quality manual including procedures and forms
TRANSCRIPT
PHIVIDEC INDUSTRIAL AUTHORITY
QUALITY MANUAL
including
Procedures and
Forms
PHIVIDEC INDUSTRIAL AUTHORITY
TABLE OF CONTENTS
I. Introduction to the Manual………………………………………………………………………..…… 1
II. Definition of Terms …………………………………………………………………………..……………… 2 - 3
III. Introduction to PHIVIDEC-IA………………………………………………..……………………… 4 - 9
A. Overview of Organization………………………………………………………..……………… 4
B. Strategic Framework of the Organization ………………………….……………… 5 - 6
B.1. Vision ………………………………………………………………………………………….. 5
B.2. Mission …………………………………………………………………………..……………. 5
B.3. Purpose ………………………………………………………………………..……………….. 5
C. Legal Basis …………………………………………………………………………………...………………. 7
D. Scope …………………………………………………………………………………………….……………….. 8
E. Advantages in investing with PHIVIDEC-IA ………………………………………. 9
IV. The Quality Policy ………………………………………………………………………….……………….. 10
V. QSE: Organization ………………………………………………………………………….………………… 11 - 15
V.A. Offices and its Functions ……………………………………………………..……………… 11
V.A.1. Top Level ……………………………………………….………………………………... 11
V.A.2. Office Level …………………………………………..………………………………… 12 - 14
V.A.3. Organizational Chart …………………………………………………………… 15
VI. QSE: The Registration Process …………………………………………………………………… 16 - 33
V.I.A. Introduction ……………………………………………………………………….……………….. 16
V.I.A.1. Scope (New Locator Firms) …………………………………………….. 16
V.I.B.2. Procedures (New Locator Firms) ………………..……………….. 16 - 25
V.I.C.3. Scope (New Service Firms) …………………………………………….. 26
V.I.D.4. Procedures (New Service Firms) ……………….……………….. 26 - 31
V.I.E.5. Scope (Renewal of Service Firms) ……………….……………….. 32
V.I.F.6. Procedures (Renewal of Service Firms) …….……………….. 32 - 33
PHIVIDEC INDUSTRIAL AUTHORITY
VII. QSE: Real Property Taxes……………………………………………………………………..…….. 34 - 38
V.II.A. Scope (Assessment)…………….…………………………………………….. 34
V.II.B. Procedures (Assessment) ……………..………………..……………….. 34 - 35
V.II.C. Scope (Collection) ……………..…………………………………………….. 35
V.II.D. Procedures (Collection) ………………..……………….……………….. 35 - 36
V.II.E. Legal Basis …………………………………………………………………………… 37 - 38
VIII. Accountability ……………………………………………………………………………….……………….. 38 - 49
IX.A. Management Commitment ……………………………….……………….. 38
IX.B. Policies and Procedures ……………………………………..……………….. 38 - 39
IX.B.1 Description of the PHIVIDEC-IA
Policies and procedures …………………………………….… 38 - 39
IX.B.2 Communication and Application of the
Policies and procedures …………………………………...… 38 - 39
IX.C. Purpose of Existence of PHIVIDEC-IA ………...………………. 39
IX.D. Management Responsibility …………………………….……………….. 39
IX. Flowcharts …………………………….……………………………………………………………………………. 40 - 44
The Registration Process
- New Locator Firms
- New Service Firms
- Renewal of Service Firms
Real Property Taxes
X. Forms …………………………….………………..…………………………….………………..…………………… 45 - 53
The Registration Process
Real Property Taxes
PHIVIDEC INDUSTRIAL AUTHORITY
I. Introduction
The Quality manual of PHIVIDEC Industrial Authority is outlined in a simplified
form that enables one to fully illustrate and understand the purpose and functions of the
Authority in the economic development sector. The procedures enumerated in this
handbook are systematized with an objective to streamline the business process in
registering an enterprise and the assessment of the real property of existing firms within
PIE-MO. With this, the Authority seeks to exhibit professionalism, transparency and
fairness to its clients and the community by providing essential information to its
stakeholders. Additional information can be integrated in this manual that may not be
stated after publication. Special mandates may not be stated in this operational process
but can be very significant in the registration process.
Prepared By:
EDWARD VON A. CABANES, MBA
Policy Planning and Evaluation Division, Corporate Planning and Business Development Department
Policy Planning and Evaluation Division, Corporate Planning and Business Development Department
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PHIVIDEC INDUSTRIAL AUTHORITY
II. Definition of Terms
For the purpose of this manual, the following terms are defined:
DECREE – refers to Presidential Decree No. 538
AUTHORITY – shall mean the PHIVIDEC INDUSTRIAL AUTHORITY
ESTATE – shall refer to the area or areas delimited by Presidential
Proclamation(s) a PHIVIDEC INDUSTRIAL AREAS.
ESTATE ENTERPRISE - shall refer to any individual, firm, association,
partnership or other forms of business organizations, which has been registered
and authorized to establish and operate a business, or engage in any economic
activity inside the estate.
EXCLUSIVE AREAS – shall refer to restricted area which has a security interest
of extreme importance and which requires the highest degree of protection.
PHILIPPINE ECONOMIC ZONE AUTHORITY (PEZA) -attached to the
Department of Trade and Industry - is the Philippine government agency tasked
to promote investments, extend assistance, register, grant incentives to and
facilitate the business operations of investors in export-oriented manufacturing
and service facilities inside selected areas throughout the country proclaimed by
the President of the Philippines as PEZA Special Economic Zones. It oversees and
administers incentives to developers/operators of and locators in world-class,
ready-to-occupy, environment-friendly secured and competitively priced Special
Economic Zones.(Source: peza.gov.ph)
PIA –shall refer to PHIVIDEC Industrial Authority.
BOARD – shall refer to the Authority’s Board of Directors.
MOA – Memorandum Of Agreement; Draft agreement that may establish the
scope of association and mutual responsibilities. See also memorandum of
understanding. (Source: www.businessdictionary.com)
MOU – Memorandum of Understanding; a document that expresses mutual
accord on an issue between two or more parties. (Source: www.businessdictionary.com)
FEASIBILITY STUDY – an analysis and evaluation of a proposed project to
determine if it is technically feasible, is feasible within the estimated cost, and will be
profitable. (Source: www.businessdictionary.com)
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PHIVIDEC INDUSTRIAL AUTHORITY
PERMIT TO OPERATE – shall mean the permit issued by the Authority to a
Service firm upon registration. The date appearing thereon, unless otherwise
indicated, shall be conclusively deemed the date of registration.
CERTIFICATE OF REGISTRATION – shall mean the certificate issued by the
Authority to the Developer/Operator, Utilities, Facilities, Manufacturing-
Processing, Tourism or Information and Communication Technology Firm upon
registration. The date appearing thereon, unless otherwise indicated shall be
conclusively deemed the date of registration.
REGISTRATION AGREEMENT / PERMIT AGREEMENT – shall refer to the
final agreement executed by the Authority and the Estate Enterprise setting forth
the terms and conditions for the latter’s operation of business or engagement of
economic activity within the Estate.
SERVICE FIRM – refers to a business entity or concern within the Estate such
as but not limited to those engaged in customs brokerage, stevedoring and
arrastre services, trucking forwarding services, parcel, janitorial, security,
insurance and/or banking services, consultancy, restaurant services, or such other
services within the Estate as maybe determined by the Board, duly registered
and/or licensed by the Authority.
CONTRACT OF LEASE - outlining the terms under which one party agrees to
rent property owned by another party. (www.investopedia.com)
QMS – Quality Management System; a set of coordinated activities to direct and
control an organization in order to continuously improve the effectiveness and
efficiency of its performance.
QSE – Quality Systems Essential; set of activities that define the Quality
management system of an organization.
REAL PROPERTY TAX (RPT) - RPT is a property tax that is paid yearly. It is
imposed on all types of real properties including lands, buildings, improvements,
and machinery. To avoid excessive use of such authority, limitations were
established by setting specific percentages for the ceiling and base rates.
