Municipality of Miagao

Executive Summary

The Municipality of Miagao is considered to be one of first class municipality in the country and known for its historical and religious church, and hablon weaving industry. Along with its rich culture, Miagao is composed of agricultural lands and natural resources. Businesses and establishments are also flocking in the municipality. Being a first class municipality, Miagao is considered to have great potential for improvement in any field especially in economic development. This makes Miagao an attractive place for investments and entrepreneurship.

Business Permit Licensing System (BPLS) plays a major role in the improvements and development of a municipality in terms of trade and industry. Considering that Miagao is a first class municipality, it follows that the transactions being made in the office of its local government are of good value and service. It is proven by their streamlined BPLS which made them the regional champion for Economic Development recently. The service of the Miagaos LGU is one of the factors that makes investors local and foreign alike attracted to the municipality and would make them establish business in the Municipality.

Based on the study conducted regarding the BPLS of the Municiality, it is indeed proven that they are using the most efficient system they could offer. But certain problems and issues are cited regarding the system. Number of employees performing based on the system, issue about fixers, and the space and place for business transactions. Appropriate solutions and recommendations are suggested by the researcher to address such problems. It is believed that these recommendations will allow the Municipal Unit to deliver the exact and realistic level of service they can deliver vis-a-vis the system they impose.

Municipality of Miagao

I. Introduction

We are slowly going into a global crisis again as the worlds top markets are degrading; one by one. These crashes of the worlds nations are caused by various elements such as: debt, graft, corruption and many more. Because of this, the world economy is affected.

Here in the Philippines, graft and corruption has been an issue for many years. People, collectively, blame the government for every fault that is detected. However, these unethical practices do not only happen in the higher offices but in lower ones as well. If we would want to change the course of nation, we have to start with the barangays and municipalities as they have the direct contact with citizens. Having an efficient and transparent local government will be a small step towards success.

Rationale

Easy, accommodating and flexible business transactions in Philippine Government Municipal Offices are one of the things that every Filipinos are dreaming of. Streamlining business transactions in government municipal offices encourages its local to invest in the different sectors of the municipality. Also, this would attract investors outside the municipality to put in businesses in the area. The Municipality of Miagao as a first class municipality already makes an impression that investing in the municipality is a great idea. And with a streamlined business transaction, investors and locals themselves would be more interested to put up businesses in the area. Developing a streamlined business processing licensing service provides an easy process, and reduced time spent in any transaction such as acquisition of business permit. Also, with a streamlined BPLS occurrence of corruption is lessened making the investors confident and secured about their business. Furthermore, Miagao would be able to benefit from streamlining their BPLS. The Municipality would be able to earn more revenues for their will be more businesses investors would be putting up. Streamlining the business processing licensing service of the Municipality of Miagao would eliminate difficulties in acquiring business permits and renewal. Potential sources of income would also be determined and appropriate actions towards this would be thought about.

Municipality of Miagao

Objectives

The objective of the study is to improve the business processing licensing service of the Municipality of Miagao.

II. Municipal background

Location

Miagao lies between 10 3644 N latitude and 1220639 N and 1221730 E longitude. It is one of the seven towns comprising the first district of Iloilo province. It is situated 40 kilometers Southwest of Iloilo city and 58 kilometers from San Jose, the capital town of Antique. Overlooking the island of Negros towards South China Sea, Miagao is bounded by the towns of Igbaras to the Northeast, Guimbal to the east, San Joaquin to the west and by Sibalom, Antique to the Northwest.

Land and Water

The municipality has a total land area of 15,696 hectares or 156.9 kilometers. The urban area composed of 22 barangays which has an area of 1852.55 hectares or 18.52 square kilometers while the remaining 97 barangays has a total area of 13,843.45 hectares or 138.42 square kilometers. The municipal water serving as fishing ground for both migrating local breed of fish has an area of 240 square kilometers. Miagaos coastline stretches to a distance of 16 kilometers, involving 22 barangays.

