Republic of the Philippines i oe VED
House of Representatives OATE:
Quezon City

Tie:

SEVENTEENTH CONGRESS
First Regular Session

5480

HOUSE BILL NO.

INTRODUCED BY CONGRESSMAN ALFRED VARGAS

EXPLANATORY NOTE
Article II Section 5 of the 1987 Philippine Constitution provides that:

“The maintenance of peace and order, the protection of life, liberty, and property,
and the promotion of the general welfare are essential for the enjoyment by all the people
of the blessings of democracy.”

On February 20, 2017, a bus carrying the students of Bestlink College of the
Phillipines allegedly lost control and hit an electric post in Sitio Bayukan, Barangay
Sampaloc, Tanay, Rizal. Fourteen students and the driver of the bus were killed in the
incident. The authorities cite brake failure as the cause of the accident. Barely two
months later, a bus travelling from llagan, Isabela to Candon, Ilocos Sur fell into a 100-
foot ravine in Carranglan, Nueva Ecija, killing at least 32 people and injuring 45 of its
Passengers. Overloading and the burst of the bus's right front tire are considered as the
cause of the accident.

These two tragic incidents together with the numerous transportation-related
accidents recorded in the country expose the inefficiencies in regulating policies
covering public transportation. They also underscore the need for an independent body
to investigate such incidents and appraise and assess the operating practices and
regulations of government agencies involved in the transportation sector.

This bill seeks the creation of the National Transportation Safety Board, a non-
regulatory entity tasked to determine the probable cause of transportation-related
accidents on land, sea, and air, including railway and pipeline systems. Other
responsibilities of the Board include formulating and promulgating safety improvement
standards for the observance and implementation by concerned government agencies
and private entities.


This initiative will not only improve the country's transportation sector but will
also effectively prevent fatal accidents, thus, ensuring the protection and safety of the
commuting public.

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

‘ALFRED VARGAS


Republic of the Philippines
House of Representatives
Quezon City

SEVENTEENTH CONGRESS
First Regular Session

5480

HOUSE BILL NO.

INTRODUCED BY CONGRESSMAN ALFRED VARGAS

AN ACT
PROVIDING FOR THE CREATION OF A NATIONAL TRANSPORTATION SAFETY
BOARD, PRESCRIBING ITS POWERS AND FUNCTIONS, AND APPROPRIATING
FUNDS THEREFOR

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

SECTION 1. Title - This Act shall be known as the “National Transportation
Safety Board Act of 2017”.

SEC. 2. Declaration of Policies -It is hereby declared the policy of the State to
promote safety in the transportation of people and goods through cost-effective
measures that either prevent, remedy, or mitigate accidents involving any mode of
transport, including pipelines and conveyors. Towards this end, the Government shall:

(a) Conduct independent accident investigations;

(b) Support safety programs based on continuing and objective reviews of causes
or reasons for unsafety acts and conditions; and

(c) Appraise and assess operating practices and regulations of government
agencies involved in the transportation sector, insofar as they affect safety,
and where appropriate, shall initiate, coordinate, formulate or promulgate
safety improvement standards for the observance and implementation by the
concerned government agencies and/or private entities.

SEC. 3. Creation of the National Transportation Safety Board. - There is
hereby created a National Transportation Safety Board, hereinafter referred to as the
“Board” which shall be attached to the Office of the President.

SEC. 4, Composition and Organization. -

(a) The Board shall be composed of seven (7) full-time Members, headed by a
Chairman, who shall be appointed by the President of the Philippines. A
Member of the Board must be a natural born citizen at the time of his or her
appointment, and must have at least three (3) years of actual experience in


the administration, operation and management of a transport utility firm or
regulatory agency in air, land, sea or rail transportation and knowledgeable
in accident reconstruction, safety engineering or transportation and traffic
safety. Provided, That three (3) of the full-time members must come from the
commuting public including a representative from the organizations
advocating for road safety.

(b) The Chairman shall have a term of five (5) years but may be renewed for a
non-extendible period of one (1) year. Provided, that the term of the initial
appointees shall be staggered such that the Chairman shall hold office for a
term of five (5) years; the next three (3) members for three (3) years and the
other three (3) members for two (2) years.

(c) Upon the expiration of their respective terms, they shall continue to serve
until their successor shall have been appointed and qualified. In case a
member fails to complete the term, the successor shall only serve the
unexpired portion of the term of the predecessor.