(www.hoppler.com.ph)
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PHIVIDEC INDUSTRIAL AUTHORITY
III. Introduction to PHIVIDEC-IA
A. Overview of the Organization
The PHIVIDEC Industrial Authority is a fully owned and controlled
corporation of the government of the Philippines. It was established on August
13, 1974 through Presidential Decree 538 as amended by Presidential Decree
1491.Being a catalyst of development, PHIVIDEC Industrial Estate Authority
(PIA) has the governmental and proprietary powers in providing incentives and
infrastructure needed by its investors. As a stimulant of change, its prime
responsibility is to provide industrial opportunities to capitalists to further
enhance their capabilities as contributor to economic and social balance.
Likewise, it created the PHIVIDEC Industrial areas which shall be
proclaimed, designated and specified by the Presidential Proclamations. The
3,000-hectare PHIVIDEC Industrial Estate in Misamis Oriental (PIE-MO)
covering 13 barangays in the Municipality of Tagoloan and Villanueva is the
first Industrial Area that is earmarked for the PIA.
With its strategic location, the Authority seeks to develop and provide
industrial areas and facilities to investors which open the opportunity to make
these exclusive areas into an estate enterprise. Locating these industries outside
the metropolis allows the decrease of congestion of infrastructures in highly
urbanized areas in the country and opens the employment opportunity in the
region. As such, this bolsters the exportation and importation activities in the
area.
The industrial estate is situated outside the typhoon path in Mindanao. It is
a large flat land with a wide source of river network that covers a 9km.
shoreline and estimated 25 meters deep harbors. The region is generally
peaceful amongst its nearby provinces. Proclamation 1495, signed on April 11,
2008, designates the 3,000-hectare PIE-MO estate as a Special Economic Zone of
PEZA. Locators and service firms do not only enjoy the incentives established
by PIA but also benefits of PEZA as part of the special economic enterprise.
Being declared as a PEZA zone, it serves as a gateway of entry and exit for people and
products to the South East Asian markets with estimated 600 million consumers.
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PHIVIDEC INDUSTRIAL AUTHORITY
B. Strategic Framework of the Organization
B.1. Vision
PIA shall be an excellent organization that contributes to the socio-economic
development of the country and promotes the welfare and well-being of the
veterans and retirees of the Armed Forces of the Philippines.
B.2. Mission
“PIA’s able management will continuously operate, administer and manage
attractive business locations in close collaboration with local governments and
communities in ways that will preserve and enhance the well-being of its
stakeholders, especially the veterans and retirees of the Armed Forces of the
Philippines, and keep the organization in the forefront of technological
developments and Estate management best practices”.
B.3. Purpose
B.3.1 To operate, administer and manage the PHIVIDEC Industrial Areas
and other areas which shall be proclaimed designated and specified in
subsequent Presidential Proclamation.
B.3.2. To engage in any commercial, industrial, agricultural and other
enterprises which may be necessary or contributory to the economic
development of the country, to the good of the national interest, and which
will promote the well-being of veterans and retirees of the Armed Forces of
the Philippines.
B.3.3. Core Values: Each member of the PIA family committed to internalize
and live by the following ideals and values, best described in the expression
of belief as PIA FIRST.
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PHIVIDEC INDUSTRIAL AUTHORITY
PIA: Professional, Innovativeness, Adaptability – Ideals that set forth the
norms of internal conduct and behavior that PIA family binds itself in the
performance of its mission.
FIRST Fairness, Integrity, Responsibility, Stewardship
(Accountability), Transparency – Ethics that set forth the norms of
conduct and behavior that governs the PIA family in relating to and
dealing with others.
B.3.4 Strategic Goals
To contribute in the socio-economic development of the country;
To promote the welfare and well-being of veterans and retirees of
the Armed Forces of the Philippines.
B.3.5 Strategic Themes
The potentials of PIA shall be harnessed and its challenges addressed
through the following four (4) development themes or high-level strategies.
Excellent organization with competent and dedicated personnel;
Balanced (Economic, Social and Ecological) Development PIEMO-
SEZ;
Collaboration and Partnership; and
Contribution to National Welfare and well-being.
B.3.6. Objectives
Maintain Able Management people
Accelerate Estate Development
Establish and Maintain Harmonious Collaboration with LGUs and
Communities
Improve Investor Servicing
Aggressive Investment Promotion
Increase Revenue Generation
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PHIVIDEC INDUSTRIAL AUTHORITY
C. Legal Basis
Established through Presidential Decree No. 538 created and established
the Phividec Industrial Authority and making it a subsidiary agency of the
Philippine Veterans Investment Development Corporation defining its
powers, functions and responsibilities, and for other purposes.
Approved the creation of the Phividec Industrial Authority by President
Ferdinand Marcos on June 11, 1985 by virtue of the powers vested by the
Constitution and by law, particularly Presidential Decree No. 1416.
*PD 1416: Granting continuity authority to the President of the
Philippines to reorganize the national government.
To perform all other functions in Section 2 of Presidential Decree 243
signed July 12, 1973, as amended by Presidential Decree 353 signed
December 26, 1973.
*PD 243: Creation and organization of a body corporate and politic to
be known as the PHILIPPINE VETERANS INVESTMENT
DEVELOPMENT COMPANY.
*Section 2 of PD 243. The Corporation shall have the following
purposes:
(a) To formulate, execute or operate such policies, programs,
projects or other activities as would allow the full and continued
employment of the productive capabilities of an investment of
the veterans and retirees of the Armed Forces of the Philippines;
(b) To direct, control, manage and operate all forms of
enterprises and investment ventures that shall be entered into by
such veterans and retirees or which will serve the preceding
purpose.
*Presidential Decree 353: Amended Presidential Decree 243 creating a
Philippine Veterans Investment Development Company.
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PHIVIDEC INDUSTRIAL AUTHORITY
D. Scope
The Quality Manual is applicable to all business transactions with
PHIVIDEC Industrial Authority. Incoming clients shall register with PIA before
doing business within the PHIVIDEC Industrial Estate in Tagoloan and Villanueva.
The procedures enumerated in this handbook are systematized with an objective to
streamline the business process in doing business with the agency. Additional
information can be integrated in this manual that may not be stated after
publication. Special mandates may not be stated in this operational process but can
be very significant in the registration process.
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PHIVIDEC INDUSTRIAL AUTHORITY
E. Advantages in investing with PHIVIDEC-IA.
Low land lease
rates.
Exemption from
customs duties and
taxes if goods are
50-70% for export.
Availment of the
BOI and PEZA
privileges if eligible
for registration.
Income Tax Holiday.
Exemption from Taxes and
Duties on Imported Spare
parts.
Exemption from Wharfage
Dues and Export Tax, Duty,
Import and Fees.
Tax Exemption on Breeding
Stocks and Genetic Materials.
Tax Credits.
Additional Deductions from
taxable income.
Income Tax
Holiday, 4-8
years
5% Special Tax
on gross
income, after
ITH in lieu of
all local and
national taxes.
Value Added
Tax zero-
rating.
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PHIVIDEC INDUSTRIAL AUTHORITY
IV. The Quality Policy
PHIVIDEC Industrial Authority is committed to provide excellent public service with
PROFESSIONALISM, INNOVATIVENESS, ADAPTABILITY, FAIRNESS,
INTEGRITY, RESPONSIBILITY, STEWARDSHIP and TRANSPARANCY.
As our pledge: We, the officials and employees of the
PHIVIDEC INDUSTRIAL AUTHORITY,
Commit to:
Serve you promptly, efficiently, and with utmost courtesy By authorized personnel with proper identification
from Mondays to Fridays, 8:00 a.m. to 5:00 p.m.
Ensure strict compliance service standards, with written explanation for any delays in frontline services;
Respond to your complaint about our services the
soonest or within the day through our complaint and assistance desk and take corrective measures;
Value every citizen’s comments, suggestions, and needs,
including those with special need such as the differently-abled, pregnant women, and senior citizens; and citizens; and
Empower the public through 24/7 access to information
On our policies, programs, activities and services through our website (www.pia.gov.ph ).
All these we pledge, because YOU deserve no less.
