Republic of the Philippines

QUEZON CITY COUNCIL

Quezon City
21st City Council

__________

___ Regular Session

ORDINANCE NO. SP. __________ S. 20__

AN ORDINANCE ESTABLISHING A CITY OPERATED NEGOSYO CENTER TO

STREAMLINE AND INTEGRATE GOVERNMENT SERVICES FOR THE PROMOTION OF
MICRO, SMALL, MEDIUM AND LARGE ENTERPRISES (MSMLEs) IN QUEZON CITY

WHEREAS, the micro and small enterprises in Quezon City comprise more or less 80% of the
total business establishments in the city. Micro and small enterprises stimulate economic
growth and development through providing jobs for the city’s growing workforce. The growth
of the MSME sector however, remains constrained with two general concerns (i)non-financial
barriers – cost of getting electricity, heavy regulation, high tax rates and corruption; and
(ii)financial barriers and ease of doing business – number of start up procedures, costs to start
a business and number of tax payments per year.

WHEREAS, Section 3 of the Go Negosyo Act or RA 10644 provides for the establishment of
Negosyo Centers in all provinces, cities and municipalities. The Negosyo Centers shall be
responsible for promoting ease of doing business and facilitating access to services for MSMEs
within its jurisdiction.

WHEREAS, Rule III, Section 4 of the Department of Trade and Industry (DTI) Department
Administrative Order No. 14-5 Series of 2014 or the Go Negosyo Act Implementing Rules and
Regulations provides that the LGU shall have a lead role in the creation of Negosyo Centers.

WHEREAS, Section 7 of Ordinance No. SP 2360 S. of 2014, the Magna Carta for Micro and
Small Business Enterprises in Quezon City states that the LGU shall ensure the establishment
of a Negosyo Center in Quezon City.

WHEREAS, RA 7160 or the Local Government Code has mandated the local governments to
take an active part in facilitating industry growth while ensuring the general welfare of its
constituents.

WHEREAS, RA 11032 or the Ease of Doing Business Act provides that all government offices
are to promote the integrity, accountability, proper management of public affairs and public
property as well as to establish effective practices, aimed at efficient turnaround of the delivery
of government services and the prevention of graft and corruption in government. Thereby
whenever necessary, all systems and procedures relating to front line services are to undertake
reengineering to ensure optimal performance.

WHEREAS, the Magna Carta for Micro and Small Enterprises as embodied in SP-2360 Series
of 2014 provides that the MSE sector is a vital driver for the City’s economic growth. That the
provision of technical assistance to MSEs in the form of enhancing business environments,
access to financing, access to markets and productivity and efficiency translates to continuing
sustainable growth and viability of micro and small enterprises.

WHEREAS, the Quezon City Economic Development Incentives Code as embodied in SP 2219
S. of 2013 provides that the entry, expansion, diversification and modernization of medium
and large enterprises in various areas of the commercial, industrial and service sectors through
the provision of appropriate incentives packages shall translate to increasing foreign direct
investments, job generation and the eventual improvement in social services rendered to the
public.

NOW, THEREFORE, on motion of Councilor Fernando Miguel Belmonte, duly seconded by

_________________, be it -
RESOLVED, as it is hereby resolved, to enact this Ordinance:

____ Regular Session

Ordinance No. SP - ______S. 20__
Page 2 ________________
___________________

NOW, THEREFORE,

BE IT ORDAINED BY THE CITY COUNCIL OF QUEZON CITY

IN REGULAR SESSION ASSEMBLED:

GENERAL PROVISIONS:

SECTION 1. TITLE – This Ordinance shall be known as the “QC Negosyo Center” Ordinance.