Topography

Miagao is partly coastal and partly mountainous town. In general, its terrain is rolling with mountain ranges serving as border between Miagao and part of the province of Antique and other neighboring towns of Iloilo. The poblacion is situated in a hill overlooking the sea and public institutions are located in a plateau. The hills and mountains lying close to the river, plus the narrow coastal plains are varied topographical features of Miagao.

Municipality of Miagao

Climate

Miagao has two pronounce seasons: dry from November to April and wet during the rest of the year. The maximum temperature stands at 32.2C and the minimum is 22.9C. There are two prevailing winds in the locality, the southwest monsoon called habagat and the northeast monsoon called amihan.

Soil

The soil of the municipality consists of 5 types: Alimodian clay Loam, Sta. Rita clay, Lumingan Fine Sandy Loam, Alimodian Soil undifferentiated and beach Sand.

Natural Resources

Miagao is rich in natural resources. It has vast forest reserves at Tabiac and Tulahong forestry areas. It has metallic and non-metallic reserves as indicated by the grains of sand found on the beach lines. It has abundant source of ceramic clay used for potteries and mixtures of sand and lime structure called the Miagao stone used as building material like the one used in building the Miagao church.

Slope

The municipality has five slope classifications ranging from 0-30 slopes above sea level. The highest slopes are found in the mountain ranges that run from the north to west of the municipality and the lowest slopes on the shoreline.

Demography

Population Density

The average population density of the municipality is 4.15 people per hectare. The urban area has a density of 11.47 per hectare much higher than that of rural areas which is 3.17 per hectare. The poblacion composed of eight barangays has a density of 31.22 persons per hectare.

Municipality of Miagao

This is based on the total population of Miagao which is 65,621(CY 2008 Municipal Census). The urban population is 22,125 and the rural population is 43,496

Population growth rate

The annual growth rate of the population (2008 Municipal Census) is 2 percent.

Birth and Death rate

The crude birth rate is 9 births/1000 populations while the crude death rate is 7 deaths/1000 populations.

Economic Profile

Agriculture

The total agricultural land of Miagao is 3,887 hectares. 1,546 are classified as irrigated while the remaining 2,341 are rain fed.

Rice is commonly planted in irrigated areas 3 times a year with an average production of 80 canvases per hectare while corn, mongo, eggplant, beans and other crops are planted in rain fed areas. Farm lands along the river banks are planted yearly with either peanut or onion bulb.

Forestry area accounts for 17.64 percent of the total land area of Miagao or 2,768.80 hectares out of 15,696 hectares. 793 hectares of the forestry area is classified as Integrated Social Forestry Project. Grasslands or pasture lands cover 1,500 hectares while agro-forestry lands also cover an area of 1,500 hectares. Inland Fishery on the other hand has an area of 10 hectares.

The total Agricultural area to include irrigated, rain fed, forestry, grasslands, agroindustrial land and those intended for inland fisher of Miagao is 9,675.80

Municipality of Miagao

Commerce

Number of business establishments

The urban-like character of Miagao is further manifested by the distribution of its business establishments where the industry and services sectors predominate. Of the 232 micro-business establishments in Miagao in 2001, 54 percent are in services sector and 46 percent are in industry sector.

Business establishments such as refreshment parlors, restaurants, boarding houses, cable TV companies, communication companies, express couriers, boat ticket outlets proliferated in the municipality when UPV was established in the area.

Market and other Facilities

Miagao has 10 market centers with the main market located in the Poblacion. The secondary market centers are located in Barangay Bacolod and San Jose. And 8 others will soon be constructed at Barangays La Consolacion, San Fernando, San Rafael, Pungtod Monteclaro, Valencia Dawog, Banbanan and Maninila.

Miagao Public Market serves the wholesale and retail trading area for fruits and vegetables and fish. Fish, fruits and vegetables come from neighboring towns, Iloilo city and the province of Antique. Fish likewise comes from the municipal fishing area.

