SIXTEENTH CONGRESS OF THE REPUBLIC 
) 
OF THE PHILIPPINES 
) 
First Regular Session 
) 
SENATE 
S.No. 1314 
Introduced by Senator Miriam Defensor Santiago 
EXPLANATORY NOTE 
The Constitution, Aliic1e 2, Section 15 states: 
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JlUG 15 P 3 :15 
SEC. 15. The State shall protect and promote the right to health of the 
people and instill health consciousness among them. 
Health information is one of the most important elements in a robust heaith care program. 
Health care providers rely on the patients' medical histories in order to make sure that the best 
decisions are made in terms of treatmerltIn"a country like ours, where many of our countrymen 
often have to go to different places to seek treatment, we often fall into a predicament wherein 
the patient's history from a previous institution is not readily accessible to the attending 
physician. In many cases, this results in fatal errors, which, in turn, opens up the physicians to 
malpractice cases. 
We need to establish a health information database which can be accessed throughout the 
country to allow health care providers access to all the information necessary to provide the best 
treatment to patients. Such database not only provides convenience in terms of gathering 
patients' history but also provides consistency and stability in terms of recording and 
maintaining information. 
Such database needs to be secure and well maintained in order to provide our patients 
peace of mind, knowing their information is readily accessible. only to authorized persons. 
This bill seeks to develop a national health care information program that will improve 
our health care services nationwide.' 
, This bill was originally filed in the Fourteenth ·Congress, Second Regular Session. 
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SNllltr 
SIXTEENTH CONGRESS OF THE REPUBLIC 
). 
'Ott.;, uf Il!,:;rm!.,~ 
OF THE PHILIPPINES 
) 
First Regular Session 
) 
'1) 
AUG 15 P3 :15 
SENATE 
S. No. 1314 
Introduced by Senator Miriam Defensor Santiago 
AN ACT 
PROVIDING FOR THE ESTABLISHMENT OF A HEALTH INFORMATION 
TECHNOLOGY AND PRIVACY SYSTEM 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled: 
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SECTION 1. Short Title. - This Act shall be known as the "National Health Infonnation 
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Technology and Privacy Advancement Act." 
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.,., 
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SECTION 2. Declaration of Policy. - it is the policy of the State to establish, as 
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expeditiously as practicable, a health information technology and privacy system, which should 
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be responsive to public needs and national objectives; serve the health care needs of the country; 
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and contribute to improved health care quality and lower costs. 
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SECTION 3. Purposes. - It is the purpose of this Act to-
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A. 
Provide for the establishment of a health information technology and privacy 
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system through which new and expanded health care information services will be made available 
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as promptly as possible in a manner that provides national coverage at the earliest practicable 
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date; 
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B. 
In carrying out the system described in paragraph (A), provide technology 
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services to economically less developed areas as well as those more highly developed, and 
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provide for the efficient and economical use of health care information and protect the 
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confidentiality and security of information within this new technology; 
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C. 
In order to facilitate the development of the system and provide for the widest 
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possible participation by private enterprise in the system, establish a private nonprofit 
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corporation, subj ect to appropriate government regulation, to administer the system; and 
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D. 
Ensure that-
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1. all authorized users of the system have nondiscriminatory access to the 
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system; 
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2. effective competition be maintained in the provision of equipment and 
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services utilized by the system; 
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3. the corporation established under this Act is organized and operated so as to 
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maintain and strengthen competition in the provision of health information 
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services to the public; and 
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4. the activities of the corporation and of the persons or companies participating 
• "II.. 
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in the ownership of the corporation is consistent with the existing antitrust 
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laws. 
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SECTION 4. Definition of Terms. - As used in this Act, the term-
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A. 
AUTHORIZED HEALTH INSURERS - means health insurance issuers duly 
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authOlized by the Insurance Commission. 
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B. 
AUTHORIZED PROVIDERS - means duly licensed or certified health care 
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providers. 
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C. 
CORPORA nON - means the corporation authorized under this Act. 
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D. 
SECRETARY - means the Secretary of Health. 
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E. 
SYSTEM - means the system of health information and technology established 
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under this Act, with secure retention and sharing among authorized providers, who have access 
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to analytic support to identify and enhance areas where improved quality of care may lower cost, 
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and result in reimbursement rates that can better reflect optimal health care delivery. 
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SECTION 5. National Coordination, Planning, and Regnlation. -
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A. 
