Senate bill amending Contractors’ License Law approved on third reading

The Senate on Monday approved on third and final reading the bill amending the Contractors’ License Law.

Voting 20-0, the senators passed Senate Bill 2247 which aims to modify the country’s contractors’ license renewal process, increase fees and impose stiffer penalties against violators.

Under the amended Section 35 of the measure, any contractor who undertakes construction work without first securing a license to engage in the business may now face a minimum penalty of P100,000 to a maximum penalty of P500,000.

A new provision of the measure would also prohibit the offending party from obtaining a contractor’s license for a period of one year.

The bill also provides that parties who will provide false evidence or proof to obtain a license would face a minimum fine of P500,000 to a maximum penalty of P1,000,000, as well as a minimum prison term of one year to a maximum of six-year imprisonment.

Furthermore, SB 2247 increases the fees prescribed by the law from P50 to P5,000 for an original license; from P60 to P6,000 for the examination of an applicant; and from P50 to P5,000 for an annual license.

The amended measure also provides that the issued license will be valid for only one year, setting the license renewal fee to P5,000.—LDF, GMA News