senate journal session proceedings – 15th congress second regular session (february 8 2012)

8/2/2019 Senate Journal Session Proceedings 15th Congress Second Regular Session (February 8 2012)

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REPUBLIC OF THE PHILIPPINESSena t : e

Pasay City

JournalSESSION NO. 50

Wednesday, February 8,2012

FIFTEENTH CONGRESSSECOND REGULAR SESSION


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SESSION NO. 50Wednesday, February 8, 2012

CALL TO ORDERAt 9:44 a.m., the Senate President Pro Tempore,

Hon. Jinggoy Ejercito Estrada, called the session toorder.PRAYER

The Body observed a minute of silent prayer.ROLL CALL

Upon direction of the Chair, the Secretary of theSenate, Atty. Emma Lirio-Reyes, called the roll, towhich 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 thepresence of a quorum.Senators Arroyo, Marcos, Recto, Revilla andVillar arrived after the roll call.

Senators Cayetano (A) and Defensor Santiagowere on official mission.

Senators Escudero and Trillanes were absent.APPROVAL OF THE JOURNAL

Upon motion of Senator Sotto, there being noobjection, the Body dispensed with the reading of theJournal of Session No. 49 (February 7, 2012) andconsidered it approved.ACKNOWLEDGMENTOF THE PRESENCE OF GUESTS

At this juncture, Senator Sotto acknowledgedthe presence in the gallery of students from thelIocos Sur Polytechnic State College in Santa Maria,Ilocos Sur led by Marvin B. Ong, Student CouncilPresident.

Senate President Pro Tempore Ejercito Estradawelcomed the guests to the Senate.REFERENCE OF BUSINESS

The Secretary of the Senate read the followingmatters and the Chair made the correspondingreferrals:


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MESSAGE FROM THEHOUSE OF REPRESENTATIVES

Letters from the House of Representatives,informing the Senate that on 1 February 2012,the House of Representatives concurred withSenate Concurrent Resolution No. 10, entitledCONCURRENT RESOLUTION MAINTAIN-ING THE PREVAILING SYSTEM OF

ACCOUNTING AND LIQUIDATIONOF THE RESPECTIVE BUDGETARYALLOCATIONS OF EACH MEMBEROF THE SENATE AND THE HOUSEOF REPRESENTATIVES AS CLASSIFIED AND CONSISTENT WITHAPPLICABLE ACCOUNTING ANDAUDITING RULES

To the ArchivesRESOLUTIONS

Proposed Senate Resolution No. 700, entitledRESOLUTION DIRECTING THE APPROPRIATE COMMITTEES IN THE

SENATE TO CONDUCT AN INQUIRY,IN AID OF LEGISLATION, INTOTHE SAFETY STANDARDS ANDPRACTICES BEING IMPLEMENTEDIN THE COUNTRY'S BOXINGEVENTS WITH THE END IN VIEWOF ENSURING THE SAFETY OFOUR FILIPINO BOXERS

Introduced by Senator LapidTo the Committee on Games and Amuse

mentProposed Senate Resolution No. 701, entitled

RESOLUTION DIRECTING THE SENATECOMMITTEES ON GOVERNMENTCORPORATIONS AND PUBLICENTERPRISES; AND HEALTH ANDDEMOGRAPHY AND ALL OTHERPROPER COMMITTEES TO CONDUCTAN INQUIRY, IN AID OF LEGISLATION, ON THE HUGE INCREASEIN PREMIUM CONTRIBUTIONS OFALL MEMBERS OF THE PHILIPPINE

WEDNESDAY, FEBRUARY 8, 2012

HEALTH INSURANCE CORPORATION (PHILHEALTH)

Introduced by Senator Pimentel IIITo the Committees on Government Corpo

rations and Pnhlic Enterprises; and Health andDemographyProposed Senate Resolution No. 702, entitled

RESOLUTION DIRECTING THE SENATECOMMITTEE ON HEALTH ANDDEMOGRAPHY, COMMITTEE ONLOCAL GOVERNMENT AND OTHERAPPROPRIATE SENATE COMMITTEESTO CONDUCT AN INQUIRY, IN AIDOF LEGISLATION, ON THE CONDI-TION OF ALL THE DUMP SITES INTHE COUNTRY FOR THE PURPOSEOF DETERMINING AND RECOMMENDING APPROPRIATE ACTIONIN VIEW OF RA 9003 - THE SOLIDWASTE MANAGEMENT ACT

Introduced by Senator Pimentel IIITo the Committee on Environment and

Natural ResourcesProposed Senate Resolution No. 703, entitled

RESOLUTION EXPRESSING THEPROFOUND SYMPATHY ANDSINCERE CONDOLENCES OF THESENATE ON THE LOSS OF LIVESCAUSED BY THE EARTHQUAKETHAT STRUCK VISAY AS ONFEBRUARY 6, 2012

Introduced by Senator LegardaTo the Committee on Rules

Proposed Senate Resolution No. 704, entitledRESOLUTION DIRECTING THE SENATE

COMMITTEE ON EDUCATION,ARTS AND CULTURE TO LOOKINTO, IN AID OF LEGISLATION,THE DEPARTMENT OF EDUCATION(DepEd) PROPOSED CURRICULUMFOR THE IMPLEMENTATION OF


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THE K TO 12 PROGRAM, ESPECIALLYON THE REPORTED NON-INCLUSIONOF SCIENCE AS A SEPARATESUBJECT FOR GRADES I AND II

Introduced by Senators Cayetano (P,) andCayetano (A. P.)

To the Committees on Edncation, Arts andCulture; aud Science and TechnologyProposed Senate Resolution No. 705, entitled

RESOLUTION DIRECTING THE SENATECOMMITTEE ON HEALTH ANDDEMOGRAPHY TO LOOK INTO, INAID OF LEGISLATION, THE EXISTING GOVERNMENT PROGRAMS TOINCREASE AWARENESS ANDADDRESS THE PROBLEM OFOSTEOPOROSIS IN THE PHILIPPINES

Introduced by Senator Cayetano (P.)To the Committee on Health and Demography

MANIFESTATION OF SENATOR SOTTOSenator Sotto stated that Senator Angara will besubmitting to the Senate Secretariat his correctionson the Journal of Session No. 49.

COMMITTEE REPORT NO. 80ON SENATE BILL NO. 3009

(Continuation)Upon motion of Senator Sotto, there being noobjection, the Body resumed consideration, on Second

Reading, of Senate Bill No. 3009 (Committee ReportNo. 80), entitledAN ACT TO FURTHER STRENGTHENTHE ANTIMONEY LAUNDERING

LAW, AMENDING FOR THE PURPOSESECTIONS 10 AND II OF REPUBLICACT NO. 9160, OTHERWISE KNOWNAS THE "ANTI-MONEY LAUNDERINGACT OF 2001" AS AMENDED, ANDFOR OTHER PURPOSES.

Senator Sotto stated that the parliamentary statuswas still the period of interpellations.

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Thereupon, the Chair recognized SenatorGuingona, sponsor ofthe measure, and Senator Sottofor his interpellation.INTERPELLATION OF SENATOR SOTTO

Asked by Senator Sotto on the salient features andproposed amendments to the Anti-Money LaunderingAct (AMLA) which was passed in the 12th Congress,Senator Guingona replied that there were only a fewproposed amendments, the most important of whichis the grant of authority to the AntiMoney LaunderingCouncil (AMLC) to inquire into bank deposits exparte. He explained that the AMLC is given twopowers - to inquire into bank accounts and freezemonetary instrument or property. He said that theproposed amendments seek to correct the error ofthe Supreme Court when, in its interpretation of theright to inquire into bank accounts, it held that onecannot inquire into bank accounts eX parte, that is,without informing the owner of the bank account ofthe inquiry. This Supreme Court ruling, he averred,rendered the AMLA ineffective and toothless becausethe depositor is able to withdraw the money fromhis/her account and transfer it elsewhere before theinvestigation can start.

With respect to freezing monetary instrument orproperty, Senator Guingona stated that the lawspecifically provides that it can be done ex parte-without notice to the depositor-which was,however, not specifically provided in the law, andwith the proposed amendment "xxx upon order ofany competent court BASED ON AN EXPARTEAPPLICATION xxx," the AMLC then can inquireinto accounts ex parte. He clarified that aside fromthe Court of Appeals, the AMLC may also file anapplication with the Regional Trial Courts and theSandiganbayan. Moreover, he noted that there isnow a time limit for the courts to act on a petition tofreeze - either before the end of business hours orwithin 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 accountsshall refer to accounts, the funds and sources ofwhich originated from and/or are materially linked tothe monetary instrument(s) or property(ies) subjectof the freeze order(s)." He recalled that in one ofthe Blue Ribbon Committee hearings, it was revealed


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that General Ligot transferred money from his accountto the accounts of his wife and brother-in-law, Heemphasized that the proposed amendment intends toinvolve not only the bank account of persons guilty ofmoney laundering but also people to whose accountsthe laundered money was transferred.

Asked on the meaning of the term "materiallylinked," Senator Guingona explained that it refers toaccounts that are connected to the person underinvestigation or to which the laundered money wastransferred.

Asked if the term "related web of accounts"would cover a person who issued a check to theaccount of another who is being investigated formoney laundering, Senator Guingona pointed out thatthe payor, being the source of the funds, would alsobe liable because he infused funds into the account.

On the concern that the power of the AMLC istoo extensive and open to abuse, Senator Guingonastated that the AMLC only deals with specificpredicate crimes.

On whether the AMLC could look into theaccount of an individual who is being investigated fora terrorist act, Senator Guingona replied that it could,following proper procedure. However, he clarifiedthat the stock dividend of the person, say from SanMiguel Corporation, is not covered by the term.

On the concern that the right to investigate canbe used by someone who has an axe to grind againstSan Miguel Corporation, Senator Guingona acknowledged-that -any- exercise of-police-power is -alwaysopen to abuse, but he assured that there are safeguards inplace. For instance, he stated that the AMLC cannotmotu proprio inquire into the deposits because first,the Solicitor General would not the allow the automaticfiling of a petition in court unless the matter isthoroughly investigated; and second, there are courtjudges who will ask probing questions and will not becontent with the mere say-so of the AMLC.

Senator Sotto expressed hope that such a provision would be included in the bill as it was notmentioned in the AMLA. Senator Guingona statedthat by its charter, the Solicitor General is the lawyerof government entities; hence, it is no longer necessaryto cite the same in the AMLA. He reiterated thatunder the bill, the petition to inquire into bank accountshas 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" isneeded to determine whether illegal funds had beentransferred by the account holder to relatives orfriends. For instance, he recalled that it was duringthe hearing of the Blue Ribbon Committee thatSenator Drilon proved that the condominium unit ofGeneral Ligot's brother-in-law had actually been paidfor by General Ligot himself.

Senator Sotto pointed out that without the propersafeguards, the measure could be abused because itallows the AMLC to investigate related accounts-including bank records of established institutions likeSan Miguel Corporation or PLDT that merely issueddividends to the account holder. Senator Guingonareplied that safeguards are set in motion once theAMLC finds that the account violates the AMLA.For instance, he said that the AMLC has to file apetition with the Office of the Solicitor General toinquire into or freeze the account; in tum, the SolicitorGeneral has to investigate and determine whether thepetition has merit before it can be filed with theappropriate court. If the bill becomes a law, he saidthat the petition can then be filed with the Court ofAppeals, the Regional Trial Court or the Sandiganbayan.He said that a judge would not automatically grantthe inquiry/freeze order unless he is assured to adegree of certainty that the rights of the individualare not trampled upon.