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PHIVIDEC INDUSTRIAL AUTHORITY
V. QSE : Organization V.A. Offices and its functions V.A.1. Top Level
PIA’S BOARD OF DIRECTORS OFFICE Makati Business and Liaison Office
3rd Floor DAO-1 Building, Salcedo Street, Legaspi Village,
Makati City, Philippines
Tel. No. (0632) 750-6787
Fax No. (0632) 818-1338
Chairman
Vice Chairman/Administrator
Director
Director
Director
Ex-Officio Director
Ex-Officio Director
Corporate Secretary
V.A.2. Office Level PIA ADMINISTRATION OFFICE Mindanao Container Terminal Complex,
Tagoloan, 9001 Misamis Oriental
Tel. No. (8822) 740-245
Fax No. (8822) 742-864
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PHIVIDEC INDUSTRIAL AUTHORITY
DEPARTMENT DIVISION FUNCTIONS
OBCD (Office of the Board Corporate Director)
o Promulgates policies & exercise all powers necessary to attain the purposes of PD 538.
o Acts as repository of all BOD records. o Coordinates with management on matters resolved by
the BOD for managerial action. OAPIA (Office of the Administrator)
o Directs & manages the affairs of PIA. o Recommends plans & programs to the BOD. o Implements the approved plans & programs of BOD.
LSD (Legal Services Division)
o Acts as general counsel of the authority. o Prepares/reviews contracts, MOA, MOU for approval
of the Board. o Lead Division in land acquisition, documentation &
filing. MISD (Management Information System Division)
o Takes charge of the systematized gathering & processing of data of PIA concerns.
o Takes charge in the conceptualization & development of systems and procedures.
o Information systems for cargo terminal operations.
DEPARTMENT DIVISION FUNCTIONS
CPBDD (Corporate Planning and Business
Development Department)
o Formulates plans & programs, rules & regulations & strategies of PIA.
o Business development & promotion concerns.
PPED (Policy Planning and Evaluation Division)
o Feasibility study – formulation of long range and annual plans and programs of PIA.
o Formulation of Corporate rules and regulations, programs & strategies.
o Evaluation of project proposals of prospective investors.
BDD (Business Development Division)
o Undertakes PIA promotions locally and abroad. o Implements promotions, programs & strategies. o Info dissemination to investors.
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PHIVIDEC INDUSTRIAL AUTHORITY
DEPARTMENT DIVISION FUNCTIONS
EMD (Estate Management Department)
o Implements industrial development programs inside PIE-MO.
o Implements the Rules & regulations of PD 538 on matters concerning PIE-MO locators.
o Generates revenues from estate operators. EEMD (Estate Engineering and Maintenance Department)
o Implements infra projects. o Land survey & preparation of Technical data & lot
plans. o Leads in the conduct of annual bldg., mechanical,
electrical inspection, machinery in PIE-MO. PUD (Public Utilities Division)
o Supervises operations & maintenance of public utilities (power & telecom, water supply).
o Ensures cost effectiveness of operation of public utilities.
o Maintenance of buildings, grounds, parking space, and gate within the port.
RAD (Revenue Assessment Division)
o Assessment of RPT, lease, and agro. o Projection/ preparation of over-all revenue sources of
PIA (short term). o Administration of lease rates.
EAD (Enterprise Assistance Division)
o Assist locators in registering with PIA. o Coordinates the manpower demands of enterprises. o Monitors the operations of PIEMO industries.
DEPARTMENT DIVISION FUNCTIONS
SSD (Support Services Department)
o Manages the financial, administrative, personnel & security affairs of the authority.
CBD (Cash and Budget Division)
o Cash management, collection, cash flow planning & projection.
o Certifies funds availability. o Budget preparation, monitoring and control.
AD (Accounting Division)
o Preparation of Account Analysis, Financial Statements, reports on financial transactions.
o Bookkeeping o Custody financial records and billing preparation.
RMD (Resource Management Division)
o Implementation of personnel policies, rules & regulations.
o Personnel recruitment, training and development. o Management of PIA physical assets and equipments.
ESS (Estate Security Staff)
o Gathering & analysis of intelligence information. o Effective coordination with PNP, AFP and PIEMO
industries. o Conducts investigation on matters concerning threats
& police security in PIE-MO.
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PHIVIDEC INDUSTRIAL AUTHORITY
DEPARTMENT DIVISION FUNCTIONS
PMD (Port Management Department)
o Administration of all Port in PIE-MO. o Management of the MCTP & all other PIE-owned
ports. o Formulation & implementation of port rules and
regulations. POD (Port Operations Division)
o Regulation, control of container, cargo loading/unloading, yard operations.
o Supervision of terminal operators and contractors. o Coordination with private port contractors.
PRD (Port Revenue Division)
o Import/export documentation. o Assessment of port charges.
-port dues -wharfage
-privilege fee o Issue cash invoice for wharfage and port dues and
charge for vessels. -
DEPARTMENT / DIVISION FUNCTIONS
ICD (Internal Control Department)
o Ascertains reliability/ integrity of financial & operational info; compliance w/ government policies, laws; safeguard of assets.
o Periodic & timely feedback to the APIA of the resulting results of findings.
o Formulates plans & programs relative to management problems of PIA & advises LRD.
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PHIVIDEC INDUSTRIAL AUTHORITY
V.A.3. Organizational Chart
Office of the Chairman & Directors (OBCD)
Office of the Administrator (OAPIA)
Corporate Planning & Business Development (CPBDD)
Internal Control Department (ICID)
MIS Division (MISD)
Legal Services Division (LSD)
Policy Planning & Evaluation Division (PPED)
Business Development Division (BDD)
Estate Management Department (EMD)
Port Management Department (PMD)
Support Service Department (SSD)
Estate Engineering & Maintenance Division (EEMD) Public Utilities Division (PUD)
Revenue Assessment Division (Non-Port) (RAD)
Enterprise Assistance Division (EAD)
Port Revenue Division (PRD)
Port Operations Division (POD)
Cash & Budget Division (CBD)
Accounting Division (AD)
Resource Management Division (RMD)
Estate Security Staff (ESS)
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PHIVIDEC INDUSTRIAL AUTHORITY
VI. QSE : The Registration Process
VI.A Introduction
The registration process shall be applicable to interested firms locating
within PIEMO-SEZ. There are two classifications of industries:
MANUFACTURING (NEW and RENEWING LOCATORS) and
SERVICE FIRMS (NEW AND RENEWING FIRMS).
VI.A.1. Scope
The procedures below shall only be applicable to
MANUFACTURING/PROCESSING FIRMS.
Who can apply: Manufacturing /Processing, Developer, Port Operators, Power Generator/ Distributor, Commercial/ Malls/ Hotels
VI.B.2. Procedures (Service Firms)
Step 1: Application for Registration with PIA.
Interested firms may visit or call the Business Development Division under
the Corporate Planning and Business Development Department (CPBDD)
to inquire and request for the requirements for registration. The office shall
provide guidelines and standard specifications for the plant/firm to be
established inside the special economic zone. The applicant firm has to refer
with the department of the recommended area for lease. These requirements
must be complied before submitting to the department for initial review
and processing.
PD 538 :Rule 15 (Transitory Provisions) Section 3: An applicant or Estate
Enterprise may apply or transact business with the Authority using
electronic documents in accordance with the appropriate guidelines that the
Board may prescribed pursuant to R.A. 8792, otherwise known as the
Electronic Commerce Act of 2000, and other pertinent laws.
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PHIVIDEC INDUSTRIAL AUTHORITY
An interested firm commences the registration process upon submission of
the Letter of Intent containing the following information below:
Company Name
Name of Project
Description of Project stating the raw materials and product description
Percentage of product to be exported (if applicable) Foreign Corporations – at least 70%
Domestic Corporations – at least 50%
Project Cost/ Funding Source
Area Required (Minimum and Maximum): ______ Ha.
Power Requirement; _______ Kw/mo.
Water Requirement; _______ cu. m/mo.
Employment
Time Table of the Project Implementation
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PHIVIDEC INDUSTRIAL AUTHORITY
PD 538 mandates PIA to levy, assess and collect real property taxes and
distribute the collection with the local government units (LGU). Since
PHIVIDEC-IA is a Special Economic Zone, various taxing powers in
PEZA registered export companies shall be withdrawn.
The Cost of Doing Business are as follows:
Escalation:
Fixed Rate of 5% per annum but to be applied after 3 years.
Step 2: Briefing and submission of the requirements.
Consultation and negotiation of the proposal shall be initiated between
the CPBDD and the prospect investor/s to discuss the details of the
project proposal. Once the round table discussion has concluded, an on-
site tour will be conducted to provide a physical inspection of the desired
area of lease. Vital information must be disclosed to be able to process the
proposal. Non-disclosure of operational and other related activities will
defer the application.
