic rice procurement between September and January.
House Joint Resolution 28, hopes to ease the rice crisis by directing the NFA to acquire at least 500,000 metric tons (MTs) of rice from local farmers at P20 per kilogram.
According to the resolution, the NFA’s preference to service its debt hindered it from fulfilling its mission to buy rice from farmers, thereby creating “a need to provide the agency a supplemental budget so it can resume procuring palay from local production in order to (ease) the shortage of NFA rice.”
The Makabayan bloc, a coalition of party list representatives, noted that NFA’s reliance on rice imports hindered it from meeting its procurement target.
“In 2017, with its reliance on importation, it only procured 28,344 metric tons of palay out of a target of 153,483 metric tons,” according to the resolution.
The NFA, without approval of the NFA Council, used its P5.1 billion Food Security budget under the General Appropriations Act (GAA) of 2017, to pay down maturing loans, according to the resolution.
In 2018, the agency also used much of its budget for Buffer Stocking on debt service.
“It again used P6.1 billion of its P7 billion allocated in the 2018 GAA for Buffer Stocking Program to pay for its maturing loans,” the Makabayan bloc said. This resulted to the procurement of only 334 MT of rice in January 2018.
The bloc’s legislators proposed to direct the NFA to exclusively utilize the proposed additional P10-billion in funding on procurement. — Charmaine A. Tadalan

Impeachment complaint against seven SC justices dismissed

��ý — Tue, 11 Sep 2018 13:49:38 +0000

By Charmaine A. Tadalan
THE HOUSE COMMITTEE on Justice on Tuesday dismissed the impeachment complaints filed by opposition lawmakers against the seven Supreme Court justices who granted the quo warranto petition that ousted Maria Lourdes P.A. Sereno as Chief Justice.
“With 23 voting against the motion, the motion to declare the… impeachment complaints to be sufficient in substance is defeated,” Committee chair, Oriental Mindoro Rep. Salvador C. Leachon, said during the panel meeting.
“That being the case, the seven consolidated complaints against Chief Justice Teresita Leonardo-De Castro and six members of the Supreme Court are declared by this committee to be insufficient in substance,” he also said.
Mr. Leachon was acting on the motion of Siquijor Rep. Ramon V.A. Rocamora to vote on the complaints’ sufficiency in substance. Mr. Rocamora was the sole member of the committee to vote in the affirmative.
Mr. Rocamora said the justices had “prejudged the (quo warranto) case” against Ms. Sereno based on their testimonies before the Committee during the impeachment proceedings against her.
“(The) basic foundation of our justice system is the requirement that a judge should be impartial…and should appear to be impartial,” Mr. Rocamora argued. “Can you say they are impartial when they decided the quo warranto?”
Some members of the panel, however, said the justices merely testified in accordance with the subpoena issued by the House Justice Committee in the course of its proceedings on the impeachment complaint against Ms. Sereno.
“I believe the Justices should not be punished for respecting a co-equal branch of government….As resource persons, they helped this Committee in performing its constitutional mandate,” Cavite Rep. Strike B. Revilla said during his manifestation.
The Committee on Sept. 4 found the complaints sufficient in form. The panel will again hold a hearing on Sept. 18 to finalize a committee report that will be up for plenary approval.
The impeachment complaints, filed by Albay Rep. Edcel C. Lagman, Magdalo Rep. Gary C. Alejano, and Ifugao Rep. Teddy B. Baguilat, Jr., were for culpable violation of the Constitution and betrayal of public trust.
Also among the respondents are Justices Diosdado M. Peralta, Lucas P. Bersamin, Andres B. Reyes, Francis H. Jardeleza, Noel G. Tijam, and Alexander G. Gesmundo.

House OK’s second tax reform

��ý — Mon, 10 Sep 2018 16:33:36 +0000

WITH 187-14-3 votes, the House of Representatives on Monday approved on third and final reading the second of up to five planned tax reform tranches that cuts the corporate income tax (CIT) rate and removes fiscal incentives deemed redundant.
Among others, the House Bill No. 8083, or the “Tax Reform for Attracting Better and High-quality Opportunities” (TRABAHO) bill, will cut the CIT to 20% gradually from the current 30% in order to lure investments by putting the rate at par with much of Southeast Asia. At its current rate, the Philippines’ CIT is higher than those of Cambodia, Thailand and Vietnam which have a 20% rate as well as Singapore’s 17%.
Another key feature is a uniform tax incentive scheme to be administered by all investment promotion agencies, a five- to seven-year cap on provision of income tax holidays and removal of redundant perks that have been costing the economy hundreds of billions of pesos in foregone revenues annually.
Following the first package, Republic Act No. 10963 or the Tax Reform for Acceleration and Inclusion (TRAIN) law that cut personal income tax rates on the one hand but removed several value-added tax exemptions as well as increased or added taxes on several items when it took effect last January, the Executive submitted at end-July the remaining proposed tax reforms to both chambers of Congress in hopes of securing legislative approval before lawmakers start focusing on the May 2019 mid-term elections starting next quarter. — Charmaine A. Tadalan

Congress moves for resetting filing of candidacies to Oct. 11-17

��ý — Mon, 10 Sep 2018 13:35:33 +0000

CONGRESS ON Monday adopted resolutions in its respective chambers calling on the Commission on Elections to reset the filing of certificates of candidacy for next year’s midterm elections.
The Senate adopted Concurrent Resolution No. 13 urging the Comelec to move the filing of certificates of candidacy from Oct. 1 to 5 to Oct. 11 to 17.
House Concurrent Resolution (HCR) 20, filed by Speaker Gloria Macapagal-Arroyo and Majority Leader Rolando G. Andaya, Jr., also called for the same rescheduling.
Senate President Vicente C. Sotto III said in the Senate resolution that the rescheduling will coincide with the adjournment of Congress on Oct. 12. He also said the postponement will allow lawmakers to have “undivided attention” on the proposed 2019 General Appropriations Bill and other priority measures.
House leaders also cited the pending legislative agenda, including the budget.
Senators Juan Edgardo M. Angara, Paolo Benigno A. Aquino IV, Maria Lourdes Nancy S. Binay, Joseph Victor G. Ejercito, Aquilino Martin L. Pimentel III, Grace S. Poe-Llamanzares, and Cynthia A. Villar are seeking reelection in the 2019 midterm polls.
The Comelec through its Resolution No. 10420 has set the period for the filing of certificates of candidacy on Oct. 1 to 5, 8:00 a.m. to 5:00 p.m. — Camille A. Aguinaldo and Charmaine A. Tadalan

Bill seeks to allocate 10% of mall space to small firms

��ý — Mon, 10 Sep 2018 12:02:23 +0000

A BILL seeking to set aside 10% of mall space for small businesses at no charge has been filed at the House of Representatives.
House Bill 8129, authored by Misamis Oriental Peter M. Unabia, seeks to amend Republic Act 9501, “Magna Carta for Micro, Small, and Medium Enterprises.”
The measure will require “malls and supermarkets to allot at least 10% of their selling area, free of charge, to qualified MSMEs, which will be identified by the Department of Trade and Industry.”
Mr. Unabia said the amendment aims to provide MSMEs more outlets to sell their products.
“It is a simple but intuitive solution to… the problem since both supermarkets and shopping malls are significant centers of commerce,” Mr. Unabia said in the bill’s explanatory note.
Citing a 2016 Philippine Statistics Authority report, Mr. Unabia said 99.57% of about 900,000 companies in the Philippines are MSMEs.
These enterprises also employ 63.3% of the work force.
Nevertheless, MSMEs face disadvantages such as lack of access to markets.
Mr. Unabia said allowing qualified MSMEs to locate in malls and supermarkets will “give them a fighting chance at developing and eventually up-scaling operations.” — Charmaine A. Tadalan

