EIGHTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
Second Regular Session
SENATE S.B. No.
NDEX
Introduced by Senator Richard 3. Gordon
AN ACT
TO REHABILITATE LAGUNA DE BAY AND TO STRENGTHEN THE 
LAGUNA LAKE DEVELOPMENT AUTHORITY (LLDA), REPEALING 
FOR THIS PURPOSE REPUBLIC ACT NO. 4850, AS AMENDED, 
OTHERWISE KNOWN AS THE LAGUNA LAKE DEVELOPMENT 
AUTHORITY ACT OF 1966, PROVIDING FUNDS THEREFOR AND 
FOR OTHER PURPOSES.
EXPLANATORY NOTE
In view of the recent and recurrent water supply problem in Metro Manila, there 
is a critical and urgent need to improve the water quality of Laguna de Bay in order 
for it to be used as a major source of domestic water supply for Metropolitan Manila 
and the nearby provinces.
Laguna Lake or Laguna de Bay is the largest inland body of water in the 
Philippines and the third largest lake in Southeast Asia with a lake surface area of 
90,000 hectares and coastline length of 220 kilometers. Its surface area is large than 
the land area of Singapore. The lake flows and discharges water into Manila Bay 
through the Pasig River. The lake is an important source for fishing, for irrigation and 
for domestic water needs; it is also a temporary reservoir. Its watershed spans 14 
cities and 17 municipalities located within the whole province of Laguna and parts of 
Batangas, Cavite, Quezon and Metro Manila. It is located in the major growth corridor 
of the country. The water resources of the lake and its tributary rivers are used for 
irrigation, power generation, recreation, domestic water supply, and navigation, 
among others.
To promote the development of the Laguna de Bay area, the Laguna Lake 
Development Authority was created under Republic Act No. 4850, with the aim of


promoting the social and economic growth of the surrounding provinces, cities and 
towns. While the LLDA exercises policy and planning, regulatory, coordinative and 
developmental functions, it does not have control over all projects affecting the 
Laguna de Bay region. Overlapping and even conflicting mandates and programs of 
the many agencies, local governments and other entities the LLDA coordinates with 
have been identified as the stumbling block in managing the lake's resource and 
intensified conflicts that arise from its multiple uses.
Current problems faced by the LLDA include the management of solid waste in 
the lake, sanitation and public health, congestion of shoreland areas, rapid siltation 
and sedimentation, unmitigated input of domestic agricultural and industrial wastes, 
flooding and loss of biodiversity, and decline in water quality. In a recent study of 
conducted by the University of the Philippines, the lake water, according to a new 
study, is contaminated with heavy metals, industrial chemicals, antibiotics, steroid 
hormones, protozoa, and fecal bacteria from both humans and animals including hogs 
and ducks. Consequently, although it is the biggest fresh water lake in the country, 
the Laguna de Bay cannot be a major source of safe water. Currently, Laguna Lake is 
being used as a water supplemental source after it has undergone a treatment facility.
This bill seeks to expedite the restoration and rehabilitation of Laguna Lake and 
improve its water quality so it can be used as a major domestic water source for Metro 
Manila and nearby provinces. The proposed measure also aims to strengthen the 
policy-making and regulatory powers of the LLDA, in order that it can realize the vision 
of a self-sufficient and highly dynamic integrated water management authority, with 
competent and professional personnel who take the lead towards the sustainable 
development of the Laguna de Bay. In view of the foregoing, the passage of this bill 
is earnestly sought.
3. GORDON
Senator


EIGHTEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
Second Regular Session 
)
SENATE S.B. No.
2047
Introduced by Senator Richard J. Gordon
RECEIVED
TP-.February
TIME
NDfcX
AN ACT
TO REHABILITATE LAGUNA DE BAY AND TO STRENGTHEN THE 
LAGUNA LAKE DEVELOPMENT AUTHORITY (LLDA), REPEALING 
FOR THIS PURPOSE REPUBLIC ACT NO. 4850, AS AMENDED, 
OTHERWISE KNOWN AS THE LAGUNA LAKE DEVELOPMENT 
AUTHORITY ACT OF 1966, PROVIDING FUNDS THEREFOR AND 
FOR OTHER PURPOSES.
Be it enacted by the Senate and the House of Representatives of the Philippines 
in Congress assembled:
1 
SECTION 1. Short title. - This Act shall be known as the "Laguna Lake
2 
Development Act of 2021".
3 
SEC. 2. Declaration of Policy. - It is hereby declared the policy of the State to
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promote and develop Laguna Lake in a sustainable manner along the surrounding
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areas that comprise its region, hereinafter referred to as the Bay Region, with Laguna
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Lake as its focal point whose water resources must be systematically managed and
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protected for various uses.
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For this purpose, the State hereby adopts an integrated water resources
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management (IWRM) approach, using the lake's watersheds as planning units to
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interconnect and integrate its various ecosystems pursuant to Art. II, Sec. 16 of the
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1987 Constitution: "The State shall protect and advance the right of the people to a
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balanced and healthful ecology in accord with the rhythm and harmony of nature."
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In accordance with the IWRM approach, any development program in the region
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shall always consider sustainable environmental management and the prevention of
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any ecological harm, resource, deterioration and pollution to allow the lake to realize
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its full potentials including, among other uses, as a major resource in fish production
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of national importance. Under Article XIII, Section 7 of the 1987 Constitution, the


