Republic of the Philippines
HOUSE OF REPRESENTATIVES
Diliman, Quezon City

' FIFTEENTH CONGRESS
Regular Session

3485

HOUSE BILL NO.

Introduced by: HONORABLE TEDDY BRAWNER BAGUILAT

AN ACT TO PROTECT, CONSERVE, UTILIZE, DEVELOP AND SUSTAINABLY
MANAGE FOREST RESOURCES AND FOR OTHER PURPOSES

EXPLANATORY NOTE

This bill which seeks to protect, conserve, utilize, develop and sustainable manage forest
resources in the country mandates the development and adoption of a sustainable forest
management strategy to manage forestlands. This goal can be achieved only if there is a change
in paradigm as to what a forest is for.

For years, Philippine laws on forests focused on the forest as a resource for utilization and
exploitation. Such an outdated concept needs revamping. There is overwhelming evidence that
forests maintain environmental systems that are essential for life on Earth. They influence
weather by controlling rainfall and evaporation of water from soil. They help stabilize the
world's climate by storing large amounts of carbon that would otherwise contribute to climate
change. They provide us with clean water and air, helps minimize the impacts of floods and
prevent erosion and sedimentation.

Forests are home to indigenous cultural communities (ICs) and indigenous peoples (IPs). The
way of life of these ICCs/IPs is inextricably intertwined with the forest. Without the forest, they

lose their cultural heritage.

Forests also host a variety of animal and plant species endemic to the country. In other words,
forests are extremely valuable in themselves. Their continued existence, and not just their
utilization and exploitation, should be emphasized.

With this paradigm shift, the reasons for hastening the passage of this bill become more
apparent. It is no longer a simple matier of promoting land use practices that expand the forest
resource base and promote food production activities. It is a race against time. Not acting fast
enough could lead to lost opportunities in mitigating global warming and preventing the loss of


the cultural heritage of ICCs and IPs and biodiversity resources unique to Philippine forests- and
worse, loss of lives. Any delay may prove disastrous, and irreversible.

Our priority is to ensure that forests are responsibly and properly managed using ecologically-
sound science and supported by a strong and sustained framework organization, We need to
rationalize a forest land use policy and plan out a comprehensive and definitive forest
management program to ensure that the next generations will be able to benefit from forest
resources and services. i

We also need to ensure that forest management would be truly participatory and equitable, Local
government units should be empowered to take the lead in forest management and must ensure
that communities participate and benefit in the sustainable management of forests and their
resources and that the rights of indigenous peoples must be upheld.

Lastly, we need to ensure that forest management efforts will be sustainable themselves through
education. Every Filipino child should learn to value and care for our forests with the
understanding that caring for them ensures the survival of all. ;

For this purpose, the immediate passage of this bill is earnestly requested.

TEDDY BKAWNER BAGUILAT


CONGRESS OF THE PHILIPPINES,
FIFTEENTH CONGRESS
First Regular Session

Introduced by: HONORABLE TEDDY BRAWNER BAGUILAT

AN ACT TO PROTECT, CONSERVE, UTILIZE, DEVELOP AND SUSTAINABLY
MANAGE FOREST RESOURCES AND FOR OTHER PURPOSES,

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 “Forest Resources Act of 2010”,

SECTION 2. Scope and Coverage. The provisions of this Act shall apply to all lands of the
public domain classified as needed for forestry purposes, all forestlands, all forest resources
found in untitled agricultural lands and in private lands: Provided, That all forests and forest
resources found in protected areas established under the National Integrated Protected Areas
System (NIPAS) shall be sustainably managed and developed following the provisions of
Republic Act No. 7586 or the NIPAS Act of 1992: Provided further, That the rights of
indigenous cultural communities or indigenous peoples to their ancestral domains shall be
respected

All forestlands and forest resources therein under the administrative jurisdiction of the
Autonomous Region of Muslim Mindanao (ARMM) shall be managed, developed and conserved
in accordance with the Regional Sustainable Forest Management Act of 2003 of the ARMM.

SECTION 3. Basie Policies.
a. Pursuant to the provisions of the Constitution to promote the general welfare and
social justice in all phases of national development, to protect and advance the right
of the Filipino people to a balanced and healthful ecology in accord with the rhythm.
and harmony of nature, and to conserve and develop the patrimony of the nation, the
State hereby adopts the following policies relative to the management, development
and conservation of forests and the resources therein:
i, Within five (5) years from the passage of this Act, the specific limits of
forestlands shall be fixed and demarcated and thereafter, shall not be altered
except through an Act of Congress; The Congress shall, as soon as possible,



also determine, by law, the specific limits of forestlands and national parks,
marking clearly their boundaries on the ground. Thereafter, such forestlands
and national parks shall be conserved and may not be increased nor
diminished, except by law. The Congress shall provide for such period as it
may determine, measures to prohibit logging in endangered forests and
watershed areas; i

ii, The use and conservation of forest resources shall bear a social, ecological,
biological and economic functions, responsibility, and accountability to
promote the common good of the present and future generations;

iii, The guiding principle in the sustainable and integrated management,
development, and conservation of forest resources shall be focusing on these
resources and on the people, who manage, conserve, and benefit from them;

iv. Biodiversity protection and conservation of wildlife resources and their
habitats, consistent with Republic Act No. 9147 shall be a paramount
consideration in forest management.

v. Genetically Engineered (GE) and transgenic trees pose the gravest of dangers
to forest ecosystems and violate the Convention on Biological Diversity.

b. The state shall protect the rights of indigenous cultural communities/indigenous
peoples to their ancestral domains to ensure their economic and social and cultural
well-being and shall recognize the applicability of customary laws in governing
property rights or relations in determining the ownership and extent of ancestral
domain:

c. The State shall promote social justice in all phases of national development;

d. The State shall encourage non-governmental, community-based, or sectoral

organizations that promote the welfare of the nation;

The State shall ensure the autonomy of local governments; and,

The State shall pursue an independent foreign policy. In its relations with other states,

the paramount consideration shall be national sovereignty, territorial integrity,

national interest, and the right to self-determination.

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In carrying out the above policies, the following strategies shall be pursued:

1. The watershed continuum as the basic forestland management unit-
Forestlands shall be managed, developed and conserved utilizing
watershed continuum as the basic management unit and under the
principles of sustainable and multiple-use management, including
conservation of biological diversity;

2. Multi-sectoral participation- The participation of all direct and
indirect, especially local, stakeholders in sustainable forestland
conservation, management, and development shall be mandatory.
Equitable sharing of the benefits derived from forestlands and the
resources therein shall be ensured at all times;

3. Community-based forest management (CBFM) as a principal strategy-
Vesting access rights and responsibilities to forest resident or forest-
dependent families, local communities, and indigenous peoples to
undertake the management and development of appropriate forestland



resources on a sustainable basis shall have precedence over other
strategies;

4. Protection of forests and natural resources as a priority concern- The
protection of forests and the natural resources therein shall be given
priority concern in order to ensure environmental stability, conserve
biological diversity, improve ecosystem functions and services, and
provide long-term ecological and economic benefit

5. Reforestation as a priority measure- Reforestation shall be undertaken
as a priority measure to restore the ecosystem functions and services of
forests as well as improve the economic and ecological benefits of
local communities concerned;

6. Security of tenure of stakeholders- Pursuant to the principles of
sustainable and multi-use forest management and equitable access
to forest resources, a secured tenure shall be guaranteed to
stakeholders concerned; and

7. Professionalism in forest service — A dynamic, professional and
people-oriented forest service strongly adhering to conservation
principles shall be established and fully supported by the State.

SECTION 4. Definition of Terms. As used in this Act. the following terms shall be defined as
follows: "

a

“Agroforestry” refers to a strategy for the sustainable management of laid which
increases their overall productivity by properly combining agricultural crops and/or
livestock with forest crops simultaneously or sequentially through the application of
management practices which are compatible with the local climate, topography,
slope, soil, as well as the cultural patterns or customary laws of the local
communities;
“Agricultural lands” refers to Alienable and Disposable (A&D) lands of the public
domain which have been delimited, classified and declared as such, pursuant to the
provisions of Commonwealth Act No. 141, as amended, otherwise known as the
Public Land Act;

“Ancestral Domains” refers to all areas generally belonging to indigenous cultural
communities/indigenous peoples (ICCs/IPs) comprising lands, inland waters, coastal
areas, and natural resources therein, held under a claim of ownership, occupied or
possessed by ICCs/IPs, by themselves or through their ancestors, communally or
individually since time immemorial, continuously to the present except when
interrupted by war, force majeure or displacement by force, deceit, stealth or as a
consequence of government projects or any other voluntary dealings entered into by
government and private individuals/corporations, and which are necessary to ensure
their economic, social and cultural welfare. It shall include ancestral lands, forests,
pasture, residential, agricultural, and other lands individually owned whether
alienable and disposable or otherwise, hunting grounds, burial grounds, worship
areas, bodies of water, mineral and other natural resources, and lands which may no
longer be exclusively occupied by ICCs/IPs but from which they traditionally had
access to for their subsistence and traditional activities, particularly the home ranges



of ICCs/IPs who are still nomadic and/or shifting cultivators;
“Ancestral Lands” refers to land occupied, possessed and utilized by individuals,
families and clans who are members of the ICCs/IPs since time immemorial, by
themselves or through their predecessors-in-interest, under claims of individual or
traditional group ownership, continuously, to the present except when interrupted by
war, forée majeure or displacement by force, deceit, stealth, or as a consequence of
government projects and other voluntary dealings entered into by government and
private individuals/corporations, including, but not limited to, residential lots, rice
terraces or paddies, private forests, swidden farms and tree lots;

“Assisted Natural Regeneration” or “ANR” covers any set of activities that enhance
the natural processes of forest regeneration. These include promoting the natural
establishment and subsequent growth of indigenous forest trees, whilst preventing
any factors that might harm them, e.g. competition from weeds, browsing by cattle,
fire etc. ANR relies on existing natural processes; it requires less labor input than tree
planting and is therefore a very cheap way to restore forest ecosystems. ANR is
appropriate wherever the natural processes of forest regeneration are, to some extent,
already happening. At least few seed trees/ mature seed-bearing rainforest trees
should exist nearby to provide seed rain in the area. Seed-dispersing animals should
remain common in the vicinity. Sites which already support a high density of tree
saplings and sprouting tree stumps are particularly suited to ANR.

“Biological diversity or biodiversity” refers to the variability and variety among
living organisms including, inter alia, terrestrial, marine and other aquatic ecosystems
and the ecological complexes of which they are part. This includes diversity within
the species (genetic diversity), between species (species diversity), and among
ecosystems (ecosystem diversity);

“Climate change” refers to a change in climate that can be identified by changes in
the mean and/or variability of its properties and that persists for an extended period
typically decades or longer, whether due to natural variability or as a result of human
activity;

“Commercial logging” refers to the cutting or felling of trees for the purpose of
disposing the cut or felled logs for monetary profits beyond survival and subsistence;
“Communal forest” refers to a tract of forestland set aside and established for and
under the protection, administration, and management of a city, municipality, or
barangay as a source of wood material for fuel, shelter, and manufactured products;
as source of water for the community; and as an area for ecotourism and/or
environmental protection or socio-economic projects of local government units
consistent with the policies and objectives of this Act and principles of sustainable
development;

“Community-Based Forest Management Strategy” refers to the strategy to improve
the well-being of forest dependent communities, and at the same time ensure
sustainable management, rehabilitation and protection of forestlands and the
resources therein, through the active participation of various stakeholders;
“Conservation” refers to the planned protection and management of forests, wildlife
and other forest resources so as to prevent waste and ensure future use;

“Conveyance” refers to any vehicle, vessel, device or animal used in gathering and/or
transporting forest products;



m. “Co-management agreement” refers to an agreement entered into by the DENR and a

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local government unit/s to protect, restore, develop or manage forestlands, including
mangroves and its forest resources, within the geographic jurisdiction of such local
government unit/s consistent with the provisions of this Act;

“Co-production agreement” refers to an agreement entered into by and between a
qualified person and the government, in accord with the 1987 Constitution, for the
former to develop, utilize, and manage, consistent with the principles of sustainable
development, land or a portion of a forestland wherein both parties agree to provide
inputs and share the products or their equivalent cash value;

“Critical habitat” refers to a place or environment where species or subspecies
naturally occur or has naturally established its population that are crucial to the
survival of a species and essential for its conservation;

“Critical watershed” refers to areas designated by the Secretary pursuant to the
Wildlife Resources Conservation and Protection Act and for their ability to supply
water for domestic, agriculture and/or industrial use;

“Degraded forests” refers to forests with varying degrees of disturbance or loss of
structure, function, species composition and productivity of less than; 60% forest
cover;

“Delimitation” refers to the establishment of permanent boundaries between
forestlands, national parks/protected areas and agricultural lands as a result of
demarcation;

“Delineation” refers to the establishment of boundaries between forestlands, national
parks/protected areas and agricultural lands as a result of a conduct of site
investigation, reconnaissance and field verification in accordance with the criteria set
by the Department;

“Demarcation” refers to the establishment of boundaries using visible markers,
monuments or known natural features/landmarks, among others, as result of the
actual ground delineation;

“Denuded forestlands” refers to forestlands that are devoid of forest tree cover;
Department” refers to the Department of Environment and Natural Resources
(DENR);