House passes mobile number portability bill on 3rd reading

��ý — Mon, 10 Sep 2018 12:01:33 +0000

THE HOUSE of Representatives on Monday approved on third and final reading a bill allowing mobile phone subscribers to switch networks without changing their numbers.
With 216 affirmative votes, zero negatives and no abstentions, the chamber approved House Bill 7652, “Mobile Number Portability,” which will require all Public Telecommunications Entities (PTEs) to provide subscribers the option to retain their current mobile numbers when changing networks, free of charge.
PTEs will also “set up a mechanism for the implementation of MNP and not to install network features, functions or capabilities that will impede implementation of the nationwide MNP system.”
PTEs also need to ensure the confidentiality of all information obtained, in compliance with the Data Privacy Act of 2012.
The new entity providing telecommunication services is required to activate the subscriber’s ported number within 24 hours.
The old provider, meanwhile, must transmit the notice of clearance to the new provider within 24 hours upon receipt of request for porting.
Penalties for failure to comply with the bill include a fine of P100,000 to P300,000 on first offense; P400,000 to 600,000 on second; and P700,000 to P1 million on third, plus the revocation of the PTE franchise.
Its counterpart measure, Senate Bill 1636, passed on third reading on Feb. 19 and was transmitted to the House of Representatives. — Charmaine A. Tadalan

Impeach raps vs SC heads up for substance debate

��ý — Sun, 09 Sep 2018 14:22:18 +0000

By Charmaine A. Tadalan, Reporter
THE HOUSE committee on justice will deliberate on Tuesday, Sept. 11, on the sufficiency in substance of the impeachment complaints against Chief Justice Teresita Leonardo-De Castro, and six other Supreme Court Justices.
“Well, we have found already the complaints… (are) sufficient in form; then on substance,” Committee Chair Salvador C. Leachon told ��ý in a phone interview Sunday.
On Sept. 4, the committee found “sufficient in form” the consolidated complaints filed by three members of the Magnificent 7, a group of independent opposition lawmakers.
Should the panel find the complaints sufficient in substance, Mr. Leachon said they will “continue to the third set and that is determination of probable cause… and that would take long.”
He noted, however, if found otherwise, the complaints will automatically be dismissed.
The impeachment raps stemmed from the quo warranto case granted by the seven Justices, invalidating the appointment of Maria Lourdes P.A. Sereno as head of the Supreme Court.
Aside from Ms. De Castro, those facing the complaints are Justices Diosdado M. Peralta, Lucas P. Bersamin, Andres B. Reyes, Francis H. Jardeleza, Noel G. Tijam, Alexander G. Gesmundo.
The complainants, led by Albay Representative Edcel C. Lagman, filed the impeachment for culpable violation of the Constitution and betrayal of public trust.
“The respondent justices committed culpable violation of the Constitution when they arrogated the powers of the JBC (Judicial and Bar Council) by supposedly ousting Sereno,” the solons stated in a letter to Mr. Leachon, dated Sept. 3.
By granting the quo warranto petition, the Justices disqualified Ms. Sereno, which goes against the JBC decision in 2012 that included Ms. Sereno in the shortlist.
“In the quo warranto petition there is no allegation whatsoever that the JBC committed grave abuse of discretion amounting to lack or excess of jurisdiction in nominating Sereno for appointment as Chief Justice. In fact, the JBC was not even a respondent in the quo warranto petition,” they also said.
They said further that Justices de Castro, Peralta, Bersamin, Jardeleza, and Tijam all committed betrayal of public trust by refusing to inhibit from the petition “despite their admitted continuing ill, bias and prejudice against Sereno.”

Bill to open gov’t procurement to foreign suppliers

��ý — Sun, 09 Sep 2018 11:26:23 +0000

A BILL relaxing domestic supplier preferences in government procurement has been filed at the House of Representatives.
House Bill 8173, introduced by Valenzuela City Representative Wes Gatchalian, seeks to strike down the domestic preference provision of the Commonwealth Act No. 138, “The Flag Law,” adopted by the Government Procurement Reform Act (GPRA).
“For the last 78 years, such domestic preference policy has confined competition in government procurement within our territorial boundaries and has discriminated against foreign suppliers,” Mr. Gatchalian said in the explanatory note.
Commonwealth Act. No. 138 provides that acquisition of any article by government offices, agencies, or corporations shall give preference to goods produced and manufactured in the Philippines.
Mr. Gatchalian said the policy has “largely promoted limited choice, high prices… and has discouraged innovation and reduced competitive pressure among local industries.”
He added that the GPRA generally supports competitiveness and is grounded on providing equal opportunity to qualified parties, regardless of nationality.
Amending the GPRA was among the priority bills identified in the Legislative-Executive Development Advisory Council. At present, 12 other House Bills and nine Senate Bills have been filed, proposing to introduce amendments to the law. All are pending at the committee level. — Charmaine A. Tadalan

Uson a lightning rod at PCOO budget hearings

��ý — Thu, 06 Sep 2018 14:00:00 +0000

THE Presidential Communication Operations Office’s (PCOO) proposed budget, which will rise 2.75% to P1.434 billion in 2019, was approved at committee level at the House of Representatives, in the face of calls for the office to be stripped of funding.
The House Committee on Appropriations on Thursday approved the PCOO budget as part of hearings to pass the General Appropriations Act of 2018.
The PCOO has attracted negative attention because of the activities of Assistant Secretary Esther Margaux J. Uson, including her partisan blogging career and a video that attempted to explain federalism via interpretative dance.
The proposed 2019 budget includes P709.36 million for personnel services, down 6.34%.
Bayan Muna Representative Carlos Isagani T. Zarate during his interpellation said Ms. Uson as a public servant should be mindful of her actions on social media.
Mr. Zarate said Ms. Uson’s blogging in support of the government tends to blur the line between her activities as a private citizen and as a PCOO employee.
“She is no longer a private (citizen), she’s a government employee… there has to be a certain degree of accountability,” he added.
Mr. Zarate also noted that Ms. Uson’s activities online should be looked into to determine whether her activities as a government employee attract advertising income.
“(The government is) financing all these programs. I hope it can be clarified (whether she earns may mga sponsors d’yan, ads, so sinong kumikita dito?” Mr. Zarate said.
PCOO representatives at the hearing said Ms. Uson has been duly notified of the expectations of her as a civil servant.
“Undersecretary Lorraine (Marie T.) Badoy… has issued a memo reminding Assistant Secretary Uson… to remind her of the provisions (of Republic Act) 6713 on the norms and conduct expected of public officials and employees,” Assistant Secretary Ana Maria Paz R. Banaag said during the hearing.
Assistant Secretary for Policy Michel Kristian R. Ablan also said that the PCOO has developed a social media policy for government workers in partnership with the Department of Information and Communication Technology (DICT).
Mr. Zarate also brought up the issue of Ms. Uson’s travels as part of the president’s entourage.
Presidential Communications Secretary Martin M. Andanar said Ms. Uson joined the president’s foreign visits at the request of the Office of President and other agencies.
He added that he authorized Ms. Uson’s various activities, including joining the president’s traveling party. He listed her duties as including producing content for PCOO on social media, government TV and Radyo ng Bayan. Specifically, she is currently running programs known as “DDS Podcast” and “Good News Duterte.” — Charmaine A. Tadalan

Analysts cite Robredo’s ‘growing assertiveness’