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state is mandated to protect, develop, and conserve communal marine and fishing
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resources, both inland and offshore.
3 
SEC.3. Definition of Terms. - As used in this Act:
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1) 
Laguna Lake or Laguna tie Bay. - shall refer to that area covered by the
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lake water when it is at the average annual maximum lake level of elevation 12.50
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meters, as referred to a datum 10.00 meters below mean lower low water (M.L.L.W.)
7 
of Manila de Bay. Lands located at and below such elevation are public lands, which
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form part of the bed of said lake.
9 
2) 
Integrated Water Resources Management (IWRM) - is a process that
10 
promotes the coordinated development and management of water, land and related
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resources in order to maximize the restraint economic and social welfare in an
12 
equitable manner without compromising the sustainability of vital ecosystems.
13 
3) 
Watershed- is the term used to describe the geographic area of land
14 
that drains water to a shared destination or to an area of land that drains down slope
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to the lowest point. The water moves through a network of drainage pathways, both
16 
underground and on the surface. Other terms used Interchangeably with watershed
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include drainage basin or catchment basin.
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4) 
Environment- means the physical factors of the total surroundings of
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human beings, including but not limited to the lakes and other bodies of water, land,
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air, atmosphere, climate, sound, odor, plants, insects, animals, its biological and
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physical factors, all its life support systems and all other surrounding matters that
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affect directly or indirectly the existence of human life and other life forms in a specific
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area.
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5) 
Shoreiand / Lakeshore areas / Buffer Zone - that part of the lake along
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the lakeshore lying at elevation 12.50 meters and below and alternately submerged
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or exposed by the annual or seasonal rising and lowering of the lake levels. This is a
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linear strip of land of approximately 14,000 hectares designed to separate the
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incompatible elements or uses, or to control pollution/nuisance and for identifying and
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defining development areas or zones.
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6) 
Ground water - means sub-surface water that occurs beneath the water
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table in soils and rocks, or in geological formations.
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7) 
Aquacuiture - fishery operations involving all forms of raising and
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culturing fish and other fishery species in fresh, brackish and marine water areas.
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8) 
Aqua structure - refers to a structure enclosing a particular area in the
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lake which makes use of poles usually made of bamboo or anahaw and surrounded


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by nets, fastened by a weight of sinkers embedded in the lake bed; may also refer to
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a fish cage which is an inverted mosquito net fastened to poles usually made of
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bamboo or such other structures used for fish or aquatic resource culture.
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9) 
Effluent- means discharge from known sources which is passed into a
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body of water or land, or wastewater flowing out of a manufacturing plant or an
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industrial plant, including domestic, commercial and recreational facilities.
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10) Pollution - shall mean any alteration of the physical, chemical and
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biological properties of any water, air and land resources of the Philippines or any
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discharge thereto of any liquid, gaseous or solid wastes as will be likely to create or
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to render such resources harmful, detrimental or injurious to public health, safety or
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welfare or which will adversely affect their utilization for domestic, commercial,
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industrial, agriculture, recreational or other legitimate purposes.
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11) 
Clean-up operations— means activities involving the removal of
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pollutants discharged or spilled into a water body and its surrounding areas, and the
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restoration of the affected areas to their former physical, chemical and biological state
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or conditions.
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SEC. 4. Laguna Lake Region. — For purposes of this Act, the Laguna Lake
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Region shall comprise the provinces of Laguna and Rizal; the cities of Pasay, Caloocan,
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Quezon, Manila, Makati, Mandaluyong, San Juan, Pasig, Marikina, Muntinlupa,
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Tagaytay, Tanauan, Taguig and Lipa; the towns of Silang, Carmona, Dasmarinas and
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General Mariano Alvarez in Cavite Province; the towns of Mauban, Real, Lucban and
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Sampaloc in Quezon Province; the towns of Sto. Tomas and Malvar in Batangas; and
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the town of Pateros in Metro Manila and all areas that drain into the Laguna Lake:
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Provided, That cities or towns that may be subsequently created in the future out of
26 
the aforementioned municipalities and cities surrounding Laguna Lake shall
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automatically form part of the Laguna Lake Region.
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SEC. 5. Laguna Lake Development Authority. - Pursuant to the original
29 
mandate of Republic Act No. 4850, as amended, the Laguna Lake Development
30 
Authority, hereinafter referred to as the LLDA, shall pursue the ecologically sustainable
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development of the Bay Region. It shall maintain its principal office at a convenient
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place within the region, and such branch offices in other places within the Bay Region
33 
as are necessary for the proper conduct of its business.
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SEC. 6. Powers and Functions. -The LLDA shall have the following powers
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and functions:
36
a) Periodically conduct, monitor and update a comprehensive survey of the