Actions by the Secretary - In order to achieve the policy and carry out the 
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purposes of this Act, the Secretary shall-
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1. provide national governmental assistance in the planning and development, 
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and provide for the implementation of, a national program for the 
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establishment and operation, as expeditiously as possible, of a national health 
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information technology and privacy system; 
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2. provide for the continuous review of all phases of the development and 
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operation ofthe system, including the activities of the corporation; 
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3. provide for the coordination of the activities of national government agencies 
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with responsibilities relating to health care information technology, so as to 
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ensure that there is a full and effective compliance at all times with the 
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policies and procedures established under this Act; 
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4. exercise such supervision over the relationship of the corporation with local 
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entities or other entities as may be appropriate to ensure that such 
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relationships shall be consistent with the national interest and policy expressed 
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in this Act; 
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5. ensure that timely arrangements are made under which there can be national 
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participation in the establishment and use ofthe system; and 
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6. provide for incentives for physicians to engage in electronic patient-provider 
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interactions. 
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B. 
Other Agencies - The heads of other relevant government agencies, shall, upon 
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request of the corporation-
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I. provide advice to the corporation concerning the technical characteristics of 
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the system; 
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2. provide assistance to the corporation in the conduct of research and 
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development activities relating to the system, including by furnishing to the 
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corporation, upon request, on a reimbursable basis, such services as 
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determined necessary for the most expeditious and economical development 
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of the system; and 
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C. 
3. to the extent feasible, furnish other services, on a reimbursable basis, to the 
corporation in connection with the establishment and operation of the system. 
Actions by the Corporation - The corporation shall-
1. develop plans for the technical specifications of all elements of the system; 
2. ensure effective competition, including the use of competitive bidding where 
appropriate, in the procurement by the corporation of apparatus, equipment, 
and services required for the establishment and operation of the system; 
3. ensure 
that 
eligible 
health 
care 
providers 
have 
equitable 
and 
nondiscriminatory access to-
a. the system in a manner that provides for the payment of reasonable 
assessment for such use consistent with the ability to pay and the 
savings and benefits to be anticipated; 
b. relevant classifications, practices, regulations, and other terms and 
conditions relating to the use of the system; and 
c. available facilities of the system pursuant to regulations relating to 
the allocation of such facilities among the users thereof; 
4. ensure that the facilities of the system are technically compatible and 
operationally interconnected with each other and facilitate· interoperability . 
among health information systems; 
5. prescribe such accounting regulations and systems and, after public hearing 
and deliberation, engage in such ratemaking procedures as will ensure that any 
savings made possible by the system are appropriately reflected in rates for 
access to system services, by license or otherwise for those who utilize or 
benefit from the system, including the health insurance industry; 
6. obtain the approval of the Secretary for the implementation of technical and 
privacy protection ch~ract~ristics relating to the operation of the system; 
7. authorize, construct, and operate such system facilities, networks, and 
programs as will best serve the public interest, convenience, and necessity, as 
determined after consultation with the Secretary; and 
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8. to the extent feasible, ensure that the system is compatible and interoperable 
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with pre-existing health information technology equipment and systems. 
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SECTION 6. Office of the National Coordinator for Health Information Technology. -
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There is established within the Department of Health the Office of the National Coordinator for 
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Health Information Technology. The Office shall be headed by a National Coordinator appointed 
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by the President, in consultation with the Secretary of Health. The National Coordinator shall 
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report directly to the Secretary. 
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Nothing in this section shall be construed as requiring the duplication of government 
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efforts with respect to the establishment of the Office of the National Coordinator for Health 
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Information Technology, regardless of whether such efforts are carried out before or after the 
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date of the enactment of this Act. 
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SECTION 7. National Corporation for Health Information Technology and Privacy. -
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There is authorized to be established a nonprofit National Corporation for Health Information 
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Technology and Privacy. The corporation shall be subject to the provisions of this Act. 
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SECTION 8. Incorporation. - Not later than one hundred eighty (180) days after the date 
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of enactment of this Act, the President shall appoint nine (9) incorporators of the corporation 
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who shall serve as the initial board of trustees until their successors are elected in accordance 
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with this Act. Such incorporators shall take whatever actions are necessary to establish the 
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corporation, including the filing of articles of incorporation, as approved by the President. 
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SECTION 9. Board of Trustees. - The corporation shall have a board of trustees chaired 
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by the Secretary that shall consist of nine (9) individuals who shall be Filipino citizens. The 
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Secretary may provide for additional qualifications for trustees in the implementing rules of this 
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Act. 
