Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City
NINETEENTH CONGRESS
First Regular Session
HOusE`BrLiNO.6888
Introduced by HONORABLE CLAUDE P. BAUTISTA
EXPLANATORY NOTE
The 2020 COVID-19 global  pandemic disrupted the implementation of the
country's infrastructure projects and  negatively impacted the Philippine economy.
As the country emerges from the effects of the pandemic,  infrastructure,  having
the   highest   multiplier   effect,   remains   to   be   the   vehicle   to   pump-prime   the
economy.   The   national   government's   commitment   to   pursue   infrastructure
development,     strong    leadership,     a    well-defined    foculs    and    priorities    in
infrastructure and efficient coordination among the stakeholders are vital keys for
the country to realize the economic benefits from infrastructure investments.
This bill aims to provide the  road  map for the effective implementation  of
the    National    Government    infrastructure    flagship    programs    and    projects
nationwide.   It  shall  establish  comprehensive  plans  that  will  prioritize,   identify,
and  maximize  high  impact  infrastructure flagship developments to  be  placed  in
strategic  locations  in  every  region,  Harnessing  and  tapping  the  resources  and
strengths of local communities,  with the end  in view of promoting,  boosting and
sustaining  economic  activity  in  the  countryside.   It  is  likewise  envisioned  that
flagship  programs  and  projects  will  provide  inclusive,  equitable  and  integrated
infrastructure  program  for  the  development  and  promotion  of  economic  and
industrial   regional   hubs   thereby   creating   sustainable   job   opportunities   and
services to the Filipino people.
Considering  the  merits  of  this  Bill,  its  immediate  approval  is  earnestly
sought.
UTISTA
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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City
NINETEENTH CONGRESS
First Regular Session
HOusE^BiLTino.6888
Introduced by HONORABLE CLAUDE P. BAUTISTA
AN ACT
ESTABLISHING A COMPREHENSIVE FRAMEWORK TO
ACCELERATE THE ATTAINMENT OF THE NATIONAL
GOVERNMENT'S INFRASTRUCTURE FLAGSHIP
PROGRAMS AND PROJECTS
Be it enacted by the Senate and House of Representatives of the Philippines in
Congress assembled:
1                    SECTION  1.  Short  77.f/e.  This  Act  shall  be  known  as  the  "Infrastructure
2        Flagship programs and projectsAct".
3                   SEC.   2.   Dec/araf7.on  of  Po/i.cy.   The   State  shall  adopt  and   implement
4       policies  on  infrastructure  development  that  provide  investment  opportunities,
5        develop  industries that will  yield  robust economic growth,  create jobs,  increase
6       capital flow,  improve flow of goods,  stimulate tourism,  reduce traffic congestion
7       and decongesturban areas.
8                   The  State  is  cognizant  of  the  highest  multiplier  effect  of  infrastructure.
9       High-impact  infrastructure  projects,  like  roads  and  bridges,  mass  urban
10      transport    and    alternative    green    city    solutions    are    areas    for    key
11       investments   of   the   national   government   to   address   developmental
12       challenges on traffic congestion,  inadequate mass transport facilities,  and
13       lack of healthy, green livable community spaces.
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1                   The  State  shall  promote  extensive  rural  development  that  will  provide
2       access to  inclusive,  equitable and  sustainable  infrastructure that are  necessary
3       to promote exchanges of services and trading of domestic produce and market
4       goods.
5                   The  State  shall  promote  the  creation  of  regional  agro-industrial  hubs  to
6        integrate   and   maximize   local   assets   and   ensure   the   provision   of   social,
7        economic,  health,  human,  cultural,  political  and  industrial  development  in  the
8        countryside.
9                   The   State   affirms  that  a   strong   leadership   and   efficient   coordination
10       among implementing agencies,  private sectors and local government units, well-
ll       defined  targets`  and  accelerating  infrastructure  development are  critical  factors
12       to attract domestic and foreign investors.