Senator Sotto asked that the bill provide a preciseand safe definition of "related web of accounts"- --- even as he -reiterated -his-concern -that-people -arc- apprehensive that their private accounts might beopen to scrutiny based merely on the slight associationof their accounts to the one in question. SenatorGuingona said that while any exercise of state policepower over an individual is necessarily uncomfortable,the State must apply the law to protect its citizensfrom crimes.

Saying that he was among those who voted infavor of the AMLA, Senator Sotto clarified that hewas not against the measure but was only concernedabout how it would be interpreted by those whowould enforce it later on. He expressed his intentionto propose amendments to the bill.

Asked whether the bill removes the requisite ofestablishing a predicate crime before the AMLC cant'7l


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inquire or examine an investment or account, SenatorGuingona replied in the negative.Upon further query, Senator Guingona explainedthat the bill aims to comply with the requirements ofthe Financial Action Task Force (FATF) which has

classified the Philippines under its "Light Gray" list intenns of compliance with anti-money laundering laws.He explained that the country's classification wouldbe downgraded to "Dark Gray" if the bill is notpassed by the following week. Moreover, he saidthat if government does not approve additionalamendments to the AMLA in the next four months,the Philippines would be blacklisted by the FATF andas such, the international community would be advisedto scrutinize funds going to and coming from thePhilippines. He said that even OFW remittances willbe deeply scrutinized to prove that these were notillegally sources.

Senator Sotto expressed concern that the FA TF,which is in charge of enforcing the internationalaccord, was in fact "threatening" the Philippines bydemanding that it meet these requirements.REMARKS OF SENATOR DRILON

At this juncture, Senator Drilon clarified that thePhilippines was not being forced to submit to thedemands of the FATF. He said that while thePhilippines is within its sovereign right not to act onthe requirements of the FA TF, the internationalbanking community would also be within its powerto enforce an enhanced examination of OFWremittances. Moreover, he emphasized that thePhilippine economy depends, to a great extent, on theannual US$20 billion OFW remittances that have, infact, stabilized the country's gross internationalreserves. However, he explained that the Philippinesbelongs to the international community that iscomposed of certain organizations beyond its control.As such, he believed that the government ought toseriously consider the impact of the internationalbanking community's enhanced examination of OFWremittances.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 ofEconomic Cooperation and Development (OECD)

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which is part of the International Monetary FundWorld Bank network.Reacting to the observation that the Philippineshas always been bullied by foreign organizationseven during the Spanish times, Senator Guingona

bared that Senator Angara recently admonished aFA TF representative after he gave warning of thedire consequences awaiting the Philippines if it didnot comply with the organization's requirements.In closing, Senator Sotto said that the bill oughtto be carefully crafted particularly with regard to theuse of police powers that are limited by the Bill ofRights, the rule of law and due process.

INTERPELLATIONOF SENATOR LACSON

At the outset, Senator Lacson expressed fullsupport for the measure, as he recalled that he andfonner Pres. Joseph Estrada were accused of keepingUS$700 million in different banks around the world.He said that he was, in fact, one of the authors of thebill, as well as other anti-money laundering measures.Senator Guingona acknowledged that the bill cameinto fruition through the efforts of Senators Lacsonand Osmefia.

Noting a typographical error on page 2, line 16of the bill, Senator Lacson asked that "R.A. 6462"(An Act Establishing the Office of the Registerof Deeds in Naga City as Separate and Distinctfrom the Provincial Register of Camarines Sur) bechanged to R.A. 6426 (An Act Instituting a ForeignCurrency Deposit System In The Philippines).Senator Guingona agreed.

On another matter, Senator Lacson asked whetherthe term "materially linked" refers to accounts thatare connected to the commission of the offensecovered by the law or to those that are associatedwith the monetary instrument or properties subjectof the petition for the freeze order. Senator Guingonareplied that it refers to either one and as such, theAMLC can file the petition for freeze order on thebasis of the fund/account being materially linked tothe monetary instrument or properties alone.

Upon further queries, Senator Guingona repliedthat the provision authorizing the AMLC to inquireinto bank deposits also apply to joint accounts andjuridical entities.


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944Asked which facts the AMLC would consider indetennining whether the accounts fall under a "relatedweb of accounts" or "materially linked accounts,"Senator Guingona replied that these would includeany movement of funds to or from the account inquestion, regardless of whether it is an account that

is part of a related web of accounts or one that ismaterially linked to another accountConsidering the broad scope of the AMLC'sauthority to examine bank deposits, Senator Lacson

suggested that the bill be enhanced to ensure that itdoes not violate the right to privacy, For his part,Senator Guingona explained that the bill authorizesthe exercise of police power and as such, it seeks tobalance the interest of the State and the protection ofindividual rights,As regards the suggestion that the standards beclearly stated in the law, Senator Guingona expressedwillingness to accept amendments at the propertime,At this juncture, Senate President Pro Tempore

Ejercito Estrada relinquished the Chair to SenatorLegarda,INTERPELLATIONOF SENATOR CAYETANO (P)

Preliminarily, Senator Cayetano (P) asked thatshe be provided a copy of the Convention so that shecould study which FATF requirements neededcompliance,In reaction, Senator Guingona stated that theAMLC members would furnish Senator Cayetano(P) with a copy of the signatories to the Conventionafter the session,Senator Cayetano (P) stressed the need to pinpointcertain provisions in the Convention that need to beput in place as she expressed hope that she couldcontribute something that is consistent with theconstitutional requirements, especially the Bill of Rights,As regards the definition of "related webaccounts," Senator Cayetano (P) asked if the wholeweb would continue supposing the funds channeledby General Ligot to his brother-in-law are, in turndeposited in the accounts of his own companies or

his children, Senator Guingona emphasized the needto "follow the money trail,"


Senator Cayetano (P) stated that she found inthe bill a parallelism in the Anti-Trafficking Law inthe sense that there are no bounds in terms ofjurisdictional limitations of transnational crimes, Sheagreed that there is need to follow the trail, but sheexpressed concern on the possible transgression ofthe right to privacy that is guaranteed in the Billof Rights, In relation to "related web of accounts,"she noted that the provision could be fine-tuned byincluding safeguards or standards, for instance, withrespect to the degree of consanguinity or affinity(foueth) and the amount of money being transferred,Senator Guingona welcomed the suggestion and addedthat the AMLA requires the reporting of themovement of accounts with the threshold set atP500,OOO,OO,

FURTHER INTERPELLATIONOF SENATOR SOTTOAsked by Senator Sotto whether the measurerequires an inquiry or examination of web-relatedaccounts and materially-linked accounts, SenatorGuingona explained that if the measure does notinclude "related web of accounts," the person cantransfer his money to a friend until it leaves no trailwhich is the kind of transfer that the bill seeksto preventSenator Sotto inquired if such is a requirement ofthe FA TF because if not, it can be deleted. SenatorGuingona replied that by inference, it is a requirementto make the law effective.Senator Sotto argued that once his accounts arefrozen, the depositor cannot transfer or withdrawmoney from the same. Senator Guingona counteredthat he was referring to money that has been transferred to other accounts, thus the need to freezethem. Precisely, he said, the money transferred toother accounts came from the person who violatedthe law.Assuming that if such account also containsmoney sourced from elsewhere, Senator Sotto arguedthat the account cannot be classified as part of arelated web of account or materially-linked accounts.Senator Guingona contended that it would be tediousto examine every deposit made in one account, thus,it would be better, for purposes of safeguarding theinterest of the State, to first freeze the account and

then go through the deposits one-by-one so as todetermine which deposit would be included or not.


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Saying that doing it that way does no t addressthe issue of related web account, Senator Sottoproposed to introduce amendments at the propertime.RESERVATION TO INTERPELLATE

Senator Satta manifested that Senators Villarand Legarda have made reservation to interpellateon Senate Bill No. 3009.

SUSPENSION OF CONSIDERATIONOF SENATE BILL NO. 3009

Upon motion of Senator Sotto, there being noobjection, the Body suspended consideration ofthe bill.CONFERENCE COMMITTEE REPORTON HOUSE BILL NO. 4729

Upon motion of Senator Sotto, there being noobjection, the Body considered the ConferenceCommittee Report on the disagreeing votes onHouse Bill No. 4729, entitled

AN ACT CONVERTING TH E MUNICI-PALITY OF IMUS IN THEPROVINCE OF CAVITE INTO ACOMPONENT CITY TO BE KNOWNAS THE CITY OF IMUS.

The Chair recognized Senator Marcos for thesponsorship.JOINT EXPLANAnONOF THE CONFERENCE COMMITTEE

Upon motion of Senator Marcos, there being noobjection, the Body approved the insertion of the JointExplanation of the Bicameral Conference Committeeon the disagreeing votes on House Bill No. 4729 intothe Journal and Record of the Senate.

Hereunder is the full text of the report:JOINT EXPLANATION OF THE

BICAMERALCONFERENCECOMMmEEON THE DISAGREEING VOTES

ON HOUSE BILL NO. 4729(ClTYHOOD OF IMUS)The Bicameral Conference Committee on thedisagreeing votes on House Bill No. 4729, after

having met and fully discussed the subjectmatter in a conference, hereby report to theirrespective Houses the following:1. The conferees agreed to adopt House Bill

No. 4729 as amended by the Senate as theirworking draft;

2. Sections 1,2 and 3 ofHBN 4729 were adoptedas Sections I, 2 and 3 of the reconciled bill;

3. Section 4 of the House and Senate versions,which are the same, was adopted asSection 4 of the reconciled bill with thefollowing 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 adoptedas Sections 5 and 6 of the reconciled bill;

5. Section 7 of HBN 4729, as amended by theSenate, was adopted as Section 7 of thereconciled 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 theword "Code" and in lieu thereof insertthe phrase "THE 1991 LOCAL GOVERN-MENT";

6. Section 8 of House and Senate versions,which are the same, was amended as Section8 of the reconciled bill with the followingamendments:a. On Section 8 (a), the phrase "HE IS A

CITIZEN OF THE PHILIPPINES" wasinserted between phrases "position ofcity mayor unless" and "at the time ofelection";

b. On the same subsection, the phrase"AND ABLE TO READ AND WRITEFILIPINO OR ANY OTHER LOCALLANGUAGE OR DIALECT' was insertedafter the phrase "a qualified votertherein";

c. On the same subsection, the phrase"BUT SHALL SERVE FOR NOT MORETHAN THREE (3) CONSECUTIVETERMS JN THE SAME POSITION" wasinserted between the phrases "unlesssooner removed" and "and shall receive";

d. On Section 8 (b)(I)(v), the phrase"WHOSE SALARIES AND WAGES

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ARE WHOLLY OR MAINLY PAlD OUTOF CITY FUNDS AND" was insertedafter the phrase "appoint all officials andemployees";

e. On Section 8 (b)(1 Xix), the word "office"was deleted after the phrase "to suchspace in the" and in lieu thereof, theword "CITY HALL" was inserted;

f. On Section 8 (b)(1 )(xii), tbe pbrase "tothe Office of the President and the Officeof the Secretary of the DILG" wasdeleted and in lieu thereof the phrase"BY HIM TO THE PROVINCIALGOVERNOR" was inserted;

g. On Section 8 (b) (I )(xiii), the phrase"INFORM THE COMPONENT BARANGAY OFFICIALS AND INHABITANTS"was inserted after the phrase "localofficials and inhabitants";