Note: The investors/firm has an option to request for a site visit
prior to the submission of the requirements. In this way, the
requesting party can make amendments and necessary alignment
in their decision-making prior to filing the actual registration.
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PHIVIDEC INDUSTRIAL AUTHORITY
The applicant firm will be required to submit the following supporting
documents below after the briefing, negotiation and on-site visit:
Feasibility or Project Study
Business Plan
Environmental Plan (at least 10% of the site shall be used as green area, if
applicable)
Process Description and Process Flow
Certificate of Registration of Business Name
In Case of a corporation, partnership, cooperative or entity,
certified copies of its articles of incorporation and by-laws,
constitution and by-laws or articles of partnership or association
and amendments thereof, duly registered with the Securities and
Exchange Commission for Corporations, Cooperative
Development Authority for Cooperatives, and other licensing or
registering government agency
Income Tax Returns for the last three (3) preceding years if
applicable. Otherwise, only income tax return during the
applicant has been operating and tax clearance certificate
Audited Financial Statements for the last three (3) years if
applicable, otherwise, only financial statements for the period the
applicant has been operating
In case of corporation, a list of Directors and Principal
Stockholders together with their respective bio-data. In case of a
single proprietorship, the name of its principal owner, and in case
of a partnership or other entities, a list of the major partner,
stockholder or controlling members together with their respective
bio-data
Development Plan and Proposed Activities for 2 year period
Resolution of the Board of Directors of a corporation or other
entity authorizing the filing of the application and nominating its
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PHIVIDEC INDUSTRIAL AUTHORITY
representative of the Authority. In case of a partnership or a single
proprietorship, an equivalent declaration under oath
When applicable, certified copies of its certificate of registration
with the Board of Investment under the Investment Incentives
Law, Republic Act No. 5186; or the export Incentives Law R.A. No.
6135; or under similar laws granting incentives to enterprise
Shall also comply with the following requirements:
Pro Forma Lease Contract
Pro Forma Registration Agreement
Deed of Undertaking that no building, structure or other facilities
shall be constructed and no improvements or buildings structures
or facilities shall be made in the Estate without previous written
approval of the Authority and consenting to demolition or
dismantle said building, structures or facilities or improvements
thereto upon order of the Authority or upon failure or refusal to do
so authorizing the Authority to undertake the demolition or
dismantling thereof, at the applicants or owner’s expense
A Resolution of the Board of Directors or a deed of undertaking,
whichever is applicable, formally accepting the terms and
conditions for registration
Anti-graft certificate
The project proposal will go through an evaluation process to be initiated
by the Policy Planning and Evaluation Division (PPED). All the
documents submitted will be assessed if the applicant firm is qualified to
register with the Authority. This is for the purpose to determine whether
the applicant firm has the capacity and legal measures to operate inside
the special economic zone.
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PHIVIDEC INDUSTRIAL AUTHORITY
PD 538: Rule 3 Section 2: Any material falsehood or
misinterpretation contained in the application for registration of
an Estate Enterprise or in any other document submitted to the
Authority in connection with said application shall render the
application null and void from the beginning.
The purpose of the evaluation process conducted by the PPED is listed
below:
1. To identify the area preferred by applicant firm.
2. To evaluate financial and technical aspects of the project.
3. To survey and delineation of preferred area by EMD.
4. To spot affected families within the preferred area.
After the evaluation, the Authority, through the PPED, will inform the
applicant firm of its decision as FAVORABLE or UNFAVORABLE.
If FAVORABLE, the applicant firm will be required to pay a filing fee to
the cashier under the Cash and Budget Division (CBD) as start of the
registration process. This means that all submitted documents are valid
and is permitted to be registered as a qualified ESTATE ENTERPRISE.
With this, the estate enterprise shall follow the law, mandates, policies
prescribed by PIA as the governing agency.
Below is the schedule of fees imposed by the Authority:
Filing Fee (To be imposed once upon filing of required documents)
CAPITALIZATION/PROJECT COST
(in PhP)
FEES
(in PhP)
FEES
(USD)
Below 1 Million 1,000.00 $21.37
Between 1 - 25 Million 1,500.00 $32.05
Between 25 - 100 Million 2,000.00 $42.74
Above 100 Million 3,000.00 $64.10 *conversion rate = 46.80
Registration Fee (To be imposed once upon issuance of the Certificate of
Registration):
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PHIVIDEC INDUSTRIAL AUTHORITY
*For Firms introducing improvement worth more than
P 750,000.00
(1/10 of the total project cost but shall not be less than P 2,000.00
or more than P 10,000.00)
*For all other registering firms – 1,000.00 Rule 2 Section 5: The schedule of fees shall be approved by the
Board, to be reviewed every three years.
Rule 2 Section 6: Forfeiture of Filing fee. – If, for any cause not
attributable to the Authority, the application is withdrawn,
the application fee shall be forfeited in favor of the Authority.
The same rule shall apply when at any time; the registration is
declared null and void.
Rule 2 Section 13: The Authority shall charge reasonable fees
for the acceptance, processing, issuance, and renewal of all
applications, permits, certificates and other similar documents
that may be required under these rules.
Note: If UNFAVORABLE, the applicant firm will be informed
about the decision. The firm will be advised to comply with the
lacking or additional requirement/s and resubmits for
reassessment and reprocessing.
After payment and filing, the proposal will be endorsed to the
Administrator and the Board of Directors for the approval of the project. If
it is APPROVED, qualified estate enterprise will be issued a Board
Resolution and shall proceed with the STEP 3 of the registration process.
If the application is DISAPPROVED, the firm shall be
required to resubmit additional or lacking requirements as
needed and shall repeat necessary processes.
22
PHIVIDEC INDUSTRIAL AUTHORITY
Step 3: Compliance of Additional requirements from other
government agencies.
After all the documents and internal processes with PIA are completed,
the estate enterprise will be obliged to submit additional requirements
from other agencies as the Authority requires. This includes permits,
clearances, and certifications necessary based from the nature of the
business. The following requirements should be submitted:
S
e
c
t
i
o
n
PD 538 : Rule 3 (Provisions common to registration and permit
agreement) Section 4: An Estate Enterprise shall, when requested,
furnish the Authority with copies of the reports which by law or
regulation is required to submit to appropriate agencies.
The signing of the Registration of Agreement, Lease Contract & Issuance of
Certificate of Registration will be enacted between the estate enterprise and
PIA-IA. This will seal the partnership of the firm and the Authority and
makes the undertaking legal and binding.
The Permit Agreement should be NOTARIZED by the Legal Services
Division (LSD). All concerned department managers and division chiefs
must be provided with all the pertinent documents related to the project.
The payment of the REGISTRATION FEE, through the CBD, shall
follow after all necessary processes are completed.
1. Environmental Compliance
Certificate (ECC)
DENR
PIA to assist
2. Building and Occupancy Permit PIA to assist
3. Certificate of Compliance (For Power Generator / Distributor)
Energy Regulatory
Commission
4. Certification from the National Transmission Company
(For Power Generator / Distributor)
National Transmission
Company
23
PHIVIDEC INDUSTRIAL AUTHORITY
Note: The filing fee upon application is different from the
registration fee upon approval of the board resolution making
the applicant firm a qualified estate enterprise of PIA-IA.
PD 538 :Rule 3 Section 11: No Estate Enterprise shall engage
in any undertaking or activity other than the
project/activity covered by its original registration. In the
event it does so, it shall register this new activity with the
Authority and give notice thereof to the Authority within
ten(10) days from the start of the said undertaking or
activity, install an accounting system adequate to indentify
investments, revenue, costs, profits or losses of the project
not covered by the original registration separately from
those of the old enterprise , and make available during
working hours for inspection and examination by the duly
authorized representatives of the Authority, and other
documents that may be required by the Authority. Non-
compliance of this requirement shall be a valid ground for
the Administrator to suspend the operations of the new
activity until a new Certificate of Registration is issued.
(Amended by PIA Board Resolution No. XIX 389, series of 1997)
After all the legal forms have been completed, the construction of the
facility shall commence and will be monitored by the Enterprise
Assistance Division (EAD) that there is compliance of the timetable,
terms and conditions stipulated in the MOA, Registration Agreement and
Lease Contract. Any violation of the stipulations shall demerit a penalty
and will be obliged to pay a fine to be determined by the Authority.
