Académique Documents
Professionnel Documents
Culture Documents
Province of Cebu
Municipality of Lilo-an
SANGGUNIANG BAYAN
10th Sanggunian
Telefax: 564-2085
Excerpts From The Minutes Of The Regular Session, Held At The Legislative Session
Hall On __________, _____.
Present:
Absent:
DRAFT ORDINANCE NO. 01-2014
Sponsor: Nelly Bernardo L. Lopez
WHEREAS, the Local Government Code of the Philippines empowers the local
government unit to grant tax exemptions, incentives or reliefs to encourage investment for
economic growth and progress in the countryside;
WHEREAS, the Municipality of Lilo-an shall pursue this policy of providing fiscal and
non-fiscal incentives in identified preferred investment location areas and priority economic
activities, within a well defined and comprehensive action plan and guidelines to qualified
foreign and domestic enterprises – whether new or existing, which can significantly
contribute to the business development of the Municipality.
SECTION 3. Any person or entity which meets the qualifications and requirements
set forth under Section 4 of this Ordinance and which will commence its business
operations after the approval of this Ordinance or on January 1, 2015 onwards or those that
are expanding their existing business operations may avail of the incentives and privileges
provided herein, as maybe determined from time to time by the Board.
e. For foreign investors, the provision of Executive Order No. 226, otherwise
known as the Omnibus Investment Code of 1987 and Republic Act No 7042, as
amended, otherwise known as the Foreign Investment Act of 1991 shall prevail,
respectively.
SECTION 5. All applicants under this Ordinance must comply with the requirement of
all existing applicable laws.
SECTION 6. Any person, partnership, corporation, association whose application
has been accepted and granted Certificate of Registration/Exemption under the pertinent
provisions of this Ordinance must employ at least Sixty percent (60%) local employees as
certified by the employee’s Barangay Captain, with the exception of those who transferred
their operation to Lilo-an lock, stock and barrel. However, for labor-intensive establishments,
at least 90% of its total manpower requirements shall be filled-up by qualified residents of
the locality.
SECTION 7. For the purpose of giving effect to this Ordinance, a Municipality of Lilo-
an Investment and Incentive Board (MLIIB) is hereby created with the following
composition, powers and functions, and term of office:
a. The Municipality of Lilo-an Investment and Incentive Board (MLIIB) shall be
composed of the following:
Chairman Municipal Mayor
Vice Chairman Municipal Vice Mayor
Members:
a. Chair, SB Committee on Finance, Budget and Appropriation
b. Chair, SB Committee on Trade, Commerce and Industry
c. Chair, SB Committee on Ordinances and Legal Matters
d. Chair, SB Committee on Labor and Public Service
e. Chair, SB Committee on Barangay Affairs
f. Municipal Engineer
g. Municipal Treasurer
h. Municipal Assessor
i. Municipal Budget Officer
j. Municipal Planning and Development Officer
k. Municipal Environment and Natural Resources Officer
l. Two (2) representatives from the Business Sectors either from Lilo-
an Business Club or from any other accredited business
organization in the Municipality.
m. Chairperson, Municipal Tourism Council
n. Fernando Fajardo (Economist)
o. One (1) representative from any financing institution operating in
the municipality
2. The Chairman or any of the Members of the Board can call for a
meeting to formulate rules and guidelines to ensure compliance with the
provisions of this ordinance. The Board shall meet as often as necessary but
shall not be less than once a quarter, the presence of majority of the
membership of the board (which is 50% + 1) shall constitute quorum to
transact business;
5. To provide access to the local labor pool such that the enterprises can
provide bonafide residents with employment;
6. To prepare the agenda for meetings of the Board and submit for timely
consideration and approval, the applications for registration and
incentives which have been filed with it;
13. To perform such other functions that are necessary and incidental for
the effective implementation of this code.
Foreign Investors:
Dollar Equivalent of P50,000,000.00 Business Tax
SECTION 11. TAX HOLIDAY INCENTIVES. – All qualified and accepted applicants
to the Investment Incentive Program shall enjoy the Tax Exemption privilege for a period
stated in Section 10, hereof, and exempted from the payment of business taxes imposed by
the Municipality under existing tax or revenue ordinances in accordance with the provisions
of Section 9 hereof;
SECTION 12. - Existing businesses of whatever kind or nature that are retired for the
purpose of availing of this Investment Incentive Program shall not be allowed to apply under
this ordinance.
SECTION 13. COVERAGE. – (a) In the initial years of implementation, business
enterprises applicants having the following type of nature of business shall be given priority
under this Investment Incentive Program:
(c) The Board, however may remove an area or activity from the list at any
point, when any of the following conditions is present: (1) sufficient
investments in the areas or activity have been attained, (2) continued
extension of incentives or support for the specific investment area is no
longer to the interest of the Municipality of Lilo-an or may place the
government and the public in adverse position, (3) the investment area or
activity cannot attract investors within the reasonable time and cost and may
result in unfavorable business climate, and (4) lack of progress in the
implementation of environmental management plan.
A. FISCAL INCENTIVES
Qualified enterprises under this Code shall enjoy the following fiscal
incentives for a period of one year, subject to renewal as the
Municipality may deem necessary, but not to exceed five years from
the date of approval by the Board.
investment counseling
business visit facilitation
business information related to investments
project profile preparation
business partner identification and matching
incentives availment
access to financial source
social services
trouble shooting and follow-up
(c) Within fifteen (15) days from receipt of the application, the
IPC shall notify the applicant of all pertinent requirements not
complied with. The applicant shall have ninety (90) days from
receipt of such notice to comply with the said requirements.
Failure to comply within the staid period shall be construed as
an abandonment of the application, unless a written request
SECTION 17. EXCEPTION. - This investment Incentive Program shall not apply to
financing or banking institutions which are governed by the Central Banking Act and under
the supervision of the Central Bank of the Philippines.
SECTION 18. The incentives and privileges granted to the registered enterprises of
this Local Investment Incentives ordinance are non-transferable, except in the event of
death, permanent incapacity of a participating member, where the incentives and privileges
shall be transferred to their heirs of the decedent in accordance to the law on succession, if
the applicant is a natural person. Mergers, consolidations, buy-outs and the like of
corporations or partnerships shall be decided on a case-to-case basis by the Board
provided that when such movements are done to strengthen the corporation and increase
its capital investment, then such movement may be treated as an expanding enterprise.
Presiding Officer
ATTESTED:
Municipal Mayor