Industry

The municipality of Miagao envisions becoming a major tourist destination and education center in the Province of Iloilo thus big industries that may cause pollution are highly discouraged. Instead, agriculture and craft based industries that are already existing in Miagao like the loom weaving, pottery, ceramics , salt making, bamboo craft, food preservation and others are being enhanced while the introduction of new one are being encouraged.

Quarrying as an Industry is also practical in Miagao. This includes the quarrying of sand, gravel and boulders from rivers. Miagao has seven river tributaries but only two are the sources of quarrying with the Tumagboc River as the main source.

Municipality of Miagao

Tourism

The municipality of Miagao is a constant tourist destination because of its famous Miagao church which is a national shrine and included in the UNESCO world heritage list. Enclosed by shelves of hills and valleys, but overlooking big mountains is the Tinagong Dagat or the Danao Lake, the size 10 times bigger than an ordinary swimming pool but smaller than a football field. A few kilometers from the Danao lake is the Sinuhutan Cave which is considered the largest cave in the island of Panay. The cave provides a two hour one way tour passing firm arrays of stalactite and stalagmite formations and chambers around the little cathedral intertwined by lace of underground waters.

Education

The presence of several learning institutions in the municipality makes education accessible to the people of Miagao and neighboring municipalities. Elementary education is delivered by 31 elementary schools, 22 of which have pre-schools. The private sector had established 2 schools which are accredited by the Dept. of Education, Culture and Sports (DECS) now known as the Department of Education (DepEd).

Five national High Schools and one private school offer secondary education. The free high education privilege has also contributed to a satisfactory participation rate in this level.

Higher education is made available by one polytechnic college (Southern Iloilo Polytechnic College) and one State University (University of the Philippines in the Visayas).

III. Review of Related Literature

Anti-Red Tape Act

Last June 7, 2007, former President Gloria Macapagal-Arroyo approved the anti-red tape act. This act was to assure that every citizen in this country has a right to have their concerns addressed by the government. This government service to the public must be done in an efficient manner that it will lessen the time needed to process permits and concerns by the people.

Municipality of Miagao

The act aims to establish transparency between the government units and the citizens requesting for public service. To have this transparency of service, there must be posters showing the different processes and requests will go about. There should also be an indication of who will be responsible for each stage in the process. Proper documentation and recording of the tasks being done to have the concerns and permits processed should be strictly followed and if there is an instance that the request was not approved, proper notification must be done.

This act also aims to avoid fixers in the government offices. With this, each and every citizen is treated in a fair manner.

To have a clearer view on what this act means, there have been certain actions put forth:

1. Posters containing the requirements needed to process concerns and permits should be available in areas where citizens are entertained.

2. There should be a flowchart that would guide the citizens on how their request or concern will be processed. Also, there should be names of persons in charge for that stage or the person whose signature is needed to accomplish that certain stage.

3. Proper recording of the transactions to have the requests processed should be strictly followed. With this, from the moment the citizen is being entertained by the front-liners up to the stage where the citizens requests is approved or disapproved, there should be documentation done.

4. People who provide special services should be monitored and punished accordingly. Such punishment will differ on the weight of the violation done. It could be suspension, paying a fine, imprisonment, and discharge from public service or combinations of these.

The purpose of this act is not only to have an efficient way of processing concerns and transactions but also to avoid graft and corruption that is already present in the Philippine government.

Municipality of Miagao

Business Permit and Licensing System

On August 6, 2010, the Department of the Interior and Local Government (DILG) and the Department of Trade and Industry (DTI) signed a Joint Memorandum Circular (JMC) and an accompanying Joint Administrative Order that set standards for processing applications for new businesses and business renewals. The Business Permit and Licensing System (BPLS) reform program as currently formulated by DTI and DILG consist of five components :(1) Mobilizing Champions for the BPLS Reform Process, (2)Simplification & Standardization of the BPLS Process, (3) Computerization of the BPLS Process (4) Institutionalization, ( 5) Improvements in Customer Relations.

