Republicoft`Lephilippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila
NINETHENTH CONGRESS
First Regular Session
HouseBillNo.8056
Introduced by Representative Midy N. Cua
Lone District, Quirino
\€< \Lat.   . L`uQS/.ti
)`
RECEIVED
fffL=:;  i .+-i:
`     ,  `     ~`
TlmE-Em_ ,I
th3tt
AN ACT DECLARING THE PHILIPPINE MHRCHANT MARINE ACADEMY AS THE NATIONAL
MARITIME ACADEMY, EXPANDING ITS POWERS AND FUNCTIONS, AND
APPROPRIATING FUNDS THEREFOR
EXPLANATORY NOTH
llie  Philippine  Merchant  Marine  Academy  was  originally  founded  as a school  for merchant  maritime  officers  as
r:scuela Nautica de Manila through a Spanish Royal Decree issued on January  I,1820, The school was inaugurated
on April  5,1820 at lntramuros, Manila. Since then, the PMMA has undergone multiple developments and changes
throughout the country' s history.
Considering  the  importance  of the  institution  and  its  place  in  our  nation's  history,  this  proposed  bill  seeks  to
strengthen  the  PMMA  and  declare  it  as  the National  Maritime  Academy  and to  establish  an  integrated maritime
education, training,  and research institution whose quality of instruction is  at par with  international  standards, and
whose mission, goals, and objectives are attuned to the development aspirations of the country,
This measure previously passed the third reading in the  l8th Congress. It was proposed by Representatives Rufus 8.
Rodriguez, Mark 0. Go, Cheryl P. Deloso-Montalla, Sandro L. Gonzalez, Macnell M. Lusotan, Evelina G. Escudero,
Aurelio "Dons" D. Gonzales, Jr., Kristine Singson-Meehan, France L. Castro, Diego `Nonoy" C. Ty, Alan "Aldu" R.
Dujali, Amihilda J. Sangcopan, Angelo Marcos Barba, Cesar "Jawo" L. Jimenez, Jr., Joseph "Jojo" L. Lara, Leonardo
L.  Babasa, Jr., Yasser Alonto Balindong,  Maximo Y.  Dalog,  Jr., Corazon T. Nufiez-Malanyaon,  Krisine Alexie 8.
Tutor, Irene Gay F. Saulog, Stella Luz A. Quimbo, Maricel G. Natividad-Nngafio, MD., Sarah Jane I. Elago, Gabriel
H.  Bordado,  Jr.,  Maria Fe  R.  Abunda,  Ruth  Mariano-Hemandez,  Marisol  C.  Panotes,  Pablo John  "PJ"  F.  Garcia,
Allan  Benedict  S.  Reyes,  Leo  Rafael  M.  Cueva,  Dahlia A.  Loyola,  Victor A.  Yap,  Strike  8.  Revilla,  Deogracias
Victor "DV" 8. Savellano, Joey Sarte Salceda, Amulfo Bryan 8. Fuentebella, Joy Myra S. Tambunting, Teodorido T.
Hareso,  Jr.,  Jose  "Jun"  L.  Ong,  Jr.,  Sergio  C.  Dagooc,  Jose  Gay  G.  Padiemos,  Estrellita 8.  Suansing,  Horacio  P.
Suansing,  Jr.,  Junie  E.  Cua,  John Marvin  "Yul  Servo"  C.  Nieto,  Rose  Marie  "Baby" J.  Arenas,  Jericho  Jonas 8.
Nograles, Jose "Ping-Ping" I. Tejada, Micaela S. Violago, Rico 8. Geron, Sbiniano S. Canama, Jose Enrique "Joet"
S. Garcia, 111, Sharon S. Garin, Adriano A. Ebcas, Jake Vincent Villa, Joseph Stephen "Caraps" S. Paduano, Michael
8. Gorriceta, Anthony Peter "Onyx" D. Crisologo, Virgilio S. Lacson, Wilton "Tonton" Tan Kho, Jumel Anthony I.
Espino, and Erie Go Yap as principal authors thereof.
In view of the foregoing, approval of this measure is earnestly sought.


Republicoft`hePhilippines
HOusE OF rfupRESENTATIVEs
Quezon City, Metro Manila
NINETEENTH CONGRESS
First Regular Session
HouseBil|No.8056
Introduced by Representative Midy N. Cua
Lone District, Quirino
AN ACT DECLARING THE PHILIPPINE MERCHANT MARINE ACADEMY AS THE NATIONAL
MARITIME ACADEMY, EXPANDING ITS POWHRS AND FUNCTIONS, AND
APPROPRIATING FUNDS THEREFOR
Be it enacted by the Senate and House Of Representatives Of the Philippines in Congress assembled:
I        SECTION  I.  Sfaor/  rj.f/e.  -  This  Act  shall  be  known Merchant  as  the  "Pfe!./jFpj.#e A4crrl.#e 4cadeny Bz.Ce#/e#'#j.cz/
2       Charter".
3
4
5
6
7
8
9
]0
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
SIC.  2.  Doc/arcr/j.o#  o/ Po/j.ey.  -The  State  shall  establish,  maintain  and  support  a  complete,  and  adequate,  and
integrated  system  of maritime  educatiolb  training,  research  relevant  to  the  needs  of the  country  and  at  par  with
international standards. It shall also advance and develop the maritime competency of the nation.
To this end, the Philippine Merchant Marine Academy shall be declared as the National Maritime Academy
with a inission of molding merchant marine professionals -imbued with nationalism,  leadership traits,  and positive
character  development  and  who  constantly  pursue  excellence  in  their  professions,  and  endeavor  to  contribute
positively to society and their respective communities.
