'~r J-T= 
FIFTEENTH CONGRESS OF THE REPUBLIC) 
,-. -, 
OF THE PHILIPPINES 
) 
First Regular Session 
) 
SENATE 
, . { 
Senate Bill No. 7 a 6 
(. 
INTRODUCED BY SEN. JINGGOY EJERCITO ESTRADA 
EXPLANATORY NOTE 
This measure is a consolidated/substituted bill drafted by the Committees 
on Agriculture and Food, Local Government and Finance during the 14th 
Congress. 
The growth of the agricultural sector plays a crucial role in the country's 
socia-economic development. Faced with an alarming poverty incidence, 
particularly in the rural areas, the government should implement measures 
supporting infrastructure support facilities, research and development, among 
others to address this concern. 
This bill seeks to strengthen the country's extension system by 
decentralizing it to the appropriate level of political unit that provides a viable 
economic unit for agriculture development i.e., the province. It shall establish a 
national agency, the Philippine Agriculture & Fisheries Extension Agency (PAFEA) 
to orchestrate, provide national directions, set standards of performance, and 
provide institutionalized financial and technical support to the LGUs. 
To provide additional support to the extension system, it shall be mandated 
for the national government to pay for the salaries and wages of extension 
personnel under the administrative direction of the provincial government. 
Additionally, the salaries and wages of Local Government Unit (LGU) extension 
personnel shall be standardized to that of equivalent positions in the national 
government. 
In view of the foregoing, approval of this bill is earnestly sought; 
t:tJ 
Senator 


FIFTEENTH CONGRESS OF THE REPUBLIC) 
1 ' 
OF THE PHILIPPINES 
) 
First Regular Session 
) 
SENATE 
Senate Bill No. 706 
. .... ' 
INTRODUCED BY SEN. JINGGOY EJERCITO ESTRADA 
AN ACT 
PRESCRIBING THE STRENGTHENING OF THE NATIONAL EXTENSION 
SYSTEM 
TO 
ACCELERATE 
AGRICULTURE 
AND 
FISHERIES 
DEVELOPMENT, APPROPRIATING FUNDS THEREFOR AND FOR OTHER 
PURPOSES 
Be it enacted by the Senate and the House of Representatives of the Philippines 
in Congress assembled: 
ARTICLE 1 
GENERAL PROVISIONS 
Section 1. Short Title. - This Act shall be known as the "Agriculture and 
Fisheries Extension Act of 2010." 
SEC. 2. Declaration of PQlicy. - The goals of the national economy are a 
more equitable distribution of opportunities, income and wealth; a sustained 
increase in the amount of goods and services produced by the nation for the 
benefit of the people; and an expanding productivity as the key to raising the 
quality of life for all, especially the underprivileged. 
The State shall promote industrialization and full employment based on 
sound agricultural development and agrarian reform, through industries that make 
full and efficient use of human and natural resources, and which are competitive in 
both domestic and foreign markets. In pursuit of these goals, all sectors of the 
economy and all regions of the· country shall be given optimum opportunity to 
develop. 
Thus, it is hereby declared the policy of the State to enable those who 
belong to the agriculture and fisheries sector to participate and share in the fruits 
of development and growth in a manner that utilizes the nation's resources in the 
most efficient and 
sustainable way possible by establishing a more equitable access to assets, 
income, basic and support services and infrastructure. 
The State shall give priority to promote science, technology and human 
resource development as essentials for national development and progress. 
The State shall utilize research results through information, extension and 
communication services. It shall support the development of a national extension 
system that will help accelerate the transformation of agriculture and fisheries 


sectors of the Country from a resource-based industry to a knowledge and 
technology-based and market-oriented industry. 
The State shall adopt the market approach in assisting the agriculture and 
fisheries sector while recognizing the contribution of these sectors to food security, 
environmental protection, and balanced urban and rural development, without 
neglecting the welfare of the consumers, especially the lower income groups. The 
State shall promote market-oriented policies in agricultural production to 
encourage farmers to shift to more profitable crops. 