13                   Towards this  end,  the  State  shall  establish  a  comprehensive  framework
14       on the acceleration of the national government's infrastructure flagship programs
15        and  projects,  as  a  strategy that  is  essential  in  nation  building  and  transforming
16       the country into an agro-industrial power in the southeast Asian Region.
17                SEC.  3.  Deffn/.i/-on  of Te/7r7s.  As  used  in  this  Act,  the  following  terms  are
18        defined as follows:
19               a/F/agch/.p  programs  and  pro/.ects  shall  refer  to  the  major  infrastructure
20                      programs and projects whose socio-economic impacts significantly affect
21                      the  entire  country,   identified  and  approved  by  the  National  Economic
22                      Development Authority in coordination and consultation with the office of
23                      the  Presidential  Adviser  on   Flagship  Programs  and   Projects  and  the
24                      implementing agencies, amounting to php2 billion and up.
25               A/  /mp/emenf/.ng agencies shall  refer to the  National  Government Agencies
26                      responsible   for   the   actual   implementation   of   specific   infrastructure
27                      flagship programs and projects, which shall include the design,  planning,
28                      programming,  budgeting,  procurement,  and  the  implementation  of  the
29                      projects,  which  may include the  participation  of and  partnership with the
30                      private sector.
31       SEC.  4.     /nfrasfrucfure  P/am/`ng  Po//.c/.es.  The  Comprehensive  Infrastructure
32        Framework plan shall be guided, but not limited to the following policies:
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a)  Applicability   of   Infrastructure   to   Boost   National   And   Local   Economic
Growth   and  Deve/apmenf.   The   plan   shall   provide   an   integrated   and
inclusive   game-changing   infrastructure  to   invigorate   national   and   local
economies by stimulating agriculture, trade, tourism through efficient public
transportation        systems,        airports,        maritime,        information        and
communications technology, health and waterways;
b)   Program    and    Project   Prioritization    and    Identification.   The   National
Economic  Development  Authority,  in  coordination  with  the  Office  of  the
Presidential Adviser on Flagship Programs and Projects, the lmplementing
agencies,  LGUs  and  the  regional  authorities  shall  on  the  first year of the
implementation  of  every  Flagship  Development  Phase  shall  assess  the
current infrastructure needs in every region and prepare periodic plans and
targets,    programs    and    projects    in    support    of   the    Comprehensive
infrastructure  Development  Plan.  Planning  and  project  selection  shall  be
based on, but not limited to, the following considerations:
(i)           National significance;
(ii)         Alignmentwith regional and national plans;
(iii)        Compliance with international commitments;
(iv)       Technical and operational Feasibility and viability;
(v)        Demands for emerging trends and technologies;
(vi)        Economic feasibility and impact;
(vii)      Job generation and social inclusion;
(viii)      Environmental sustainability and climate resiliency;
(ix)       Safety and security;
c)   Co//aboraf7.on  among key p/ayers.  The  plan  shall  guarantee effective  and
efficient   coordination,    collaboration   and   cooperation   among    national
government   agencies,    local    government    units    and    stakeholders    in
harmonizing    policies    and    plans    across    all    sectors    transportation,
information  and  communications  technology,   health,   power,  water  and
human settlements;
cl)  Application   of   Researoh   and   Technology.   The   plan   shall   undertake
intensive  scientific   research   on   infrastructure  and   public  works-related
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1                   concerns and trends.  Develop, disseminate and adopt modern technology
2                   for greater efficiency, safety and security of infrastructure.
3              e) Capacity-Building  and  Training  for  Infrastructure-Related  Administrators
4                   and  Operators.  The  plan  shall  establish  and  increase  capacity-building
5                   programs  geared  towards  compliance with  international  standards.  Local
6                    or  State   universities   including   vocational   schools   shall   provide   higher
7                   education,  appropriate  trainings  and  accreditations,  to  effectively  provide
8                   continuous  education  and  transfer of modern  technology  in  response  to
9                   fast changing technology.