(a)A member may be removed from office by the President for cause in
accordance with the Civil Service rules and regulations.

(c) The Chairman shall be the Chief Executive Officer of the Board. He shall
exercise all the powers and discharge all functions of the Board. He shall
control over all personnel employed by the Board, including the following:

1. The appointment and supervision of personnel employed by the Board;

2. The distribution of business among such personnel and among any
administrative units of the Board; and

3, The use and expenditure of its funds.

(f) The Board shall establish and maintain distinct appropriately staffed
bureaus, divisions, or offices, to investigate and report on accidents involving
each of the following modes of transportation:

1. Aviation;
2. Highway and motor vehicle;
3. Pipeline, railroad, and tracked vehicle; and
4, Marine transport carriers
(g) The Board shall, in addition, establish and maintain such capabilities as may

be needed to investigate and report of the safe transportation of hazardous
and toxic materials.


SEC. 5. The Executive Director. -

(a) The Board shall have an Executive Director who shall be appointed by the
Chairman;

(b) No person shall be appointed Executive Director unless he is at least thirty
five (35) years of age at the time of appointment, a member of the Philippine
bar, and who has practiced his profession for at least ten (10) years prior to
the date of appointment. The individual must not have been a candidate for
any elective position in the elections immediately preceding the appointment.

(c) The Executive Director shall:

1. Record and officially report on the proceedings of the Board and shall
have authority to administer oaths in all matters falling within the
jurisdiction of the Board;

2. Be responsible for running the day to day operation of the Board;

3. Act as the custodian of the records, maps, profiles, reports, and other
documents and papers filed in connection with any case or proceedings
before the Board;

4. Be responsible for the effective implementation of the policies, rules, and
directives promulgated by the Board; and

5. Coordinate and supervise the activities of the different operating units of
the Board and shall perform such other functions as may be assigned by
the Chairman and/or the Board.

SEC. 6. Compensation. -

(a) The Chairman and the Members of the Board shall have the rank of a
Department Secretary and Undersecretary, respectively. They shall receive
the compensation and other emoluments corresponding to those of a
Department Secretary and Undersecretary, respectively.

(b) The Executive Director shall have the rank of Assistant Secretary and shall be
entitled to compensation and other emoluments corresponding to those of an
Assistant Secretary.

(c) The Chairman, the Members of the Board, and the Executive Directors shall
be entitled to commutable representation and transportation allowances per
month in the amount not exceeding the monthly salary of the lowest-paid
regular employee of the Board.


(d) The Board shall determine the schedule of salaries of the employees subject
to the compliance with the existing compensation law; Provided, That the
Board shall determine and fix the compensation and fringe benefits of
employees holding technical positions that are not common to the agencies of
the government which shall be specified in the implementing Rules and
Regulations.

SEC. 7. Duties and Functions of the Board. - The Board shall:

(a) Investigate or cause to be investigated ad determine the facts, conditions, and
circumstances and the cause of any of the following:

1. Aircraft accidents, in accordance with ANNEX 13 of the International Civil
Aviation Organization regulations. The result of the investigation shall be
made available to the public by the Board within sixty (60) days from its
completion;

2. Highway accidents, including railroad grade crossing accidents in
coordination with the Local Government Unit (LGU) where the accident
occurred;

3, Railroad accidents in which there is fatality, substantial property damage,
or which involved a passenger train;

4, Pipelines accidents, in which there is fatality or substantial property
damage;

5, Major marine accident, except those involving military vessels, occurring
on the navigable waters or territorial seas of the Philippines. They result
of the investigation shall be made available to the public by the Board
within sixty (60) days from its completion;

6. Other accidents involving transportation of people and property, which,
in the judgment of the Board, are catastrophic and of a recurring
character.

(b) Report in writing to Congress and the President on the facts, conditions, and
circumstances of each accident investigated pursuant to Section 7 (a) of this
‘Act, and cause such report to be made available to the public by the Board
within sixty (60) days from the completion of its investigation.