The State shall empower tile agriculture and fisheries sector to develop and 
sustain themselves to meet present and future needs of the Country. Toward this 
end, the State shall ensure the establishment and development of the agriculture 
and fisheries extension system that increases and sustains its contributions to the 
achievement of the goals of agriculture modernization as mandated by Republic 
Act 8435: a) Poverty Alleviation and Social Equity; b) Food Security; c) Rational 
Use of Resources and Sustainable Development; d) Global Competitiveness; and 
e) People Empowerment. 
SEC. 3. Definition of Terms. As used in this Act, the term: 
1. "Agriculturist" refers to a person who is a graduate of a bachelor's degree in 
agriculture or any related course registered and licensed with the 
Professional Regulation Commission or Civil Service Commission; who 
performs communication, curriculum development, econometrics, statistical 
work, training and extension works in agriculture production, trade, and 
processing including crop and animal protection, food safety, agricultural 
and natural resource economics, and marketing; 
2. "Agricultural Engineer" refers to a person registered with the Professional 
Regulation Commission or Civil Service Commission performing training 
and extension work in agricultural and fisheries mechanization, irrigation, 
drainage, soil and water conservation, agricultural buildings and structures, 
agricultural processing and post harvest facilities; 
3. "Catalytic Financing" - the provision of financial support to achieve 
excellence, equity and increased investment by the local governments in 
the implementation of agriculture and fisheries extension services towards 
the achievement of national goals; 
4. "Civil Society" - refers to the group of organizations whose uncoerced 
collective action revolves around shared interests, purposes and values. 
Civil societies are organizations composed of community groups, women's 
organizations, faith-based organizations, professional associations, trade 
unions, self-help groups, social movements, business associations, 
coalitions and advocacy groups; 
, 
5. "Consumers" - are those·that acquire goods or services for direct use or 
ownership rather than for resale or use in production and manufacturing; 
6. "Empowerment" - is the expansion of assets and capabilities of people to 
partiCipate in, negotiate with, influence, control and hold accountable 
institutions that affect their lives; 
it involves providing 
authority, 
responsibility, and information to people directly engaged on agriculture and 
fishery production, primarily at the level of the farmers, fisherfolk and those 


engaged in food and non-food production and processing, in order to give 
them enhanced economics' rights; 
7. "Fisheries" - refers to all systems or networks of interrelated activities which 
include the production, growing, harvesting, processing, 
marketing, 
developing, conserving and managing of all aquatic and fisheries areas; 
8. "Fisheries Technologist" refers to a person who is a graduate of a four year 
course in Fisheries and registered and licensed with the Professional 
Regulation Commission or Civil Service Commission performing training 
and extension on fisheries, marine resources and aquaculture; 
9. "Food Security" - refers to the policy objective, plan and strategy of meeting. 
the food requirements of the present and future generations, of Filipinos in 
substantial quantity, ensuring the availability and affordability of safe and 
nutritious food to all, either through local production or importation, or both, 
based on the country's existing and potential resource endowment and 
related production advantages, and consistent with the overall national 
development objectives and policies; 
10. "Formula grants" - these are national government financial transfers to the 
local governments to support the regular expenditures in the provision of 
Agriculture and Fisheries Extension Services (AFES) based on a formula 
that\ takes into consideration, among others, the level of economic 
development of a municipality or a province; 
11. "Gross Value Added in Agriculture" - refers to the total value, excluding the 
value of non-agricultural or fisheries intermediate inputs, of goods and 
services contributed by the agricultural and fisheries sectors; 
12. "Knowledge Management" - is a systematic approach which invents, 
understands, shares, creates and utilizes knowledge in order to create 
values such as customer's value, employee's value, stockholder's value, 
business partner's value and social value to achieve the vision and goal of 
the organization; 
13. "Partnership" - a relationship between and among agencies that is 
characterized by mutual cooperation and responsibility towards the 
achievement of shared goals; 
14. "Private sector" - the part of a nation's economy that is not owned and 
managed by the government; 
15. "Producer" - one that produces, especially a person or organization, that 
produces goods or services for sale; 
16. "RBOs" - are rural based organizations or people's organizations composed 
of various sectors of the rural community such as farmers, fisherfolk, 
growers, seed producers, women, and youth; 
17. "Targeted financial transfer" - is a financial support provided by the national 
government to the LGUs in support of national goals or programs; 
18. "Value chain" - is a process from seed to shelf or from the producers to the 
consumers, 
showing 
activities 
and 
interventions 
of/for 
a chosen 
commodity/ties based on understanding the needs for such interventions; 


19. "Veterinarian" refers to a person registered with the Professional Regulation 
Commission performing professional services related to the practice of 
veterinary medicine including training and extension on disease prevention 
control and animal health. 
