CEBU City Vice Mayor Tomas Osmeña has proposed an ordinance to streamline the business permit process, making issuance nearly automatic upon application and payment of fees.
The change is intended to make it easier for new businesses to open and operate in the city, said Osmeña when he introduced the proposed ordinance during the council’s regular session on Tuesday, Sept. 2, 2025.
The proposal aims to separate revenue collection from enforcement. After receiving the permit, which will be valid for six years, businesses will have 90 days to secure other clearances such as the fire safety inspection certificate, sanitation permit and environmental compliance certificate.
This will allow the business to start operation without delay.
“We are proposing an ordinance that is so simple that it’s radical. If you want to get a business permit, it’s automatically approved. There’s no need to submit anything,” said Osmeńa.
“This is based on the principle that, number one, doing business is a right. It’s one of the Bill of Rights,” he added.
Under the proposal, City Hall offices handling the issuance and collection, will focus entirely on revenue generation from taxes and fees, rather than regulation and enforcement.
Osmeña said the ordinance would require a “paradigm shift” in thinking, underscoring that the treasurer’s job is simply to collect taxes, not to regu-late businesses.
Enforcement
If the ordinance is approved, the Business Permit and Licensing Office (BPLO) and the City Treasurer’s Office (CTO) will no longer be responsible for enforcing regulations as these tasks will be under law enforcement agencies.
“It’s as simple as that. It’s not the job of the treasurer to determine whether your business is legal or not. So whether you’re a smuggler, a dope dealer, or own a whorehouse, you have to pay taxes. Let PDEA (Philippine Drug Enforcement Agency) run after the criminals. It’s not the treasurer’s job,” said Osmeña.
Osmeña cited a small market in Banawa, Barangay Guadalupe, which has operated for over 20 years without a permit because it does not have a parking area, thus avoiding taxes.
He said the current system hurts tax collection and allows for “widespread extortion” by various agencies.
According to the proposal, a business permit will be valid for six years. It can only be revoked or suspended after a business owner undergoes due process and is found to have committed a violation.
The permit will remain valid for as long as taxes are paid, even if the business is still waiting for clearances from other agencies.
For monitoring, the BPLO and CTO will conduct annual assessments of business taxes and regulatory compliance.
The proposed ordinance requires business owners to notify the BPLO, in writing, of any closure, cessation, or retirement of business operations.
Changes
The current system is a multi-step process that requires a business owner to submit several documents, undergo evaluation, and secure clearances before a permit is issued.
While the current process requires multiple documents, including financial records and property certificates, before a business is assessed, the proposed ordinance suggests a simpler application, with the permit issued almost automatically after the application and proof of payment are submitted.
Association of Barangay Councils Cebu City President Franklin Ong said the proposal aligns with Republic Act 11032, known as the “Ease of Doing Business in Efficient Government Services Delivery Act of 2018.”
Ong, ex-officio member of the council, said while the act establishes a “business one-stop shop,” challenges remain.
Ong said the proposed ordinance could help address issues such as territorial disputes unclear tax ordinances for barangays, and difficulties in collecting revenue.
The proposed ordinance has been referred to the committee on laws and the committee on budget for further review. / EHP