SECTION 2. DECLARATION OF POLICIES. – The Quezon City Government recognizes the

importance of micro, small and medium enterprises in ensuring sustainable employment and
inclusive growth which translates to full human development and poverty reduction. The
Quezon City Government likewise encourages the entry, expansion, diversification and
modernization of medium and large enterprises in various sectors. In the attainment of these,
the City government shall exhaust appropriate measures that shall enable it to continuously
improve the business climate in the city.
SECTION 3. DEFINITION OF TERMS. -
a. Micro Small Medium and Large enterprises shall be defined in consonance with RA
9501 and other existing national laws, MSMLEs shall be defined as any business activity
or enterprise engaged in industry, agribusiness and/or services, whether single
proprietorship, cooperative, partnership or corporation whose total assets, inclusive of
those arising from loans but exclusive of the land on which the particular business
entity's office, plant and equipment are situated, must have value falling under the
following categories:
micro: not more than P3,000,000
small: P3,000,001 - 15,000,000
medium: P15,000,001 - P100,000,000
large P100,000,000 - above
SECTION 34. SCOPE AND APPLICATION. – The provisions of this code shall apply to the
operations of the QC LGU Small Business and Cooperatives Development and Promotions
Office (SBCDPO), the Business Permits and Licensing Department (BPLD), City Treasurer’s
Office (CTO), Local Economic Investments Promotions Office (LEIPO), Department of Trade
and Industry (DTI), and other relevant government offices as may be required.
The QC Negosyo Center shall cater to all types of enterprises, including Barangay Micro
Business Enterprises (BMBEs)Micro, Small, Medium and Large enterprises.
SECTION 54. FUNCTIONS OF THE NEGOSYO CENTER. The QC operated Negosyo Center
shall have the following functions:
1. Business Registration Assistance,
a. Accept and finalize all registration and renewal application of
MSMEbusiness establishments, including application for Barangay Micro
Business Enterprises (BMBEs);
b. Coordinate and liaise with concerned city government and national
government agencies to process the duly accomplished forms submitted by
the MSMEbusiness establishments;
c. Implement a unified business registration process preferably through
automated systems such as the Philippine Business Registry (PBR);;
2. Business Advisory Services
a. Assist MSMEs in meeting regulatory requirements to start and maintain the
business;
b. Build local support networks and establish market linkages for MSME
development through the Micro and Small and Enterprise Development
Council (MSED Council) and DTI;
Commented [cp1]: Sufficient?
Commented [A2R1]: Please include here the importance
of the medium and large enterprises as the QC Negosyo
Center is envisioned to be the first stop for all would-be and
existing entrepreneurs in the City, hence initial info
services/assistance can be availed of by the ML enterprise
as well from the NC
Commented [cp3R1]: Considered and integrated
Formatted: Font: Bold
Formatted: Font: Bold
Formatted: Font: Not Bold
Formatted: Justified
Formatted: Font: Sylfaen, 12 pt, Font color: Auto
Formatted: Justified
Formatted: Font: Sylfaen, 12 pt, Font color: Auto
Formatted: Justified
Commented [cp4]: For potential NGAs, GFIs
Commented [A5R4]: I suggest that you already include
here DTI, etc.
Commented [cp6R4]: We suggest that DTI and other
government offices beyond the jurisdiction of QC LGU be
included through a general statement as we cannot impose
upon them.
Commented [cp7]: Defined as per capitalization, BMBEs
included in micro.
Commented [A8R7]: I suggest we include the definition
of the MSMLEs here
Commented [A9R7]: On the Powers and Functions of the
NC, will it be more correct to state that the QC NC shall
conform to/adopt (?) the functions stated in Section 6, Rule
3 Of DTI DAO No. 14-5, Series of 2014, and then we add
other functions as we deem necessary?
Commented [A10R7]: I suggest that we replace MSMEs
with business establishments, where applicable, so as to
encompass the ML sector; MSMEs will be retained for
provisions that are specifically intended for MSMEs like for
example 2.b.
Commented [A11R7]:
Commented [cp12R7]: Large incorporated
Commented [cp13R7]: On the Powers and Functions of
the NC, will it be more correct to state that the QC NC shall
conform to/adopt (?) – I suggest we specify for clarity and
include a general statement on other tasks which may be
assigned.
 c. Facilitate access to grants and other forms of financial assistance, shared
service facilities and equipment, and other support for MSMEs; through
national government agencies;
d. Ensure management guidance, assistance and improvement of the working
conditions of business establishments MSMEs;
e. Co-organize with the local chambers of commerce and other business
organizations a mentoring program for prospective and current
entrepreneurs and investors;
f. Coordinate and facilitate processes of government related to the set-up and
management of MSMEs; and
g. Conduct other programs or projects for entrepreneurial development in the
city aligned with the MSMEs development . Planplan;
3. Business Information and Advocacy
a. Provide information and services in training, financing, marketing and other
areas as may be required by MSMEs;
b. Establish and maintain a databank which will support the business
requirements of business establishmentsMSMEs;
c. Promote the ease of doing business and access to services for business
establishmentsMSMEs within Quezon City;
d. Support private sector activities relating to MSME’s, through the provision
of technical assistance in enterprise development/planning; Commented [cp14]: Proposed inclusion
e. Encourage government institutions that are related to the business Commented [A15R14]: This is ok
application process to help promulgate information regarding the Negosyo
Center;
f. Coordinate with schools and organizations on the development of youth
entrepreneurship program;
g. Encourage women entrepreneurship by giving women access to
information, support, training and credit facilities; and
h. Map out all information and services essential to prospective entrepreneurs
and prospective investors especially in key value chains and economic sub
sectors within its jurisdiction;
i. Shall Pprovide sufficient co-working spaces for business start-ups, at
reasonable rates; and
j. Shall pProvide demo spaces for goods and services producesd in Quezon
City;. Commented [cp16]: Proposed inclusion
j. Commented [A17R16]: These are ok
4. Monitoring and Evaluation
a. Monitor and recommend business-process improvement for business
establishmentsMSEs;;
b. Establish and maintain a database which shall serve as a source of
information necessary for project monitoring, research and policy studies
and informal dissemination campaigns;
c. Establish a feedback mechanism among the business establishmentsMSMEs
in the respective jurisdiction of Negosyo Centers.
d. Provide regular reports to the City Mayor indicating the accomplishments
of the center in comparison to their targets.