“Environmental Impact Assessment” or “EIA” refers to the process of predicting the
likely environmental consequences of implementing a project or undertaking and
designing the appropriate preventive, mitigating, or enhancement measures;
“Environmental Compliance Certificate” or “ECC” refers to the document issued by
the Department certifying that a proposed project or undertaking will not cause a
significant negative impact on the environment; that the proponent has complied with
all the requirements of the Environmental Impact Assessment System; and that the
proponent is committed to implement its approved Environment Management Plan
found in the Environmental Impact Statement (FIS) or mitigation measures identified
in the Initial Environmental Examination (IEE);

“Environmental Impact Statement System” or “EIS System" refers to the
organization, administration, and procedures that have been institutionalized pursuant
to Presidential Decree No. 1586 for purposes of assessing the significance of the
effects of any project or undertaking on the quality of the physical, biological, and
social-economic environment and designing the appropriate mitigating and



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enhancement measures; .
“Environmentally Critical Project” refers to project or program that has high potential
for significant negative environmental impact;

. “Forest” refers to an ecosystem or an assemblage of ecosystems dominated by trees

and other woody vegetation; a community of plants and animals interacting with one
another and its physical environment. It shall consist of trees with overlapping crown
of 60-100% forest cover;

“Forest guard” refers to any public officer who by the nature of his appointment or
the functions of the position to which he is appointed is delegated by law and
regulations or commissioned by competent authorities to execute, implement or
enforce the provisions of this Act and other related laws and regulations;

“Forest products” refers to goods and services derived from forest such as, but not
limited to, timber, lumber, veneer, plywood, fiberboard, pulpwood, bark, tree top,
resin, gums, wood oil, honey, bees wax, nipa, rattan, or other forest growth such as
grass, shrub and flowering plants, the associated water, fish, game, as well as its
scenic, historical, educational, social and ecological value;

“Forest resources” refers to all resources, whether biomass such as plants and animals
including its by-products and derivatives, which can be a raw material, or non-
biomass such as soil, water, scenery, as well as the intangible services and values
present in forestlands or in other lands devoted for forest purposes;
“Forest/Forest-Dependent Community” refers to a group of people residing inside or
immediately adjacent to a particular forestland who are largely or partly dependent on
the forest resources found therein for their livelihood;

“Forestlands” refers to lands of the public domain classified as needed for forest
purposes. They shall include all forest reserves, forest reservations and all remaining
unclassified lands of the public domain;

“Genetic engineering” refers to genetic modification, or a special form of
biotechnology in which a section of DNA from one organism is introduced into
another, in which it does not naturally occur, in order to produce a genetically
modified organism (GMO) with favorable properties based on the new combination
of genes, The new genes in the transgenic organism may be from an entirely different
type of organism, or from a closely related lineage.

“Genetically modified organisms” or “GMOs” refers to organisms in which the
genetic material has been altered in a way that does not occur naturally. GMOs can be
bacteria, fungi, viruses. plants or animals, with the exception of human beings;
“Grazing land” refers to a portion of the public domain which has been set aside, in
view of its topography and vegetation, for the raising of livestock;

“Greenhouse gas” refers to any gas that absorbs infrared radiation in the atmosphere.
Greenhouse gases include water vapor, carbon dioxide (CO:), Methane (CHa), nitrous
oxide (N20), halogenated fluorocarbons (HCFCs), ozone (03), perfluorinated carbons
(PFCs) and hydrofluorocarbons (HFCs);

. “Indigenous Cultural Communities/Indigenous Peoples” or “ICCs/IPs” refers to a

group of people or homogenous societies identified by self-ascription and ascription
by others, who have continuously lived as organized community on communally
bounded and defined territory, and who have, under claims of ownership since time
immemorial, occupied, possessed and utilized such territories, sharing common bonds


of language, customs, traditions and other distinctive cultural traits, or who have,
through resistance to political, social and cultural inroads of colonization, non-
indigenous religions and cultures, became historically differentiated from the majority
of the Filipinos. [CCs/IPs shall likewise include people who are regarded as
indigenous on account of their descent from the populations which inhabited the
country, at the time of conquest or colonization, or at the time of inroads of non-
indigenous religions and cultures, or the establishment of present state boundaries,
who retain some or all of their own social, economic, cultural and political
institutions, but who may have been displaced from their traditional domains or who
may have resettled outside their ancestral domains;

Il, “Industrial Forest Management Agreement” or “IFMA” refers to a production-sharing
contract entered into by and between the Department and a qualified person, whether
natural or juridical, wherein the former grants to the latter the exclusive right and
responsibility to invest in, develop, manage, and protect a defined area of the
production forestland, including the establishment, management and utilization of
industrial timber forest plantation, consistent with the principle of sustainable
development, primarily to supply the raw material requirements of wood-based
processing and energy-related industries and wherein both parties share in the
benefits therefrom;

mm. “Industrial Tree Plantation” or “ITP” refers to any tract of land planted mainly to
timber producing species, including rubber and/or non-timber species primarily to
supply the raw material requirements of forest-based industries, energy-generating
plants, and related industries.;

nn. “Joint venture agreement” refers to an agreement where a joint-venture company is
organized by the State and another person for protection, restoration and utilization,
development and management of forestlands consistent with the prescribed activities
allowed under this Act, with both parties having equity shares. Aside from earnings in
equity, the State shall be entitled to a share in the gross output;

oo. “Kaingin” refers to @ portion of the forest land, whether occupied or not, which is
subjected to shifting and/or permanent slash-and-burn cultivation having little or no
provision to prevent soil erosion;

pp. “Kaingin making” refers to a process employed to establish a kaingin;

qq. “Key Biodiversity Areas” refers to places of international importance for the
conservation of biodiversity;

tr. “Master Plan for Forestry Development” refers to the twenty-five (25) year strategic
program of the Forestry Sector envisioned to guide its long term development. This
program includes: (a) policy and institutional development; (b) restoration and
rehabilitation c) watershed and forestry development; (d) livelihood and poverty
reduction; and (e) timber/non-timber industry development;

ss. “National Park” refers to the land of public domain classified as such in the 1987
Philippine Constitution which includes all areas under the National Integrated
Protected Areas System (NIPAS) pursuant to RA 7586, primarily set aside and
designated for the conservation of native plants and animals, their associated habitats
and cultural diversity;

tt. “Non-government organization” or “NGO” refers to a non-stock, non-profit, and
voluntary organization;



uu. “Non-timber based industries” refers to various industries that are dependent on raw
materials or products derived from forests such as, but not limited to, rattan, bamboo,
vines, latex, resins, saps, essences, fruits, flowers or wild flora and fauna;

vv. “Non-timber charges” refers to the levy imposed and collected by government on
various industries that are dependent on raw materials or products derived from
forests such as, but are not limited to, rattan, bamboo, vines, latex, resins, saps,
essences, fruits, flowers or wild flora and fauna, as well ecological and aesthetic
services;

ww. “Non-timber forest products” refers to all products gathered from the forest that are
not timber, which include, but are not limited to, rattan, bamboo, vine, herb, exudates,
gum, resin, beeswax, gutapercha, and almaciga resin;

xx. “Permit” refers to a short-term privilege or authority granted by the State to a person
to utilize any limited forest resource or undertake a limited activity within any forest
land without any right of occupation, possession, and ownership therein;

yy. “Person” refers to a natural or juridical person, including local forest communities
and/or indigenous peoples organized in accordance with law or custom; 1

zz, “Plantation forestry” refers to the planting of one or two species for the sole purpose
of harvesting;

aaa. “Primary forest” refers to forest which have never been subject to human‘
disturbance or has been so little affected by hunting, gathering and tree cutting that its
natural structure, function and dynamics have not undergone any changes that exceed
the elastic capacity of the system;

bbb. “Processing plant” or “Processing mill” refers to any mechanical set-up, device,
machine or combination of machines used for the conversion of logs and other forest
raw materials into lumber, fiberboard, pulp, paper or other finished wood products;

cee. “Production forestlands” refers to the forestlands defined under Sec. 8(b) of this
Act;

ddd, “Production sharing agreement” refers to an agreement wherein the State grants a
person/s, who provides all the necessary financing, technology, management and
personnel, the exclusive right to conduct forestry development activities within but
not title over, the contract area and shares in the production whether in kind or in
value as owner of forest product therein;

ece. “Protected Areas” refers to identified portions of land and water set aside by reason
of their unique physical and biological significance, managed to enhance biological
diversity and protected against destructive human exploitation. They shall constitute
the areas established under the National Integrated Protected Areas System (NIPAS)
pursuant to RA 7586 and shall fall under the National Park classification of public
domain;

fff. “Protection forestlands” refers to the forestlands defined under Sec. 8 (a) of this Act;

ggg. “Reforestation” refers to all land use activities directed towards restoration,
establishment and sustained management using native species of diversified
vegetation on denuded, degraded and/or marginal lands, including but not limited to
the planting and tending of timber. orchard and multi-use trees;

hbh. “Reservation” refers to an area of the public domain reserved by law for a specific
purpose;

iii, “Restoration” refers to the bringing back of the forestland to its original state in terms



of species composition, structure, function and productivity;

jij- “Restoration zones” refers to the area where restoration activities are conducted and
where the original vegetation shall be restored;

kkk. “Road” refers to bulldozed land which is accessible by at least a two-wheel
motorized vehicle;

IIL. “Rotation” refers to the number of years between the initial establishment of a

"plantation and the time when it is considered ready for harvesting;

mmm. “Secondary forest” refers to a former forest that was logged over and is
characterized by residuals;

nnn. “Secretary” refers to the Secretary of the DENR;

000. “Semi-finished wood products” refers to wood products requiring final stages of

manufacture and/or assembly such as, but not limited to, window components, table

tops, veneer, tongue and groove planks, steps for stairs, and other similar produets;

ppp. “Silvicultural practices” refers to any action by man to further improve or enhance
the stand growth as a whole or the single tree for future harvest including assisted
natural regeneration,and tree surgery, among others;

qqq. “Subdivision” refers to a tract or parcel of land partitioned into individual lots, with
‘or without improvements thereon, primarily for residential purposes;

rrr. “Sustainable development” refers to development that meets the needs of the present
without compromising the ability of the future generations to meet their own needs;

s$s.“Sustainable forest management” or “SFM” refers to the process of managing a forest
to achieve one or more clearly specified objectives of management with regard to
production of continuous flow of desired forest products and services without undue
reduction of its inherent values and future productivity and without undesirable
effects on the physical and social environment;

Tenure” refers to the guaranteed peaceful po ‘ion and use of specific forest land
area and specific resources found therein, covered by an agreement, contract, or grant
which cannot be altered or abrogated without due process;

uuu. “Timber-based industries” refers to industries that are dependent on wood as the
principal raw material including but not limited to sawmilling, pulp and paper
making, and plywood and veneer manufacturing or the upstream wood-based
industries, as well as the secondary and tertiary wood processing or downstream
industry such as moldings and furniture manufacturing;

vvv. “Timber charges” refers to the levy imposed and collected by the government on
timber products cut, harvested, or gathered from production forestlands and from
alienable and disposable (A&D) lands in accordance with Republic Act No. 7161;

www. “Timber License Agreement” or “TLA" refers to a privilege granted by the State
to a person to utilize forest resources within an area with the right of possession and
occupation thereof to the exclusion of others except the government, but with the
corresponding obligation to develop, protect, and rehabilitate the same in accordance
with the terms and conditions set forth in the said agreement;

“Timber plantation” refers to a ee stand established by planting and/or seeding.
The stand is either of introduced species (all planted stands), or an intensively
managed stand of any indigenous species, which meets all the following criteria: one
‘or two species at plantation, even-aged class, and regular spacing for the primary
purpose of harvesting timber or any of its by-product;

ttt.

XXX.



yyy. “Transgenic” refers to a genetically modified organism (GMO) or genetically
engineered organism (GEO) whose genetic material has been altered using genetic
engineering techniques. It is the process of introducing an exogenous gene into a
living organism so that the organism will exhibit a new property and transmit that
property to its offspring;

zzz. “Watershed Continuum” refers to an'area consisting of the watershed and its divide
including its connection from the headwaters to the reef:

aaa, “Watershed Continuum Management” or “WCM"” refers to a management
that will provide the optimum social, cultural, economic and environmental benefits
to the greatest number of people, particularly those living in, adjacent to, or
downstream of, individual watershed areas, while maintaining the biological and
cultural heritage of the country. It is the holistic multiple use and sustainable
management of all the resources within a spatial unit known as the watershed. The
Watershed Continuum Management is based on the following guiding principles: (1)
Ecological sustainability; (2) Social and cultural sustainability; (3) Economic
sustainability; and (4) Institutional sustainability;

bbbb.“Watershed Reservation’ refers to a forestland reservation established to protect or
improve the conditions of water yield thereof or reduce sedimentation;

cece. “Wildlife” refers to wild forms and varieties of flora and fauna, in all
developmental stages; and

dddd.“Woodlots” refers to a track or plot of land planted with fast growing tree species
basically for fuelwood purposes. Woodlot is the major component in Rotational
Woodlot Agroforestry Systems which aim to satisfy house and regional fuelwood
demand while reducing harvesting pressure on local forests, Rotational Woodlot
Agroforestry Systems include the following components: (1) Establishment, which
includes tree and crop intercropping: (2) Fallow, which pertains to build up of wood
and soil fertility; and (3) Post-fallow. which pertains to wood harvesting and
sequential cropping.

