Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

~ Nineteenth Congress
First Regular Session

House Bill No. 6921

Introduced by Representative JOEY SARTE SALCEDA.

AN ACT
PROVIDING FOR THE MODERNIZATION OF THE
PHILIPPINE INSTITUTE OF VOLCANOLOGY AND SEISMOLOGY (PHIVOLCS),
PROVIDING FUNDS THEREFOR AND FOR OTHER PURPOSES

EXPLANATORY NOTE

Since the creation of the Commission of Volcanology in 1952 under Republic Act No.
766, the Philippine Institute of Volcanology and Seismology (PHIVOLCS) has gone through
several reorganizations through Executive Order 784, series of 1982 transfer to National Science
and Technology Authority (now the Department of Science and Technology) and the movement
of Seismology from the Philippine Atmospheric Geophysical and Astronomical Services
Administration by Executive Order 984, series of 1982. From a non-staffed Commission,
PHIVOLCS has emerged to an Institute that is more responsive and attuned to the vision of the
Philippine government for a resilient community.

The Philippines sits on the Pacific Ring of Fire and hosts 24 active volcanoes, 27
potentially active volcanoes and numerous active faults and trenches capable of producing large
magnitude earthquakes that can result in disasters and disrupt life in communities.

On the other hand, at least 60% of the country’s total land area is exposed to multiple
hazards, and 74% of the population is susceptible to their impact. Sixty-six out of 81 provinces in
the Philippines are coastal, and are therefore, exposed to tsunami threats. The total coastal
population in the Philippines based on the 2015 PSA data is 64.7 million, or almost 61.6 % of the
total population.

Given these, the World Risk Index for 2022 ranks the Philippines on top of 193 countries
evaluated. This puts more pressure on the disaster monitoring and warning agencies like
PHIVOLCS to act immediately on natural hazards and threats.

Hence, as communities around several active volcanoes grow and project developments
intended for human occupancy near active faults expand, there is a need to augment and enhance
the monitoring and warning capabilities of PHIVOLCS. The country has 24 active volcanoes and
an equal number of potentially-active volcanoes. Of the 24 active volcanoes, only 10 are currently

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being monitored. And out of the 10 monitored volcanoes. only two are instrumented with all
required station types.

PHIVOLCS has also mapped numerous active faults transecting densely populated cities,
and in the last ten years, these faults have generated a total of seven (7) major earthquakes and
several strong earthquakes. Many of these earthquakes are damaging. There is therefore a need to
increase the density of the Institute’s seismic stations to better understand future earthquake
occurrences.

Since 1952, PHIVOLCS has evolved from a simple monitoring and warning agency to an
Institute that also conducts hazard mapping as well as other specialized R and D activities.
However, the growth of basic research and number of employees conducting hazard mapping has
been hampered by an increasing demand for hazard and risk information from various private
companies, other government agencies and individuals. For example, banks are integrating
HazardHunterPH for multi-hazard assessments into their system which require PHIVOLCS to
support assessment of thousands up to millions of data points. National governments are also
requesting PHIVOLCS to conduct assessments on various government projects using the
technologies that the agency developed. These requests put a dent to an already lean staff of
PHIVOLCS conducting research, mapping and monitoring of hazards. PHIVOLCS has adapted
by hiring temporary staff to handle technical support services, but unfortunately this is not
sustainable. Without security of tenure, there is always the possibility that these temporarily-hired
staff will leave the institute, and with them, their acquired skills.

As PHIVOLCS expertise remains on the forefront in the forecast and determination of
risks related to volcano, earthquake, tsunamis and its related hazards, there is therefore an urgent
need to augment the number of plantilla positions of PHIVOLCS in order to meet the growing
demands of its stakeholders. Expanding the PHIVOLCS plantilla is an investment in protecting
the country from its gravest natural threats.

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

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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

‘Nineteenth Congress
First Regular Session

House Bill No._ 6921

Introduced by Representative JOEY SARTE SALCEDA.