Other functions as may be deemed relevant and necessary to the overall goals of the
QC NC.
SECTION 56. STAFFING PATTERN, QUALIFICATION STANDARDS AND
ORGANIZATIONAL STRUCTURE OF QC SBCDPO. – As the lead office in the establishment
and day to day management of the Negosyo Center, In the fulfillment of the lead role that the
SBCDPO shall take on, the said office shall be complemented by manned by ____ (___)
additional regular plantilla personnel whose positions and qualifications are based on
stipulations of the policies of the Qualification Standards of CSC M.C. No. 1 S-1997.

A. Additional Personnel Requirements of the QC-SBCDPO

No of Additional Position Title Unit of Salary Grade Formatted: Centered
Positions Assignment

B. Qualification Standards of QC- SBCDPO

No of Position SG Education Experience Training Eligibility Formatted: Centered
Additional Title
Positions

C. Figure 1. Organizational Structure of the QC- SBCDPO

D. Figure 2. Operational Framework of the Negosyo Center
SECTION 67. IMPLEMENTING RULES AND REGULATIONS. – The Office of the City Mayor,
through the Small Business and Cooperatives Development and Promotions Office, in
coordination with related appropriate city government offices and national agencies, shall take
Commented [cp18]: For SBCDPO assistance in filling up
Commented [A19R18]: Please look into the utilization of
the manpower provided for in the Business and Resource
Center of the QC-SBCDPO, as the functions of the said
Division approximates that of the Negosyo Center.
Commented [A20R18]: Please also consider/include here
the staff that DTI will be providing for the Center.

the lead in the formulateion of the implementing rules and regulations of this ordinance within Commented [cp21R18]: Copy of the DTI coordination to
be included in the communication to SBCDPO.
ninety (90) days after its approval..

SECTION 78. RESPONSIBILITY FOR ADMINISTRATION AND ENFORCEMENT – The

administration and enforcement of the provisions of this Code are hereby vested in the Small
Business and Cooperatives Development and Promotions Office, with mandatory assistance
from other relevant city government offices. Business Permits Licensing Department, City
Treasurer and the Local Economic Investments Promotions Office.