7. Section 9 of the House and Senate versions,which are the same, was adopted as Section9 of the reconciled bill with the followingamendment:a. On Section 9 (a), the phrase "BUT SHALL

SERVE FOR NOT MORE THAN THREE(3) CONSECUTIVE TERMS IN THESAME POSITION" was inserted betweenthe phrases "unless sooner removed"and "and shall receive";

8. Section 10 (a) ofHBN 4729, as amended bythe Senate, was amended and adopted asSection 10 (a) of he reconciled bill by insertingthe phrase "INDIGENOUS CULTURALCOMMUNITIES" between the phrases"including urban poor" and "or persons withdisabilities";

9. Section II of House and Senate versionswhich are the same, was amended as SectionII of the reconciled bill with the followingamendments:a. After Section I I (a)(2)(x), a new sub

section was inserted which now read asfollows:

"(XI) SUBJECT TO THE PROVISIONS OF BOOK II OF THE LOCALGOVERNMENT CODE OF 1991, GRANTTHE EXCLUSIVE PRIVILEGE OFCONSTRUCTING FISH CORRALS ORFISH PENS, OR THE TAKING ORCATCHING OF BANGUS FRY, PRAWNFRY OR KAWAG-KAWAG, OR FRYOF ANY SPECIES OR FISH WITHINTHE CITY WATERS"

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b, The succeeding subsections wererenumbered accordingly;c. On Section II (a),(5)(i), the phrase

"MANGROVES, AND OTHER SIMILARFOREST 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 welfareof the inhabitants";

10. Sections 12, 13, 14, 15, 16, \7 , 18, 19,20,21and 22 of the House and Senate versions,which are the same, were adopted as Sections12, \3, 14, 15, 16, 17, 18, 19,20,21 and 22 ofthe reconciled bill;

II. Section 23 of House and Senate versionswhich are the same, was adopted as Section23 of the reconciled bill with the followingamendments:a. A new subsection was inserted after

subsection 23(a) which reads as follows:"(B) IF A PERMANENT VACANCY

OCCURS IN THE OFFICE OF THEPUNONG BARANGAY, THE HIGHESTRANKING SANGGUNlAN BARANGAYMEMBER OR, IN CASE OF HISPERMANENT INABILITY, THESECONDHIGHEST-RANKING SANGGUNIANMEMBER, SHALL BECOME THEPUNONG BARANGA Y;"

b. The succeeding subsections were relettered accordingly.

12. Sections 24, 25, 26 and 27 of the House andSenate versions, which are the same, wereadopted as Sections 24, 25, 26 and 27 of thereconciled bill;

13. Section 28 of HBN 4729, as amended by theSenate, was adopted as Section 28 of thereconciled bill with the following amendments: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 REPRESENTA TlVE ALL SESSIONS OF THELOCAL BOARD OF ASSESSMENTS;AND"

c. The succeeding subsections wererenumbered accordingly.


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14, Sections 29, 30, 31, 32, 33 and 34 of HBN4730, as amended by the Senate, wereadopted as Sections 29, 30, 31,32,33 and 34of the reconciled bill;

15. Section 35 of HBN 4729, as amended by theSenate, was adopted as Section 35 of thereconciled bill with the following amendments:a. On Section 35 (a), the word "LAW" was

inserted between the phrases "in publicadministration" and "or in any";b. After Section 35 (d)(I), three new

subsections were inserted which shallread as follows:

"(2) ASSIST IN THE COORDINATION OF THE WORK OF ALL THEOFFICIALS OF THE LOCAL GOVERNMENT UNIT, UNDER THE SUPERVISION, DIRECTION AND CONTROLOF THE CITY MAYOR, AND FOR THISPURPOSE, HE MAY CONVENE THECHIEFS OF OFFICES AND OTHEROFFICIALS OF THE LOCAL GOVERNMENTUNIT;

(3) ESTABLISH AND MAINTAINA SOUND PERSONNEL PROGRAM FORTHE LOCAL GOVERNMENT UNITDESIGNED TO PROMOTE CAREERDEVELOPMENT AND UPHOLD THEMERIT PRINCIPLE IN THE LOCALGOVERNMENT SERVICE;

4) CONDUCT A CONTINUINGORGANIZATIONAL DEVELOPMENTOF THE LOCAL GOVERNMENT UNITWITH TH E END IN VIEW OFINSTITUTING EffECTIVE ADMINISTRATIVE REFORMS;"

c. The succeeding subsections wererenumbered accordingly;

16. Section 36 ofHBN 4729, as amended by theSenate, was adopted as Section 36 of thereconciled bill with the following amendments:a. After Section 36 (a), the following

paragraph was inserted:"THE TERM OF THE LEGAL

OFFICER SHALL BE COTERMINOUSWITH THAT OF HIS APPOINTINGAUTHORITY."

b. After Section 36 (c)(2), the followingsubsections were inserted:

"(3) REPRESENT THE LOCALGOVERNMENT UNIT IN ALL CIVILACTIONS AND SPECIAL PROCEED-

INGS WHEREIN THE LOCAL GOVERNMENT UNIT OR ANY OFfICIALTHEREOf, IN HIS OFFICIAL CAPACITY,IS A PARTY: PROVIDED, THAT, INACTIONS OR PROCEEDINGS WHEREA COMPONENT CITY OR MUNICIPALITY IS A PARTY ADVERSE TOTHE PROVINCIAL GOVERNMENT ORTO ANOTHER COMPONENT CITY, ASPECIAL LEGAL OFFICER MAY BEEMPLOYED TO REPRESENT THEADVERSE PARTY;

(4) WHEN REQUIRED BY THEMAYOR OR SANGGUNIAN, DRAFTORDINANCES, CONTRACTS, BONDS,LEASES AND OTHER INSTRUMENTS,INVOLVING ANY INTEREST OF THELOCAL GOVERNMENT UNIT; ANDPROVIDE COMMENTS AND RECOMMENDATIONS ON ANY INSTRUMENTSALREADY DRAWN;

(5) RENDER HIS OPINION INWRITING ON ANY QUESTION OFLAW WHEN REQUESTED TO DOSO BY THE CITY MAYOR ORSANGGUNIAN;

(6) INVESTIGATE OR CAUSETO BE INVESTIGATED ANY LOCALOFFICIAL OR EMPLOYEE FORADMINISTRATIVE NEGLECT ORMISCONDUCT IN OFFICE, ANDRECOMMEND APPROPRIATE ACTIONTO THE CITY MAYOR ORSANGGUNIAN;

(7) INVESTIGATE OR CAUSE TOBE INVESTIGATED ANY PERSON,FIRM OR CORPORATION HOLDINGANY FRANCHISE OR EXERCISINGANY PUBLIC PRIVILEGE FOR FAILURETO COMPLY WITH ANY TERM ORCONDITION IN THE GRANT OF SUCHFRANCHISE OR PRIVILEGE, ANDRECOMMENDING APPROPRIATEACTION TO THE CITY MAYOR ORSANGGUNIAN;

(8) WHEN DIRECTED BYTHE CITYMAYOR, OR SANGGUNIAN, INITIATEAND PROSECUTE IN THE INTERESTOF THE LOCAL GOVERNMENT UNITCONCERNED ANY CNIL ACTION ONANY BOND, LEASE OR OTHERCONTRACT UPON ANY BREACH ORVIOLATION THEREOF;

(9 ) REVIEW AND SUBMITRECOMMENDATIONS ON ORDlN-

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948

ANCES APPROVED AND EXECUTIVEORDERS ISSUED BY COMPONENTUNITS;"

c. The succeeding subsections were renumbered accordingly;

17. Section 37 of HBN 4729, as amended by theSenate, was adopted as Section 37 of thereconciled bill with the following amendments:a. After Section 37(c)(2), the following

subsections were inserted:"(3) IDENTIFY THE BASIC NEEDSOF THE NEEDY, THE DISADVAN

TAGED AND THE IMPOVERISHEDAND DEVELOP AND IMPLEMENTAPPROPRIATE MEASURES TOALLEVIATE THEIR PROBLEMS ANDIMPROVE THEIR LIVING CONDlTIONS;

(4) PROVIDE RELIEF AND APPROPRIATE CRISIS INTERVENTION FORVICTIMS OF ABUSE AND EXPLOITATION AND RECOMMEND APPROPRIATE MEASURES TO DETERFURTHER ABUSE AND EXPLOITATIONS;

(5) ASSIST THE MAYOR INIMPLEMENTING THE BARANGA YLEVEL PROGRAM FOR THE TOTALDEVELOPMENT AND PROTECTIONOF CHILDREN UP TO SIX (6) YEARSOF AGE;

(6) FACILITATE THE IMPLEMENTATION OF WELFARE PROGRAMSFOR THE DISABLED, ELDERLY ANDVICTIMS OF DRUG ADDICTION, THEREHABILITATION OF PRISONERSAND PAROLEES, THE PREVENTIONOF JUVENILE DELINQUENCY ANDSUCH OTHER ACTIVITIES WHICHWOULD ELIMINATE AND MINIMIZETHE ILL-EFFECTS OF POVERTY;

(7) INITIATE AND SUPPORTWELFARE PROGRAMS THAT WILLENHANCE THE ROLE OF THE YOUTHIN NATION BUILDING;

(8) COORDINATE WITH GOVERNMENT AGENCIES AND NONGOVERNMENTAL ORGANIZATIONS WHICHHAVE FOR THEIR PURPOSE THEPROMOTION AND THE PROTECTIONOF ALL NEEDY, DISADVANTAGED,UNDERPRIVILEGED OR IMPOVERISHEDGROUPS OR INDIVIDUALS, PARTICULARLY THOSE IDENTIFIED TO BE


VULNERABLE AND HIGH RISK TOEXPLOITATION, ABUSE ANDNEGLECT';

b. The succeeding subsections wererenumbered accordingly;

18. Section 38 ofHBN 4729, as amended by theSenate, was adopted as Section 38 of thereconciled bill with following amendments:a. After Section 38(c)(2), the following

subsections were inserted:"(3) ADVISE THE CITY MAYORON ALL MATTERS PERTAINING TO

THE SLAUGHTER OF ANIMALS FORHUMAN CONSUMPTION AND THEREGULATlON OF SLAUGHTERHOUSES;

(4) REGULATE THE KEEPING OFDOMESTIC ANIMALS;(5) REGULATE AND INSPECT

POULTRY, MILK AND DAIRY PRODUCTS FOR PUBLIC CONSUMPTION;

(6) ENFORCE ALL LAWS FORTHE PREVENTION OF CRUELTY TOANIMALS;

(7) TAKE THE NECESSARYMEASURES TO ERADICATE, PREVENTOR CURE ALL FORMS OF ANIMALSDISEASES;"


19. Section 39 ofHBN 4729, as amended by theSenate, was adopted as Section 39 of thereconciled bill with the following amendments:a. On Section 39 (a), the word and figure