AN ACT
PROVIDING FOR THE MODERNIZATION OF THE
PHILIPPINE INSTITUTE OF VOLCANOLOGY AND SEISMOLOGY (PHIVOLCS),
PROVIDING FUNDS THEREFOR AND FOR OTHER PURPOSES

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

SECTION 1. Short Title. - This Act shall be known as the “PHIVOLCS Modernization
Act”.

SEC. 2. Declaration of Policy. ~ It has been the policy of the State to utilize scientific and
technical knowledge and information as an effective instrument to ensure the safety, well-being
and economic security of the people; to safeguard the environment; and to promote national
progress and sustainable socioeconomic development through various applications of geology,
geophysics, geodetic engineering and allied sciences. The State also recognizes the need to
strengthen the capability of government personnel tasked to monitor volcanic and seismological
activities and other related services and information to the public. Towards this end, the State shall
undertake the modernization of the Philippine Institute of Volcanology and Seismology,
hereinafter referred to as PHIVOLCS, to improve its technological operational capacity,
strengthen its role as the premier national volcano and earthquake monitoring agency and to attain
its vision as a center of excellence for related information services.

SEC. 3. Objectives. — Pursuant to the foregoing policy, the PHTVOLCS Modernization
Program shall be implemented in accordance with the following objectives:

(a) To upgrade physical resources and operational techniques through acquisition and
development of state-of-the-art instruments, equipment, facilities and systems to enhance current
capabilities in providing useful, timely, accurate and reliable volcanic and seismological data and
localized warning and information services for use in decision-making in disaster preparedness,
climate change adaptation, water resources management, agriculture, transportation, health,
tourism and other sectors;

(b) To enhance research and development capabilities by adopting a rationalized and
integrated approach with focus on the improvement of basic operations and specialized services;

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(c) To integrate disaster risk reduction and management in the sustainable socioeconomic
development planning at the national and local levels in coordination with appropriate government
agencies and other entities;

(d) To strengthen linkages and cooperation at the national level among the various
providers and users of geological, seismological and other services as well as to provide for the
appropriate mechanisms for this purpose:

(©) To establish and enhance volcanic and seismological activity monitoring service
centers in strategic areas in the country to broaden the agency base for the delivery of service in
the countryside;

(f) To strengthen a technology-based data center consistent with international standards to
make information available to those involved, whether from the government or private sector in
Disaster Risk Reduction and Management Plans, among others;

(g) To enhance public information, education and advocacy on geological activities, as
well as their impacts, risks and vulnerability;

(h) To facilitate the appropriate appreciation and delivery of information, products and
services to decision makers, media, other users and the general public; and

(i) To provide a more competitive base pay and other benefits for its personnel in order to
promote professionalism and commitment to the service.

SEC. 4. Definition of Terms. ~ The following terms are defined as follows:

(a) Seismology ~ the scientific study of the sudden, violent movements of the earth
connected with earthquakes

(b) Tsunami — a series of large waves of extremely long wavelength and period usually
generated by a violent, impulsive undersea disturbance or activity near the coast or in the ocean.

(©) Volcanology — is the study of volcanoes, lava, magma, ash or tephra fall and related
geological, geophysical and geochemical phenomena.

SEC. 5. Mandate. - The PHIVOLCS is mandated to:

(a) Predict the occurrence of volcanic eruptions and earthquakes, and their related
geotectonic phenomena;

(b) Determine how volcanic eruptions and earthquakes shall occur and areas likely to be
affected;

(c) Mitigate hazards of voleanic activities through appropriate detection, forecast and
warning system; and

(d) Provide appropriate volcano, earthquake and tsunami products and services for disaster
preparedness.

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PHIVOLCS shall provide timely, quality and socially-inclusive information and services
for warning, disaster preparedness and mitigation.