Mandatory representation and responsibilities of executive branches of the city government

Commented [cp22]: Is this acceptable?
include but shall not be limited to the following:
Commented [A23R22]: I think there should only be one
office, the QC-SBCDPO, that shall be vested with the sole
(I) QC SBCDPO – responsibility of running the NC The other LGU
a. shall take the lead in the establishment and operation of the Negosyo Center; Department/Offices should be mandated to provide
assistance to the QC-SBCDPO as stipulated in the
b. coordinate with the relevant city government and national government succeeding provisions/ their respective role/s in the NC
offices; Commented [cp24R22]: Considered and integrated
 c. shall provide assistance in the programs, services and requirements of other
national agencies, as well as dispense its own front of office services;
d. shall consolidate all targets of the Negosyo Center and provide regular
monitoring to the office of the City Mayor
e. shall ensure the adoption of relevant policy and program recommendations
from the Micro and Small Enterprise Development Council (MSED Council)
and the Quezon City Economic Development and Investment Board (QC-
EDIB)
f. Shall initiate the compliance of the Negosyo Center to the ease of doing
business, with the end in view that all front of office services are streamlined
for the purpose of ensuring that QC is the preferred business destination.
(II) BPLD
a. Shall provide clients all information, forms and requirements prior to actual
processing in the BPLD office;
(III) City Treasurer
a. Shall conduct the pre-assessment of fees for the Negosyo Center
(IV) Local Economic Investments and Promotions Office (SP 2219)
a. (a.ii)Prepare investment opportunity profiles, including but not limited to
industry profiles, project profiles, and viability/feasibility studies;
b. (a.vii)Provide advisory and other support services to new investors to
facilitate their investments;
c. (a.x)Advise qualified investors on the preparation of their applications for
incentives packages;
d. (b.i)Promote and market Quezon City as an attractive investment/business
destination;
e. Support services to investors in the medium to large categories.
(V) Other offices as may be necessary Commented [cp25]: Are there other offices that should
be included?
Commented [A26R25]: How about stipulating here DTI
SECTION 8. PENALTY CLAUSE. – Any person who violates any provisions included hereof and its roles/responsibilities, as well as the other national
agencies that shall be enjoined to participate in the NC?
shall be imposed the corresponding penalties. (Is there a need for a penalty clause as this is
more of a developmental ordinance?)
• First Offense: Fine of One Thousand Pesos (1,000.00) or imprisonment of not less than
six (6) months, or both such fine and imprisonment at the discretion of the court.
• Second Offense: Fine of Three Thousand Pesos (3,000.00) or imprisonment of not less
than nine (9) months, or both such fine and imprisonment at the discretion of the court.
• Third Offense: Five of Five Thousand Pesos (5,000.00) or imprisonment of One (1)
Year, or both, such fine and imprisonment at the discretion of the court.

SECTION 99. FUNDING. – An initial amount of P 10,000,000.00 to be utilized for the initial Commented [cp27]: Sufficiency?
required cost of facilities, utilities, and office equipment as well as the day-to-day operation Commented [A28R27]: Maybe, we can input here DTI’s
and management of the Negosyo Center shall be taken from the City Government General requirements for a full-service NC to justify the budget

Fund.
Funding requirement for the succeeding years shall be integrated in the annual appropriations
from the General Fund of the City.
SECTION 1010. SEPARABILITY CLAUSE. – If for any reason any portion of this Ordinance is
declared to be unconstitutional or invalid, all other provisions hereof which are not affected
thereby shall continue to be in full force and effect.
SECTION 111. REPEALING CLAUSE. – All ordinances, resolutions, memoranda, orders and
other issuances which are inconsistent with this Ordinance are hereby repealed or modified
accordingly.
SECTION 122. EFFECTIVITY. – This Ordinance shall take effect after thirty (30) days
following the completion of its full publication in any newspaper of general circulation within
the city.
Enacted by the Sangguniang Panlungsod, Quezon City, on its ___ Regular Session held on
___________.

Submitted by:

HON. FERNANDO MIGUEL BELMONTE

Councilor, District II