SEC. 4. Statement of Goals. - Agricultural extension is a policy instrument 
for empowering individuals and organizations; public agriculture extension shall 
contribute towards the achievement of the national goals of agriculture 
development. 
SEC. 5. Statement of Objectives. - Agriculture and fisheries extension 
shall contribute to the following objectives: 
a) 
To enhance the economic rights of Producers, especially the poor, to 
use the most appropriate technologies they feel will give them the best 
profit and to choose the most affordable loans in producing the quality 
and quantity of products and to sell their products freely; Traders, to 
move goods in the expectation of profits unconstrained by' serious lack 
of knowledge and information; and Consumers, to buy safe and 
nutritious foods at the lowest prices possible. 
b) To 
manage 
knowledge 
in 
strengthenin9 
the 
individual 
and 
organizational capabilities of producers, traders and consumers; and 
c) 
To help create an enabling environment that strengthens the linkage 
between knowledge generation and knowledge use and encourages 
increased investment in agriculture extension by the private sector, civil 
society, and Local Governments. 
SEC. 6. Clients. - The' clients of Philippine agricultural and fisheries 
extension system are the producers (farmers, fisherfolk, agricultural processors), 
traders, and consumers along the value chain. Public extension shall focus on the 
delivery of public goods. The priority clients shall be the economically and socially 
disadvantaged groups in agriculture and fisheries. Local Government Units shall 
put primary attention to these groups in the proviSion of extension services through 
formula grants and targeted and catalytic financing of National Government 
Agencies. 
ARTICLE" 
Strucfure and Organization 
SEC. 7. Creation of the Philippine Agriculture and Fisheries Extension 
Agency (PAFEA). - The Agricultural Training Institute is hereby strengthened and 
transformed into the Philippine Agriculture and Fisheries Extension Agency 
(PAFEA). It shall serve as the national apex organization for a unified and efficient 
agriculture and fisheries extension system of the country. It shall ensure that public 
extension services meet the national standards of performance and effectively 
contribute towards the achievement of the national goals of agriculture and 
fisheries modernization. 
The Philippine Agricultural and Fisheries Extension Agency (PAFEA), shall 
coordinate all government extension programs in agriculture and fisheries. 
SEC. 8. Powers and Functions. 


a) Provide direction in the development of national extension policies in 
agriculture and fisheries; 
b) Orchestrate the development of extension strategic plan including its 
financing 
in 
coordination with the Department of Budget and 
Management and other stakeholders; 
c) Develop and implement national policies and programs aimed at the 
continuous improvement of the quality of extension methods, products, 
and services towards a more efficient and client-responsive national 
agriculture and fisheries knowledge management system; 
d) Develop a system towards the management of the country's extension 
resources for agriculture and fisheries to ensure a sustainable, 
partiCipatory. And efficient system of funding for information, education, 
and communication materials (IEC) and to achieve optimal efficiency 
along the value chain; 
e) Provide leadership in the development and implementation of the 
National Agriculture & Fisheries Knowledge Network (NAFKN) in 
agriculture and fisheries of the Department through a system of 
partnerships that may include, but not be limited to, the (Local 
Government Units) LGUs, the regional development council (ROC), the 
Regional Agriculture and Fisheries Council (RAFCs), the academe 
especially the SUCs of agriculture and fisheries, the Civil Society 
Organizations (CSOs), producers, rural based organizations (RBO)s and 
the private sector;' 
f) 
Provide national leadership in consultation with agriculture and fisheries 
councils 
(AFCs), 
in 
developing 
extension 
partnerships towards 
increased investment aRd private sector participation; 
g) Team up with state universities and colleges (SUCs) of agriculture and 
fisheries as key partners in the implementation of the national programs 
specially in the areas of extension innovations, national training, and 
monitoring and evaluation of extension institutions and programs; 
h) Provide leadership in developing and implementing a national system of 
strengthening 
institutional extension 
capacities 
at 
all 
levels of 
implementation; and 
i) 
In coordination with the Department of Budget and Management 
(DBM); the Local Government Units, The Department of Local 
governments, and other stakeholders, the PAFEA shall set up a review 
mechanism for all agriculture and fisheries extension programs and 
budgets of national agencies to determine cost effectiveness of 
operations and potential impacts to national goals. 