CHAPTER IL
CLASSIFICATION OF PERMANENT FORESTLANDS

SECTION 5. Permanent Forestlands. All forestlands currently classified as such.

SECTION 6. Instruments within Permanent Forestlands. Titles, settlements, permits, lease,
and/or agreements within critical habitats, critical watershed areas, protected areas, important
biodiversity areas (IBAs), and key biodiversity areas (KBAs), shall be reviewed, and its
legality be determined. All erroneous titles, settlements, permits, leases and/or agreements or
non-compliance to and in violation of provisions of agreements shall duly be cancelled or
revoked; Provided, That the applicable provisions of the Indigenous Peoples Rights Act of
1997 (IPRA) shall be respected. The LGU, upon endorsement from the Forest Management
Board or motu proprio, shall recommend to the Secretary revocation of these instruments.
‘The Secretary, upon recommendation or motu proprio revokes such instrument,

SECTION 7. Additional Areas to be Included as Permanent Forestlands The following lands


purposes and shall not therefore be

are needed for environmental protection and forest
classified as agricultural lands or for other land use:

Isolated patches of forest, regardless of size of area, with rocky terrain or which

protect a spring for communal use;

b. All mangroves and swamplands including twenty-meter wide strips thereof facing
oceans, lakes and other bodies of water not yet classified as alienable and disposable
lands;

c. Ridge tops and plateaus regardless of size found within or surrounded wholly or
partially by forestlands where headwaters emanate;

d, Twenty-meter wide strips of land from the edge of the normal high waterline of rivers
and streams with channels of at least five (5) meters wide which are not yet classified
as alienable and disposable;

e. Areas needed for other purposes of public interest such as research or experimental
purposes and others; and

f, Areas considered environmentally critical because of their vulnerability to damage
from landslides, volcanic eruptions, and other natural causes.

| Owners who have acquired vested rights over lands enumerated above are required to

implement soil and water conservation measures, in coordination with the Department and the
appropriate local government unit. An Environmental Compliance Certificate (ECC) shall be
required in these environmentally critical areas in accordance with existing law: Provided, That
the Department, in coordination with the concerned local government unit, shall immediately
take the necessary steps to expropriate the property concerned, to impose the necessary fines,
penalties and costs of rehabilitation and implementation of the required soil and water
conservation measures, and to cancel and/or amend any title used thereon or impose fines or will
be subject to cancellation or revocation under any of the following conditions:

a. Failure of the owner, after due notice, to implement appropriate soil and water

conservation;
b. Failure of the owner/s to comply with ECC requirements when required;
¢. The issuance of titles over such areas was accomplished through fraud, deceit,
misrepresentations or other anomalies; or
d, When public interest so requires.

Provided further, That the concerned LGUs may recommend to the DENR to file expropriation
proceedings given the conditions enumerated in this provision.

SECTION 8. Sub-Classification of the Permanent Forestlands. The permanent forestlands
shall be sub-classified into the following categories according to primary use:

a. Protection forestlands shall consist of all natural and restored forests including areas
identified as key biodiversity areas, critical habitats, freshwater, swamps, and
marshes, all areas along the bank of rivers and streams, and the shores of the seas and
lakes throughout their entire length and within a zone of three (3) meters in urban
areas, twenty (20) meters in agricultural areas, and forty (40) meters in forest areas,
along their margins which are subject to the easement of public use in the interest of
recreation, navigation, floatage, fishing and salvage shall also be sub-classified as


protection forestlands. All extractive industries such as, but not limited to, logging
and mining are banned in these protection forestlands; Provided, That the provisions
of the IPRA shall be respected;

b. Production forestlands shall be all forestlands not sub-classified as protection
forestlands defined in this Section, and shall be devoted to the production of timber
and/or non-forest products or the establishment of industrial wee plantations, tree
farms, communal forests, agroforestry, grazing, or as multiple-use forests including
water-based’ energy areas such as but not limited to hydro and geothermal
reservations: Provided, That they shall be managed, developed, and utilized in
accordance with a LGU-approved management plan consistent with the prescribed
Forestry Master Plan and based on sustainable forest management principles:
Provided, further, That the department may change the sub-classification of specific
areas of production forestlands into protection areas and recommend to Congress
their establishment as part of the integrated protected area systems in accordance with
the NIPAS Act, or as critical habitat under the Wildlife Resources Conservation and
Protection Act: Provided finally, That ancestral domains located within protection
and production forests shall be governed by customary laws;

c. Restoration areas are areas to be designated in the management plan as such,
Designation of a restoration area is compulsory in all forest management plans.

SECTION 9, Demarcdtion and delimitation, Upon approval of this Act, the Congress shall
provide funds for the Department to demarcate on the ground the actual land classification lines:
Provided, That the Secretary, upon completion of the actual assessment of the demarcated land
classification lines, shall recommend to Congress the delimitation of the forestlands found to be
still suitable and capable for its purpose, Provided further, That the Department shall submit an
annual accomplishment report and that within five (5) years, has caused the complete
demarcation and delimitation of land classification lines.

SECTION 10. Availability of records. Records pertaining to the specific limits of forestlands
shall be made available to the public upon request. Moreover, the Department shall furnish all
provincial, municipal and city government copies of the maps of permanent forestlands located
within their respective territorial jurisdictions.

CHAPTER UL

ADMINISTRATION AND MANAGEMENT OF FORESTLANDS AND ITS
RESOURCES,

SECTION 11. Jurisdiction and control of forestlands. The Department shall be the primary
agency responsible for the conservation, restoration and the sustainable utilization of
forestlands and the unclassified lands of the public domain. It shall formulate a national
forestry master plan and the policies promulgated in this Act. In coordination with LGUs and
other government agencies, it shall ensure that forestlands and unclassified lands of the
public domain are managed, conserved, developed, utilized and protected consistent with the
policies promulgated in this Act; Provided, that the management plan for protected areas


shall be prepared in accordance with the provisions of the NIPAS Act, the Wildlife
Resources Act, the Local Government Code, and the IPRA, and other relevant laws and
international covenants, as well as other pertinent laws; Provided further, That certain
functions and powers of the Department may be devolved to the local government units.

SECTION 12. Co-Management Agreement for the Devolution of Functions, The Department,
the Department of Interior and Local Goverment, and the concerned LGUs shall execute a
co-management agreement, which shall! contain the program and schedule by which functions
shall be strategically devolved, providing for capacity-building and empowerment
mechanisms.

SECTION 13. Powers and Responsibilities of the LGUs. Pursuant to the pertinent provisions of
Republic Act. No. 7160 or the Local Government Code, LGUs shall share the responsibility
in the sustainable management and utilization of forest resources within their territorial
jurisdiction including those assigned by law to other government agencies. The LGU and the
Department shall jointly undertake the preparation and implementation of forestland use and
watershed continuum management plans, consistent with the Ancestral Domain Sustainable
Development and Protection Plan (ADSDPP) and in consultation with other government
agencies, local communities, non- government organizations and other sectors. Partnerships
with LGUs and local communities are highly encouraged. Such plans shall be fully funded
and made an integral component of the LGU’s Comprehensive Land Use Plan (CLUP).

The devolved functions include, but are not limited to, the following:

a) Implementation of community-based forestry projects, e.g, Community-based Forest
Management Agreement

b) Establishment of refor.
watersheds;

¢) Completed family and contract reforestation projects;

d) Forest Land Management Agreement

e) Community Forestry Projects;

f) Management and control of forests located in the LGU’s jurisdiction;

g) Management, protection, rehabilitation and maintenance of small watershed areas
which are sources of local water supply as identified or to be identified by the DENR:

h) Enforcement of forestry laws: and

i) Prevention of forest fires, integrated pest management and protection against forest
invasive species.

tion projects except in protected areas and critical

SECTION 14. Multisectoral participation. In formulating conservation and management plans
and programs, multisectoral participation shall be required.

SECTION 15. Local Government Unit Consent and Consultation. ~ Proponents of all forestry
projects to be implemented in the LGUs’ territorial jurisdiction shall strictly comply with
Sections 26 and 27 of the Local Government Cade.

SECTION 16. Forest Board. A forest board (Board) shall be created at the Municipal level
which shall be composed of a representative from the LGU and representatives of different
sectors including but not limited to, women, farmers, fisherfolks, and indigenous peoples,


shall set the policy direction for the management, utilization and development of forestlands
and resources found within their respective jurisdictions in accordance with the watershed
continuum plan.

SECTION 17. Functions of the Forest Board. The Board shall be responsible for the
over-all policy direction for the management of the forestlands and forest resources found
within their respective jurisdictions in accordance with the provisions of this Act. It shall
review and recommend implementation of programs and projects and perform oversight
functions on matters pertaining to environment and natural resources. It shall also participate
in the review and recommend relevant policies for the protection, conservation and
restoration efforts within the continuum and ensure the contribution of the forestry sector to
national economy, ecological sustainability and sustainable development closely adhering to

| the principles and action plans set under Philippine Agenda 21 and its revised versions. It

shall moreover facilitate the initiation of the LGU’s participation in the devolution program
and shall monitor the transfer and implementation of devolved functions at the LGU.

=CTION 18. Creation of a Municipal Environment and Natural Resources Office. A
Municipal Environment and Natural Resources Office (MENRO) is hereby created, including
the position for the Municipal Environment and Natural Resources Officer. The LGU shall
ensure that funds are available for the operations and salaries of personnel for this Office.

SECTION 19. Qualifications of a Municipal Environment and Natural Resources
Officer. ‘The Municipal Environment and Natural Resources Officer should have a
background in planning, natural and environmental science, and should be civil service
eligible.

SECTION 20. Functions of the MENRO. The MENRO shall facilitate the preparation of
management plans. It shall recommend to the Board relevant policies for the protection,
conservation and restoration efforts within the continuum. It shall evaluate applications for
forest management agreements; monitor the performance of holders of all tenurial
instruments issued by the LGU and Department. The MENRO may recommend to DENR
appropriate action with regard to the implementation of pertinent laws, rules and regulations.
The MENRO shall exercise visitorial powers over the forestlands.

SECTION 21. Forest Management Committee within a watershed continuum. A forest
management committee shall be created under the Municipal Development Council.
Municipalities/cities falling within the same watershed continuum shall form a forest
management committee within the Provincial Development Council. Provided further, That
provinces falling under the same watershed continuum will create a committee within the
Regional Development Council. These committees shall be responsible for the preparation of
the required overall management plans, in relation to the direction set by their respective
Forest Boards.

SECTION 22. Forestlands under Other Government Agencies. Forestlands and/or
portions thereof which have been assigned by law to the administration and management of
other government agencies for a specific purpose prior to the passage of this Act shall remain


under the administration and management of these government agencies which shall be
responsible for their conservation, protection, and restoration. The Secretary and the
concerned local chief executive or their respective duly authorized representative shall
exercise visitorial powers over these forestlands. Moreover, these forestlands shall be
administered in accordance with a forest management plan embodied in the comprehensive
forest management and land use plan of the LGU, which shall be prepared by the concerned
management committee of the watershed continuum level within one (1) year from the
effectivity of this Act. Said multisectoral body shall periodically review, monitor, and
evaluate the implementation of the said management plan. Provided, That the harvesting of
forest resources and building of roads and other infrastructure therein shall be undertaken
only with the prior approval of the LGU upon the endorsement of the local forestry boards,
and after compliance with EIS and ECC requirements: Provided further, That the LGU shall
endorse to the Secretary who shall recommend to Congress or the President of the
Philippines the reversion to the LGU of the jurisdiction and control over forestlands that are
no longer needed nor used for the purpose by which they have been constituted or in case the
agency concemed fails to rehabilitate, protect, and conserve the forestland resources in
accordance with the approved management plan. The LGU, in coordination with its forestry
board and consistent with the watershed continuum plan, shall determine the use of the
reverted forestlands.

SECTION 23. Forest Resources within Alienable and Disposable Lands. All forest resources
planted ot raised within alienable and disposable lands belong to the holder of the instrument
giving rights to the claimant, who Shall have the right to sell, contract, convey or dispose of
the same subject to a certification process to be developed by the Department. The
Department shall prepare the guidelines in coordination and cooperation with LGUs and
multisectoral consultations. Holders of said instruments who register their forests lands for
forestry purposes with the LGU shall be assisted in the preparation of a management plan
consistent with the watershed continuum management plan, and shall be entitled to
appropriate incentives provided under Section 44 herein, on reforestation in private lands:
Provided, That alienable and disposable lands devoted to the planting and harvesting of forest
resources shall remain subject to the provisions of Republic Act No. 6657 or the
Comprehensive Agrarian Reform Law or any other similar law that may be enacted.

SECTION 24. Forest Resources within Production Forestlands. Resources, including non-
timber forest products, its by-products and its derivatives, whether naturally growing, planted
or raised, which have been taken or have been applied with some silvicultural practices,
within production forestlands shall be issued the appropriate permit, agreement or clearance.
Any declaration of forest resources as threatened shall be in accordance with the Wildlife Act
and other relevant laws.

