REPUBLIC ACT NO. 11032 or Government Service Delivery (EODB EGSD) Act of 2018”. REPUBLIC ACT NO. 7160 OR THE LOCAL GOVERNMENT CODE OF 1991 Section 130 of the LGC - exercise of the taxing and other revenue-raising powers of LGUs shall be “…uniform in each local government unit; equitable and based as far as practicable on the taxpayer’s ability to pay, levied and collected only for public purposes, not be unjust, excessive, oppressive, or public policy, national economic policy, or in the restraint of trade.” Section 147. Fees and Charges -The municipality may impose and collect such reasonable fees and charges on business and occupation and, except as reserved to the province in Section 139 of this Code, on the practice of any profession or calling, commensurate with the cost of regulation, inspection and licensing before any person may engage in such business or occupation, or practice such profession or calling. B FOR MORE INFORMATION: department of the interior and local government Bureau of Local Government Development (02) 8927-7852 or (02) 8925-0356 department of finance Bureau of Local Government Finance DOF Building, Roxas Boulevard, cor. Pablo Ocampo St., Manila (02) 8527-2790 [email protected] / www.blgf.gov.ph. DILG-DOF JMC NO. 2019-01 Guidelines for the Review, Adjustment, Setting and/or Adoption of Reasonable Regulatory Fees and Charges of Local Government Units RATIONALIZED FEES AND CHARGES FOR A BUSINESS-FRIENDLY LGU Department of the interior and Local Government
This applies to all fees and charges being imposed by LGUs rendering services to the public, whether regulatory or service fees, the purpose of which is to recover the cost of service rendered, except when the rate or the method for determining the rate has already been prescribed under the LGC and/or other special laws. Business permit/mayor’s permit fee Barangay clearance Permit to extract sand, gravel and other quarry resources Fees for sealing and licensing of weights and measures Fishery rentals, fees and charges Fees on commercial breeding of cockpit Fees of places of recreation which charge admission fees Fees on billboards, signboards, neon signs and outdoor advertisements Toll fees and charges Public utility charges Other fees and charges strictly in accordance with Section 186 of the Local Government Code (LGC) One of the indicators of a competitive LGU is the cost of doing business. Having a regulated fees and charges will not only help LGUs recover the cost spend in rendering services but also attract more investors to locate their businesses. Thus, making the LGUs more business-friendly. Regulating fees may: Attract more investments/businesses Recover cost of services rendered Increase client satisfaction Increase revenues for basic service delivery Increase LGU competitiveness in doing business Common Allowable Fees and Charges What are Fees and Charges? Why T R How To R Creation of Oversight Committee Use of Local Fees and Charges Toolkit The Local Fees and Charges (LFC) Toolkit is the framework in the determination of the reasonable rate of fees and charges and analyzing the activities and user services of the LGUs. It serves as the guide for the revision of the fees and charges. BLGF Memorandum Circular No. 020.2019 had institutionalized the method to be observed by the LGUs in utilizing the LFC Toolkit. LFC Toolkit may be downloaded through www.blgf. gov.ph Making LGUs more business friendly More businesses, more economic activity, more employment and both investors and