SEC. 9. Structure of PAFEA. - It shall be headed by a Director General 
(DG) with a rank of Assistant Secretary to be assisted by two Deputy Director 
Generals (DOG) 
and they shall be appointed by the President upon 
recommendation of the Secretary of Agriculture from a list submitted by an 
independent Search Committee organized and based on the qualification 
standards set by the Council for Extension Research Development in Agriculture 
and Fisheries (CERDAF) . They .shall have a fixed tenure of six (6) years and may 


, 
.' 
be re-appointed for an additional term of four (4) years based on very satisfactory 
performance. 
SEC. 10. The Council for Extension Research Development in 
Agriculture and Fisheries (CERDAF) - The Council for Extension Research 
Development in Agriculture and Fisheries (CERDAF) is hereby strengthened. It 
shall ensure that the agriculture and fisheries research, development and 
extension policies and programs ,of the Department are consistent with national 
policies and priorities. 
a) Functions and duties of the Council for Extension Research 
Development in Agriculture and Fisheries (CERDAF). 
1. Approve policies covering program priorities and 
resource allocation in research and extension of all 
agencies of the Department; 
2. Enhance coordination and linkage of government 
institutions involved in 
agriculture and fisheries 
research, development and extension; 
3. Strengthen the participation of various stakeholders, 
especially the civil society, local government units, 
and private sector in the development of National 
Research 
Development 
and 
Extension 
(NRDE) 
agenda and programs; 
4. Strengthen the institutional efficiency of the NRDE 
system, including the setting up of a monitoring and 
evaluation system on the effectiveness and efficiency 
of its. various components; and 
5. Set guidelines in the use of services and facilities, 
collection of fees and in the utilization of income. 
SEC. 11. Composition of the Council for Extension Research 
Development in Agriculture and Fisheries (CERDAF). The Undersecretary for 
Policy and Planning of the DA shall be the Chair of the Council. There shall be a 
Vice Chair to be elected from among the other members of the Board. The 
Executive Director of the Philippine Agriculture and Fisheries Extension Agency 
(PAFEA) and the Director of the Bureau of Agriculture Research (BAR) shall be ex 
officio members and the Chair shall appoint the Executive Director of PAFEA as 
Secretary of the Council. The CERDAF shall have the following as members: 
(1) Designated Undersecretaries for Policy & Planning 
of the following Departments: 
i. 
Department of Science and Technology; 
ii. 
Department of Environment and Natural Resources; 
iii. Department of Agrarian Reform; 


(2) Presidents of the following LGU organizations: 
i. League of Provinces; 
ii. 
Union of Local Authorities of the Philippines (ULAP); 
(3) Four (4) CSO representatives from the rural youth, 
rural women, and farmer, and fisherfolk sectors as 
identified 
and 
selected 
by the 
Department of 
Agriculture; 
(4) One (1) private sector representative designated by 
the Management Association of the Philippines 
(MAP); 
(5) 
'Representatives 
from 
scientific/professional 
organizations/societies; 
(6) One· representative each from the· following 
national professional organizations: i) agriculturists; ii) 
agricultural engineers; iii) fishery technologists and iv) 
veterinarians . 