SECTION 25. Logging in Production Forestlands. To ensure the conservation and sustainable
use of forest resources in production forestlands, holders of timber licenses, permits and/or
agreements shall submit to the LGU an Integrated Operations Plan (IOP) containing strict
environmental guidelines such as ECC compliance. All forest development activities such as
logging, reforestation, timber stand improvement, forest protection, and delivery of
community service within an area covered by timber concessions shall be consolidated under


the IOP, which shall be prepared by or under the supervision of an accredited private
registered forester whose signature and dry seal shall appear in the plan and the supporting
documents submitted for this purpose.

SECTION 26. Forest Resources within Protection Forestlands. Only nop-timber forest
products shall be allowed to be extracted from protection forestlands and shalll be issued the
appropriate permit, agreement or license, Provided, that harvesting or gathering of timber for
subsistence use of indigenous communities and forest communities shall be allowed but only
in woodlots established by the communities. Any declaration of forest resources as threatene,
and other restrictions shall be in accordance to the Wildlife Act.

SECTION 27. Absolutely Prohibited Activities in Protection Forestlands. Commercial
logging, mining and other similar extractive activities such as but not limited to treasure
hunting shall be absolutely prohibited in protection forestlands.

SECTION 28. Review of Reservations within Protection Forestlands, A\\ reservations made
within protection forestlands shall be reviewed. Reservations which are contrary to the
provisions of this Act, including, among others, mineral or settlement reservations, shall be
withdrawn,

SECTION 29, Commercial Logging Ban in Protection forestlands. There shall be a permanent
ban on commercial logging activities in all protection forests defined, categorized, and sub-
classified in Section 8(a) herein, No licenses, permits, or agreements to cut any timber
therein shall be issued.

SECTION 30. Protection Forestlands covered by Existing Permits, Licenses and/or
Agreements. All existing permits, licenses and agreements shall be reviewed, and, if
protection forestlands are found within an agreement or licensed area, such protection
forestlands shall be immediately excised from said permit, license and/or agreement, and the
holder of the agreement or license shall establish a buffer zone and delineate their boundaries
with the production forestlands, marking the same with concrete monuments, road, or
infrastructure, or any other visible, permanent, and practicable signs.

SECTION 31. Duty of the License Permit-holder. In coordination with the concerned LGU,
the agreement- or license-holders shall protect and conserve such protection area following
plan consistent with the prescribed management plan for key biodiversity areas or similar
strategies by the Department. The agreement or license-holder concerned shall be
accountable for the destruction of such protection forestlands that did not result from force
majeure, and such destruction shall serve as basis, in addition to the other violations
enumerated in this Act hereof, for the termination or revocation of the agreement, license, or
permit, and the filing of proper charges under the NIPAS Act and pertinent forestry laws,
rules and regulations. In the absence of a contractor or agreement holder over such
production forestlands, the delineation of said boundary shall be undertaken and prioritized
by the Department.

SECTION 32.Non-Extension of Timber License Agreements. No extensions shall be made on


any existing TLA, and the area covered by the agreement shall automatically be sub-
classified as protection forestland after the representatives of the Department, the LGUs
concerned, the Department of Agrarian Reform, NGOs, peoples’ organizations, and other
stakeholders had excluded degraded areas that may be subject of a reforestation project.

SECTION 33. Forest Resources within Ancestral Domains/Ancestral Lands, When forest
resources are within ancestral domains/ancestral lands which are otherwise production or
protection forestlands, aside from the necessary permit, license or agreement, the genuine
free, prior and informed consent of the indigenous communities shall also be secured,
Provided, That if the indigenous communities will themselves harvest these resources for
their subsistence or survival use, the provisions of IPRA shall apply and no permits shall be
required as owners of such resources, Provided finally, That, if the indigenous peoples will
themselves harvest such resources for commercial purposes, they shall be subject to the same
limitations and conditions as provided by this Act.

‘The National Commission on Indigenous Peoples (NCIP) shall coordinate and consult the
Department in providing assistance to the indigenous peoples in the sustainable management and
development of forest resources within ancestral lands and domains.

SECTION 34. Mandatory EIA. Any permit, license, agreement or any other instrument to
develop or use forestlands or resources therein, including those found within ancestral
domains/lands that would result in severe soil erosion or environmental degradation shall be
subject to the provisions of Environmental Impact Assessment (EIA) in accordance with
Presidential Decree No. 1151 or the Philippine Environmental Policy, Presidential Decree
No. 1586, Establishing an Environmental Impact Statement System, and this Act.

CHAPTER IV
FOREST MANAGEMENT PLANNING, MONITORING AND ASSESSMENT

SECTION 35. Forestry Master Plan. The Department shall periodically prepare the map, revisit
or review the Forestry Master Plan in consultation with local stakeholders, and shall revise
the said plan according to the provisions of this bill, taking also into consideration
biodiversity conservation, carbon sequestration and other matters of the same import, The
Forestry Master Plan shall be presented to all LGUs, and other stakeholders upon completion
and shall be posted in conspicuous areas and made accessible to the public.

SECTION 36. Sustainable Forest Management Planning. Subject to vested or prior rights, the
Department, in consultation and coordination with LGUs, other government agencies, local
communities, non-government organizations, individual and corporate entities, private
sectors, academic and research institutions, and other concerned sectors shall, within one (1)
year from the effectivity of this Act, develop and adopt a sustainable forest management
strategy for each well-defined watershed or other appropriate forest management unit based
on criteria, indicators, and standards for sustainable forest management which, at their
minimum, address the following requirements:


‘The Department

Rational allocation of forestland uses and promotion of land use practices that
increase productivity and conserve soil, water, and other forestland resources;
Protection of existing forest resources and conservation of biodiversity;

Restoration of denuded areas, making use pf indigenous tree species for biodiversity
conservation in protection forests and buffer strips of water channels and bodies;
Establishment of tree plantations in production forest lands, private lands, and
alienable and disposable lands:

Enhancement of the socio-economic well-being of local communities including
indigenous peoples who are largely dependent on the forest for their livelihood;
Promotion of closer coordination between and among the Department, LGUs, other
national agencies, non-government organizations, local communities, the private
sector, academic and research institutions and other entities in the sustainable
management of forestlands;

Adoption of community-based forest management as a principal strategy in the
management of forestlands and resources; and,

Harmonization and integration of the forest management plan of forestlands and
resources with other plans, such as the forest management plan and the land use plans
of the LGUs, protected areas management plans in areas covered by the same, critical
habitat management plan, barangay development plan, CLUP of cities and
municipalities and physical framework plans of the provinees and the regional
development plans, and be consistent with the ancestral domain management plans
and protected area management plans areas covered.

shall continue to adopt the Master Plan for Forestry Development

subject to periodic review every five (5) years.

Ss

TION 37. Watershed Continuum Management Strategy. The Watershed Continuum

Planning and Management Framework in Environment and Natural Resources shall be
adopted. The strategy for improved watershed resources management shall be demand-
driven, community-based, and multiple- and sustainable-use considering national priorities
and concerns of local stakeholders. Watershed continuum management programs initiated by
the government shall be guided by ecological, socio-cultural, economic, and institutional
sustainability principles. A National Watershed Information System shall be developed to
guide policy formulation, program development, and implementation of watershed
continuum management initiatives. The Department in consultation with the LGUs shall
identify the watershed continuum in the country and provide the maps for each.

SECTION 38. Prioritization of watersheds. A system of prioritization of watersheds
shall be pursued considering the following:

passe

Biodiversity and environmental enhancement;
Cultural and historical value;

Water supply for domestic, irrigation, power, industrial, and commercial use;
Contribution to the economy; and

Effect on downstream areas.


ECTION 39. Forest Resource Database and Monitoring System. Areas identified by
the Department as forests as defined under this Act shall be verified and validated by the
Forest Development Center, including those within ancestral domains and lands. A
centralized forestland resource database shall be made available to the public at all times,
online if possible, which shall consist of comprehensive updated information on the physical,
social, economic, biological, environmental and cultural components of the country's
forestlands and shall include a log control monitoring or timber identification system to
enable the Department and its field offices to track the movement or transfer of timber and
other forest products from a forestland source to their end users. The Department shall
conduct and/or update forest resource inventory at least once every five (5) years to ensure
effective management.

SECTION 40. Environmental Impact Assessment, Resource Accounting and
Valuation. All new environmentally critical projects to be implemented in forestlands, such
as harvesting, grazing and other special uses, mineral prospecting and exploration, and road,
infrastructure, and mill construction, shall be subject to Environmental Impact Assessment
(EIA) in accordance with Presidential Decree No. 1151 or the Philippine Environmental
Policy, and Presidential Decree No. 1586, Establishing an Environmental Impact Statement
System. A scientific resource valuation of impacts of affected biophysical and environmental
elements, and an extended benefit cost analysis shall be used in the FISS. The Department
shall design and implement a system of regular periodic monitoring and assessment using the
Criteria and Indicators as framework and shall formulate appropriate standards as basis for
assessing progress towards sustainable forest management. Furthermore, the Department
shall design and implement an appropriate natural resources accounting and valuation system
for various forestry initiatives. The Department shall establish the total value of forestlands
based on multiple uses, including their environmental services.

CHAPTER V
REFORESTATION AND RESTORATION

SECTION 41. Restoration in Protection Forestlands. The restoration of all critical watersheds
and critical, denuded, and degraded forests within protection areas shall be prioritized. Only
the use of indigenous or native species in the restoration and rehabilitation of protection areas
shall be adopted to enhance biological diversity therein. The LGUs in coordination with the
Department, other government agencies, NGOs, local residents and communities, and other
sectors concerned, shall identify and prioritize forestlands to be reforested. The LGU,
consistent with the watershed continuum plan and the corresponding municipal forest land
use plan may enter into agreements with qualified persons, including forest community
organizations, in the restoration of protection forestlands

SECTION 42. Identification of Restoration Forestlands. LGUs, in cooperation with the
DENR and other government agencies, NGOs, local residents and communities shall identify
and prioritize forestlands to be restored, Provided, priority restoration shall be a band of 200
meters from the boundary of protection areas and protected areas, abandoned mines and
abandoned and idle fishponds for mangrove restoration. For mangrove forests, the LGU shall


prepare a rehabilitation plan to restore mangroves in their area. Provided further, That an
accelerated restoration program in such identified priority protection forestlands shall be
undertaken to raise the forest cover therein at least fifiy percent (50%) of the prioritized area
within five (5) years and eighty percent (80%) of the area within ten (10) years from
effectivity of this Act. The LGU shall allot funds to effectively accomplish restoration either
by its own or through permit, license and/or agreement in protection forestlands. The
Department or other agencies responsible for restoration shall give priority to local
‘communities in the granting of technical and financial assistance for restoration activities,
Provided finally, That assisted natural regeneration (ANR) shall be encouraged in protection
forestlands.

SECTION 43. Reforestation or Tree Plantation Development in Production
Forestlands. In accordance with Section 50 herein, the LGU may enter into joint venture,
co-production, or production-sharing agreement with qualified persons to reforest or to
develop tree plantations in production forestlands, Provided, that palm plantations and the
like shall not be allowed in production forestlands.

TON 44. Reforestation in Forestlands under the Jurisdiction of Other
Government Agencies. Government agencies and institutions having management control
over forestlands pursuant to a law or grant, shall be responsible for the reforestation of
denuded and degraded portions of such forestlands. The reforestation program of these
agencies shall aim to increase the vegetation of the degraded areas using native species, to be
identified jointly by the Department and agency concerned and multisectoral stakeholders.
The concerned agency in coordination with the LGU shall prepare the reforestation plan,
consistent with the watershed continuum plan and determine the ratio of forested areas at any
given time. Failure to reforest denuded and/or degraded forestland identified in the
reforestation plan within the period herein prescribed shall be sufficient ground to request for
reversion of the said forestlands to the jurisdiction and control of the LGU: Provided,
however, That in areas where Community-based Forest Management Strategy (CBFMS)
shall be implemented or where there are existing facilities for basic services such as water
and power as allowed by the Department pursuant to the provisions of this Act, the
completion of the reforestation program shall be subject to the conditions provided in the
instrument to be awarded by the Department and the agency concerned to the participating
local community or individual or in the Forest Management Agreement of contractors
operating such facilities for basic services, as approved by the Department. Provided finally,
that whenever applicable, the use of ANR shall be preferred and community-based forest
management encouraged.

SE:

SECTION 45. Reforestation in Alienable and Disposable Lands and/or Private Lands.
Reforestation or the establishment of tree farms or tree plantations in private lands guided by
the watershed continuum Plan shall be encouraged: Provided, That such private lands and
other alienable and disposable lands are not prime agricultural lands as determined ot
certified by the Department of Agriculture (DA). The private landowner(s) shall also be
entitled to the incentives provided for under Section 44 herein: Provided, That such private
tree plantations are duly registered with the Department. Whenever applicable, use of ANR
shall be preferred and community-based forest management encouraged.