(c) Issue periodic reports to Congress, the President, and to make it available to
government agencies and instrumentalities, and non-government


organizations concerned with transportation safety upon request, including
owners of public transportation carriers who may be concerned with the
findings of the Board and to interested persons. Such reports shall contain
proposals for corrective measures to make the transportation of persons as
safe and free from the risk of injury as possible, including steps to minimize
human injuries from transportation accident: Provided, That the said reports
shall be made public within sixty (60) days from its submission to the
Congress or to the president, as the case may be;

(d) Initiate and conduct special studies and investigation on matters pertaining
to safety in transportation and avoiding injury to persons and damage to
property;

(e) Gather, analyze, maintain, and publish from time to time data and statistics
on transportation accidents;

(0 Carry out special studies and investigations relative to transportation safety;

(g) Prescribed requirements for persons reporting accidents and aviation
incidents that:

1. May be investigated by the Board pursuant to this Act; or

2. Involve public aircraft, except aircraft of the Armed Forces of the
Philippines.

(h) Perform such other functions as may be necessary to effectively implement
the objectives and provisions of this Act.

SEC. 8. Powers of the Board. -

(a) The Board or any member so designated may conduct hearings, administer
oaths, and require the attendance and testimony of witnesses as well as the
production of papers, contracts, agreements and all other relevant
documents deemed necessary in any inquiry or investigation pending before
the Board;

(b) Any representative authorized by the Board, upon presenting appropriate
credentials, may enter any property wherein a transportation accident has
occurred or wreckage from such accident is located in order to undertake the
appropriate investigation thereof. The representative may inspect at
reasonable times, records, files processes, controls, and facilities relevant to
the investigation of such accidents. Each inspection shall be commenced and
completed with reasonable promptness;


(c) In investigating the aircraft accident pursuant to this Section, the Board may
inspect and test, to the extent necessary, any civil aircraft engine, equipment,
propeller, appliance, or property on an aircraft involved in an accident in air
commerce: Provided, however, That any civil aircraft engine, equipment,
propeller, appliance, or property on an aircraft involved in air commerce
shall preserved, and may be moved, only as prescribed by regulations
promulgated by the Board;

(d) An officer or employee of the Board may examine or test any motor vehicle,
vessel, rolling stock, track, or pipeline component. Such examination or test
shall be conducted in a manner that:

1. Does not necessarily, interfere with the transportation services provided
by the owner or operator of the motor vehicle, vessel, rolling stock, or
pipeline component; and

2. To the maximum extent feasible, preserves evidence related to the
accident, consistent with the needs of the investigation and with the
cooperation of the owner or operator.

(e) The Board shall have the sole discretion to:

1. Decide the manner by which the testing will be undertake pursuant to this
Act;

2. The person who will conduct the test;

3. The type of test to be conducted; and

4. Any individual or individuals who will witness the test.

Provided, That an inspection, or test conducted pursuant to this Act by an
officer or employee of the Board shall be started and completed promptly:
Provided, further, That the results and findings of such inspection,
examination, or test shall made public within thirty (30) days upon
completion thereof.

(0) The Board may require and shall be furnished a copy of the autopsy reports
by the official concerned on any person who dies as a result of having been
involved in a transportation accident. The Board may order, if necessary, the
autopsy, or require other tests of such persons as may be needed for the
investigation of the accident;

(g) The Board may enter into such contract, leases, agreements and other
transactions as may be necessary in the conduct of its functions and duties;


(h) The Board may call assistance of, and use any available services, equipment,
facilities of the Department of Justice (DOJ), the Department of
Transportation (DOTr), Philippine Coast Guard (PCG), Department of
National Defense (DND), Department of Public Works and Highways (DPWH),
Philippine National Police (PNP), and other agencies and instrumentalities of
the government;

(i) The Board may create advisory committees composed of qualified private
citizens and government officials with whom the Board may consult in the
implementation of its functions and duties and to pay honoraria of these
persons for meetings actually attended. Whenever necessary, the Board may
likewise appoint or retain the services of recognized experts as consultants
on the accidents under investigation. Such consultants shall be paid
compensation as fixed by the Board: Provided, That not more than three (3)
consultants shall be appointed for each accident being investigated: Provided,
further, That no officer, external auditor, or legal counsel of any investigated:
Provided, finally, That no officer, external auditor, or legal counsel of any
private company or enterprise primary engaged in the transportation
industry shall be eligible for appointment as a consultant of the Board within
three (3) years from his retirement, resignation, or separation therefrom;

() Appoint advisory committees composed of qualified private citizens and
officials of the national government and LGUs as appropriate;