SEC.  3,,  Pfoi./IPpz.»e Merc¢cr#/ "clr!.#e Acac7em)/.  -  The  Philippine  Merchant Marine  Academy  (PMMA)  is  hei.eby
declared as the National Maritime Academy.
As the national maritime academy of the country, the PMMA shall take the lead in setting academic standards
and initiating irmovations and with the following objectives:
a)    To produce efficient and well-trained merchant marine professionals whose technical capacities
are comparable to their counterparts in other progressive countries and who can ably respond to
the needs of domestic and intemational trade and commerce;
b)   To produce a pool of highly trained manpower to serve as naval, maritime law enforcement, and
hydrographic officers for the country;
c)    To provide baccalaureate and graduate degree programs in maritime education and related fields
of study;  train,  assess,  and  certify  to  the  respective  levels  of competency  of students  and  for
merchant  marine  ratings;  and  issue  the  corresponding  certificates  and  diplomas  in  accord€mce
with  Republic  Act  No.  10968,  otherwise  known  as  the  "PfoJ./jzxpz.#e  gcta/J#cc]/i.o#s  Frtzmenvork
rpoF/  ,4cf",  with  the  standards  and  certification  requirements  of  international  treaties  and
regulations;


I
2
3
4
5
6
d)   To serve as the center for research in maritime and allied fields, enabling the PMMA to support
knowledge accumulation and policy development for the maritime sector; and
e)    To   serve   as   a   regional   and   global   academy   in   cooperation   with   international   maril:ime
organizations,  networks  of universities,  scholarly  and  professional     associations  in  the  Asia
Pacific region and around the world.
7
8       SEC. 4. 4cat7emz.c Freedon czrod /#s/i./"/i.o#cJ/ 4#/o#ow}J. -The PMMA shall enjoy academic freedom and institutional
9       autonomy pursuant to paragraph 2, Section 5 of Article XIV of the constitution.
10
11
12
13
14
15
16
17
18
19
20       development, security and law enforcement. It shall also serve as the direct link of the PMMA to the private sector and
21        the different government departments, agencies, and iustrumentalities, including
22       government-ouned-orand-controlled colporatious (GOCCs).
23
24
25
26
27
28
29
The PMMA  shall  be under the  supervision  of the  Commission on  Higher Education  (CHED)  which  s;hall
determine its teaching, research and extension thusts, plans, policies, programs and standards in accordance with the
policies, standards and guidelines of the CHED.
SEC.  5.  IVcz/i.o#a/  Mcrrj./jme  JieSearch  cz#cJ  Po/i.c};  Ce#/er.   -  As  part  of  its  commitment  to  national  Research
development, the PMMA shall establish a National Maritime and Policy Center, hereinafter referred to as the Center,
which shall engage in research for the development and advancement of the maritime industry.
The  Center  shall  have  the  of  primary  responsibility  generating  policy  research  for  maritime  industry
Through the Center, the PMMA, with the approval of its Board of Trustees, as mentioned in Section 7 of this
Act, shall harness the 'expertise of the members of its community and other individuals, and regularly study the stat,e of
the nation  in relation to its quest for national development in the primary areas of maritime education and training,
maritime administration. trade, and law enforcement, among others.
Graduates of the  PMMA  may be  appointed  by  the  CHED to  serve  as technical  evaluators upon  acquiring
30       Management Level Certificates.
31
SEC.  6.  4cac7emz.c  O#erj.#gr.  -  The  PMMA  shall  develop,  design,  deploy,  and  confer  degrees  as  appropriate;,  in
accordance  with the  Philippine Qualifications  Framework  (PQF)  Level  11  to  VII  and  covering technical-vocational
education and training (TVET), undergraduate, and graduate programs in the fields of maritime and allied disciplines.
35
36                      Graduates  of the  PMMA  may  be  appointed by the  CHED  to  serve  as technicallevaluators  upon  acquiring
37       Management Level certificates.
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
In order to meet the needs of the national government and domestic and international trade, the PMMA may
add,  remove,  or  revise  any  undergraduate  and  graduate  degree  programs  and  technical-vocational  certificate  or
diploma courses within the maritime field according to its capabilities as the Board of Trustees may deem necessary to
cany out its objectives: Provj.ded, That no undergraduate and graduate degree programs shall be offered without the
approval  of the  CHED  and  the  Maritime  Industry  Authority  (MARINA)  and that the  undergraduate  and  graduate
programs shall comply with the minimum requirements of the CHED and the MARINA: ProvjdecJ/wrffeer, That no
TVET  program  shall  be  offered  without   the  approval  of and  compliance  with the  minimum requirements  of the
Technical Education and Skills Development Authority (TESDA).
SEC. 7. Boart7 o/ rrws/eec. -The governance of the PMMA is vested in its Board of Trustees, hereinafter referred to
as Board, which shall be the chaired and co-chaired by the Chairperson of the CHED and the PMMA Superintendient,
respectively. Its members shall include the following:
a)    Chairperson of the Senate Committee on Higher, Technical and Vocational  Education or the authorized
representative;
b)   Chairperson of the House Committee on Higher and Technical Education or the authorized representative;
c)    Secretary of the Department of Transportation @OTr) or the authorized representative;
3


1
2
3
4
5
6
7
8
9
10
]1
12
13
14
15
16
17
18
19
20
21
22
23
24
25
d)   Director General of the National Economic and Development Authority or the authorized representative;
e)   Director General of the TESDA or the authorized representative;
f)    Flag officer of the philippine Navy (PN);
g)   Commandant of the philippine coast Guard (PCG);
h)   Administrator of the MARINA;
i)    President of an accredited association of manning agents;
j)    President of the duly recognized federation of alumni associations of the PMMA;
k)   President  of  the  duly  recognized  federation  of  faculty  associations  of  the  PMMA  representing,  all
personnel and who shall serve for a term of two (2) years;
I)    President of the duly recognized federation of midshipmen who shall serve for a term of one (I ) year;
in)  President of the Society of Naval Architects and Marine Engineers, Inc.; and
n)   Two  (2)  other  trustees  from  the  business  sector  who  have  distinguished  themselves  in  the  maritime
profession to be appointed by the Board,  as  recommended by the  search  committee constituted by  the
Board, and who shall serve a term of two (2) years.
