Business Permit Renewal Hub

2019

This is an Entry to the Government Best Practice Recognition Awards

Title

Business Permit Renewal Hub

Organization

City Government of Muntinlupa

Best practice Focus Area(s)

Leadership

Year Implemented

2014

Summary

The Business Permit Renewal Hub was initiated in 2014 through the Business Permits and Licensing Office to process the large volume of applications for permit renewal in January each year in a manner that is client-focused, streamlined, and efficient. It converges various local departments with the barangays, national agencies, and private partners for a comprehensive system that efficiently addresses taxpayer requirements in the extraordinary setting of the renewal period.

The Renewal Hub is the latest configuration of the business one-stop-shop (BOSS) which was pioneered in Muntinlupa in the 1990s. It now features a three-step permit renewal process enhanced by value-added services that assure excellent client experience.

Background and Problem

Seventy-five percent (75%) of all business permits approved each year in the City of Muntinlupa is issued during the prescribed renewal period in January. The local government collects almost fifty percent (50%) of the total business taxes annually during this time. In 2018, business taxes paid from the renewal of permits during this crucial interval reached P1,072,819,842.30.

The business permit renewal period is thus an extremely important activity, not only in terms of revenue potential but also in the volume of customers requiring quality service. An estimated 10,000 individuals converge during this time. At any given workday within this interval, the venue needs to accommodate around 700 people, including LGU staff involved in service delivery and other external service providers. Thus, an efficient and effective system, customer-friendly staff, and conducive site with the necessary amenities were required to guarantee the smooth flow of transactions.

Solution and Impact

The administration of Mayor Jaime R. Fresnedi, a former 3-term local chief executive of the City of Muntinlupa, was given a fresh mandate in July 2013. The leadership’s program of governance henceforth has been guided by the City Vision “as one of the leading investment hubs in the country, with educated, healthy and God-loving people, living peacefully and securely in a climate change-adaptive and disaster-resilient community under the rule of transparent, caring and accountable leadership.”

Since 2014, the Business Permit Renewal Hub has been implemented annually in January through the Business Permits and Licensing Office (BPLO) in coordination with various offices. Planning and preparation for the activity involve said offices, beginning 4-5 months before January of the year following, while post-assessment is accomplished a few weeks upon conclusion of the renewal period.  

The Renewal Hub is aligned with elements of the City Vision, in particular (1) “leading investment hub”, (2) “transparent”, and (3) “accountable”. The goal is to provide excellent service by making the process of renewing permits simple, fast, and convenient for thousands of businesses/taxpayers. Components of this best practice are the automated systems, the institutional arrangements for the co-location of offices involved in the process, the professional and friendly staff, the physical requirements (including a comfortable venue with amenities), and value-added services. These components have continually been enhanced over time, with improvements introduced every year based on the perceived needs of clients and comments, suggestions, and reviews gathered from feedback mechanisms available during the activity.

The Business Permit Renewal Hub has thus become a model of planning, cooperation, and coordination among various LGU offices. The focus on customer experience and quality service has successfully transformed the permit renewal process from a time-consuming and taxing necessity to a very pleasant, hassle-free transaction with the government, thus making Muntinlupa City a business-friendly investment destination.

Milestones

The Business Permit Renewal Hub has created a positive experience for thousands of taxpayers/clients in their interface with the local government for the mandatory renewal of permits at the beginning of each year. This is evident with the very good rating and encouraging comments captured in feedback forms. The activity has also been a benchmark subject. Also, the smoother process flow and value-added services have contributed to a significant increase in revenue collected. Also, the efficiency of the process has enhanced the productivity and morale of personnel involved as they are enabled to transact with and provide service to more clients.