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Laguna Bay Region, including its socio-economic conditions, water
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quantity and quality in the lake proper and all its major tributary rivers,
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irrigation, water supply, transport route, reservoir of floodwater,
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hydroelectric and other power potentials, scenic and tourist spots, state
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of its watersheds, the tributary rivers and other physical and natural
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resource potentials on the basis of which it shall prepare a sustainable
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regional development master plan.
8 
All concerned public and private agencies shall provide the LLDA the
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necessary data for the purposes of the said survey;
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b) 
Develop a long-term program to attract more private-sector-driven
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Investments into the Bay Region in consonance with a regional master
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plan, which shall be formulated in consultation with stakeholders,
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concerned government agencies, local government units (LGUs), and civil
14 
society in the Bay Region;
15 
c) 
Review all plans, projects and programs that relate to the development of
16 
the Bay Region, proposed and submitted by LGUs, public corporations and
17 
private persons or corporations to ensure that they conform to the
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environmental standards prescribed by the LLDA and other similar laws.
19 
The LLDA shall collect reasonable fees as may be determined by the
20 
Board for the processing of such plans, programs or projects. Any future
21 
expansion of such plans, programs, or projects shall be again subject to
22 
LLDA review and to payment of additional fees as may be further
23 
determined by the LLDA Board.
24 
d) 
Engage, whether by itself or in cooperation with private persons or
25 
entities, in agriculture, commerce, industry, or to organize, finance, invest
26 
in, and operate subsidiary corporations which are in the nature of new
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ventures or are clearly beyond the scope, capacity, or interest of private
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enterprises by reason of geography, technical or capital requirements,
29 
returns on investment and risk and when public interest so requires;
30 
e) 
Implement infrastructure projects such as flood control, solid waste
31 
management, wastewater and sewerage, water supply, roads, ports,
32 
irrigation, housing, leisure parks and related works, within the context of
33 
its development master plan, including the readjustment, relocation, or
34 
resettlement of human population within the Bay Region that may be
35 
deemed necessary and beneficial in pursuit of the LLDA mandate. Should
36 
any of these projects be financed wholly or in part by the LLDA, it shall
37 
have authority to collect reasonable fees and tolls from users or


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beneficiaries to recover costs of construction, operation and maintenance
2 
of the projects. For infrastructure projects that are in the nature of social
3 
overhead capital projects, it shall be entitled to receive the corresponding
4 
financial assistance from the government;
5 
f) 
Undertake a massive information campaign among the stakeholders, in
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close coordination with the LGUs and other government agencies within
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the Laguna de Bay Region to promote better understanding of the
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importance of environmental protection and conservation of the Laguna
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Lake and its watersheds;
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g) 
Implement dredging and/ or reclamation projects in close coordination
11 
with the Philippine Reclamation Authority (PRA)/Public Estates Authority
12 
(PEA) and LGUs concerned with the end-in-view of facilitating the
13 
approval thereof by the PRA/PEA pursuant to existing laws, executive
14 
orders and other issuances which may be necessary to accomplish the
15 
aims and purposes of the LLDA; Provided, That the land so reclaimed shall
16 
become the property of the national government through the LLDA;
17 
h) 
Determine new areas of fishery development, taking into account the
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overall development plans and programs for Laguna Lake and related
19 
bodies of water and promulgate rules and regulations governing fisheries
20 
development in the Bay Region. Accordingly, it shall engage in
21 
experimental pilot fish production such as the propagation of ornamental
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fish and simiiar aquaculture projects in Laguna Lake and other bodies of
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water within its jurisdiction, in collaboration with the Bureau of Fisheries
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and Aquatic Resources (BFAR). It shall improve present fishery techniques
25 
and practices to provide equitable access to its fishery resources for the
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socio-economic amelioration of small fisher folk, improvement of their
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communai fishing grounds, sustainable aquaculture development and
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operation. In hiring laborers for fishery-related projects, there shall be
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preference for qualified shore land residents;
30 
i) 
Regulate the use and occupancy of shoreland areas by enjoining LGUs
31 
within the Bay Region to establish watershed management councils or
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wetlands whenever suitable and consistent with LLDA policies;
33 
j) 
Develop surface and groundwater supply sources for municipal,
34 
agricultural, commercial, and industrial use, in close coordination with the
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National Water Resources Board (NWRB), or Local Water Utilities
36 
Administration (LWUA), as the case may be, pursuant to existing laws,
37 
executive orders and other issuances which may be necessary to
38 
accomplish the aims and purposes of the LLDA;