26       SEC. 8. Bocrrd Secre/czry. -The Board shall appoint a Secretary, upon the recommendation of the who shall PMMA
27       Superintendent, serve as such for both the Board and the PMMA.
28
29                      The Board Secretary shall keep all official records of the PMMA and send the notices of regular meetings,
special sessions, and other undertakings of the Board.
32       SEC. 9. Powers a#cJF#72c/;.o#s o/ffoe Bocrrd. -The Board shall have the following powers and functions in additioin to
33        its general powers of administration:
34
35
36
37
38
39
40
4]
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
a)    Promulgate policies, as may be necessary, to carry out the purposes and functions of the PMMA and in
accordance with the declared State policies on education, other pertinent provisions of the Constitution on
education, agriculture, science and technology, and the policies, standards and thrusts of the CHED uiider
Republic Act No. 7722, otherwise known as the "Hz.gfoer Edwcc}tr.o# f4c/ o//994";
b)   Approve the curricula.  instructional programs,  and rules of discipline drawn by the Administrative  and
Academic Councils herein prt>vided;
c)   Appoint,  upon  recommendation  of the  Superintendent  of the  PMMA,  Deputy  Superintendents,  deans,
directors, heads of departments, faculty members and other officials and employees of the PMMA;
d)   Appoint  and  commission  the  corps  of officers,  faculty members  and other  officials  and  employees;,  to
draw up a position classification and compensation plan for its faculty and staff and notwithstanding the
provision of any law to the contrary, to fix and adjust salaries and benefits of the faculty members and
other employees of the PMMA;
e)    Extend,  with  their  consent,  the  tenure  of  faculty  members  of the  PMMA  beyond  the  compulsory
retirement  age,  notwithstanding  the  provision  of any  law  to  the  contrary,  on  recommendation  of the
concerned  units  upon  endorsement  of  the   Superintendent  of  the  PMMA,  whenever  their  services
especially  needed:  Provz.dec7,  feowever,  That  no  extension  of tenure  shall  be  made  beyond  the  age  of
seventy (70);
I)    Fix  a,nd  adjust  the  salaries  of  the  corps  of  officers,  faculty  members,  administrative  officials  and
empl{)yees, subject to the provisions of the Revised Compensation and Position Classification System and
other  pertinent  budget  and  compensation  laws  governing  hours  of service,  and  such  other  duties  and
4


conditions as it may deem proper; grant, at its discretion, leaves of absence under such regulations {as it
may promulgate, notwithstanding the provision of any existing law to the contrary; and remove themi for
cause in accordance with the requirements of due process of law;
g)    Set the policies on admission and graduation of midshipmen;
h)   Fix the tuition fees and other necessary school charges, such as matriculation, graduation and laboratory
fees, as the Board may deem proper to impose, after due consultation with the concerned sectors. The fees
and charges, including government subsidies and other income generated by the PMMA, shall consti,tute
special trust funds, and shall be deposited in any authorized government depository bank. All interests that
shall accrue there from shall form part of the same funds for the use of the PMMA.
i)    Adopt and implement a socialized scheme of tuition and other school fees for greater access for poor but
deserving  students  in  accordance  with  Republic  Act  No.10931  or  the  "U#i.vcrsc}/ j4ccess  /a  g#{7/J.ty
Tertiary Education Acl:..,
j)    Receive and appropriate sums as may be provided by law, and all other sums in the manner it may, in its
discretion, determine to caITy out the purposes and functions of the PMMA;
k)   Establish  research  and  extension  centers  to  promote the  development  of the  PMMA  and  contribute to
national development;
1)    Adopt modem  and  innovative modes of transmitting knowledge for the promotion of greater acces,s to
education such as the use of information technology9  ladderized   education, dual   training system, open
distance leaning, and community laboratory;
in)  Forge  academic  arrangements  for  institutional  capability  building  with   appropriate   institutions   and
agencies, public and private,  local and foreign, and to appoint experts or specialists as consultants,  part
time or visiting or exchange professors, scholars, and researchers, as the case may be;
n)   Develop  consortia and  other economic  forms  of linkages  with  local government units,  institutions  and
agencies, both public and private, local and foreign, in futherance of the purposes and objectives of the
PMMA;
o)   Collaborate with the governing bodies of other state universities and colleges and local universities  and
colleges  in the  country,  especially  service  academies  such  as  the  Philippine  Military Academy  and  the
Philippine National  Police  Academy  under the  supervision  of the  CHED  and  in consultation  with  the
Department of Budget and Management (DBM),  in  restructuring the PMMA to make it more efficjient,
relevant, productive and competitive;
p)   Authorize an external management audit of the PMMA, to be fmanced by the CHED. subject to the rules
and  regulations  of the  Commission  on  Audit  (COA),  and  institute  reforms,  including  academic  and
structural changes, on the basis of the audit results and recommendations;
q)   Import economic, technical, and cultural books and publications;
r)    Enter into joint ventures with business and industry  for the profitable development and management of
economic  assets,  the  proceeds  of which  shall  be  used  for  the  development  and  strengthening  of the
PMMA;
s)    Receive  subsidies, trust,  legacies, gifts and donations of real and personal properties of all  kinds and to
administer  and  dispose  of the  same  when necessary  for the  benefit  of the  PMMA,  and  subject to  the
limitations, directions and instructions of the donor, if any, and to the following conditions:
Such donations, including from the GOCC subsidies and other income generated by the PMMA,
shall constitute special trust funds and shall be deposited in any authorized government depository banlq
and all interests that shall accrue therefrom shall form part of the same funds for the use of the PMMA;
5


1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
Notwithstanding any  provision  of existing  laws,  rules  and  regulations  to  the  contrary,  any
income generated by the PMMA from tuition fees and other charges, as well as from the operation of
auriliary services and land grants shall be retained by the PMMA, and may be disbursed by the Board
for its instruction, research, extension or other programs or projects: Prow.dad, That all fiduciary fees
shall be disbursed for the specific purposes for which these are collected;
If,  for reason beyond its  control, the  PMMA  shall  not be able to pursue any project for wlhich
funds have been appropriated and allocated under its approved program of expenditures, the Board may
authorize the use of said funds for any reasonable puxpose which, in its discretion, may be necessary and
urgent for the attainment of the objectives and goals of the PMMA.