SEC. 6. Organizational Structure. ~ The PHIVOLCS shall be an attached agency of the
Department of Science and Technology (DOST) for purposes of policy and program coordination,
to ensure alignment in national science and technology policies and priorities.

It shall be headed by an Executive Director V with the rank and compensation of a
Department Undersecretary who shall be appointed by the President upon recommendation by the
Secretary of the DOST.

The Executive Director V shall be assisted by three (3) Deputy Executive Director V for
Operations Services; Research and Development and S&T Services; and Administration, Finance
and General Services, all with the rank and compensation of a Department Assistant Secretary to
be appointed by the President.

SEC. 7. Qualifications. — No person shall be appointed as Executive Director V unless that
person is a natural-born citizen and a resident of the Philippines, of good moral character, has an
advanced degree in geology, geodetic engineering, volcanology, physics, and other related fields
and with at least five (5) years of competence and expertise in volcanology, geophysics, and or
allied sciences, Provided, That the Executive Director V and the three (3) Deputy Executive
Director V shall be career executive officers.

SEC. 8. Components of Modernization. - The PHIVOLCS modernization shall have the
following components:

(a) Upgrading and Maintenance of Physical Resources and Operational Techniques. ~
This shall entail the acquisition and/or upgrade of state-of-the-art instruments, equipment,
facilities, systems, and operational techniques, with emphasis on volcano, earthquake and tsunami
monitoring and warning system: Provided, that prior to such acquisition and/or upgrade, an
inventory of existing government and private, volcanic and seismological instruments nationwide
shall be undertaken: Provided, further, that the acquisition of new instruments, equipment and
systems shall be harmonized with the phase-out of uneconomical and obsolete instruments,
equipment and systems in the PHIVOLCS inventory.

(b) Sustained development of Volcano Monitoring network infrastructure for all active
voleanoes of the Philippines that will ensure early-warning of volcanic activity even at voleanoes
of long dormancy.

(c) Sustainable development of continually evolving technologies for eruption early-
warning will help the national government keep abreast with the latest in S&T while maximizing
its investment in public safety amidst technology shifis and changes. From state-of-the-art systems
to customized off-the-shelf instruments interfaced by the Internet-of-Things, such technologies
provide quality scientific data while instilling a culture of dynamic technical leaming, vital to
long-term organizational growth and performance.

(4) Earthquake Monitoring and Information System Development. — Establish, operate and
maintain an advanced infrastructure for earthquake and tsunami monitoring throughout the
Philippines that operates with high performance standards, gathers critical technical data, and
effectively provides information products and services to meet the needs of the Philippine
government and the public.

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(©) Reliable Monitoring. - Continuously monitor earthquakes and other seismic
disturbances throughout the Philippines, including earthquakes that may cause a tsunami or
precede a volcanic eruption, with special focus on regions of moderate to high hazard and risk.

() Long-term Protection / Conservation of Built Environment. ~ Thoroughly measure
strong earthquake shaking at ground sites and in buildings and critical structures. Focus should be
in urban areas and near major active fault zones to gather greatly needed data and information for
reducing earthquake impacts on buildings and structures.

(g) Development of Forecasting Capability for Impending Large Earthquakes / Tsunami
Events. — Develop machine learned capability to determine earthquake parameters and the
resulting information will automatically be broadcast to mobile phones and social media accounts
whenever a significant earthquake occurs, for immediate assessment of impacts. In areas feasible,
for sites at a distance from the epicenter, an early warning will be broadcasted seconds before
strong shaking arrives. Provide similar capabilities for automated warning and alert for tsunamis.

(h) Establishment of permanent PHIVOLCS building including land acquisition to house
the Data Receiving / Operation Centers for real-time volcano, earthquake and tsunami monitoring.
This shall ensure stability and protection of government investments on scientific, technical
equipment and research laboratories.

(i) Enhancement of Research and Development Capability. - This shall involve the
enhancement of research and development capability through a more rationalized and totally
integrated approach with established earthquake and volcano research laboratories, focusing on
improvement of operations, as well as the strengthening of specialized services with cost recovery
measures.

