Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS

First Regular Session t

House Bill NU: _782

Introduced by HON, ROZZANO RUFINO B. BIAZON

EXPLANATORY NOTE

‘This bill seeks to modernize customs automation processes through the establishment
of the National Single Window System, It is a proposed measure that is intended not only to
upgrade our customs system but also to fulfill our commitment as a member of the Association
of Southeast Asian Nations (ASEAN).

During the 11" Annual Meeting of Directors General of Customs of members of the
Association of Southeast Asian Nations (ASEAN) held in Bangkok, Thailand on July 2003,
the ASEAN Single Window (ASW) was adopted as a core component of customs facilitatin.
Tt was collectively agreed during this meeting that the electronic processing of trade documents
through a single window will bring about a more efficient and effective service to the public.

‘Time and again, the antiquated and inefficient customs system has been cited as one of
the culprits of the underperformance of the Bureau of Customs and source of corruption of its
personnel. However, efforts to remedy this situation by reducing discretion among customs
personnel through the development and implementation of an efficient, effective and
transparent customs system have been wanting or undermined.

‘The establishment of the National Single Window System by law is envisi
remedy this situation. It is hoped that by institutionalizing such an important and
system, the necessary resources for its effective and efficient establishment and implementation
will be provided by the government. Moreover, its continuity will also be immune from the
whims and caprices of sitting administrations.

Due to the foregoing, the urgent passage of this bill is eamestly sought.

h t
ROZZANO RUHINO ‘o
Representative
Lone District, Muntinlupa City


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City
EIGHTEENTH CONGRESS.

First Regular Session

House Bill No.’_ 782

Introduced by HON, ROZZANO RUFINO B. BIAZON

AN ACT
TO MODERNIZE CUSTOMS AUTOMATION PROCESSES BY ESTABLISHING
THE NATIONAL SINGLE WINDOW SYSTEM, PROVIDING FUNDS THEREFOR
AND FOR OTHER PURPOSES

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

SI
‘System Act”,

ION 1. Short Title. — This Act shall be known as the “National Single Window

Sec, 2. Policy, —Itis hereby declared the policy of the State to promote transparency in
all government transactions and procedures in the processing and exchange of export, import
or transit documentations to ensure uniformity and consistency of data and processes for ally
participating entities exchanging information. Towards this end, it shall provide an
environment that will allow parties involved in trade and transport to lodge standardized
information in a secure, electronic single-entry point to fulfill all import, export and transit
related regulatory requirement in respect of each transaction,

Sec. 3. National Single Window System. ~ There is hereby established a National Single
Window (NSW) System which shall be a computerized internet-based system that shall
interconnect government agencies involved in the processing of import and export shipments.
‘The NSW System, whose source code shall be owned by the government, shall be configured
to allow parties involved in trade to lodge information and documents with a single-entry point
to fulfill all import, export, and transit-related regulatory requirements.

Sec. 4. Services Provided in the NSW System. — The NSW System shall be concerned
with the application and processing of permits, licenses and clearances for import and export.
It shall record the final results of applications, regardless whether these are approved or
rejected, and link them electronically to the Customs system for the validation and verification
of importation or exportation. The NSW System shall be designed in order to provide the
following services:


a, Electronic submission of application forms;

b. Viewable status in the system dashboard;

c. Notification via electronic mail of application status;

d. Electronic attachments of supporting documents;

¢. Mobile and electronic payment;

f. Portable Document Format (PDF) documents using digital signatures;

g. Executive dashboard and management reports; and

h. Such other related and relevant services.

Sec. 5, Participating Agencies and Government Institutions, — The Department of
Finance shall be the lead agency in the establishment of the NSW System which shall
incorporate and interconnect the following government agencies involved in the issuance of
import and export licenses, permits and clearances for trade facilitation over Philippine borders:

1. Sugar Regulatory Administration;

2. Bureau of Internal Revenue;

3. Bureau of Product Standards;

4. Bureau of Customs;

5. Board of Investments; ‘

6. National Food Authority;

7. Food and Drug Administration;

8. Philippine Economie Zone Authority;

9. Bureau of Import Services;

10, Bureau of Quarantine;

LI, Fertilizer and Pesticides Authority;

12, National Meat Inspection Service;

13. National Telecommunications Commission;

14, Bureau of Quarantine;

15. Dangerous Drugs Board;


16. Philippine Drug Enforcement Agency;

17. Firearms and Explosive Office;

18, Philippine National Police;

19, Forest Management Bureau;

20, Environment Management Bureau;

21. Philippine Ozone Desk;

22. Maritime Industry Authority;

23. Civil Aviation Authority of the Philippines;
24. Optical Media Board;

25. Philippine Nuclear Research Institute;

26. Philippine Coconut Authority;

27. Department of Health;

28. Bureau of Fisheries and Aquatic Resources;

29. Bureau of Plant Industry;

30. Bureau of Animal Industry;
31. Land Transportation Office;

32. Philippine Shippers’ Bureau;

Bureau of Immigration;
34. Bangko Sentral ng Pilipinas;

35. Intellectual Property Office;

36. Insurance Commission;
37. One Stop Shop, Department of Finance

38. Fiber Industry Development Administration;
39, National Intelligence Coordinating Agency; and

40, Criminal Investigation and Detection Group.


‘The President is hereby authorized to mandate such other relevant government
Departments, agencies, offices or institutions to participate and be part of the NSW System in
order to carry out the objectives of this Act.

Sec. 6.: Upgrade of Bureau of Customs Systems and Human Resources Development. ~
‘The Bureau of Customs is hereby authorized to upgrade and develop its current automated
cargo clearance and information technology systems and personnel in order to effectively and
efficiently accommodate and undertake interconnection with the various agencies as
enumerated in the preceding section. In carrying out this mandate, it shall ensure:

a, The enhancement of the capabilities of the customs system such as but not limited
to the integration of non-intrusive inspection, cargo tracking systems, installation
of real-time monitoring system and such other necessary systems, procedures,
facilities and equipment;

b. Compatibility of its systems and procedures with the other participating agencies
the NSW System or other information technology systems of government agencies
or offices; and

‘The hiring or training of necessary personnel.

Sec. 7. Implementing Rules and Regulations, ~ In order to carry out the effective
implementation of this Act, the Department of Finance in coordination and cooperation with
the government agencies and institutions enumerated in Section 5 hereof, shall formulate and
issue the necessary rules and regulations.

Sec. 8. Transitory Provision. — The Steering Committee and Technical Working Group
created under Executive Order No. 482 dated 27 December 2005, shall continue to exist and
function as mandated,

‘ec. 9, Appropriations, ~ The initial amount required for the implementation of this Act
shall be charged to the Contingent Fund of the President. Thereafter, such amounts shall be
charged to the respective budgets of the concerned government agencies and institutions.

Sec. 10. Repealing Clause. — All laws, decrees, ordinances, administrative orders, rules
and regulations, or any part thereof, which are inconsistent with this Act are hereby repealed
or amended accordingly.

‘
Sec. 11, Separability Clause — Should any provision of this Act be subsequently
declared unconstitutional, the other provisions not so declared shall remain in full force and
effect.
Sec. 12. Effectivity. — This Act shall take effect after 15 days from its publication in at
least two (2) newspapers of general circulation.

Approved,