t)    Extend the term of the Superintendent of the PMMA beyond the age of retirement but not beyond the age
of seventy (70), based on the guidelines, qunliflcations and standards set by the Board: Provided, That: the
performance  of  the  Superintendent  has  been  rated  by  the  Board  as  outstanding  and  a  unanimous
recommendation for such extension has been decided upon by the search committee;
u)   Establish policy guidelines and procedures for participative and transparent decision-making within  the
PMMA;
v)   Privatize the management of nonacademic services such as health, food, building or grounds or property
maintenance, and such other similar activities where most advantageous to the PMMA;
w)  Authorize the construction or repair of its buildings, machinery,  equipment and other facilities, and the
purchase  and  acquisition  of real  property  and  other  school  property    such  as  the  necessary  supplies,
materials and equipment; and
x)   Promulgate rules and regulations not contrary to law, as may be necessary, to carry out the purposes and
functions of the PMMA.
29
30       SEC.10.  A4lee/i.#gr  o//Ae  BoarcJ.  -The  Board  shall  regularly  convene  at  least  once  every  quarter.  However,  the
31        Chairperson of the Board may, upon three (3) days' prior written notice, call a maximum of four (4) special meetings
32       whenevernecessary.
33
34
35
36
37
38
39
40
41
42
43
44
A  quoruin  of the  Board  shall  consist of the  majority  of all  its  members  holding office  at the  time  of the
meeting: Provj.ded, however, That the Chairperson of the CHED or the Superintendent of the PMMA is among those
present in the meeting.
In case the Chairpersons of the Congressional Committees on Education shall not be able to attend the Board
meeting, they may duly designate their respective representatives to attend the said meeting, who shall have the s,ame
rights and responsibilities as a regular member of the Board.
The members of the Board shall not receive any salary, but shall be entitled to reimbursements for actual and
necessary expenses incurred, either in their attendance to meetings of the Board or in connection with their official
business authorized by resolution of the Board, subject to pertinent existing laws and regulations.
45
46        SEC.11. Swperj.#/e#c7e7!f.  -The PMMA  shall  be headed by a Superintendent who shall render full-time service  and
47       shall be selected and appointed by the Board based on the results of the selection process ofa duly constituted search
4 8        comm ittee.
49
50                      The  Superintendent shall  have  a term  of four (4) years  and be eligible  for reappointment to  another t€mn:
51        Provj.ded,  That  in  order  to  effect  a  smooth  transition  upon  the  effectivity  of this  Act,  the  incumbent  PMMA
52       Superintendent shall continue to serve as such until the completion of the unexpired term prior to the effectivity of this
53        Act.
54
55                      The Superintendent shall preferably be an alumnus of the PMMA's undergraduate degree program who has
56       meritoriously excelled in a chosen field of endeavor in an executive or managerial position in the maritime industry,
57       may  it be in the private or government sector.  The person must possess a graduate degree in any maritime field of
58        specialization from a recognized institution.
6


1
2
3
4
5
6
7
8
9
Upon election  by the Board, the  Superintendent shall  enjoy the rank, benefits and compensation of a Rear
Admiral of the Navy during the first term, and a Vice Admiral during the second term.
The powers and duties of the Superintendent of the PMMA, in addition to those specifically provided unrder
this Act, shall be those usually pertaining to the Office of the Superintendent or Offlce of the President of a chartered
institution for higher education, and those delegated by the Board.
Within  six  (6)  months  before  the  expiration  of the term  of office  of the  incumbent  Superintendent of. the
10       PMMA, the Board shall constitute the search committee for superintendence.
11
12                      In  case  of  a  vacancy  in  the  Office  of  the  Superintendent  by  reason  of  death,  compulsory  retirement,
13       resignation, removal for cause or incapacity of the superintendent to perform the functions of the office, the Board
14       shall designate an officer-in-Charge (OIC) of the PMMA within six (6) months from the date of vacancy, pending; the
15       appointment of a new superintendent: Provr.c7ed, That the oIc is an alumnus of the undergraduate degree program of
16       the PMMA and shall come from its line officers.