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SECTION 10. Terms. - The terms of service of the members of the board of trustees shall 
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be three (3) years or until such time as their successors have been appointed. Any member of the 
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board appointed to fill a vacancy shall be appointed only for the unexpired term of the member 
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which he or she is succeeding. A member may not serve consecutive terms. 
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SECTION II. Chairperson. - The members of the board of directors of the corporation 
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shall at its first meeting and annually thereafter elect a member to serve as the chairperson of the 
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board. 
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SECTION 12. Chief Privacy Officer. - The president of the Corporation, in consultation 
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with the board of trustees, shall appoint a chief privacy officer of the corporation to ensure the 
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confidentiality and security of patient medical records. The chief privacy officer of the 
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corporation shall--
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A. 
ensure that the use of technologies by the corporation sustains, and does not 
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erode, privacy protections relating to the use, ~ollection, and disclosure of personal information; 
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B. 
ensure that personal information contained in any records maintained as part of 
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the technology and privacy system is maintained in full compliance with any applicable privacy 
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laws; 
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c. 
evaluate legislative and regulatory proposals involving the collection, use, and 
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disclosure of personal information by the national government; 
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D. 
conduct a privacy impact assessment of proposed rules and procedures of the 
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corporation on the privacy of personal information, including the type of personal information 
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collected and the number of individuals affected; and' 
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E. 
submit annually to Congress a report on activities of the corporation that affect 
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privacy. 
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SECTION 13. Other Officers. - The corporation shall have a president, and such other 
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officers as may be appointed by the board of trustees, who shall be compensated at rates fixed by 
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the board and serve at the pleasure of the board. No officer of the corporation shall receive any 
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salary from any source other than the corporation during the period of employment by the 
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corporation. 
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SECTION 14. Authorized Activities. - In order to achieve the objectives and to carry out 
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the purposes of this Act, the corporation is authorized to-
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A. 
plan, initiate, construct, own, manage, and operate itself or in conjunction with the 
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national government, local governments, or business entities, a national health information 
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technology and privacy system; 
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B. 
furnish, for fees where appropriate and subject to licenses and confidentiality and 
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security requirements, access to individuals, and to authorized providers and payers of health 
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care services; 
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C. 
specify rules for allowing access (in accordance with applicabie privacy laws) to 
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nonidentifiable health care data for public health and research purposes; and 
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D. 
own and operate such facilities as may be required to achieve the purposes of this 
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Act. 
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SECTION 15. Other Activities. - In addition to the activities authorized under Section 14, 
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the corporation, to accomplish the purposes of this Act, may-
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A. 
conduct, or enter into contracts for the conduct of, research and development 
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activities related to the mission of the corporation; 
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B. 
acquire the physical facilities, equipment, and devices necessary for the 
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operations of the corporation, including health information technologies and associated 
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equipment and facilities, whether by construction, purchase, or gift; 
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C. 
purchase or otherwise acquire health information and related services from the 
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government; and 
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D. 
enter into contracts with authorized users of health information, including the 
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national government, for the use of the services of the system. 
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SECTION 16. Business Plan. -Not later than 'six (6) months after the date on which the 
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corporation is incorporated under this Act, the corporation shall file with the President and 
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Congress its initial business plan. 
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SECTION 17. Annual Report. - - Not later than one (1) year after the date on which the 
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corporation is incorporated under this Act, and each January 1 thereafter, the corporation shall 
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prepare and submit to Congress a report that shall include a comprehensive description of the 
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activities and accomplishments during the year for which the report is prepared under this Act, 
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together with an evaluation of such activities and accomplishments in terms of the attainment of 
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the purposes of this Act. Each such report shall include any recommendations of the corporation 
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for additional legislative or other action which the corporation may consider necessary or 
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desirable for the attainment of such objectives. 
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SECTION 18. Appropriation. - To carry out the provisions of this Act, such amount as 
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is necessary is hereby authorized to be appropriated from the National Treasury. 
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SECTION 19. Separability Clause. - If any provision or part hereof is held invalid or 
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unconstitutional, the remainder of the law or the provision not otherwise affected shall remain 
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valid and subsisting. 
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SECTION 20. Repealing Clause. - Any law, presidential decree or issuance, executive 
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order, letter of instruction, administrative order, rule, or regulation contrary to or inconsistent 
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with the provision of this Act is hereby repealed, modified, or amended accordingly. 
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SECTION 23. Effectivity Clause. - This Act shall take effect fifteen (15) days after its 
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publication in at least two (2) newspapers of general circulation. 
Approved, 
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