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Republic of the Philippines Fa RECEIVED A
HOUSE OF REPRESENTATIVES §* owe! 2H, 205

Constitution Hills, Quezon City

SEVENTEENTH CONGRESS
Second Regular Session

HOUSE BILL NO. 7374

Introduced by Hon. Salvador B. Belaro Jr.

EXPLANATORY NOTE

The Constitution provides that the “goals of the national economy are a
more equitable distribution of opportunities, income and wealth; a sustained
increase in the amount of goods and services produced by the nation for the
benefit of the people; and an expanding productivity as the key to raising the
quality for all, especially the underprivileged (Section 1, Article X11.”

In this regard, the most recent data would show that 21.6% of the
Philippine population, composed mainly of farmers, fishermen, children, self-
employed and unpaid family workers, and women, belonging to poor families,
experience the higher poverty incidence rate. This situation calls for better
social solutions for more sustained and equitable distribution of opportunities
and income, goods and services, which should include an expanding
productivity that would raise the quality of life of all, especially the
underprivileged sectors of society.

With the promotion of social enterprises, the marginalized are engaged
not as employees, suppliers or customers but as partners in business and thus, in
development, as it translates to empowerment in decision-making and capacity-

building programs.


This bill lobbies for the additional support and incentives for social
enterprises such as tax incentives, guarantee pool funds, loans, technical
assistance, capacity building activities, and the promotion of education on the
social enterprise sector. Hence, the passage of this legislation is earnestly
sought.

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CONG. SALVADOR B. BELARO, JR.
Representative
1-Ang Edukasyon Party List


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Constitution Hills, Quezon City

SEVENTEENTH CONGRESS
Second Regular Session

HOUSE BILL NO. 7374

Introduced by: Hon. Salvador B. Belaro Jr.

AN ACT
PROMOTING SOCIAL ENTERPRISE PROGRAM IN THE COUNTRY
AND FOR OTHER PURPOSES

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

SECTION 1. This Act shall be known as the “Social Enterprise Act of 2018.”

SECTION 2. The Constitution provides that the State shall “promote a just and
dynamic social order that will ensure the prosperity and independence of the
nation and free from poverty through policies that provide adequate social
services, promote full employment, a rising standard of living, and an improved
quality of life for all. (Section 9, Article IT).”

SECTION 3. The objectives of this Act are as follows:

a. To promote social enterprises as an inclusive growth strategy that
promotes an environment conducive to the development and growth of a
vibrant social enterprise sector engaged in poverty reduction, economic
and social development; and

b. To promote social enterprise sector education for its growth,
sustainability and development.


SECTION 4. It is hereby mandated that a comprehensive and integrated Social
Enterprise Program be formulated to promote the development of social
enterprises sector in the country. A Social Enterprise Development Council
(SEDC) is likewise created as an attached agency to the Department of Trade
and Industry (DTI) primarily tasked to promote growth and development of the
social enterprises sector.

SECTION 5. In order to develop the nation’s human resource capability
towards social entrepreneurship, the Department of Education (DepEd) and the
Commission on Higher Education (CHED) shall integrate social enterprise in
the curricula at all levels, especially in the secondary and tertiary levels.

SECTION 6. The Department of Trade and Industry (DTI), in coordination with
the Department of Education (DepEd), Commission on Higher Education
(CHED), and other government agencies, and people’s (POs) and non-
government organizations (NGOs), is herein tasked to formulate the
implementing rules and regulations of this Act.

SECTION 7. An_ initial amount of One Hundred Million Pesos
(P100,000,000.00) necessary for the implementation of this act shall be
included in the Annual General Appropriations Act upon the effectivity of this
Act.

SECTION 8. If any provision hereof is held invalid or unconstitutional, the
remainder of the law or provision not otherwise affected shall remain valid and
subsisting.

SECTION 9. All laws, presidential decrees, executive orders, rules and
regulations contrary to or inconsistent with the provisions of this Act are hereby
repealed or modified accordingly.

SECTION 10. This act shall take effect upon its approval.

Approved.