17
18                      The successor or OIC shall serve only the unexpired portion of the term of the superintendent.
19
20        SEC.12. PA4^44  C».gcl7iz.zcz/;.o#. -The PMMA organization shall be a regimental civilian armed uniformed academic
21        unit similar to the PCG with a military-naval rank for its coips ofofficers and may be integrated into the PCG or the
22       Armed Forces of the philippines (AFP) in times of war or national emergency, upon the directive of the commander-
23        In-Chief.
24
25                      The PMMA organization shall be composed of the PMMA corps of officers, its civilian employees, and the
26       PMMA corps of midshipmen.
27
28                      The PMMA Corps of officers shall be composed of the officers assigned to undertake administrative services,
29       research  services,  and technical  faculty  who  shall  be  further  categorized  as  line officers,  maritime  professors,  and
3 0        technical officers.
31
32
33
34
35
36
37
38
39
40
41
The  civilian  employees  shall  be  composed  of personnel  who  shall  undertake  administrative  and  support
functions, and categorized as administrative support, technical support and faculty and specialized persormel.
The PMMA corps of midshipmen shall be composed of all undergraduate midshipmen who have satisfact(>rily
completed their probationary period unless otherwise deleted from the roster following due process.
The PMMA  shall,  in consultation with the CHED, DBM,  and the Department of National Defense (DND)
formulate its organizational structure and staffing pattern.
A Table of Organization Seniority, and Lineal List shall be submitted annually by the PMMA to the Board for
42        itsapproval.
43
44
45
46
47
48
49
50
51
52
53
54
SEC. 13. rech#j.a.c7/ Fclcw/ty, Imp/a);ees, c7nd Courw//cl#ts. -To ensure quality, relevant and up-to-date education,, the
PMMA  shall  maintain  pool  of local  and  jntemational  part-time  faculty  members  teaching technical  subjects,  and
employees  and  consultants  perfoming  technical  work.  These  technical  faculty,  employees  and  consultants  must
possess special knowledge, skil]s and know how on the various fields of the maritime industry. They shall enjoy just
and commensurate compensation comparable to the compensation of their counterparts in the private sector, as may be
deemed appropriate by the Board. They shall also have the privilege to arrange their specific work schedules.
SEC.  14. 4c77"j.#!.strcr/z.ve  Cownez./.  -  An  Administrative  Council  shall  be  created  which  shall  be  composed  of the
Deputy   Superintendents,  Assistant  Superintendents,   Superintendent  as  Chalxperson,  deans,  directors,  and  other
offlcials of equal rank as members. The Administrative Council shall review and recommend. in accordance with. the
direction of the Board, appropriate policies governing the administration, management and development planning of
55        the PMMA.
56


1        SEC.15. 4cac7emz.c Cow#cz./. ~ An Academic council shall be created with the superintendent as the chairperson., for
2       Academics as Deputy superintendent vice-Chairperson, and all the members of the faculty with the rank of not loiwer
3       than assistant professor as members.
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
In  accordance  with  Section  4,  paragraphs  (i)  and  (o)  of Republic  Act No.  8292,  otherwise  known  as  the
"fJj.gfeer Edwcczfjow A4loc7er#z.zcr/!`o# 4c/ o/ /997", the Academic Council shall exercise the following powers:
a)    Determine, review and recommend for approval of the Board the course offerings of the PMMA;
b)   Devise,  draft,  review and recommend  for approval  of the Board the rules of discipline of,  and  for  the
PMMA; and
c)   Fix the requirements for the admission of students to the PMMA as well as for their graduation and the
conferment of degrees,  and  submit the  same to the  Board for review and  approval  in  accordance with
Section 4, paragraph 0) of Republic Act No. 8292.
SEC. 16. J+7c7ustry-4cczc7e"e Cow#c7./. -There shall be established an advisory body to be called the Industry-Acadieme
Council (lAC) chaired by the Superintendent,  with the Deputy Superintendent for Academics as Vice Chairperson,
two  (2)  members  representing the  merchant maritime  industry,  one  (1)  member each  from  the CHED,  PN,  PCG,
National  Mapping and Resource  Infomation Authority (NAMRIA)-Hydrography Branch,  Bureau of Fisheries  and
Aquatic Resources (BFAR) and the TESDA Director General, the Undersecretary  of tlre Deparment of Educa,tion
(DepEd) for senior high school, and the Chairperson of the Board of Naval Architects.
The IAC shall exercise the following powers:
a)    Review curricular offerings of the PMMA and recommend enhancement thereof to the Academic
Council:
b)   Determine and monitor research projects jointly undertaken by the PMMA and the industries for
the Board's information and action; and
c)    Serve as  clearing house  for project proposals  involving the academe  and  the  industries  an'd to
recommend appropriate action to the Board.
35       SEC.  17.  Jtegri/crr  Canp"see.  ~ The  PMMA  may  establish  regular campuses  in  strategic  areas  in the  country,  to
36       futher  fulfill  its  academic  mission  of providing  technical-vocational  courses,  undergraduate,  and  graduate  degree
37       programs and its commitment to national development: Provi.ded, That the PMMA shall comply with the requirements
38
39
40
41
42
43
44
45
46
47
48
49
of the CHED on the establishment of campuses.
SEC.18. A4w/fj.-Ro/c rro!.#z.#g yesise/. -The PMMA shall acquire and maintain at least one (1) state of the art, diesel-
hybrid  mufti-role training  vessel  to  serve  as  a training ship  for midshipmen and  in  canying out such  activities  as
patrols, research studies, and surveys in line with its role in, and commitment to national development.
Upon the directive of the President of the Republic of the Philippines, the multi-role training vessel shall be
used  for humanitarian,  diplomatic  and disaster response  operations:  Provj.dec7,  That the expenses  incurred  for  s;uch
operations shal)  be charged against the concerned government agencies and instrumentalities as may be directed by
the appropriate authority.