"three (3)" was deleted and in lieu thereofthe word and figure "FIVE (5)" wasinserted between the phrases "for atleast" and "years immediately";

b. After Section 39( c )(3), the followingsubsections were inserted:

"(4) WITH THE APPROVAL OFTHE CITY MAYOR, ASSIGN BUILDINGOR LAND SPACE TO LOCALOFFICIALS OR OTHER PUBLICOFFICIALS, WHO BY LAW AREENTITLED TO SUCH SPACE;

(5) RECOMMEND TO THE CITYMAYOR THE REASONABLE RENTALRATES FOR LOCAL GOVERNMENT


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PROPERTIES, WHETHER REAL ORPERSONAL, WHICH WILL BE LEASEDTO PUBLIC OR PRIVATE ENTITIES BYTHE LOCAL GOVERNMENT;

(6) MAINTAIN AND SUPERVISEJANITORIAL, SECURITY, LANDSCAPING AND OTHER RELATED SERVICESIN ALL LOCAL GOVERNMENT PUBLICBUILDINGS AND OTHER REALPROPERTY, WHETHER OWNED ORLEASED BY THE LOCAL GOVERNMENTUNIT;

(7) COLLATE AND DISSEMINATEINFORMATION REGARDING PRICES,SHIPPING AND OTHER COSTS OFSUPPLIES AND OTHER ITEMSCOMMONLY USED BY THE LOCALGOVERNMENT UNIT;

(8) PERFORM ARCHIVAL ANDRECORD MANAGEMENT WITHRESPECT TO RECORDS OF OFFICESAND DEPARTMENTS OF THE LOCALGOVERNMENT UNIT;

(9) PERFORM ALL OTHERFUNCTIONS PERTAINING TO SUPPLYAND PROPERTY MANAGEMENTHERETOFORE PERFORMED BY THELOCAL GOVERNMENT TREASURER,AND ENFORCE POLICIES ONRECORDS CREATION, MAINTENANCEAND DISPOSAL;"

c. The succeeding subsections wererenumbered accordingly.

20. Section 40 ofHBN 4729, as amended by theSenate, was adopted as Section 40 of thereconciled bill with th e followingamendments:a. After Section 40(c )(2), the following

subsections were inserted:

"(3) ESTABLISH, MAINTAIN,PROTECT AND PRESERVE COMMUNAL FOREST, WATERSHEDS,TREE PARKS, MANGROVES, GREENBEL TS AND SIMILAR FORESTPROJECTS AND COMMERCIALFOREST, LIKE INDUSTRIAL TREEFARMS AND AGRO-FORESTRYPROJECTS;

(4) PROVIDE EXTENSION SERVICES TO BENEFICIARIES OF FORESTDEVELOPMENT PROJECTS ANDTECHNICAL, FINANCIAL AND INFRASTRUCTURE ASSISTANCE;

(5) MANAGE AND MAINTAINSEED BANKS AND PRODUCESEEDLINGS FOR FOREST AND TREEPARKS;

(6) PROVIDE EXTENSION SERVICES TO BENEFICIARIES OF FORESTDEVELOPMENT PROJECTS ANDRENDER ASSISTANCE FOR NATURALRESOURCES-RELATED CONSERVATION AND UTILIZATION ACTIVlTIESCONSISTENT WITH ECOLOGICALBALANCE;

(7) PROMOTE THE SMALL SCALEMINING AND UTILIZATION OFMINERAL RESOURCES, PARTlCULARL Y MINING OF GOLD;

(8) COORDINATE WITH GOVERNMENT AGENCIES AND NONGOVERNMENTAL ORGANIZATIONS IN THEIMPLEMENTATION OF MEASURESTO PREVENT AND CONTROL LAND,AIR AND WATER POLLUTION WITHTHE ASSISTANCE OF THE DEPARTMENT OF ENVIRONMENT ANDNATURAL RESOURCES;"

b. Th e succeeding subsections wererenumbered accordingly;

21. Section 41 ofHBN 4729, as amended by theSenate, was adopted as Section 41 of thereconciled bill with the following amendments:a. After Section 41 (c )(2), the following

subsections were inserted:"(3) PREPARE AND RECOMMEND

FOR CONSIDERATION OF THESANGGUNIAN THE ARCHITECTURALPLAN AND DESIGN FOR THE LOCALGOVERNMENT UNIT OR A PARTTHEREOF, INCLUDING THE RENEWALOF SLUMS AND BLIGHTED AREAS,LAND RECLAMATION ACTIVlTIES,THE GREENING OF LAND ANDAPPROPRIATE PLANNING OFMARINE AND FORESHORE AREAS;

(4) REVIEW AND RECOMMENDFOR APPROPRIATE ACTION OF THESANGGUNIAN OR THE CITY MAYORTHE ARCHITECTURAL PLANS ANDDESIGN SUBMITTED BY GOVERNMENTAL AND NONGOVERNMENTALENTITIES OR INDIVIDUALS, PARTICULARLY THOSE FOR UNDEVELOPED,UNDERDEVELOPED AND POORLYDESIGNED AREAS;

949


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950

(5) COORDINATE WlTHGOVERN-MENT AND NONGOVERNMENTENTITIES AND INDIVIDUALS INVOLVEDIN THE AESTHETICS AND MAXIMUMUTILIZATION OF THE LAND ANDWATER WITHIN THE JURISDICTIONOF THE GOVERNMENT UNIT, COM-PATIBLE WITH THE ENVIRONMENTALINTEGRITY AN D ECOLOGICALBALANCE;"

h. The succeeding subsections wererenumbered accordingly;

22. Section 42 of HBN 4729, as amended by theSenate, was adopted as Section 42 of thereconciled bill with the followingamendments:a. On Section 42 (a) the word and figure

"five (5)" was deleted and in lieu thereofthe word and figure "THREE (3)" wasinserted after the phrases "media for atleast" and "years immediately preced-ing";

b. After Section 42(c) (2), the followingsubsections were inserted:"(3) PROVIDE RELEVANT, ADE-

QUATE AND TIMEL Y INFORMATIONTO THE LOCAL GOVERNMENT UNITAND ITS RESIDENTS;

(4) FURNISH INFORMATION ANDDATA ON LOCAL GOVERNMENTUNITS TO GOVERNMENT AGENCIESOR OFFICES AS MAY BE REQUIREDBY LAW OR ORDINANCE; ANDNONGOVERNMENTAL ORGANIZA-TIONS TO BE FURNISHED TO SAIDAGENCIES AND ORGANIZATIONS;

(5) MAINTAIN EFFECTIVELIAISON WITH THE VARIOUSSECTORS OF THE COMMUNITY ONMATIERS AND ISSUES THAT AFFECTTHE LIVELIHOOD AND THE QUALITYOF LIFE OF THE INHABITANTSAND ENCOURAGE SUPPORT FORPROGRAMS OF THE LOCAL ANDNATIONAL GOVERNMENT;"

c. The succeeding subsections wererenumbered accordingly;

23. Section 43 of HBN 4729, as amended by theSenate, was adopted as Section 43 of thereconciled bill with the following amend-ments:a. After Section 43(c)(2), the followingsubsections were inserted:


"(3) ASSIST IN THE ORGANIZA-TION OF COOPERATIVES;

(4) PROVIDE TECHNICAL ANDOTHER FORMS OF ASSISTANCETO EXISTING COOPERATIVES TOENHANCE THEIR VIABILITY AS ANECONOMIC ENfERPRISE AND SOCIALORGANIZATION;

(5) ASSIST COOPERATIVES INESTABLISHING LINKAGES WITHGOVERNMENT AGENCIES ANDNONGOVERNMENTORGANlZATIONSINVOLVED IN THE PROMOTION ANDINTEGRATION OF THE CONCEPT OFCOOPERATIVES IN THE LIVELIHOODOF THE PEOPLE AND OTHERCOMMUNITY ACTIVITIES;"

b. The succeeding subsections wererenumbered accordingly;24. Section 44 ofHBN 4729, as amended by the

Senate, was adopted as Section 44 of thereconciled bill;25. Section 45 of House and Senate versions

which are the same, was adopted as Section45 of the reconciled bill with the followingamendments:a. After Section 45( c )(2), the followingsubsections were inserted:

"(3) ASSIST THE CITY MAYOR INTHE IMPLEMENTATION OF THECONSTITUTIONAL PROVISIONSRELATIVE TO POPULATION DEVELOP-MENT AND THE PROMOTION OFRESPONSIBLE PARENTHOOD;

(4) ESTABLISH AND MAINTAINAN UPDATED DATA BANK FORPROGRAM OPERATIONS, DEVELOP-MENT PLANNING AND AN EDUCA-TIONAL PROGRAM TO ENSURE THEPEOPLE'S PARTICIPATION INUNDERSTANDING OF POPULATIONDEVELOPMENT;

(5) IMPLEMENT APPROPRIATETRAINING PROGRAMS RESPONSIVETO THE CULTURAL HERITAGE OFTHE INHABITANTS;"

b. The succeeding subsections wererenumbered accordingly.

26. Sections 46, 47, 48, 49, 50, 51, 52, 53, 54, 55,56,57,58,59,60 and 61 ofHBN 4729 whichare the same, were amended and adopted asSections 46, 47, 48, 49, 50, 51, 52, 53, 54, 55,56,57,58,59,60 and 61 ofthe reconciled bill.


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In case of conflict between the statements!amendments stated in this loint Explanation andthat of the provisions of the consolidated bill inthe accompanying Bicameral ConferenceCommittee Report, the provisions of the lattershall prevail,SUSPENSION OF SESSION

Upon motion of Senator Sotto, the session wassuspended,It was 10:34 a,m.

RESUMPTION OF SESSIONAt 10:34 a.m. the session was resumed.

APPROVAL OF TH E CONFERENCECOMMITTEE REPORT

Subm itted to a vote, there being no objection, theConference Committee Report on the disagreeingvotes on House Bill No. 4729 was approved bythe Body.INQUIRY OF SENATOR ARROYO

Senator Arroyo asked whether Imus and Bacoorare adjacent to each other and contiguous even as heclarified that he was not against the passage of themeasure but that he was alarmed by it. Senator Sottoconfirmed that Imus and Bacoor are contiguous butthey are huge LGUs that have the required population,land area and income to qualify as cities.

Asked by Senator Sotto if he was voting againstthe report, Senator Arroyo answered in the negativeas he cited the twin cities of Minneapolis and St. Paulin Minnesota that are divided only by a river.

Asked how many cities there are in Cavite,Senator Marcos answered that with the passage ofthe two bills into law, Cavite will have six cities.

Asked by Senator Arroyo what the next city inCavite will be, Senator Marcos replied that he hasnot yet received any proposal to convert othermunicipalities in Cavite into cities. He explainedthough that it was established in the committeehearings that both Imus and Bacoor are well qualifiedto become cities as he gave assurance that theCommittee will apply the same rigorous testing,

951

assessment and validation to any proposal forconversion.

Senator Arroyo observed that Dasmarinas City,Imus and Bacoor are adjacent and asked whetherCavite would now became Metro Cavite. SenatorSotto replied in the affirmative.

