‘Republic of the Philippines

Bouse of Representatives
Queson Citp, Metro Manila

Twentieth Congress
First Regular Session

HOUSE BILL NO. 15

Introduced by Representatives Ferdinand Martin G. Romualdez,
Andrew Julian K, Romualdez and Jude A. Acidre

EXPLANATORY NOTE

The proposed policy initiative aims to apply the concept of green lanes in
international trade in the processing and welcoming of strategic investments that
not only infuse foreign capital to the economy but also facilitate the transfer of
technology, creation of jobs, and promotion and growth of entrepreneurial
activities of the country’s small or medium domestic enterprises.

The proposal aims to supplement the guarantees of Republic Act No. 9485, as
amended by Republic Act No. 11032, otherwise known as the “Ease of Doing
Business and Efficient Government Service Delivery Act of 2018,” which were
passed to send the message to prospective investors that the Philippine
Government is serious in providing an environment that spurns notorious
practices and procedures that unduly delay the processing of documents to start
doing business in the country.

Indeed, the ease of doing business law was perceived as a game changer in that it
supplements the advantages that the Philippines have over other competing
economies. However, while we offer a large, English-speaking, and relatively
low-cost workforce, free trade and economic zones. and favorable legal
framework, we are still heavily weighed down by such issues as problematic

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bureaucracy, both national and local, antiquated or insufficient support
infrastructure, corruption, and transparency.

This bill seeks to institutionalize the processes and directives in Executive Order
No. 18, dated February 23, 2023, also known as “An Order Constituting Green
Lanes for Strategic Investments," which was issued to further promote the
Philippines as a top investment destination, and to encourage investors to engage
in strategic investments by ensuring that the country's regulatory environment is
conducive to business operations.

Originally filed during the Nineteenth Congress by the Honorable Jose Manuel
F. Alba, Representative of the First District of Bukidnon, this bill once enacted
into law will provide the missing link between the law and certain loopholes in
its implementation by ensuring that all actors and agencies that play a role in the
processing of business application provide a simplified and streamlined
regulatory environment, thereby boosting economic growth and creating job
opportunities. The law also aims to promote transparency in transactions with the
government and reduce bureaucratic red tape. It is envisioned that the creation
of the Green Lanes for Strategic Investments will contribute to the realization of
the government's goals of promoting ease of doing business and attracting foreign
investments to the Philippines.

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

ng hl G. ROMUALDEZ

JUDE # ACIDRE ANDREW JULIAN K. ROMUALDEZ


Republic of the Philippines

House of Representatives

Queson City, Metro Manila

Twentieth Congress
First Regular Session _

HOUSE BILL NO. 15

Introduced by Representatives Ferdinand Martin G. Romualdez,
Andrew Julian K. Romualdez and Jude A. Acidre

AN ACT
FURTHER PROMOTING THE ENTRY AND GROWTH OF
STRATEGIC INVESTMENTS IN THE COUNTRY, ESTABLISHING
FOR THE PURPOSE THE GREEN LANES FOR STRATEGIC
INVESTMENTS

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

SECTION 1. Short Title. - This Act shall be known as the "Green Lanes
for Strategic Investments Act.”

SEC. 2. Declaration of Policy. - \t is the policy of the State to promote
and facilitate certain strategic investments in the country, particularly those that
are aligned with the Philippine Development Plan or any similar national
development plan and can be characterized by significant capital or investment,
consequential economic impact, positive impact on the environment, significant
contribution to the country's balance of payments, and improvement in the
country's infrastructure capabilities. To achieve this, it is necessary to establish a
One-Stop Action Center for Strategic Investments to streamline and expedite the
issuance of permits, licenses, certifications, or authorizations.


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SEC. 3. Coverage. - This Act covers all national government agencies
(NGAs) and their regional and provincial offices, government-owned or -
controlled corporations (GOCCs), and other government instrumentalities, as
well as local government units (LGUs), involved in the issuance of permits,
licenses, certifications or authorizations, collectively referred to herein as
"permit/s and/or license/s" covering Strategic Investments specified under
Section 4 hereof.

SEC. 4. Strategic Investments. - Strategic Investments are those which
are aligned with the Philippine Development Plan or any similar national
development plan; and can be characterized by the significant capital or
investment to the country; consequential economic impact; positive impact on the
environment; significant contribution to the country's balance of payments; with
complex technical processes and engineering designs; and will bring about
improvement in the country's infrastructure capabilities.

