FIFTEENTH CONGRESS ¥
REPUBLIC OF THE PHILIPPINES )
FIRST REGULAR SESSION

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez and
Representative Maximo B. Rodriguez, Jr.

House Bill No._ 2112

EXPLANATORY NOTE

The Constitution states that the Armed Forces of the Philippines (AFP)
is the “protector of the people and the state and its goal is to secure the
sovereignty of the state and the integrity of its national territory’. For this to
happen, the AFP requires funding to be able to purchase the necessary
equipment and vehicles to perform its duties properly.

However, there have been numerous accounts detailing how the
different equipments of the AFP are not up to par and have the tendency to
break down, from rifles misfiring to aircrafts crashing. There is therefore a
need to upgrade and modernize the AFP in order to cope with its duties to
protect the country from its enemies internally and externally.

The AFP does not have the required funds to implement a
modernization program even if the AFP Modernization Act of 1995 allotted a
total of P331 billion over 15 years for upgrading its capabilities. However, only
P28.9 billion has been budgeted. And in order to raise the needed funds, the
AFP is urged to lease to the private sector over 150 hectares of properties
‘owned by its three major services. The Philippine Navy has a 25-ha property,
while the Air Force has 33 ha and the Army over 100 ha in prime areas that
could be put up for rent. Among these “high-value” assets are golf courses,
condominiums, hotels and other properties under the Bases Conversion
Development Authority which the AFP believes can earn “billions” —enough
to sustain its modemization for 30 to 50 years.

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

RUFUS B. R¢ IGUEZ

MAXIMO B. RODRIGUEZ, JR.


FIFTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES =)
FIRST REGULAR SESSION )

HOUSE OF REPRESENTATIVES

Introduced by Representative Rufus B. Rodriguez and
Representative Maximo B. Rodriguez, Jr.

2112

House Bill No.,

AN ACT
AUTHORIZING THE ARMED FORCES OF THE PHILIPPINES TO LEASE
OUT SOME OF ITS PROPERTIES TO RAISE FUNDS FOR ITS
MODERNIZATION.

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

‘SECTION 1. Declaration of Policy. - The Armed Forces of the Philippines is
the protector of the people and the State. Its goal is to secure the sovereignty
of the State and the integrity of the national territory.

SEC. 2. The Armed Forces of the Philippines (AFP) hereby authorized to
lease out some of its properties to qualified entities to be able to raise funds:
Provided, that the entire amount realized from the leasing out of its properties
shall be exclusively used for the modemization of the AFP and for the
increase in the benefits and welfare of the soldiers.

SEC. 3. The funds raised shall be used for:

a. The improvement of the healthcare of the soldiers;

b. The improvement of the facilities and equipments of military
hospitals;

c. The improvement of lifesaving capabilities and lifesaving equipment
of soldiers in combat;

d. The purchase of protective equipment of soldiers like Kevlar
helmets and bullet proof vests;

e. The purchase of new combat vehicles like ships, armored
personnel carriers, tanks, helicopters and fighter planes;

f. The purchase of high-quality military equipment like rifles and
ammos; and

g. Other similar purposes aimed at improving the lives of our soldiers
and modemization of the AFP.


SEC, 4. The Department of National Defense and the AFP shall issue the

tules and regulations necessary for the implementation of the provisions of
this Act

SEC. 5. Separability Clause. — if for any reason any provision of this Act is
declared unconstitutional or invalid, parts or provisions of this Act which are
not affected shall continue to be in full force and effect.

SEC. 6. Repealing Clause. — This Act shall not repeal nor modify any law or
executive order already granting loans or scholarship grants to deserving
students. The loan program in this Act shall be in addition to these programs.
SEC. 7. Effectivity Clause. — This Act shall take effect fifteen (15) days after
its publication in two (2) newspapers of general circulations.

Approved,