��ý — Thu, 06 Sep 2018 13:07:52 +0000

By Charmaine A. Tadalan
ANALYSTS SOUGHT for comment on recent statements by Vice-President Maria Leonor G. Robredo noted her “assertiveness” following President Rodrigo R. Duterte’s attacks against her and his proclamation voiding the amnesty for opposition Senator Antonio F. Trillanes IV.
Ms. Robredo on Thursday visited Mr. Trillanes in the Senate in a show of support for the senator. “Maraming problema ngayon iyong ating bansa. Napakataas ng ating inflation rate. Kagagaling ko lang sa Zamboanga kahapon, at iyong reklamo ng mga tao doon, iyong grabe iyong presyo ng bigas,” she told reporters there. (The country has many problems now. Inflation…is so high. I also visited Zamboanga yesterday, and the people there are complaining about high prices of rice.)
She also flagged the government’s “attempt to silence the opposition.”
Ms. Robredo also issued a statement on Thursday saying in part, “Expending political capital for divisive moves like revoking the validity of the amnesty provided to Senator Trillanes at time when the quality of life of our people is at stake comes at the expense of addressing the issues that truly matter to the Filipino.”
“What our people need is for its leaders to work together for solutions: the stabilization of the country’s rice supply through the installation of competent and trustworthy leadership at the NFA; revisiting the excise tax on fuel and any further impositions; and re-assessing whether the unconditional cash transfers provided by law are enough and to ensure that all qualified beneficiaries get the assistance at the soonest possible time.”
“Instead of shutting down those who dare to point out its inefficiencies, may the administration finally rise to the challenge of putting forward coherent solutions to bring down rising prices,” Ms. Robredo also said in her statement.
Sought for comment, University of the Philippines political science professor Maria Ela L. Atienza said via e-mail, “Given the various attacks on her leadership capacity from the President and his supporters, she really needs to step up in her assertiveness and show that she has the potential to lead and to propose alternative policies and actions to resolve the current problems the country is facing.”
Ms. Robredo has been branded by Mr. Duterte as being unqualified and “incompetent” for the presidency. Mr. Duterte also claimed her hometown of Naga City is a “hotbed of shabu,” an accusation vehemently disputed by Ms. Robredo and political leaders of the city.
Ms. Atienza said Ms. Robredo “could have been more assertive even earlier when she was removed from the housing portfolio and disinvited to attend Cabinet meetings. But this growing assertiveness on her part may be a welcome development given the current political climate.”
“If the VP plays her cards right and she will not be removed from her position by the Supreme Court sitting as PET (Presidential Electoral Tribunal), she can unify the various opposition groups as well as capitalize on the growing dissatisfaction of the public currently facing rice shortage, rising prices of goods, deteriorating peace and order, and open persecution of opposition figures. The opposition can mount a credible challenge to the administration by 2019,” Ms. Atienza also said.
Also sought for comment, University of Santo Tomas political science professor Marlon M. Villarin said in a phone interview, “I think what the Liberal Party or the opposition is doing right now is they are making…a strong and clear statement that in the midst of economic and political problems our country is confronting, they just want the Duterte administration to be more focused on resolving than making all this rhetorical statement concerning our country.”
“VP Leni wanted also to capitalize (on) the opportunity to make a statement that with all the issues confronting Trillanes, the opposition will not be intimidated or silenced,” Mr. Villarin also said.
“Also, to redirect people’s attention on how our country should respond to our pressing economic problem, which in effect gives the Duterte (administration the need) to be more responsible and focus on addressing economic problems,” he added.

August inflation fastest in nearly a decade

��ý — Wed, 05 Sep 2018 16:35:34 +0000

A WORKER repacks rice grains imported from Vietnam at a National Food Authority warehouse in Quezon City in this Sept. 5, 2008 photo. — AFP

HEADLINE INFLATION in August caught state economic managers and financial markets by surprise, shooting up to its fastest clip in almost a decade, according to official data the Philippine Statistics Authority (PSA) released on Wednesday.
PSA data showed that the prices of widely used goods increased by 6.4%, higher than July’s 5.7% and August 2017’s 2.6%. The latest figure was the fastest since March 2009 when it registered 6.6%.
August’s pace also pierced the 5.5%-6.2% range estimated by the as well as the 5.9% estimate of the Department of Finance and the median in .
Year-to-date, headline inflation averaged 4.8%, higher than the BSP’s target range of 2-4% for the year and right below its upward-revised 4.9% forecast for 2018.
Core inflation, which excludes food and energy items, clocked in at 4.8%, higher than last month’s 4.5% and August 2017’s 2.2%.
Financial markets reeled from the data, with the dropping 1.64% to 7,752.27 and the peso weakening to a fresh 12-year-low P53.55 to the greenback.

NEED FOR ACTION
“An unfortunate confluence of cost-push factors continues to drive consumer price inflation in August beyond the acceptable target range. Much of it has to do with food supply shocks, [r]ice in particular,” BSP Governor Nestor A. Espenilla, Jr. told reporters via Viber yesterday, adding that these factors “.”
“Elevated oil prices also continue to impact transport and power prices. At the same time, the peso (along with other currencies) is being adversely affected by emerging market uncertainties and a strong US dollar. These are adding to the cost-push pressures.”
The central bank governor further cautioned that the strong domestic demand is “making it too convenient” for producers and traders to pass on higher costs to consumers.
The food-alone index for August was 8.2%, higher than last month’s 6.8% and last year’s 3.1%. The PSA noted that, except for corn, most food subindices posted higher annual mark-ups in August.
“The government, particularly the Department of Agriculture, must act quickly and fervently with a sound judgment to ease the increasing prices of agricultural commodities which are the main drivers of inflation,” Socioeconomic Planning Secretary Ernesto M. Pernia was quoted in the statement of the National Economic and Development Authority (NEDA) as saying.
“While the government’s economic team expected inflation to peak in the third quarter before tapering off towards the latter part of the year, inflation in August is largely beyond the median market forecast. That is why we remain steadfast in putting forward measures that will address prices, especially for food.”
NEDA issued a separate joint statement of the Cabinet’s economic development cluster which met Wednesday “to address food inflation.” The meeting — among representatives of BSP, NEDA, the Department of Finance, the Department of Budget and Management, the Department of Trade and Industry (DTI), the Department of Agriculture (DA), the Department of Justice, the Bureau of the Treasury and the National Food Authority (NFA) Council — drew up a list of “immediate reforms for reducing food prices”, including “immediately” releasing 4.6 million sacks of rice from NFA warehouses “to the market across the country”; authorization by the NFA Council for importation of 5 million sacks of rice that will arrive in the next one-and-a-half months and another 5 million sacks to arrive “early next year”; facilitating the distribution of imported fish to wet markets; formation of teams consisting of law enforcers and farmers groups to monitor transport of rice from ports to NFA warehouses to retail outlets; DA to provide cold storage for chicken and, with DTI, to put up outlets where producers can sell directly to the public; while the Bureau of Customs “will prioritize the release of essential food items in the ports”.
In a separate statement, Albay Rep. Clemente “Joey” S. Salceda, senior vice-chairman of the House of Representatives committee on ways and means, said that the August inflation was “self-inflicted.”
“Ultimately, the 6.4% [August inflation figure] was really due to the fact that we did little or nothing. We can no longer blame [market profiteers] and rice hoarders. The only notable measure we implemented in response was the 50 basis point (bp) increase in policy rates of the BSP, but it would take a lag of 6-18 months for monetary action to gain traction in containing aggregate demand,” Mr. Salceda said.
“[W]hat is more worrisome is that it would reverse gains in poverty reduction and hunger mitigation since the main culprit is food inflation… Thus, the inflation of the poor (lowest 30%) is estimated at 7.4%.”
The Development Budget Coordination Committee (DBCC) — which is composed of the Department of Budget and Management, Department of Finance, and NEDA — will convene later this year to adjust upward its inflation assumption for the year, even as it will keep the estimate for 2019, and possibly review the economic growth target as well.
“The DBCC meets quarterly; so in the light of this we will call for a meeting,” Budget Secretary Benjamin E. Diokno said in a media briefing yesterday when asked whether the government will review its economic assumptions.
Asked whether the DBCC’s new inflation forecast could reach 5%, Mr. Diokno said: “There’s always a possibility.”
The body currently forecasts a 4-4.5% inflation rate for 2018 and 2-4% in 2019.
He said the body will also consider adjusting the gross domestic product growth for this year, following the slower-than-expected six percent economic growth figure in the second quarter that fueled a 6.3% expansion last semester against the year-ago 6.6%.
OUTLOOK
“The BSP will be looking more closely at the latest data to reassess the medium-term inflation path. We also need to consider external developments and US [Federal Reserve] actions to the extent these exert undue pressure on the peso,” BSP’s Mr. Espenilla said.
“Under the circumstances, we will weigh the need for further monetary policy action. Appropriate recommendations will be presented to the MB (Monetary Board) on Sept. 27 at its next policy meeting. It is most critical at this point to restore inflation back to the target range soonest and securely anchor inflationary expectations.”
Economists interviewed were largely in agreement that the latest inflation data made the case for another rate hike.
“The chances of another aggressive monetary policy action has zoomed as inflation surged. Another 50bp policy rate hike at the Sept. 27 meeting is a real possibility,” said ING Bank N.V. Manila senior economist Jose Mario I. Cuyegkeng.
ANZ Research likewise expects a stronger policy response, saying in a research note: “With inflation surpassing six percent for the first time since March 2009… bringing it back below target will require more policy response given cost-push pressures in the economy.”
“We now expect BSP to increase its overnight reverse repurchase rate by 50 bp at the upcoming Sept. 27 meeting to 4.50%, compared to our earlier expectation for a 25 bp hike.”
For Nomura economist Euben Paracuelles: “[T]his higher-than-expected pick-up in headline inflation could further stoke inflation expectations, raising the risk of BSP hiking again by a relatively aggressive 50bp this month, with possibly more to come.” — VMPG and Elijah Joseph C. Tubayan with C. A. Tadalan