.. 
SEC. 12. Offices under the PAFEA. -To carry out the functions of the 
Agency, PAFEA shall have four technical offices as follows: (1) Policy 
Development; (2) Extension Innovations & National Training; (3) Knowledge 
Products & Services Development; and (4) Extension Governance & Partnerships. 
The PAFEA shall maintain a small regional office to: (1) liaise with the 
Department Regional Field Units (RFUs) that should serve as the principal arm of 
the Department to implement extension policies and programs in the regions (2) 
provide regional technical assistance in the implementation of PAFEA policies and 
programs and (3) monitor and evaluate extension offices and programs being 
undertaken by government agencies. The PAFEA is authorized to utilize existing 
. Agricultural Training (ATI) plantilla positions but in no case shall it exceed 85% of 
the plantilla positions in 2010. 
ARTICLE III 
Organization of the Local Government Extension Services 
SEC. 13. Province as the LGU Unit of Operation for Agriculture & 
Fisheries Extension. - To achieve efficiency and to provide more responsive 
services, the administrative unit for the planning and implementation of the 
extension services at the level of Local Government Units is the province through 
a Provincial Agriculture and Fisheries Extension Services under the Office of the 
Governor. The Provincial Agriculture and Extension Services shall be headed by a 
technically-qualified career Provincial Agriculturist (PA). The PAS shall be 
appointed by the Director GeMral of PAFEA chosen from three qualified 
nominees submitted by the Governor. Its staff shall be composed of technically 
qualified career agriculturists, economists, statisticians, agricultural engineers, 
fishery technologists and veterin~rians appointed by the 
Provincial Governor. 


SEC. 14. Extension Personnel in the Municipalities. - All municipal and 
non-chartered agriculture and fisheries extension personnel are hereby transferred 
to the province, and they shall be .appointed by Governor and become employees 
of the provincial government upon the effectivity of this Act. However. they will 
continue to serve municipalities and non-chartered cities as detailed employees of 
the province based on a rationalized organizational structure endorsed by the 
LGUs and approved by the PAFEA and the DBM. The Municipal Agriculture and 
Extension Services shall be headed by a technically-qualified career Municipal 
Agriculturist Officer (MAO) who shall be appointed by the Director General of 
PAFEA chosen from three qualified nominees submitted by the Governor. 
SEC. 15. Salaries and Wages of Extension Personnel. - The salaries and 
wages of the agriculture and fisheries technical extension personnel shall be paid 
by the National Government through an annual grant-in-aid to be paid out of the 
regular appropriation of the PAFEA of the Department of Agriculture; Provided. 
however, that during the first year of the effectivity of this Act, the local government 
concerned shall reallocate its savings from the personal services for agricultural 
personnel to its agriculture and fisheries operations; Provided, further, that every 
year thereafter, the concerned LGU shall appropriate the equivalent funds as the 
minimum amount for its agricultural and fisheries operation or counterparts to 
national grants-in-aid in agriculture and fisheries, without prejudice to the provision 
of additional funds that may be allocated by the LGUs for this purpose. The 
salaries and wages of technical extension personnel shall be standardized and 
equal to that of comparable positions of national employees without prejudice to 
the provision of additional staff benefits by concerned LGUs where finances 
warrant. The provision of grants in aid to pay for the salaries and wages of the 
technical personnel of the LGU extension services shall be subject to external 
review and evaluation every five' years to determine its impact to the quality of 
services and its cost-effectiveness. A copy of the report shall be provided to 
Congress and serve as the basis for the continuation or modification of the grants-
in-aid. 
SEC. 16. Professionalization of Extension Services. The PAFEA, in 
coordination with the Civil Service Commission and subject to the approval of the 
CERDAF, shall develop qualification standards beyond the minimum set by the 
Civil Service Commission for the various managerial, technical, and non-technical 
positions of the extension services of the country including that of all local 
government units. The PAFEA shall also develop a career path of all technical 
extension personnel that will allow them regardless of assignment or location in 
government, to move vertically in the promotion system. Managerial positions shall 
be open to all qualified personnel regardless of geographic or agency assignment. 