Streamlining the BPLS will reduce the cost of doing business by cutting down the steps in securing business permits, reducing the processing time, bringing down the number of signatories, and the adoption of a unified application form. Based on a Joint Memorandum Circular, the streamlined BPLS should use a single unified form and follow the five easy steps in processing application for new business permits or for business renewals and for the process/flowcharts be posted in strategic locations in the LGUs Business One-Stop Shop. The five steps in applying for new business permits or business renewals are the following: securing an application form from the LGU, filing or submission of the accomplished application with attached documentary requirements, one-time assessment of taxes, fees and charges, one-time payment of taxes, fees and charges, and securing the mayors permit upon submission of official receipt as proof of payment of taxes, fees and charges imposed by the LGU.

Local government units (LGU) should streamline their Business Permit and Licensing System (BPLS) as one way of enticing investors to put up business in their localities. A simplified and client friendly permit and licensing system attract more investors which would translate to hastened economic growth as well as generate job opportunities in the localities.

BPLS streamlining will provide economic benefit to the LGUs and the nation as a whole. Such benefits includes improving revenue generation, reduced time and resources spent by the LGUs in the BPLS process, more complete information base on business enterprise in the localities, more informed policy and decision making, and reduced graft and corruption. BPLS streamlining will also increase customer satisfaction through a faster, convenient, and quality service to businesses; promoting uniformity and fairness in assessing and collecting taxes; and encouraging better citizen compliance with tax obligations and regulations. Streamlining would also enhance records integrity by ensuring records accuracy and integrity.

Municipality of Miagao

In the past, BPLS Processing of the Municipality of Miagao seems to be eternity of waiting and lining up get the signatures of almost all of the heads of offices aside from backtracking in production of voluminous documents required in getting the business permit and licenses. There were 7 steps to be followed after the compliance of the requirements. These steps includes: (1) Proceed to the Municipal Treasurers Office and pay business registration Fee of Php55.00. (2) Present OR to Licensing Unit to secure and fill up application form. (3) Submit the application form and other documents to MTO Assessment Personnel for the computation of fees and charges. (4) Submit the assessed forms to Licensing Head and Municipality Treasurer for their signatures recommending application to the Municipal Administrator/Mayor for their review and approval. (5) Payment of fees and charges, medical, sanitary permit/certificate and fire, safety inspection certificate and others. (6) Proceed to the Licensing Office and present complete documents/requirements (Approved business license permit and certificate forms duly signed by the Municipal Mayor is ready for release). (7) Get approved business permit.

Currently, after BPLS streamlining, the number of steps are reduce from 7 to 5, signatures from 4 to 3, forms from 4 to 3, total processing time from 3 hours to 22 minutes. Passing of Executive Order by the LCE creating the inspectorate team and the technical working group and ad hoc BPLO, the five steps includes: (1) Pay business registration fee.(2) Present OR, Secure & Fill-up business permit application form for assessment of fees. (3) Payment of fees and charges. (4) Present OR and required documents. (5) Get approved business permit.

IV. Feasibility Study

Currently, the municipality of Miagao had converted to a standardized processing system. This is with response to the current presidents strict reform in streamlining ARTA and BPLS.

Economic

The current five step system that the municipality of Miagao employs was formerly a seven step one. The revised processing system is more efficient in a way that business owners could have their permit approved within 22 minutes. This is a major improvement because the previous system would have the task done for three hours. With this breakthrough, the Municipality of Miagao is the regional champion for

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economic development. They are also a finalist on the national level on having the most efficient Local Government Unit (LGU). What brought them to the platform was theyre friendly business processing system and the employment that they have provided within the locality.

Technical

Currently, Miagao already have an existing database system utilized by the Municipality administered by their treasury office. The employees that work in the municipal office have enough technical abilities to sustain such program; evidence by the employees in the treasury office, who keep database records of the transactions and system processing. This database has facilitated the transaction process by regularly updating the storage of records.