The multi-role training vessel shall be designated as a Naval Reserve Affiliate Vessel under the Naval Reserve
5 0       Command.
51
SEC.19. j4dm!.Ssi.our. ~ The Board, upon the recommendation of the PMMA Superintendent, shall determine the basic
requirements  for  admission  to  the  PMMA  undergraduate  and  graduate  degree  programs.  It  shall  preferably  be
patterned after the standard qualifications of the AFP.
55
56                      The PMMA may coordinate with the CHED, TESDA, DepEd, DND, and the Department of the Interior and
57       Local Government in the use of the facilities and equipment of the said departments in canying out the selection and
58       admission requirements of the PMMA.
8


1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
SEC. 20. Co#gressz.ow¢/ B!.//e/.  - To ensure the proportional distribution throughout the country of the midshipmen
availing  the  quality  education  and  opportunities  in  the  PMMA,  a congressional  billet  of one  (1)  midshipman  per
congressional  seat  and  three  (3)  midshipmen  per  member  of  the  Senate  is  hereby  established:  Provj.ded,  That
applicants must pass the basic requirements of admission: Provj.dedrfurf¢er, That for a province or highly urbanized
city where there is only one (1 ) congressional district, three (3) cadets shall be selected therefrom: Provj.dec7, ¢m2//y,
That only upon determination that there is no qualified applicant from a certain congressional district shall another
qun]ified applicant, irrespective of domicile, be considered for the said slot.
SEC. 21. Mj.ds¢zZ7me# Bc#e¢ts.  -All PMMA midshipmen shall enjoy full scholarship and shall pay no tuition,  and
miscellaneous fees laboratory, lodging, uniform, while enrolled in the PMMA.
SEC.  22.  Jzegw/ci/ory fj.ce#ses.  - The  PMMA  is  hereby  established  as  an  assessment  center  for  certification  and
licensing  of  maritime  professionals.  It  shall  also   incorporate  the  process  for  assessment  or  certification  in  its
educational prograns leading to the assessment of its candidates prior to their graduation.
All  PMMA  graduates  shall  be  exempt  from  complying  with  other Philippine  flag  and  national  regulatory
requirements  such  as  the  theoretical  and  practical  examinations  for  OIC  of Navigational  Watch  and  Engineering
Watch, respectively.
SEC.  23.  A4c]rfuJory  Scrvj.ce  Ob/z.gcrfz.o#.  -  Upon  effectivity  of this  Act,  graduates  of the  undergraduate  dqgree
programs of the PMMA who will opt to work in the merchant marine  industry,  either in domestic or international
trade, shall be required to provide a minimum of four (4) years cumulative full-time service to the government in any
of its agencies or instrumentalities, including GOCCs, within ten ( 10) years after graduation.
26                      Government service shall primarily be within the maritime industry and shall include the following services:
27       consultants, researchers,  instructors,  and professors  in the DND through the PN, the MARINA of the DOTr, PCG,
28       Department of Environment and Natural Resources through the NAMRIA, or the Deparment of Agriculture, through
29       the BFAR: Provz.dec7, That the concerned departments and agencies,  in coordination with the PMMA, shall provide
30       compensation fortheir service.
Em
32
33
34
35
36
37
38
39
40
41
42
A  PMMA  graduate  who  fails to  comply  with the  mandatory  service obligation  within  ten  (10) years  €ifter
graduation shall be compelled to refund, at present value, all tuition, uniform, lodging, miscellaneous and laboratory
expenses provided by the goverment. In the event that the mandatory service obligation is short of the required  four
(4) years, the amount to be refunded shall be computed by fraction, ratio, and proportion based on services accrued.
Failure to refund tuition fees and  other government expenses shall be grounds for non-renewal of all travel
documentations f{)r any employment, fore ign or domestic, and shall constitute a breach of contract.
SEC. 24. Scrvz.ce Jo ffee DIVD. - Graduates of the undergraduate degree programs of the PMMA shall be as officer.s of
the  commissioned  PN  Reserve  Command  with  Naval  the  rank  and  shall  of  ensign  be  called  to  serve  by  the
Commander-in-Chief in times of war or national emergency.
43
44                      The pN, through the Naval Reserve command, shall provide institutional mechanisms to mobilize graduates
45       of the PMMA to help provide technical, tactical and intelligence  information to the PN  in times of war or national
46       emergency.  A  special  unit  under  the  Ready  Reserve  Component  is  hereby  established  specifically  to  liaison  and
47       mobilize graduates of the PMMA and to provide mechanisms for their continued professional development and career
4 8       advancement.
49
50                      All  PMMA  graduates  shall  report  annually  to  their  special   mobilization  center  for  updating  of  their
51        whereabouts.
52
53                      Graduates who are not originally part of the pN Billet and who shall opt to join the pN after graduation shall
54       be eligible for direct commissionship to the Regular Force  of the AFP and categorized  as  a graduate of a Service
55        Academy as basis, for commissionship and in accordance with the seniority and Lineal List: Provz.c7ecJ, That they shall
56       still undergo the r.equired minimum training prior to being commissioned to the naval service: Provz.dec7, "rther, rrhat
57       the acceptance of their application for commissiouship into the pN shall be based on the actual technical needs of the
