LEGISLATIVE STATUS ON THE PRESENT BILL

Poverty Reduction through social entrepreneurshipPRESENT BILLPRESENT COALITION

The Poverty Reduction through Social Entrepreneurship (PRESENT) Coalition is an alliance of various social enterprise practitioners, advocates, NGOs and members of the academe who have joined together to advance social entrepreneurship as an approach to poverty alleviation and economic development.PRESENT COALITION

An initiative to unite what was once a fragmented sector Microcosm, voice and action network of emerging SE sectorBasis of unity:Push for the enactment and implementation of the PRESENT BillUndertake a nationwide education campaign on SE as vehicles for poverty reductionDevelop standards and benchmarks for self- regulation and development of sector

PRESENT BillCurrent policy environment is unresponsive to the nature of social enterprises as entrepreneurial organizations engaged in the creation of social and economic value that are contributing to poverty reduction and sustainable development;Laws and government programs that deliver services to the poor encourage treating the poor as clients or recipients of services;Weak in assisting the poor overcome capability deprivation, and become partners in their own poverty reduction.WHATS THE NEED?PRESENT BillPartnership with Congress to institutionalize Poverty Reduction Through Social Entrepreneurship

Objective: Provide a nurturing environment for the development and growth of social enterprises as major vehicles for poverty reduction

PRESENT BillExplicitly declares and pursues poverty reduction as its principal objective Engages and invests in the poor to become effective workers, suppliers, clients and/or owners and ensures that a substantive part of the wealth created is distributed to or benefits them. SE Definition

Social mission-driven organizations that conduct economic activities providing goods and services related to their primary mission of improving the well-being of the poorPRESENT BillBenefits to the poor: increased incomes and capability to improve their means of living as workers, suppliers, clients and/or owners of SEs as partners in economic and social developmentOverall Outcome: substantive poverty reductionMain FeaturesNational PRESENT Program: Development of strategic economic subsectors with potentials for growth and where the poor are concentrated or could be major players

PRESENT BillProvision of accessible non-collateralized loans thru special credit windows with a Guarantee Fund Pool

Comprehensive insurance system to reduce vulnerability to climate change/calamities

Resources for comprehensive capacity development for SEs and poor as partnersSupport program for SEs

PRESENT BillProactive SE market development promoting principles of fair trade

R&D on strategic economic subsectors; appropriate technologies; and innovations to democratize access of poor to quality basic social services

Mainstream SE content in formal educational system

Recognition and support for LGUs in developing social enterprisesSupport program for SEs

PRESENT BillPreferential treatment/social value provision in government procurement including coverage of performance bonds

Tax exemptions and tax breaks for SEs and social investors

Cash incentives (i.e. at least 25% of minimum wage for social enterprises employing PWDs)Support program for SEs

PRESENT BillPRESENT Bill as a codification of agenda for change to assist poor overcome poverty thru their effective participation in SEs

PRESENT Bill as codification of incentives and support for SEs as major partners of government in poverty reductionStrategic Rationale