Senate Journal Session Proceedings - 15th Congress Second Regular Session (February 8 2012)

REPUBLIC OF THE PHILIPPINES
Senat:e
Pasay City
Journal
SESSION NO. 50
Wednesday, February 8,2012
FIFTEENTH CONGRESS
SECOND REGULAR SESSION
SESSION NO. 50
Wednesday, February 8, 2012
CALL TO ORDER
At 9:44 a.m., the Senate President Pro Tempore,
Hon. Jinggoy Ejercito Estrada, called the session to
order.
PRAYER
The Body observed a minute of silent prayer.
ROLL CALL
Upon direction of the Chair, the Secretary of the
Senate, Atty. Emma Lirio-Reyes, called the roll, to
which the following senators responded:
Angara, E. J.
Cayetano, P. S.
Drilon, F. M.
Ejercito Estrada, J.
Enrile, J. P.
Guingona III, T. L.
Honasan, G. B.
Lacson, P. M.
Lapid, M. L. M.
Legarda, L.
Osmefia III, S. R.
Pangilinan, F. N.
Pimentel iII, A. L.
Sotto III, V. C.
With 14 senators present, the Chair declared the
presence of a quorum.
Senators Arroyo, Marcos, Recto, Revilla and
Villar arrived after the roll call.
Senators Cayetano (A) and Defensor Santiago
were on official mission.
Senators Escudero and Trillanes were absent.
APPROVAL OF THE JOURNAL
Upon motion of Senator Sotto, there being no
objection, the Body dispensed with the reading of the
Journal of Session No. 49 (February 7, 2012) and
considered it approved.
ACKNOWLEDGMENT
OF THE PRESENCE OF GUESTS
At this juncture, Senator Sotto acknowledged
the presence in the gallery of students from the
lIocos Sur Polytechnic State College in Santa Maria,
Ilocos Sur led by Marvin B. Ong, Student Council
President.
Senate President Pro Tempore Ejercito Estrada
welcomed the guests to the Senate.
REFERENCE OF BUSINESS
The Secretary of the Senate read the following
matters and the Chair made the corresponding
referrals:
940
MESSAGE FROM THE
HOUSE OF REPRESENTATIVES
Letters from the House of Representatives,
informing the Senate that on 1 February 2012,
the House of Representatives concurred with
Senate Concurrent Resolution No. 10, entitled
CONCURRENT RESOLUTION MAINTAIN-
ING THE PREVAILING SYSTEM OF
ACCOUNTING AND LIQUIDATION
OF THE RESPECTIVE BUDGETARY
ALLOCATIONS OF EACH MEMBER
OF THE SENATE AND THE HOUSE
OF REPRESENTATIVES AS CLASSI-
FIED AND CONSISTENT WITH
APPLICABLE ACCOUNTING AND
AUDITING RULES
To the Archives
RESOLUTIONS
Proposed Senate Resolution No. 700, entitled
RESOLUTION DIRECTING THE APPRO-
PRIA TE COMMITTEES IN THE
SENATE TO CONDUCT AN INQUIRY,
IN AID OF LEGISLATION, INTO
THE SAFETY STANDARDS AND
PRACTICES BEING IMPLEMENTED
IN THE COUNTRY'S BOXING
EVENTS WITH THE END IN VIEW
OF ENSURING THE SAFETY OF
OUR FILIPINO BOXERS
Introduced by Senator Lapid
To the Committee on Games and Amuse-
ment
RESOLUTION DIRECTING THE SENATE
COMMITTEES ON GOVERNMENT
CORPORATIONS AND PUBLIC
ENTERPRISES; AND HEALTH AND
DEMOGRAPHY AND ALL OTHER
PROPER COMMITTEES TO CONDUCT
AN INQUIRY, IN AID OF LEGIS-
LATION, ON THE HUGE INCREASE
IN PREMIUM CONTRIBUTIONS OF
ALL MEMBERS OF THE PHILIPPINE
WEDNESDAY, FEBRUARY 8, 2012
HEALTH INSURANCE CORPORA-
TION (PHILHEALTH)
Introduced by Senator Pimentel III
To the Committees on Government Corpo-
rations and Pnhlic Enterprises; and Health and
Demography
COMMITTEE ON HEALTH AND
DEMOGRAPHY, COMMITTEE ON
LOCAL GOVERNMENT AND OTHER
APPROPRIATE SENATE COMMITTEES
TO CONDUCT AN INQUIRY, IN AID
OF LEGISLATION, ON THE CONDI-
TION OF ALL THE DUMP SITES IN
THE COUNTRY FOR THE PURPOSE
OF DETERMINING AND RECOM-
MENDING APPROPRIATE ACTION
IN VIEW OF RA 9003 - THE SOLID
WASTE MANAGEMENT ACT
Introduced by Senator Pimentel III
To the Committee on Environment and
Natural Resources
RESOLUTION EXPRESSING THE
PROFOUND SYMPATHY AND
SINCERE CONDOLENCES OF THE
SENATE ON THE LOSS OF LIVES
CAUSED BY THE EARTHQUAKE
THAT STRUCK VISA Y AS ON
FEBRUARY 6, 2012
Introduced by Senator Legarda
To the Committee on Rules
COMMITTEE ON EDUCATION,
ARTS AND CULTURE TO LOOK
INTO, IN AID OF LEGISLATION,
THE DEPARTMENT OF EDUCATION
(DepEd) PROPOSED CURRICULUM
FOR THE IMPLEMENTATION OF
THE K TO 12 PROGRAM, ESPECIALLY
ON THE REPORTED NON-INCLUSION
OF SCIENCE AS A SEPARATE
SUBJECT FOR GRADES I AND II
Introduced by Senators Cayetano (P,) and
Cayetano (A. P.)
To the Committees on Edncation, Arts and
Culture; aud Science and Technology
COMMITTEE ON HEALTH AND
DEMOGRAPHY TO LOOK INTO, IN
AID OF LEGISLATION, THE EXIST-
ING GOVERNMENT PROGRAMS TO
INCREASE AWARENESS AND
ADDRESS THE PROBLEM OF
OSTEOPOROSIS IN THE PHILIPPINES
Introduced by Senator Cayetano (P.)
To the Committee on Health and Demo-
graphy
MANIFESTATION OF SENATOR SOTTO
Senator Sotto stated that Senator Angara will be
submitting to the Senate Secretariat his corrections
on the Journal of Session No. 49.
COMMITTEE REPORT NO. 80
ON SENATE BILL NO. 3009
(Continuation)
objection, the Body resumed consideration, on Second
Reading, of Senate Bill No. 3009 (Committee Report
No. 80), entitled
AN ACT TO FURTHER STRENGTHEN
THE ANTIMONEY LAUNDERING
LAW, AMENDING FOR THE PURPOSE
SECTIONS 10 AND II OF REPUBLIC
ACT NO. 9160, OTHERWISE KNOWN
AS THE "ANTI-MONEY LAUNDERING
ACT OF 2001" AS AMENDED, AND
FOR OTHER PURPOSES.
Senator Sotto stated that the parliamentary status
was still the period of interpellations.
941
Thereupon, the Chair recognized Senator
Guingona, sponsor ofthe measure, and Senator Sotto
for his interpellation.
INTERPELLATION OF SENATOR SOTTO
Asked by Senator Sotto on the salient features and
proposed amendments to the Anti-Money Laundering
Act (AMLA) which was passed in the 12th Congress,
Senator Guingona replied that there were only a few
proposed amendments, the most important of which
is the grant of authority to the AntiMoney Laundering
Council (AMLC) to inquire into bank deposits ex
parte. He explained that the AMLC is given two
powers - to inquire into bank accounts and freeze
monetary instrument or property. He said that the
proposed amendments seek to correct the error of
the Supreme Court when, in its interpretation of the
right to inquire into bank accounts, it held that one
cannot inquire into bank accounts eX parte, that is,
without informing the owner of the bank account of
the inquiry. This Supreme Court ruling, he averred,
rendered the AMLA ineffective and toothless because
the depositor is able to withdraw the money from
his/her account and transfer it elsewhere before the
investigation can start.
With respect to freezing monetary instrument or
property, Senator Guingona stated that the law
specifically provides that it can be done ex parte
-without notice to the depositor-which was,
however, not specifically provided in the law, and
with the proposed amendment "xxx upon order of
any competent court BASED ON AN EXPARTE
APPLICATION xxx," the AMLC then can inquire
into accounts ex parte. He clarified that aside from
the Court of Appeals, the AMLC may also file an
application with the Regional Trial Courts and the
Sandiganbayan. Moreover, he noted that there is
now a time limit for the courts to act on a petition to
freeze - either before the end of business hours or
within 24 hours from the filing of the petition -
which is intended to expedite court action.
Adverting to another proposed amendment.
Senator Guingona noted that there is a provision on
"related web of accounts" that is defined on page 3,
line 10 of the bill, as follows: "Related web of accounts
shall refer to accounts, the funds and sources of
which originated from and/or are materially linked to
the monetary instrument(s) or property(ies) subject
of the freeze order(s)." He recalled that in one of
the Blue Ribbon Committee hearings, it was revealed
942
that General Ligot transferred money from his account
to the accounts of his wife and brother-in-law, He
emphasized that the proposed amendment intends to
involve not only the bank account of persons guilty of
money laundering but also people to whose accounts
the laundered money was transferred.
Asked on the meaning of the term "materially
linked," Senator Guingona explained that it refers to
accounts that are connected to the person under
investigation or to which the laundered money was
transferred.
Asked if the term "related web of accounts"
would cover a person who issued a check to the
account of another who is being investigated for
money laundering, Senator Guingona pointed out that
the payor, being the source of the funds, would also
be liable because he infused funds into the account.
On the concern that the power of the AMLC is
too extensive and open to abuse, Senator Guingona
stated that the AMLC only deals with specific
predicate crimes.
On whether the AMLC could look into the
account of an individual who is being investigated for
a terrorist act, Senator Guingona replied that it could,
following proper procedure. However, he clarified
that the stock dividend of the person, say from San
Miguel Corporation, is not covered by the term.
On the concern that the right to investigate can
be used by someone who has an axe to grind against
San Miguel Corporation, Senator Guingona acknowl-
edged-that -any- exercise of-police-power is -always-
open to abuse, but he assured that there are safeguards in
place. For instance, he stated that the AMLC cannot
motu proprio inquire into the deposits because first,
the Solicitor General would not the allow the automatic
filing of a petition in court unless the matter is
thoroughly investigated; and second, there are court
judges who will ask probing questions and will not be
content with the mere say-so of the AMLC.
Senator Sotto expressed hope that such a provi-
sion would be included in the bill as it was not
mentioned in the AMLA. Senator Guingona stated
that by its charter, the Solicitor General is the lawyer
of government entities; hence, it is no longer necessary
to cite the same in the AMLA. He reiterated that
under the bill, the petition to inquire into bank accounts
has to be filed with competent courts, i.e. the
WEDNESDAY, FEBRUARY 8,2012
Sandiganbayan, the RTC and the Court of Appeals.
Senator Guingona explained that looking into the
"materially linked" or "related web of accounts" is
needed to determine whether illegal funds had been
transferred by the account holder to relatives or
friends. For instance, he recalled that it was during
the hearing of the Blue Ribbon Committee that
Senator Drilon proved that the condominium unit of
General Ligot's brother-in-law had actually been paid
for by General Ligot himself.
Senator Sotto pointed out that without the proper
safeguards, the measure could be abused because it
allows the AMLC to investigate related accounts-
including bank records of established institutions like
San Miguel Corporation or PLDT that merely issued
dividends to the account holder. Senator Guingona
replied that safeguards are set in motion once the
AMLC finds that the account violates the AMLA.
For instance, he said that the AMLC has to file a
petition with the Office of the Solicitor General to
inquire into or freeze the account; in tum, the Solicitor
General has to investigate and determine whether the
petition has merit before it can be filed with the
appropriate court. If the bill becomes a law, he said
that the petition can then be filed with the Court of
Appeals, the Regional Trial Court or the Sandiganbayan.