Senator Marcos observed that there are existingmetropolises - Metro Manila and Metro Cebu -and Davao has ambitions to be in the same category.CONFERENCE COMMITTEE REPORTON HOUSE BILL NO. 4730

Upon motion of Senator Sotto, there being noobjection, the Body considered the ConferenceCommittee Report on the disagreeing votes on HouseBill No. 4730, entitled

AN ACT CONVERTING THE MUNICIPALITY OF BACOOR IN THEPROVINCE OF CA VITE INTO ACOMPONENT CITY TO BE KNOWNAS THE CITY OF BACOOR.

The Chair recognized Senator Marcos for thesponsorship.JOINT EXPLANATlONOF THE CONFERENCE COMMITTEE

Upon motion of Senator Marcos, there being noobjection, the Body approved the insertion of the JointExplanation of the Conference Committee on thedisagreeing votes on House Bill No. 4730 into theJournal and Record of the Senate.

Hereunder is the full text of the report:JOINT EXPLANATlON OF TIlE BICAMERALC O N F E R E N C E C O ~ E E O N T H E

DISAGREEING VOTES ONHOUSE BILL NO. 4730

(ClTYHOOD OF BACOOR)The Bicameral Conference Committee on thedisagreeing votes on House Bill No. 4730, afterhaving met and fully discussed the subject

matter in a conference, hereby report to theirrespective Houses the following:1. The conferees agreed to adopt House Bill

No. 4730, as amended by the Senate, as theirworking draft;


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952

2. Se


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"(Xl) SUBJECT TO THE PROVISIONS OF BOOK II OF THE LOCALGOVERNMENT CODE OF 1991, GRANTTHE EXCLUSIVE PRIVILEGE OFCONSTRUCTING FISH CORRALS ORFISH PENS, OR THE TAKING ORCATCHING OF BANGUS FRY, PRAWNFRY OR KAWAG-KAWAG, OR FRYOF ANY SPECIES OR FISH WITHINTHE CITY WATERS"

b. The succeeding subsections wererenumbered accordingly;c. On Section 1 I (a)(5) (i), the phrase

"MANGROVES, AND OTHER SIMILARFOREST 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 welfareof the inhabitants";

13. Sections 12, 13, 14, 15,16, 17,18, 19,20,21 and22 of the House and Senate versions, whichare the same, were adopted as Sections 12,13,14,15,16,17,18,19,20,21, and 22 ofthereconciled bill, respectively;

14. Section 23 of the House and Senate versions,which are the same, was amended andadopted as Section 23 of the reconciled billwith 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 THEPUNONG BARANGAY, THE HJGHESTRANKING SANGGUNIAN BARANGA YMEMBER OR, IN CASE Of HIS PERMANENT INABILITY, THE SECONDHIGHEST-RANKING SANGGUNIANMEMBER, SHALL BECOME THEPUNONG BARANGAY;"

b. The succeeding subsections were relettered accordingly.

15. Sections 24,25, 26 and 27 of the House andSenate versions, which are the same, wereadopted as Sections 24, 25, 26 and 27 of thereconciled bill, respectively;

16. Section 28 ofHBN 4730, as amended by theSenate, was adopted as Section 28 of thereconciled bill with the following amendments:d. On Section 28(c)(10), the conjunction"and" was deleted:

e. A new subsection was inserted afterSection 28 (c)(I 0) which reads as follows:

"(11 ) ATTEND PERSONALLY ORTHROUGH AN AUTHORIZED REPRESENTATIVE ALL SESSIONS OF THELOCAL BOARD OF ASSESSMENTS;AND"

E The succeeding subsections wererenumbered accordingly.

17. Sections 29, 30, 31, 32, 33 and 34 of HBN4730, as amended by the Senate, wereadopted as Sections 29, 30, 31,32,33 and 34of the reconciled bill;

18. Section 35 of HBN 4730, as amended by theSenate, was adopted as Section 35 of thereconciled bill with the following amendments:a. On Section 35 (a), the word "LAW" wasinserted between the phrases "in publicadministration" and "or in any";b. After Section 35 (d)(I), three new

subsections were inserted which shallread as follows:

"(2) ASSIST IN THE COORDINATION OF THE WORK OF ALL THEOFFICIALS OF THE LOCAL GOVERNMENT UNIT, UNDER THE SUPERVISION, DIRECTION AND CONTROLOF THE CITY MAYOR, AND FOR THJSPURPOSE, HE MAY CONVENE THECHIEFS OF OFFICES AND OTHEROFFICIALS OF THE LOCAL GOVERNMENTUNIT;

(3) ESTABLISH AND MAINTAINA SOUND PERSONNEL PROGRAM FORTHE LOCAL GOVERNMENT UNITDESIGNED TO PROMOTE CAREERDEVELOPMENT AND UPHOLD THEMERIT PRINCIPLE IN THE LOCALGOVERNMENT SERVICE;

4) CONDUCT A CONTINUINGORGANIZATIONAL DEVELOPMENTOF THE LOCAL GOVERNMENT UNITWITH THE END IN VIEW OFINSTITUTING EFFECTIVE ADMINISTRATIVE REFORMS;"

c. The succeeding subsections wererenumbered accordingly;19. Section 36 of HBN 4730, as amended by the

Senate, was adopted as Section 36 of thereconciled bill with the following amendments:d. After Section 36 (a), the followingparagraph was inserted:

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954

"THE TERM OF THE LEGALOFFICER SHALL BE COTERMINOUSWITH THAT OF HIS APPOINTINGAUTHORITY."

e. After Section 36 (c )(2), the followingsubsections were inserted:

"(3) REPRESENT THE LOCALGOVERNMENT UNIT IN ALL CIVILACTIONS AND SPECIAL PROCEEDINGS WHEREIN THE LOCAL GOVERNMENT UNIT OR ANY OFFICIALTHEREOF, IN HIS OFFICIAL CAPACITY, ISA PARTY: PROVIDED, THAT,IN ACTIONS OR PROCEEDINGSWHERE A COMPONENT CITY ORMUNICIPALITY ISA PARTY ADVERSETO THE PROVINCIAL GOVERNMENTOR TO ANOTHER COMPONENT CITY,A SPECIAL LEGAL OFFICER MAY BEEMPLOYED TO REPRESENT THEADVERSE PARTY;

(4) WHEN REQUIRED BY THEMAYOR OR SANGGUNIAN, DRAFTORDINANCES, CONTRACTS, BONDS,LEASES AND OTHER INSTRUMENTS,INVOLVING ANY INTEREST OF THELOCAL GOVERNMENT UNIT; ANDPROVIDE COMMENTS AND RECOMMENDATIONS ON ANY INSTRUMENTSALREADY DRAWN;

(5) RENDER HIS OPINION INWRITING ON ANY QUESTION OFLAW WHEN REQUESTED TO DO SOBY THE CITY MAYOR OR SANGGUNIAN;

(6) INVESTIGATE OR CAUSE TOBE INVESTIGATED ANY LOCALOFFICIAL OR EMPLOYEE FORADMINISTRATIVE NEGLECT ORMISCONDUCT IN OFFICE, ANDRECOMMEND APPROPRIATE ACTIONTO THE CITY MAYOR ORSANGGUNIAN;

(7) INVESTIGATE OR CAUSE TOBE INVESTIGATED ANY PERSON,FIRM OR CORPORATION HOLDINGANY FRANCHISE OR EXERCISINGANY PUBLIC PRIVILEGE FOR FAILURETO COMPLY WITH ANY TERM ORCONDITION IN THE GRANT OF SUCHFRANCHISE OR PRIVILEGE, ANDRECOMMENDING APPROPRIATEACTION TO THE CITY MAYOR ORSANGGUNIAN;


(8) WHEN DIRECIEDBY THE CITYMAYOR, OR SANGGUNIAN, INITIATEAND PROSECUTE IN THE INTERESTOF THE LOCAL GOVERNMENT UNITCONCERNED ANY CIVIL ACTION ONANY BOND, LEASE OR OTHERCONTRACT UPON ANY BREACH ORVIOLATION THEREOF;

(9) REVIEW AND SUBMITRECOMMENDATIONS ON ORDINANCES APPROVED AND EXECUTIVEORDERS ISSUED BY COMPONENTUNITS;"

The succeeding subsections wererenumbered accordingly;

20. Section 37 ofHBN 4730, as amended by theSenate, was adopted as Section 37 of thereconciled bill with the following amendments:c. After Section 37(c)(2), the following

subsections were inserted:"(3) IDENTIFY THE BASIC NEEDS

OF THE NEEDY, THE DISADVANTAGED AND THE IMPOVERISHED ANDDEVELOP AND IMPLEMENT APPROPRIA TE MEASURES TO ALLEVIATETHEIR PROBLEMS AND IMPROVETHEIR LIVING CONDITIONS;

(4) PROVIDE RELIEF AND APPROPRIATE CRISIS INTERVENTION FORVICTIMS OF ABUSE AND EXPLOITATION AND RECOMMEND APPROPRIATE MEASURES TO DETERFURTHER ABUSE AND EXPLOITATIONS;

(5) ASSIST THE MAYOR, INIMPLEMENTING THE BARANGAYLEVEL PROGRAM FOR THE TOTALDEVELOPMENT AND PROTECTION OFCHILDREN UP TO SIX (6) YEARS OFAGE;

(6)FACILITATE THE IMPLEMENTA-TION OF WELFARE PROGRAMSFOR THE DISABLED, ELDERLY ANDVICTIMS OF DRUG ADDICTION, THEREHABILITATION OF PRISONERSAND PAROLEES, THE PREVENTIONOF JUVENILE DELINQUENCY ANDSUCH OTHER ACTIVITIES WHICHWOULD ELIMINATE AND MINIMIZETHE ILL-EFFECTS OF POVERTY;

(7) INITIATE AND SUPPORTWELFARE PROGRAMS THAT WILLENHANCE THE ROLE OF THE YOUTHIN NATION BUILDING;


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(8) COORDINATE WIlli GOVERNMENT AGENCIES AND NONGOVERNMENTAL ORGANIZATIONS WHICHHAVE FOR THEIR PURPOSE THEPROMOTION AND THE PROTECTIONOF ALL NEEDY, DISADVANTAGED,UNDERPRIVILEGED OR IMPOVERISHEDGROUPS OR INDIVIDUALS, PARTICULARL Y THOSE IDENTIFIED TO BEVULNERABLE AND HIGH RISK TOEXPLOITATION, ABUSE AND"NEGLECT;

d. The succeeding subsections wererenumbered accordingly;

21. Section 38 ofHBN 4730, as amended by theSenate, was adopted as Section 38 of thereconciled bill with following amendments:c. After Section 38(c)(2), the following

subsections were inserted:"(3) ADVISE THE CITY MAYOR

ON ALL MATTERS PERTAINING TOTHE SLAUGHTER OF ANIMALS FORHUMAN CONSUMPTION AND THEREGULATION OF SLAUGHTERHOUSES;

(4) REGULATE THE KEEPINGOF DOMESTIC ANIMALS;

(5) REGULATE AND INSPECTPOULTRY, MILK AND DAIRY PRODUCTS FOR PUBLIC CONSUMPTION;

(6) ENFORCE ALL LAWS FOR THEPREVENTION OF CRUELTY TOANIMALS;

(7) TAKE THE NECESSARYMEASURES TO ERADICATE, PREVENTOR CURE ALL FORMS OF ANIMALSDISEASES;"


22. Section 39 of HBN 4730, as amended by theSenate, was adopted as Section 39 of thereconciled bill with the following amendments:d. On Section 39 (a), the word and figure