Because of the resources and expertise available, the researchers believe that the proposed database system would be very much viable.

V. Project Management Schedule

Project management

The systems analysis and design of this project is scheduled to run approximately 24 working days; starting from September 5, 2011 up to October 6, 2011. This phase is divided into three major marts, as shown below: Gathering and processing of information, Data analysis and solution formulation and Proposal and Polishing. The processes consumed 10 days, 11 days and 3 days, respectively. The Gantt chart then shows how tasks are connected with each other.

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Table 1. Project Management Schedule

Task Systems Analysis and Design Phase Gathering and processing of information y Initial Planning y Preliminary Research about Miagao y Initial Communication with Offices Involved y Basic Information Gathering and Interview y Formulation of First Draft y Feasibility Study Data Analysis and Solution Formulation y Documentation of Steps of Existing System y Examine Deficiencies of Existing System y Develop solution for the deficiencies y Second draft formulation Proposal and Polishing y Presentation of the Solutions y Incorporating the necessary changes

Duration 24 days 10 days 1 day 2 days 1 day 3 days 3 days 2 days 11 days 2 days 2 days 4 days 3 days 4 days 1 day 3 days

Start Mon 9/5/11 Mon 9/5/11 Mon 9/5/11 Tue 9/6/11 Wed 9/7/11 Wed 9/7/11 Mon 9/12/11 Thu 9/15/11 Fri 9/16/11 Fri 9/16/11 Tue 9/20/11 Thu 9/22/11 Wed 9/28/11 Mon 10/3/11 Mon 10/3/11 Tue 10/4/11

Finish Thu 10/6/11 Fri 9/16/11 Mon 9/5/11 Wed 9/7/11 Wed 9/7/11 Fri 9/9/11 Wed 9/14/11 Fri 9/16/11 Fri 9/30/11 Mon 9/19/11 Wed 9/21/11 Tue 9/27/11 Fri 9/30/11 Thu 10/6/11 Mon 10/3/11 Thu 10/6/11

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Figure 1. Gant Chart for SAD

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VI. SAD of Municipal Revenue Transaction Systems

a. System discuss the DFD i. Business permit licensing

Figure 2. Current Business Permit Licensing Cycle

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Current Business Permit Licensing System Business permit licensing transaction process starts when the applicant for business permit was able to comply with following requirements and necessary documents:
Table 2. Requirements of the Current Business Permit Licensing System

Required Documents 1. Approved previous years business permit on those applying for renewal. (Lease Contract for Lessee of property). 2. Barangay Clearance 3. Police Clearance 4. BIR Registration 5. SSS registration (for employers with at least 3 employees) 6. Medical certificate (for food establishments) 7. Sanitary permit 8. Fire safety inspection certificate 9. Clearance on renewal (for lessee at public market)

Location Taxpayer

Estimated Cost

Duration 22 min.

Barangay Captain Police Station BIR SSS

P 25 P 55 P 500

5 min. 10 min

Municipal Health Unit Municipal Health Unit Bureau of Fire Protection Office Municipal Hall

P 55

P 35

P 55

10. Records statement of Taxpayer gross sales/ receipts or book of account (for renewal) 11. Occupancy permit/ sketch (Engineers Office) plan of lot
*blank fields are not available (based on the officials data)

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Table 3. Steps in Issuance of Business Permit

STEPS STEP I Pay business registration fee of P55.00 STEP II Present OR, Secure & Fill-up business permit application form for assessment of fees. STEP III Payment of fees and charges, medical, sanitary permit/certificate and fire and safety inspection certificate and others

IT WILL TAKE YOU

PLEASE APPROACH

Location in the Municipality

2 minutes

Municipal Treasurer Office

1st Floor

5 minutes

Office of the Municipal Administrator

2nd Floor

5 minutes

Municipal Treasurer Office: Telesforo Montano Jr (Revenue Collection Clerk II) Rosalinda Golez (Revenue Collection Clerk II) Ma. Luna Tesoro (Revenue Collection Clerk I)