PD 538: Rule 4, Section 16: No buildings, structure or other facilities
shall be constructed, and no improvements on building, structures, or
facilities shall be made within the Estate without the written approval
of the Authority.
24
PHIVIDEC INDUSTRIAL AUTHORITY
An Estate Enterprise desiring to introduce improvement or construct
any building, structure or other facilities within the Estate shall notify
the Authority through the Administrator of such intention. The
Authority shall inform the said enterprise in writing of such
approval/disapproval. Repairs may be made on existing structures
subject to the foregoing requirements of written notice and approval
from the Authority.
Violation of the above provision shall be sufficient ground for the
Authority to order the demolition or dismantling of the said building,
structures or facilities or any part thereof, with cost chargeable
against the owner thereof, or his duly authorized representative.
PD 538 :Rule 10, Section 1: An Estate Enterprise desiring to build
and/or construct any building, house, warehouse. Private road or
bridge and other similar structure and infrastructure inside the Estate
must submit their building and/or construction plan for approval by
the Authority. Failure to do so would entitle the Authority to order
stoppage of the construction.
For the violation of the above provision, an Estate Enterprise shall
pay a fine in an amount to be determined by the Authority plus
damages, without prejudice to any action which the Authority may
deem appropriate.
Step 4: Start of operations.
25
PHIVIDEC INDUSTRIAL AUTHORITY
VI.C.3. Scope
The procedures below shall only be applicable for registration of NEW
SERVICE FIRMS
Who can apply: Manpower & Allied Services, Port-related and other Ancillary
Services, Engineering & Allied Services, Transportation Services, Storage &
Warehousing, Utilities, Consultancy groups.
VI.D.4. Procedures (Service Firms)
Step 1: Application for Registration with PIA.
Interested firms may visit or call the Corporate Planning and Business
Development Department (CPBDD) specifically the Business
Development Division to inquire and request for the requirements for
registration. The Department shall provide guidelines and standard
specifications for the plant/firm to be established inside the special
economic zone. The applicant firm has to refer with the department of the
recommended area for lease. These requirements must be complied before
submitting to the department for initial review and processing.
PD 538 :Rule 15 Section 3: An applicant or Estate Enterprise may apply or
transact business with the Authority using electronic documents in
accordance with the appropriate guidelines that the Board may prescribed
pursuant to R.A. 8792, otherwise known as the Electronic Commerce Act
of 2000, and other pertinent laws.
26
PHIVIDEC INDUSTRIAL AUTHORITY
The application forms must be submitted to the Authority together with
the other pertinent documents must be accomplished as required. An
interested firm commences the registration process upon submission of
the Letter of Intent containing the following information below:
Step 2: Briefing and submission of the requirements.
Consultation and negotiation of the proposal shall be initiated between
the CPBDD and the prospect investor/s to discuss the details of the
project proposal. Once the round table discussion has concluded, an on-
site tour will be conducted to provide a physical inspection of the desired
area of lease. Vital information must be disclosed to be able to process the
proposal. Non-disclosure of operational and other related activities will
defer the application.
Note: The investors/firm has an option to request for a site tour
prior the submission of the requirements. In this way, the
requesting party can make amendments and necessary alignment
in their decision-making prior to filing the actual registration.
The applicant firm will be required to submit supporting documents after
the briefing, negotiation and on-site visit.
Feasibility or Project Study (if applicable)
Service Description and Process Flow
Certificate of Registration of Business Name
Company Name
Name of Project
Description of Project stating the raw materials and product description
Capitalization %
Employment
Time Table of the Project Implementation
27
PHIVIDEC INDUSTRIAL AUTHORITY
In Case of a corporation, partnership, cooperative or entity,
certified copies of its articles of incorporation and by-laws,
constitution and by-laws or articles of partnership or association
and amendments thereof, duly registered with the Securities and
Exchange Commission, Cooperative Development Authority, and
other licensing or registering government agency
Income Tax Returns for the last three (3) preceding years if
applicable. Otherwise, only income tax return during the
applicant has been operating and tax clearance certificate
Audited Financial Statements for the last three (3) years if
applicable, otherwise, only financial statements for the period the
applicant has been operating
In case of corporation, a list of Directors and Principal
Stockholders together with their respective bio-data. In case of a
single proprietorship, the name of its principal owner, and in case
of a partnership or other entities, a list of the major partner,
stockholder or controlling members together with their respective
bio-data
Resolution of the Board of Directors of a corporation or other
entity authorizing the filing of the application and nominating its
representative of the Authority. In case of a partnership or a single
proprietorship, an equivalent declaration under oath
The following documents should be NOTARIZED:
Deed of Undertaking that no building, structure or other facilities
shall be constructed and no improvements or buildings structures
or facilities shall be made in the Estate without previous written
approval of the Authority and consenting to demolition or
dismantle said building, structures or facilities or improvements
thereto upon order of the Authority or upon failure or refusal to do
28
PHIVIDEC INDUSTRIAL AUTHORITY
so authorizing the Authority to undertake the demolition or
dismantling thereof, at the applicants or owner’s expense
Anti-graft certificate
Pro Forma Permit Agreement
Such other documents that the Authority may require.
The project proposal will go through an evaluation process to be initiated
by the Policy Planning and Evaluation Division (PPED). All the
documents submitted will be assessed if the applicant firm is qualified to
register with the Authority. This is for the purpose to determine whether
the applicant firm has the capacity and legal measures to operate inside
the special economic zone.
PD 538: Rule 3 Section 2: Any material falsehood or misinterpretation
contained in the application for registration of an Estate Enterprise or in any
other document submitted to the Authority in connection with said application
shall render the application null and void from the beginning.
After the evaluation, the Authority, through the PPED, will inform the applicant firm of its decision as FAVORABLE or UNFAVORABLE.
If FAVORABLE, the applicant firm will be required to pay a filing fee to
the cashier under the Cash and Budget Division (CBD) as start of the
registration process. This means that all submitted documents are valid
and is permitted to be registered as a qualified ESTATE ENTERPRISE.
With this, the estate enterprise shall follow the law, mandates, policies
prescribed by PIA as the governing agency.
Below is the schedule of fees imposed by the Authority:
CAPITALIZATION/PROJECT COST (PhP)
FEES (PhP)
FEES (USD)
Below 500,000 750.00 $16.03
Above 500,000 1,000.00 $21.37 *conversion rate = 46.80
29
PHIVIDEC INDUSTRIAL AUTHORITY
CLASSIFICATION FEES (PhP)
FEES (USD)
Contractors 10,000.00 $213.68
For all other registering firms 1,000.00 $21.37
PD 538 :Rule 2 Section 5: The schedule of fees shall be approved by the
Board, to be reviewed every three years.
PD 538 :Rule 2 Section 6: Forfeiture of Filing fee. – If, for any cause not
attributable to the Authority, the application is withdrawn, the
application fee shall be forfeited in favor of the Authority. The same rule
shall apply when at any time; the registration is declared null and void.
PD 538 :Rule 2 Section 13: The Authority shall charge reasonable fees for
the acceptance, processing, issuance, and renewal of all applications,
permits, certificates and other similar documents that may be required
under these rules.
Note: If UNFAVORABLE, the applicant firm will be informed
about the decision. The firm will be advised to comply with the
lacking or additional requirement/s and resubmits for
reassessment.
Step 3: Presentation of project proposal to APIA for approval
A. The process below shall only be applicable for SERVICE FIRMS
WITH AREA inside the PIE-MO SEZ:
The project proposal of a qualified service firm will be endorsed to
APIA. It will be assessed based from the recommendation of the
CPBDD that the service firm qualifies to be registered with the
Authority. After the evaluation and deliberation of the proposal, APIA
will approve or disapprove the application. APIA, as the final
approver, has the full jurisdiction for decision of the application of
services firms. Meanwhile, the preparation of the contracts will be
through the Legal Services Division.
30
PHIVIDEC INDUSTRIAL AUTHORITY
B. The process below shall only be applicable for SERVICE FIRMS
WITHOUT AREA inside the PIE-MO SEZ:
If the application is APPROVED by APIA, the qualified service firm
will be issued a PERMIT AGREEMENT and PERMIT TO
OPERATE certificate. The permit to operate is valid only for ONE
(1) YEAR upon issuance and is renewable only every first quarter of
the calendar year upon payment of the prescribed fee, unless
terminated for a cause.
