QC cited for implementing new micro-business law

The Quezon City government, which has been declared by the Department of the Interior and Local Government (DILG) as the best managed city in the country, gained another feather in its cap as the first local government unit (LGU) to implement a landmark law that seeks to integrate informal business sector into the mainstream economy, a ranking business leader said yesterday.

Nathan Zulueta, president of the Quezon City Chamber of Commerce and Industry (QCCCI) said the Quezon City government and the chamber have joined hands for the full implementation of Republic Act 9178, or the Barangay Micro-Business Enterprises (BMBEs) Act.

Quezon City Mayor Feliciano Belmonte Jr. earlier created an action panel, headed by City Treasurer Dr. Victor Endriga and Zulueta to implement the provision of the newly enacted law to ensure the success of the program at the barangays.

The BMBEs Act was signed into law by President Arroyo November last year. Its implementing rules and regulations were issued Feb. 7 this year through the Department of Trade and Industry (DTI) Administrative Order No. 1 series of 2003.

BMBEs are defined as "business enterprises engaged in processing or manufacturing products, including agro processing as well as trading and services with total assets of not more than P3 million exclusive of land. The law encourages the formation of barangay micro-business enterprises by giving them incentives and other benefits.

"The city government and the QCCCI are partners in the implementation of the law. We expect small barangay businesses to grow, and this will generate more jobs and livelihood," Zulueta said.

He said the implementation of the law is in consonance with vision of Belmonte to make Quezon City a quality community with the generation of more jobs and livelihood opportunities.

Quezon City Treasurer Endriga has given his assurance that micro-business dealing with essential goods and services in the city will receive an automatic 50 percent discount in fees and licenses.

Under the newly implemented law, barangay micro-businesses shall be exempted from coverage of the minimum wage law, provided employees will still be given the same social security and Philhealth coverage, income tax exemption for two years arising from the operation of the enterprise, priority to a special window setup especially for the financing requirements of BMBEs and technology transfer, production management training and marketing assistance.

He said application forms for accreditation, which is good for two years, can be secured from the city treasurer’s office or from the QCCCI office located at 139 Agustin Building, Malakas street in Quezon City.

The Quezon City council is now in the process of passing an ordinance which will grant BMBEs 50 percent discount in local business permit and licenses and fees.

Zulueta also said the QCCCI will assist BMBEs in their applications for financing from various government financial institutions and assist in their transaction with other government agencies for technology, production, management training and marketing assistance.