He said that a judge would not automatically grant
the inquiry/freeze order unless he is assured to a
degree of certainty that the rights of the individual
are not trampled upon.
Senator Sotto asked that the bill provide a precise
and safe definition of "related web of accounts"
- --- even as he -reiterated -his-concern -that-people -arc--
apprehensive that their private accounts might be
open to scrutiny based merely on the slight association
of their accounts to the one in question. Senator
Guingona said that while any exercise of state police
power over an individual is necessarily uncomfortable,
the State must apply the law to protect its citizens
from crimes.
Saying that he was among those who voted in
favor of the AMLA, Senator Sotto clarified that he
was not against the measure but was only concerned
about how it would be interpreted by those who
would enforce it later on. He expressed his intention
to propose amendments to the bill.
Asked whether the bill removes the requisite of
establishing a predicate crime before the AMLC can
~ t'7l
WEDNESDAY, fEBRUARY 8, 2012
inquire or examine an investment or account, Senator
Guingona replied in the negative.
Upon further query, Senator Guingona explained
that the bill aims to comply with the requirements of
the Financial Action Task Force (FATF) which has
classified the Philippines under its "Light Gray" list in
tenns of compliance with anti-money laundering laws.
He explained that the country's classification would
be downgraded to "Dark Gray" if the bill is not
passed by the following week. Moreover, he said
that if government does not approve additional
amendments to the AMLA in the next four months,
the Philippines would be blacklisted by the FATF and
as such, the international community would be advised
to scrutinize funds going to and coming from the
Philippines. He said that even OFW remittances will
be deeply scrutinized to prove that these were not
illegally sources.
Senator Sotto expressed concern that the FA TF,
which is in charge of enforcing the international
accord, was in fact "threatening" the Philippines by
demanding that it meet these requirements.
REMARKS OF SENATOR DRILON
At this juncture, Senator Drilon clarified that the
Philippines was not being forced to submit to the
demands of the FA TF. He said that while the
Philippines is within its sovereign right not to act on
the requirements of the FA TF, the international
banking community would also be within its power
to enforce an enhanced examination of OFW
remittances. Moreover, he emphasized that the
Philippine economy depends, to a great extent, on the
annual US$20 billion OFW remittances that have, in
fact, stabilized the country's gross international
reserves. However, he explained that the Philippines
belongs to the international community that is
composed of certain organizations beyond its control.
As such, he believed that the government ought to
seriously consider the impact of the international
banking community's enhanced examination of OFW
remittances.
INTERPELLATION OF SENATOR SOTTO
(Continuation)
Replying to further queries of Senator Sotto,
Senator Guingona explained that the Paris-based
FA TF is connected with the Organization of
Economic Cooperation and Development (OECD)
943
which is part of the International Monetary Fund-
World Bank network.
Reacting to the observation that the Philippines
has always been bullied by foreign organizations
even during the Spanish times, Senator Guingona
bared that Senator Angara recently admonished a
FA TF representative after he gave warning of the
dire consequences awaiting the Philippines if it did
not comply with the organization's requirements.
In closing, Senator Sotto said that the bill ought
to be carefully crafted particularly with regard to the
use of police powers that are limited by the Bill of
Rights, the rule of law and due process.
INTERPELLATION
OF SENATOR LACSON
At the outset, Senator Lacson expressed full
support for the measure, as he recalled that he and
fonner Pres. Joseph Estrada were accused of keeping
US$700 million in different banks around the world.
He said that he was, in fact, one of the authors of the
bill, as well as other anti-money laundering measures.
Senator Guingona acknowledged that the bill came
into fruition through the efforts of Senators Lacson
and Osmefia.
Noting a typographical error on page 2, line 16
of the bill, Senator Lacson asked that "R.A. 6462"
(An Act Establishing the Office of the Register
of Deeds in Naga City as Separate and Distinct
from the Provincial Register of Camarines Sur) be
changed to R.A. 6426 (An Act Instituting a Foreign
Currency Deposit System In The Philippines).
Senator Guingona agreed.
On another matter, Senator Lacson asked whether
the term "materially linked" refers to accounts that
are connected to the commission of the offense
covered by the law or to those that are associated
with the monetary instrument or properties subject
of the petition for the freeze order. Senator Guingona
replied that it refers to either one and as such, the
AMLC can file the petition for freeze order on the
basis of the fund/account being materially linked to
the monetary instrument or properties alone.
Upon further queries, Senator Guingona replied
that the provision authorizing the AMLC to inquire
into bank deposits also apply to joint accounts and
juridical entities.
944
Asked which facts the AMLC would consider in
detennining whether the accounts fall under a "related
web of accounts" or "materially linked accounts,"
Senator Guingona replied that these would include
any movement of funds to or from the account in
question, regardless of whether it is an account that
is part of a related web of accounts or one that is
materially linked to another account
Considering the broad scope of the AMLC's
authority to examine bank deposits, Senator Lacson
suggested that the bill be enhanced to ensure that it
does not violate the right to privacy, For his part,
Senator Guingona explained that the bill authorizes
the exercise of police power and as such, it seeks to
balance the interest of the State and the protection of
individual rights,
As regards the suggestion that the standards be
clearly stated in the law, Senator Guingona expressed
willingness to accept amendments at the proper
time,
At this juncture, Senate President Pro Tempore
Ejercito Estrada relinquished the Chair to Senator
Legarda,
INTERPELLATION
OF SENATOR CAYETANO (P)
Preliminarily, Senator Cayetano (P) asked that
she be provided a copy of the Convention so that she
could study which F ATF requirements needed
compliance,
In reaction, Senator Guingona stated that the
AMLC members would furnish Senator Cayetano
(P) with a copy of the signatories to the Convention
after the session,
Senator Cayetano (P) stressed the need to pinpoint
certain provisions in the Convention that need to be
put in place as she expressed hope that she could
contribute something that is consistent with the
constitutional requirements, especially the Bill of Rights,
As regards the definition of "related web-
accounts," Senator Cayetano (P) asked if the whole
web would continue supposing the funds channeled
by General Ligot to his brother-in-law are, in turn
deposited in the accounts of his own companies or
his children, Senator Guingona emphasized the need
to "follow the money trail,"
Senator Cayetano (P) stated that she found in
the bill a parallelism in the Anti-Trafficking Law in
the sense that there are no bounds in terms of
jurisdictional limitations of transnational crimes, She
agreed that there is need to follow the trail, but she
expressed concern on the possible transgression of
the right to privacy that is guaranteed in the Bill
of Rights, In relation to "related web of accounts,"
she noted that the provision could be fine-tuned by
including safeguards or standards, for instance, with
respect to the degree of consanguinity or affinity
(foueth) and the amount of money being transferred,
Senator Guingona welcomed the suggestion and added
that the AMLA requires the reporting of the
movement of accounts with the threshold set at
P500,OOO,OO,
FURTHER INTERPELLATION
OF SENATOR SOTTO
Asked by Senator Sotto whether the measure
requires an inquiry or examination of web-related
accounts and materially-linked accounts, Senator
Guingona explained that if the measure does not
include "related web of accounts," the person can
transfer his money to a friend until it leaves no trail
which is the kind of transfer that the bill seeks
to prevent
Senator Sotto inquired if such is a requirement of
the FA TF because if not, it can be deleted. Senator
Guingona replied that by inference, it is a requirement
to make the law effective.
Senator Sotto argued that once his accounts are
frozen, the depositor cannot transfer or withdraw
money from the same. Senator Guingona countered
that he was referring to money that has been trans-
ferred to other accounts, thus the need to freeze
them. Precisely, he said, the money transferred to
other accounts came from the person who violated
the law.
Assuming that if such account also contains
money sourced from elsewhere, Senator Sotto argued
that the account cannot be classified as part of a
related web of account or materially-linked accounts.
Senator Guingona contended that it would be tedious
to examine every deposit made in one account, thus,
it would be better, for purposes of safeguarding the
interest of the State, to first freeze the account and
then go through the deposits one-by-one so as to
determine which deposit would be included or not.
Saying that doing it that way does not address
the issue of related web account, Senator Sotto
proposed to introduce amendments at the proper
time.
RESERVATION TO INTERPELLATE
Senator Satta manifested that Senators Villar
and Legarda have made reservation to interpellate
on Senate Bill No. 3009.
SUSPENSION OF CONSIDERATION
OF SENATE BILL NO. 3009
objection, the Body suspended consideration of
the bill.
CONFERENCE COMMITTEE REPORT
ON HOUSE BILL NO. 4729
objection, the Body considered the Conference
Committee Report on the disagreeing votes on
House Bill No. 4729, entitled
AN ACT CONVERTING THE MUNICI-
PALITY OF IMUS IN THE
PROVINCE OF CAVITE INTO A
COMPONENT CITY TO BE KNOWN
AS THE CITY OF IMUS.
The Chair recognized Senator Marcos for the
sponsorship.
JOINT EXPLANA nON
OF THE CONFERENCE COMMITTEE
Upon motion of Senator Marcos, there being no
objection, the Body approved the insertion of the Joint
Explanation of the Bicameral Conference Committee
on the disagreeing votes on House Bill No. 4729 into
the Journal and Record of the Senate.
Hereunder is the full text of the report:
JOINT EXPLANATION OF THE
BICAMERALCONFERENCECOMMmEE
ON THE DISAGREEING VOTES
(ClTYHOOD OF IMUS)
The Bicameral Conference Committee on the
disagreeing votes on House Bill No. 4729, after
having met and fully discussed the subject
matter in a conference, hereby report to their
respective Houses the following:
1. The conferees agreed to adopt House Bill
No. 4729 as amended by the Senate as their
working draft;
2. Sections 1,2 and 3 ofHBN 4729 were adopted
as Sections I, 2 and 3 of the reconciled bill;
3. Section 4 of the House and Senate versions,
which are the same, was adopted as
Section 4 of the reconciled bill with the
following amendment:
a. On Section 4, the phrase "FEES AND
CHARGES" was inserted after the phrase
"levy taxes";
4. Sections 5 and 6 of HBN 4730 were adopted
as Sections 5 and 6 of the reconciled bill;
5. Section 7 of HBN 4729, as amended by the
Senate, was adopted as Section 7 of the
reconciled bill with the following amendments:
a. On Section 7 (d), the phrase "City of
Imus" was deleted and in lieu thereof,
the phrase "SANGGUNIANG PAN-
LUNG SOD" was inserted;
b. On Section 7 (t), delete the word "this"
between the preposition "of" and the
word "Code" and in lieu thereof insert
the phrase "THE 1991 LOCAL GOVERN-
MENT";
6. Section 8 of House and Senate versions,
which are the same, was amended as Section
8 of the reconciled bill with the following
amendments:
a. On Section 8 (a), the phrase "HE IS A
CITIZEN OF THE PHILIPPINES" was
inserted between phrases "position of
city mayor unless" and "at the time of
election";
b. On the same subsection, the phrase
"AND ABLE TO READ AND WRITE
FILIPINO OR ANY OTHER LOCAL
LANGUAGE OR DIALECT' was inserted
after the phrase "a qualified voter
therein";
c. On the same subsection, the phrase
"BUT SHALL SERVE FOR NOT MORE
THAN THREE (3) CONSECUTIVE
TERMS JN THE SAME POSITION" was
inserted between the phrases "unless
sooner removed" and "and shall receive";
d. On Section 8 (b)(I)(v), the phrase
"WHOSE SALARIES AND WAGES
945
946
ARE WHOLLY OR MAINLY PAlD OUT
OF CITY FUNDS AND" was inserted
after the phrase "appoint all officials and
employees";
e. On Section 8 (b)(1 Xix), the word "office"
was deleted after the phrase "to such
space in the" and in lieu thereof, the
word "CITY HALL" was inserted;
f. On Section 8 (b)(1 )(xii), tbe pbrase "to
the Office of the President and the Office
of the Secretary of the DILG" was
deleted and in lieu thereof the phrase
"BY HIM TO THE PROVINCIAL
GOVERNOR" was inserted;
g. On Section 8 (b) (I )(xiii), the phrase
"INFORM THE COMPONENT BARA-
NGA Y OFFICIALS AND INHABITANTS"
was inserted after the phrase "local
officials and inhabitants";
which are the same, was adopted as Section
amendment:
a. On Section 9 (a), the phrase "BUT SHALL
SERVE FOR NOT MORE THAN THREE
(3) CONSECUTIVE TERMS IN THE
SAME POSITION" was inserted between
the phrases "unless sooner removed"
and "and shall receive";
8. Section 10 (a) ofHBN 4729, as amended by
the Senate, was amended and adopted as
Section 10 (a) of the reconciled bill by inserting
the phrase "INDIGENOUS CULTURAL
COMMUNITIES" between the phrases
"including urban poor" and "or persons with
disabilities";
9. Section II of House and Senate versions
which are the same, was amended as Section
II of the reconciled bill with the following
amendments:
a. After Section I I (a)(2)(x), a new sub-
section was inserted which now read as
follows:
"(XI) SUBJECT TO THE PROVI-
SIONS OF BOOK II OF THE LOCAL
GOVERNMENT CODE OF 1991, GRANT
THE EXCLUSIVE PRIVILEGE OF
CONSTRUCTING FISH CORRALS OR
FISH PENS, OR THE TAKING OR
CATCHING OF BANGUS FRY, PRAWN
FRY OR KAWAG-KAWAG, OR FRY
OF ANY SPECIES OR FISH WITHIN
THE CITY WATERS"
WEDNESDAY, FEBRUARY g, 2012
b, The succeeding subsections were
renumbered accordingly;
c. On Section II (a),(5)(i), the phrase
"MANGROVES, AND OTHER SIMILAR
FOREST DEVELOPMENT PROJECTS;"
was inserted after the word "greenbelts";
d. On Section II(a)(5)(ix), the phrase
"DEFECnVE OR OTHERWISE HAZARD-
OU S" was inserted between the phrases
"to be dangerous" and "to the welfare
of the inhabitants";
10. Sections 12, 13, 14, 15, 16, \7, 18, 19,20,21
and 22 of the House and Senate versions,
which are the same, were adopted as Sections
12, \3, 14, 15, 16, 17, 18, 19,20,21 and 22 of
the reconciled bill;
II. Section 23 of House and Senate versions
amendments:
a. A new subsection was inserted after
subsection 23(a) which reads as follows:
"(B) IF A PERMANENT VACANCY
OCCURS IN THE OFFICE OF THE
PUNONG BARANGA Y, THE HIGHEST-
RANKING SANGGUNlAN BARANGA Y
MEMBER OR, IN CASE OF HIS
PERMANENT INABILITY, THE SECOND
HIGHEST-RANKING SANGGUNIAN
MEMBER, SHALL BECOME THE
PUNONG BARANGA Y;"
b. The succeeding subsections were re-
lettered accordingly.