Note: If the proposal will be DISAPPROVED by APIA, the
applicant firm will be advised to resubmit lacking/additional
supporting documents through the PPED and will repeat
necessary processes as required.
Step 4: Start of operations.
31
PHIVIDEC INDUSTRIAL AUTHORITY
VI.E.5. Scope
The policy below shall be applicable for RENEWAL of SERVICE FIRMS.
Who can apply: Manpower & Allied Services, Port-related and other
Ancillary Services, Engineering & Allied Services, Transportation
Services, Storage & Warehousing, Utilities, Consultancy groups.
VI.F.6. Procedures
Step 1: Application of Renewal of Permit to Operate
The Enterprise Assistance Department (EAD) monitors the actual
operations of the service firms.
A service firm that nears expiry of its permit to operate is required to
submit a Letter of Intent stating its intention to continue its service inside
the special economic zone. If EAD recommends the renewal of the firm, it
will be directed to the PPED for further assessment. If EAD opt not to
issue a recommendation for renewal, the project proposal will be re-
evaluated and the firm will be informed the renewing service firm and may
be requested to secure additional requirements as deemed necessary.
Firms for renewal shall pay the permit-to-operate (PTO) fee.
The BDD shall issue and invoice for payment to the cashier. The cashier
issues an official receipt after which the BDD processes the permit
agreement and PTO certificates. The permit agreement (PA) and permit-to-
operate (PTO) shall be endorsed to the Office of the Administrator (OAPIA)
for the Administrator’s signature. Once signed, the firm is given the
permit agreement in 3 copies for notarization. The firm will provide
PHIVIDEC-IA a copy of the notarized permit agreement which then
PHIVIDEC-IA issues a Permit-to-Operate certificate.
32
PHIVIDEC INDUSTRIAL AUTHORITY
Step 2: Evaluation, Endorsement and Payment
The application will go through a re-evaluation process to be conducted
by the PPED.
If FAVORABLE upon review and evaluation, the PPED will endorse the
proposal to APIA for approval. If the application is APPROVED by APIA,
the qualified service firm will be issued a PERMIT TO OPERATE
certificate. The permit is valid only for ONE (1) YEAR upon issuance and
is renewable only every first month of the calendar year upon payment of
the prescribed fee, unless terminated for a cause. Meanwhile, the service
firm will be advised to proceed to the cashier for the payment of renewal
permit. All documents must be NOTARIZED by the firm’s lawyer. All
concerned department managers and division chiefs must be provided
with all the pertinent documents related to the project.
Step 3: Approval and Issuance of the Permit Agreement
If the application is APPROVED by APIA, the qualified service firm will
be re-issued a new PERMIT TO OPERATE certificate valid for ONE (1)
YEAR.
o Renewable only every first month of the calendar year
upon payment of the prescribed fee, unless terminated for
a cause.
o A grace period of three (3) months after the expiry date.
o After the grace period, the service firm shall apply as a
NEW REGISTRANT.
Note: This shall only apply to service firms with areas within
PIEMO-SEZ. If the proposal will be DISAPPROVED by the
Board, the applicant firm will be advised to resubmit
lacking/additional supporting documents through the PPED and
will repeat necessary processes as required.
Step 4: Start of operations.
33
PHIVIDEC INDUSTRIAL AUTHORITY
VII. QSE : Real Property Taxes
VII.A. Scope
The procedures below shall apply to the ASSESSMENT of real property of
existing firms locating inside the PIE- SEZ Industrial Zone. The purpose of
assessing a real property is to determine the value to be taken by the government
through the form of taxes.
VII.B. Procedures
Step 1: Sending of Inspection/ Inventory Notice
PHIVIDEC Industrial Authority, through the Revenue Assessment Division
(RAD), shall forward a notice of inspection/ inventory to a locator firm indicating
the date of visit and other important details for the assessment.
Step 2: Field Inspection of area for assessment
The RAD personnel shall proceed to the locator firm to start the inspection
process. All information gathered shall be indicated in the Inspection Report
after the conducting inspection.
Step 3: Sworn Statement given to locator
The RAD personnel shall prepare a Sworn Statement of the True Market Value of
the inspected area and will be forwarded to the locator or the property owner.
Step 4: Preparation of the TMCR with PIN
The RAD personnel shall prepare the Tax Mapping Control Roll (TMCR) and a
unique PIN will be determined. This form is to identify the activity with its
proper coding.
Step 5: Preparation of the Assessment Sheet
An assessment sheet of all the inspected properties shall be provided to identify
the exact value of the real property tax to be paid.
34
PHIVIDEC INDUSTRIAL AUTHORITY
Step 6: Data entry
Assessment details shall be encoded in the Real Property Tax System to identify
the exact tax declaration.
Step 7: Distribution of Tax Declaration report
A copy of the tax declaration shall be given to the following for review and
reference:
i. Records and Files Administration
ii. Provincial Assessor’s Office
iii. Property owner/ lessee
iv. Historical ownership of the Real Property Record
Step 8: Forwarding the tax due to the SSD
The RAD personnel shall forward the complete tax roll and RPT Order of Payment to
the Support Services Department to expedite the collection process. The
distribution of the said copies shall be provided to:
(1) Central Accounting (Record Billing) (3) Internal Control (Audit)
(2) Cash and Budget (Collection) (4) Property Owner/ Administrator
VII.C. Scope
The procedures below shall apply to the COLLECTION of real property of
existing firms locating inside the PIE- SEZ Industrial Zone.
VII.D. Procedures
Step 1: Inquiry of tax due
The locator taxpayer shall proceed to the Revenue Assessment Division to
inquire the real property tax to be paid. RAD shall prepare the bill/tax due which
can be accessed in the TD File. The distribution of the tax due is computed
quarterly.
35
PHIVIDEC INDUSTRIAL AUTHORITY
In the verification of the tax due, the following details must be captured:
TD No.
PIN
Transaction Type
Owner
Owner’s Address
Administrator
Administrator’s
Address
Property Location
Boundaries
Title No.
Lot No.
Block No.
Land Area
Kind of Property
Tax Indicator
Valuations
Effectivity Date
Revision Date
Memoranda
Step 2: Payment of Tax Due
The locator taxpayer shall proceed to the cashier for the payment of the tax due.
The cashier will receive the payment, issue an official receipt and post the
collection under the locator’s account to confirm payment.
In the issuance of the Official Receipt, the following details must be recorded:
Number and date of
Official Receipt
Payee
Period of payment
covered
Name of Collector
TD Number
Type of Payment
(Basic or SEF)
Assessed Value
Type of property
Property Use
36
PHIVIDEC INDUSTRIAL AUTHORITY
VII.E. Legal Basis
R.A. No. 7916: Philippine Economic Zone Authority (PEZA)
Sec. 24. Exemption from taxes under the National Internal Revenue Code.
– Any provisions of existing laws, rules and regulations to the contrary
notwithstanding, no taxes, local and national, shall be imposed on
business establishments operating within the ECOZONE. In lieu of
paying taxes and enterprise within the ECOZONE shall be paid and
remitted as follows:
(a) Three percent (3%) to the national government;
(b) Two percent (2%) which shall be directly remitted by the
business establishments to the treasurer’s office of the
municipality or city where the enterprise is located.
R.A. No. 8748 – An Act amending Republic Act No. 7916, otherwise
known as the “SPECIAL ECONOMIC ZONE ACT OF 1995”
Sec. 4. Chapter 3, Section 24 of Republic Act No. 7916 is hereby amended
to read as follows:
Sec. 24. Exemption from Taxes from the National and Local Taxes – Except
for property taxes on land owned by developers, no taxes, local or national shall be
imposed on the business establishments operating within the ECOZONE
shall be paid and remitted as follows:
(a) Three percent (3%) to the National Government;
(b) Two percent (2%) which shall be directly remitted by the business
establishments to the treasurer’s office of the municipality is city
where the enterprise is located.