(i) Enhancement of Public Information and Linkages with Local Government Units (LGUs)
and other stakeholders, — This shall include continuous sharing of information to LGUs and other
stakeholders that help in the disaster planning, preparation, disaster mitigation, among others.

(K) Enhancement of Voleanic and Earthquake Data and Information Dissemination
Services. ~ This shall involve the development and use of communication strategy for ensuring
the use of plain and local language, nontechnical terms and familiar graphical presentations, in
combination with science-based information that will ensure the delivery of accurate, up-to-date
and timely earthquake, tsunami, and volcano-related information to create greater public
awareness and draw appropriate response for disaster risk reduction: Provided, that PHIVOLCS
shall partner with the Komisyon sa Wikang Filipino (KWF), various Sentro ng Wika at Kultura,
Philippine Commission on Women, and other rights-based organizations for the development or
enhancement of socially-inclusive products. PHIVOLCS shall collaborate with both public and
private organizations to effectively disseminate data and products.

(I) Strengthening of the Human Resource Development Program (HRDP).~ ‘The HRDP of
PHIVOLCS will continue to be aligned with the strategic goals of the Institute. This shall ensure
that personnel are provided equal opportunities for self-improvement to be competent, motivated
to work and rewarded.

Complementation and capacity-building of a wide-range of experts in volcanology and

seismology and to efficiently develop, operate and maintain advanced monitoring systems and
distill accurate volcano, earthquake and tsunami information for public guidance. Support to

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continued professional learning will further ensure skills development and motivation that will
translate to better S&T services.

SEC. 9. Collaboration or linkages with Local Government Units (LGUs). ~ With this
institutional modernization of PHIVOLCS, the roles of the local government will also be enhanced
to cover the following areas:

(a) Public Intermediary. — The local government, together with national & local news
media and the emergency management community, shall frequently act as intermediaries between
PHIVOLCS and its complex target audience including the general public, institutional decision
makers, and emergency responders, especially in crafting plans attuned to the local needs of its
constituents to increase public resilience to earthquakes, tsunami and voleanic eruptions, to reduce
or eliminate long-term risk to human life and property and shorten recovery periods based on risk
assessments.

(b) Information Dissemination. — It is critically important for PHIVOLCS to work closely
with the national and local disaster agencies to craft appropriate information messages, to regularly
test and evaluate their dissemination communication channels, and to identify gaps and
dissemination problems, so that the tsunami messages reach the intended users when an event
‘occurs.

(c) Awareness and Promotion. ~ Outreach and communication with the public is crucial to
their understanding and awareness of the nature of the geotectonic hazards, the risks to personal
safety and property, and the steps to reduce those risks including the deployment of sustainable,
reliable and effective monitoring and warning systems. With this, the local government is expected
to promote in local and international recognition programs, its own interfaces with the enhanced
PHIVOLCS system with its increased coverage and explore avenues to enjoy its full benefits

(d) Technical Review. — The local government shall contribute in the review of local
research, exchange information and coordinate local projects during regular local meetings to
ensure readiness to disasters, that appropriate guidelines are consistently crafted and that local
support infrastructure to the enhanced systems are funded;

SEC. 10. Components of the HRDP. - This component shall include the following:

(a) New Salary Scale for PHIVOLCS Personnel. — The Department of Budget and
Management (DBM) shall develop a new salary scale for PHIVOLCS personnel in consonance
with Republic Act No. 8439, as amended otherwise known as the “Magna Carta for Scientists,
Engineers, Researchers and other Science and Technology Personnel in Government” with a
corresponding increase in the base pay, allowances and other benefits;

(b) PHIVOLCS Personnel Retention Incentive. ~ An additional incentive to be known as
the “Personnel Retention Incentive” shall be provided to qualified PHIVOLCS personnel, to be
determined by PHIVOLCS in consultation with DBM in an amount not exceeding twenty percent
(20%) of the monthly basic salary subject to the implementing rules and regulations (IRR) which
shall be hereinafter formulated;