For purposes of this Act, Strategic Investments shall include the following:

a. Highly Desirable Projects - Investment Projects recommended by the
Fiscal Incentives Review Board to the President for modification of
incentives or the crafting of the appropriate financial support package
based on defined development strategies for creating high-value jobs,
building new industries to diversify economic activities, and attracting
significant foreign and domestic capital or investment, and the fiscal
requirements of the activity or project, as provided under Section 301
of Republic Act (RA) No. 11534 or the "Corporate Recovery and Tax
Incentives for Enterprises (CREATE) Act."

b. Foreign Direct Investments - Foreign Direct Investments are those
resulting from the implementation of the Foreign Investment Promotion
and Marketing Plan, as endorsed by the Inter-Agency Investment
Promotion Coordination Committee.

c. Projects or activities under the Strategic Investment Priority Plan
(SIPP) - Local or foreign investments on activities considered projects
of national significance or highly desirable, and which falls under the
priority sectors or industries included in the SIPP formulated by the
Department of Trade and Industry-Board of Investments (DTI-BOI)
and approved by the President in accordance with Section 300 of RA


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11534. These projects cover registrations under the DTI-BOI or other
Investment Promotion Agencies.

SEC. 5. Single Point of Entry. - Within six (6) months from the effectivity
of this Act, the DTI-BOI shall establish a One-Stop-Action-Center for Strategic
Investments (OSAC-SI), which shall serve as the single point of entry for all
projects qualified as Strategic Investments.

The OSAC-SI shall address investor concerns starting with identifying and
designating an investment as Strategic Investment under this Act and endorse the
same to concemed NGAs, LGUs, or quasi-judicial bodies for processing of
permits and licenses, and monitoring and reporting of actions taken thereon. The
OSAC-SI shall include aftercare or post-investment assistance as part of its
services.

Within three (3) months from the issuance of this Act, the DTI-BOI shall
produce and regularly update, an investor manual or guidebook or its equivalent,
containing the list of government requirements for the establishment of Strategic
Investments per sector, as well as the concerned NGAs, LGUs, or quasi-judicial
bodies issuing the relevant permits and licenses.

The DTI-BOI will be supported by additional manpower, including the
designation of Account Officers for Strategic Investments, as well as the
equipment necessary to operationalize the OSACSI, in coordination with the
Department of Budget and Management.

SEC. 6. Green Lanes for Strategic Investments. - The concerned NGAs,
including their regional and provincial offices when applicable, LGUs, and quasi-
judicial bodies shall establish or designate, whichever is applicable, a Green Lane
within their offices in charge of expediting and streamlining the processes and
requirements for the issuance of permits and licenses of Strategic Investments
endorsed by the OSAC-SI. The said Green Lane shall be integrated and shall not
be duplicative of the existing one- stop shops or one-stop action centers
established under existing laws such as, RA 11534, RA 11234 or the "Energy
Virtual One-Stop Shop Act," and RA11032.

For this purpose, the above agencies or offices shall designate an account
officer for the Green Lane, who is responsible for coordinating with the OSAC-
SI, relevant government offices or agencies in streamlining and simplifying
business permitting and licensing processes, and recommending modifications

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or amendments to existing procedures that are outdated, redundant, and adds
undue regulatory burden and cost to the transacting public, in coordination
with the Anti-Red Tape Authority (ARTA).

SEC. 7. Action on the Application. - Concerned NGAs and LGUs shall act
on the applications for the issuance of a permit or license within the prescribed
processing time provided in the concerned agency or LGU's Citizen's Charter
(original period), which shall not be longer than three (3) working days in the
case of simple transactions, seven (7) working days in the case of complex
transactions, and twenty (20) working days for highly technical transactions from
the date the complete application was received. The said prescribed maximum
processing period may be extended only once for the same number of days,
provided the same is indicated in the Citizen's Charter (extension period),
pursuant to Rule VII, Section 3(b) of the Implementing Rules and Regulations of
RA 11032. In all cases, denial of such application shall be made in writing within
the same period prescribed.

Consistent with Section 10 of RA 9485, as amended, the complete
application for the issuance of a permit or license shall be deemed approved in
case of failure of the NGA or LGU to act, whether to approve or disapprove, on
said application. An application shall be considered "complete" when all the
documentary requirements indicated in the respective Citizen's Charters are
submitted and the required fees and charges are duly paid. Imposition of
additional requirements other than those listed in the Citizen's Charter and
imposition of additional costs not reflected in the Citizen's Charter shall be
punished in accordance with Sections 21 and 22 of RA 9485, as amended.
However, with respect to applications for registration and tax incentives under
RA 11534, the same shall not be deemed approved in case of failure of the NGA
or LGU to act on said applications.

