Malacañang, Congress to agree on bills

January 30, 2017 at 18:30

In a telephone interview yesterday, Presidential Legislative Liaison Office Secretary Adelino B. Sitoy said bills that will be taken up in today’s LEDAC meeting include those that Mr. Duterte had mentioned in his State of the Nation Address last year and in his other pronouncements. These include amendments to the Constitution, tax reform, traffic emergency powers, extension of validity of passports and driver’s licenses as well as bills to further cut red tape and for an improved universal health insurance program.

In a Jan. 25 press briefing after meeting with counterparts of the House of Representatives, Mr. Pimentel had said leaders of both chambers had agreed on a consolidated list of bills that will be presented to LEDAC today, including amendments to the Constitution aimed at making the Philippines friendlier to business.

“All efforts which would lead to the opening of the revision of the Constitution will be prioritized,” he had said.

Income tax reform is also a priority, he added, even as he said this does not mean the entire tax reform package championed by the Department of Finance (DoF) will be supported by Congress.

“[When we say] income tax reform, we’re not talking about tax packages,” Mr. Pimentel said.

“We’re working on relief, to lighten the tax burden of compensation income tax payers.”

The DoF has cautioned that its tax reform package has been designed to tax the poor less and the rich more, while yielding a net increment in revenues. Hence, proposals to cut taxes in one field are matched by those increasing levies in another, and populist moves to prioritize tax cuts to the exclusion of corresponding new levies risk tipping the fiscal balance.

Mr. Pimentel cited “30-40 agreed-upon subject matters as the joint priorities of the two houses.”

Both the joint meeting last Wednesday of Senate and House leaders and the resulting consolidated list of legislative priorities were confirmed by House Majority Floor Leader Rodolfo C. Fariñas.

The joint list includes estate tax reform; revision of the Corporation Code; providing free Internet access in public places; granting emergency powers to the Executive to address the traffic and congestion crisis; the proposed Coconut Farmers Industry Development Act that will finally distribute coconut levy funds to beneficiaries; an act ending the practice of hiring contractuals even for core functions; a proposed law increasing across-the-board pension of Social Security System beneficiaries; establishment of a Housing department; as well as proposed laws for free irrigation services, higher education, free health insurance coverage for all, and to cut red tape and further ease doing business.

Mr. Pimentel will be accompanied at the LEDAC meeting today by Senate President Pro-Tempore Franklin M. Drilon, Majority Floor Leader Vicente C. Sotto III and Minority Floor Leader Ralph G. Recto, Mr. Drilon said in a text message. The House of Representatives will be represented by House Speaker Alvarez, Majority Floor Leader Fariñas, Minority Floor Leader Danilo E. Suarez, Deputy Speaker Romeo M. Acop as well as House Ways and Means committee chairman Rep. Dakila Carlo E. Cua of Quirino, Mr. Suarez said in a phone interview.

Sought for comment, John D. Forbes, senior adviser of the American Chamber of Commerce of the Philippines (AmCham), said his group “has long been a supporter of the LEDAC process,” adding that the advisory body is “a very good way for the President and chief secretaries to work with the leadership of Congress to prioritize legislation and then coordinate the passage of it.”

“We are looking forward to seeing the bills that are prioritized,” Mr. Forbes said.

Guenter Taus, European Chamber of Commerce of the Philippines president, said via e-mail that his group “is looking forward to the first LEDAC meeting of the new administration.”

“As we are facing multiple challenges in today’s business environment, high-level government forums and meetings are essential to address urgent and important matters — challenges which could not only harm the current impressive GDP (gross domestic product) growth of the Philippines, but also hinder the administration from creating inclusive growth in the country.”

Mr. Forbes said AmCham and 14 other business groups submitted a list of 12 bills they are “encouraging the passage of” to Executive Secretary Salvador C. Medialdea. Mr. Forbes declined to identify the 12 bills, but said “I don’t think most of them would surprise you.”