SECTION 46. Incentives of Reforestation or Restoration within Production
Forestlands. To encourage qualified persons to engage in restoration or reforestation
activities, the following incentives shall be granted: i

a. Upon the premature termination of the agreement at ‘no fault of the holder, all
depreciable permanent and semi-permanent improvements such as roads, buildings,
and nurseries including the planted and standing trees and other forest crops
introduced and to be retained in the area shall be properly evaluated and the holder
shall be entitled to a fair compensation thereof, the amount of which shall be mutually
agreed upon by both the LGU and the agreement holder, and in case of disagreement
between them, by arbitration through a mutually acceptable and impartial third party
adjudicator:

b, ‘The agreement holder has the right to transfer, contract, sell, or convey his rights to
any qualified person following the guidelines to be issued by the Secretary, Provided,
that if such restoration or reforestation were conducted within ancestral
domains/ancestral lands, the transferee shall secure the free, prior and informed
consent of the indigenous communities of such ancestral domains/ancestral lands
prior to such transfer; and,
¢. In the event that the area restored has provided ecological services to the
community, user fees shall be allowed as incentives.

‘The Secretary may provide or recommend to the President or to Congress other
incentives in addition to those granted herein and in existing laws in order to promote
reforestation and the establishment of tree plantations, Provided, That in no case shall the
Secretary provide incentives that shall put the State at a gross disadvantage, nor shall the
Secretary provide incentives of non-payment of taxes or other rightful fees due to the State as
provided by other laws.

SECTION 47. Reforestation in Ancestral Domains/Ancestral Lands. Reforestation in
ancestral domains/ancestral lands, if not undertaken by the ICCs/IPs themselves, shall require
the free, prior and informed consent of the ICCs/IPs.

SECTION 48. Reforestation in Protection Forestlands, The Department may contract
out the reforestation and/or management of protection forestlands to any person, Provided,
that such persons should meet the qualifications enumerated in Section 54. The Department
shall reasonably compensate such persons for such reforestation and/or management
activities and extend the necessary assistance in the reforestation and/or management of such
protection forestlands.

SECTION 49. Voluntary Offer to Reforest. Private landowners, whether natural or
juridical persons, may participate in reforestation and plantation development or similar
programs of the LGU or the Department, with the landowner contributing his land and the
LGU or Department furnishing funds to reforest the area on a co-production agreement:


Provided, That the property shall be exclusively devoted to the planting of forest species for
at least one (1) rotation, which undertaking shall be annotated at the back of the title of the
property: Provided, further, That prime agricultural lands as determined or certified by the

\, DA shall not be the subject of a voluntary offer to reforest

\

\ CHAPTER VI

[TY-BASED FOREST MANAGEMENT STRATEGY

COMM)

SECTION 50. Community-Based Forest Management Strategy (CBFMS). Whenever
they are present, forest resident families, communities, indigenous peoples and other
communities whose lives, culture and general well-being are intimately linked with the
forests, shall be entrusted with the responsibility to protect, manage, develop and utilize
resources limited to woodlots and non-timber forest products (NTFP) under the principle of
stewardship. Timber harvesting shall only be allowed in production forestlands designated in
the Community Resource Management Plans (CRMP). The Department together with the
LGUs, and in consultation with affected stakeholders and sectors, shall develop policies,
criteria, guidelines and tenurial instruments that will simplify and allow access of forest
resident families, and local communities to forestland resources. The LGUs will review all
CBFMAS in their jurisdiction to assess performance and determine membership status of the
CBFMA-holder. The Department together with the LGUs, in consultation with affected
stakeholders and sectors, shall furthermore develop policies, and guidelines that promote
partnership between the private sector and forest-based communities in pursuit of sustainable
community forest management activities.

ECTION 51. Areas Available for CBFMS. Subject to prior or vested rights, the
CBFMS may be implemented on all appropriate forestlands excluding the ancestral
domains/ancestral lands of ICCs/IPs. Priority will be given to degraded and denuded

forestlands.

S|

‘The LGU may only allow the implementation of CBFMS in watershed reservations if it
shall promote their protection and rehabilitation; Provided, however that land-use practices and
activities therein are in accordance with a management plan duly approved by the Secretary and
shall not induce severe soil erosion and surface run-off: Provided, further, That no timber
harvesting shall be allowed in forests: Provided also, That no CBFM agreements shall be issued
to non-ICCs/IPs within ancestral domains/ancestral lands, Provided finally, CBFMAS shall not
cover Certificate of Land Ownership Awards (CLOAs) and other tenurial instruments.

SECTION 52. Community Resource Management in CBFM Areas. The management
of forestland resources in CBFM areas shall be embodied in a community resource
management plan, which shall contain the community's vision, aspirations, and strategies in
the management of forestland resources, which shall be consistent with the forestland use
plan (FLUP). Qualified communities shall be provided with appropriate long-term security of
tenure, technical, managerial and financial assistance, training; and other assistance, as the
case may be, to empower them to manage and benefit from the forestland resources on a
sustainable basis.



SECTION 53. Qualified Participants. Organized forest communities shall be given
priority to participate in the CBFM program, Organizations eligible to participate in CBFM
shall have the following qualifications:

a. Members shall be Filipino citizens; and
b. Members shall be any of the following:
i, Traditionally utilizing the resource for their livelihood;

ii. Actually residing within the area for at least five (5) years; and
iii, Residing adjacent and actually tilling portions of the area to be awarded.

SECTION 54. Modes of Management Agreements. ‘The conservation, _ protection,
development, utilization, and management of forestlands and/or forest resources shall be
undertaken under the supervision of the State through the LGUs. The State may directly
undertake such activities or it may enter into co-production, joint venture or production
sharing agreement with qualified Filipino citizens or corporations or associations over the
management of production forestlands, subject to relevant laws, rules and regulations,
Provided, That interested local communities through their organized and duly recognized
associations shall be given priority in the grant of appropriate instruments implementing the
said agreements. Such instruments and/or agreements shall have a duration of twenty-five
(25) years, renewable for another twenty-five (25) years, under such terms and conditions as
may be provided by the Secretary, after observing the qualification of the succeeding
sections; Provided further, That management agreements shall not be issued in favor of any
person covering ancestral domains/ancestral lands without the free, prior and informed
consent of the concerned ICCs/IPs and the recognition and protection of ICCs/IPs rights
under pertinent la

Current valid and subsisting licenses, contracts, or agreements granted by the government
for the development, management, and utilization of forest resources within protection
forestlands shall be allowed to continue under the same terms and conditions until their expiry;
Provided, That no cutting or felling of trees shall be allowed within the said protection
forestlands, Provided further, That such agreements issued within ancestral domains should have
had the free, prior, and informed consent of the ICCs/IPs involved, otherwise, such license,
contracts or agreements shall be cancelled and revoked for violating the rights of said ICCs/IPs.

All agreements entered into pursuant to this section shall be subject to the approval of
and monitoring by the LGU, Provided further, That all applications and approved agreements
shall be posted in public places.

SECTION 55. Terms and Conditions of Agreements. The Department, in coordination with the
LGUs, and, having undergone multi-stakeholder consultations shall formulate rules and
regulations covering the relevant terms and conditions thereof.

SECTION 56. Minimum Conditions for the Issuance of Co-Production, Joint Venture and
Production Sharing Agreement. The following provisions shall be the minimum conditions
for the issuance of co-production, joint venture and production sharing agreement:


a. The holder is a Filipino citizen;

b. The agreement holder shall furnish the necessary management, technology and
financial services when required, as determined by the Secretary; i

¢. Provision/s for government share of revenues and the manner of payment thereof,

d, Provision/s on consultation and arbitration with respect to the interprétation of the
agreement;

Provision/s for anti-pollution and environmental protection measures;

f, Provision/s prescribing the preferential use of indigenous tree species for tree
plantations: Provided, that in case of protections forestlands, only indigenous tree
species shall be used;

g. Provisions for an effective monitoring scheme to be implemented by the LGU, which
shall include, but shall not be limited to periodic inspection of all records and books
of account of the agreement holders;

h. Commitment to community development including capacity building of local
stakeholders;

i, The submission of a management and development plan to be approved by the LGU;
and

j. Other provisions that the LGU shall impose, upon the recommendation of the
Director of the FMB, that will improve and sustain the development and management.
of the forestlands and its resources, which shall include, among others, a projection of
annual income and revenues generated, to be used as basis in the determination of
government shares.

SECTION 57. Transfer. No holder of a co-production, joint venture, or production sharing
agreement or contract shall sub-contract, transfer, exchange, sell or convey the same or any
of his right or interests therein without a written authority from the LGU. Moreover, no
transfer shall be authorized unless the agreement or contract has been in existence and active
for at least three consecutive years from issuance thereof: Provided, That the transferor has
faithfully complied with the terms and conditions of the said agreement or contract; the
transferee has all the qualifications and none of the disqualifications to hold the same; and the
transferee shall assume the obligations of the transferor. Failure to comply with these
conditions shall be sufficient cause for the cancellation of the agreement or contract;
Provided further, That if such agreement cover ancestral domains/ancestral lands, the free,
prior and informed consent of the ICCs/IPs involved with regard to such transfer shall be
secured, otherwise, said agreement shall be cancelled.

SECTION 58. Non-Timber Forest Products. Rattan, bamboos. vines, herbs, exudates and other
non-timber forest products are integral parts of the forest ecosystem. The planting and
sustainable management of non-timber producing species shall be encouraged and supported,
Provided, That they are indigenous species. The development, management and utilization of
non-timber forest products shall be allowed in accordance with the FLUP, and corresponding
laws and regulations enforced by the LGU and consistent with guidelines to be promulgated
by the Department in compliance with national and international policy or agreements.

SECTION 59, Priority to Harvest, Utilize, Gather or Collect NTFP. In granting permits to


harvest, utilize, gather or collect non-timber forest products, in their natural or original state
from forestlands, priority shall be given to forest resident families, local communities, and
indigenous peoples living nearest the subject forestlands; Provided, That the wildlings
collected from the forests shall be utilized for nursery establishments, research and
development, and shall be subject to guidelines formulated in the establishment of nurseries

SECTION 60. Silvicultural and Harvesting System, The Department shall formulate the
appropriate silvicultural and harvesting system and all measures shall be taken to achieve an
approximate balance between growth and harvest that is consistent with the NBSAP. The use
of forest products from production forestlands shall be promoted and practiced.

SECTION 61..Mangrove forest. Cutting in mangrove forests shall be prohibited. The
Department ‘shall formulate a program for the restoration of mangrove forests and shall
promote strategies that are consistent with biodiversity conservation or enhance biodiversity.

SECTION 62. Grazing. Land for grazing purposes shall only be limited to production
forestlands. The Department shall identify and delimit areas suitable for grazing purposes
Provided, That no forestland fifty percent (50%) in slope or over may be utilized for grazing
purposes: Provided also, That vegetation should be sufficient for livestock prior to the grant
of such permits, Provided, further, That existing pasture lease agreements or forestland
grazing lease agreements shall be allowed to continue under the same terms and conditions
until their expiry: Provided also, That burning of grass for the purpose of grazing shall be
prohibited; Provided, finally, That abandoned or idle, expired, or cancelled grazing or pasture
lands shall be subject to land use capability assessment and or land use suitability assessment
to determine their best use or combination of uses. No new grazing or pasture permit, lease,
or contract shall be issued, nor existing ones allowed to continue unless covered by existing
rules and regulations governing the Philippine EIS System and subject to provisions in this
Act.

Existing pasture lease agreements or forestland grazing lease agreements shall be subject
to review and monitoring by the LGU. Recommendations resulting from the review shall be
given primary basis for actions

Applications for new pasture lease agreements or forestland grazing lease agreements
shall be reviewed and approved by the LGU and be covered by existing rules and regulations
governing the Philippine EIS System and subject to provisions of this Act.

SECTION 63. Mining and Power Generation Operations in Forestlands. Forest resources
inside mineral reservations and permitted areas and their management and utilization are
subject to the provisions of this Act. Power generation and small-scale mining operations in
forestlands, except in protection forestlands may be allowed only after the issuance of an
ECC and in compliance with other relevant laws. Mining and power generation shall not be
allowed in protection and restoration areas, Provided, That micro-hydro or other renewable
energy device may be allowed subject to the provisions of this Act.

SECTION 64. Roads and Other Infrastructures. Roads and other infrastructure, including the


development of mineral reservations and energy resources inside forestlands, shall be
constructed with the least impairment to the resource values and with the least impact and
disturbance to biodiversity of the area found in such forestlands. Government agencies and
their contractors undertaking the construction of roads, bridges, communication and other
infrastructure facilities and installations inside forestlands shall seek prior authority from the
Department and shall comply with existing rules and regulations governing the Philippine
EIS System, Provided, That no roads or other infrastructure shall be constructed in protection

forestlands.

CHAPTER VIEL

WOOD-BASED INDUSTRIES

SECTION 65. Establishment and Operations of Timber-Based Industries. The State,
through the Department, may promote the establishment, operation, and development of
timber-based industries only in production forestlands:

SECTION 66. Incentives for Timber-Based Industries. All agreements pertaining 1
timber-based industries shall also be subject to review by the Department under procedures
to be formulated by the Department with mandatory consultation with stakeholders. ‘The
following incentives are hereby granted in addition to those already provided by law:

All processing plants or mills shall be assured of their supply of raw materials,
preferably but not exclusively from local sources;

b. Alll processing plants or mills shall be granted operating permits for five (5) years
renewable for another five (5) years: Provided, That permits for processing plants
owned or operated by holders of timber plantation agreements or contracts shall be
co-terminus with said agreements or contracts.