SEC. 8. Issuance of Permits and Licenses. - After the lapse of the original
or extension period under Section 7 of this Act, the NGA or LGU shall issue the
requested permit or license, otherwise, the DTI-BOI shall endorse the case to the
ARTA. Upon receipt of the endorsement, together with the presentation of the
acknowledgment receipt and/or official receipt of the payment of the necessary
license or permit fees, and other transaction costs, and upon due investigation and
verification that the applicant has indeed fully submitted all necessary documents
and paid all the required fees, the ARTA shall issue a declaration of completeness
and order the concerned office or agency to issue the appurtenant approval,
extension, and/or renewal of the license, clearance, permit, certification, or


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authorization which is deemed approved pursuant to Section 10 of RA 9485, as
amended.

The above mechanism shall likewise apply to issuance of a license or
permit by quasi-judicial bodies consistent with Rule VIII Section 1 (b) of the
Implementing Rules and Regulations of RA 9485, as amended.

SEC. 9. Simultaneous Processing of Applications. - The NGAs and LGUs
that receive applications for permits and licenses shall process the same with the
presumption that the relevant documents from other agencies have already been
issued consistent with Rule VII Section 3(c) of the Implementing Rules and
Regulations of RA 9485, as amended. The applicant shall execute an affidavit of
undertaking, using the template prescribed by the DTI-BOI, that it has secured
the relevant documents from specific NGAs or LGUs and/or that it shall submit
the complete documentary requirements within thirty (30) working days. For this
purpose, the concerned NGAs or LGUs may coordinate with other relevant
offices or agencies to check or verify the status of applications for related permits
or licenses to avoid delay in their own evaluation of applications pending with
them. The NGA or LGU concemed shall then issue the corresponding permits or
licenses, with an annotation that it shall be subject to the completion of
requirements covered by the undertaking.

SEC. 10. Monitoring. - Each concerned NGA, LGU, or quasi-judicial
body shall submit to the DTI-BOI monthly updates regarding the status of
applications received and acted upon involving Strategic Investments covered
under this Act.

SEC. 11. Electronic Submission. - The concerned NGA or LGU shall
enable the electronic submission of application for, and issuance of,
license, clearance, permit, certification or authorization, including payment
and issuance of receipts, whenever applicable.

All remaining cities and municipalities that have yet to comply with
Section 1 I(c) of RA 9485, as amended, shall facilitate the computerization of
their respective business permit and licensing systems. To this end, the
Department of Information and Communications Technology (DICT) shall make
available to LGUs the software for the computerization of the business permit
and licensing system. The DICT, DTI, and Department of the Interior and Local
Government (DILG), shall provide technical assistance in the planning and


implementation of a computerized or sofiware-enabled business permitting and
licensing system of LGUs.

SEC. 12. Technical Working Group. - A Technical Working Group
(TWG) is hereby created as an oversight body that shall ensure the
implementation of this Act. The TWG shall be headed by the DTI-BOI with the
representatives from the following agencies as members: (i) DTI; (ii) DILG; (iii)
Department of Finance (DOF); (iv) National Economic and Development
Authority (NEDA); and (v) ARTA.

The TWG shall act on complaints and take appropriate actions, consistent
with their respective mandates, against third-party business consultants engaged
by foreign and local investors who act in violation of RA 9485, as amended, or
prejudice the interest of the project proponents and/or the government.

The DTI OSAC-SI Account Officers and the action officers of NGAs,
LGUs, GOCCs and other government instrumentalities, shall directly coordinate
with each other to ensure the successful implementation of this Act.

SEC. 13. Agency Support. - All concerned NGAs, GOCCs and
instrumentalities, and LGUs, are hereby directed to provide the necessary
assistance and support for the successful implementation of this Act.

SEC. 14. Reporting. - The DTI-BOI shall submit regular reports on the
implementation of this Act to both Houses of Congress.

SEC. 15. Funding. - The funds necessary to support the operation of the
Green Lanes shall be sourced from the existing budget of the concerned agencies
or offices. The funding requirements of succeeding years shall be included in their
respective budgets, subject to the regular budget process.

SEC. 16. Sanctions. - Failure to comply with the provisions of this Act
shall be a ground for administrative or disciplinary sanctions against any erring
public official or employee, as provided under existing laws and regulations,
without prejudice to criminal, civil or other related liabilities under existing laws.

SEC. 17. Separability. - If any provision of this Act is declared invalid or
unconstitutional, the other provisions not affected thereby shall remain in full
force and effect.


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SEC. 18. Repeal. - All orders, issuances, rules and regulations or parts
thereof that are contrary to, or inconsistent with, the provisions of this Act are
hereby repealed, modified or amended accordingly. This Act is consistent with
and shall not supplant the other streamlining initiatives of the government
covered by existing laws and previously issued executive orders.

SEC. 19. Effectivity. - This Act shall take effect fifteen (15) days after
publication in the Official Gazette or in a newspaper of general circulation.

Approved,