JAN.

5, 2013

NR # 2975

House approved on 3rd reading bill strengthening peoples participation in industry cluster-based programs/projects
The House of Representatives has approved on third reading a bill which seeks to strengthen the participation of civil society and business organizations in community development through industry cluster-based programs and projects of the government. House Bill 6739 also aims to build and strengthen partnerships among concerned agencies, local government units (LGUs) and civil society organizations (CSOs) toward the development of competitive local products and services. The bill refers to industry cluster-based programs and projects as those programs and projects that promote convergence, job generation, and investment promotion through production of competitive products and services to achieve inclusive growth. One of the key provisions of the bill is to institutionalize the Industry Cluster program which encourages the clustering of LGUs within the province based on the need to develop locally-based products and services and to provide livelihood for the community. Another provision is to provide the procedures for the accreditation of civil society and business organizations that wish to meaningfully participate in industry cluster-based programs and projects. The bill also seeks to provide the criteria for formation of clusters; the procedures for creating them; and the guidelines pertaining to the formulation of their respective master plans. It calls for the establishment of an Industry Cluster Management Board (ICMB), which shall be composed of the Local Chief Executives of member-LGUs, the respective Provincial Directors of Department of Trade and Industry (DTI) and the Department of Interior and Local Government (DILG), one representative each from accredited CSOs of each member-LGU, and a representative from business organizations. The bill defines the powers and functions of the ICMB and its Chairperson and creates a Cluster Advisory Committee which shall provide technical and policy guidance to the Board. Under the bill, incentives are granted to industry cluster entrepreneurs in terms of preferential access to low-interest government credit and to government-initiated promotion programs, as well as tax exemptions.

The measure provides for a Cluster Common Fund and other sources of funding to finance the operations of the Industry Cluster-based programs and projects, among others. Authors of the bill are Reps. Cinchona C. Gonzales (Party-list, CIBAC), Benjamin D. Asilo (1st District, Manila), Godofredo V. Arquiza (Party-list, Senior Citizens), Catalina G. Leonen-Pizarro (Party-list, ABS), Cresente C. Paez (Party-list, COOP NATCCO), Edwin L. Olivarez (1st District, Paranaque City), Rafael V. Mariano (Partylist, Anakpawis), Reena Concepcion G. Obillo (Party-list, Una ang Pamilya), Neil Benedict A. Montejo (Party-list, An Waray), Carlos M. Padilla (Lone District, Nueva Vizcaya), Salvador P. Cabaluna III (Party-list, 1 CARE), Maria Zenaida B. Angping ( 3rd District, Manila), Rosendo S. Labadlabad (2nd District, Zamboanga del Norte) and Winston Winnie Castelo (2nd District, Quezon City). (30) mvip