Bill adding farmers to PCA board hurdles House panel

��ý — Wed, 05 Sep 2018 13:26:13 +0000

A BILL including coconut farmer representatives to the Philippine Coconut Authority (PCA) board was approved at committee level at the House of Representatives.
The House Committee on Government Enterprises and Privatization on Wednesday passed a consolidated bill deriving from House Bills 8079 and 8052, intended to serve as a companion bill of the Coconut Farmers and Industry Development Trust Fund Act, which regulates the disposal of coconut levy funds.“I always thought it should be the farmers that should decide on how to dispose of or what projects to invest in,” Deputy Speaker Sharon S. Garin said at the committee meeting.
Without the overhaul of the PCA board, Ms. Garin said coconut farmers will not have the power to decide on fund allocations. The PCA Board currently does not include members representing farmers.
She added that the more important concern was the procedure to be adopted for selecting qualified farmer representatives.
The committee settled one key discrepancy in the two source bills — which is the number of farmer representatives on the board, settling on six instead of seven.
The bill authored by Agriculture and Food Committee chair Jose T. Panganiban Jr., HB 8079, proposed two representatives each from Luzon, the Visayas and Mindanao.
HB 8052, authored by Representative Ramon V.A. Rocamora, proposed seven representatives, with two each from Luzon and the Visayas and three from Mindanao.
Lanao del Norte Rep. Mohamad Khalid Q. Dimaporo argued there should be more representatives in Mindanao, considering it is “producing 60% of coconut production.”
“If we look at the other bill (HB 8052), 2 for Luzon, 2 for Visayas, and 2 for Mindanao plus the ARMM (Autonomous Region in Muslim Mindanao) roughly, we have a better figure of 42%,” Mr. Dimaporo explained.
This, however, was not adopted by the committee, citing a need to be consistent with the Coconut Farmers and Industry Development Trust Fund Act.
In addition to the farmer representatives, the PCA Board will also include among its members the Administrator of the PCA, and the Secretaries of Agriculture, Finance, and Trade and Industry. A representative from the coconut industry sector shall also be included.
Its counterpart measure, Senate Bill 1913, authored by Senator Cynthia A. Villar, remains pending at the Committee level. — Charmaine A. Tadalan

Tax reforms gain ground in House

��ý — Tue, 04 Sep 2018 16:33:31 +0000

By Elijah Joseph C. Tubayan, Reporter
with Charmaine A. Tadalan
TWO TAX REFORMS — one that cuts the corporate income tax rate and removes redundant fiscal incentives, and another that provides for a general amnesty — were approved at different levels in the House of Representatives on Tuesday.
The House on Tuesday approved on second reading the second tax reform package that will cut corporate income tax (CIT) rates and streamline fiscal incentives in order to plug foregone revenues amounting to hundreds of billions of pesos each year.
House Bill No. 8083, Tax Reform for Attracting Better and High-quality Opportunities (TRABAHO) bill, is the second of up to five planned packages designed to shift the burden more on those who can afford to pay bigger levies while yielding additional revenues to help finance an infrastructure development program that will need more than P8 trillion until 2022, when President Rodrigo R. Duterte ends his six-year term.
The measure seeks to trim the CIT rate to 20% gradually from 30% currently — the highest in Southeast Asia — by two percentage points every other year starting 2021.
The bill also authorizes the President to accelerate CIT reduction in the face of increased collections from the rationalization of the fiscal incentives, as certified by the Finance chief.
Besides removing perks deemed redundant and among other provisions, the measure also caps income tax holidays at five to seven years, depending on investments’ location and merits.
Tuesday also saw the House Ways and Means committee approve a general tax amnesty program that includes the estate tax amnesty that cleared the plenary last year.
“We approved today the amnesty package, which affords our taxpayers an amnesty for their estate tax, a general tax amnesty, and even for delinquencies,” committee chairman Quirino Rep. Dakila Carlo E. Cua told reporters after the hearing.
The committee will then submit the bill for plenary approval.
Among others, the bill imposes an amnesty charge equivalent to a portion of outstanding unpaid taxes in exchange for immunity from civil, criminal and administrative penalties.
Excluded are delinquencies involved in complaints of the Presidential Commission on Good Government, unlawfully acquired wealth under the Anti-Graft and Corrupt Practices Act, violations of the Anti-Money Laundering Law, pending criminal cases for tax evasion, as well as tax cases subject to final and executory judgment of courts.
The bill also authorizes the government to examine concerned taxpayers’ books of account to verify the accuracy of declared amounts and provides for the automatic exchange of tax information with foreign authorities.
The bill’s estate tax amnesty provision — which was actually approved as a separate bill by the House in February last year but was included in the current measure — imposes a flat rate of six percent on the decedent’s net estate.
A counterpart bill awaits approval at the Senate Ways and Means committee. By law, tax measures should emanate from the House, although the Senate can hold parallel hearings in order to expedite enactment of priority bills.
The general amnesty provision covers all national internal revenue taxes except estate, value added tax and estate taxes collected by the Bureau of Customs, as well as local government taxes. That provision imposes a four percent amnesty rate if it is paid within six months from the amnesty offer and five percent after that period but only for up to one year.
The committee adopted the use of incremental assets as basis for computation of payments of businesses that apply for amnesty. Incremental assets are defined as the difference of a taxpayer’s total assets as of end-2017 and total assets declared in the latest financial statements submitted for amnesty purposes, provided that Bureau of Internal Revenue verification shows such incremental assets are understated by at least 30%.
The Department of Finance (DoF)had batted for such computation to be based on total assets, arguing that this would be easier to administer and, hence, encourage small taxpayers to participate.
“They end up being excluded because they have no undeclared assets. It would be difficult for individuals. They don’t have to submit any list anywhere. That means they would have to come up with that list,” Finance Undersecretary Antonette C. Tionko said during the hearing.
“In the past amnesties, the provisions were comprehensive, but they couldn’t implement it. Those are the things you want to avoid. We also want to cover individuals. Just to make it as easy as possible, use total assets.”
However, Luis Jose P. Ferrer, tax head of SGV & Co., said that the total assets method would discourage large taxpayers from participation as the amnesty would include even assets for which proper taxes have been paid.
“For those regularly paying taxes — if we base the amnesty on the total assets, it would cover all assets that have been taxed already in the previous years — effectively excluding them from the amnesty because it would be prohibitive to pay the taxes again. It’s not fair especially for the big companies; they will not avail of this,” he said at the hearing.
For those assessed with tax shortfalls, the bill offers an amnesty of 50-100% of the basic tax depending on the nature of the delinquency.
While the DoF has yet to come up with a computation of potential revenues from the planned amnesty offer, Mr. Cua said that the government could raise P16 billion from delinquencies that have become final and executory alone, but would forgo the collection of some P197.57 billion.
AMENDMENTS
The committee removed the minimum amnesty payment of P50,000-P1 million for taxpayers without incremental assets to declare, as “it runs counter to the idea of an amnesty… it becomes a misnomer if you don’t have incremental assets then there’s no basis of imposition,” Iloilo 3^rd District Rep. Arthur R. Defensor, Jr. explained at the hearing.
It also removed the amnesty on customs duties and local business taxes, citing lack of required data.
“We have not fully established the premise based on sufficient discussion,” said Mr. Defensor, even as Mr. Cua moved to “consider a separate bill as endorsed by the DoF.”
“The basis, the calculation is totally different of what we’re talking about. If it were to be done in a separate bill, that would be acceptable,” said DoF’s Ms. Tionko.
At the same time, the committee moved to include a provision allowing local government units (LGUs) to conduct their own one-time amnesty program on unpaid local real property taxes. “A possible option for us to do is to revise it in a way the bill can empower the LGUs, despite not having a calamity, and… grant them the power to have an amnesty, one-time,” Mr. Cua said.
Moreover, the bill also mandates the creation of a tax database for those that availed of the program for closer monitoring of compliance after amnesty availment.
The bill is part of “Package 1B” proposed by the Finance department, consisting of provisions initially included in Republic Act No. 10963, or the Tax Reform for Acceleration and Inclusion law but which were removed. The package also includes a proposed increase in motor vehicle user charge, currently awaiting approval of the House Committee on Public Works and Highways.
RA 10963 cut personal income tax rates but covered resulting foregone revenues by raising or adding taxes on a host of goods and services.