1st Floor

STEP IV Proceed to the licensing unit and Present OR and required documents STEP V Get approved business permit 5 minutes Licensing Personnel 1st Floor 2 at the Licensing Unit 5 minutes Licensing Personnel 1st Floor 1 at the Licensing Unit

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Current Business Permit Licensing

Currently the municipality of Miagao have already streamlined its business permit and licensing system. This BPLS Reform reduce the number of steps from 7 to 5, signatures from 4 to 3, and a total processing time from 3 hours to 22 minutes provided all the required document have been secured.

After the completion of these necessary documents, the first step in securing business permit process is to pay business registration fee of P55 to be submitted to the licensing personnel for the issuance of the application forms. Attached with this is the copy of last year Business Permit with Barangay Clearance and Healthy Community Garden Certificate from the barangay.

The second step is to Present OR, Secure and Fill-up business permit application form for assessment of fees. Present the application form and other documents to MTO assessment personnel for the computation of fees and other charges. Third step is payment of fees and charges at the MTO. The fourth step is to proceed to the Licensing Unit and show the receipt of payments and present complete document/requirements. And lastly, is to obtain the original copy of the approved business permit.

With its mission To Become a Dependable Service Provider for a Progressive Miagao, the municipalitys current BPLS processing system had provides efficiency through a fast processing and a quicker transaction time.

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ii. Business Taxes 1. Current Business Assessment

Figure 3. Current Business Assessment

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In order to pay business taxes, the business must be able to comply with the following requirements:

Steps in Payment of Real Property Tax In order to pay business taxes, the business must be able to comply with the following requirements:
Table 4. Requirements for Payment of Real Property Tax

Requirements 1. Business registration fee receipts 2. DTI Registration 3. Duly accomplished application form

location Municipal Treasurers Office

Cost P 55

Taxpayer

Steps in Payment of Real Property Tax

Table 5. Steps of Payment of Real Property Tax

STEPS STEP I Assessment of Business taxpayer

IT WILL TAKE YOU

PLEASE APPROACH

LOCATION

5 min/ application form

Municipal Property Tax Office: Windows 5-Nimfa Momblan (Revenue Collection Clerk II) Window 6-Virgie Nismal (Local Revenue Collection Officer I)

1st Floor

STEP II Taxpayer goes to the Municipal Treasurer for approval and assessment STEP III Present the 5 min Municipal Treasurer 1st Floor 5 min Municipal Treasurer Office (Municipal Treasurer) 1st Floor

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approved business application form at Window 1 for issuance of OR; Assigned collector detach original and duplicate copy and forwards the same for Window 4 for payment STEP IV The cashier, upon receipt of OR receives payment from the taxpayer at Window 4. Taxpayer Gets original copy of the receipt. 5 min

Office: Telesforo Montano Jr (Revenue Collection Clerk II) Rosalinda Golez (Revenue Collection Clerk II) Ma. Luna Tesoro (Revenue Collection Clerk I)

Municipal Treasurer Office: Derwin Nepucpan (CASHIER 1)

1st Floor

When these documents are completed and application form was filled up, the taxpayer proceeds to the Assessment personnel for assessment. This would take 5 minutes. The taxpayer then obtain the assessment approval from the Municipal Treasurer, this task would also take 5 minutes. The next step is to present the approved business application form for the issuance of Official Receipt. This task would also consume 5 minutes. Last step is to get the original copy of the receipt from the cashier after the payment. This would also take 5 minutes.

The researchers recognized the efficiency of the current system and the taxpayer friendly procedure. This transaction would only require 20 minutes processing when requirements were completed. This fast operation reduces time and resources spent by the LGU in the transaction process.