(k)Any law to the contrary notwithstanding, accept voluntary and
uncompensated services;

(I) Accept donations and gifts of money and other property;

(m) — Enter into contacts with non-profit entities to carry out studies related to
the duties and powers of the Board for its operating expenses;

(n) Require that departments, agencies, and instrumentalities of the
government, including LGUs and government of foreign countries, provide
appropriate consideration for the reasonable costs of goods and services
supplied by the Board; Provided, That such amounts shall accrue exclusively
to the Board for its operating expenses;

(0) The Chairman of the Board may determine the number of committees that
are appropriate to maintain effective liaison with other departments,
agencies and instrumentalities of the national government and LGUs, non-
government organizations, and independent standard-setting authorities that


carry out program and activities related to transportation safety. The Board
shall designate representative to serve in the committees;

(p) The Board or any officer, or employee designated by the Chairman, may
conduct an inquiry to obtain information related to transportation safety;

(q) The Board, or its designated officer or employee, may require by order, a
department, agency, or instrumentality of the national government, LGU, or a
person, natural or juridical, which transports persons or goods, to submit to
the Board a written report and answers to request and questions pursuant to
the powers of the Board under this Act. The Board shall prescribe the time
within which the reports and the answers thereto must be submitted to its
designated officer or employee. Copies of the report and the answer thereto
shall be made public within sixty (60) days from submission to the Board.

SEC. 9. Relationship with Other Government Agencies. -

(a) Nothing in this Act shall deprive other government agencies from performing
their intrinsic functions, including the investigation of accidents or making
inquiries thereon, when those functions exist prior to the effectivity of this
‘Act: Provided, however, That the Board, at its discretion, may require the
submission of the records, findings, and recommendations of the
investigation or inquiry;

(b) The PNP or any other law enforcement agency shall continue to investigate
and record accidents involving motor vehicles and/or pedestrians. For this
purpose, the Board shall prescribe a uniform and standard operating system
for investigation of such accidents, which shall be mandatory on the part of
the investigating body or person;

(©) The Board power shall take precedence over those of other government
agencies tasked with investigating air and marine accidents which, in the
Board’s judgment, requires its inquiry or attention;

(d) For the preservation, proper handling, conservation, and protection of
evidence, records, files, and/or specimens related to any accident over which
it assumes or has jurisdiction, the Board may assume control or possession of
the evidence, records, files, and/or specimens;

(e) The Board may require the submission of the records, findings, and/or
recommendations of previous accidents and/or investigation of such
accidents, from any government agency. For this purpose, the agency
concerned shall transmit to the Board, within fifteen (15) days from receipt
thereof, said records, findings, and/or recommendations;


() In the exercise of its powers, the Board shall take into consideration the
provisions of any treaty entered into by the Republic of the Philippines with
other countries relative to the investigation of accidents over which the
Board assumed jurisdiction.

SEC. 10. Disclosure, Availability, and Use of Information.

(a) Except as provided in this section, any copy of record, information or report
of investigation submitted to the Board shall be made available to the public
upon request and at reasonable cost;

(b) The Board shall not make the records available for purpose other than
accident or incident investigation, unless the appropriate authority for the
administration of justice determines that their disclosure outweighs the
adversedomestic and international impact;

(c) The Board shall not disclose any information related to a trade secret except;

1. To another department, agency, or instrumentality of the national
government, when requested for official use;

2. To acommittee of Congress having jurisdiction over the subject matter to
which the investigation is related, when requested by that committee;

3. In a judicial proceeding under a court order that preserves the
confidentially of the information without impairing the proceeding; and

4. To the public: Provided, that such disclosure shall be for the protection of
public health and safety. Provided, further, That the information so
disclosed will not be detrimental to public health and safety: Provided
finally, that the disclosure shall be made in a manner designed to protect
and preserve its confidentiality:

(d) The Board shall not publicly disclose any part of a cockpit voice recording or
transcript of oral communications by and between flight crew members and
ground station related to an accident or incident investigated by the Board:
Provided, however, That the Board shall make public any part of transcript the
Board decides is relevant to the said accident or incident:

1. When the Board holds a public hearing on the accident or incident; or

2. When the Board makes public its findings relative to the said accident or
incident


(e) Any law to the contrary notwithstanding, the head of the concerned agency
shall, upon order or written request by the Board, provide the following
information to the board:

1. Any report or a confirmed positive toxicological test, verified as positive
by the medico-legal officer of the National Bureau of Investigation (NBI),
conducted on an officer or employee of the concerned agency under post
accident, unsafe practice, or reasonable toxicological requirements of the
concerned with the circumstances of an accident or incident under the
investigative jurisdiction of the Board; and

2. Any laboratory record documenting that the test is confirmed as positive.

(f) Expert as provided in Section 10 (b) of this Act, the Board shall maintain the
confidentiality of, and exempt from disclosure:

1. Laboratory records provided to the board shall maintain the
confidentiality of, and exempt from disclosure;

2. Medical information related to the test or a review of the test voluntarily
provided to the Board by the tested officer or employee.

(g) The Board may use a laboratory record made available to it under this Act to
develop an evidentiary record in its investigation of an accident or incident ift

1. The fitness of the tested officer or employee is at issue in the
investigation; and

2. The use of that record is necessary to develop the evidentiary record.

SEC. 11. Testimony. -

(a) Any party to an administrative proceeding may, at any time, make an offer to
the Board, conditionally or otherwise for a consented decree, voluntary
compliance or desistance and other settlement of the case.

(b) Testimony, of the offer thereof, and any or all of the ultimate facts upon
which the offer is based, shall be considered for settlement purpose only and
cannot be used as evidence against any party for any other purpose and shall
not constitute an admission by the party making the offer of any violation of
this Act, and the rules, regulations, orders, and resolutions promulgated by
the Board.


SEC. 12. Transportation Safety Fund. ~

(a) There is hereby created a Transportation Safety Fund, hereinafter known as
the “Fund” to be deposited in a special trust fund to be administered by the
Board. The Fund shall be funded from:

1. Savings from the Board’s annual operating expenses; and
2. Monetary donations and gifts received by the Board under Section 8 (1) of
this Act.

(b) Subject to the usual accounting and auditing rules and regulations, the Fund
shall be used exclusively for the following purposes:

1. Operation expenses in investigating major accidents;

2. Initiate studies and research in the causes and possible prevention of
accidents and other disasters, as provided in this act;

3. Reimbursement of extraordinary expenditures and expenses of
government and private agencies and/or persons mobilized by the Board
in investigating major accidents; and

4. Training and related conferences to further and enhance the expertise of
the officers and employees of the Board under the provisions of this Act.

SEC. 13. Appropriations. - The sum of Fifty Million Pesos (P50,000,000.00) is
hereby appropriated out of any funds in the National Treasury not otherwise
appropriated, for the initial organization and operations of the Board. Thereafter, such
sums, as may be necessary for the operations of the Board, shall be included in the
annual General Appropriations Act.

SEC. 14. Annual Report. - The Board shall submit to the President and Congress
an annual report at the end of every calendar year containing, among others:

(a) Statistical and analytical information of accident or incident investigations
conducted and reviewed by the Board during the preceding year;

(b) A survey and summary of the recommendations made by the Board to reduce
the likelihood of the recurrence of those accidents, together with the
observed response to each recommendation;

() A detailed appraisal of each accident investigation and accident prevention
activity of other departments, agencies, other instrumentalities of the
national government and the LGUs; and

(4) The uses of, disbursement from, and receipt to the Fund created in
accordance with this Act.


SEC, 15. Implementing Rules and Regulations. Within sixty (60) days from
the effectivity of this Act, the Board, in consultation with the DOJ, DOTC, PCG, DND,
DPWH, PNP, and NBI, shall promulgate the implementing Rules and Regulations (IRR)
for the effective implementation of this Act. The IRR shall provide procedures geared
towards streamlined processes and swift justice by observing timeline or deadline in
rendering decisions and issuances, plain writing or easy-to-understand instructions,
and over-all improvement of the industry.

SEC. 16. Separability Clause. - If, for any reason, any provision of this Act is
declared invalid or unconstitutional, the other parts thereof which are not affected
thereby shall continue to be in full force and effect.

SEC. 17. Repealing Clause. - All laws, decrees, executive orders, issuances, or
rules and regulations, or portions thereof, that are inconsistent with this Act or any
provision or provisions, thereof, are repealed or modified accordingly.

SEC. 18. Effectivity. - This Act shall take effect fifteen (15) days after its
Publication in two (2) newspapers of general circulation.

Approved,