"three (3)" was deleted and in lieu thereofthe word and figure "FIVE (5)" wasinserted between the phrases "for at1east'1 and "years immediately";

e. After Section 39(c)(3), the followingsubsections were inserted:

"(4) WITH THE APPROVAL OFTHE CITY MAYOR, ASSIGN BUILD-

ING OR LAND SPACE TO LOCALOFFICIALS OR OTHER PUBLICOFFICIALS, WHO BY LAW AREENTITLED TO SUCH SPACE;

(5) RECOMMEND TO THE CITYMAYOR, THE REASONABLE RENTALRATES FOR LOCAL GOVERNMENTPROPERTIES, WHETHER REAL ORPERSONAL, WHICH WILL BE LEASEDTO PUBLIC OR PRIVATE ENTITlES BYTHE LOCAL GOVERNMENT;

(6) MAINTAIN AND SUPERVISEJANITORIAL, SECURITY, LANDSCAPING AND OTHER RELATED SERVICESIN ALL LOCAL GOVERNMENT PUBLICBUILDINGS AND OTHER REALPROPERTY, WHETHER OWNED ORLEASED BY THE LOCAL GOVERNMENTUNIT;

(7) COLLATE AND DISSEMINATEINFORMATION REGARDING PRICES,SHIPPING AND OTHER COSTS OFSUPPLIES AND OTHER ITEMSCOMMONLY USED BY THE LOCALGOVERNMENT UNIT;

(8) PERFORM ARCHIVAL ANDRECORD MANAGEMENT WITHRESPECT TO RECORDS OF OFFICESAND DEPARTMENTS OF THE LOCALGOVERNMENT UNIT;

(9 ) PERFORM ALL OTHERFUNCTIONS PERTAINING TO SUPPLYAND PROPERTY MANAGEMENTHERETOFORE PERFORMED BY THELOCAL GOVERNMENT TREASURER,AND ENFORCE POLICIES ONRECORDS CREATION, MAINTENANCEAND DISPOSAL;"

Th e succeeding subsections wererenumbered accordingly.

23. Section 40 ofHBN 4730, as amended by theSenate, was adopted as Section 40 of thereconciled bill with the following amendments:c. After Section 40(c)(2), the following

subsections were inserted:"(3) ESTABLISH, MAINTAIN,

PROTECT AND PRESERVE COMMUNAL FOREST, WATERSHEDS, TREEPARKS, MANGROVES, GREENBELTSAND SIMILAR FOREST PROJECTSAND COMMERCIAL FOREST, LIKEINDUSTRIAL TREE FARMS ANDAGRO-FORESTRY PROJECTS;

955


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956

(4) PROVIDE EXTENSION SERVICES TO BENEFICIARIES OF FORESTDEVELOPMENT PROJECTS AND TECH-NICAL, FINANCIAL AND INFRASTRUCTURE ASSISTANCE;

(5) MANAGE AND MAINTAINSEED BANKS AND PRODUCE SEEDLINGS FOR FOREST AND TREEPARKS;

(6) PROVIDE EXTENSION SERVICES TO BENEFICIARIES OF FORESTDEVELOPMENT PROJECTS ANDRENDER ASSISTANCE FOR NATURALRESOURCES-RELATED CONSERVATION AND UTILIZATION ACTIVITIESCONSISTENT WITH ECOLOGICALBALANCE;

(7) PROMOTE THE SMALL SCALEMINING AND UTILIZATION OFMINERAL RESOURCES, PARTICULARL Y MINING OF GOLD;

(8) COORDINATE WITH GOVERNMENT AGENCIFS AND NONGOVERNMENTAL ORGANIZATIONS IN THEIMPLEMENTATION OF MEASURESTO PREVENT AND CONTROL LAND,AIR AND WATER POLLUTION WITHTHE ASSISTANCE OF THE DEPARTMENT OF ENVIRONMENT ANDNATURAL RESOURCES;"

d. The succeeding subsections wererenumbered accordingly;

24. Section 41 of HBN 4730, as amended by theSenate, was adopted as Section 41 of thereconciled bill with the following amendments:c. After Section 4 I (c)(2), the following

subsections were inserted:"(3) PREP ARE AND RECOMMEND

FOR CONSIDERATION OF TH ESANGGUNIAN THE ARCHITECTURALPLAN AND DESIGN FOR THE LOCALGOVERNMENT UNIT OR A PARTTHEREOF, INCLUDING THE RENEWALOF SLUMS AND BLIGHTED AREAS,LAND RECLAMATION ACTIVITIES,THE GREENING OF LAND ANDAPPROPRIATE PLANNING OFMARINE AND FORESHORE AREAS;

(4) REVIEW AND RECOMMENDFOR APPROPRIATE ACTION OF THESANGGUNIAN OR THE CITY MAYOR,THE ARCHITECTURAL PLANS ANDDESIGN SUBMITTED BY GOVERN-


MENTAL AND NONGOVERNMENTALENTITIES OR INDIVIDUALS, PARTICULARLY THOSE FORUNDEVELOPED,UNDERDEVELOPED AND POORLYDESIGNED AREAS;

(5) COORDINATE WITH GOVERNMENT AND NONGOVERNMENTENTITIES AND INDIVIDUALSINVOLVED IN THE AESTHETICS ANDMAXIMUM UTILIZATION OF THELAND AND WATER WITHIN THEJURISDICTION OF THE GOVERNMENTUNIT, COMPATIBLE WITH THEENVIRONMENTAL INTEGRITY ANDECOLOGICAL BALANCE;"

d. Th e succeeding subsections wererenumbered accordingly;

25. Section 42 of HBN 4730, as amended by theSenate, was adopted as Section 42 of thereconciled bill with the following amendments:d. On Section 42 (a) the word and figure

"five (5)" was deleted and in lieu thereofthe word and figure "THREE (3)" wasinserted after the phrase "for at least";

e. After Section 42(c)(2), the followingsubsections were inserted:

"(3) PROVIDE RELEVANT, ADEQUATE AND TIMELY INFORMATIONTO THE LOCAL GOVERNMENT UNITAND ITS RESIDENTS;

(4) FURNISH INFORMATION ANDDATA ON LOCAL GOVERNMENTUNITS TO GOVERNMENT AGENCIESOR OFFICES AS MAY BE REQUIREDBY LAW OR ORDINANCE; AND NONGOVERNMENTAL ORGANIZATIONSTO BE FURNISHED TO SAIDAGENCIES AND ORGANIZATIONS;

(5) MAINTAIN EFFECTIVE LIAISONWITH THE VARIOUS SECTORS OF THECOMMUNITY ON MATTERS ANDISSUES THAT AFFECT THE LIVELIHOOD AND THE QUALITY OF LIFEOF THE INHABITANTS AND ENCOURAGE SUPPORT FOR PROGRAMS OFTHE LOCAL AND NATIONALGOVERNMENT;"

f. The succeeding subsections wererenumbered accordingly.

26. Section 43 of HBN 4730, as amended by theSenate, was adopted as Section 43 of thereconciled bill with the following amendments:


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c, After Section 43(c)(2), the followingsubsections were inserted:

"(3) ASSIST IN THE ORGANIZA-TION OF COOPERATIVES;

(4) PROVIDE TECHNICAL ANDOTHER FORMS OF ASSISTANCE TOEXISTING COOPERATIVES TOENHANCE THEIR VIABILITY AS ANECONOMIC ENTERPRISE AND SOCIALORGANIZATION;

(5) ASSIST COOPERATIVES INESTABLISHING LINKAGES WITHGOVERNMENT AGENCIES ANDNONGOVERNMENT ORGANIZATIONSINVOLVED IN THE PROMOTION ANDINTEGRATION OF THE CONCEPT OFCOOPERATIVES IN THE LIVELIHOODOF THE PEOPLE AND OTHERCOMMUNITY ACTIVITIES;"

d, The succeeding subsections wererenumbered accordingly,

27, Section 44 of HBN 4730, as amended by theSenate, was adopted as Section 44 of thereconciled bill with the following amendments:c, After Section 44(c )(2), the following

subsections were inserted:"(3) ASSIST THE CITY MAYOR,

IN THE IMPLEMENTATION OF THECONSTITUTIONAL PROVISIONSRELATIVE TO POPULATION DEVELOP-MENT AND THE PROMOTION OFRESPONSIBLE PARENTHOO D;

(4) ESTABLISH AND MAINTAINAN UPDATED DATA BANK FORPROGRAM OPERATIONS, DEVELOP-MENT PLANNING AND AN EDUCA-TIONAL PROGRAM TO ENSURE THEPEOPLE'S PARTICIPATION INUNDERSTANDING OF POPULATIONDEVELOPMENT;

(5) IMPLEMENT APPROPRIATETRAINING PROGRAMS RESPONSIVETO THE CULTURAL HERITAGE OFTHE INHABITANTS;"

d, The succeeding subsections wererenumbered accordingly,28, Sections 45, 46, 47, 48, 49, 50, 5 1,52,53, 54,

55, 56, 57, 58, 59, 60 and 61 ofthe House andSenate versions which are the same, wereamended and adopted as Sections 45, 46, 47,48,49, 51,52, 53, 54, 55, 56, 57,58, 59,60and 61 of the reconciled bilL

In case of conflict between the statementslamendments stated in this Joint Explanation andthat of the provisions of the consolidated bill inthe accompanying Bicameral ConferenceCommittee Report, the provisions of the lattershall prevail,

APPROVAL OF THE CONFERENCECOMMITTEE REPORT

957

Submitted to a vote, there being no objection,the Conference Committee Report on House BillNo, 4730 was approved by the Body,REQUEST OF SENATOR SOTTO

Senator Sotto asked that the Senate Secretariatbe 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 BilLCOMMITTEE REPORT NO. 56ON SENATE BILL NO. 2965

(Continuation)Upon motion of Senator Sotto, there being no

objection, the Body resumed consideration, on SecondReading, of Senate Bill No, 2965 (Committee ReportNo, 56), entitled

AN AC T PROTECTING INDIVIDUALPERSONAL INFORMATION ININFORMATION AND COMMUNICA-TIONS SYSTEMS IN TH E GOVERN-MENT AND TH E PRIVATE SECTOR,CREATING FO R THIS PURPOSE ANATIONAL DATA PROTECTIONCOMMISSION, AND FO R OTHERPURPOSES,

Senator Sotto stated that the parliamentary statuswas the period of interpellations,

Thereupon, the Chair recognized Senator Angara,Sponsor of the measure,REMARKS OF SENATOR ANGARA

Preliminarily, Senator Angara stated that theData Privacy bill is the third and last of a series ofbills that the Committee on Science and Technologyhas proposed on behalfof Senators Trillanes, DefensorSantiago, Lapid and Villar, the bill's coauthors, Hesaid that the first bill, the Cybercrime Law, was


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recently passed on Third Reading by the Senate; whilethe second bill, creating the Department of Informationand Communications Technology, was approved onSecond Reading in yesterday's session. He believedthat put together, the three bills would bolster andstrengthen the Philippines' position in IT and BPO.Presently, Senator Angara stated that the Philippines is number one in voice call centers and with thebill, it would not be an impossible dream to becomenumber one in data processing. He asserted that thecountry can go into higher IT services like engineering, finance, accounting, health, health care and otherservices if it has a protective environment forinvestment.In addition, Senator Angara stated that thecountry is currently generating US$9 billion in earnings

from the IT-BPO industry and he predicted thatthis revenue stream can jump to US$25 billion whileemployment can climb from one million to fourmillion in four years' time.In a period where the Philippines is experiencingtremendous loss of obs and lack of income, SenatorAngara said, the bill is a welcome developmentbecause it can become the saving grace of thecountry's economy. He said that the growth of theindustry could begin in the Cordilleras in the north

and roll down south, creating a virtuous cycle ofgrowth and development. The Philippines, heemphasized, must seize the opportunity.The lack of data protection law, Senator Angarabemoaned, is one of the biggest disincentives forinvestment in the IT-BPO industry but he believedthat the bill will fill the gap and the country will beable to seize the opportunity for ICT globally.

