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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

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SEVENTEENTH CONGRESS
Second Regular Session

House Bill No.6953

Introduced by Representative GLORIA MACAPAGAL ARROYO

AN ACT RENEWING THE FRANCHISE GRANTED TO RAJAH BROADCASTING
NETWORK, INC. TO CONSTRUCT, INSTALL, ESTABLISH, OPERATE AND
MAINTAIN RADIO AND TELEVISION BROADCASTING STATIONS IN THE

PHILIPPINES UNDER REPUBLIC ACT NUMBERED EIGHTY-ONE HUNDRED AND
FOUR FOR ANOTHER

EXPLANATORY NOTE

This bill seeks to renew the franchise granted to Rajah Broadcasting Network, Inc.
under Republic Act 8104 which took effect last July 9, 1995. This franchise term was for
twenty-five (25) years. Even before the passage of R.A. 8104, Rajah Broadcasting
Network, Inc. was originally granted a franchise to operate for twenty-five (25) years

The grantee, for almost fifty years, has demonstrated their unqualified support to the
ideals and policies of good government and has managed to maintain a well-balanced
programming in the advocacy of truth, honesty and integrity. With its standard of
excellence, the station never stops improving, innovating and keeping its pace in terms
of program development and quality broadcasting

In view of the foregoing, passage of this bill is earnestly sought.

GLORIA MACAPAGAL ARROYO
2 District, Pampanga


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
Second Regular Session

House Bill No.

Introduced by Representative GLORIA MACAPAGAL ARROYO

AN ACT RENEWING THE FRANCHISE GRANTED TO RAJAH BROADCASTING
NETWORK, INC. TO CONSTRUCT, INSTALL, ESTABLISH, OPERATE AND
MAINTAIN RADIO AND TELEVISION BROADCASTING STATIONS IN THE

PHILIPPINES UNDER REPUBLIC ACT NUMBERED EIGHTY-ONE HUNDRED AND.
FOUR FOR ANOTHER TWENTY FIVE (25) YEARS FROM THE DATE OF
EFFECTIVITY OF THIS ACT.

Be it enacted by the Senate and House of Representatives of the Philippines in
Congress assembled:

Section 1. Nature and Scope of the Franchise. — Subject to the provisions of
the 1987 Philippine Constitution and applicable laws, rules and regulations, the
franchise granted to Rajah Broadcasting Network, Inc., hereunder referred to as the
grantee, and/or its successors and assignees to construct, install, establish, operate
and maintain for commercial purposes and in the interest of the public, radio and/or
television broadcasting stations in the Philippines, where frequencies and/or channels
are still available or are assigned for radio and/or television broadcasting, including
digital television and/or radio systems, through microwave, satellite, or the use of any
new technologies in television and/or radio systems, with the corresponding
technological auxiliaries and/or facilities, special broadcast, and other program and
distribution services and relay stations, under Republic Act No. Eighty-One Hundred
and Four is hereby extended for another twenty five years (25) years from the date of
effectivity of this Act.

Section 2. Manner of Operation of Stations or Facilities. - The stations or
facilities of the grantee shall be constructed and operated in a manner as will, at most,
result only in the minimum interference on the wavelengths or frequencies of existing
stations or other stations which may be established by law, without in any way
diminishing its own right to use its selected wavelengths or frequencies and the quality
of transmission or reception thereon as should maximize rendition of the grantee’s
services and/or availability thereof.

Section 3. Prior Approval of the National Telecommunications Commission.
- The grantee shall secure from the National Telecommunications Commission (NTC)
the appropriate permits and licenses for the construction and operation of its stations
and facilities and shall not use any frequency in the radio/television spectrum without
having been authorized by the Commission. The Commission, however, shall not
unreasonably withhold or delay the grant of any such authority.

The grantee shall not dispose or lease its facilities except to entities with radio or
television franchise: Provided, That the grantee shall inform and secure written
authorization to proceed from the NTC, and report the transaction to the NTC within


sixty (60) days after its completion: Provided, further, That the NTC shall determine the
corresponding sanction for any violation of this provision.

Section 4. Responsibility to the Public. - The grantee shall provide
reasonable public service time to enable the Government, through the said
broadcasting stations, to reach the population on important public issues; provide at all
times sound and balanced programming; promote public participation such as in
community programming; assist in the functions of public information and education;
conform to the ethics of honest enterprise; and not use its stations for the broadcasting
of obscene and indecent language, speech, act or scene, or for the dissemination of
deliberately false information or willful misrepresentation, or to the detriment of the
Public interest, or to incite, encourage, or assist in subversive or treasonable acts.