12. Sections 24, 25, 26 and 27 of the House and
Senate versions, which are the same, were
adopted as Sections 24, 25, 26 and 27 of the
reconciled bill;
a. On Section 28( c)(I 0), the conjunction
"and" was deleted:
b. A new subsection was inserted after
Section 28 (c)(IO) which reads as follows:
"(II) ATTEND PERSONALLY OR
THROUGH AN AUTHORIZED REPRE-
SENT A TlVE ALL SESSIONS OF THE
LOCAL BOARD OF ASSESSMENTS;
AND"
c. The succeeding subsections were
renumbered accordingly.
WEDNESDAY, FEBRUARY 8, 20\2
14, Sections 29, 30, 31, 32, 33 and 34 of HBN
4730, as amended by the Senate, were
adopted as Sections 29, 30, 31,32,33 and 34
of the reconciled bill;
a. On Section 35 (a), the word "LAW" was
inserted between the phrases "in public
administration" and "or in any";
b. After Section 35 (d)(I), three new
subsections were inserted which shall
read as follows:
"(2) ASSIST IN THE COORDINA-
TION OF THE WORK OF ALL THE
OFFICIALS OF THE LOCAL GOVERN-
MENT UNIT, UNDER THE SUPER-
VISION, DIRECTION AND CONTROL
OF THE CITY MAYOR, AND FOR THIS
PURPOSE, HE MAY CONVENE THE
CHIEFS OF OFFICES AND OTHER
MENTUNIT;
(3) ESTABLISH AND MAINTAIN
A SOUND PERSONNEL PROGRAM FOR
THE LOCAL GOVERNMENT UNIT
DESIGNED TO PROMOTE CAREER
DEVELOPMENT AND UPHOLD THE
MERIT PRINCIPLE IN THE LOCAL
GOVERNMENT SERVICE;
4) CONDUCT A CONTINUING
ORGANIZATIONAL DEVELOPMENT
OF THE LOCAL GOVERNMENT UNIT
WITH THE END IN VIEW OF
INSTITUTING EffECTIVE ADMINIS-
TRATIVE REFORMS;"
16. Section 36 ofHBN 4729, as amended by the
a. After Section 36 (a), the following
paragraph was inserted:
"THE TERM OF THE LEGAL
OFFICER SHALL BE COTERMINOUS
WITH THAT OF HIS APPOINTING
AUTHORITY."
b. After Section 36 (c)(2), the following
subsections were inserted:
"(3) REPRESENT THE LOCAL
GOVERNMENT UNIT IN ALL CIVIL
ACTIONS AND SPECIAL PROCEED-
INGS WHEREIN THE LOCAL GOVERN-
MENT UNIT OR ANY OFfICIAL
THEREOf, IN HIS OFFICIAL CAPACITY,
IS A PARTY: PROVIDED, THAT, IN
ACTIONS OR PROCEEDINGS WHERE
A COMPONENT CITY OR MUNICI-
PALITY IS A PARTY ADVERSE TO
THE PROVINCIAL GOVERNMENT OR
TO ANOTHER COMPONENT CITY, A
SPECIAL LEGAL OFFICER MAY BE
EMPLOYED TO REPRESENT THE
ADVERSE PARTY;
(4) WHEN REQUIRED BY THE
MAYOR OR SANGGUNIAN, DRAFT
ORDINANCES, CONTRACTS, BONDS,
LEASES AND OTHER INSTRUMENTS,
INVOLVING ANY INTEREST OF THE
LOCAL GOVERNMENT UNIT; AND
PROVIDE COMMENTS AND RECOM-
MENDATIONS ON ANY INSTRUMENTS
ALREADY DRAWN;
(5) RENDER HIS OPINION IN
WRITING ON ANY QUESTION OF
LAW WHEN REQUESTED TO DO
SO BY THE CITY MAYOR OR
SANGGUNIAN;
(6) INVESTIGATE OR CAUSE
TO BE INVESTIGATED ANY LOCAL
OFFICIAL OR EMPLOYEE FOR
ADMINISTRATIVE NEGLECT OR
MISCONDUCT IN OFFICE, AND
RECOMMEND APPROPRIATE ACTION
TO THE CITY MAYOR OR
SANGGUNIAN;
(7) INVESTIGATE OR CAUSE TO
BE INVESTIGATED ANY PERSON,
FIRM OR CORPORATION HOLDING
ANY FRANCHISE OR EXERCISING
ANY PUBLIC PRIVILEGE FOR FAILURE
TO COMPLY WITH ANY TERM OR
CONDITION IN THE GRANT OF SUCH
FRANCHISE OR PRIVILEGE, AND
RECOMMENDING APPROPRIATE
ACTION TO THE CITY MAYOR OR
SANGGUNIAN;
(8) WHEN DIRECTED BY THE CITY
MAYOR, OR SANGGUNIAN, INITIATE
AND PROSECUTE IN THE INTEREST
CONCERNED ANY CNIL ACTION ON
ANY BOND, LEASE OR OTHER
CONTRACT UPON ANY BREACH OR
VIOLATION THEREOF;
(9) REVIEW AND SUBMIT
RECOMMENDATIONS ON ORDlN-
947
948
ANCES APPROVED AND EXECUTIVE
ORDERS ISSUED BY COMPONENT
UNITS;"
c. The succeeding subsections were renum-
bered accordingly;
a. After Section 37(c)(2), the following
"(3) IDENTIFY THE BASIC NEEDS
OF THE NEEDY, THE DISADV AN-
TAGED AND THE IMPOVERISHED
AND DEVELOP AND IMPLEMENT
APPROPRIATE MEASURES TO
ALLEVIATE THEIR PROBLEMS AND
IMPROVE THEIR LIVING CONDlTIONS;
(4) PROVIDE RELIEF AND APPRO-
PRIA TE CRISIS INTERVENTION FOR
VICTIMS OF ABUSE AND EXPLOITA-
TION AND RECOMMEND APPRO-
PRIATE MEASURES TO DETER
FURTHER ABUSE AND EXPLOITA-
TIONS;
(5) ASSIST THE MAYOR IN
IMPLEMENTING THE BARANGA Y
LEVEL PROGRAM FOR THE TOTAL
DEVELOPMENT AND PROTECTION
OF CHILDREN UP TO SIX (6) YEARS
OF AGE;
(6) FACILITATE THE IMPLE-
MENTATION OF WELFARE PROGRAMS
FOR THE DISABLED, ELDERLY AND
VICTIMS OF DRUG ADDICTION, THE
REHABILITATION OF PRISONERS
AND PAROLEES, THE PREVENTION
OF JUVENILE DELINQUENCY AND
SUCH OTHER ACTIVITIES WHICH
WOULD ELIMINATE AND MINIMIZE
THE ILL-EFFECTS OF POVERTY;
(7) INITIATE AND SUPPORT
WELFARE PROGRAMS THAT WILL
ENHANCE THE ROLE OF THE YOUTH
IN NATION BUILDING;
(8) COORDINATE WITH GOVERN-
MENT AGENCIES AND NONGOVERN-
MENTAL ORGANIZATIONS WHICH
HAVE FOR THEIR PURPOSE THE
PROMOTION AND THE PROTECTION
OF ALL NEEDY, DISADVANTAGED,
UNDERPRIVILEGED OR IMPOVERISHED
GROUPS OR INDIVIDUALS, PARTI-
CULARLY THOSE IDENTIFIED TO BE
VULNERABLE AND HIGH RISK TO
EXPLOITATION, ABUSE AND
NEGLECT';
b. The succeeding subsections were
reconciled bill with following amendments:
"(3) ADVISE THE CITY MAYOR
ON ALL MATTERS PERTAINING TO
THE SLAUGHTER OF ANIMALS FOR
HUMAN CONSUMPTION AND THE
REGULA TlON OF SLAUGHTER
HOUSES;
(4) REGULATE THE KEEPING OF
DOMESTIC ANIMALS;
(5) REGULATE AND INSPECT
POULTRY, MILK AND DAIRY PRO-
DUCTS FOR PUBLIC CONSUMPTION;
(6) ENFORCE ALL LAWS FOR
THE PREVENTION OF CRUELTY TO
ANIMALS;
(7) TAKE THE NECESSARY
MEASURES TO ERADICATE, PREVENT
OR CURE ALL FORMS OF ANIMALS
DISEASES;"
reconciled bill with the following amend-
ments:
a. On Section 39 (a), the word and figure
"three (3)" was deleted and in lieu thereof
the word and figure "FIVE (5)" was
inserted between the phrases "for at
least" and "years immediately";
b. After Section 39( c )(3), the following
"(4) WITH THE APPROVAL OF
THE CITY MAYOR, ASSIGN BUILDING
OR LAND SPACE TO LOCAL
OFFICIALS OR OTHER PUBLIC
OFFICIALS, WHO BY LAW ARE
ENTITLED TO SUCH SPACE;
(5) RECOMMEND TO THE CITY
MAYOR THE REASONABLE RENTAL
RATES FOR LOCAL GOVERNMENT
PROPERTIES, WHETHER REAL OR
PERSONAL, WHICH WILL BE LEASED
TO PUBLIC OR PRIVATE ENTITIES BY
THE LOCAL GOVERNMENT;
(6) MAINTAIN AND SUPERVISE
JANITORIAL, SECURITY, LANDSCAP-
ING AND OTHER RELATED SERVICES
IN ALL LOCAL GOVERNMENT PUBLIC
BUILDINGS AND OTHER REAL
PROPERTY, WHETHER OWNED OR
LEASED BY THE LOCAL GOVERN-
MENTUNIT;
(7) COLLATE AND DISSEMINATE
INFORMATION REGARDING PRICES,
SHIPPING AND OTHER COSTS OF
SUPPLIES AND OTHER ITEMS
COMMONLY USED BY THE LOCAL
GOVERNMENT UNIT;
(8) PERFORM ARCHIVAL AND
RECORD MANAGEMENT WITH
RESPECT TO RECORDS OF OFFICES
AND DEPARTMENTS OF THE LOCAL
GOVERNMENT UNIT;
(9) PERFORM ALL OTHER
FUNCTIONS PERTAINING TO SUPPLY
AND PROPERTY MANAGEMENT
HERETOFORE PERFORMED BY THE
LOCAL GOVERNMENT TREASURER,
AND ENFORCE POLICIES ON
RECORDS CREATION, MAINTENANCE
AND DISPOSAL;"
reconciled bill with the following
amendments:
a. After Section 40( c )(2), the following
"(3) ESTABLISH, MAINTAIN,
