SIXTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES —_)
First Regular Session )

HOUSE OF REPRESENTATIVES.

Introduced by Representative Rufus B. Rodriguez, °
Representative Maximo B. Rodriguez, Jr., Representative Rolando.A. U}
Representative Peter M. Unabia, Representative Juliette T. Uy,
Representative Ma. Lourdes Acosta-Alba

House Bill No. 4153
EXPLANATORY NOTE

“At a time when society's biggest issue is youth unemployment, businesses
and governments must work together to help young people develop an
entrepreneurial mindset. That means fostering a culture which supports young
people to take risks, set up businesses, create jobs and become masters of their
own destiny. Whether it's through finance, mentoring, incentives or training, we must
all play our part so that this generation can achieve its full potential. The time to act
is now."

This is a quote from an Ernst & Young report called "Avoiding a Lost
Generation," produced in June 2013 for the G20 Young Entrepreneurs’ Alliance
Summit. But it could very well reflect the imperatives for the youth of the Philippines.
Ata time when our youth population forms a large percentage of our total population,
and when many of the unemployed belong to the youth sector, both the government
and the private sector must work together to empower young Filipinos to be
productive members of society. Aside from boosting job generation and gainful
employment, our government must create the structures and the mechanisms to
enable youth entrepreneurship as a pillar of inclusive growth.

In order to help create this environment, we propose the passage of the
"Youth Entrepreneurship Bill', which seeks to integrate entrepreneurship into our
secondary and tertiary education curricula; facilitate grants both for the teaching and
the practice of entrepreneurship; and develop a national youth entrepreneurship
program to provide support to young entrepreneurs.

This Bill seeks the cooperation of different departments such as the
Department of Education (DepEd), the Commission on Higher Education (CHED),
and the Technical Education and Skills Development Authority (TESDA). Aside from
developing and integrating entrepreneurship courses in the curriculum for secondary
and post-secondary school students, they shall also be tasked to facilitate the
provision of grants to ensure that our schools, teachers, and teaching partners have
the capacity to teach these courses. Grants shall also be made available to support
students who are pursuing studies and projects related to entrepreneurship,


Further, this Bill tasks the MSME Development Council to develop a National
Youth Entrepreneurship Program that will provide young entrepreneurs with strategic
support in terms of access to financing, capital, incubation, as well as technology
and skills transfer services The MSME Development Council and the Small Business
Corporation shall provide preferential allocation for the youth in connection with
available credit funds.

This Youth Entrepreneurship Bill is focused on the youth entrepreneur, is
inclusive, and is geared toward all types of entrepreneurial talent belonging to
underrepresented populations and communities. This Bill aims for sustainability and
will be designed for long-term implementation. If we make this a priority measure and
pass this Bill, we can envision a future led by young Filipinos who have initiative,
who are motivated and driven, and who have the best skills to succeed in creating
businesses, providing jobs, and making inclusive growth a reality.

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

Uh

Maximo’B. Rodriguez,

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Ma. Lourdes ‘AcostacAl ba


SIXTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES —)
First Regular Session )

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez,
Representative Maximo B. Rodriguez, Jr., Representative Rolando A. Uy
Representative Peter M. Unabia, Representative Juliette T. Uy,
Representative Ma. Lourdes Acosta-Alba

House Bill No, 4453

AN ACT
TO ACTIVELY PROMOTE ENTREPRENEURSHIP AMONG FILIPINO YOUTH

Be it enacted by the Senate and House of Representatives of the Philippines in
Congress assembled.

Section 4. Short Title. This Act shall be known as the "Youth Entrepreneurship Bill".

Section 2. Definition. As used in this Act, the following terms are referred to as
follows:
(@) "Eligible Entity" refers to-
1. an institution for higher education or,
2. a partnership consisting of an institution for higher education; and
a. a non-profit organization with experience and proven track record in
quality financial literacy, entrepreneurship or personal finance
programs; and/or
b. a local government dedicated to uplifting the lives of its
constituents,

(b) "Department" refers to the Department of Education;
(©) "Commission' refers to the Commission on Higher Education;

(d) "Courses" means entrepreneurial courses, which may include courses in financial
literacy and accounting, securing capital and borrowing, business plan conception
and drafting, management, marketing, design thinking, social entrepreneurship and
community organizing;

(©) "Council" refers to the Micro, Small and Medium Enterprise Development Council
under the Department of Trade and Industry;

() "SB Corporation" refers to the Small Business Guarantee and Finance
Corporation;

(g) "Young Entrepreneurs" means individuals within the age of 18 and 30 years old
who are engaged in the design, creation, establishment and/or management of a
micro, small or medium enterprise.