10              SEC. 5.  Creation  of The  Comprehensive  Infrastructure  Flagship  Programs
11       Deve/apmenf p/an. -The National Economic and Development Authority (NEDA)
12       in   collaboration   with   the   Department   of   Budget   and   Management   (DBM),
13        Department  of  Finance  (DOF),  Office  of  the  Presidential  Adviser  on  Flagship
14       Programs  and   Projects,   implementing  agencies  such  as  the  Department  of
15        Public  Works  and   Highways  (DPWH),   Department  of  Transportation  (DOTr),
16        Department     of     Information     and     Communications     Technology     (DICT),
17       Department of Energy (DOE), National power corporation (NPC), Department of
18       the    Interior   and    Local   Government   (DILG),    Department   of   Science   and
19       Technology  (DOST),   Department  of  Health,   Department  of  Agriculture  (DA),
20        Department of Trade and  Industry (DTI),  National  Irrigation Administration  (NIA),
21       Toll  Regulatory  Board  (TRB),  Metropolitan  Waterworks  and  Sewerage  System
22       (MWSS),   local  government  units   (LGUs),   regional  authorities,   private  sector
23       representatives,    and    other    stakeholders    shall    establish    and    develop    a
24       Comprehensive  Infrastructure  Flagship  Programs  Development  Plan  that  will
25       provide the road  map to facilitate the implementation  of the  Flagship  Programs
26       and projects. The Flagship programs Development plan shall be implemented in
27       four  phases  of  six  years  each,  with  each  phase  focusing  on  mobilizing  vital
28       sectors of the economy.
29                a.   First  Six-Year  lnfra  Flagship  Development  Phase  1:  The  Infrastructure
30                      flagship   program   shall   promote  the   acceleration   of  infrastructure   on
31                      sufficient  and  sustainable  power  and  energy,  reliable  information  and


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communications   technology,   adequate   water   system,    and   efficient
transportation system ;
b.   Second    Six-Year    Infrastructure    Flagship    Development    Phase    2:
Development shall focus on developing food sustainability and improving
the  capacity  of domestic  delivery  and  transportation  of  produce/goods
and   services.   Infrastructure   to   support  these   activities   shall   include
construction     of    farm-to-market,     farm-to-mill     roads,     modern     and
automated   irrigations   and   water   systems,   road   networks,   bridges,
agricultural equipment, and post-harvest facilities;
c.   Third  Six-Year  Infrastructure  Flagship  Development  Phase  3:  The  plan
shall  establish  comprehensive  programs to  prioritize  and  modernize the
country's   agriculture   and   aquaculture   industry,   ensuring   high   quality
consumer goods.  It shall support the development of agro-industrial hubs
in   every   region   including   modernizing   irrigation   system,   post-harvest
facilities    including   warehouses,    production   facilities,    major   seaport
projects   equipped   with   cold   storage  facilities,   road   network   system,
railways,   and   telecommunications   systems  to   provide   livelihood   and
generate employment and investment opportunities to local businesses;
d.   Fourth Six-Year Infrastructure Flagship Development Phase 4: This shall
develop infrastructure that will help accelerate exportation of local goods
such  as  additional  domestic  and  international  airports.  It  shall  mobilize
private sector participation to speed  up the construction of road systems
and  major  highways  that will  connect  urban  centers  and  major  islands,
and facilitate access even in the remotest areas in the provinces.