DOF Revenue Regulations No. 1-00
“Sec. 4 – Nature of the 5% Tax and Extent of Tax Exemption: The Above
5% tax is imposed on gross income earned, hence, income tax in nature
and a national internal revenue law in character. Registered ECOZONE
enterprises shall be exempt from all other taxes, national and local,
EXCEPT THE REAL PROPERTY TAX ON LAND OWNED BY
37
PHIVIDEC INDUSTRIAL AUTHORITY
DEVELOPERS, pursuant to Section 24 of R.A. No. 7916, as amended by
R.A. No. 8748.”
Proclamation No. 1485
10,722,222.00 sq. ms. Of land situated Phividec Industrial Estate at the
municipalities of Villanueva and Tagoloan Misamis Oriental as a special
economic zone, to be known as PHIVIDEC INDUSTRIAL ESTATE –
ECONOMIC ZONE.
Proclamation No. 2106 :
Amending Proclamation No. 1485 dated April 11, 2008, creating and
designating the entire Phividec Industrial Estate located at the
municipalities of Villanueva and Tagoloan province of Misamis Oriental
(30,000,000.00sq. ms.) as special economic zone pursuant to Republic
Act No. 7916 as amended by Republic Act No. 8748.
VIII. Accountability
IX.A. Management Commitment
The PHIVIDEC Industrial Authority is committed to provide
public service to its stakeholders by providing the optimum areas to be
developed as industrial zones. PHIVIDEC Industrial Authority, being the
governing agency over the 3,000 hectare industrial zone of Tagoloan and
Villanueva, seeks to encourage, promote and sustain the economic and
social growth of the country. With this, PIA management integrates best
practices into its daily operations in order to have a clear and transparent
sense of a true public service.
IX.B. Policies and procedures
IX.B.1 Description of the PIA Policies and procedures
The PIA policies and procedures define the intention and direction
of the organization when it comes to excellence on public service. It aims
to provide a macro view of the purpose of the existence of the agency.
IX.B.2. Communication and Application of the policies and procedures
38
PHIVIDEC INDUSTRIAL AUTHORITY
The policies and procedures reflected on this manual shall be
applied to all its clients transacting business with the agency. Such
existence of the manual will be the foundation for legal concerns,
references, and other relative issues that may arise in the daily operations
of the agency.
IX.C. Purpose of Existence of PIA
IX.C.1. To encourage – the development of the land that allows the
Authority and its stakeholders to fully utilize the available resources
within its jurisdiction.
IX.C.2. To promote – full occupancy of the vacant areas by inviting
investors to locate and lease spaces
IX.C.3. To sustain – the economic growth of the region. income generation
of the Authority through the collection of Real property taxes that will be
used for the funding of various projects and obligations of the national
government in a progressive nation-building.
IX.D. Management Responsibility
The Board of Directors and the Administrator, being the approving
and appointing power, shall be responsible in the overall management of
the agency and its people. They will be responsible in the authoritative
decision making in all aspects of the agency’s function and existence.
The department managers, division chiefs and other support staff
shall be responsible in the formulation of plans, strategies and
issues/concerns that is deemed necessary in the daily operations of the
agency. They shall be the frontline in the development of the areas which
are aimed to be fully occupied to make the Tagoloan and Viilanueva areas
to be a globally competitive industrial zone.
IX. Flowcharts
Please refer to the next pages (pages 40 - 44).
X. Forms
Please refer to the next pages (pages 45 - 53). 39
PHIVIDEC INDUSTRIAL AUTHORITY
The Registration Process
- New Locator Firms
- New Service Firms
- Renewal of Service Firms
Real Property Taxes
40
PHIVIDEC INDUSTRIAL AUTHORITY
REGISTRATION OF LOCATOR FIRMS
41
PHIVIDEC INDUSTRIAL AUTHORITY
REGISTRATION OF SERVICE FIRMS
42
PHIVIDEC INDUSTRIAL AUTHORITY
RENEWAL PROCESS FLOW FOR SERVICE FIRMS
START
Manpower & Allied Services, Port-related and other Ancillary Services, Engineering & Allied Services,
Transportation Services, Storage & Warehousing, Utilities, Consultancy groups
EAD monitors & reminds the actual operation of the service firm
Applies for Renewal
Submission of the Letter of Intent by the Service Firm
EAD recommends
Renewal
Re-evaluate project proposal and
provides the firm feedback and
completes necessary process
Evaluation by PPED
Endorses to APIA for Approval
APIA’s Approval of the Permit to Operate
Signing of the Permit Agreement (APIA-Service Firm)
Issuance of the Permit to Operate
Start of Service Operation
3rd Step
43
PHIVIDEC INDUSTRIAL AUTHORITY
44
PHIVIDEC INDUSTRIAL AUTHORITY
The Registration Process
- Application for Registration as an Estate Enterprise
Real Property Taxes
45
PHIVIDEC INDUSTRIAL AUTHORITY
ANTI-GRAFT CERTIFICATE
I, _____________________________, of legal age, President/General Manager of
________________________________________________________ with postal address at _________________________________________ after having been sworn, depose and say:
That pursuant to the provisions of Section 3 and 14 of R.A. 3019 (Anti-Graft Act), the applicant enterprise, ________________________________________________________ has not given or promise to give, and will not give, any gift to any officer or employee of the PHIVIDEC Industrial Authority in connection with filing and processing of this application, nor will it give such gift to any said officers or employees after approval of its application. That based on the records of the applicant, no Director or officer of the PHIVIDEC Industrial Authority has an investment or other financial interest, direct, or indirect, in the applicant; and That this certificate was made with the approval of the applicant's Board of Directors. ________________________ Affiant SUBSCRIBED AND SWORN to before me this ________ day of _________________, 20__ in the City/Province of ___________________. Affiant exhibited to me his/her Residence Certificate No. _____________ issued at __________ on _______________. Doc. No. ________; Page No. ________; Book No. ________; Series of 20__.
46
PHIVIDEC INDUSTRIAL AUTHORITY
DEED OF UNDERTAKING
KNOW ALL MEN BY THESE PRESENT: This Deed made and executed by: _____________________________________ with principal office at______________________________________________________________________________________ represented herein by _______________________________ hereinafter referred to as the "APPLICANT."
In favor of
PHIVIDEC INDUSTRIAL AUTHORITY, created and operating pursuant to the provisions of Presidential Decree No. 538, as amended, with principal office at Administration Building, MCT Complex, Tagoloan, 9001 Misamis Oriental, Philippines, hereinafter referred to as the "AUTHORITY." WHEREAS, the APPLICANT has applied for registration as an estate enterprise with the AUTHORITY pursuant to the provisions of PD 538, as amended, and its implementing rules and regulations; WHEREAS, in support of its application, the APPLICANT is required to submit a deed of undertaking that no buildings, structures, facilities or improvements shall be constructed or made in the Estate without the previous written approval of the AUTHORITY. NOW THEREFORE, for and in consideration of the foregoing premises, the APPLICANT hereby agrees, undertakes and binds itself:
1. That the APPLICANT shall not construct any buildings, structures, or other facilities, nor make any improvements in the Estate, by itself or through its agents, employees or assigns, without the previous written approval of the AUTHORITY.
2. That the APPLICANT shall, upon order of the AUTHORITY, demolish or dismantle said
buildings, structures, facilities or improvements which have been constructed without the previous written approval of the AUTHORITY, and upon failure or refusal of the APPLICANT to do so, the AUTHORITY is hereby authorized to undertake the demolition or dismantling thereof, at the APPLICANT's or owner's expense.
3. That the APPLICANT shall not demolish or dismantle any buildings, structures or
improvements, whether or not constructed or introduced by the APPLICANT itself, without the previous approval of the AUTHORITY, and the APPLICANT shall answer for any damage or prejudice caused to the AUTHORITY or any third party by the said APPLICANT's
47
PHIVIDEC INDUSTRIAL AUTHORITY
unauthorized demolition and dismantling of existing buildings, structures, and improvements as aforementioned.
IN WITNESS WHEREOF, the APPLICANT have hereunto affixed his/her signature this ____ day
of ___________, 20__ at ________________, Philippines.
_______________________ Applicant
By: ____________________
SIGNED IN THE PRESENCE OF:
___________________________ __________________________
ACKNOWLEDGMENT BEFORE ME, a Notary Public of ________________________, this ________ day of ________________, 20__ personally appeared: NAME CTC ISSUED ON/AT
_______________________ _____________________ __________________ _______________________ _____________________ __________________
Known to me and to me known to be the same persons who executed the foregoing Deed of Undertaking, consisting of two (2) pages including this page and acknowledged to me that the same is their free and voluntary act and deed, and the entities they represent.
