Senate okays House bill correcting contractors’ license law deficiencies

THE Senate on Monday, December 20, 2021, approved on third and final reading a bill that seeks to correct the deficiencies in the Contractors’ License Law.

Senate Bill 2247, taking into consideration House Bill 7808 of Pampanga 3rd District Representative Aurelio “Dong” D. Gonzales, aims to promote -- for the benefit of the public and private sectors and for the national interest -- the orderly growth of the contracting sector and the upgrading of construction capability.

“Republic Act 4566 or the Contractors’ License Law contains some features, procedures, penalties and amounts that are already outdated,” said Senator Aquilino Pimentel III, sponsor of SB 2247 and chairperson of the Committee on Trade, Commerce and Entrepreneurship.

He added that there is an urgent need to attune the law to the current standards.

Gonzales, the principal author of the counterpart bill in the House, thanked his colleagues in the Senate for approving the bill.

“This bill is a vital piece of legislation as it will rectify existing infirmities in RA 4566. The purpose of this law is to ensure that only qualified and reliable contractors are allowed to undertake construction in the country. But it’s been 56 years, and we need to consider inflation and rising operational costs and expenses of the Philippine Contractors Accreditation Board. I am glad that my fellow legislators have finally recognized the importance of updating this measure,” Gonzales said.

“I wish to thank Senators Gatchalian, Revilla and Lapid—my counterpart authors of the bill. Special mention to Sen. Koko for championing this bill in the Senate plenary,” he added.

Among the key provisions of Gonzales’ bill, which were incorporated in SB 2247, include increase in fines for violations of the law; increase in the amount of application fees that have remained unadjusted to inflation since 1965; and amendment to the license renewal process to make it easier and more flexible.

Gonzales anticipates the immediate signing of the bill when it reaches President Rodrigo Duterte’s office.