PROTECT AND PRESERVE COM-
MUNAL FOREST, WATERSHEDS,
TREE PARKS, MANGROVES, GREEN-
BEL TS AND SIMILAR FOREST
PROJECTS AND COMMERCIAL
FOREST, LIKE INDUSTRIAL TREE
FARMS AND AGRO-FORESTRY
PROJECTS;
(4) PROVIDE EXTENSION SER-
VICES TO BENEFICIARIES OF FOREST
DEVELOPMENT PROJECTS AND
TECHNICAL, FINANCIAL AND INFRA-
STRUCTURE ASSISTANCE;
(5) MANAGE AND MAINTAIN
SEED BANKS AND PRODUCE
SEEDLINGS FOR FOREST AND TREE
PARKS;
RENDER ASSISTANCE FOR NATURAL
RESOURCES-RELATED CONSERVA-
TION AND UTILIZATION ACTIVlTIES
CONSISTENT WITH ECOLOGICAL
BALANCE;
(7) PROMOTE THE SMALL SCALE
MINING AND UTILIZATION OF
MINERAL RESOURCES, PARTlCU-
LARL Y MINING OF GOLD;
MENTAL ORGANIZATIONS IN THE
IMPLEMENTATION OF MEASURES
TO PREVENT AND CONTROL LAND,
AIR AND WATER POLLUTION WITH
THE ASSISTANCE OF THE DEPART-
MENT OF ENVIRONMENT AND
NATURAL RESOURCES;"
ments:
a. After Section 41 (c )(2), the following
"(3) PREPARE AND RECOMMEND
FOR CONSIDERATION OF THE
SANGGUNIAN THE ARCHITECTURAL
PLAN AND DESIGN FOR THE LOCAL
GOVERNMENT UNIT OR A PART
THEREOF, INCLUDING THE RENEWAL
OF SLUMS AND BLIGHTED AREAS,
LAND RECLAMATION ACTIVlTIES,
THE GREENING OF LAND AND
APPROPRIATE PLANNING OF
MARINE AND FORESHORE AREAS;
(4) REVIEW AND RECOMMEND
FOR APPROPRIATE ACTION OF THE
SANGGUNIAN OR THE CITY MAYOR
THE ARCHITECTURAL PLANS AND
DESIGN SUBMITTED BY GOVERN-
MENTAL AND NONGOVERNMENTAL
ENTITIES OR INDIVIDUALS, PARTICU-
LARL Y THOSE FOR UNDEVELOPED,
UNDERDEVELOPED AND POORLY
DESIGNED AREAS;
949
950
(5) COORDINATE WlTHGOVERN-
MENT AND NONGOVERNMENT
ENTITIES AND INDIVIDUALS INVOLVED
IN THE AESTHETICS AND MAXIMUM
UTILIZATION OF THE LAND AND
WATER WITHIN THE JURISDICTION
OF THE GOVERNMENT UNIT, COM-
PATIBLE WITH THE ENVIRONMENTAL
INTEGRITY AND ECOLOGICAL
BALANCE;"
h. The succeeding subsections were
reconciled bill with the following
amendments:
a. On Section 42 (a) the word and figure
"five (5)" was deleted and in lieu thereof
the word and figure "THREE (3)" was
inserted after the phrases "media for at
least" and "years immediately preced-
ing";
b. After Section 42(c)(2), the following
"(3) PROVIDE RELEVANT, ADE-
QUATE AND TIMEL Y INFORMATION
TO THE LOCAL GOVERNMENT UNIT
AND ITS RESIDENTS;
(4) FURNISH INFORMATION AND
DATA ON LOCAL GOVERNMENT
UNITS TO GOVERNMENT AGENCIES
OR OFFICES AS MAY BE REQUIRED
BY LAW OR ORDINANCE; AND
NONGOVERNMENTAL ORGANIZA-
TIONS TO BE FURNISHED TO SAID
AGENCIES AND ORGANIZATIONS;
(5) MAINTAIN EFFECTIVE
LIAISON WITH THE VARIOUS
SECTORS OF THE COMMUNITY ON
MA TIERS AND ISSUES THAT AFFECT
THE LIVELIHOOD AND THE QUALITY
OF LIFE OF THE INHABITANTS
AND ENCOURAGE SUPPORT FOR
PROGRAMS OF THE LOCAL AND
NATIONAL GOVERNMENT;"
ments:
"(3) ASSIST IN THE ORGANIZA-
TION OF COOPERATIVES;
(4) PROVIDE TECHNICAL AND
OTHER FORMS OF ASSISTANCE
TO EXISTING COOPERATIVES TO
ENHANCE THEIR VIABILITY AS AN
ECONOMIC ENfERPRISE AND SOCIAL
ORGANIZATION;
(5) ASSIST COOPERATIVES IN
ESTABLISHING LINKAGES WITH
GOVERNMENT AGENCIES AND
NONGOVERNMENTORGANlZATIONS
INVOLVED IN THE PROMOTION AND
INTEGRATION OF THE CONCEPT OF
COOPERATIVES IN THE LIVELIHOOD
OF THE PEOPLE AND OTHER
COMMUNITY ACTIVITIES;"
reconciled bill;
25. Section 45 of House and Senate versions
amendments:
a. After Section 45( c )(2), the following
"(3) ASSIST THE CITY MAYOR IN
THE IMPLEMENTATION OF THE
CONSTITUTIONAL PROVISIONS
RELATIVE TO POPULATION DEVELOP-
MENT AND THE PROMOTION OF
RESPONSIBLE PARENTHOOD;
AN UPDATED DATA BANK FOR
PROGRAM OPERATIONS, DEVELOP-
MENT PLANNING AND AN EDUCA-
TIONAL PROGRAM TO ENSURE THE
PEOPLE'S PARTICIPATION IN
UNDERSTANDING OF POPULATION
DEVELOPMENT;
(5) IMPLEMENT APPROPRIATE
TRAINING PROGRAMS RESPONSIVE
TO THE CULTURAL HERITAGE OF
THE INHABITANTS;"
26. Sections 46, 47, 48, 49, 50, 51, 52, 53, 54, 55,
56,57,58,59,60 and 61 ofHBN 4729 which
are the same, were amended and adopted as
Sections 46, 47, 48, 49, 50, 51, 52, 53, 54, 55,
56,57,58,59,60 and 61 ofthe reconciled bill.
In case of conflict between the statements!
amendments stated in this loint Explanation and
that of the provisions of the consolidated bill in
the accompanying Bicameral Conference
Committee Report, the provisions of the latter
shall prevail,
SUSPENSION OF SESSION
Upon motion of Senator Sotto, the session was
suspended,
It was 10:34 a,m.
RESUMPTION OF SESSION
At 10:34 a.m. the session was resumed.
APPROVAL OF THE CONFERENCE
COMMITTEE REPORT
Subm itted to a vote, there being no objection, the
Conference Committee Report on the disagreeing
votes on House Bill No. 4729 was approved by
the Body.
INQUIRY OF SENATOR ARROYO
Senator Arroyo asked whether Imus and Bacoor
are adjacent to each other and contiguous even as he
clarified that he was not against the passage of the
measure but that he was alarmed by it. Senator Sotto
confirmed that Imus and Bacoor are contiguous but
they are huge LGUs that have the required population,
land area and income to qualify as cities.
Asked by Senator Sotto if he was voting against
the report, Senator Arroyo answered in the negative
as he cited the twin cities of Minneapolis and St. Paul
in Minnesota that are divided only by a river.
Asked how many cities there are in Cavite,
Senator Marcos answered that with the passage of
the two bills into law, Cavite will have six cities.
Asked by Senator Arroyo what the next city in
Cavite will be, Senator Marcos replied that he has
not yet received any proposal to convert other
municipalities in Cavite into cities. He explained
though that it was established in the committee
hearings that both Imus and Bacoor are well qualified
to become cities as he gave assurance that the
Committee will apply the same rigorous testing,
951
assessment and validation to any proposal for
conversion.
Senator Arroyo observed that Dasmarinas City,
Imus and Bacoor are adjacent and asked whether
Cavite would now became Metro Cavite. Senator
Sotto replied in the affirmative.
Senator Marcos observed that there are existing
metropolises - Metro Manila and Metro Cebu -
and Davao has ambitions to be in the same category.
CONFERENCE COMMITTEE REPORT
objection, the Body considered the Conference
Committee Report on the disagreeing votes on House
Bill No. 4730, entitled
AN ACT CONVERTING THE MUNICI-
PALITY OF BACOOR IN THE
PROVINCE OF CA VITE INTO A
COMPONENT CITY TO BE KNOWN
AS THE CITY OF BACOOR.
The Chair recognized Senator Marcos for the
sponsorship.
JOINT EXPLANA TlON
OF THE CONFERENCE COMMITTEE
Upon motion of Senator Marcos, there being no
objection, the Body approved the insertion of the Joint
Explanation of the Conference Committee on the
disagreeing votes on House Bill No. 4730 into the
Journal and Record of the Senate.