Warranties to and agreements with existing integrated forest-based plants to ensure the
availability of raw materials shall be subject to the process for as long as such integrated plants
are operating. Agreements or licenses over production forestlands granted to timber-based plants
shall not be automatically converted into any mode authorized in this Act. Holders of expired
agreements may apply for a new permit, license or agreement subject to the provisions of this
Act. Permit holders are allowed a period of twenty-five (25) years, renewable for another twenty-
five (25) years, for a maximum of fifty (50) years. Expansion in capacity of timber-based plants
shall be encouraged and the same shall be given priority access to production forestlands and
other areas available for development as source of raw materials.

SECTION 67. Export and Sale of Locally Produced Wood Products. No natural grown
trees shall be cut, gathered, harvested or removed from forests. Logs, lumber and other
finished products from tree plantations shall be exported only under such guidelines as the
Secretary may promulgate and certified as coming from the production forestlands by LGUs.
A certification process shall be formulated by the Department in consultation with key


stakeholders,

SECTION 68. Compliance of Grading Rules. No person shall sell or offer for sale any
log, lumber, veneer, plywood or other manufactured wood products in the international or
domestic market without complying with the grading rules established by the government.
Failure to adhere to the established grading rules and standards, or any act of falsification on
the volume of logs, lumber, veneer, plywood or other wood products sold in the international
or domestic market shall be sufficient cause for the cancellation of export license, wood
processing permit, or other license or permit authorizing the manufacture or sale of such
products.

CTION 69. Importation and Sale of Logs and Other Forest and Wood Products.
Logs, lumber, and other forest- and wood-based products may be imported to the country
subject to the authorization of the Secretary and to the tariff and duties under Presidential
Decree No. 1464 as well as quarantine regulations. Any product manufactured or re-
manufactured out of imported forest and wood materials shall be allowed to be sold in the
domestic or international market: Provided, That the grading rules and standards therefore
are complied with, otherwise the sanctions in Section 69 hereof shall be imposed.

CHAPTER IX

CHARGES, FEES AND GOVERNMENT SHARE

SECTION 70. Fees and Government Shares for the Utilization, Exploitation,
Occupation, Possession of and Activities within Forestlands. The Department shall
prescribe appropriate government shares, including and rentals for the different kinds of
utilization, exploitation, occupation, possession, or activities within forestlands: Provided,
That payment of or collection of such fees and rentals shall be waived for parties/industries
mandated by law to manage, conserve, develop and protect forestlands and forest resources
found therein, except administrative fees for the filing and processing of applications for the
issuance and renewal of licenses, permits, and agreements: Provided, further, That watershed
administrators and/or service contractors that have forest management agreements with the
Department as provided for under Section 84 of this Act shall also be entitled to the waiver
of fees, except administrative fees.

The State shall collect government shares from income, rentals or other fees, as owner of
the resource and for its regulatory function. The guidelines to be formulated should ensure
equitable sharing between the national government and LGUs.

In order for the Department to prescribe appropriate and equitable fees for the use of
water and other forest resources by parties/industries concerned for power generation, domestic
and industrial irrigation, carbon sequestration and biodiversity benefits respectively, by
parties/industries concemed taking into consideration natural resource valuation in. the
assignment of fees and ensuring equitable sharing of benefits between concerned national


goverment agency and LGU, the Department shall initiate the creation of an inter-agency task
force for this purpose.

SECTION 71. Timber Charges. There shall be collected charges on each cubic meter of
timber cut in forestlands, using direct and indirect values, whether belonging to the first,
second, third or fourth group, twenty-five percent (25%) of the actual freight of board (FOB)
market price based on species and grading: Provided, however, That, in the case of pulpwood
and matchwood cut in production forestland, forest charges on each cubic meter shall be ten
percent (10%) of the actual FOB market price.

SECTION 72. Charges on Firewood, Branches and Other Recoverable Wood Wastes
of Timber. There shall be.collected timber charges of one percent (1%) of the market price
on each cubic meter of firewood cut in production forestlands, branches and other
recoverable wood wastes of timber, such as timber ends, tops and stumps, when used as raw
materials for the manufacture of finished products, Provided, That the cutting of all
mangrove species shall be prohibited, Provided fiyther, That only third of fourth group wood
may be taken for firewood, Provided finally, That, if jointly authorized by the Secretaries of
both the Department and the DA, first and second group woods may be removed from land
which is more valuable for agriculture than for forest purposes, subject to the charges in the
preceding section.

SECTION 73. Charges on Non-Timber Forest Products, All other forest products of
forestlands which are not covered by the preceding section shall be exempted from any or all
forest charges, except rattans, gums resins, beeswax, guttapercha, almaciga, resin, bamboo,
vines, herbs, exudates and other species with commercial value, which shall be charged at ten
percent (10%) of the actual FOB market price.

SECTION 74. Determination of Market Price of Timber and Non-timber Products. The
actual FOB market price of timber products shall be justly determined once a year by the
Secretary: Provided. that the Secretary shall cause the creation of a committee to be
composed of representatives of the Department, the National Economic and Development
Authority, the Department of Trade and Industry, the Bureau of Internal Revenue and the
wood and furniture industry and consumers, LGUs, academe, NGOs and other concerned
sectoral representatives which shall formulate the criteria and/or guidelines in the
determination of the actual FOB market price taking into consideration direct and indirect
values to be used as the basis for the assessment of the ad valorem tax, taking into
consideration production cost (developing cost, contingencies, and miscellaneous cost),
species and grade of timber, government share, reforestation, tariff duties, taxes, risk
involved, and a reasonable margin of profit for domestic and export market prices for timber
and timber products.

Timber charges shall also be applied to naturally growing timber and timber products
gathered from alienable and disposable lands and private lands. Timber charges collected shall
be in lieu of the administrative charge on environment and other fees and charges imposed
thereon: Provided, That planted trees and other timber products harvested from industrial timber
plantations and private lands covered by existing tiller or by approved land application are


exempted from payment of timber charges.

The duties incident to the measuring of timber products and the invoicing and collection
of the charges thereon shall be discharged by the LGU who shall likewise provide for the time,
manner, and place of payment of such charges under regulations of the Department,

SECTION 75. Fees for Administrative Services Rendered by the Department.
Reasonable fees shall be collected for various services rendered by personnel of the
Department in connection with their duties and responsibilities as may be requested by
interested parties, including but not limited, to surveying, mapping and other similar service
activities: Provided, That administrative fees shall be waived for services rendered to local
communities or indigenous peoples in the preparation of their management plans, Provided
further, That a percentage of the fees collected shall support the furtherance of formal
forestry education.

SECTION 76. Forest Conservation and Development Fund (FCDF). A Forest Conservation
and Development Fund (FCDE) to be administered by the LGU is hereby established to provide
sustainable funds for forest protection, restoration and management, including the operations of
the municipal forest management boards, rehabilitation and preservation of watershed areas,
CBEM program, information and educational campaign as well as scholarship programs, policy
research and development. At least seventy percent (70%) of the forest charges and government

share in all products removed from the forestlands, rentals, proceeds from sales of confiscated

forest products including conveyance and penalties, and administrative fees collected
shall be set aside for the buildup of the FCDF. The fund may be augmented by grants, donatior
endowment from various sources, domestic or foreign for purposes related to their functions:

Provided, That fees collected by the LGU consistent with the management plans formulated shall

directly accrue to the said LGUs account: Provided, further, that a portion of the fees collected

shall also go to the host communities, which protect and maintain these watersheds, from which
the headwaters emanate.

Disbursements from the fund shall be subject to the usual accounting and budgeting rules
and regulations: Provided, That no amount shall be disbursed to cover the operating expenses of
the Department and other concerned agencies. The forest management board will recommend to
the Municipal Council the thrusts for fund allocation.

SECTION 77. Fees from Payment for Environmental Services (PES). The ERDB shall
formulate a certain value to environmental services, taking into account the positive and negative
spillovers of the use of such resources or externalities, and establish appropriate pricing,
institutional and redistribution systems that will lead to sustainable and socially optimal land use
practices. PES is a form of payment for ecosystem services as a method of internalizing the
positive and negative extemalities associated with a given ecosystem or a specific resource use.

CHAPTER X

TREE PARKS


SECTION 78. Establishment of Tree Parks in Subdivision and Tree Planting on
Roadsides. Every subdivision project to be developed after the passage of this Act shall
include the establishment of a tree park of not less than fifty percent (50%) of the required
total open spaces as provided in Section 2 of Presidential Decree No. 953, requiring the
planting of trees in certain places. Guidelines for the establishment of tree parks within a
Subdivision shall be prepared jointly by the subdivision owner concerned, the Housing and
Land Use Regulatory Board (HLURB) and the Department. The subdivision owner shall
provide the funds for' this purpose. These guidelines and allocation of funds shall be a
condition precedent in the approval of the subdivision plan

For every major public road or irrigation construction project, the Department of Public
Works and Highways (DPWH) shall include the planting and maintenance of appropriate trees
along the road/highway or irrigation canals as landscaped areas every twenty-five (25)
kilometers thereof, whenever appropriate, and shall provide adequate funds for this purpose.
Each city and municipality shall also allocate adequate funds for the planting, care and
maintenance of trees or perennial shrubs in “greenbelts’ or ‘green spaces’ such as road/street
sides, center islands, among others.

CHAPTER XI

PROTECTION

SECTION 79. Assistance of Law Enforcement Agencies. The LGUs and the Department
may call upon law enforcement agencies and instrumentalities of the Government such as the
Philippine National Police (PNP), the Armed Forces of the Philippines (AFP), and the
National Bureau of Investigation (NBI) for the enforcement of the forest-related laws, rules
and regulations.

SECTION 80. Role of Local Residents. \t shall be incumbent upon LGUs concerned to
render assistance in protecting and conserving forestlands within their respective territorial
jurisdiction. Qualified local residents may be deputized by the LGUs to assist in the drive
against illegal logging, kaingin-making and forestland occupation. These deputized residents
shall likewise be authorized to arrest forest violators within their communities subject to
existing laws and regulations on arrest and detention. The LGUs shall provide assistance to
these deputized residents in cases instances of citizens" arres

TION 81. Prevention of Forest Fires. The concemed LGUs, in cooperation with the
Bureau of Fire Protection (BFP) and the Department, shall formulate and implement a fire
prevention and control program.

SECTION 82. Control of Forest Pests and Diseases. The Department shall likewise
formulate and implement a national integrated forest pest and disease management program
including quarantine procedures for imported forest seeds and forest products to prevent,
minimize or control forest pests and diseases in the reforestation strategies.


SECTION 83. Prohibition on Genetically Engineered and Transgenic Trees. Planting!
introduction and/or use of genetically engineered (GE) and transgenic trees are prohibited in

all forestlands. ‘

SECTION 84. Information and Rewards System. The LGU shall establish an
information and rewards system as part of the community’s participation in the protection of
forest resources. The rewards shall be payable immediately upon the establishment of prima
facie proof of violation. When an information given leads to the seizure of logs or timber
and other forest product and results in a conviction, the informer shall also be entitled to
twenty percent (20%) of the gross value of the recovered or scized forest resource. The
implementation of the rewards system shall be in collaboration with the Department, the
Forest Management Board and the Philippine National Polic

CHAPTER XII
RESEARCH, EDUCATION, TRAINING AND EXTENSION

SECTION 85. Research and Technology Development Transfer. Research and
technology development transfer shall be strengthened to support sustainable management of
forest resources. The Department, the Department of Science and Technology (DOST), the
Commission on Higher Education (CHED), and the State Universities and colleges shall,
within one (1) year from the passage of this Act, prepare a comprehensive sustainable
national forestry and environmental research and technology development and transfer
program in furtherance of sustainable forest management which shall be implemented,
monitored, and reviewed in accordance with existing research management. systems.
Adequate and sustainable funds to implement research and technology development plans
and transfer program shall be provided by each of the aforementioned agencies and
institutions under the General Appropriations Act.

Appropriate funds shall be allotted for research and development.

SECTION 86. Public Information, Education and Advocacy Campaign. With the
support from LGUs, NGOs, media and other organizations, the Department, the Philippine
Information Agency (PIA), the Department of Education (DepEd), CHED, State-owned and
private universities and colleges shall formulate and implement a nationwide program for
sustained public information and advocacy campaign for forest and natural resources
conservation and sustainable forest development and management. The DepEd shall include
subjects on environment, forest and natural resources in the curricula for elementary and high
school education. The CHED shall likewise include mandatory ecology and environment
courses in the general education curricula. Congress shall allocate funds to the Department
for the purpose of coordinating a systematic campaign to promote community ecological
awareness, including the preparation of informational and educational materials therefore. A
percentage of appropriations specified in Section 122 shall be set aside for this purpose.