Duterte voids amnesty for ex-mutineer senator

��ý — Tue, 04 Sep 2018 14:07:14 +0000

PRESIDENT RODRIGO R. Duterte has signed Proclamation 572 revoking the amnesty for Senator Antonio F. Trillanes IV, in connection with his acts of mutiny and sedition against the government of then president Gloria Macapagal-Arroyo.
The proclamation was signed last Friday, Aug. 31, and published in a newspaper on Tuesday, as authorities sought Mr. Trillanes at the Senate but was stopped by his colleagues.
Mr. Duterte’s Proclamation 572 states that “the grant of amnesty to former LTSG Antonio Trillanes IV under Proclamation No. 75 is declared void ab initio (from the beginning) because he did not comply with the minimum requirements to qualify under the Amnesty Proclamation.”
The directive referred to his involvement as a Navy lieutenant leading the 2003 Oakwood Mutiny, the 2006 Marines stand-off, and the siege of the Manila Peninsula in 2007, all in protest of Ms. Arroyo’s rule amid accusations of corruption against her administration then.
According to the proclamation, Mr. Trillanes — as a grantee under then president Benigno S.C. Aquino III’s Proclamation No. 75, providing for his amnesty and that of other participants in the said mutinies — “never expressed his guilt for the crimes that were committed on occasion of the Oakwood Mutiny and Peninsula Manila Hotel Siege,” on which the grant of amnesty should be predicated.
Mr. Trillanes also “did not file an Official Amnesty Application Form,” according to a certification on this procedure by the military just last week, Aug. 30, as also cited in the proclamation.
Thus, “the Department of Justice and Court Martial of the Armed Forces of the Philippines (AFP) are ordered to pursue all criminal and administrative cases filed against former LTSG Antonio Trillanes in relation to the Oakwood Mutiny and the Manila Peninsula Incident,” Mr. Duterte’s proclamation read.
The AFP and the Philippine National Police (PNP) are also ordered to “employ all lawful means to apprehend” Mr. Trillanes “so that he can be recommitted to the detention facility where he had been incarcerated for him to stand trial for the crimes he is charged with.”
Mr. Duterte is currently in a state visit to Israel. In a press briefing there on Tuesday morning (Manila time) Presidential Spokesperson Harry L. Roque, Jr. said of the paper work on Mr. Trillanes: “Two years na ito in the offing. And unang-una, hinahanap iyong mga record. They had to make sure na talagang walang application at walang pag-amin itong si Trillanes.” (This has been two years in the offing. First of all, [we were] looking for the records. They had to make sure that there was really no application [for amnesty] and admission [of guilt] on Mr. Trillanes’s part.)
Mr. Duterte was elected president in 2016.
Mr. Roque also stood by the military certification, when asked about videos of Mr. Trillanes’s amnesty application being circulated online on Tuesday.
For his part, Justice Secretary a Menardo I. Guevarra said of Mr. Duterte’s proclamation, “This is not a matter of revocation. When you revoke, there is something that was given validly, and you are taking it back for some reason. But that does not seem to be the case here. This proclamation declares that the grant was invalid and void ab initio, right from the beginning. So you are not taking back something. You are declaring something never actually validly existed.”
At the House of Representatives, Magdalo Representative Gary C. Alejano, who also took part in Oakwood, said he is aware his own amnesty may be voided. He also criticized the proclamation against Mr. Trillanes as “political persecution,” following after Chief Justice Ma. Lourdes P.A. Sereno’s ouster and Senator Leila M. De Lima’s arrest and detention.
At the Senate, Mr. Trillanes told reporters after meeting with Senate President Vicente C. Sotto III and Senate Minority Leader Franklin M. Drilon, “I was placed in the custody of the Senate President until my lawyers will file the necessary petitions in the Supreme Court.”
“As I mentioned, this is a warrantless arrest so we need to fight (this),” he added.
Sought for comment, Mr. Sotto told reporters: “I have given instructions to the sergeant-at-arms that based on the tradition of the Senate, to preserve the dignity of the Senate, we cannot allow a senator to be arrested in the Senate premises.”
In his privileged speech on Tuesday afternoon, Mr. Trillanes maintained that he had complied with all the requirements for his 2011 amnesty.
“I swore under oath in the application. There I admitted my guilt based in the application form that the Department of National Defense provided….The Defense officials said there was a 15-day period for anybody to oppose (the application). Mr. (Solicitor General Jose C.) Calida and Mr. Duterte should have appealed then. There was a committee who deliberated the applications for amnesty and it was approved,” he said.
“Hindi ko alam kung saan nagma-magic itong mga taga-Malacañang (I don’t know what magic [tricks] those in Malacañang are pulling off),” he said, as he also criticized the “stupid” proclamation against him. — Arjay L. Balinbin, with Camille A. Aguinaldo, Charmaine A. Tadalan, and Vann Marlo M. Villegas

House OK’s 100-day maternity leave

��ý — Tue, 04 Sep 2018 14:05:48 +0000

By Charmaine A. Tadalan
THE HOUSE BILL increasing from 60 to 100 days the paid maternity leave was approved on third and final reading on Tuesday, Sept. 4.
With 191 affirmatives, zero negatives and no abstention, House Bill (HB) 4113, “The 100-day Maternity Leave Law,” is a step closer to enactment. Its counterpart bill, Senate Bill 1305, which grants a 120-day maternity leave, had earlier hurdled that chamber on third and final reading.
Under both measures, all covered female workers will also be granted an optional 30-day extension without pay, in addition to the initial maternity period.
Further, in the House version, women in government offices on maternity leave shall receive full pay based on their average weekly or regular wages. Meanwhile, women in the private sector will be paid a daily maternity benefit, based on the average monthly salary credit.
The benefits shall apply to all covered female workers, regardless of civil status and birth procedure. The bill, if enacted, will also include workers in the informal economy as well as female workers facing administrative cases.
The Associated Labor Union-Trade Union Congress of the Philippines (ALU-TUCP) welcomed the development and considered it as “a sweet victory for Filipino women workers.”
“The Expanded Maternity Leave measure is the country’s non-cash investment in producing a healthy, intelligent and well-developed future breed of Filipino workers without losing the wages and benefits of nursing moms during maternity period and without sacrificing their health and well-being,” ALU-TUCP Vice President and Women’s Committee head Eva B. Arcos said in a statement, Tuesday.
The Employers Confederation of the Philippines (ECOP), for its part, said while it does not object to the proposed measure, it has reservations about its implementation.
“ECOP did not object to that, okay lang kasi (it’s okay because) it’s not so far from what the international standard ng ILO (Internal Labor Organization). But we reiterated dapat ang arrangement niyan pareho ng SSS na nagbabayad (ng) daily credit, ina-advance lang ng employer, nire-reimburse lang ng SSS,” ECOP honorary chair Sergio R. Ortiz-Luis, Jr. told ��ý in a phone interview. (But we reiterated that the arrangement should be the same as with the Social Security System, which reimburses the employer’s advance.)