SIC,   6.   Comprehensive   Infrastructure   Flagship   Programs   Development
26    Sfrategi.es. The CIFPDS shall contain and set forth the following:
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a) Strategies towards  an  integrated  and  inclusive  infrastructure  system  and
planning   and   management   on   the   implementation   of   the   flagship
programs and projects, which shall include:
a.1)  Setting  the  standards  and  policies  in  the  identification  of  Flagship
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a.2)  Projecting  the  investments  on  vital  and  critical  infrastructure  based
on  continuing  trends  and  future  demands  of the  LGUs,  region  and  the
national;
a.3)  Instituting  National  and  Local  Land  Use,  Maritime  and  Waterways
policy to support the CIFPDS;
a.®   Ensuring   effective   and   efficient   coordination,   collaboration   and
cooperation   among   national   government  agencies,   local   government
units and  stakeholders in developing  harmonization of policies and  plans
across    all    sectors   transportation,    information    and    communications
technology, health, power, water and human settlements;
a.S   Formulating   strategies   in   developing   self-supporting   economies,
focused  on specific industries such  as cement, fertilizer,  development of
modern    agricultural    equipment   and    machineries,    and    set   specific
production targets for each;
a.a)   Initiating   massive   expansion   of  vocational   education   to   provide
technological trainings and mastery to skilled workers;
b)   Guidelines to choose specific industrial sites for each type of industry and
provide necessary facilities such as roads, ports, electricity and water;
c)   Policies to provide a financial and tax incentives for industrial sites;
d)   Periodic review and updating of the Development Strategies.
SEC.   I.    Duties   and   Functions   of   the    lmplementing   Agencies.   The
22       implementing   agencies   shall   engage   in   the   following   national   development
23        policies   and   principles   pertaining   to   infrastructure   flagship   programs   and
24       projects:
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a)         Establish flagship development strategies to  help develop the full
potential  of  the  Philippines  as  a  middle-income  country  and  an  agro-
industrial power in the Southeast Asian region;
b)         Prioritize    and    identify    game-changing    and    urgently    needed
infrastructure flagship  programs  of national  significance  focused  on  the
security  of  energy  supply  including  electricity,  water  resources,  health,
industrial   sites,    information   and   communications   technology,    urban
development and mass transport capacity;
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e}         Establish appropriate systems and procedures for classifying high
impact flagship programs by defining the parameters or categories;
d)          Develop   Medium-Term   Road   Map   for   Infrastructure   Flagship
Development based on territory or land use plan;
e)         Project the  investments  on  vital  and  critical  infrastructure  based
on continuing trends and future demands of the LGUs and the region;
f)         Accelerate  and  facilitate the  preparation  of pre-feasibility/feasibility
studies,    design,    processing,    approval    of   environmental    clearance,
necessary  permits  and   clearance,   procurement,   documentations   and
appropriation for approved flagship programs and projects;
g)         Construct  integrated  and  seamless  transport  infrastructure  that
connect,  and  interlink  major  corridors,  airports,  ports  and  railways  and
road   system,   to   facilitate   efficiency   in   transportation,   connectivity   of
information,   produce/goods,  and  services,  to  promote  sustainability  of
supply of products and intensify production;
h)         Implement  traffic  decongestion  program,  convergence  and  rural
road    development    program    and    livable,    sustainable    and    resilient
communities;
i)           Develop  and  create  agro-industrial  complexes  or  hubs  in  every
region,  including pre and post-harvest facilities,  and processing plants for
agricultural    products    to    strengthen    trade    links    domestically    and
internationally;
j)           Engage  private  sector participation  in  the  planning,  development,
design,   financing,   construction,   operation   and   maintenance   of   high-
impact infrastructure;
k)          Grant fiscal and non-fiscal incentives for the investors;
I)           Submit  annual  monitoring  and  reportorial  requirement  on  project
status and implementation;
in)      Address major infrastructure bottlenecks; and
30                n)   Implement  appropriate  capacity-building  program  in  project  analysis  for
31       government officials and other stakeholders.


1                o)   Consistent   with   the   principle   of   local   autonomy   under   the   Local
2       Government code,  LGUs shall exercise  primary  responsibility for the financing,
3        construction,  rehabilitation  and  maintenance  of  provincial,  city,  municipal,  and
4       barangay  infrastructure.  LGUs  shall  be  assisted  by  the  DPWH  in  formulating
5       their  local   infrastructure  development  plan  and   must  strictly  adhere  to  their
6       existing  Land  Use  Plans  consistent with  provincial  and  regional  plans,  and  the
7       national  land  use policy/framework.  Private sectors and  local stakeholders shall
8        be  consulted  by  the  LGUs.  The  Local  Development  Council  shall  synchronize
9       plans with respectto any and all local infrastructure plans.