Section 3. Promoting Youth Entrepreneurship through Education
(a) The Department shall develop and integrate courses in entrepreneurship in the
curriculum for secondary school students;


(b) The Commission in cooperation with the Technical Education and Skills
Development Authority (TESDA) shall develop and integrate entrepreneurship
courses in the curriculum for post-secondary school students;

() The Department and Commission shall ensure coherence and clear progression
in the leaming objectives and course design through close coordination with other
concerned agencies;

Section 4, Grants - Two (2) types of grants shall be established by this Act as
follows:
(a) Capacity Building Grants for Entities Teaching Entrepreneurship;
4. The Department shall award grants for a term of not more than four (4)
years each, on a competitive basis, to eligible entities in order to -
a. Develop courses for secondary school students;
b. Train secondary school teachers all over the country to teach
courses developed;
c. Prepare methods to evaluate the effect of entrepreneurial
education and improve the course design as necessary; and
d. Develop the courses for inclusion by the Department in the
required training and education for aspiring secondary school
teachers,
2. The Commission shall award grants for a term of not more than four (4)
years each, on a competitive basis, to eligible entities in order to -
a. Develop subjects for post-secondary school students;
b. Train post-secondary school teachers all over the country to
teach courses developed:
c, Prepare methods to evaluate the effect of entrepreneurial
education and improve the courses as necessary; and
d. Develop the courses for inclusion by the Commission in the
required education for aspiring post-secondary school teachers.
(b) Project Grants for Young Entrepreneurs
The Commission shall provide grant assistance for deserving young
entrepreneurs who are pursuing a project/study that tackles entrepreneurship,
This grant may come in a cash grant from the Commission or a link up with
another grant or scholarship giving agency. Standards in choosing a
project/study that would deserve a grant would be included in the
implementing rules and regulations;

2. The Commission shall also provide an avenue for private corporations and
individuals who are interested in funding or providing support to post-
secondary school students or graduates for the incubation of an enterprise
project.

Section 5. Available Assistance and Training. -

(@) The Department and the Commission shall provide information on available
government and non-government assistance and training programs which may be
availed by students for further training and possible entrepreneurial and financial
ventures. This may be done through their website, agency announcements and other
forms of communication;


(b) The Department and the Commission shall develop mentoring and coaching
programs for young entrepreneurs in coordination with eligible entities to facilitate
sharing of technical knowledge and skills/technology transfer;

(c) The Department and Commission shall set up enterprise incubation laboratories
and creative spaces in schools in coordination with eligible entities to encourage
enterprise creation and development.

Section 6. Report. - The Department and the Commission shall provide the
appropriate committees in the Senate and House of Representatives with an annual
status report on the implementation and an overall assessment of the curricula and
teaching and mentoring programs.

Section 7. National Program to Promote Youth Entrepreneurship Development

a. The Council shall include in its MSMED Plan the development of a
program and strategy for promoting youth entrepreneurship;

b. The Council shall be responsible for facilitating national programs to
encourage youth entrepreneurship as part of a broader strategy to
promote the viability and growth of enterprises in the country;

c. The composition of the Council shall include a youth representative
with the following duties

i. Represent the youth sector and their concerns regarding
entrepreneurship;

Coordinate with the Department of Education, the Commission

for Higher Education, TESDA, and other eligible entities on the

education, mentoring and support programs provided by this

Act; and

Identify possible funding mechanisms to support young

entrepreneurs in the incubation and startup of enterprise

projects.

d. The SB Corporation shall be responsible for integrating youth
entrepreneurship promotion into the national policies and programs in
support of micro, small and medium enterprise development. Programs
shall include finance and information services, training and marketing
support for young entrepreneurs;

@, The SB Corporation shall also allocate at least Ten Percent (10%) of
any Venture Capital and Micro Finance Trust Fund for the purpose of
promoting business opportunities for young entrepreneurs. The
allocated portion of the Micro Finance Trust Fund shall be used to
provide collateral-free fixed and working capital loans for micro and
small enterprises established by young entrepreneurs;

f. All lending institutions as defined under Bangko Sentral ng Pilipinas
rules, whether private or public, shall allocate to micro and small and
medium enterprises established by young entrepreneurs at least Ten
Percent (10%) of the total loan portfolio that is allotted for micro, small
and medium enterprises as mandated by law;

Section 8. Appropriations. - The amount necessary for the implementation of this
Act shall be charged to the budget allocated to the Department of Education, The
Commission on Higher Education, and Department of Trade and Industry from the
General Appropriations Act


Section 9. Implementing Rules and Regulations - The Department of Education,
Commission on Higher Education, and Department of Trade and Industry shall
promulgate rules and regulations necessary for the proper implementation thereof
within sixty (60) days from the effectivity of this Act.

SECTION 10. Repealing Clause - All laws, issuances, rules and regulations
inconsistent with any provision of this Act shall be deemed amended, modified, or
tepealed accordingly.

SECTION 11. Separability Clause - If, for any reason, a provision or part hereof is
declared invalid or unconstitutional, the other provisions not affected thereby shall
remain in full force and effect.

SECTION 12. Effectivity - This Act shall take effect fifteen (15) days after its
publication in any newspaper of general circulation

Approved,