58       PN and the prevailing vacancy and recruitment quota at the time ofapplication  for commission.
9


I
2
3
4
5
6
7
8
9
10
11
12
SEC.  25.  £crnd Grcl#rs  cznd O/rfeer jiecr/ Prayer/i.es.  - The  State  shall  support  the  PMMA  as the  national  maril:ime
academy in the form of a lump sum amount, through general appropriations and other financial benefits, and in kind,
through  land grants and donations and use of other real properties.  To carry out the  intent of these grants,  income
derived  from the development of all  land grants and real properties shall be used to further the mission, goals,  and
objectives of the PMMA as herein provided and as may be decided by the Board. Such parcels of land ceded by :law,
decree  or presidential  issuance  to  the  PMMA  are  hereby  declared  to  be  reserved  for the  purposes  intended.  The
absolute  ownership  of  the  PMMA  over  these  landholdings,  including  those  covered  by  original  and  tranisfer
certificates of title  in the name of the  PMMA  and their future derivatives,  is hereby confirmed.  If the  issuancie of
proper  certificates  of title  for these  landholdings  is  pending,  the  appropriate  government office  shall  expedite  the
issuance  thereof within  six  (6)  months  from  the  date  of effectivity  of this  Act:  Provj.decJ,  That  all  registration
requirements necessary for the issuance of the said titles have been submitted and complied with.
13
14                       The  Board  may  plan,  design,  approve  or  cause  the  imp]ementation  of land  leases:  Prov7.c7ec7,  That  such
15       mechanisms and arrangements shall sustain and protect the environment in accordance with the law, and be exclusive
16       of the academic core zone of the campuses of the PMMA: Provjc7ecJ, jirffaer, That such mechanisms and arrangements
17       shall not conflict with the academic mission of the PMMA.
18
19                      The  Board  may  allow  the  use  of the  income  coming  from  real  properties  of the  PMMA  as  security  for
20
21
22
23
24
25
26
27
28
29
transactions  to  generate  additional  revenues  when  needed  for  educational  purposes.  The  Board  may  approve  the
implementation of joint ventures: ProvJ.ded,  That in the event real properties of the PMMA  are  involved,  only  the
income derived by the PMMA from the use of the real properties shall be the subject of its participation or obligation
in the joint ventures: Provided, rfurffecr, That no joint venture shall result in the alienation of the real properties of the
PMMA and any plan to generate revenues and other income from land grants and other real properties entrusted to the
PMMA shall be consistent with the academic mission and orientation of the PMMA, as well as protect it from unidue
influence and control of commercial interests: Provj.dec7, /twher, That such programs, projects or mechanisms shal I be
approved by the Board subject to a transparent and democratic process of consultation with the constituents of the
PMMA: Prow'c7ec7, ¢#cz//y, That funds generated from such programs, projects or mechanisms shall not be mearit to
replace9 in part or in whole, the annual appropriations provided by the national government to the PMMA.
30
31        SEC. 26. Sa/eg"crds o# j4ssets Dz.sposz.Jj.o#. -The preservation of the value of the assets of the PMMA shall be of
32        primordial consideration.
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
The  sale  of any  existing  real  property  of the  PMMA  shall  be  prohibited:  Provz.ded,  That the  Board  may
alienate real property donated after the effectivity of this Act if the terms of the donation specifically allow it.
Notwithstanding the provision of any law to the contrary, the lease of more than five (5) years of the asset:s of
the PMMA and any transaction referred to in Section 25 shall be subject to the following conditions and procedures:
a)    The  transactions  shall  be  discussed  with  the  members  of the  Board,  in  any  of its  form.ally
convened regular or special meetings, at least one (1) month before a decision is to be made;
b)   The transactions  shall  be  based  on  a multi-year  comprehensive  development  plan,  crafted  and
developed by professionals having at least five (5) years' experience, with prior consultations with
and concuiTence of third-party experts and duly approved by a majority vote of all the members of
the Board;
c)    The  transactions  shall  be  subject  to  competitive  and  public  bidding  as  provided  for  under
Republic Act No. 9184, otherwise known as the "Government Procurement Reform Act":
d)   In the case of two (2) failed biddings and negotiated transactions, if undertaken, the Board, when
considering the approval of any such transaction, shall secure a fairness opinion report from an
independent third-party body. This body shall have five (5) members, three (3) of whom shall be
nominated by the Bankers Association of the Philippines (BAP), Investment House Association
of  the  Philippines  (IHAP),   Trust  Officers  Association  of  the  Philippines,   or  the  Financial
Executives Institute of the Philippines. The members shall be entitled  to a reasonable per diem, as
may be specified by the Board.
10


The fairness opinion report shall contain a statement expressing the opinion of the body ars to
fairness to the PMMA of the terms of the proposed transaction, particularly its financial teims.
The report shall include a review and analysis of the proposed transaction, financial statem€mts,
industry  information,  economic  conditions  assumptions  using  management  projections  and  the
assumptions used therein, and a comparison of similar transactions: Provz.ded, That if the B()and
differs with the fairness opinion report, they shall justify their decision in writing and make this
available to the community of the PMMA: Provi.c7ec7, givrffaer, That this provision shall not apply
to leases granted to faculty and staff as part of their benefit and those for academic  purposes; €md
e)    If the  contract  or  transaction  involves  an  amount  more  than  One  hundred  million  pesos  (P
100,000,000.00),  it  shall  be  approved  by  three-fourths  (3/4)  of all  the  members  of the  Board:
Provz.c7ed, That the splitting of contracts, or the breaking up of a contract into smaller quantities or
amounts   or  the  division  of  contract   implementation   into   artiflcial   or  arbitrary   phasesi   or
subcontracts for the purpose of circumventing this provision, shall not be allowed.
SEC.  27. "cz#crge7"e#f o/F#i¢cZS.  -There  shall be  an  independent trust committee to  be composed of the  PMMA
Superintendent as Chairperson,  and  with the  following as members:  one (I)  representative  from the  BAP;  one. (I)
representative from the IHAP; and two (2) representatives from the duly recognized alumni association The mem`bers
shall be entitled to a reasonableper dj.em allowance the Board may specify.