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iii. Property Taxes

Figure 4. Property Tax Cycle

Property tax payment requires less effort and time. The requirements in paying property tax include the following: 1. Tax Declaration 2. Latest Official Receipt/Land Tax Receipt

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Current Payment of Real Property Tax

Table 6. Steps in Current Payment of Real Property Tax

STEPS

IT WILL TAKE YOU

PLEASE APPROACH

LOCATION

STEP I Taxpayer goes to Window 2,3 and 5 for inquiries and computation of real property tax due; Assigned collector then issues Official Receipt, detaches original and duplicate copy and forwards the same to Window 4 for payment 5 minutes/tax declaration assessment Municipal Treasurer Office: Telesforo Montano Jr (Revenue Collection Clerk II) Rosalinda Golez (Revenue Collection Clerk II) Ma. Luna Tesoro (Revenue Collection Clerk I) 1st Floor

STEP II The cashier, upon receipt of the Official Receipt receives payment from the taxpayer at Window 4, taxpayer gets original copy of the receipts 5 minutes Municipal Treasurer Office: Derwin Nepucpan (CASHIER I) 1st Floor

After the completion of the necessary requirements and filling the application form, payment for the property tax would only require two steps and an estimated time of ten minutes to process.

First the taxpayer proceeds to the MTO and ask for inquiries and the computation of real property tax due. The assigned collector then issues the Official Receipt. The

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next step is; when the cahier, upon receipt of the Official Receipt receives payment from the taxpayer, the taxpayer gets the origial copy of the receipts.

The researchers believe that these two easy step have great advantage with both the taxpayer and LGU personnel in providing an accurate, efficient, fast and friendly service. b. Integrated System i. DFD Time incurred in the Overall Process
Table 7. Data Flow Diagram

ACTIVITY Business Permit Securing an application form from the Municipal treasury office and following submission Verification of Document Assessment of taxes and signing for treasurers approval Approval of the Statement of Account by the Municipal Mayor Issuance of Receipt Total Payment of Business tax Assessment of tax Approval of assessment by the Municipal Treasurer Payment of fees and charges Issuance of Receipt Total Payment of Property taxes Tax declaration assessment Issuance of receipt Total TOTAL TIME

DURATION

2 minutes 5 minutes 5 minutes 5 minutes 5 minutes 22 minutes

5 minutes 5 minutes 5 minutes 5 minutes 20 minutes

5 minutes 5 minutes 10 minutes

52 minutes

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ii. Use Case Mode

Figure 5. Use Case Model

Tax Payer

MTO

Municipal Admnstr

Licensing Pers 1

Licensing Pers 2

Payment of fees and charges, medical, sanitary permit/certificate and fire and safety inspection certificate and others

Payment of Registration Fee (P55)

MTO

Tax Payer

Present OR and Secure and Fill up App Form for assessment Municipal Admnstr

Proceed to the licensing unit and Present OR and required documents

Licensing Pers 1

Get approved business permit

Licensing Pers 2

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Table 8. Use Case Narrative

Use-case Name Payment of Business Registration fee (P55)

Presentation of OR, Securing and Filling up of the business Permit Application form for assessment

Payment of Fees and charges, medical, sanitary permit/certificate and fire and safety inspection certificate and others

Presentation of the OR and the required documents to the Licensing Unit

Acquiring the Approved Business Permit

Use-case description This use case describes the event of a tax payer going to the Municipal Treasurers office to pay the business registration fee of P55. This use case describes the event of a tax payer presenting the OR to the Municipal Administrator in the Municipal Mayors office in order to secure a copy of the business permit application form and to fill it up. This use case describes the event of a tax payer paying necessary fees and charges, permits and certificates which will be assessed by the assessment personnel. This use case describes the event of a tax payer presenting the OR and the required documents to the Licensing personnel for assessment. This use case describes the event of a tax payer acquiring the approved business permit from the Licensing unit.