WITNESS MY HAND AND SEAL on the date and at the place first above written. Doc. No. _____; Page No. _____; Book No. _____; Series of 20_
48
PHIVIDEC INDUSTRIAL AUTHORITY
PERMIT AGREEMENT (Service Firm)
January – December 2016
KNOW ALL MEN BY THESE PRESENTS:
This Permit Agreement made and entered into by and between:
PHIVIDEC INDUSTRIAL AUTHORITY (PIA), a government-owned and controlled corporation created and existing by virtue of Presidential Decree No. 538 that is amended, with principal office address at Phividec Industrial Estate, Mindanao Container Terminal Complex, Municipality of Tagoloan, Province of Misamis Oriental, herein represented by its Administrator, LEO TERESO A. MAGNO hereinafter referred to as “PIA”;
-and -
Name of the Firm, an entity created and existing under the laws of the Republic of the Philippines, with principal office address at (address of the firm), herein represented by its (designation of the representative), Name of the Representative, hereinafter referred to as the “FIRM”;
WITNESSETH THAT:
WHEREAS, PIA is empowered to operate, administer and manage the PHIVIDEC Industrial Estate-Misamis Oriental (PIE-MO) and other areas as may be proclaimed, designated and specified by Presidential Proclamation;
WHEREAS, PIA is empowered to determine and regulate the enterprises to be established within the PIE-MO areas in order to ensure the proper implementation of its plans for the sound development and operation of the Areas;
WHEREAS, the FIRM is engaged in the business of providing Nature of Activity;
WHEREAS, the FIRM has applied for its Permit to Operate with PIA as a service enterprise to serve locators within the PIE-MO areas;
WHEREAS, PIA approved the application of the firm for its Permit to Operate;
NOW THEREFORE, for and in consideration of the foregoing premises, the parties hereto have agreed as follows:
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PHIVIDEC INDUSTRIAL AUTHORITY
I - PERMIT TO OPERATE - The FIRM is hereby authorized and permitted to operate and conduct its business activities and engagements within the PIE-MO areas subject to the terms and conditions as may be imposed by PIA.
II - TERM - The FIRM’s Permit to Operate shall be valid for a period of one (1) year effective upon the execution of this Permit Agreement and shall be renewable annually as may be mutually agreed by the parties. Failure of the Firm to renew its Permit to Operate within three (3) months after its expiry date shall mean re-application or considered as a new applicant.
III - GENERAL TERMS AND CONDITIONS - The following are the terms and conditions of this Permit Agreement, to wit;
1. That the FIRM shall comply with the following employment requirements, to wit;
a. To hire at least Fifty percent (50%) of unskilled and Thirty Percent (30%) of skilled labor from the unemployed bona fide and actual residents of the Municipality of Tagoloan and Villanueva, where the Firm undertakes its operation, and shall submit to PIA, thru its Office of the Estate Management Department/Enterprise Assistance Division, a list of hired laborers and status of its employment every two months.
b. Assures all its employees of their basic rights under the Constitution of the Philippines, which among others includes the right to security of tenure, humane conditions of work and the right to self-organization. Provided, however, that the right of the enterprises to reasonable returns of investments, and to expansion and growth shall be recognized.
c. Guarantees that the terms and conditions of employment of all its employees shall not be less than the standards provided under the Labor Code of the Philippines, its implementing rules and regulations and other applicable laws, orders, issuances and proclamation of the government.
2. That the FIRM shall comply with all the pertinent government regulatory issuances, permit and licenses, as well as the conditions attached thereto.
3. That the FIRM shall engage only in a business undertaking or activity for which it was permitted with PIA. New business undertaking or activities, which the FIRM may additionally engage into, should be approved by PIA.
4. That any enterprises under the supervision of the FIRM within the Estate must register first with PIA prior to its business operation. Likewise, the said enterprise must be registered with the Department of Labor and Employment.
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PHIVIDEC INDUSTRIAL AUTHORITY
5. That the FIRM shall immediately inform and notify PIA in writing any vital information affecting its organizational structure, which among others include, change in its structure, administration, change of address of its main office, etc.
6. That the FIRM shall promptly pay its taxes so required by the Local Government Unit of Tagoloan and Villanueva, where the Firm undertakes its operation.
7. That the FIRM shall comply with all the provisions of all existing contracts
and those that it may thereafter enter into with PIA.
8. That the FIRM shall promptly comply with all the reportorial requirements of PIA.
9. That the violation or the non-compliance by the FIRM of any of the terms
and conditions provided in this Permit Agreement shall be a ground for PIA to motu propio cancel and revoke this Permit Agreement, as well as the Permit to Operate issued to the FIRM, without being liable for any criminal or civil liability.
10. That this Permit Agreement may not be modified, amended nor altered unilaterally by either parties except by an instrument mutually agreed and signed by both parties.
11. That the provisions of the following are deemed integrated and included by reference in this Permit Agreement, to wit;
a. Presidential Decree No. 538, as amended and its Implementing Rules and Regulations (IRR) ; and
b. Permit to Operate.
IN WITNESS WHEREOF, the parties hereto have signed this Permit Agreement this _____ day of __________, 2016 at PHIVIDEC Industrial Authority, MCT Complex, Administration Bldg., Tagoloan, Misamis Oriental.
PHIVIDEC INDUSTRIAL AUTHORITY NAME OF FIRM (PIA) (Firm) By: By LEO TERESO A. MAGNO NAME OF REPRESENTATIVE Administrator (Position)
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PHIVIDEC INDUSTRIAL AUTHORITY
SIGNED IN THE PRESENCE OF:
_______________________________ ; _______________________________
4. ACKNOWLEDGMENT
REPUBLIC OF THE PHILIPPINES ) Province of Misamis Oriental ) s.s.Municipality of Tagoloan ) BEFORE ME, this ______ day of ________, 2016 personally appeared the following:
Name CTC No. Issued at / on
LEO TERESO A. MAGNO Name of representative
And to me known to be the same persons who executed the foregoing instrument and acknowledged to me that the same is their free, intelligent and voluntary act and deed as well as that of the entities they represent.
Said instrument refers to a Permit Agreement, consisting of three (3) pages,
including this page whereon this acknowledgment is written, signed by the parties and their witnesses on each and every page thereof and sealed with my notarial seal.
Doc. No. ______; Page No. ______; Book No. ______; Series of 2016.
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PHIVIDEC INDUSTRIAL AUTHORITY
SECRETARY'S CERTIFICATE
I,____________________________________________, of legal age, Filipino, with office address at ________________________________________, being the duly elected and qualified Corporate Secretary of __________________________(the "Corporation"), a Corporation duly organized and existing under Philippine laws, with principal offices at ___________________________________, under oath, hereby certify that at the joint special meeting of the Stockholders and the Board of Directors of the Corporation held on _____________________, at which meeting a quorum was present and acting throughout, the following resolutions were, on motion duly made and seconded, unanimously approved and adopted:
"RESOLVED, That the Board of Directors of ("the Corporation") be hereby authorized and empowered to enter into a contract with PHIVIDEC Industrial Authority for the lease of a parcel of land,
with an area of approximately ____________ hectares situated at the PHIVIDEC Industrial Estate in Misamis Oriental, under such price, terms and conditions as the proper officers of the Corporation shall
deem to be in the best interests of the Corporation;
"RESOLVED FURTHER, that the Corporation hereby authorizes its___________________ Mr/Ms_________________, to negotiate, sign, execute, deliver, receive and receipt for and on behalf of the Corporation, any and all documents and papers, including but not limited to
the Registration Agreement, Lease Agreement and such conveyance documents which may be required or necessary to carry out the
foregoing resolution." IN WITNESS WHEREOF, I have hereunto set my hand this ______day of _____________________20__ at ___________________________.
__________________________ Corporate Secretary
REPUBLIC OF THE PHILIPPINES) ___________________ ) S.S. SUBSCRIBED AND SWORN to before me this ________day of _______________________, affiant exhibiting to me his Community Tax Certificate No. __________________ issued on _______________at ____________________. Doc. No. _____; Page No. _____; Book No. _____; Series of 20___.
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