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k) 
Enter into agreements with LGUs, governmental agencies and
2 
corporations and the private sector for the supply, treatment, distribution
3 
and marketing of such water;
4 
I) 
Establish and enforce anti-pollution standards on municipal, agricultural,
5 
commercial and industrial wastewater and effluents being discharged into
6 
the lake in coordination with appropriate government agencies;
7 
m) 
Conduct a continuing research, development and extension program in
8 
close coordination with the academe. Department of Environment and
9 
Natural Resources (DENR), and the Department of Science and
10 
Technology (DOST) on lake water quantity and quality, integrated
11 
watershed management and enterprise, development and management
12 
with the end view of promoting sustainable development in the region;
13 
n) 
Adopt rules and regulations governing the approval of sewage works and
14 
industrial waste disposal system and the issuance of clearance and/or
15 
permits in accordance with the provisions of this Act when necessary and
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inspect the construction and maintenance of sewage works and industrial
17 
waste disposal systems for compliance to clearance and/ or permit
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conditions;
19 
o) 
Require all projects or activities in or affecting the Laguna de Bay Region
20 
to secure Environmental Compliance Certificates (ECCs) required under
21 
Presidential Decree No. 1586 and grant clearance and/or permits for any
22 
projects or activities located within or affecting the Bay Region including,
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but not limited to, industrial and commercial activities, navigation,
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irrigation, power generation, housing, resettlement and other forms of
25 
land developments, 
construction and operation of aquaculture
26 
development, dredging/reclamation and similar or related activities and
27 
to impose safeguards for lake water quantity and quality control and
28 
management and to collect necessary fees and said activities and
29 
projects.;
30 
p) 
Issue, renew, or deny permits subject to reasonable guidelines for the
31 
discharge of sewage, industrial waste, or for the installation or operation
32 
of sewage works and industrial disposal system or parts thereof for the
33 
prevention 
and abatement of pollution and 
require subdivisions,
34 
condominiums, clinical and medical establishments, mortuaries, public
35 
buildings, other similar human settlements, to construct appropriate
36 
central sewerage system and sewage treatment works. The LLDA may
37 
impose reasonable fees and other similar charges for the issuance or
38 
renewal of all permits herein required;


1 
q) 
Issue orders or decisions to compei compliance with the provisions of this
2 
Act and its implementing rules and regulations after proper notice and
3 
hearing;
4 
r) 
Make, issue, alter, or modify orders or decisions, after notice and hearing,
5 
requiring the discontinuance of pollution specifying the conditions and the
6 
time within which such discontinuance must be accomplished;
7 
s) 
After due notice and hearing, revoke, suspend or modify any clearance
8 
and/or permit issued under this Act whenever the same is necessary to
9 
prevent or abate pollution;
10 
t) 
Deputize or request assistance of appropriate government agencies or
11 
instrumentalities for the purpose of enforcing this Act and its
12 
implementing rules and regulations and the orders and decisions of the
13 
LLDA;
14 
u) 
Authorize its bona fide representatives at all reasonable times to enter
15 
any public and private property devoted to agriculture, commercial and
16 
industrial use for the purpose of inspecting and investigating conditions
17 
relating to pollution and existing and/or imminent environmental danger;
18 
v) 
Exercise such powers and perform such other functions as may be
19 
necessary to carry out its duties and responsibilities under this Act.
20 
SEC. 7. Corporate Powers. - The authority shall have the following corporate
21 
powers:
22 
a) 
Succeed in its corporate name;
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b) 
Sue and be sued in its corporate name;
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c) 
Adopt, alter and use a corporate seal;
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d) 
Adopt, amend, or repeal its by-laws;
26 
e) 
Enter into contracts to enable it to carry out its purposes and functions
27 
under this Act;
28 
f) 
Acquire, buy, purchase, hold or lease, such personal and real property as
29 
it may deem necessary in the transaction of its business or in relation to
30 
carrying out its purposes under this Act and to lease, mortgage, sell,
31 
alienate, or otherwise encumber, utilize, exploit or dispose any such
32 
personal and real property held by it, subject to individual or communal
33 
right of private parties or of the government or any agency or enterprise