Hereunder is the full text of the report:
JOINT EXPLANA TlON OF TIlE BICAMERAL

DISAGREEING VOTES ON
HOUSE BILL NO. 4730
(ClTYHOOD OF BACOOR)
The Bicameral Conference Committee on the
disagreeing votes on House Bill No. 4730, after
having met and fully discussed the subject
matter in a conference, hereby report to their
respective Houses the following:
1. The conferees agreed to adopt House Bill
No. 4730, as amended by the Senate, as their
working draft;
952
2. Se<otion 1 of HBN 4730 was adopted as
Section I of the reconciled bill;
a. On Section 2, the phrase "over which it
has jurisdiction, bounded by the City of
Las Piftas, the City of Parailaque and the
City of Muntinlupa, Metro Manila, and
the municipalities of Imus, Dasmariilas
and Kawit, Province of Cavite" was
deleted;
4. Section 3 of HBN 4730 was adopted as
Section 3 of the reconciled bill;
amendment
b. On Section 4, the phrase "FEES AND
CHARGES" was inserted after the phrase
"levy taxes";
amendment:
a. On Section 5, the word "NOT" was
inserted after the phrase "officials shall"
and the phrase "caused or done in the
performance of official functions" was
deleted;
7. Sections 6 of HBN 4730 were adopted as
Sections 6 of the reconciled bill;
Senate, was amended and adopted as Section
7 of the reconciled bill by deleting the word
"this" between the preposition "of' and the
word "Code" found in Section 7 (1) and in
lieu thereof the phrase "THE 1991 LOCAL
GOVERNMENT" was inserted;
amendments:
h. On Section 8 (a), the phrase "HE IS A
CITIZEN OF THE PHILIPPINES" was
inserted between the phrases "position
of city mayor unless" and "at the time of
election";
i. On the same subsection, the phrase
"AND ABLE TO READ AND WRITE
FILIPINO OR ANY OTHER LOCAL
LANGUAGE OR DIALECT' was inserted
after the phrase "a qualified voter
therein";
j. On the same subsection, the phrase
"BUT SHALL SERVE FOR NOT MORE
THAN THREE (3) CONSECUTIVE
TERMS IN THE SAME POSITION" was
inserted between the phrases "unless
sooner removed" and "and shall receive";
1<. On Section 8 (b)(I)(v), the phrase
"WHOSE SALARIES AND WAGES
ARE WHOLLY OR MAINLY PAID OUT
OF CITY FUNDS AND" was inserted
after the phrase "appoint all officials and
employees";
L On Section 8 (b)(1 )(ix), the word "office"
was deleted after the phrase "to such
space in the" and in lieu thereof, the
word "CITY HALL" was inserted;
m On Section 8 (b)(l)(xii), the phrase "to
the Office of the President and the Office
of the Secretary of the DILG" was
deleted and in lieu thereof the phrase
"BY HIM TO THE PROVINCIAL
GOVERNOR" was inserted;
n. On Section 8 (b) (I)(xiii), the phrase
"INFORM THE COMPONENT BARA-
NGA Y OFFICIALS AND INHABIT-
ANTS" was inserted after the phrase
"local officials and inhabitants";
amendment:
a. On Section 9 (a), the phrase "BUT SHALL
SERVE FOR NOT MORE THAN THREE
(3) CONSECUTIVE TERMS IN THE
SAME POSITION" was inserted between
the phrases "unless sooner removed"
and "and shall receive";
I I. Section 10 (a) of HBN 4730, as amended by
the Senate, was amended and adopted as
Section 10 (a) of the reconciled bill by inserting
the phrase "INDIGENOUS CULTURAL
COMMUNITIES" between the phrases
"including urban poor" and "or persons with
disabilities";
12. Section II of the House and Senate versions,
I I of the reconciled bill with the following
amendments:
a. After Section I I (a)(2)(x), a new sub-
section was inserted which now read as
follows:
"(Xl) SUBJECT TO THE PROVI-
SIONS OF BOOK II OF THE LOCAL
GOVERNMENT CODE OF 1991, GRANT
THE EXCLUSIVE PRIVILEGE OF
CONSTRUCTING FISH CORRALS OR
FISH PENS, OR THE TAKING OR
CATCHING OF BANGUS FRY, PRAWN
FRY OR KAWAG-KAWAG, OR FRY
OF ANY SPECIES OR FISH WITHIN
THE CITY WATERS"
c. On Section 1 I (a)(5)(i), the phrase
"MANGROVES, AND OTHER SIMILAR
FOREST DEVELOPMENT PROJECTS;"
was inserted after the word "greenbelts";
and
d. On Section II (a)(5)(ix) the phrase
"DEFECTlVEORarHERWISEHAZARJ).
OUS" was inserted between the phrases
"to be dangerous" and "to the welfare
of the inhabitants";
13. Sections 12, 13, 14, 15,16, 17,18, 19,20,21 and
22 of the House and Senate versions, which
are the same, were adopted as Sections 12,
13,14,15,16,17,18,19,20,21, and 22 ofthe
reconciled bill, respectively;
which are the same, was amended and
adopted as Section 23 of the reconciled bill
with the following amendments:
a. A new subsection was inserted after
sub-section 23(a) which reads as follows:
"(8) IF A PERMANENT VACANCY
OCCURS IN THE OFFICE OF THE
PUNONG BARANGA Y, THE HJGHEST-
RANKING SANGGUNIAN BARANGA Y
MEMBER OR, IN CASE Of HIS PER-
MANENT INABILITY, THE SECOND
HIGHEST-RANKING SANGGUNIAN
MEMBER, SHALL BECOME THE
PUNONG BARANGAY;"
b. The succeeding subsections were re-
lettered accordingly.
15. Sections 24,25, 26 and 27 of the House and
Senate versions, which are the same, were
adopted as Sections 24, 25, 26 and 27 of the
reconciled bill, respectively;
d. On Section 28(c)(10), the conjunction
"and" was deleted:
e. A new subsection was inserted after
Section 28 (c)(I 0) which reads as follows:
"(11 ) ATTEND PERSONALLY OR
THROUGH AN AUTHORIZED REPRE-
SENTATIVE ALL SESSIONS OF THE
LOCAL BOARD OF ASSESSMENTS;
AND"
E The succeeding subsections were
17. Sections 29, 30, 31, 32, 33 and 34 of HBN
4730, as amended by the Senate, were
adopted as Sections 29, 30, 31,32,33 and 34
of the reconciled bill;
a. On Section 35 (a), the word "LAW" was
inserted between the phrases "in public
administration" and "or in any";
b. After Section 35 (d)(I), three new
subsections were inserted which shall
read as follows:
"(2) ASSIST IN THE COORDINA-
TION OF THE WORK OF ALL THE
MENT UNIT, UNDER THE SUPER-
VISION, DIRECTION AND CONTROL
OF THE CITY MAYOR, AND FOR THJS
PURPOSE, HE MAY CONVENE THE
CHIEFS OF OFFICES AND OTHER
MENTUNIT;
A SOUND PERSONNEL PROGRAM FOR
THE LOCAL GOVERNMENT UNIT
DESIGNED TO PROMOTE CAREER
DEVELOPMENT AND UPHOLD THE
MERIT PRINCIPLE IN THE LOCAL
GOVERNMENT SERVICE;
4) CONDUCT A CONTINUING
ORGANIZATIONAL DEVELOPMENT
WITH THE END IN VIEW OF
INSTITUTING EFFECTIVE ADMINIS-
TRA TIVE REFORMS;"
d. After Section 36 (a), the following
paragraph was inserted:
953
954
"THE TERM OF THE LEGAL
OFFICER SHALL BE COTERMINOUS
WITH THAT OF HIS APPOINTING
AUTHORITY."
e. After Section 36 (c )(2), the following
"(3) REPRESENT THE LOCAL
GOVERNMENT UNIT IN ALL CIVIL
ACTIONS AND SPECIAL PROCEED-
INGS WHEREIN THE LOCAL GOVERN-
MENT UNIT OR ANY OFFICIAL
THEREOF, IN HIS OFFICIAL CAPA-
CITY, ISA PARTY: PROVIDED, THAT,
IN ACTIONS OR PROCEEDINGS
WHERE A COMPONENT CITY OR
MUNICIPALITY ISA PARTY ADVERSE
TO THE PROVINCIAL GOVERNMENT
OR TO ANOTHER COMPONENT CITY,
A SPECIAL LEGAL OFFICER MAY BE
EMPLOYED TO REPRESENT THE
ADVERSE PARTY;
(4) WHEN REQUIRED BY THE
MAYOR OR SANGGUNIAN, DRAFT
ORDINANCES, CONTRACTS, BONDS,
LEASES AND OTHER INSTRUMENTS,
INVOLVING ANY INTEREST OF THE
LOCAL GOVERNMENT UNIT; AND
PROVIDE COMMENTS AND RECOM-
MENDATIONS ON ANY INSTRUMENTS
ALREADY DRAWN;
(5) RENDER HIS OPINION IN
WRITING ON ANY QUESTION OF
LAW WHEN REQUESTED TO DO SO
BY THE CITY MAYOR OR SANG-
GUNIAN;
BE INVESTIGATED ANY LOCAL
OFFICIAL OR EMPLOYEE FOR
ADMINISTRATIVE NEGLECT OR
MISCONDUCT IN OFFICE, AND
RECOMMEND APPROPRIATE ACTION
TO THE CITY MAYOR OR
SANGGUNIAN;
BE INVESTIGATED ANY PERSON,
FIRM OR CORPORATION HOLDING
ANY FRANCHISE OR EXERCISING
ANY PUBLIC PRIVILEGE FOR FAILURE
TO COMPLY WITH ANY TERM OR
CONDITION IN THE GRANT OF SUCH
FRANCHISE OR PRIVILEGE, AND
RECOMMENDING APPROPRIATE
ACTION TO THE CITY MAYOR OR
SANGGUNIAN;
(8) WHEN DIRECIED BY THE CITY
MAYOR, OR SANGGUNIAN, INITIATE
AND PROSECUTE IN THE INTEREST
CONCERNED ANY CIVIL ACTION ON
ANY BOND, LEASE OR OTHER
CONTRACT UPON ANY BREACH OR
VIOLATION THEREOF;
(9) REVIEW AND SUBMIT
RECOMMENDATIONS ON ORDIN-
ANCES APPROVED AND EXECUTIVE
ORDERS ISSUED BY COMPONENT
UNITS;"
The succeeding subsections were
c. After Section 37(c)(2), the following
"(3) IDENTIFY THE BASIC NEEDS
OF THE NEEDY, THE DISADV ANT-
AGED AND THE IMPOVERISHED AND
DEVELOP AND IMPLEMENT APPRO-
PRIA TE MEASURES TO ALLEVIATE
THEIR PROBLEMS AND IMPROVE
THEIR LIVING CONDITIONS;
(4) PROVIDE RELIEF AND APPRO-
PRIATE CRISIS INTERVENTION FOR
VICTIMS OF ABUSE AND EXPLOITA-
TION AND RECOMMEND APPRO-
PRIATE MEASURES TO DETER
FURTHER ABUSE AND EXPLOITA-
TIONS;
(5) ASSIST THE MAYOR, IN
IMPLEMENTING THE BARANGA Y
LEVEL PROGRAM FOR THE TOTAL
DEVELOPMENT AND PROTECTION OF
CHILDREN UP TO SIX (6) YEARS OF
AGE;
(6)FACILITATE THE IMPLEMENTA-
TION OF WELFARE PROGRAMS
FOR THE DISABLED, ELDERLY AND
VICTIMS OF DRUG ADDICTION, THE
REHABILITATION OF PRISONERS
AND PAROLEES, THE PREVENTION
OF JUVENILE DELINQUENCY AND
SUCH OTHER ACTIVITIES WHICH
WOULD ELIMINATE AND MINIMIZE
THE ILL-EFFECTS OF POVERTY;
(7) INITIATE AND SUPPORT
WELFARE PROGRAMS THAT WILL
ENHANCE THE ROLE OF THE YOUTH
IN NATION BUILDING;
(8) COORDINATE WIlli GOVERN-
MENTAL ORGANIZATIONS WHICH
HAVE FOR THEIR PURPOSE THE
PROMOTION AND THE PROTECTION
OF ALL NEEDY, DISADVANTAGED,
UNDERPRIVILEGED OR IMPOVERISHED
GROUPS OR INDIVIDUALS, PARTICU-
LARL Y THOSE IDENTIFIED TO BE
VULNERABLE AND HIGH RISK TO
EXPLOITATION, ABUSE AND
"NEGLECT;
d. The succeeding subsections were
reconciled bill with following amendments:
"(3) ADVISE THE CITY MAYOR
ON ALL MATTERS PERTAINING TO
THE SLAUGHTER OF ANIMALS FOR
HUMAN CONSUMPTION AND THE
REGULATION OF SLAUGHTER
HOUSES;
(4) REGULATE THE KEEPING
OF DOMESTIC ANIMALS;
(5) REGULATE AND INSPECT
POULTRY, MILK AND DAIRY PRO-
DUCTS FOR PUBLIC CONSUMPTION;
(6) ENFORCE ALL LAWS FOR THE
PREVENTION OF CRUELTY TO
ANIMALS;
(7) TAKE THE NECESSARY
MEASURES TO ERADICATE, PREVENT
OR CURE ALL FORMS OF ANIMALS
DISEASES;"
d. On Section 39 (a), the word and figure
"three (3)" was deleted and in lieu thereof
the word and figure "FIVE (5)" was
inserted between the phrases "for at
1east'1 and "years immediately";
e. After Section 39(c)(3), the following
