Republic of the Philippines
HOUSE OF REPRESENTATIVES.
Quezon City, Metro Manila

SEVENTEENTH CONGRESS:
Second Regular Session

6968

House Bill No.

Introduced by Representatives Ron P. Salo and Ciriaco S. Calalang

EXPLANATORY NOTE

The term “Imperial Manila” expresses the idea that all the affairs of the country,
whether in politics, economy, or culture, are decided by policy makers holed up in the
national capital region of Metro Manila. It laments the fact that decisions from the
centralized Central Government are reached without taking into account the rest of the
country. To break the decades-old issue of “Manila Imperialism”, a relocation of the
capital to another city in the Philippines is necessary.

Capital relocation is not an unusual practice among countries in the world. In
historical times, some countries relocated their capitals so that it would be easier to
defend in times of war or invasion. In more recent times, countries relocated their
capitals in previously undeveloped areas to spur development. In other instances, new
capitals are sometimes moved to regions deemed neutral to competing ethnic or
religious groups as this could promote unity, security, and prosperity. Among the
relocation of capital cities, Brazil's relocation from Rio de Janeiro to Brasilia is
considered the most successful. To encourage the development of the interior of
Brazil, Brasilia was built from 1956-1960. Upon its establishment as Brazil's new
capital, the nation experienced very rapid growth.

This Bill proposes to relocate the seat of government from Metro Manila to
Davao City, but retain Metro Manila as the financial capital of the country. This model
is being followed by no less than the two (2) economic superpowers: The United States
‘of America (USA) and China. In the USA, Washington D.C. is the country's political
capital, while New York is its financial capital. In China, Beijing is the country’s political
capital, while Shanghai is its financial capital.

Certainly, the decentralization of power will break the stranglehold of Metro
Manila in the country’s political, economic, and cultural affairs. The relocation of the
‘seat of government will also help spur development in the countryside, especially in
Mindanao. Further, it will strengthen nationalism and promote a sense of
belongingness of people in the countryside, particularly the people of Mindanao who
have felt neglected and detached from the rest of the country for the longest time.

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Transferring the seat of government to Davao City and separating it from the
financial centers will address the destructive effects of traffic and will greatly benefit
the people of Metro Manila. This will prevent heavy losses in businesses and will
significantly lessen travel time which can be spent for other productive activities.
Transferring the seat of government also means that it will prevent the further rise in
population due to unmitigated migration, congestion and urban blight which hamper
further development. It will also help arrest the continued rise of prices both in housing
and other properties for sale and for rent.

This Bill aims to address several existing issues that plague Philippine society
and its economy, as well as create potential opportunities for progress and significant
development, especially in the countryside.

In view of the foregoing, the approval of this bill is urgently sought.

RON®?/SALO ciRtAke . CALAI
KABAYAN Partylist KABAYAN Partylist

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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

SEVENTEENTH CONGRESS
Second Regular Session

House Bill No. 6968

Introduced by Representatives Ron P. Salo and Ciriaco S. Calalang

AN ACT
RELOCATING THE SEAT OF GOVERNMENT FROM METRO MANILA TO
DAVAO CITY

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

SECTION 1. Short Title. — This Act shall be known as the “Philippine Capital
Relocation Act of 2018.”

SEC. 2. Transfer of Seat of Government to Davao City. — The administrative capital
and seat of government of the Republic of the Philippines shall be transferred from
Metro Manila to Davao City.

SEC. 3. Objectives. — The transfer of seat of government to Davao City aims:
a) To address the issue of Manila Imperialism;
b) To spur development in the countryside, particularly in Mindanao;

¢) To strengthen nationalism and sense of belongingness for the people in the
countryside, particularly the people of Mindanao; and

d) To decongest Metro Manila in order to ease traffic and lessen business losses.

SEC. 4. Establishment of a National Government Center in Davao City. - Upon
the promulgation of this Act, a National Capital Relocation Committee shall be
established to select a location in Davao City where the site of the National
Government Center shall be built.

The National Government Center shall be the new location of the following
Offices:

a) Presidential Palace;

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b) Vice-Presidential Palace;
c) Senate;

d) House of Representatives;
e) Supreme Court;

f) Constitutional Offices; and

g) National offices of government agencies.

SEC. 5. National Capital Relocation Committee. — A National Capital Relocation
Committee composed of five members shall be established upon the promulgation of
this Act. It shall be headed by the Executive Secretary, and shall include the Secretary
of the Department of Budget and Management, the Secretary of Public Works and
Highways, and two representatives from the private sector to be appointed by the
President of the Philippines.

SEC. 6. Tasks of the National Capital Relocation Committee. — The National
Capital Relocation Committee shall be tasked:

a) To selecta location in Davao City, which shalll preferably be a government land,
upon which the site of the National Government Center shall be built;

b) To approve the design and construction plan of the National Government
Center;

c) To engage the services of private sectors or entities in the design, construction
and development of the National Government Center;

d) To oversee the construction and development of the National Government
Center;

) To submit to Congress the necessary budget for the implementation of this Act,
which shall include the purchase of land when needed, as well as the
construction and development of the National Government Center; and

f) To submit a report to the Joint Oversight Committee of Congress every June
4*'and December 1* of the calendar year to provide detailed updates regarding
the construction and development of the National Government Centers.

SEC. 7. Role of Congress. — A Joint Oversight Committee from the Senate and the
House of Representatives composed of the Senate President and the Speaker of the
House as co-Chairs, Majority and Minority Leaders of both Houses, and the

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Chairpersons of the Senate and the House Committee on Government Reorganization
as Members.

SEC. 8. Transitory Provisions. — This construction and development of the National
Government Center must be completed within three (3) years upon the promulgation
of this Act.

Upon completion of the National Government Center:

a) The offices mentioned in Section 4 of this Act must transfer to their designated
Offices in the National Government Center;

b) Metro Manila shall remain to be the country’s economic or finance center;

c) The offices previously occupied by the government agencies in Metro Manila
shall be converted to their NCR Regional Offices;

d) Malacafiang Palace shall remain to be the official residence of the President of
the Philippines in Manila;

) Baguio City shall remain to be the Summer Capital of the Philippines;

f) Buildings, infrastructures and offices which shall be vacated as a result of the
relocation and have historical significance shall be transferred, managed and
maintained by the National Historical Commission;

g) All government agencies and offices shall assist and support the immediate and
orderly implementation of this Act; and

h) Permanent employees of the government who shall be affected by the
relocation shall be given the option to resign or early retire and shall be given
the mandated entitlements pursuant to existing laws.

SEC. 9. Appropriations. - The amount of One billion pesos (P1,000,000,000.00)
shall be initially appropriated in order to implement the provisions of this Act which
‘shall be taken from the Presidential Savings of the current fiscal year. For the
succeeding fiscal years, the amount necessary for the implementation of this Act shall
be included in the annual General Appropriations Act.

SEC. 10. Separability Clause. — \f any provision of this Act is declared invalid or
unconstitutional, the remaining parts or provisions not affected shall remain valid.

SEC. 11. Repealing Clause. — All acts, executive orders, administrative orders,
proclamations, rules and regulations or parts thereof inconsistent with any of the
provisions of this Act are hereby repealed or modified accordingly.

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SEC. 12. Effectivity. — This Act shall take effect fifteen (15) days after its publication
in the Official Gazette or in two (2) newspapers of general circulation.

Approved.

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