| HuUSE OF REPRESENTATIVES,

RECEIVED
04 AUG 2016

Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
First Regular Session

ore
nouse BiLno._2599

introduced by Rep. Winston “Winnie” Castelo

EXPLANATORY NOTE

The proposed bill proceeds from the observation that little to none is undertaken by
government to address the oft-repeated problem of oo many rules and regulations as they
apply to small, medium, and large businesses that made one observer think It is part of the
ensts of doing business in the Philippines. And this problem originates not just from the national
level but more so at the local level of governmental affairs.

Thus, there should be more sensible regulatory requirements intended to reduce
illnesses, accidents, protect the environment and maintain quality of life. And these can be
achieved only if regulations are not onerous, not poorly designed, and not of the type that would
cause harm not to mention overwhelming small businesses, reducing economic growth
eliminating jobs, killing innovation, and causing serious hardshij

{n fact, in light of the uncoming Asean integration that should come about hy 2045, it is
high time to create the structure to be called the Office for information and Regulatory Affairs
that is designed to play a coordinating function thus ensuring that multiple actors, wilh their own

For example, in the case of small enterprises, the regulatory requirements imposed upon
them should now be the f raguiatory review, And ys ies found that these
‘small and medium enterprises or entrepreneurship is the lifeblood of urban regeneration such
that they should not be stymied by costs, regulations, and hardships in securing permits or
jivenses for the business,

The review technique envisioned in this proposed measure is simply finding the right
balance and giving careful consideration to the track records of vid rules and ihe likely
consequences of any new requirements. It cannot be denied that there seems to be a constant
flow of new regulatory requirements that have proved burdensome to the private sector.

This bili adopts a new persuasion and it is that in today’s economy, the need for
regulatory discipline, this time on the part of the regulator or from national and tocal
governments should now reflect that such governments are responsible and would nat he the



first to exact burdensome, unjustified, and harmful regulations otherwise inimical to the private
sector across ail types and sizes of business activity.

Purposively therefore, this bill seeks to find creative ways to institutionalize regulatory
simplification and freeing the private sector without in any way jeopardizing public safety, health,

or the environment

For all intent and purpose, this bill seeks simpiy to be a mechanism of ‘regulatory
Jookback’ precisely to eliminate or streamfine regulations based on the resulls of cost-benefit
nt reform proposals and thereby must save mil

billions of pesos each year for government.

analysis, This must pro’

For example, if an agency, at elther national or level embarks on imposing @ new
regulation at the cost of P100 milion say for worker safety, it must make sure that in terms of
benefits, the same will not cost much less, say only P50 million. In other words, government
agencies must ensure tt es ort s they
proposed are maximized in terms of net benefits. In this way, it op nthe
part of government on the one end and for the private sector toyArd a more vibrant econolvic
growth and prosperity on the other.



Republic of the Philippines
HOUSE OF REPRESENTATIVES

Quezon City

SEVENTEENTH CONGRESS
First Regular Session

House sii no,_2599

Introduced by Rep. Winston “Winnie” Castelo

AN ACT
CREATING THE OFFICE FOR INFORMATION AND REGULATORY AFFAIRS AS INTER-
AGENCY STRUCTURE TO UNDERTAKE REGULATORY REVIEW ANDTAKE CHARGE OF
ALL REGULATORY AFFAIRS OF SMALL, MEDIUM, AND LARGE BUSINESS,
ENTERPRISE OR ACTIVITY AND FOR OTHER PURPOSES:

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

SECTION 1. This Act shall be known as the “Office for information and Regulatory
Affairs Act of 2016"

SEC. 2. There shail be created the Office for information and Regulatory Affairs vested
with its coordinating function to conduct close, periodic, and continuing regulatory review of the
rulas and requiations imposed hy the national and local government agencies unnn small

medium, and large business, enterprise, or activity.

‘The same shall be constituted as an inter-agency structure comprised of the Presidential
Management Staff, the Department of Budget and Management and the National Economic and
Development Authority in collaboration with the private sector.

SEC. 3. Under this Act, national and local agencies are separately and collectively
‘enjoined to discipline the regulatory process and as such required detailed analysis of costs and
benefits when issuing new requiations

SEC. 4. This Act shail take effect immediately upon approval.

Approved,