thereof;
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g) 
Exercise the right of eminent domain whenever the LLDA deems it 
necessary achieve the objectives of this Act;
h) 
Borrow funds from any local or foreign sources independent of the bonds 
it may issue or may continue to issue to carry out the purposes of this 
Act;
i) 
Purchase, hold, alienate, mortgage, pledge or otherwise dispose of the 
shares of the capital stock of, or any bond, securities, or other evidence 
of indebtedness created by any other corporation, co-partnership, or 
government agencies or instrumentalities; and while the owner of said 
stock to exercise all the rights of ownership, including the right to vote 
thereon: Provided, That the LLDA shall not invest its funds in any high risk 
debt instruments issued without recourse to commercial banks or 
investment houses as well as in any highly speculative stocks;
j) 
Perform any and all acts which a corporation, co-partnership or juridical 
person is authorized to perform under the existing laws or which may be 
enacted hereafter;
k) 
Provide economic incentives to encourage the private sector to fully 
subscribe to its shares of stock;
l) 
Issue such other rules and regulations as may be necessary from time to 
time to achieve the purposes of this Act, the same to take effect thirty 
(30) days after its publication in a newspaper of general circulation.
SEC. 8. Board of Directors. - The LLDA shall be governed by a Board of
25 
Directors who shall be appointed by the President of the Philippines and shall be
26 
composed of the following:
1) 
Secretary of Environment and Natural Resources, Chairman
2) 
General Manager, LLDA, Vice-Chairman
3) 
Governor, Province of Laguna, ex officio
4) 
Governor, Province of Rizal, ex officio
5) 
Secretary, Department of Agriculture


1 
6) 
Secretary, National Economic and Development Authority
2 
7) 
Secretary, Department of Public Works and Highways
3 
8) 
Chairman, Metro Manila Development Authority
4 
9) 
Representative of the Bay Region City and Municipal Mayors'
5 
Association to be constituted sixty (60) days from the passage of this Act from
6 
among the mayors of towns and cities that comprise the Bay Region as defined
7 
in Section 3 of this Act.
8 
10) Representative of the Laguna fisher folk
9 
11) Representative of the Rizal fisher folk
10 
The representatives of the Laguna fisher folk and the Rizal fisher folk shall be
11 
appointed by the President of the Philippines to be chosen from among the nominees
12 
recommended by the Laguna Governor and the Rizal Governor, respectively, upon
13 
consultation with the concerned sector. The term of the appointive members shall be
14 
six (6) years without reappointment, or until their successors are duly appointed and
15 
qualified. Vacancy, other than through the expiration of the term, shall be filled for
16 
the unexpired term only.
17 
Ex-officio Cabinet members can designate alternate representatives to the Board,
18 
given the demands of their Cabinet-level position.
19 
SEC. 9. Powers and Functions. -The Board of Directors shall exercise the
20 
following powers and functions:
21 
a) Prescribe policies, rules and regulations to govern the conduct of business
22 
of the LLDA including the procedures of the Authority;
23 
b) Upon recommendation of the General Manager, approve the LLDA's
24 
organizational and administrative structures and corresponding staffing
25 
patters as may be deem necessary, fix their reasonable compensation,
26 
allowance and other benefits in accordance with the salary standardization
27 
law; prescribed their duties and establish such methods and procedures as
28 
may be necessary to insure the efficient, honest and economical
29 
administration of the provisions and purposes of this Act; Provided,
30 
however. That all personnel of the LLDA below the rank of Assistant General
31 
Manager shall be appointed by the General Manager, Provided, furthers,
32 
That all personnel appointed by the General Manager, except those below
33 
the rank of Department Heads, and other comparable rank, shall be subject
34 
to the confirmation by the Boards, Provided, further. That the personnel of


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d)
e)
the LLDA shall be selected only from civil service eligible and be subject to 
civil service rules and regulations.
Upon the recommendation of the General Manager, to approve the annual 
and supplemental budget of receipts and expenditures of the LLDA, and to 
authorize such operating and capital expenditures and disbursements of 
the LLDA as may be necessary or proper for the effective management, 
operation and administration of the LLDA;
Create and organize a Technical Advisory Council composed of 
representatives from both the government and non-government sectors as 
the Board may determine to assist and advise the Board in the conduct of 
public consultations with Bay Region stakeholders towards a better 
considered formulation of LLDA plans and policies; and
Perform such other functions as may be necessary to carry out the 
provisions of this Act.
SEC. 10. Board Meetings. -The Board shall meet at least once a month.
SEC. 11. Per Diems. -The members of the Board shall each receive per diem 
at a rate in accordance with existing rules and regulations: Provided, however, that 
the total per diem coliected each month shali not exceed the equivalent per diem for 
four (4) meetings.
SEC. 12. Sinking Fund. - A sinking fund shali be established in such manner 
that the total annual contribution thereto accrued at such interests as may be 
determined by the Board of Directors as confirmed by the stockholders representing 
a majority of the subscribed capital stock outstanding and entitled to vote, shall be 
sufficient to redeem at maturity the bonds issued under this Act.
Such funds shall be under the custody of the treasurer of the authority who shali 
invest the same in such manner as the Board of Directors may direct; charge all 
expenses of Investment to said sinking fund, and credit the same with the interest on 
investment and other income beionging to it.
SEC. 13. Generai Manager; Powers and Functions. - The General Manager 
shall be the Chief Executive Officer of the LLDA. As such, he/she shaii have the 
foilowing powers and functions:
a) Submit for consideration of the Board policies and measures which he 
believes to be necessary to carry out the purposes and objectives of this 
Act;
10