Towards this end, the PAFEA shall issue guidelines for the creation of a merit 
promotion boards for each extension agency that will include representatives of 
the SUCs of agriculture and fisheries. 
SEC. 17. Structure of the Provincial Extension Services. - The provincial 
agriculture and fisheries extension services shall organize and structure its 
services based on the agricultural and extension needs of the province and on the 
standards set by the PAFEA. The technical positions of the PAFEA, and the 
Provincial Extension Services shall be rationalized to provide the required number 
of positions for agriculturists, 
communication .and 
curricul.um. specialists, 
economists, agricultural engineers, fishery technologists and veterinarians. 


SEC. 18. LGU Livestock Production Services. In recognition of the need 
to provide an integrated extension approach to total farm development, the LGU 
livestock production Services shall be part and parcel of the Provincial Agricultural 
Office (PAO). In cases where these functions were transferred to the Provincial 
Veterinary Services, they shall be returned and integrated to the rest of the PAO 
services. 
SEC. 19. Strategic Plan in Agriculture & Fisheries. To provide coherence 
of all government plans in agriculture and fisheries and to achieve efficiency in the 
use of resources, all provincial gilVernments are required to develop a five-year 
strategic plan in agriculture and fisheries based on the framework and principles 
provided by the Department of Agriculture (DA). The Strategic Plan shall serve as 
the basis for the DA to provide short-term and long-term assistance. The yearly 
program of work and budget shall be derived from the strategic plan. 
ARTICLE IV 
Funding for Extension Services 
SEC. 20. Initial Appropriation. - For the first year of implementation of this 
Act, the amount of five billion pesos (PHP 5,000,000,000.00) shall be appropriated 
out of the total budget of the Department of Agriculture (DA) for personal services, 
grants-in-aid to the LGUs, operation and capital outlay requirements of the 
Philippine Agriculture and Fisheries Extension Agency (PAFEA). 
The Department of Budget and Management (DBM) is hereby mandated to 
include annually in the President's program of expenditures for submission to 
Congress and release an amount not less than five billion pesos (PHP 
5,000,000,000.00) or one percent of the gross value added in agriculture and 
fisheries, whichever is higher, for the implementation of this Act. 
The PAFEA is authorized to utilize part of its yearly appropriation to set up 
or upgrade necessary facilities to improve the provision of national extension 
services. 
All assets, resources both human and financial of Agriculture Training 
Institute (ATI), shall be transferred to the PAFEA. 
All revenues generated out of the use of services, facilities arid equipment 
shall be utilized by the Agency to augment its maintenance and operating 
expenditures subject to the approval of the Governing Board . 
. ARTICLE IV 
Final Provisions 
SEC. 21. Oversight Committee. The Congressional Oversight Committee 
for Agriculture and Fisheries Modernization shall oversee the implementation of 
this Act for a period not exceeding five (5) years from its effectivity. 
SEC. 22. Implementing Rules and Regulations. -Within ninety (90) days 
from the effectivity of this Act, the implementing rules and regulations shall be 
formulated by the Department of Agriculture in coordina~ion with the members. of 
the 
Congressional 
Oversight 
Committee 
on 
Agriculture 
and 
Flshenes 
Modernization. The said rules and regulations shall be submitted by the Secretary 


• 
of the Department of Agriculture (DA) to the Committee of Agriculture of both 
Houses of Congress. 
SEC. 23. Repealing Clause. - All laws, decrees, executive orders, rules 
and regulations, issuances or parts thereof inconsistent with this Act are hereby 
repealed or amended accordingly. 
SEC. 24. Separability Clause. - If any provision of this Act is declared 
invalid or unconstitutional, the other provisions not affected thereby shall remain 
valid .and subsisting. 
SEC. 25. Effecfivity Clause. - This Act shall take effect thirty (30) days from 
the date of its publication in the Official Gazette or in at least in two (2) national 
newspapers of general circulation 
Approved,