The independent trust committee shall recommend to the Board five (5) universal banks selected on a prudent
basis  whose  respective  trust departments  shall  manage  the  corporate  and  other funds  of the  PMMA  through lmst
agreements on a non-directed basis: ProvJ.ded, That any such agreement shall be for a period of not more than two (2)
years.  The independent trust committee shall provide the Board with direction on appropriate investment objectives
and permissible investments with the view to preserving the value of the funds while allowing the PMMA to earn a
reasonable return thereon.
SEC. 28. rczx: Exemp/i.our. - The provisions of any general or special law to the contrary notwithstanding:
a)   All  revenues and assets of the PMMA  used for educational purposes or in support thereof shall be exempt
from all taxes;
b)   All  grants,  bequests,  endowments,  donations  and  contributions  made  to  and  used  actually,  directly  and
exclusively for educational purposes by the PMMA shall be exempt from the donor's tax and the same shall be
considered as allowable deductions from gross income for purposes of computing the taxable income of the
donor in accordance with the provisions of the National Internal Revenue Code of 1997, as amended;
c)    Importation by the PMMA of ships, equipment,  lifesaving appliances, machineries,  computer hardware and
software used, pursuant to its academic objectives, shall be exempt from customs duties in accordance with
the provisions of Republic Act No.  10863, otherwise known as the "C„s/oms A4lodemj.zclfz.ow c77ed rorj#`,4cf
(CNIAr.'
d)    Importation by the PMMA of economic, technical, vocational, scientific, philosophical, historical and cultural
books, supplies and materials duly certified by the Board and the CHED, including scientific and educational
computer and software equipment, shall be exempt from customs duties in accordance with the provisions of
Republic Act No.  10863, otherwise known as the "C#s/oms Moder7z;.zc!fz.o# cz7ecJ rcJrj#Acf /Ch47:4J"; and
e)    The PMMA may avail of the tax expenditure subsidy administered by the Fiscal Incentives Review Board,
subject to  the  provisions of Title  XIII  (Tax Incentives) of the National  Internal  Revenue Code of 1997,  as
amended,
SEC.  29.  jteporrorj.c7/  Rcg#z.remc#ts  a7¢cJ 4wd;./I.ng  o/ 4cco##ts.  -The  PMMA  shall  submit  an  annual  report  to
Congress containing the financial statement,  statement of assets and liabilities, actual projected income from tuition
fees  and  other  revenue  sources,  contracts,  investments  entered  into  pursuant  to  the  provisions  of this  Act,  and
programs of expenditure. All accounts and disbursements of the PMMA shall be audited by the COA.
11


I        SEC.  30.  Jiw/ef  o/ Co#s/r#cfz.ow.  -Nothing  in  this  Act  shall  diminish  the  powers,  rights,  privileges  and  benefits
2       accorded to the PMMA or those enjoyed at present under other issuances modifled or repealed under this Act, or by
3       subsequent  legislation  that  expressly  provides  for  their  repeal,  amendment  or  modification.  Any  doubt  in  the
4       interpretation  of any  of the  provisions  of this  Act  shall  be  resolved  in  favor of the  academic  freedom  and  fiscal
5       autonomyofthepMMA.
6
SEC. 31. j4jxpraprj.cr/j.o#s. -The amount necessary to carry out the implementation of this Act shall be PMMA. other
internal funds of the charged against the current year's appropriations and Thereafter, such amount shall bel inc]tided
in the annual General Appropriations Act.
10
11        SEC. 32. F7./j.#g o/Reporr. -On or before the fifteenth (15th) day of the second (2nd) month after the opening of the
12       regular  classes  each  year,  the  Board  shall  file,  with  the  Office  of the  President  of the  Philippines,  through  the
13       Chairperson of the CHED, and with both Houses of congress, a detailed report on the progress, condition and needs
14       of the ptwRA.
15
16        SEC.  33.  Swpp/e/ory 4pp/jcczfz.o#.  -The  provisions  of Republic  Act  No.  8292.  otherwise  known  as  the  "ffj.£}foer
17       Ed#cafj.o# Moc7e77".zcl/I.o# 4cf o//997",  shall be an integral part of this Act and shall serve as part of the governing
18       charter of the PMMA.
19
20
21
22
23
24
25
26
SEC.  34.  PcFr7'fy  C/cza4§e.   -  All  other  powers,  functions,  privileges,  responsibilities,   and  limitations  of  natitmal
academies and their officials  under existing  laws  shall  be deemed granted to or  imposed upon the PMMA  and its
officials, whenever appropriate.
SEC.  35.  /mp/emc#/I.#g Ret/es c]#c7 jtegr¢/a/i.o#s.  - Within  sixty (60) days  from the  approval  of this Act, the Bciard
shall,  in  consultation  with  the  CHED,  DND,  DOTr  and  other  relevant  government  agencies  and  stakeholders,
formulate the rules and regulations necessary to implement the provisions of this Act.
27
28        SEC. 36. Separcrbj./try c'/cr#se. -If any provision of this Act is held unconstitutional or invalid, all other provisions. not
29       affected thereby shall remain valid.
30
SEC. 37. Jiepccr/I.#g C/awse.  - All laws, decrees, executive orders, rules and regulations or parts thereof, which  are
inconsistent with this Act, are hereby repealed, amended or modified accordingly.
34       SEC. 38. E#ec/I.tiity. -This Act shall take effect flfteen (15) days after its publication in the O#cj.cr/ Gcze//e or jim a
35       newspaper of general circulation.
36
3 7                      Approved,
12