House panel: Impeachment complaints vs SC justices ‘sufficient in form’

��ý — Tue, 04 Sep 2018 14:03:17 +0000

WITH 21 affirmative votes and zero negative, the House Committee on Justice found “sufficient in form” the consolidated impeachment complaints filed against seven Supreme Court justices who granted the quo warranto case that ousted Maria Lourdes P.A. Sereno as chief justice.
“We have 21 members voting in the affirmative, zero against, so the motion is approved,” Committee chair, Oriental Mindoro Rep. Salvador C. Leachon, said during the panel meeting on Tuesday.
Mr. Leachon was acting on the motion of Misamis Occidental Rep. Henry S. Oaminal to vote on the complaints’ sufficiency in form.
The complaints were filed by Albay Rep. Edcel C. Lagman, Magdalo Rep. Gary C. Alejano, Ifugao Rep. Teddy B. Baguilat Jr., and Akbayan Rep. Tomasito S. Villarin.
The panel, however, suspended until Sept. 11 consideration of the complaints’ sufficiency in substance.
The impeachment complaints were filed by Mr. Lagman, Magdalo Rep. Gary C. Alejano, Ifugao Rep. Teddy B. Baguilat Jr., and Akbayan Rep. Tomasito S. Villarin, who however the committee did not recognize because he was not a signatory in the complaints.
“As you all know I was not able to make it to the filing because of an emergency in Davao, where I live,” Mr. Villarin said, as he appealed to the Committee that he be allowed to amend the complaints and affix his signature.
“If the committee will allow, having the jurisdiction, (to) amend the complaint, may I take an oath that I do have personal knowledge of the contents of the impeachment complaint?” Mr. Villarin said. But the committee denied his appeal. — Charmaine A. Tadalan

De Castro: ‘We demand respect’ from co-equal branches of government

��ý — Mon, 03 Sep 2018 14:03:47 +0000

CHIEF JUSTICE Teresita Leonardo-De Castro on Monday called for “respect” from the other co-equal branches of government.
Ms. De Castro spoke before the staff of the Supreme Court at her first flag ceremony as its chief justice.
Also on Monday at the House of Representatives, the committee on justice said it will look into the liability of the Judicial and Bar Council (JBC) in qualifying Maria Lourdes P.A. Sereno when she vied for the chief justice post.
At the Supreme Court, Ms. De Castro affirmed the independence of the judiciary, saying the high court must be “left alone” with its decisions.
“We demand respect from the other members co-equal and coordinate branch of the government,” she said.
“The other members of the co-equal and independent branches of the government should understand that based on our constitutional order, the decisions reached by the justices of the Supreme Court, whether unanimously or by majority vote, must be respected,” Ms. De Castro also said.
She added: “We should be left alone to decide the fate of this institution without interference. We, more than anyone else, will be affected if we decide wrongly a case which will affect the integrity and the fate of this institution, and each of the justices have done that, studying meticulously the Constitution, the law and the evidence on record.”
“People outside will like to judge us from what they see from afar but it is us, the justices and the employees and officials of the court, (who) know what is happening inside the Supreme Court.”
“And we should be left alone to decide for ourselves,” Ms. De Castro said, drawing cheers from the crowd.
President Rodrigo R. Duterte appointed Ms. De Castro chief justice on Aug. 24, following the JBC’s submission of its shortlist of candidates. She took her oath before the SC on Aug. 28 and before the President on Aug. 31.
Ms. De Castro is set to retire on Oct. 8 when she turns 70, the mandatory age for retirement.
TE RESIGNS
Also on Monday, Assistant Court Administrator and Supreme Court Chief Public Information Officer (PIO) Theodore O. Te confirmed he has resigned.
Mr. Te said Ms. De Castro has accepted his resignation.
He will introduce on Tuesday, Sept. 4, acting chief PIO Maria Victoria Gleoresty Guerra.
In his resignation letter dated Aug. 29 addressed to Ms. De Castro, Mr. Te said he would tender his “irrevocable resignation as Assistant Court Administrator and Chief of the Public Information Office.”
“I believe that Your Honor should be given a free hand to craft your own media policies and to appoint a person whom Your Honor believes could best implement those policies,” he also said, adding:
“I am returning to full-time academic life, which I had put on hold starting 2013 to be able to serve the judiciary and the Supreme Court. I respectfully believe that I would be of greater value to the judiciary and the Court in the academic world at this time.”
Mr. Te posted on his social media account “I dissent!” on May 11, when Chief Justice Maria Lourdes P. Sereno was ousted by her associates through the quo warranto petition filed by Solicitor-General Jose C. Calida.
Mr. Te is coterminous with Ms. Sereno, who appointed him in 2012.
INVESTIGATION
At the House, justice committee vice-chairperson Vicente S. E. Veloso said in a press briefing on the plan to look into the JBC, “They should be held liable… all of those who conspired in qualifying Sereno for an interview when in fact she was not qualified.”
“It has been established that there was fraud in including Sereno in the list of interviewees of applicants for the position of chief justice. That was established on record, and I think there was a position taken by the chair na dapat ihabla sila (that they should be charged),” Mr. Veloso also said.
The remarks came ahead of the initial consideration for the impeachment complaints filed by opposition lawmakers against the seven associate justices, including Ms. De Castro, who granted the quo warranto case that invalidated Ms. Sereno’s appointment as chief justice.
The committee is set to hold on Tuesday the initial consideration of the seven individual complaints for culpable violation of the Constitution and betrayal of public trust.
Justices de Castro, Diosdado M. Peralta, Lucas P. Bersamin, Andres B. Reyes, Francis H. Jardeleza, Noel G. Tijam, and Alexander G. Gesmundo were among those who voted for the quo warranto petition. Not included is Ombudsman Samuel L. Martires as he is no longer an associate justice of the high court.
The complaints were filed by Albay Rep. Edcel C. Lagman, Magdalo Rep. Gary C. Alejano, Ifugao Rep. Teddy B. Baguilat, Jr. and Akbayan Rep. Tomasito S. Villarin. — reports by Vann Marlo M. Villegas and Charmaine A. Tadalan

House bill seeks to suspend fuel excise when inflation spikes

��ý — Mon, 03 Sep 2018 13:29:25 +0000

OPPOSITION MEMBERS of the House of Representatives have filed a bill seeking to suspend the excise tax on kerosene and diesel contained in the provisions of the Tax Reform for Acceleration and Inclusion (TRAIN) law.
House Bill 8171 calls for the excise tax on kerosene and diesel to revert to zero from P4.00 per liter.
Rep. Romero S. Quimbo filed the bill saying that rising inflation has placed an undue burden on low-income households.
“We recorded inflation of 5.7% in July, with August inflation expected to be at around the same level. Clearly steps have to be taken to bring relief to our people and shield them from future spikes in inflation,” he said.
The bill also calls for the automatic suspension of excise taxes on fuel when the quarterly assessed actual inflation rate exceeds the quarterly inflation target of the Development Budget Coordination Committee (DBCC) and the Bangko Sentral ng Pilipinas (BSP).
The relevant clause also reads: “in the event that the average inflation rate for succeeding quarters falls below the quarterly inflation target the Department of Finance (DoF) may lift the suspension of the excise tax on fuel.”
The government sets its inflation target on an annual basis.
House Bill 8171 is the counterpart of the “Bawas Presyo” bill, which was introduced in the Senate by Senator Paolo Benigno A. Aquino IV.
Senate Bill 1798 also calls for the automatic suspension of the excise taxes on fuel when the average inflation rate for a three-month period exceeds the annual inflation target range.
Also on Monday, Vice President Maria Leonor G. Robredo called for a change in leadership in the National Food Authority (NFA) amid increasing prices of rice.
“We have been seeking the resignation of the administrator since March,” Ms. Robredo told reporters in a press conference.
“We need a trustworthy official in that post,” Ms. Robredo added.
The Vice President also proposed to suspend excise taxes on fuel as well as to review the unconditional cash transfer program to determine whether there is a need to increase the P200 monthly allocation. — Charmaine A. Tadalan

House bill filed seeking 60-day NFA rice buffer

��ý — Sun, 02 Sep 2018 13:01:01 +0000

HOUSE Agriculture and Food Committee Chair Jose T. Panganiban, Jr. has filed a bill proposing to increase the required rice buffer stock of the National Food Authority (NFA) to 60 days from 15 days.
House Bill 8131, or the proposed National Food Security Act of 2018, was filed on Aug. 22, amid a supply crisis and rising prices for the staple grain.
“This bill seeks to institute new measures for the NFA to more effectively handle its role of ensuring national food security and stabilizing rice supply and prices,” the ANAC-IP representative said in his explanatory note.
He also noted the bill is in line with other government efforts such as the ongoing push to legislate the Revised Agricultural Tariffication Act, which points to the need to “review and amend the NFA charter.”
Mr. Panganiban said initial capital of P25-billion needs to be allocated to the NFA for it to maintain a 60-day buffer.
“The budget for the purchase of rice stocks from the Authority for any pro-poor programs… shall be included in their respective allocations in the annual General Appropriation Act,” according to the bill.
The NFA, as proposed, will be reclassified as a Government Instrumentality vested with Corporate Powers (GICP), which makes it neither an agency nor a corporation. It shall also be an attached agency of the Office of the President, which can only be abolished upon approval of Congress.
The bill proposes governance by the seven-member Food Security Board, headed by the NFA Administrator with a representative from the Department of Agriculture as its vice chairman.
The Departments of Social Welfare and Development and Interior and Local Government, rice farmers and corn farmers shall also have seats on the governing board.
The bill also empowers the authority to hand out fines or imprisonment for “serious” offenses like hoarding, profiteering, and cartel behavior. — Charmaine A. Tadalan