"(4) WITH THE APPROVAL OF
THE CITY MAYOR, ASSIGN BUILD-
ING OR LAND SPACE TO LOCAL
OFFICIALS OR OTHER PUBLIC
OFFICIALS, WHO BY LAW ARE
ENTITLED TO SUCH SPACE;
(5) RECOMMEND TO THE CITY
MAYOR, THE REASONABLE RENTAL
RATES FOR LOCAL GOVERNMENT
PROPERTIES, WHETHER REAL OR
PERSONAL, WHICH WILL BE LEASED
TO PUBLIC OR PRIVATE ENTITlES BY
THE LOCAL GOVERNMENT;
(6) MAINTAIN AND SUPERVISE
JANITORIAL, SECURITY, LANDSCAP-
ING AND OTHER RELATED SERVICES
IN ALL LOCAL GOVERNMENT PUBLIC
BUILDINGS AND OTHER REAL
PROPERTY, WHETHER OWNED OR
LEASED BY THE LOCAL GOVERN-
MENTUNIT;
(7) COLLATE AND DISSEMINATE
INFORMATION REGARDING PRICES,
SHIPPING AND OTHER COSTS OF
SUPPLIES AND OTHER ITEMS
COMMONLY USED BY THE LOCAL
GOVERNMENT UNIT;
(8) PERFORM ARCHIVAL AND
RECORD MANAGEMENT WITH
RESPECT TO RECORDS OF OFFICES
AND DEPARTMENTS OF THE LOCAL
GOVERNMENT UNIT;
(9) PERFORM ALL OTHER
FUNCTIONS PERTAINING TO SUPPLY
AND PROPERTY MANAGEMENT
HERETOFORE PERFORMED BY THE
LOCAL GOVERNMENT TREASURER,
AND ENFORCE POLICIES ON
RECORDS CREATION, MAINTENANCE
AND DISPOSAL;"
The succeeding subsections were
"(3) ESTABLISH, MAINTAIN,
PROTECT AND PRESERVE COM-
MUNAL FOREST, WATERSHEDS, TREE
PARKS, MANGROVES, GREENBELTS
AND SIMILAR FOREST PROJECTS
AND COMMERCIAL FOREST, LIKE
INDUSTRIAL TREE FARMS AND
AGRO-FORESTRY PROJECTS;
955
956
DEVELOPMENT PROJECTS AND TECH-
NICAL, FINANCIAL AND INFRA-
STRUCTURE ASSISTANCE;
(5) MANAGE AND MAINTAIN
SEED BANKS AND PRODUCE SEED-
LINGS FOR FOREST AND TREE
PARKS;
RENDER ASSISTANCE FOR NATURAL
RESOURCES-RELATED CONSERVA-
TION AND UTILIZATION ACTIVITIES
CONSISTENT WITH ECOLOGICAL
BALANCE;
(7) PROMOTE THE SMALL SCALE
MINING AND UTILIZATION OF
MINERAL RESOURCES, PARTICU-
LARL Y MINING OF GOLD;
MENT AGENCIFS AND NONGOVERN-
MENTAL ORGANIZATIONS IN THE
IMPLEMENTATION OF MEASURES
TO PREVENT AND CONTROL LAND,
AIR AND WATER POLLUTION WITH
THE ASSISTANCE OF THE DEPART-
MENT OF ENVIRONMENT AND
NATURAL RESOURCES;"
c. After Section 4 I (c)(2), the following
"(3) PREP ARE AND RECOMMEND
FOR CONSIDERATION OF THE
SANGGUNIAN THE ARCHITECTURAL
PLAN AND DESIGN FOR THE LOCAL
GOVERNMENT UNIT OR A PART
THEREOF, INCLUDING THE RENEWAL
OF SLUMS AND BLIGHTED AREAS,
LAND RECLAMATION ACTIVITIES,
THE GREENING OF LAND AND
APPROPRIATE PLANNING OF
MARINE AND FORESHORE AREAS;
(4) REVIEW AND RECOMMEND
FOR APPROPRIATE ACTION OF THE
SANGGUNIAN OR THE CITY MAYOR,
THE ARCHITECTURAL PLANS AND
DESIGN SUBMITTED BY GOVERN-
MENTAL AND NONGOVERNMENTAL
ENTITIES OR INDIVIDUALS, PARTI-
CULARL Y THOSE FOR UNDEVELOPED,
UNDERDEVELOPED AND POORLY
DESIGNED AREAS;
MENT AND NONGOVERNMENT
ENTITIES AND INDIVIDUALS
INVOLVED IN THE AESTHETICS AND
MAXIMUM UTILIZATION OF THE
LAND AND WATER WITHIN THE
JURISDICTION OF THE GOVERNMENT
UNIT, COMPATIBLE WITH THE
ENVIRONMENTAL INTEGRITY AND
ECOLOGICAL BALANCE;"
d. On Section 42 (a) the word and figure
"five (5)" was deleted and in lieu thereof
the word and figure "THREE (3)" was
inserted after the phrase "for at least";
e. After Section 42(c)(2), the following
"(3) PROVIDE RELEVANT, ADE-
QUATE AND TIMELY INFORMATION
TO THE LOCAL GOVERNMENT UNIT
AND ITS RESIDENTS;
(4) FURNISH INFORMATION AND
DATA ON LOCAL GOVERNMENT
UNITS TO GOVERNMENT AGENCIES
OR OFFICES AS MAY BE REQUIRED
BY LAW OR ORDINANCE; AND NON-
GOVERNMENTAL ORGANIZATIONS
TO BE FURNISHED TO SAID
AGENCIES AND ORGANIZATIONS;
(5) MAINTAIN EFFECTIVE LIAISON
WITH THE VARIOUS SECTORS OF THE
COMMUNITY ON MATTERS AND
ISSUES THAT AFFECT THE LIVELI-
HOOD AND THE QUALITY OF LIFE
OF THE INHABITANTS AND ENCOUR-
AGE SUPPORT FOR PROGRAMS OF
THE LOCAL AND NATIONAL
GOVERNMENT;"
f. The succeeding subsections were
c, After Section 43(c)(2), the following
"(3) ASSIST IN THE ORGANIZA-
TION OF COOPERATIVES;
(4) PROVIDE TECHNICAL AND
OTHER FORMS OF ASSISTANCE TO
EXISTING COOPERATIVES TO
ENHANCE THEIR VIABILITY AS AN
ECONOMIC ENTERPRISE AND SOCIAL
ORGANIZATION;
(5) ASSIST COOPERATIVES IN
ESTABLISHING LINKAGES WITH
GOVERNMENT AGENCIES AND
NONGOVERNMENT ORGANIZATIONS
INVOLVED IN THE PROMOTION AND
INTEGRATION OF THE CONCEPT OF
COOPERATIVES IN THE LIVELIHOOD
OF THE PEOPLE AND OTHER
COMMUNITY ACTIVITIES;"
d, The succeeding subsections were
renumbered accordingly,
27, Section 44 of HBN 4730, as amended by the
c, After Section 44( c )(2), the following
"(3) ASSIST THE CITY MAYOR,
IN THE IMPLEMENTATION OF THE
CONSTITUTIONAL PROVISIONS
RELATIVE TO POPULATION DEVELOP-
MENT AND THE PROMOTION OF
RESPONSIBLE PARENTHOOD;
AN UPDATED DATA BANK FOR
PROGRAM OPERATIONS, DEVELOP-
MENT PLANNING AND AN EDUCA-
TIONAL PROGRAM TO ENSURE THE
PEOPLE'S PARTICIPATION IN
UNDERSTANDING OF POPULATION
DEVELOPMENT;
(5) IMPLEMENT APPROPRIATE
TRAINING PROGRAMS RESPONSIVE
TO THE CULTURAL HERITAGE OF
THE INHABITANTS;"
d, The succeeding subsections were
renumbered accordingly,
28, Sections 45, 46, 47, 48, 49, 50, 5 1,52,53, 54,
55, 56, 57, 58, 59, 60 and 61 ofthe House and
Senate versions which are the same, were
amended and adopted as Sections 45, 46, 47,
48,49, 5 ~ 51,52, 53, 54, 55, 56, 57,58, 59,60
and 61 of the reconciled bilL
In case of conflict between the statementsl
amendments stated in this Joint Explanation and
that of the provisions of the consolidated bill in
the accompanying Bicameral Conference
Committee Report, the provisions of the latter
shall prevail,
APPROVAL OF THE CONFERENCE
COMMITTEE REPORT
957
Submitted to a vote, there being no objection,
the Conference Committee Report on House Bill
No, 4730 was approved by the Body,
REQUEST OF SENATOR SOTTO
Senator Sotto asked that the Senate Secretariat
be authorized to correct the numbering of the bills:
House Bill No, 4730 for the Bacoor Cityhood Bill;
and House Bill No, 4729 for the Imus Cityhood BilL
(Continuation)
Reading, of Senate Bill No, 2965 (Committee Report
No, 56), entitled
AN ACT PROTECTING INDIVIDUAL
PERSONAL INFORMATION IN
INFORMATION AND COMMUNICA-
TIONS SYSTEMS IN THE GOVERN-
MENT AND THE PRIVATE SECTOR,
CREATING FOR THIS PURPOSE A
NATIONAL DATA PROTECTION
COMMISSION, AND FOR OTHER
PURPOSES,
was the period of interpellations,
Thereupon, the Chair recognized Senator Angara,
Sponsor of the measure,
REMARKS OF SENATOR ANGARA
Preliminarily, Senator Angara stated that the
Data Privacy bill is the third and last of a series of
bills that the Committee on Science and Technology
has proposed on behalf of Senators Trillanes, Defensor
Santiago, Lapid and Villar, the bill's coauthors, He
said that the first bill, the Cybercrime Law, was
958
recently passed on Third Reading by the Senate; while
the second bill, creating the Department of Information
and Communications Technology, was approved on
Second Reading in yesterday's session. He believed
that put together, the three bills would bolster and
strengthen the Philippines' position in IT and BPO.
Presently, Senator Angara stated that the Philip-
pines is number one in voice call centers and with the
bill, it would not be an impossible dream to become
number one in data processing. He asserted that the
country can go into higher IT services like engineer-
ing, finance, accounting, health, health care and other
services if it has a protective environment for
investment.
In addition, Senator Angara stated that the
country is currently generating US$9 billion in earnings
from the IT-BPO industry and he predicted that
this revenue stream can jump to US$25 billion while
employment can climb from one million to four
million in four years' time.
In a period where the Philippines is experiencing
tremendous loss of jobs and lack of income, Senator
Angara said, the bill is a welcome development
because it can become the saving grace of the
country's economy. He said that the growth of the
industry could begin in the Cordilleras in the north
and roll down south, creating a virtuous cycle of
growth and development. The Philippines, he
emphasized, must seize the opportunity.
The lack of data protection law, Senator Angara
bemoaned, is one of the biggest disincentives for
investment in the IT-BPO industry but he believed
that the bill will fill the gap and the country will be
able to seize the opportunity for ICT globally.
INTERPELLATON OF SENATOR OSMENA
Senator Osmefia asked on the difference between
the Cybercrime Law, which the Senate recently
passed on Third Reading, and the Data Privacy
Protection Act. In reply, Senator Angara explained
that the Cybercrime Law defines and enumerates
the acts committed through the use or abuse of the
internet or computer that amounts to crimes, while
the Data Privacy Protection Law seeks to protect
any information that a person may provide IT
operators. He stated that while the former promotes
internet freedom, the latter upholds the privacy of
information that each citizen will provide.
Senator Osmefia observed that the bill seeks to
limit the type of data that are available to several
institutions and sectors to protect the privacy of
individuals. Agreeing thereto, Senator Angara stated
that e-commerce is growing fast as shown in an
article he read recently that e-sales in the United
States during the Christmas season was bigger than
the physical shopping. He explained that an e-shopper
gives his/her credit card number and other information
to the provider and the bill intends to protect the
integrity of that kind of data.
Senator Osmefia noted that the Credit Information
Systems Act (ClSA) provides that the banking system
shall have access to data of individual customers and
borrowers with their consent. But he pointed out that
the problem of asking for consent is that it slows
down the process so much so that the banking
system is overwhelmed. He said that in the United
States, the credit history of borrowers, be it General
Motors or John Smith, is readily available and it
makes it easy for banks to cross-check if the borrower
has reached his limit.