(c) Scholarship Program. — Not later than three (3) years from the enactment of this Act,
scholarships shall be provided for undergraduate and graduate studies in volcano- and seismology-
related fields as well as for specialized training programs, in coordination with the DOST,
Commission on Higher Education (CHED) and Higher Education Institutions (HEIs). Cooperation

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on human resources upgrading and capability enhancement with regional and international
organizations shall also be undertaken; and

(A) Development of Regional and International Cooperation Program. ~ This shall entail
the development of appropriate collaborative arrangements with relevant regional and
international bodies and government institutions to complement the national effort for
modernization.

SEC. 11. Disaster Preparedness, Public Information and Dissemination Services. ~ The
institutional modernization of PHIVOLCS shall enhance public information, education and
advocacy on earthquake, tsunami and volcano hazards and risks. To facilitate the appropriate
appreciation and delivery of science-based information to target stakeholders for proper response
actions before and during the occurrence of these hazards, there shall be provision for:

(a) Fully-equipped and well-staffed learning / training center that will serve as a platform
for planning, implementing, monitoring, and evaluating capacity development programs for
various stakeholders regarding mitigation and preparedness for volcanic eruptions, earthquakes,
and tsunami-related hazards;

(b) A knowledge management system (composed of people, process, infrastructure, and
strategy) that will ensure that researches are attuned to the public’s needs and that research and
development outputs are translated into culturally-relevant, gender-responsive, and disability-
inclusive capacity development programs, and warning and risk information products and services
for key stakeholders and the public; and

(©) A multi-channel and multi-directional communication strategy and standardized
procedures that shall ensure access to and effective dissemination of useful information on
volcano, earthquake and tsunami disaster preparedness, risk reduction, and emergency response
to intended stakeholders and the public.

SEC. 12. Formulation and Submission of the PHIVOLCS Modernization Program. ~ The
Executive Director of the PHIVOLCS in coordination with the Secretary of the DBM and the
Director-General of the National Economic and Development Authority (NEDA), shall formulate
the PHIVOLCS Modemization Program and oversee its implementation based on the policy
objectives provided in this Act.

The PHIVOLCS Modernization Program shall indicate among others:

(a) PHIVOLCS requirements in terms of personnel, equipment and facilities during the
various stages of modernization;

(b) The modernization projects, which shall indicate the equipment and technology
acquisitions, including major construction or upgrade of facility and the particular objective and
component to which such intended acquisition, construction and upgrading belongs to; and

(c) The priorities, schedules and estimated cost of each modernization project.

The PHIVOLCS Modernization Fund shall be administered by the Executive Director of

the PHIVOLCS in accordance with existing government budgeting, accounting and auditing rules
and regulations.

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SEC. 13. Period of Implementation. — The modernization program under this Act shall be
implemented for an initial period of three (3) years: Provided, that payments for multi-year
contract obligations incurred under this Act may extend beyond this period. Provided, further, that
PHIVOLCS shall continue to modernize and constantly update its operational capabilities to keep
pace with best international practices.

SEC. 14. PHIVOLCS Modernization Fund. — There is hereby created the PHIVOLCS
Modernization Fund to be used exclusively for the PHIVOLCS Modernization Program, which
shall be sourced from the following:

(a) The amount of five billion pesos (P5,000,000,000.00) to be taken from the share of the
National Government in the gross income of the Bases Conversion and Development Authority
(BCDA). For two (2) years after the effectivity of this Act, an amount of two billion five hundred
million pesos (P2,500,000,000.00) per year shall be released to the PHIVOLCS. The entire amount
of five billion pesos (P5,000,000,000.00), including any interest income thereon, shall be used
exclusively for capital outlay; and

(b) Loans, grants, bequests, and donations whether from local or foreign sources. The
Secretary of the DOST with the approval of the NEDA and subsequently the Department of
Finance (DOF) is hereby granted the authority to enter into loan agreements with foreign financial
institutions.