NEDA proposes five-phase transition for federalism

��ý — Fri, 31 Aug 2018 11:42:15 +0000

By Karl Angelo N. Vidal, Reporter
THE National Economic and Development Authority has proposed a five-phase transition to a federal form of government to avoid disruption to the economy’s growth momentum.
In a presentation at a Cabinet-level Economic Development Cluster (EDC) meeting on Wednesday, NEDA Undersecretary for Policy and Planning Rosemarie G. Edillon laid out the agency’s five-pronged proposed transition roadmap spanning 15 years which has been earlier submitted to the Constitutional Review Committee.
In the proposed transition, the first phase should be focused on conducting a spatial analysis of federated regions and their socioeconomic profiles, accounting of government workforce and functions as well as mapping of existing laws and policies.
This phase, or the first year of the transition, can be accompanied by an extensive review and amendment of provisions of the current 1987 Constitution “that have limited the country’s opportunities to achieve inclusive growth and development.”
The government structures and functions must be rationalized in the second phase. The five-year period should include an extensive review or amendment of the Local Government Code and the Administrative Code.
“During this period, a transitional period charter should be adopted and the federal transition commission must be established,” the socioeconomic planning agency said.
The transitional government can be activated in the third phase. At this stage, the government will be “prepared for genuine devolution.”
In the fourth phase, the operationalization of five federated regions based on readiness and willingness must be piloted for five years.
The transition government should be deactivated along with the ratification of the amended constitution in the last phase of the transition. The regional development councils may serve as interim regional governments.
“We need a forward-looking strategy to strengthen the capacities of the bureaucracy at both the regional and local levels to take on central office functions,” Ms. Edillon was quoted as saying in the statement.
Economic managers earlier warned that the proposed changes could cause the fiscal deficit to balloon beyond the prescribed three percent-to-gross domestic product ratio.
Global debt watcher Moody’s Investors Services last month flagged the planned shift to a federal form of government as a risk to the credit rating of the Philippines which stands at Baa2, a notch above the minimum investment grade with a “stable” outlook.
At the EDC meeting on Wednesday, Ms. Edillon had cautioned that the proposed changes to the Constitution could add 1.0-1.6 percentage points to the three percent-of-GDP fiscal deficit ceiling.
“In terms of the split, they said it’s a 50-50 split in terms of the revenues. But when we looked at the share in spending, it can actually go up to 80-20 if you consider debt payments,” she told reporters after the meeting.
Ms. Edillon said the government faces P156.6-243.50 billion in additional expenses — including personnel services and maintenance and operating expenses — in the first year of implementation of the new charter. She added that this does not include the cost of “around P10 billion to establish the new offices” in federated regions.
CONCOM QUESTIONS ASSUMPTIONS
For their part, members of the Consultative Committee on charter change questioned economic managers’ assumptions on the cost of shifting to a federal system.
“What are the assumptions (for the computation)?” Professor Edmund S. Tayao said in Filipino during a press briefing at Malacañang Palace on Friday. “If you look at the DoF computation, may nilagay pa silang IRA (Internal Revenue Allotment) ng federated region, eh may revenue share na yon. Pangalawa, may sinasabing kailangan mo nang offices, eh meron ka nang existing offices.” (If you look at the DoF computation, they even factored in the IRA for the federated region, which already has a revenue share. Secondly, they said you need offices, [when] there are already existing offices.)
Department of Interior and Local Government (DILG) Assistant Secretary Jonathan Malaya, for his part, said, “Either it’s P20, P243 or P320 billion, I think we can afford it. Why? I’ve been in government for so long. In the last budget hearing that I attended, the entire returned, unutilized budget of the government, which all of the government agencies returned to DBM (Department of Budget and Management) because it was not utilized, is P600 billion,” Mr. Malaya said.
“The assumptions they made, we feel are mistaken because it bloated the cost. The solution here is more technical discussions between the ConCom commissioners and the (DoF) and the NEDA, para lahat tayo, hindi paiba-iba ng figures (so that all of us won’t have conflicting figures),” Mr. Malaya also aid.
“It’s the ConCom that should be listened to because it’s them that prepared the draft federal Constitution and the NEDA and the DoF are simply commenting on the draft,” he added.
According to Mr. Malaya, an InterAgency Committee has been convened, which includes the Office of the President, ConCom, DILG, DoF and other government agencies. He said the Committee is tasked to consolidate all comments, which will be incorporated to the draft Federal Constitution. — with Charmaine A. Tadalan

DA chief to issue order against rice hoarders

��ý — Fri, 31 Aug 2018 11:41:56 +0000

AGRICULTURE Secretary Emmanuel F. Piñol on Friday flagged the problem of rice hoarding in the country, saying he is set to issue an order to help clamp down on this practice.
In a related development, the Bureau of Customs (BoC) on Friday filed criminal charges against officers of Red Star Rising Corporation and Sta. Rosa Farms for smuggling millions worth of sugar and rice, respectively.
In a press briefing on Friday, Mr. Piñol said, “The law of supply and demand in the country is not the supply provided by the farmers and the producers but the supply concentrated on the hands of the monied…traders who buy from the farmers, control the stocks, and therefore hold on to the supply and control the price of the supply in the market.”
The agriculture chief also said he will issue an administrative order in line with a “Report a Hoarder” program which will provide a reward of P50,000 to whoever can report rice hoarders to the DA and an additional P200,000 once this information is confirmed.
For his part, NFA Administrator Jason L.Y. Aquino said in a statement, “The price of rice in the market is very precarious right now, that is why we have to more than double our effort. Some traders will surely try to make greater profit from the rice situation that we have, but we will not allow it to happen.”
“With the formation of (a) TWG (technical working group) to work closely with the different enforcement agencies, we hope that we can finally stop any moves of some people or groups to control the rice trade,” Mr. Aquino added.
In an interview with The Chiefs in One News, Mr. Piñol also flagged the “very tight” rice situation next year, with China expected to import five percent of its requirement amounting to 15 million metric tons (MMT).
“Next year, very tight ang rice situation because China is importing about five percent of its requirement. That’s 15 million metric tons,” he said in the talk show.
SMUGGLING CHARGES
Charged on Friday by the BoC were the responsible officers of consignee, Red Star Rising Corporation — Dante P. Lunar, Leonardo C. Mallari, Richel Paranete Llanes, August Presillas Templado, and Bernie Abrina Rubia.
They were accused of violations of Section 1401 (unlawful importation) in relation to Section 117 of the Customs Modernization and Tariff Act and Section 3 of R.A. No. 10845 (An Act Declaring Large-Scale Agricultural Smuggling as Economic Sabotage).
In a statement, the bureau said the accused “unlawfully import(ed) white sugar into the country with an aggregate value, including duties and taxes, of…P21,558,561.00.”
The bureau also said: “The three shipments of Red Star (were) composed of a total of sixteen twenty-footer containers, and were described in the manifests as containing packaging materials, kitchen utensils, and kraft paper. The shipments from Thailand arrived at the Port of Manila on different dates in July 2018. Upon inspection and physical examination, the shipment were discovered to contain white sugar. The shipments also lacked the required import permit from the Sugar Regulatory Administration.”
Similarly charged were “the responsible officers of Sta. Rosa Farms, namely Jomerito S. Soliman, Dolores Opancia, Mary Grace D. Cayanan, Marileen S. Avañez, and its Licensed Customs Broker, Diosdado M. Santiago.”
BoC said the accused imported 50,000 sacks of rice with a total value of P120.7 million, without the requisite import permit.
ON ABOLISHING NFA
For her part, Speaker Gloria Macapagal-Arroyo on Friday said she is open to “eventually” abolishing the National Food Authority over concerns on rice supply.
“At this point, maybe eventually. At this point in time, they have to import and when we tariffy importation then maybe NFA can be abolished because then it will be liberalized,” Ms. Arroyo told reporters in an ambush interview.
“It can stay, it can go. To me, I’m neither here nor there in that situation but right the more important thing is to be able to import rice and make it arrive before October,” she added.
Ms. Arroyo also shared Trade Secretary Ramon M. Lopez’s proposal to relax import restrictions on fish and meat as among the measures to manage inflation.
“According to the tariff and related matters of Sec. Lopez, he said, instead of reducing the tariff on fish which is already very low, they will relax the import restrictions on fish, the non-tariff barriers,” Ms. Arroyo said.
Meanwhile, Presidential Spokesperson Harry L. Roque, Jr. announced the NFA Council will authorize importation beyond the minimum access volume (MAV), which is currently at 805,200 metric tons of rice.
“The NFA Council will therefore allow further importation of rice by the private sector. We ask the cooperation of the NFA Administration in this regard,” Mr. Roque said in a Palace press briefing, Friday.
He said importing rice through the private sector is much faster and is likely to reduce corrupt practices. “Patungo na naman talaga tayo doon dahil iyong rice tariffication na na-approve na ng Mababang Kapulungan. Inaasahan na rin nating maaprubahan sa Senado,” Mr. Roque said in part. (We’re already heading there because rice tariffication has been approved by the Lower House. We await the Senate’s approval.)
Mr. Piñol, in his interview with The Chiefs, said, “I am not in favor. There are proposals to abolish NFA. Did you know that NFA is the only WTO (World Trade Organization)-acknowledged and -recognized trading agency in the Philippines. The NFA refomed could actually be the trading agency in the country.” — with reports by Charmaine A. Tadalan and Reicelene Joy Ignacio