SECTION 87. Formal Forestry, Agroforestry and environmental Education.- The
CHED, in collaboration with the Department, the Board of Examiners for Foresters of the
Professional Regulations Commission (PRC), Philippines Forestry Education Network,
Philippine Agroforestry ‘education and Research Network, Environmental Education
Network of the Philippines and the duly accredited national professional | foresters
organization shall actively pursue the rationalization of formal forestry education by
assigning higher weights on non-limber extraction subjects. The licensure exam shall require
minimum units on forest restoration related subject and the establishment of centers of
excellence in forestry and environmental education to ensure high quality manpower output
to meet the needs of the forestry sector and the country as a whole. The following areas shall
be strengthened: t

Sustainable forest management;

‘Natural resource management;

Biodiversity conservation;

Wildlife conservation;

Wildlife management;

Entrepreneurship on non-timber forest resources;

Environmental laws; :

Forest restoration technology;

Environmental science; and

Community development.

a i

SECTION 88. Continuing Education on Forestry. A non-formal program of continuing
education shall be established to maintain the growth of the forestry profession. The PRC
Board of Examiners for Foresters and the Civil Service Commission (CSC) shall provide the
guidelines for a program in continuing education in forestry. In cooperation with academic
institutions, the Department shall develop the infrastructures to institutionalize non-formal
continuing education for the forestry sector.

SECTION 89. Training Centers. In coordination with TESDA, DepEd, CHED and State
Universities and Colleges (SUCs) and other relevant institutions, stakeholders and local
communities, the Department shall establish and institutionalize a network of training centers
in strategic parts of the country to provide regular and up-to-date training on the various
aspects of sustainable forest management and restoration to forest guards, LGUs, NGOs,
local communities, and indigenous peoples. Furthermore, the Department shall ensure that
personnel appointed to critical and sensitive positions undergo training to prepare them to
discharge their duties and responsibilities professionally, efficiently and effectively.

SECTION 90. Policy Research and Development Network. The Deparment, through the
Ecosystem Research and Development Bureau (ERDB), and in collaboration with the SUCs
and private university and institutions, shall form part of a network to serve as the primary
policy research and development center for forestry and natural resources management. The
Network shall perform its functions in close coordination with the Department and other
policy research institutions in the country. It shall assist the Department in the formulation,
review, and evaluation of proposed and existing policies on forestry and natural resources


management.

CHAPTER XIII
! OFFENSES AND PENALTIES

SECTION 91, Non-Establishment of Tree Parks/Communal Forests. Any city, municipality or
subdivision owner who fails to establish tree parks as provided in Sections 76 herein shall be
punished by a fine of not less than One Hundred Thousand Pesos (P100,000.00) nor more
than Five Hundred Thousand Pesos (P500,000.00). The subdivision plan will not be given
approval until guidelines have been formulated and funds have been allocated for the

purpose.

SECTION 92. Harvesting, Gathering and/or Collecting Timber or Other Forest Products
without Authority. Any person who shall harvest, cut, gather, collect, or remove timber or
other forest products from any forestland, or timber from all forestlands, whether protection
or production forestlands, or inside alienable and disposable public land and private lands
except as provided, or forest resources in alienable and disposable lands without authority
from the Secretary or found to possess the same without pertinent required legal documents
shall be punished by imprisonment ranging from prision mayor minimum period to reclusion
temporal minimum period and/or a fine equivalent to ten (10) times the value of the said
forest product bist not less than Fifty Thousand Pesos (50,000.00): Provided, That in the case
of partnerships, associations or corporations, the president, managing partner, and general
manager shall be held liable, and if such officer is an alien, he shall, in addition to the
penalty, be deported without further proceedings on the part of the Bureau of Immigration
and Deportation. Offenders who are public officials shall be deemed automatically dismissed
from office and permanently disqualified from holding any elective or appointive position.

All timber or any forest products cut, gathered, collected, removed, or possessed and all
the conveyances, machinery, equipment, implements, work animals, and tools used in connection
with this violation shall be seized and confiscated in favor of the State.

SECTION 93. Megal Cutting as an Act of Economic Sabotage. Any of the acts enumerated in
the preceding section committed by an armed group or by any group through organized and
systematic manner, for commercial purposes, shall be considered an act of economic
sabotage punishable by reclusion perpetua.

The commission of any of the prohibited acts by two or more individuals with or without
the aid of any mechanical device shall constitute a prima facie evidence that the act is organized
and systematic.

Any permittee/agreement holder who shall buy logs from unlicensed loggers or loggers
operating without permits shall be considered in violation of this Act and, upon conviction, shall
also be punished with reclusion perpetua.


SECTION 94. Use of Illegally Cut Timber in Government Infrastructure Projects, Contractors
of government infrastructure projects shall obtain certification from the Department that the
logs or lumber to be used therein were obtained from legitimate sources. The use of illegally
cut naturally grown timber from protection forests or illegally cut timber from production
forests in government infrastructure projects shall be sufficient cause for the imposition of
penalties provided in Section 88, on harvesting of forest products without authority, and
Section 89, on illegal cutting as an economic sabotage, including the withholding of the
payment to the contractor.

SECTION 95. Grazing Livestock on Forestlands without a Permit. Any person found to have
caused the grazing of livestock in forestlands and grazing lands without an authority under a
lease or permit to graze, upon conviction, shall be penalized with imprisonment of not less
than two (2) years nor more than four (4) years and a fine equivalent to ten times the regular
rentals due in addition to confiscation of the livestock and all improvements introduced in the
area in favor of the government, and shall restore the affected area into the original state of
the natural resource; Provided, That in case the offender is a corporation, partnership, or
association, the officer or director thereof who directly caused or ordered such shall be liable.
In case the offender is a public officer or employee, he shall, in addition to the above
penalties, be deemed automatically dismissed from office and permanently disqualified from
holding any elective or appointive position in the government service.

SECTION 96, Unlawful Occupation or Destruction of Forestlands. Any person who, without
authority from the Secretary, enters and occupies or possesses, or engages in kaingin-making
for his own private use or for others, any forestland or grazing land, or in any manner
destroys such forestland or part thereof, or causes any damage to the timber stands and other
forest product found therein, or assists, aids or abets another person to do so, or sets a fire, or
negligently permits a fire to be set therein, or refuses lawful orders to vacate the area when
ordered to do so shall, upon conviction, be punished with penalties in the amount of not less
than One Hundred Thousand Pesos (P100,000.00) nor more than Five Hundred Thousand
Pesos (P500,000.00) and imprisonment of not less than six (6) years nor more than twelve
(12) years for each offense: Provided, That in the case of an offender found guilty of kaingin-
making, the penalty shall be imprisonment of not less than ten (10) years nor more than
twelve (12) years and a fine equivalent to eight times the regular forest charges due on the
forest products destroyed without prejudice to payment of the full cost of rehabilitation of the
occupied areas as determined by the Department: Provided, further, That the maximum of
the penalty prescribed herein shall be imposed upon the offender who repeats the same
offense, and double the maximum penalty upon the offender who commits the same offense
for the third time or more. In all cases, the court shall further order the eviction of the
offender from the area occupied and the forfeiture to the government of all improvements
made therein, including all vehicles, domestic animals and equipment of any kind used in the
commission of the offense. If not suitable for use by the Department, said improvements,
vehicles, domestic animals and equipment shall be sold at public auction, the proceeds from
which shall accrue to the FCDF. If the offender is an alien, he shall be deported after serving
his sentence and payment of fines, without any further proceedings. An offender who is a
government officer or employee, shall, in addition to the above penalties, be deemed
automatically dismissed from office and permanently disqualified from holding any elective



or appointive position in the government service.

SECTION 97. Illegal Conversion of City or Municipal Parks, Communal Forests, and Tree
Parks in Subdivisions. Any person found to have converted or caused the conversion of a
city or municipal park or communal forest, or tree parks within subdivisions established
Pursuant to Sec. 75 herein and Section 2 of Presidential Decree No. 953, requiring the
planting of trees in certain places, into other uses including the construction of permanent
buildings therein, or in any manner destroys or causes any damage to the timber stands and
other forest product found therein, or assists, aids or abets another person to do so, or sets a
fire, or negligently permits a fire to be set therein, upon conviction, shall be penalized by
imprisonment of six (6) years and one (1) day to twelve (12) years or a fine of not less than
One Hundred Thousand Pesos (P100,000.00) nor more than Five Hundred Thousand Pesos
(P500,000.00), or both fine and imprisonment at the discretion of the Court. The offender
shall likewise be imposed a fine equivalent to eight times the commercial value of the forest
products destroyed without prejudice to payment of the full cost of rehabilitation of the areas
as determined by the Department: Provided, further, That the maximum of the penalty
prescribed herein shall be imposed upon the offender who repeats the same offense, and
double the maximum penalty upon the offender who commits the same offense for the third
time or more. The court shall further order the forfeiture to the government of all
improvements made therein, including all vehicles, domestic animals, and equipment of any
kind used in the commission of the offense. If not suitable for use by the Department, said
improvements, vehicles, domestic animals and equipment shall be sold at public auction, the
proceeds from which shall accrue to the FCDF. An offender who is a government officer or
employee, in addition to the above penalties, shall be deemed automatically dismissed from
office and permanently disqualified from holding any elective or appointive position in the
government service.

SECTION 98. Misdeclaration or Falsification of Reports on Forest Resource Inventory,
Sealing, and Survey by a Government Official or Employee. Any public officer or
employee who knowingly misdeclares or falsifies reports pertaining to forest resource
inventory, scaling, survey, and other similar activities which are contrary to the criteria and
standards established in the rules and regulations promulgated by the Secretary thereof, after
an appropriate administrative proceeding, shall be dismissed from the service with prejudice
to re-employment, Upon conviction by a court of competent jurisdiction, the same public
officer or employee shall further suffer an imprisonment of not less than eight (8) years nor
more than twelve (12) years and a fine of not less than One Hundred Thousand Pesos
(P100,000.00) nor more than Five Hundred Thousand Pesos (P500,000.00) and the
termination of license to practice forestry if the offender is a professional or registered
forester: Provided, That the inventory, survey, scale, classification, and similar reports
referred herein shall be rendered null and void.

SECTION 99. Unlawful Operation of Sawmills. Any person operating a sawmill or mini-
sawmill without authority from the Secretary shall be punished by a fine of not less than Two
Hundred Fifty Thousand Pesos (P250, 000.00) and confiscation of the sawmill or mini-
sawmill and complementary equipment in favor of the government for appropriate
disposition.


SECTION 100. Unlawful Operation of Wood Processing Plants and Downstream
Industries. Any person operating a wood processing plant or downstream forest-based
industry without authority from the Secretary, shall be punished by, upon conviction by a
court of competent jurisdiction, imprisonment of not less than eight (8) years nor more than
twelve (12) years and a fine df not less than Five Hundred Thousand Pesos (P500,000.00)
and confiscation of the wood processing plant and complementary equipment in favor of the
government. The Department shall promulgate the necessary guidelines, subject to the
provisions of this Act that will define the terms and conditions for the operation of a wood
processing plant and/or other downstream forest-based industries.

SECTION 101. Prohibition on the Issuance of Tax Declaration on Forestlands. ~ Any
public officer or employee who issues a tax declaration for any purpose on any part of
forestlands, upon conviction, shall be penalized with imprisonment for a period of not less
than four (4) years nor more than eight (8) years and perpetual disqualification from holding
an elective or appointive office. The tax declaration shall be considered null and void. Tax
declarations within protection forestlands shall be reviewed and be cancelled after due
process.

SECTION 102. Unlawful Possession of Implements and Devices Used by Forest
Officers. Any person found possessing or using implements and devices used by forest
officers shall be penalized with imprisonment of not less than eight (8) years nor more than
twelve (12) years and a fine of not less than One Hundred Thousand Pesos (P100,000.00) nor
more than Five Hundred Thousand Pesos (P500,000.00) in addition to the confiscation of
such implements and devices and the automatic cancellation of any license agreement,
license, lease or permit.

Any forest officer who willingly allowed unauthorized person(s) to use these implements
and devices under his care shall be penalized with imprisonment of not less six (6) years and one
(1) day to no more than twelve (12) years and a fine of not less than One Hundred Thousand
Pesos (P100,000.00) nor more than Five Hundred Thousand Pesos (PS00,000.00).

In addition, the said forest officer shall be dismissed from the service with prejudice to
reinstatement and with perpetual disqualification from holding an elective or appointive position.

SECTION 103. Unauthorized Introduction of Logging Tools and Equipment Inside
Forestlands. It shall be unlawful for any person or entity to possess, bring, or introduce any
logging tools or equipment inside forestlands without prior authority, from the Secretary or
his duly authorized representative. Any person found guilty of illegal possession of said
logging tools or equipment shall be liable to imprisonment of six (6) years and one (1) day to
twelve (12) years or a fine of not less than One Hundred Thousand Pesos (P100,000.00) nor
more than Five Hundred Thousand Pesos (P500,000.00) or both imprisonment and fine, and
confiscation of said logging tools and equipment in favor of the government.

SECTION 104. Non-Payment and Non-Remittance of Forest Charges. Any person who
fails to pay the amount due and payable as forest charges to the government shall not be



allowed to transport, convey, sell, nor use the timber or forest product. Moreover, failure to
pay within thirty (30) days upon assessment of forest charges shall be a ground for
confiscation of the said timber or forest product in favor of the government. Any person who
fails or refuses to remit to the proper authorities said forest charges collegtible pursuant to the
provisions of this Act or the National Internal Revenue Code, as amended, or who delays,
obstructs or prevents the same, or who orders, causes or effects the transfer or diversion of
the funds for purposes other than those specified in said Acts shall, upon conviction, be
imprisoned for not less than six (6) years nor more than ten (10) years and fined from One
Hundred Thousand Pesos (P100,000.00) nor more than Five Hundred Thousand Pesos
(P500,000.00). If the offender is a corporation, partnership, or association, the officers and
directors thereof shall be liable.

