FOURTEENTH CONGRESS OF THE REPUBLIC 
) 
First Regular Session 
) 
OF THE PHILIPPINES 
1 
7 jut. -3 n s s 9  
S E N A T E  
RECEIVED BY : 
Senate Bill No. 6 5 7 
INTRODUCED BY SEN. JINGGOY EJERCITO ESTRADA 
EXPLANATORY NOTE 
The Constitution, Article XII, Section 12 provides: 
“The State shall promote the preferential use of Filipino 
labor, domestic materials and locally produced goods, and adopt 
measures that help make them competitive”. 
The Government must promote and encourage the use of Philippine made 
products, materials and supplies in every contract for the construction, alteration 
or repair of any public building or public work. 
This bill seeks to achieve such goal by blacklisting contractors, 
subcontractors, materialmen and suppliers who fail to comply with such 
requirements. 
Therefore, urgent passage of this bill is highly recommended. 
DA 


FOURTEENTH CONGRESS OF THE REPUBLIC 
) 
OF THE PHILIPPINES 
) 
7 JUL -3 n5:59 
First Regular Session 
) 
c 
S E N A T E  
IIECEFIEI) @Y :--f/- 
Senate Bill No. 
6 57 
INTRODUCED BY SEN. JINGGOY EJERCITO ESTRADA 
AN ACT 
REQUIRING THE USE OF PHILIPPINE MADE MATERIALS IN CONTRACTS 
OF CONTRACTORS VIOLATING SUCH REQUIREMENT 
FOR PUBLIC WORKS AND PROVIDING FOR THE BLACKLISTING 
Be it enacted by the Senate and House of Representatives of fhe Philippines in 
Congress assembled: 
SECTION 1. Short Title. This Act may be cited as “Preference for 
Philippine Materials in Public Contracts Act. 
SECTION 2. 
Declaration of Policy. - It is the policy of the State to 
promote the use of Philippine made products by requiring the use of Philippine 
made materials in contracts for the construction, alteration or repair of any public 
works. 
SECTION 3. 
Definition of Terms. - As used in this Act: 
(A) The terms “contractor” and “subcontractor” include any person 
performing any architectural, engineering, or other services directly 
related to the preparation for or performance of the construction, 
alteration or 
repair of any public works in the Republic of the 
Philippines. 
SECTION 4. 
Requirement for the Philippine Materials. - Every 
contract for the construction, alteration or repair of any public building or public 
work in the Republic of the Philippines growing out of an appropriation heretofore 
made or hereafter to be made shall contain a provision that in the performance of 
the work the contractor, subcontractors, materialmen or suppliers, shall use only 
such unmanufactured articles, materials and supplies as have been produced in 
the Republic of the Philippines, and only such manufactured articles, materials, 
and supplies as have been manufactured in the Republic of the Philippines 
substantially all from articles, materials or supplies mined, produced or 
manufactured, as the case may be, in the Republic of the Philippines: Provided, 
however, That if the head of the Government agency making the contract shall 


, 
find that in respect to some particular articles, materials, or supplies it is 
impracticable to make such requirement or that it would unreasonably increase 
the cost, an exception shall be noted in the specification as to that particular 
article, material or supply and a public record made of the findings which justified 
the exception. 
SECTION 5. Blacklisting. - If the head of the government agency which 
has made any contract containing the provision required by Section 4 of this Act 
finds that in the performance of such contract there has been a failure to comply 
with such provisions, he shall make public his findings, including therein the 
name of the contractor obligated under such contract, and no other contract for 
the construction, alteration or repair of any public building or public work in the 
Republic of the Philippines or elsewhere shall be awarded to such contractor, 
subcontractors, materialmen or supplies with which such contractor is associated 
or affiliated, within a period of three years after such finding is made public. 
SECTION 6. Separability Clause. - If any provision or part hereof, is 
held invalid or unconstitutional, the remainder of the law or the provision not 
otherwise affected shall remain valid and subsisting. 
SECTION 7. 
Repealing Clause. - Any law, presidential decree or 
issuance, executive order, letter of instruction, administrative order, rule or 
regulation contrary to;or 
inconsistent with, the provisions of this Act is hereby 
repealed, modified or amended accordingly. 
SECTION 8. Effectivity Clause. - This Act shall take effect fifteen (15) 
days after its publication in at least two (2) newspapers of general circulation. 
Approved,