1 
b) Execute, administer, and impiement the poiicies, plans, programs and
2 
projects approved by the Board;
3 
c) 
Manage and supervise the operation and administration of the LLDA;
4 
d) 
Appoint all officials and employees of LLDA below the rank of Assistant
5 
General Manager, remove, suspend or otherwise discipline them for cause,
6 
in accordance with existing civil service rules and regulations, and submit
7 
quarterly reports to the Board on personnel selection, placement and
8 
training;
9 
e) Render an annual report to the Board and various stakeholders regarding
10 
the operation of the LLDA, including its latest financial statement;
11 
0 Represent the LLDA in all dealings with offices, agencies and
12 
instrumentalities of the government and with all persons and other entities,
13 
public or private, domestic and foreign; and
14 
g) Perform such other functions as may be provided in the By-Laws and as
15 
may be vested in him/her by the Board.
16 
SEC. 14. Qualifications of the Generai Manager. - The General Manager
17 
shall be a citizen and resident of the Philippines. He or she shall have demonstrated
18 
executive competence and experience in the field of public administration, economic
19 
planning, environmental and natural resource management, or in the establishment
20 
and management of large agricultural, commercial or industrial enterprises. No person
21 
shall be nominated as General Manager unless he/she is of unquestioned integrity and
22 
competence.
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SEC. 15. Tenure of Office of the Generai Manager. - The General Manager
24 
shall be appointed by the President of the Philippines for a fixed term of six (6) years.
25 
In case of resignation, retirement, separation, transfer, re-assignment, removal and
26 
other cause of cessation from office, the replacement shall serve only for the
27 
unexpired portion of the term.
28 
SEC. 16. Compensation. - The General Manager shall receive compensation
29 
at rates in accordance with the salary standardization law.
30 
SEC. 17. Management Structure. -In carrying out the activities of the LLDA,
31 
the General Manager shall be assisted by two Assistant General Managers - one for
32 
Operations and another for Administration - who shall have such powers, duties, and
33 
functions as the General Manager may prescribe and/ or delegate and shall act as the
34 
General Manager in his/her absence or during his/her temporary incapacity of and/or
35 
until such time as a new General Manager is duly appointed.
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The Authority shall have the following departments under the direct supervision
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and control of the General Manager;
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a) 
Corporate Legal Affairs Department, which shall provide legal advice and 
support to all the corporate units on the legal implications of the various 
undertakings of the Authority and divided into Litigation Division, and 
Research and Documentation Division.
b) 
Administrative Department, which shall be responsible for providing 
services relating to human resource management, records management, 
and general services.
c) 
Finance Department, which shall be responsible on revenue planning, 
generation, and enhancement, assistance on budgetary and financial 
matters, and safekeeping of corporate assets.
d) 
Policy Planning and Management Services Department, which will 
undertake policy research and development, and advise the General 
Manager on policy positions and public advocacy measures for approval of 
the Board.
e) 
Integrated Water Resources Management Services Department, which shall 
serve the main technical arm of the Authority and shall integrate the 
functions of lake basis management and development. It shall oversee the 
management of the Laguna Lake and Its river systems including the shore 
lands.
f) 
Environmental/ Protection Department, which wiil manage all the 
environmental regulatory functions of the Authority like clearance/permits 
and licensing, monitoring and surveillance, enforcement and adjudication 
and environmental quality compliance.
The Board shall periodically review the appropriateness of the existing 
organizational structure and amend the same whenever It may deem necessary and 
beneficial to achieve the purposes of this Act and to be able to respond efficiently to 
LLDA's mandate as herein provided. Any proposed change in the organizational 
structure of the Authority shall be subject to the approval of the President of the 
Philippines.
SEC.18. Annual - The LLDA is hereby authorized to collect annual fees 
for the use of the lake waters. Its tributaries and shoreland areas for all beneficial 
purposes including, but not limited to fisheries, aquacuiture, municipal, agricultural, 
irrigation, commercial, industrial, hydroelectric generation and other power potential, 
transport and navigation, waste disposal purposes, recreation and
12