Asked if the CISA was taken into consideration
in the crafting of the bill, Senator Angara replied in
the affirmative. However, he stated that in the case
of CISA, the data provided by an individual to a
bank gets incorporated into its records and it has to
be made available to the entire banking system. He
explained that it would be to a depositor's advantage
if he/she is an existing depositor in one bank and
opens another account in a different bank because
his/her private information and credit history will
be made available, he/she will not have a problem
applying for a loan because he/she would not be
asked for too much collateral, the time of processing
will be faster and perhaps he/she could be given a
lower interest rate.
Senator Angara clarified that the bill intends to
protect the credit information provided by the individual
to the bank under ClSA. But, he stressed, the bank
cannot just simply reveal that information to anyone
unless it complies with the conditions for disclosure
under the bill.
On the matter of banking efficiency, Senator
Osmefia presented the following example: he goes to
PNB for a loan and it inquires into his credit history
but while he informs the PNB of an outstanding loan
from BPI, he does not tell it of his outstanding loans
from China Bank and BDO; because of the Data
Privacy Act, the PNB becomes hesitant and more
careful in granting the loan, He believed that under
the automatic reporting system in the CISA, it would
be easy for member-banks in the system to know
exactly how much a client has borrowed, He reasoned
that because of the accuracy of the system, it would
be easier for the bank to do a credit evaluation of
the client.
As regards credit cards, Senator Osmefta
observed that there are instances when credit
cards are just mailed out to clients and some of them
can own as many as seven to ten credit cards but
the bank has no way of cross-checking properly,
He expressed concern that suppressing information
on a credit card applicant will diminish the faithful
evaluation of his/her creditworthiness, He said that
if the creditworthiness is diminished, banks tend to
increase the interest on consumers because they
know the chances of default will be much bigger.
Moreover, he maintained that the banks will take
the risk of earmarking a 20% default rate instead
of 5% but they will pop-up their interest rate.
Senator Angara stated that the Committee has
been urging the Central Bank, the SEC and the DOF
to implement the CISA that has not been implemented
up to now. Its implementation, he said, would lessen
the delay and lack of credit information.
Senator Osmefta conceded that the problem IS
political and it has nothing to do with the law.
Asked what personal data are unprotected under
the present law, Senator Angara stated that almost
all data in cyberspace, regardless of whether they
are linked locally or based abroad, are currently
unprotected by Phi lippine laws. He believed that with
the passage of the bill, all data will be protected be
they in the Philippines or abroad.
But Senator Osmefta expressed doubt it can be
done, noting that the Philippines has no jurisdiction
abroad. He presumed that the law would give certain
countries strict access to the data.
Senator Angara explained that any information
that leads to a person's identification will be protected
under the bill, although it provides for certain
exceptions like in matters of national security and in
case of national emergency. He said that even a
person's medical record can be divulged if he/she,
for instance, is an AIDS carrier.
959
Senator Osmefia expressed concern that the
information on a person's health would have an
impact on his/her credit capability. He stated that
if a person has only three years to live and at the
same time engages in a 10-year housing loan, the
bank would surely want to know who his/her
beneficiaries are.
Senator Angara stated that the present banking
practice is more like pawnshop operation. In terms of
business loan, he stated that it would be easier
because it is institutionalized. He said that the banks
look at institutions rather than at individuals.
At this juncture, Senator Osmefta requested a
matrix on the level of data protection in other countries
and the proposed level of protection in the Philippines.
Senator Osmefia agreed that people should be
given a certain level of protection. Senator Angara
pointed out that the standards in the bill were aligned
with international standards.
As a final point, Senator Osmefia said that his
concern was on the CISA and the required approval
" .,of the client before his information can be given,
saying it would be beneficial for everybody if it
would be automatic at a certain level.
Upon the motion of Senator Sotto, the session
was suspended.
It was 11:06 a.m.
At 11 :06 a.m., the session was resumed.
OF SENATE BILL NO, 2965
the bill.
COMMITTEE REPORT NO. 91 ON
PROPOSED SENATE RESOLUTION NO. 663
(Continuation)
960
Reading, of Proposed Senate Resolution No. 663
(Committee Report No. 91), entitled
RESOLUTION CONCURRING IN THE
RATIFICATION OF THE PROTOCOL
ADDITIONAL TO THE GENEVA
CONVENTION OF 12 AUGUST 1949,
AND RELATING TO THE PROTEC-
TION OF VICTIMS OF iNTER-
NATIONAL ARMED CONFLICTS
(PROTOCOL I).
was the period of interpellations.
TERMINATION OF THE PERIOD
OF INTERPELLATIONS
There being no interpellation, upon motion of
Senator Sotto, there being no objection, the Body
closed the period of interpellations and proceeded to
the period of amendments.
OF AMENDMENTS
There being no committee and individual amend-
ment, upon motion of Senator Sotto, there being no
objection, the Body closed the period of amendments.
APPROVAL OF PROPOSED
SENATE RESOLUTION NO. 663
ON SECOND READING
Proposed Senate Resolution No. 663 was approved
on Second Reading.
SUSPENSION OF CONSIDERATION OF
objection, the Body suspended consideration of the
resolution.
COMMITTEE REPORT NO. 92 ON
(Continuation)
Upon motion of Senator Satta, there being no
Reading, of Proposed Senate Resolution No. 664
(Committee Report No. 92), entitled
ACCESSION TO THE OPTIONAL
PROTOCOL TO THE CONVENTION
AGAINST TORTURE AND OTHER
CRUEL, INHUMAN OR DEGRADING
TREATMENT OR PUNiSHMENT.
was the period of interpellations.
OF INTERPELLATIONS
There being no interpellation, upon motion of
Senator Sotto, there being no objection, the Body
closed the period of interpellations and proceeded to
the period of amendments.
OF AMENDMENTS
There being no committee and individual
amendment, upon motion of Senator Sotto, there
being no obj ection, the Body closed the period of
amendments.
APPROVAL OF PROPOSED
SENATE RESOLUTION NO. 664
ON SECOND READING
Proposed Senate Resolution No. 664 was approved
on Second Reading.
SUSPENSION OF CONSIDERATION OF
objection, the Body suspended consideration of the
resolution.
Upon motion of Senator Legarda, the session
was suspended.
It was 11:11 a.m.
At 11: 12 a.m., the session was resumed with
Senate President Pro Tempore Ejercito Estrada
presiding.
ADDITIONAL REFERENCE OF BUSINESS
The Deputy Secretary for Legislation, Atty. Edwin
B. Bellen, read the following matters and the Chair
made the corresponding referrals:
MESSAGE FROM THE
HOUSE OF REPRESENTATIVES
Letter from the House of Representatives, informing
the Senate that on 24 January 2012, the House
of Representatives passed the following House
bills in which it requested the concurrence of the
Senate:
House Bill No. 5574, entitled
AN ACT GRANTING THE TELECOM-
MUNICATIONS TECHNOLOGY
SOLUTIONS, INC. A FRANCHISE
TO CONSTRUCT, INSTALL, ESTAB-
LISH, OPERATE AND MAINTAIN
TELECOMMUNICATIONS SYSTEMS
THROUGHOUT THE PHILIPPINES,
and House Bill No. 5613, entitled
AN ACT AMENDING THE FRANCHISE
OF WI-TRIBE TELECOMS, INC.,
(FORMERLY LIBERTY BROADCAST-
ING NETWORK, INCORPORATED)
GRANTED UNDER REPUBLIC ACT
NO. 1553, AS AMENDED BY REPUBLIC
ACT N. 4154, AND RENEWINGI
EXTENDING THE TERM THEREOF
FOR ANOTHER TWENTY-FIVE (25)
YEARS FROM THE DATE OF THE
EFFECTIVITY OF THIS ACT.
To the Committee on Pnblic Services
BILL ON FIRST READING
Senate Bill No. 31 17, entitled
AN ACT FURTHER AUTHORIZING THE
CITY OR MUNICIPAL CIVIL
REGISTRAR OR THE CONSUL
GENERAL TO CORRECT CLERICAL
OR TYPOGRAPHICAL ERROR IN
THE DATE OF BIRTH OR SEX OF A
PERSON APPEARING IN THE CIVIL
REGISTER WITHOUT NEED OF A
JUDICIAL ORDER, AMENDING FOR
THE PURPOSE THE PERTINENT
PROVISIONS OF REPUBLIC ACT
NO. 9048
Introduced by Senator Villar
961
To the Committee on Justice and Human
Rights
RESOLUTIONS
RESOLUTION URGING THE COMMIT-
TEES ON HEALTH AND DEMO-
GRAPHY; AND LABOR, EMPLOY-
MENT AND HUMAN RESOURCES
DEVELOPMENT TO CONDUCT
AN INQUIRY, IN AID OF LEGIS-
LATION, ON THE 167% REPORTED
INCREASE IN THE PREMIUM
CONTRIBUTIONS IMPOSED TO
PHILHEAL TH OFW-MEMBERS AS
EMBODIED IN CIRCULAR 22
SERIES OF 2011, WITH THE END IN
VIEW OF REMOVING APPARENT
UNNECESSARY BURDEN AND
IMPROVING THE PLIGHT OF OFW-
MEMBERS
To the Committees on Government Corp-
orations and Public Enterprises; and Health
and Demography
COMMITTEE ON AGRICULTURE
AND FOOD AND THE COMMITTEE
ON TRADE AND COMMERCE TO
CONDUCT A STUDY, IN AID OF
LEGISLATION, ON THE APPRO-
PRIA TENESS OF THE PLANNED
EXPORT OF EXOTIC PHILIPPINE
BIRDS WITH THE END IN VIEW
OF ENSURING THE PROTECTION
OF ENDANGERED BIRD SPECIES
BY STRIKING A BALANCE BET-
WEEN TRADE AND CONSERVA-
TION
962
To the Committees on Environment and
Natural Resources; and Agriculture and Food
COMMITTEE REPORTS
Committee Report No, 123, prepared and submitted
jointly by the Committees on Banks, Financial
Institutions and Currencies; Public Order and
Dangerous Drugs; and Justice and Human
Rights, on Senate Bill No, 31 J 8, with Senators
Angara, Osmeiia 1lI, Guingona III, Honasan II
and Escudero as authors thereof, entitled
AN ACT DEFINING THE CRIME OF
FINANCING OF TERRORISM,
PROVIDING PENAL TIES THEREFOR
AND FOR OTHER PURPOSES,
recommending its approval in substitution of
Senate Bill No, 2676,
Sponsors: Senators Osmeiia III and Guingona III
To the Calendar for Ordinary Business
Committee Report No, 124, prepared and submitted
by the Committee on Foreign Relations, on
Proposed Senate Resolution No, 708, entitled
RATIFICATION OF THE AGREE-
MENT BETWEEN THE GOVERN-
MENT OF THE REPUBLIC OF THE
PHILIPPINES AND THE INTER-
NATIONAL CENTER FOR LIVING
AQUA TIC RESOURCES MANAGE-
MENT (ICLARM) TO ESTABLISH
THE OFFICE OF THE WORLDFISH
CENTER IN THE PHILIPPINES,
recommending its approval without amendment,
Sponsor: Senator Legarda
To the Calendar for Ordinary Business
( Continuation)
Reading, of Senate Bill No. 2865 (Committee Report
No. 49), entitled
AN ACT PROVIDING FOR A NATIONAL
POLICY ON REPRODUCTIVE
HEALTH AND POPULATION AND
DEVELOPMENT.
was still the period of interpellations.
Thereupon, the Chair recognized Senator
Cayetano (P), sponsor of the measure, and Senator
Legarda for the continuation of her interpellations.
ANNOUNCEMENT OF SENATOR SOTTO
Senator Sotto stated that the caucus called by
the Senate President has been moved to 12 o'clock
noon to accommodate the interpellations on the
RH bill.
Senator Cayetano (P) recalled that Senator
Legarda had only one topic left to take up in her
interpellation. Senator Legarda assured the Body that
she did not intend to prolong the interpellations,
saying that she wanted to enhance the measure and
seek clarification on controversial and vague issues.