SECTION 105. Institution of Criminal Action by Forest Officers. Avy forest officer
shall arrest any person who has committed or is about to commit, or is committing in his
presence any of the offenses defined in this chapter. The tools, animals, equipment and
conveyances used in committing the offense, and the forest products cut, gathered, taken or
possessed by the offender in the process of committing the offense shall also be seized and
confiscated in favor of the government. The arresting forest officer shall thereafter deliver
within thirty-six (36) hours from the time of arrest or seizure both the offender and the
confiscated forest products, conveyances, tools and equipment, or the documents pertaining
to the same, and file the proper complaint with the appropriate official designated by law to
conduct preliminary investigation and file information in court. If the arrest and seizure are
made in the forest far from authorities designated by law to conduct preliminary
investigations, the delivery to and filing of the complaint with the latter shall be done within
a reasonable time sufficient for ordinary travel from the place of arrest to the place of
delivery. The seized forest products, materials, conveyances, tools and equipment shall be
immediately disposed of in accordance with the regulations promulgated by the Secretary.

The Secretary may deputize any agency, barangay official, or any qualified person to
protect the forest and exercise the powers or authority provided for in the preceding paragraph.
Reports and complaints regarding the commission of any of the offenses defined in this chapter
not committed in the presence of any forest officer or any of the deputized officers shall
immediately be reported to the forest officer assigned in the area where the offense was allegedly
committed. Thereupon, the investigating officer shall receive the evidence supporting the report
or complaint and submit the same to the appropriate official authorized by law to conduct a
preliminary investigation of criminal cases and file the information in court,

The Secretary of Justice shall designate in every city and province a special prosecutor
who shall file charges against forest violators to ensure their speedy prosecution.

SECTION 106, Liability of Custodian of Confiscated Forest Products. Any public officer
who fails to produce the timber or forest products, including tools, conveyances, equipment,
and devices in his custody pursuant to a seizure or confiscation made thereon, or who shall
appropriate, take, misappropriate, or shall permit another person to take such timber forest
products wholly or partially, shall suffer the penalty provided for in Article 217, on
Malversation of Public Funds or Property, of the Revised Penal Code. In addition, the said


public officer shall be dismissed from service with prejudice to reinstatement and with
perpetual disqualification from holding any elective or appointive office.

CHAPTER XIV
ADMINISTRATIVE PROVISIONS

SECTION 107. Strengthening of the Forest Management Sector. Only qualified
environmental management professionals and practitioners shall be appointed to the positions
of Director and Assistant Director of the FMB as well as to all other positions where the
services of professional foresters e.g. CENRO are required in accordance with existing laws
and the relevant rules and regulations issued by the Civil Service Commission (CSC) and the
Professional Regulations Commission (PRC).

SECTION 108. Administrative Authority of the Secretary or his Duly Authorized
Representative to Order Confiscation. \n all cases of violations of this Act or other forest
laws, rules, and regulations, the Secretary or his duly authorized representative may order the
confiscation of forest products illegally harvested, cut, gathered, removed or possessed or
abandoned, and all conveyances used either by land, water, or air as well as all machinery,
equipment, implements, and tools used in the commission of the offense and to dispose of the
same in accordance with pertinent laws, regulations, or policies on the matter.

‘The Secretary may order that the sale of confiscated perishable forest resources at public
auction even before the termination of the judicial proceedings, following the applicable Rules
on Evidence, with the proceeds of such sale kept in trust to await the outcome of the judicial
proceedings.

No court of the Philippines shall have jurisdiction to issue any Writ of Replevin,
restraining order, or preliminary mandatory injunction in any case involving or growing out of
any action by the Secretary or his duly authorized representative in the exercise of the foregoing
administrative authority.

SECTION 109. Cancellation of Permits, Licenses, Agreements. The Secretary moti
proprio ot upon the filing of a petition, may cancel any permit, license or agreement.

SECTION 110. Administrative Authority of the Secretary to Impose Fines. In all cases of
violations of this Act and other forest laws, rules and regulations where fine is the principal
penalty, the Secretary is hereby authorized to impose administratively the penalty consisting
of the amount and the schedules of the fine which shall be officially published in a national
newspaper of general circulation.

SECTION L11. Authority of Forest Officers. When in the performance of their official
duties, forest officers or other government officials or employees duly authorized by the
Secretary or deputized as such shall have free entry into areas covered by a contract,
agreement, license. lease or permit. Forest officers are authorized to inspect and to open


closed vans suspected to contain illegally harvested, collected or transported forest product:
Provided, That it is done in the presence of the shipper or consignee or two (2) responsible
public officials in the locality, Provided further, That in cases where entry shall be in
ancestral domains/ancestral lands, said persons shall secure the free, prior and informed
consent of the ICCs/IPs therein. Forest officers are authorized to administer oath, take
acknowledgment in official matters connected with the functions of their office, or take
testimony in official investigations conducted under the authority of this Act and the
implementing rules and regulations issued by the Secretary pursuant thereof,

SECTION 112. Visitorial Powers. The Secretary or his duly authorized representative
shall, from time to time, investigate, inspect, and examine records and other documents
except bank records related to the operation of any person granted the privilege, contract, or
agreement to utilize forest resources to determine compliance with the terms and conditions
stipulated in the grant, contract or agreement, this Act, and pertinent laws, rules, and
regulations,

SECTION 113. Transparency. Records, agreements, applications and all other pertinent
documents as well as conditions to the same shall be made available to the public at all times.
Records pertaining to the specific limits of forestlands shall also be made available to the
public. Moreover, the Department shall furnish all provincial, municipal and city
government units copies of the maps of permanent forestlands located within their respective
territorial jurisdictions.

SECTION 114. Other Incentives. Twenty percent (20%) of the value of confiscated
materials shall be used as incentives to informants, forest management council, forest
management boards, including Department personnel. They shall also be entitled to free legal
assistance should legal cases be filed against them in the performance of official duties.

SECTION 115. Suits and Strategic Legal Actions against Public Participation and the
Enforcement of This Act. Where a suit is brought against a person who filed an action as
provided in Section 113 of this Act, or against any person, institution or government agency
that implements this Act, there being no grave abuse of authority, it shall be the duty of the
investigating prosecutor or the court, as the case may be, to immediately make a
determination not exceeding thirty (30) days whether said legal action has been filed to
harass, vex, exert undue pressure or stifle such legal recourses of the person complaining of
or enforcing the provisions of this Act. Upon determination thereof, evidence warranting the
same, the court shall dismiss the case and award attorney’s fees and double damages. This
provision shall also apply and benefit public officers who are sued for acts committed in their
official capacity, there being no grave abuse of authority, and done in the course of enforcing
this Act.

SECTION 116. Citizens’ Suits. For purposes of enforcing the provisions of this Act or its
implementing rules and regulations, any citizen may file an appropriate civil, criminal or
administrative action in the proper court against

a, any person who violates or fails to comply with the provisions of this Act or its


implementing rules and regulations; or

b. the Department or other implementing agencies with respect to orders, rules and
regulations issued inconsistent with this Act; and

€. any public officer who willfully or grossly neglects the performance of an Act
specifically enjoined as a duty by this Act or its implementing rules and regulations,
or abuses his authority in the performance of his duty, or in any manner, improperly
performs his duties under this Act or its implementing rules and regulations:
Provided, however, That no suit can be filed until after a thirty-day notice has been
given to the public officer and the alleged violator concemed and no appropriate
action has been taken thereon.

The court shall exempt such action from the payment of filing fees, and shall, likewise, upon
prima facie showing of the non-enforcement or violation complained of, exempt the plaintiff
from the filing of an injunction bond for the issuance of a preliminary injunction

SECTION 117. Protection to Witnesses in Cases Involving Violation of Forestry Laws.
Witnesses to violations of this Act or other forestry laws and regulations, including the
immediate members of the family of said witnesses shall be given protection, security and
benefit, subject to the provisions of Republic Act No. 6981, otherwise known as’ “The
Witness Protection, Security and Benefit Act” and its implementing rules and regulatio

SECTION 118. Rule-Making Authority. In consultation with the NCIP, the DILG, the
Department of Finance, the leagues of provinces, cities, and municipalities, other goverhment
agencies mentioned herein and other relevant stakeholders (i.e. academic institutions,
NGOS), the Department shall promulgate the implementing rules and regulations within one
(1) year from the effectivity of this Act.

SECTION 119. Congressional Oversight Committee. There is hereby created a
Congressional Oversight Committee composed of seven (7) members from the Senate
Committee on Environment and Natural Resources and seven (7) members from the House
of Representatives Committee on Natural Resources. The Chairpersons of the corresponding
committees shall also be the Co-chairpersons of the Oversight Committee.

The secretariat of the Oversight Committee shall be drawn from the existing secretariat
personnel of the committees comprising the oversight and the funding shall be taken from the
iations of both the House of Representatives and the Senate.

CHAPTER XV
FINAL PROVISIONS

SECTION 120. Transitory Provisions. Upon the approval of this Act, the Department
shall evaluate the conditions of all forestlands covered by existing TLAs, licenses, or permits
and the like, which shall be allowed to continue until their expiry; Provided, That cutting or
felling of trees in forests shall be prohibited, Provided further, that such TLA, license,


permits and other instruments shall be terminated for the following grounds:
a. When the licensee has been found to be a dummy of an otherwise disqualified or

unqualified person;

b. When the licensee has been found to be farming out the license or receiving royalty
of any kind;

c. When the licensee has been found to be cutting or operating outside the limits of the
license or within an area specifically designated or sub-classified by the Department
as protection forestland:

d, When the licensee has been found to be allowing illegally-cut timber to be invoiced
under its license;

e. When the licensee has been found to be inducing any other person to log in other
areas in violation of the Department's regulations;

f. Failure to submit to the Department the required copies of auxiliary invoices covering
timber manifested under the license:

g. Failure to leave undamaged an adequate stand of young trees for residual growing
stock or for seeding purposes and fo employ the necessary number of laborers needed
for timber management worl

h, When the licensee has, for the third time after written waming, intentionally cut,

injured or destroyed trees marked by forest officers and unmarked poles and saplings

for future growing stock, seeding, or protection;

‘ailure to employ the required number of concession guards as determined by the
Department;

j. Failure to ptotect the concession or license area or parts thereof from being converted
into kaingin, or from illegal timber cutting, and other forms of trespass;

k. When the licensee has been found to have failed to put up the processing plant for the
area within the required period, when made a condition in the award of the area and
the grant of the license;

1. Failure to pay pending forest accounts;

m. Failure to maintain and make conspicuous the approved and established boundaries of
his concession or license area;

n, Failure to suspend operations within a conflicted area when so required by the
Department or its authorized representatives, pending final decision of the conflict;

0. Allowing a contractor to operate the license area or concession; and

p. Violation of any of the terms and conditions of the license, the NIPAS Act and its
implementing rules and regulations, the Wildlife Resources Conservation and
Protection Act, or any of the provisions of law on internal revenue and labor, and
Department regulations

Any of the violations enumerated above will be cause for the immediate cancellation of the
permit, timber license agreement or any other similar instrument.

Provided, That the Department shall immediately take control of the land and consult with the
concerned LGU and/or local communities for the proper management of the area covered by the
said cancelled permit, TLA or instrument.

SECTION 121. The relevant agencies shall formulate the appropriate rules and regulations


said cancelled permit, TLA or instrument.

The relevant agencies shall formulate the appropriate rules and regulations for the
implementation of this Act.

SECTION 121. Appropriations. The amount necessary to initially implement the
provisions of this Act shall be charged against the appropriations of the Department of
Environment and Natural Resources in the current General Appropriations Act. Provided
further that a share from the VAT on oil and natural gas, emission testing tax, flood control
tax, road users tax, and the Reforestation, Watershed Management, Health and/or
Environment Enhancement Fund, pursuant to Section 4 of Republic Act No. 9136, otherwise
known as the Electric Power Industry Reform Act of 2001 (EPIRA), and its Implementing
Rules and Regulations (IRR), shall be appropriated to fund provisions in this Act. Thereafter,
such sums as may be necessary to fully implement the provisions of this Act shall be
included in the annual General Appropriations Act. For local government units, the funding
requirements shall be taken from their internal revenue allotment (IRA) and other sources of
income including the income derived from the shares from the different modes of agreement.

SECTION 122, Separability Clause. Should any provision herein be declared
unconstitutional or invalid, the same shall not affect the validity or legality of the other
provisions.

SECTION 123. Repealing Clause, Subsections (b), (d), (¢), (f), (g), and (i) of Section 4 of
Act No. 3915; Republic Act Nos. 460 and 7161; Presidential Decree Nos. 705, 1153,
1515,1559,1775 and 1998; Letter of Instruction No. 818; Executive Order Nos. 277, series of
1987, and Executive Order No. 725, series of 1981, are hereby repealed, and all laws, orders,
rules and regulations, or any part thereof which are inconsistent herewith are likewise hereby
repealed or amended accordingly: Provided, That this Act shall not in any manner amend the
IPRA, NIPAS law and the Wildlife Resources Act.

SECTION 124. Effectivity. This Act shall take effect thirty (30) days from the date of its
publication in the Official Gazette or in at least two (2) national newspapers of general
circulation.