1 
dredging/reclamation from all private and public entities whether government or non-
2 
government agencies, among others the water utilities sector. All the fees so collected
3 
shall be accordingly appropriated for the sustainable development of the lake and its
4 
watershed areas. Provided, that the fees collected for fisheries may be shared between
5 
the Authority and other government agencies and LCDs as follows: thirty-five percent
6 
(35%) of the fish pen fee goes to shore land LGUs, five percent (5%) goes to the
7 
Project Development Fund and the remaining sixty percent (60%) shall be retained
8 
by the LLDA.
9 
SEC. 19. Capitalization and Financing. - The LLDA shall have an authorized
10 
capital of One Billion Pesos (PI,000,000). The authorized capital stock of One Billion
11 
Pesos (P1,000,000,000) shall be divided into Ten Million (10,000,000) shares of stock
12 
with a par value of One Hundred Pesos (PlOO) per share. The National Government
13 
shall subscribe to Six Million (6,000,000) shares, the province of Laguna to One Million
14 
(1,000,000) shares, the province of Rizal to One Million Thousand (1,000,000) shares,
15 
and the balance of Two Million (2,000,000) shares shall be open for subscription to
16 
other government agencies or LGUs and other private individuals or corporations
17 
within the Bay Region.
18 
The shares of stock of the LLDA shall be divided into:
19 
1) 7,000,000 ordinary shares (voting); and[i^
20 
2) 3,000,000 preferred shares (non-voting).
21 
SEC 20. Funding. - The amount necessary to subscribe and pay for the
22 
remaining shares of the national government to the capital stock of the LLDA shall be
23 
included in the annual General Appropriations Act. For LGUs, the funds shall be taken
24 
from their internal revenue allotment and other local funds.
25 
SEC.21. Creation of LLDA Environmental Adjudication Panel. - For the
26 
purpose of effectively carrying out the quasi-judicial powers of the Authority within
27 
the Bay Region, the LLDA Environmental Adjudication Panel (LEAP) is hereby created
28 
to be composed of a Chairman and two (2) other members representing the Office of
29 
the General Manager, the Corporate Legal Affairs Department and the concerned
30 
department depending on the matter under controversy to be designated by the
31 
General Manager. The LEAP is hereby mandated to take cognizance and adjudicate
32 
violations of this Act including all existing and relevant laws, LLDA policies, rules and
33 
regulations. Any decision, order or resolution must be concurred in by the majority of
34 
the panel and duly approved by the General Manager.
35 
The Corporate Legal Affairs Department shall serve as Secretariat of the LEAP.
13


1 
SEC. 22. Creation of a Lake Police Force. - The National Police Commission
2 
shall constitute and assign a special police force to be known as the Laguna Lake
3 
Police, exclusively for the Bay Region, trained especially for enforcement of laws on
4 
fisheries and environmental laws and the rules and regulations duly promulgated by
5 
the LLDA.
6 
The extent of operational supervision and control by the General Manager over
7 
the Laguna Lake Police shall be the same as that of local chief executives over police
8 
force of LGUs as defined in the Department of Interior and Local Government Act of
9 
1990 (R.A. 6975), in relation to Sec. 73 of the Local Government Code of 1991 (R.A.
10 
7160). The LLDA Board, the local government units (LGUs) and the leadership of the
11 
Philippine National Police shall within sixty (60) days from the passage of this Act
12 
constitute a technical working group that will further delineate and define the nature
13 
and character of this unit in order to avoid any overlap and potential conflict with the
14 
LGU police units within the Bay Region.
15 
SEC. 23. Clean-up Operations and Rehabilitation Plan. - The Authority is
16 
mandated to expedite the rehabilitation and reparation of coastal and marine
17 
ecosystem of Laguna Lake, including the restoration of the water quality of the lake.
18 It shall prepare and/or implement a Rehabilitation Plan for this purpose. The Authority
19 
shall, in coordination with DENR and other concerned agencies and LGUs, conduct,
20 
within one hundred eighty days (180) days from the effectivity of this Act and
21 
periodically thereafter, clean-up operations of areas of the lake, which have the
22 
biggest source of pollutants. This provision shall not be interpreted to amend Sections
23 
16 and 28 of R.A. 9275.
24 
The clean-up operations mandated under this Section shall be undertaken in
25 
consultation with the appropriate departments of the University of the Philippines
26 
System.
27 
Initial funds for the clean-up operation shall be sourced from National Water
28 
Quality Management Fund established under Republic Act N. 9275, otherwise known
29 
as the Philippine Clean Water Act of 2004. The additional amount necessary for the
30 
cleanup operation and rehabilitation shall be included in the General Appropriation
31 
Act.
32 
Sec. 2A. Joint Congressional Oversight Committee.— A Joint
33 
Congressional Oversight Committee on the Restoration and Rehabilitation of
34 
Laguna De Bay, hereinafter referred to as the "Oversight Committee", is hereby
35 
constituted in accordance with the provisions of this Act. The Committee shall be
36 
composed of the Chairpersons of the Committees on Government Corporations
37 
and Public Enterprises of both Houses of Congress, the Chairperson of the
38 
Committee on Appropriations of the House of Representatives, the Chairperson of
14