The PHIVOLCS Modernization Fund shall be administered by the Executive Director of
the PHIVOLCS in accordance with existing government budgeting, accounting and auditing rules
and regulations.

SEC. 15. Annual Report. — The Executive Director of the PHIVOLCS shall prepare an
annual report on the status of the implementation of the PHIVOLCS Modernization Program
which shall be submitted through the DOST Secretary, to the President and to the Chairpersons of
the Committee on Science and Technology of the Senate and the House of Representatives not
later than June 30 of the succeeding year.

SEC. 16. Tax Exemptions. — Donations, grants, gifts, endowments, legacies, and
contributions used actually, directly and exclusively for the purpose for PHIVOLCS shall be
exempt from donor's tax and the same shall be considered as allowable deduction from gross
income for purposes of computing the taxable income of the donor, in accordance with Sec. 34
(H)(2)(a) of the National Internal Revenue Code of 1997, as amended. Likewise, such other
transfers of ownership and/or possession of real or personal properties of all kinds shall be exempt
from all taxes.

SEC. 17. Procurement of Scientific and Technical Materials, Equipment, and Services. =
The PHIVOLCS shall undertake the procurement of scientific and technical materials, equipment,
and services in its operation and administration, in the most expeditious manner, and adopt the
most suitable or appropriate method of procurement that it deems fit based on its identified needs
and requirements depending on the existing conditions and requirements that justify the use of a
particular alternative modality provided for by Republic Act No. 9184, otherwise known as the
“Government Procurement Reform Act” and its Implementing Rules and Regulations (IRR).

SEC. 18. Exemption from Import Duties, Taxes and Restrictions. — Importation and
consignments of equipment shall benefit from:

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(a) Exemption from all duties and taxes;

(b) Waiver of economic prohibitions and restrictions except for categories of special goods
and equipment that may be indicated by the PHIVOLCS;

(©) Clearance without regards to the country of origin or the country from which the goods
have arrived, subject to monitoring for reasons of public health and security; and

(d) Immediate release of urgent, necessary monitoring equipment when there is an ongoing
voleanic eruption.

SEC. 19. Simplification of Documentation Requirements. —

(a) Consignments of equipment sent by international collaborative research partners shall
be cleared or released on the basis of a simplified equipment declaration providing the minimum
information necessary for the Bureau of Customs to identify the equipment and object, when
deemed necessary, to completion of a more complete declaration within a specified period.

(b) The requirements for the declaration for all imports of equipment by or on behalf of
international collaborative research partners and any supporting documents relating to it, release
and clearance shall be simplified and lodged without fee.

SEC. 20. Appropriations. — The amount necessary to carry out the implementation of this
Act shall be initially charged against the current fiscal year appropriations of the DOST-
PHIVOLCS. Thereafter, the amount needed for the continued implementation of the
modernization program, shall be included in the annual General Appropriations Act.

SEC. 21. Implementing Rules and Regulations. - Within ninety (90) days from the
effectivity of this Act, the PHIVOLCS shall issue the IRR for the effective implementation of this
Act in consultation with relevant stakeholders.

SEC. 22. Repealing Clause. ~ All other laws, acts, presidential decrees, executive orders,
presidential proclamations, issuances, rules and regulations, or parts thereof which are contrary to
or inconsistent with any of the provisions of this Act are hereby repealed, amended, or modified
accordingly.

SEC. 23. Separability Clause. ~ If any portion or provision of this Act is subsequently
declared invalid or unconstitutional, other provisions hereof which are not affected thereby shall
remain in full force and effect.

SEC. 24. Effectivity. — This Act shall take effect fifteen (15) days after its publication in
the Official Gazette or in a newspaper of general circulation.

Approved,

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