INTERPELLATION OF SENATOR LEGARDA
(Continuation)
At the onset, Senator Cayetano (P) stated for
the record her answers to questions raised by Senator
Legarda in her previous interpellation.
On the Asian countries that include contracep-
tives in their essential medicine lists, Senator Cayetano
(P) said that a 16-page document which includes 13
countries has been forwarded to Senator Legarda.
She pointed out that the medicine lists vary country-
to-country, noting that East Timor, a Catholic country,
has an even more expanded list than the Philippines.
She mentioned that while contraceptives cannot be
included in the Philippine Drug Formulary since
condoms and IUDs technically fall under "devices,"
after conferring with the DOH and FDA, the same
would be included in the list under the correct
classification.
As regards the process of the World Health
Organization (WHO) in recommending and updating
essential drugs, Senator Cayetano (P) stated that the
model list is updated every two years by the WHO
Expert Committee on the Selection and Use of
Essential Drugs, made up of eight to 12 members
from the WHO Expert Advisory Panel. She then
enumerated the process, to wit:
The Expert Committee holds private meetings
where members are required to declare any
interest;
Patient advocacy groups and representatives of
the health care industry are invited to comment
on the application and draft recommendation to
be submitted to the Secretary of the Expert
Committee for review; and
The final list would be the model list subject for
review after two years.
She said that Senator Legarda would also be
given a copy of the document.
Lastly, on the process of drafting the Philippine
National Drug Formulary, Senator Cayetano (P)
explained that the National Drug Formulary defines
the core list and the complementary list, considers
various inputs (i.e. Philippine health statistics, WHO
essential drug list, DOH formulary, primary, secondary
and tertiary health care levels, and others), consults
with resource persons, and evaluates recommend-
ations. She added that the list is reviewed quarterly
and updated annually and said document would be
forwarded to Senator Legarda
Senator Legarda said that she has received the
Essential Medicine List and asked for the other
documents. Since she needed time to study the
documents, she requested an additional day to continue
her interpellation. Senator Cayetano (P) agreed. She
said that after reviewing the record, she wanted to
be clarified on the National Drug Information Center
(NDIC) and the National Formulary Committee.
Upon query, Senator Cayetano (P) replied that
the NDIC still exists but it is not part of the Philippine
National Drug Formulary.
Asked on the difference in the mandates of the
two entities, Senator Cayetano (P) replied that the
responsibility to conduct the review of the list of
medicines and to make the final decision as to which
medicines may be included in the essential list belongs
alone to the Philippine National Drug Formulary,
963
actually the National Formulary Committee, which
is under the DOH; on the other hand, the NDIC,
which is affiliated with the University of the Philip-
pines, is just one of the groups of experts consulted
on the RH bill.
Senator Legarda asked on the composition of
the National Formulary Committee; the manner
of appointing its members, their term, and their
competence; and whether pharmaceutical companies,
NGOs, civil society, or women's groups are actually
involved in the decision-making process. She also
requested that the Committee present an example of
one medicine that was deleted from the list and an
example of one medicine that was included, including
the rationale for the deletion or inclusion, as well as
the consultations undertaken relative thereto. Senator
Cayetano (P) said that she would provide Senator
Legarda the information at the proper time.
Asked on the employment status of the president
of the National Formulary Committee, Senator
Cayetano (P) said that the president is neither a
government employee nor an official of the DOH.
For a clearer understanding of the workings of the
Committee, Senator Legarda proposed a meeting
with its officials. In response, Senator Cayetano (P)
said that she would provide Senator Legarda
the requested information as soon as it becomes
available.
On another matter, Senator Legarda recalled
that during her last interpellation on the measure, it
was mentioned that the current level of health
expenditure in the country is only 3.2% of GDP
based on 2007 figures, while the WHO recommends
that it be at least 5%. She asked how the Philippine
health expenditures have fared compared to those of
other countries, In reply, Senator Cayetano (P) said
that based on the 2010 figures of the WHO, the total
health expenditures as a percentage of GDP were as
follows: Philippines, 3.5%; Thailand, 3.4%; Malaysia,
3.2%; Vietnam, 5.4%; China, 4.6%; India, 4.4%;
Japan, 7.7%; Cuba, 6.7%; Canada, 8.&%; UK, 7%;
and United States, 13.4%. She confirmed that 3.5%
for the Philippines includes out-of-pocket expenses
or expenses that people make on their own, or the
amount of money that goes into health care regardless
of where it comes from. She further confirmed that
in socialist countries, the government expenditures
on health care are much bigger, as she also noted
the strong move towards a more socialized health
care in the United States.
964
As regards government expenditures on health
care and how attached agencies and specialty hospitals
actually spent for health care, Senator Cayetano (P)
said that for 2007, the distribution of health expendi-
tures by source of funds was as follows: private or out-
of-pocket, 54%; local government, 13%; national govern-
ment, 13%; and social insurance (Philhealth), 8.5%.
Senator Legarda noted that in the 2012 DOH
budget, !be allocation for specialty hospitals and attached
corporations stands at P43.79 billion, P6.99 billion of
which would be spent on medicines, excluding Phil-
Health and DOH purchases, to address the top causes
of mortality-heart disease, cardiovascular system,
malignant cancer, pneumonia, tuberculosis, et cetera.
Asked on the funding requirement for 2012 for
family planning products and supplies, Senator
Cayetano (P) replied that there is a partial funding of
the unmet family planning needs of the poorest of the
poor to address the needs of those in the poorest
quintiIe. She recalled that in her discussion with
Secretary Ona during the budget deliberations, they
came up with the consensus to prioritize the funding
of unmet needs of the poorest of the poor and with
the passage of the bill, the fourth poorest quintile.
She pointed out that the fourth and fifth poorest
quintiles fall under the poverty level who cannot
afford to go to doctors or even if they have access
to public hospitals, they cannot purchase supplies
and fund any out-of-pocket expenses.
Asked how much of the P43.79 billion for 2012
would actually go to family planning supplies and
products and how much to condoms and IUDs,
Senator Cayetano (P) replied that P300 million would
go to such commodities. She confirmed that more
than PI billion was allocated for tuberculosis and
almost P2 billion for immunization.
Asked why the item for family health includes !be
cost of vaccines for senior citizens, Senator Cayetano
(P) explained that the Senior Citizens Program is part
of family health. She confirmed that of the P2.28
billion allocated for family health, P300 million would
go to family planning supplies, while the balance would
go to vaccines for senior citizens and other programs.
Asked on the programs related to responsible
parenting or reproductive health, Senator Cayetano (P)
said that with respect to the overall objective of
reproductive health, these include the development
of manuals for maternal and neonatal health; clinical
practical guidelines; development of the programs,
actual training, and human resource development;
research & development; development of newborn
death reporting and review protocols; advocacy,
training, and capacity-building and activities, such as
the Safe Kids Week and Violence Against Women;
and collaboration with networks.
Asked where condoms and IUDs fall into the
picture if hormonal contraceptives are the only ones
presently included in the Essential Medicines List,
Senator Cayetano (P) clarified !bat condoms and
IUDs are included in the purchases.
Senator Legarda stated that as far as she can
recall, hormonal contraceptives are the only form of
family planning supplies that are presently included
and approved by the National Formulary Committee.
Senator Cayetano (P) clarified that, indeed, condoms
and IUDs are considered devices and cannot tech-
nically be included in the Philippine Drug Formulary.
However, she said that they are included in the
master list of family planning supplies and, therefore,
funded by the DOH.
Senator Cayetano (P) disclosed that family
planning devices which include, among others, Cycle
Beads, cervical mucus charts, digital thermometers,
basal body temperature charts, and sympto-thermal
charts are included in !be P300 million DOH allocation
for responsible parenting and family health.
Asked whether the intent of the bill is to include
condoms, IUDs and other hormonal contraceptives
in the list of essential medicines although these
are already being purchased through government
funds albeit under a different classification, Senator
Cayetano answered in the affirmative, clarifying that
the pertinent provision of the bill would be amended
by the Committee. She explained that since the
National Philippine Drug Formulary cannot include
supplies, they would form part of the approved list
offamily planning supplies under a different heading.
In response to a further query, Senator Cayetano
(P) clarified that the inclusion of drugs in the National
Drug Formulary makes it mandatory upon LGUs
to purchase the same. Precisely, she said, the bill
proposes that the supplies be approved by the FDA
to ensure safety and efficacy. For the said purpose,
she added that it is imperative to craft the law in
such a way that supplies would be considered
mandatory although they are not classified as drugs.
Asked if these supplies are included as essential
medicines in other countries, Senator Cayetano (P)
confirmed they are, noting that East Timor and
Bangladesh have a more expanded list than the
Philippines.
Senator Legarda noted that the 3% of GDP
allocation for health care is clearly too low and she
asked whether the inclusion of condoms and IUDs
as part of essential medicines would necessarily
compete for a share of the very limited resource
given that it is also intended for essential medicines
for heart diseases, cancer, tuberculosis and respiratory
ailments which are all killer diseases and are among
the top ten causes of mortality in the country.
Senator Cayetano (P) answered in the affirmative,
noting that many Filipinos who live below the poverty
line and even those in the middle class can barely
afford to pay for their maintenance drugs such that
more attention should be given to the spending
capacity of every family. She revealed that based on
statistics, many families opt to have a smaller family
size to ensure their children three square meals a
day, adding they cannot even afford to bring their
sick children to a far-flung barangay center or hospital
for treatment. To illustrate, assuming that PI million
is allocated for health care, she said that if distributed
to 10 million children, each child would be entitled to
only ten centavos, whereas, if parents would be given
the power to plan their families wisely and effectively
by equipping them with the proper information, there
would only be one million children instead of 10 million,
in which case, each child stands to receive P I for
health care instead of ten centavos. She added that
in the study she made, diabetes emerged as the killer
disease that plagues the Philippines and many other
countries, and even poor families suffer from it because
of poor information and access to nutritious food. She
asked whether one peso is better than ten centavos
per child for health care since the same would be
provided to him/her for the rest of his/her life.
For clarification, Senator Legarda asked whether
it was correct to say that even if only 3% of the
GDP is allotted for health care, the purchase of
condoms, IUDs and other hormonal contraceptives
. is justified since it would effectively limit the number
of family members and allow poor communities to
have access to information, devices and contracep-
tives. Senator Cayetano (P) answered in the affirm-
ative as she underscored that it was simply a question
of whether the 3% would be distributed among
ten million or one million children. She stressed that
reproductive health budgeting is as important as any
965
other, if not more important, adding that there is a
world of difference between a family that has complete
access to health care and a family that does not. She
underscored the importance of considering the
nutritional intake of a child, the regular preventive
vaccinations and the regular intake of necessary
vitamins, as well as ensuring that the child does not
succumb to anything that is easily preventable.
Moreover, Senator Cayetano (P) stated that the
figure for reproductive health care includes the
millions of pesos spent for hospitalization because of
abortion complications or unintended pregnancies
that can be addressed with proper information. She
emphasized that with the simple information on the
use of condom or any other contraceptive device,
a woman would no longer be put in a situation where
she would be compelled to choose an abortion that
exposes her to complications, or rushed to the hospital
where she stands to lose income to hospital and
related expenses.
At this juncture Senator Legarda suspended
her interpellation, manifesting that her further ques-
tions would focus on the matter of financing the
RH bill and the comparison of the Philippine essential
medicine list vis-a-vis other Asian countries.
Senator Cayetano (P) agreed, asking that the
RH bill be put on top of the agenda in the next
session day.
OF SENATE BILL NO. 2865
the bill.
ADJOURNMENT OF SESSION
objection, the President Pro Tempore declared the
session adjourned until nine o'clock in the morning of
Tuesday, February 14,2012.
It was II:55 a.m .
I hereby certify to
foregoing.
EMMA LlRIO RE ES .
Secretary of the Senate. /
M ,.. IJh
Approved 011 February 14, 2012

Senate Journal Session Proceedings - 15th Congress Second Regular Session (February 8 2012)

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