1 
the Committee on Finance of the Senate, and three (3) additionai members from
2 
each House to be designated by the Senate President and the Speaker of the
3 
House of Representatives. The Oversight Committee shail be in existence for a
4 
period of ten (10) years from the effectivity of this Act.
5 
The Authority shali report to the Oversight Committee on semi-annuai basis
6 
the status of the water quaiity of Laguna de Bay and the impiementation of the
7 
Rehabiiitation Pian.
8 
SEC. 25. Exemption from Tax. -The Authority shall be exempt from all taxes,
9 
licenses, fees, imposts, charges, costs and duties except real property tax incidental
10 
to its operations and service/filing fees in any court or administrative proceedings in
11 
which it may be a party, restrictions and duties to the Republic of the Philippines, its
12 
provinces, cities, municipalities and other government agencies and instrumentalities.
13 
Such exemption shall include any tax or fee imposed by the government on the sale,
14 
purchase or transfer of foreign exchange. All notes, bonds, debentures and other
15 
obligations issued by the Authority shall be exempt from all taxes both as to principal
16 
and interest.
17 
SEC. 26. Fines and Penalties. - The LLDA is authorized to impose
18 
administrative fines and other penalties it may deem reasonable and appropriate
19 
within the bounds of existing law on the same or similar offenses as determined and
20 
approved by the Board for non-compliance with permit conditions and for undertaking
21 
development activities without clearance/permit from the LLDA against any person,
22 
juridical or otherwise, within the Bay Region who may be found violating, or have in
23 
fact violated, any of its rules and regulations.
24 
Likewise, the LLDA is authorized to institute the necessary legal proceedings
25 
against those who shall commence to implement any development activities within
26 
the Bay Region not cleared nor approved by the LLDA.
27 
SEC. 27. Damages. - Compensation for any damage to the shore land, water
28 
and aquatic resources of Laguna Lake and its tributaries resulting from failure to meet
29 
established water and effluent quality standards or from such other wrongful act or
30 
omission of a person, private or public, juridical or otherwise, punishable under the
31 
law shall be awarded to the LLDA for water quantity/quality control and management
32 
projects.
33 
SEC. 28. Pena! and Civil Liability Clause. - Any person, natural or juridical,
34 
who shall violate any of the provisions of this Act or any rules and regulations
35 
promulgated by the Authority pursuant thereto shall be liable to imprisonment of not
36 
exceeding three (3) years or to a fine not less than Fifty Thousand Pesos (P50,000.00)
37 
or both at the discretion of the court. This is without prejudice to the imposition of
15


1 
penalties as may be provided under existing and reievant iaws, ruies and reguiations.
2 
If the vioiator be a corporation, partnership or association, the officer / officers
3 
of the organization concerned shaii be heid iiabie.
4 
The LLDA is hereby authorized to initiate, fiie, prosecute and defend aii suits,
5 
actions or to pursue separate civii actions for damages resuiting from infractions of
6 
the provisions of this Act, ruies or reguiations issued pursuant thereto and/or
7 
conditions embodied in the ciearances or permits issued by the Authority.
8 
SEC. 29. Auditor. - The Chairman of the Commission on Audit shaii be the ex
9 
officio Auditor of the LLDA. For this purpose, he/she may appoint a representative
10 
who shaii be the
11 
Auditor of the LLDA, and the necessary personnei to assist said representative
12 
in the performance of his/her duties.
13 
The Chairman of the Commission on Audit or his/her authorized representative
14 
shaii submit to the Board soon after the dose of each caiendar year, an audited
15 
statement showing the financiai condition and progress of the LLDA for the caiendar
16 
year just ended.
17 
SEC. 30. Implementing Rules and Regulations. - The LLDA in coordination
18 
with the proper standing Committees of both the Senate and the House of
19 
Representatives and other concerned agencies shaii promuigate the impiementing
20 
ruies and reguiations (IRR) for this Act, within six (6) months after its enactment:
21 
Provided, that the ruies and reguiations issued by other government agencies and
22 
instrumentaiities for the prevention and/or abatement of water poiiution not
23 
inconsistent with this Act shaii suppiement the ruies and reguiations issued by the
24 
LLDA pursuant to the provisions of this Act.
25 
SEC. 31. Repealing Clause. - Repubiic Act No. 4850 as amended, Presidentiai
26 
Decree No. 813, and Executive Order No. 927, and aii iaws, orders, issuance, ruies
27 
and reguiations inconsistent herewith are hereby repeaied.
28 
SEC. 32. Separability Clause. - If any provision of this Act is deciared
29 
unconstitutionai, the same shaii not affect the vaiidity and effectiveness of the other
30 
provisions hereof.
31 
SEC. 33. Effectivity. - This Act shaii take effect fifteen (15) days foiiowing its
32 
pubiication in at ieast two (2) nationai newspapers of generai circuiation.
33 
Approved,
16