10              SEC. 8.  Scope  and  Categories  of the  Flagship  Programs  and  Projects.  -
11        National    jmplementing    agencies,     local    government    units,    and     regional
12        authorities,   as  coordinated   by  the   NEDA,   shall   identify  and   determine   high
13        impact  and  game-changing  specific  infrastructure  flagship  projects  that  shall
14        promote and  highlight the domestic products in abundance  in the  region  or has
15        significant   potential   for   development   and   economic   viability,    increase   the
16       productive   capacity  of  the   region,   create   employment,   and   strengthen   the
17        investment climate leading to sustainable inclusive growth.
18                 They shall  identify specific areas for development where flagship programs
19        shall  be  implemented.  They shall  establish and  develop  projects  in  accordance
20       with the following categories:
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a)   Transport and  Mobility:  Roads and  bridges,  Bus  Rapid Transit,  railways,
new airports and seaports,  and  upgrading and modernization of existing
infrastructure facilities to accommodate tourist arrivals;
b)   Urban  development:   New  green  cities,   rehabilitation  and   recovery  of
conflicted areas in  Mindanao, flood control structures,  risk reduction and
earthquake proofing;
c)   Power and  Energy:  Hydroelectric power plants,  renewable, other energy
sources;
d)  Water resources:  Dams, irrigation, and water supply;
e)   Information  and  Communications  Technology:  lT  systems  and  centers;
and
f)    Health: Health care facilities, Specialty hospitals, equipment and supplies
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1             SEC. 9. Parameters and criteria for Inclusion in the Flagship programs and
2        Pro/.ects.  -All  infrastructure flagship  programs  and  projects  shall  be  subject to
3       the  approval  process  of  the   NEDA  Board  and  the  Investment  Coordination
4       Committee. (lcc) The NEDA/ICC, after the receipt of the complete pre-lcc and
5       Post lcc documents, shall deliberate and evaluate program proposals and shall
6       within  four  (4)  to  six  (6)  week  submit  the  project  appraisal  reports.  Feasibility
7       studies  of  all  identified  and  approved  flagship  programs  and  projects  shall  be
8        concluded and finalized within a given timeline.
9              The projects shall conform with the following parameters:
10                a.  Urgency which addresses a current problem or concern;
11                 b.  National or regional significance which relates to the impact or benefits of
12                     the project that can be felt by more people in a wider area; and,
13                 c.  Game  changing  nature  of  the  project  which  relates  to  the  significant
14                      impact on people's lives and on the conduct of business in the country.
15              Flagship programs and  projects shall be funded through any of the following
16        financing Modalities:
17               a.  Official Development Assistance (ODA);
18               b.  Public-Private partnership (PPP) Scheme; and/or
19               C.   General Appropriations Act, as approved by the NEDA ICC.
20             SEC.10.  Spec7.a/  Court  for /nrrasfrucfure  /ssues.  A  special  court  shall  be
21      designated  to facilitate and  handle  legal  cases specifically related to  negotiated
22      sale, expropriation, or road-right-of-way issues and other related cases.
23              SEC.11.  Creaidron  Of  the  Office  of  the  Presidential  Adviser  on   Flagship
24      Programs and Pro/.ec fs,  - There is  hereby created the Office of the  Presidential
25      Adviser on  Flagship  Programs and  Projects.   It shall be  headed by the Flagship
26       Presidential    Adviser,    who    shall    have    the    authority    to    exercise    overall
27      management, supervision, and control, as well as oversee the imp]ementation of
28      the   big-ticket   infrastructure   flagship   programs   and   projects.   The   Flagship
29       Presidential Adviser shall efficiently and purposely exercise powers and authority
30      delegated by the president to expeditiously implement the program. The Flagship
31       Presidential  Adviser  shall  coordinate  and  initiate  meetings  with  other  relevant
32      national  government  agencies,  government-owned  and  controlled  corporations,
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1       local     government     units,     government    financial     institutions,     and     private
2      stakeholders.