INTERPELLATON OF SENATOR OSMENASenator Osmefia asked on the difference betweenthe Cybercrime Law, which the Senate recentlypassed on Third Reading, and the Data PrivacyProtection Act. In reply, Senator Angara explainedthat the Cybercrime Law defines and enumeratesthe acts committed through the use or abuse of theinternet or computer that amounts to crimes, whilethe Data Privacy Protection Law seeks to protectany information that a person may provide IToperators. He stated that while the former promotes

internet freedom, the latter upholds the privacy ofinformation that each citizen will provide.


Senator Osmefia observed that the bill seeks tolimit the type of data that are available to severalinstitutions and sectors to protect the privacy ofindividuals. Agreeing thereto, Senator Angara statedthat e-commerce is growing fast as shown in anarticle he read recently that e-sales in the UnitedStates during the Christmas season was bigger thanthe physical shopping. He explained that an e-shoppergives his/her credit card number and other informationto the provider and the bill intends to protect theintegrity of that kind of data.

Senator Osmefia noted that the Credit InformationSystems Act (ClSA) provides that the banking systemshall have access to data of individual customers andborrowers with their consent. But he pointed out thatthe problem of asking for consent is that it slowsdown the process so much so that the bankingsystem is overwhelmed. He said that in the UnitedStates, the credit history of borrowers, be it GeneralMotors or John Smith, is readily available and itmakes it easy for banks to cross-check if he borrowerhas reached his limit.Asked if the CISA was taken into considerationin the crafting of the bill, Senator Angara replied inthe affirmative. However, he stated that in the case

of CISA, the data provided by an individual to abank gets incorporated into its records and it has tobe made available to the entire banking system. Heexplained that it would be to a depositor's advantageif he/she is an existing depositor in one bank andopens another account in a different bank becausehis/her private information and credit history willbe made available, he/she will not have a problemapplying for a loan because he/she would not beasked for too much collateral, the time of processingwill be faster and perhaps he/she could be given alower interest rate.

Senator Angara clarified that the bill intends toprotect the credit information provided by the individualto the bank under ClSA. But, he stressed, the bankcannot just simply reveal that information to anyoneunless it complies with the conditions for disclosureunder the bill.

On the matter of banking efficiency, SenatorOsmefia presented the following example: he goes toPNB for a loan and it inquires into his credit historybut while he informs the PNB of an outstanding loanfrom BPI, he does not tell it of his outstanding loansfrom China Bank and BDO; because of the Data


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Privacy Act, the PNB becomes hesitant and morecareful in granting the loan, He believed that underthe automatic reporting system in the CISA, it wouldbe easy for member-banks in the system to knowexactly how much a client has borrowed, He reasonedthat because of the accuracy of the system, it wouldbe easier for the bank to do a credit evaluation ofthe client.

As regards credit cards, Senator Osmeftaobserved that there are instances when creditcards are just mailed out to clients and some of themcan own as many as seven to ten credit cards butthe bank has no way of cross-checking properly,He expressed concern that suppressing informationon a credit card applicant will diminish the faithfulevaluation of his/her creditworthiness, He said thatif the creditworthiness is diminished, banks tend toincrease the interest on consumers because theyknow the chances of default will be much bigger.Moreover, he maintained that the banks will takethe risk of earmarking a 20% default rate insteadof 5% but they will pop-up their interest rate.

Senator Angara stated that the Committee hasbeen urging the Central Bank, the SEC and the DOFto implement the CISA that has not been implementedup to now. Its implementation, he said, would lessenthe delay and lack of credit information.

Senator Osmefta conceded that the problem ISpolitical and it has nothing to do with the law.Asked what personal data are unprotected underthe present law, Senator Angara stated that almostall data in cyberspace, regardless of whether theyare linked locally or based abroad, are currentlyunprotected by Phi lippine laws. He believed that withthe passage of the bill, all data will be protected bethey in the Philippines or abroad.But Senator Osmefta expressed doubt it can bedone, noting that the Philippines has no jurisdictionabroad. He presumed that the law would give certaincountries strict access to the data.Senator Angara explained that any informationthat leads to a person's identification will be protectedunder the bill, although it provides for certainexceptions like in matters of national security and incase 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 theinformation on a person's health would have animpact on his/her credit capability. He stated thatif a person has only three years to live and at thesame time engages in a 10-year housing loan, thebank would surely want to know who his/herbeneficiaries are.

Senator Angara stated that the present bankingpractice is more like pawnshop operation. In terms ofbusiness loan, he stated that it would be easierbecause it is institutionalized. He said that the bankslook at institutions rather than at individuals.At this juncture, Senator Osmefta requested amatrix on the level of data protection in other countriesand the proposed level of protection in the Philippines.Senator Osmefia agreed that people should begiven a certain level of protection. Senator Angarapointed out that the standards in the bill were alignedwith international standards.As a final point, Senator Osmefia said that hisconcern 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 itwould be automatic at a certain level.

SUSPENSION OF SESSIONUpon the motion of Senator Sotto, the sessionwas suspended.It was 11:06 a.m.

RESUMPTION OF SESSIONAt 11 :06 a.m., the session was resumed.

SUSPENSION OF CONSIDERATIONOF SENATE BILL NO, 2965Upon motion of Senator Sotto, there being noobjection, the Body suspended consideration ofthe bill.

COMMITTEE REPORT NO . 91 ONPROPOSED SENATE RESOLUTION NO. 663(Continuation)

Upon motion of Senator Sotto, there being noobjection, the Body resumed consideration, on Second


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960Reading, of Proposed Senate Resolution No. 663(Committee Report No. 91), entitled

RESOLUTION CONCURRING IN THERATIFICATION OF THE PROTOCOLADDITIONAL TO THE GENEVACONVENTION OF 12 AUGUST 1949,AND RELATING TO THE PROTEC-TION OF VICTIMS OF iNTER-NATIONAL ARMED CONFLICTS(PROTOCOL I).

Senator Sotto stated that the parliamentary statuswas the period of interpellations.TERMINATION OF THE PERIODOF INTERPELLATIONS

There being no interpellation, upon motion ofSenator Sotto, there being no objection, the Bodyclosed the period of interpellations and proceeded tothe period of amendments.TERMINATION OF THE PERIODOF AMENDMENTS

There being no committee and individual amend-ment, upon motion of Senator Sotto, there being noobjection, the Body closed the period of amendments.APPROVAL OF PROPOSEDSENATE RESOLUTION NO. 663ON SECOND READING

Submitted to a vote, there being no objection,Proposed Senate Resolution No. 663 was approvedon Second Reading.SUSPENSION OF CONSIDERATION OFPROPOSED SENATE RESOLUTION NO. 663

Upon motion of Senator Sotto, there being noobjection, the Body suspended consideration of theresolution.COMMITTEE REPORT NO. 92 ONPROPOSED SENATE RESOLUTION NO. 664

(Continuation)Upon motion of Senator Satta, there being noobjection, the Body resumed consideration, on Second

Reading, of Proposed Senate Resolution No. 664(Committee Report No. 92), entitled


RESOLUTION CONCURRING IN THEACCESSION TO THE OPTIONALPROTOCOL TO THE CONVENTIONAGAINST TORTURE AND OTHERCRUEL, INHUMAN OR DEGRADINGTREATMENT OR PUNiSHMENT.

Senator Sotto stated that the parliamentary statuswas the period of interpellations.TERMINATION OF THE PERIODOF INTERPELLATIONS

There being no interpellation, upon motion ofSenator Sotto, there being no objection, the Bodyclosed the period of interpellations and proceeded tothe period of amendments.TERMINATION OF THE PERIODOF AMENDMENTS

There being no committee and individualamendment, upon motion of Senator Sotto, therebeing no obj ection, the Body closed the period ofamendments.APPROVAL OF PROPOSEDSENATE RESOLUTION NO. 664ON SECOND READING

Submitted to a vote, there being no objection,Proposed Senate Resolution No. 664 was approvedon Second Reading.SUSPENSION OF CONSIDERATION OFPROPOSED SENATE RESOLUTION NO. 664

Upon motion of Senator Sotto, there being noobjection, the Body suspended consideration of theresolution.SUSPENSION OF SESSION

Upon motion of Senator Legarda, the sessionwas suspended.It was 11:11 a.m.

RESUMPTION OF SESSIONAt 11: 12 a.m., the session was resumed with

Senate President Pro Tempore Ejercito Estradapresiding.


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ADDITIONAL REFERENCE OF BUSINESSThe Deputy Secretary for Legislation, Atty. Edwin

B. Bellen, read the following matters and the Chairmade the corresponding referrals:

MESSAGE FROM THEHOUSE OF REPRESENTATIVESLetter from the House of Representatives, informing

the Senate that on 24 January 2012, the Houseof Representatives passed the following Housebills in which it requested the concurrence of theSenate:House Bill No. 5574, entitledAN ACT GRANTING THE TELECOM

MUNICATIONS TECHNOLOGYSOLUTIONS, INC. A FRANCHISETO CONSTRUCT, INSTALL, ESTABLISH, OPERATE AND MAINTAINTELECOMMUNICATIONS SYSTEMSTHROUGHOUT THE PHILIPPINES,

and House Bill No. 5613, entitledAN ACT AMENDING THE FRANCHISE

OF WI-TRIBE TELECOMS, INC.,(FORMERLY LIBERTY BROADCASTING NETWORK, INCORPORATED)GRANTED UNDER REPUBLIC ACTNO. 1553, AS AMENDED BY REPUBLICACT N. 4154, AND RENEWINGIEXTENDING THE TERM THEREOFFOR ANOTHER TWENTY-FIVE (25)YEARS FROM THE DATE OF THEEFFECTIVITY OF THIS ACT.