Employers signal acceptability of service incentive leave bill

��ý — Thu, 30 Aug 2018 16:05:24 +0000

THE Employers Confederation of the Philippines (ECOP) said a bill doubling the service incentive leave (SIL) of regular employees to 10 days is “tolerable” for its membership because the measure represents a non-cash benefit that will not worsen inflation.
“An additional five days of leave is more tolerable. The reason is it is not inflationary and does not involve additional cash out. If ever it’s equivalent to declaring additional holidays,” ECOP chairman Sergio R. Ortiz-Luis, Jr. told ��ý in a phone interview Thursday.
His remarks follow the third-reading approval of House Bill 6770, which increases the SIL to 10 days, amending Article 95 of Presidential Decree No. 442, or the Labor Code of the Philippines.
He said that in general, ECOP does not favor Congressional intervention in the labor market, such as bills seeking to increase minimum wage, or to impose 14^th-month pay.
“(Legislators) think it’s benefitting the most number of workers. They cherry pick, especially sectoral representatives, (from labor practices in) other countries and they try to put it here, driving our costs higher,” Mr. Ortiz-Luis said.
He said additional costs for employers ultimately hurt minimum wage earners.
Labor groups, meanwhile, welcomed the passage of the bill, with the Associated Labor Unions-Trade Union Congress of the Philippines (ALU-TUCP) expressing hope it will be enacted by year-end.
“The SIL is one of the non-wage benefits given by employers to employees as a form of gratitude for the years of service rendered to make the company or business grow and thrive,” ALU-TUCP Spokesperson Alan A. Tanjusay told ��ý in a phone message.
“Once it is enacted, it will motivate workers to be more productive in their work and remain loyal to the company,” he also said.
Another labor group, the Kilusang Mayo Uno, said the measure lacks a “clear mechanism” for its implementation.
“Any positive proposition to improve the workers’ lot is a welcome development,” KMU national chairman Elmer C. Labog said in a phone message. “On the other hand, there should be a clear mechanism to implement such positive decisions for workers.”
The bill, if enacted, will entitle employees with at least one year of service to 10 days of paid SIL every year.
The bill does not affect employees already enjoying 10 days of paid vacation leave, or workers in establishments operating with less than 10 employees. — Charmaine A. Tadalan

‘I support martial law in Mindanao’ — Arroyo

��ý — Thu, 30 Aug 2018 14:15:47 +0000

HOUSE SPEAKER Gloria Macapagal-Arroyo on Thursday expressed support for martial law in Mindanao, which is due for congressional action upon Malacañang’s move for its extension.
“I support martial law in Mindanao. I’ll support what the President does because I’ve been president and I believe that he does not need a peanut gallery to tell him what to do,” Speaker Arroyo told reporters in an interview.
The remarks followed Executive Secretary Salvador C. Medialdea’s pronouncement that extending martial law in Mindanao is an “option” after the festival bombing in Isulan town, Sultan Kudarat. It was reported the blast left three dead and at least 36 others wounded.
This is also the second bombing in the region in under a month after the car blast in Lamitan City, Basilan.
House Majority Leader Rolando G. Andaya, Jr. supported this, saying “the declaration of martial law is the call of the executive.”
“The President declares or extends, Congress concurs. If the President will ask for it, then it shall be given,” Mr. Andaya said in a statement Thursday.
In addition, the Majority leader proposed that the Palace should also hold a meeting with the National Security Council or Legislative-Executive Development Advisory Council (LEDAC) to discuss Marawi’s rehabilitation as well as implementation of the Bangsamoro Organic Law (BOL).
“What are the financing bottlenecks, for example? Bottom line, the people of Mindanao should be consulted,” he said.
President Rodrigo R. Duterte first declared martial law in Mindanao on May 23, 2017, following the siege of Marawi City by the Maute terrorist group. Two months later, Congress extended martial law to the rest of the year, and thereafter approved anew a full-year extension covering this year.
For his part, Senator Panfilo M. Lacson said in a statement on Thursday that the bombing in Isulan “only suggests that neither martial law nor the Bangsamoro Organic Law could guarantee peace in Mindanao.”
“Instead, it is my view that the National Security Council and our ground security forces should take a hard look at their security plans and strategy, especially in the South, and try to avert the vicious cycle of talking peace with one tribal group while alienating the others,” Mr. Lacson also said in his statement.
“Thus, the Moro Islamic Liberation Front came into being and developed themselves into the dominant armed force in Mindanao after we dealt peace with the Moro National Liberation Front. As it may be shaping now, as we make peace with the MILF, a breakaway group is sowing terror.”
“Having said that, I filed a Senate bill to enhance the Human Security Act of 2007, which has not been proving itself effective in addressing terrorism in our country.”
In a separate statement, Mr. Lacson said Senate Bill 1956, the proposed Anti-Terrorism Act of 2018, enhances the Human Security Act of 2007.
Among the bill’s salient provisions are the formation of the Anti-Terrorism Commission (ATC) from the present Anti-Terrorism Council, as well as judicial authorization to conduct surveillance as authorized by the ATC and to instruct the Department of Information and Communications Technology to compel the telecom and internet service providers to produce all customer information and call and text data records of any person suspected of terrorist attacks defined in the bill. — Charmaine A. Tadalan

House resolution extending funds for victims of human rights abuse OK’d on final reading

��ý — Thu, 30 Aug 2018 14:15:25 +0000

By Charmaine A. Tadalan
THE HOUSE OF Representatives has approved on third and final reading a joint resolution extending until December 2019 reparation funds to victims of Ferdinand E. Marcos’s martial-law regime.
House Joint Resolution No. 26, authored by Bayan Muna Rep. Carlos Isagani T. Zarate, proposes to authorize the Bureau of Treasury (BTr) and Land Bank of the Philippines (LBP) to release funds to victims of human rights violation and to their families after it ended in May 2018.
Republic Act 10368, enacted in 2013, provides in part reparation and recognition of victims of human rights violations during the Marcos regime and mandates the Human Rights Victims Claims Board (HRVCB) to distribute for these purposes a total of P10 billion in two years. The board’s life was extended for another two years with Republic Act 10766.
According to Mr. Zarate, as of May 11, 2018, the board has approved 11,103 legitimate claimants among more than 75,000 applicants.
“As of June 28, 2018, the HRVCB account with the Land Bank of the Philippines reported a balance of P792.628 million,” Mr. Zarate said in his resolution. The remaining balance had been maintained until Aug. 11 and is expected to be reverted to the BTr.
The resolution also seeks to provide a more efficient distribution of funds to the victims, following the reported issuance of 451 “problematic” checks.
Mr. Zarate cited “291 checks which amounted to P239 million, representing unreleased checks, and 160 checks amounting to P110.9 million, representing checks issued to payees who are now deceased.”

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