Participating Actors y Tax Payer y MTO

y y

Tax Payer Municipal Administrator

y y

Tax Payer MTO

y y

Tax Payer Licensing Personnel 1

y y

Tax Payer Licensing Personnel 2

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iii. Data Model

The data model below enumerates the information needed in the integrated model, and the interdependency of which to other. This model simplifies the requirements to avoid data redundancy and achieve maximum efficiency in the system. The data are the ones needed in the application for the business permit and licensing and declaration of real property forms.

Figure 6. Data Model

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C. Suggested Retraining Program I. Identify the qualifications of the new positions

Table 9. Current Employee Designation

Position Assessment Committee

Number of Employees 2

Tasks Description Assesses the fees and charges. Signs and approves the assessment. Receives the payments for fees and charges.

Municipal Treasurer

Cashier

Licensing Unit

Receives official receipt and required documents for business licensures. Approves the business permit.

Licensing Unit

Office of the Treasurer

The researchers took into consideration the financial position of the municipality regarding the number of employees they could have and have them compensated fairly. But looking into the number of employees and the tasks they are responsible for. Among all the employees, the cashier is at a disadvantage. It is because there is only one person that will receive all the payments and keep he records of almost all, if not everything, within the municipality. In times where there will be a lot of investors or person who are planning to establish business in the municipality, the 5 minute span of time for every step in business licensing process wont be realistic. The rest of the employees will be held constant in terms of number and responsibility for they could carry the weight.

ii. Identify current personnel who may be retained to fill up the new position.

At least one person is suggested by the researcher to be employed by the municipality. The new employee may serve as another cashier or an assistant to the cashier but is able to receive payments for fees and charges, keep records of the financials of the municipalities.

The rest of the tasks and responsibilities will be retained for it is believed that the employees of the municipalities are used to such weights in jobs and that they could handle it. The only concern is on the municipal cashier.

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Cashier Since there will be a pool of transactions being made in the municipality, it is assumed that having one cashier only would make the time allotted for every step of the business process licensing system of the municipality be unrealistic. There should be another cashier to receive the payments of fees and charges of the applicants.

Again, there will be no major changes in the responsibility and tasks for the employees only an additional cashier.
Table 10. Suggested Employee Designation

Position Assessment Committee

Number of Employees 2

Tasks Description Assesses the fees and charges. Signs and approves the assessment. Receives the payments for fees and charges.

Municipal Treasurer

Cashier

Licensing Unit

Receives official receipt and required documents for business licensures. Approves the business permit.

Licensing Unit

Office of the Treasurer

Having this change, it is believed that transacting business in the Municipality of Miagao will be realistic or that what is seen in their BPLS chart is what will the municipal officers deliver.

VII. Other Issues, Recommendations and Insights

The researchers considered that the Business Permit Licensing Service process of the Municipality of Miagao is already at its maximum. So far, it is believed that it is the most efficient way in applying for business permits that the Municipal Office could here in Iloilo. However, the researchers assume that there are certain things that the government overlooked upon streamlining their BPLS.

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Additional Number of Cashier

This recommendation is looking forward for an accurate business between the taxpayers and applicants and the municipal office. The researchers have no question about the process of the BPLS of the Municipality of Miagao. But, having only one person to receive all the fees and charges of any Municipal transactions would make the processing time for every transaction made in the office unrealistic. Having at least one person to help the current cashier would make the municipal transactions a lot easier and time bounded.

Invest in Database
Having a streamlined and more efficient BPLS will encourage citizens to go into micro-entrepreneurship. With this, it is expected that he number of people who would want to have their own business will increase. Though the current system of Miagao is already efficient enough to cater to the needs of the people, investing in a database system will be easier for the municipality. The database system will serve as a better way for record keeping and the overall information flow of the system. Furthermore, the municipality may opt to establish an online database so that people would have better access to information. The online database will also allow for better information dissemination within the municipality of Miagao.

Municipality of Miagao

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APPENDICES Appendix A- Business Registration Rate

Appendix B- Business Requirements Rate

Municipality of Miagao

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