To the Committee on Pnblic ServicesBILL ON FIRST READING

Senate Bill No. 31 17, entitledAN ACT FURTHER AUTHORIZING THE

CITY OR MUNICIPAL CIVILREGISTRAR OR THE CONSULGENERAL TO CORRECT CLERICALOR TYPOGRAPHICAL ERROR INTHE DATE OF BIRTH OR SEX OF APERSON APPEARING IN THE CIVILREGISTER WITHOUT NEED OF A

JUDICIAL ORDER, AMENDING FORTHE PURPOSE THE PERTINENTPROVISIONS OF REPUBLIC ACTNO. 9048

Introduced by Senator Villar

961

To the Committee on Justice and HumanRights

RESOLUTIONSProposed Senate Resolution No. 706, entitled

RESOLUTION URGING THE COMMITTEES ON HEALTH AND DEMOGRAPHY; AND LABOR, EMPLOYMENT AND HUMAN RESOURCESDEVELOPMENT TO CONDUCTAN INQUIRY, IN AID OF LEGISLATION, ON THE 167% REPORTEDINCREASE IN THE PREMIUMCONTRIBUTIONS IMPOSED TOPHILHEAL TH OFW-MEMBERS ASEMBODIED IN CIRCULAR 22SERIES OF 2011, WITH THE END INVIEW OF REMOVING APPARENTUNNECESSARY BURDEN ANDIMPROVING THE PLIGHT OF OFWMEMBERS

Introduced by Senator VillarTo the Committees on Government Corporations and Public Enterprises; and Health

and DemographyProposed Senate Resolution No. 707, entitled

RESOLUTION DIRECTING THE SENATECOMMITTEE ON AGRICULTUREAND FOOD AND THE COMMITTEEON TRADE AND COMMERCE TOCONDUCT A STUDY, IN AID OFLEGISLATION, ON THE APPROPRIA TENESS OF THE PLANNEDEXPORT OF EXOTIC PHILIPPINEBIRDS WITH THE END IN VIEWOF ENSURING THE PROTECTIONOF ENDANGERED BIRD SPECIESBY STRIKING A BALANCE BETWEEN TRADE AND CONSERVA-TION


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962

Introduced by Senator VillarTo the Committees on Environment and

Natural Resources; and Agriculture and FoodCOMMITTEE REPORTS

Committee Report No, 123, prepared and submittedjointly by the Committees on Banks, FinancialInstitutions and Currencies; Public Order andDangerous Drugs; and Justice and HumanRights, on Senate Bill No, 31 J8, with SenatorsAngara, Osmeiia 1lI, Guingona III, Honasan IIand Escudero as authors thereof, entitledAN ACT DEFINING THE CRIME OFFINANCING OF TERRORISM,

PROVIDING PENALTIES THEREFORAND FOR OTHER PURPOSES,recommending its approval in substitution ofSenate Bill No, 2676,Sponsors: Senators Osmeiia III and Guingona III

To the Calendar for Ordinary BusinessCommittee Report No, 124, prepared and submittedby the Committee on Foreign Relations, on

Proposed Senate Resolution No, 708, entitledRESOLUTION CONCURRING IN THERATIFICATION OF THE AGREEMENT BETWEEN THE GOVERNMENT OF THE REPUBLIC OF THEPHILIPPINES AND THE INTERNATIONAL CENTER FOR LIVINGAQUA TIC RESOURCES MANAGEMENT (ICLARM) TO ESTABLISHTHE OFFICE OF THE WORLDFISH

CENTER IN THE PHILIPPINES,recommending its approval without amendment,Sponsor: Senator Legarda

To the Calendar for Ordinary BusinessCOMMITTEE REPORT NO. 49ON SENATE BILL NO. 2865

(Continuation)Upon motion of Senator Sotto, there being no


objection, the Body resumed consideration, on SecondReading, of Senate Bill No. 2865 (Committee ReportNo. 49), entitled

AN ACT PROVIDING FOR A NATIONALPOLICY ON REPRODUCTIVEHEALTH AND POPULATION ANDDEVELOPMENT.

Senator Sotto stated that the parliamentary statuswas still the period of interpellations.Thereupon, the Chair recognized SenatorCayetano (P), sponsor of the measure, and SenatorLegarda for the continuation of her interpellations.

ANNOUNCEMENT OF SENATOR SOTTOSenator Sotto stated that the caucus called bythe Senate President has been moved to 12 o'clocknoon to accommodate the interpellations on the

RH bill.Senator Cayetano (P) recalled that SenatorLegarda had only one topic left to take up in herinterpellation. Senator Legarda assured the Body thatshe did not intend to prolong the interpellations,saying that she wanted to enhance the measure andseek clarification on controversial and vague issues.

INTERPELLATION OF SENATOR LEGARDA(Continuation)At the onset, Senator Cayetano (P) stated forthe record her answers to questions raised by SenatorLegarda in her previous interpellation.On the Asian countries that include contraceptives 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 countryto-country, noting that East Timor, a Catholic country,has an even more expanded list than the Philippines.She mentioned that while contraceptives cannot beincluded in the Philippine Drug Formulary sincecondoms and IUDs technically fall under "devices,"after conferring with the DOH and FDA, the samewould be included in the list under the correctclassification.

As regards the process of the World HealthOrganization (WHO) in recommending and updating


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essential drugs, Senator Cayetano (P) stated that themodel list is updated every two years by the WHOExpert Committee on the Selection and Use ofEssential Drugs, made up of eight to 12 membersfrom the WHO Expert Advisory Panel. She thenenumerated the process, to wit: The Expert Committee holds private meetingswhere members are required to declare anyinterest; Patient advocacy groups and representatives ofthe health care industry are invited to commenton the application and draft recommendation tobe submitted to the Secretary of the ExpertCommittee for review; and The final list would be the model list subject forreview after two years.

She said that Senator Legarda would also begiven a copy of the document.Lastly, on the process of drafting the PhilippineNational Drug Formulary, Senator Cayetano (P)explained that the National Drug Formulary definesthe core list and the complementary list, considersvarious inputs (i.e. Philippine health statistics, WHOessential drug list, DOH formulary, primary, secondaryand tertiary health care levels, and others), consults

with resource persons, and evaluates recommendations. She added that the list is reviewed quarterlyand updated annually and said document would beforwarded to Senator LegardaSenator Legarda said that she has received theEssential Medicine List and asked for the otherdocuments. Since she needed time to study thedocuments, she requested an additional day to continueher interpellation. Senator Cayetano (P) agreed. Shesaid 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 thatthe NDIC still exists but it is not part of the PhilippineNational Drug Formulary.Asked on the difference in the mandates of thetwo entities, Senator Cayetano (P) replied that theresponsibility to conduct the review of the list ofmedicines and to make the final decision as to which

medicines may be included in the essential list belongsalone to the Philippine National Drug Formulary,

963actually the National Formulary Committee, whichis under the DOH; on the other hand, the NDIC,which is affiliated with the University of the Philippines, is just one of the groups of experts consultedon the RH bill.

Senator Legarda asked on the composition ofthe National Formulary Committee; the mannerof appointing its members, their term, and theircompetence; and whether pharmaceutical companies,NGOs, civil society, or women's groups are actuallyinvolved in the decision-making process. She alsorequested that the Committee present an example ofone medicine that was deleted from the list and anexample of one medicine that was included, includingthe rationale for the deletion or inclusion, as well asthe consultations undertaken relative thereto. SenatorCayetano (P) said that she would provide SenatorLegarda the information at the proper time.

Asked on the employment status of the presidentof the National Formulary Committee, SenatorCayetano (P) said that the president is neither agovernment employee nor an official of the DOH.For a clearer understanding of the workings of theCommittee, Senator Legarda proposed a meetingwith its officials. In response, Senator Cayetano (P)said that she would provide Senator Legardathe requested information as soon as it becomesavailable.

On another matter, Senator Legarda recalledthat during her last interpellation on the measure, itwas mentioned that the current level of healthexpenditure in the country is only 3.2% of GDPbased on 2007 figures, while the WHO recommendsthat it be at least 5%. She asked how the Philippinehealth expenditures have fared compared to those ofother countries, In reply, Senator Cayetano (P) saidthat based on the 2010 figures of the WHO, the totalhealth expenditures as a percentage of GDP were asfollows: 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 expensesor expenses that people make on their own, or theamount of money that goes into health care regardlessof where it comes from. She further confirmed thatin socialist countries, the government expenditureson health care are much bigger, as she also notedthe strong move towards a more socialized healthcare in the United States.


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Asked if these supplies are included as essentialmedicines in other countries, Senator Cayetano (P)confirmed they are, noting that East Timor andBangladesh have a more expanded list than thePhilippines.

Senator Legarda noted that the 3% of GDPallocation for health care is clearly too low and sheasked whether the inclusion of condoms and IUDsas part of essential medicines would necessarilycompete for a share of the very limited resourcegiven that it is also intended for essential medicinesfor heart diseases, cancer, tuberculosis and respiratoryailments which are all killer diseases and are amongthe top ten causes of mortality in the country.Senator Cayetano (P) answered in the affirmative,noting that many Filipinos who live below the povertyline and even those in the middle class can barelyafford to pay for their maintenance drugs such thatmore attention should be given to the spendingcapacity of every family. She revealed that based onstatistics, many families opt to have a smaller familysize to ensure their children three square meals aday, adding they cannot even afford to bring theirsick children to a far-flung barangay center or hospitalfor treatment. To illustrate, assuming that PI millionis allocated for health care, she said that if distributedto 10 million children, each child would be entitled toonly ten centavos, whereas, if parents would be giventhe power to plan their families wisely and effectivelyby equipping them with the proper information, therewould only be one million children instead of 10 million,in which case, each child stands to receive P I forhealth care instead of ten centavos. She added thatin the study she made, diabetes emerged as the killerdisease that plagues the Philippines and many othercountries, and even poor families suffer from it becauseof poor information and access to nutritious food. Sheasked whether one peso is better than ten centavosper child for health care since the same would beprovided to him/her for the rest of his/her life.

For clarification, Senator Legarda asked whetherit was correct to say that even if only 3% of theGDP is allotted for health care, the purchase ofcondoms, IUDs and other hormonal contraceptives. s justified since it would effectively limit the numberof family members and allow poor communities tohave access to information, devices and contraceptives. Senator Cayetano (P) answered in the affirmative as she underscored that it was simply a questionof whether the 3% would be distributed amongten million or one million children. She stressed thatreproductive health budgeting is as important as any

965other, if not more important, adding that there is aworld of difference between a family that has completeaccess to health care and a family that does not. Sheunderscored the importance of considering thenutritional intake of a child, the regular preventivevaccinations and the regular intake of necessaryvitamins, as well as ensuring that the child does notsuccumb to anything that is easily preventable.

Moreover, Senator Cayetano (P) stated that thefigure for reproductive health care includes themillions of pesos spent for hospitalization because ofabortion complications or unintended pregnanciesthat can be addressed with proper information. Sheemphasized that with the simple information on theuse of condom or any other contraceptive device,a woman would no longer be put in a situation whereshe would be compelled to choose an abortion thatexposes her to complications, or rushed to the hospitalwhere she stands to lose income to hospital andrelated expenses.

At this juncture Senator Legarda suspendedher interpellation, manifesting that her further questions would focus on the matter of financing theRH bill and the comparison of the Philippine essentialmedicine list vis-a-vis other Asian countries.

Senator Cayetano (P) agreed, asking that theRH bill be put on top of the agenda in the nextsession day.SUSPENSION OF CONSIDERATIONOF SENATE BILL NO. 2865

Upon motion of Senator Sotto, there being noobjection, the Body suspended consideration ofthe bill.ADJOURNMENT OF SESSION

Upon motion of Senator Sotto, there being noobjection, the President Pro Tempore declared thesession adjourned until nine o'clock in the morning ofTuesday, February 14,2012.

It was II:55 a.mI hereby certify toforegoing.

EMMA LlRIO RE ES .Secretary of the Senate. /M ,.. IJhApproved 011 February 14, 2012

senate journal session proceedings – 15th congress second regular session (february 8 2012)

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