3             See,12.  Powers and Functions of the  Flagship  Presidential Adviser.  -The
4       Flagship presidential Advisershall:
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a.  Establish,  promulgate,  and  implement  regulations,  rules  and  orders  on
flagship     programs    and     projects,     consistent    with     relevant    laws,
international standards and best practices;
b.  Identify, define, and develop the list of high-impact flagship projects;
c.  Participate  in   relevant  regional  and   international  conference  meetings,
workshops and seminars and trainings related to mega-infrastructure;
d.  Coordinate and conduct regular meetings with the implementing  agencies
to monitor progress of the flagship projects, discuss challenges and ways
to address issues and concerns;
e.    Issue,  amend,  and  revoke rules and  regulations and  orders pertaining to
the operations,  including  procurement,  necessary for the  implementation
of this Act;
f.    Review   and    assess   flagship    program    proposals    and    ensure   the
immediate facilitation  of necessary permits and  clearances,  licenses and
documentations  from  the  local  government  units  and  other  government
agencies;
9.  Inspect,  monitor and  assess  activities,  facilities  and  practices  on flagship
projects   to   ensure   compliance   of   the   implementing   agencies   with
applicable regulations;
h.   Collaborate  with  relevant  agencies  to  provide  technical  advice,  opinions
and   expertise   necessary  to   enhance  flagship   program   structure   and
design, and ensure capacity building of the different stakeholders; and
i.    Establish    appropriate   mechanisms    in   the   identification,    prioritization,
information  dissemination  and  consultation  about  financing  agreements
for flagship projects.
SEC.  13.  /mp/emenfafi.on  and  Sfafus  Raporf.  -  Each  concerned  national,
31       regional,  and  local  implementing  agency  shall  compile  and  submit  an  annual
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1      report on (a) the status of the implementation of its respective Flagship programs
2      and projects; and (b) compliance bythe agency with this Act;
3              All  implementing  agencies  are  required  to  submit to the  NEDA,  and  to  both
4       Houses of congress an annual report on the implementation of the provisions of
5        this Act.
6              SEC.   14.   Fund  A//ocafi.on.   Subject  to  the  budgetary  ceilings  set  by  the
7        Development  Budget  Coordinating  Committee,  the  National  Government  shall
8        annually   earmark   at   least   three   percent   (3.00%)   of   the   Philippine   Gross
9        Domestic product to fund the flagship programs and projects.
ro             SEC.15.  Implementing Rules and Regulations. -W.rNhiin stirty (60) days from
11        the effectivity of this Act, the NEDA,  in coordination with the presidential Adviser
12        on  Flagship  Programs  and  Projects,   DBM,   DOF,  DPWH,  DOTr,  DICT,   DOE,
13        NPC,  DILG,  DOST,  DOH,  DA,  DTl,  NIA, TRB,  MWSS, aswellas LGUs,  regional
14       authorities,  and  representatives  from  the  private  sector,  and  other  concerned
15        agencies shall set the guidelines for the monitoring and proper implementation of
16       this Act and shall promulgate the implementing  rules and  regulations as may be
17       necessary to ensure the effective implementation of this Act.
18              SEC.16.  Saparabt.//.fy C/ause.  -lf any provision  of this Act shall be declared
19        unconstitutional   or  invalid,   the   other  provisions   not  otherwise   affected   shall
20        remain in full force and effect.
21             SEC.17.  Repea//.ng C/arse.  -All  laws,  decrees,  executive orders,  rules and
22        regulations and other issuances or parts thereof which are inconsistent with this
23        Act are hereby repealed, amended or modified accordingly.
24              SEC.18. Effecfi.vt.fy c/ause. -This Act shall take effect fifteen (15`) days after
25        its publication in at least two (2) newspapers of general circulation.
26      Approved
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