Section 5. Right of Government. - The radio spectrum is a finite resource that
is part of the national patrimony and the use thereof is a privilege conferred upon the
grantee by the State and may be withdrawn anytime after due process.

A special right is hereby reserved to the President of the Philippines, in times of war,
rebellion, public peril, calamity, emergency, disaster or disturbance of peace and order,
to temporarily take over and operate the stations of the grantee, to temporarily suspend
the operation of any station in the interest of public safety, security and public welfare,
or to authorize the temporary use and operation thereof by any agency of the
Government, upon due compensation to the grantee, for the use of said stations during
the period when they shall be so operated.

Section 6. Term of Franchise. — This franchise shall be for a term of twenty-five
(25) years from the date of effectivity of this Act, unless sooner revoked or cancelled.

Section 7. Acceptance of Franchise. - Acceptance of the terms of this
franchise shall be given in writing to the Congress of the Philippines, through the
Committee on Legislative Franchises of the House of Representatives and the
Committee on Public Services of the Senate, within sixty (60) days from the effectivity of
this Act. Upon giving such acceptance, the grantee shall exercise the privileges granted
under this Act. Non-acceptance shall render the franchise void.

Section 8. Self-Regulation by and Undertaking of Grantee. - The grantee
shall not require any previous censorship of any speech, play, act or scene, or other
matter to be broadcast from its stations, but if any such speech, play, act or scene, or
other matter should constitute a violation of the law or infringement of a private right, the
grantee shall be free from any liability, civil or criminal, for such speech, play, act or
scene, or other matter: Provided, That the grantee, during any broadcast, shall cut off
from the air the speech, play, act or scene, or other matter being broadcast if the
tendency thereof is to propose and/or incite treason, rebellion or sedition; or the
language used therein or the theme thereof is indecent or immoral: Provided, further,
That willful failure to do so shall constitute a valid cause for the revocation and
cancellation of this franchise

Section 9. Warranty in Favor of National and Local Governments. - The
grantee shall hold the national, provincial, city, and municipal governments of the
Philippines free from all claims, liabilities, demands, or actions arising out of accidents,
causing injury to persons or damage to properties, during the construction or operation
of the stations of the grantee.

Section 10. Sale, Lease, Transfer, Usufruct, or Assignment of Franchise. -
The grantee shall not lease, transfer, grant the usufruct of, sell or assign this franchise
nor the rights and privileges acquired thereunder to any person, firm, company,
corporation or other commercial or legal entity, nor shall the controlling interest in the
grantee be transferred to any such private person, firm, company, corporation or entity
without the prior approval of the Congress of the Philippines. Any person or entity to


which this franchise is sold, transferred or assigned shall be subject to all the same
conditions, terms, restrictions and limitations of this Act.

Section 11. Equality Clause. - |n the event any entity, individual, partnership or
corporation, has received or shall receive from the Congress of the Republic of the
Philippines a similar broadcasting franchise, whether for radio and/or television,
including digital broadcasting through satellite, microwave or any new technology,
containing any term or terms more favorable than those herein granted or tending to
place the herein grantee at any disadvantage, then such term or terms shall ipso facto
become a part of the terms hereof and shall operate equally in favor of the grantee as in
the case of said competing individual, partnership or corporation

Except taxes and customs duties, any advantage, favor, privilege, exemption, or
immunity granted under existing franchises, or which may hereafter be granted for radio
and/or television broadcasting, upon prior review and approval of Congress, shall
become part of this franchise and shall be accorded immediately and unconditionally to
the herein grantee: Provided, That the foregoing shall neither apply to nor affect the
provisions of broadcasting franchises concerning territorial coverage, the term, or the
type of service authorized by the franchise.

Section 12. Reportorial Requirement.- The grantee shall submit an
annual report to the Congress of the Philippines, through the Committee on Legislative
Franchises of the House of Representatives and the Committee on Public Services of
the Senate, on its compliance with the terms and conditions of the franchise and on its
operations on or before April 30 of every year during the term of its franchise. The
reportorial compliance certificate issued by Congress shall be required before any
application for permit or certificate is accepted by the NTC.

Section 13. Separability Clause. - If any of the sections or provisions of this Act
is held invalid, all the other provisions not affected thereby shall remain valid

Section 14. Repealability and Non-Exclusivity Clause. - This franchise shall
be subject to amendment, alteration or repeal by the Congress of the Philippines when
the public interest so requires and shall not be interpreted as an exclusive grant of the
privileges herein provided for.

Section 15. Effectivity Clause. - This Act shall take effect fifteen (15) days from
the date of its publication in at least two (2) newspapers of general circulation in the
Philippines.

APPROVED.