Republic of the Philippines
HOUSE OF REPRESENTATIVES
Constitution Hills, Quezon City

NINETEENTH CONGRESS
First Regular Session

House BILLNo. 1216

Introduced by REP. FAUSTINO ‘INNO’ A. DY V

EXPLANATORY NOTE

Corn is the second major crop product in the Philippines. It is considered as a
basic commodity and a staple food for most Filipinos. In fact, it is promoted as a
healthy alternative and a nutritious substitute for rice. Corn contributes to the livelihood
of plenty as about 600,000 farm households depend on the same as their primary source
of income. Additionally, corn is also a leading source of feeds for the Philippine poultry
and livestock industry. In 2021, the country’s corn production hit record levels at 8.83
MMT!

Notwithstanding the apparent importance of corn to the Philippines, a specialized
corn research institute dedicated to researching and developing corn farming has yet to
be established. Consistent with Article XIII, Section 5 of the Constitution where it is
expressed that the State shall provide support to agriculture through appropriate
technology and research, this bill seeks to finally establish the long absent Philippine
Cor Research Institute. This institution aims to modernize the corn industry, thereby
improving the quality of corn products as well as the livelihood and capacities of
Philippine corn farmers.

Bills creating the Philippine Corn Research Institute have been filed in previous
Congresses. It is hoped that the 19th Congress will be able to finally pass this measure
into law for the benefit of the local corn industry.

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In view of the foregoing the immediate approval of this bill ig earnestly sought.

USTINO ae



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Constitution Hills, Quezon City

NINETEENTH CONGRESS
First Regular Session

1216

HOUSE BILL NO. Uo”

eee

Introduced by REP. FAUSTINO ‘INNO’ A. DY V

AN ACT
ESTABLISHING THE PHILIPPINE CORN RESEARCH INSTITUTE AND
APPROPRIATING FUNDS THEREFOR

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

SECTION 1. Short Title. This Act shall be known as the ‘Philippine Corn
Research Institute Act of 2022.’

SEC. 2. Philippine Corn Research Institute. The Philippine Corn Research
Institute, hereinafter referred to as PhilCorn, is hereby established as a body corporate
attached to the Department of Agriculture (DA) to modernize the corn industry and
consequently improve the livelihood and household income of resource-poor corn
farmers in the rain-fed, upland, and dry-land farming communities and to empower
farmers with the tools of science and technologies so that they can cope up with
problems of low yields, droughts, floods. land degradation, global warming, and other
risks arising from environmental and climate changes.

SEC. 3. Objectives. The objectives and goals of this Act are as follows:

a) To develop and implement a strong, dynamic, and innovative
farmer-centered and need-based national corn research and development,
technology sharing, training, and extension programs,

b) To strengthen the national capacity for com research and extension,
modernize production and utilization as well as industrial processing of


corn and corn-based crops, diversify harvests through sequential crops to
sustain soil health and fertility and thus enhance long-term higher
productivity and household income;

c

To work closely with regulatory agencies such as the Bureau of Plant
Industry (BPI); the Bureau of Agriculture and Fisheries Standards (BAFS):
and private stakeholders and Non-Government Organization (NGOs) in the
collection, conservation, and utilization of endemic or traditional corn
varieties as well as in the experimentation, planting, and monitoring of corn
hybrid and genetically engineered varieties;

d)

To improve the livelihood and economic conditions of small-scale and
resource-poor farmers who are growing corm after rice as well as in upland
and dry-land farming ecosystems;

e

To develop and implement sustainable and environment-friendly corn and
corn-based farming systems in the vulnerable and marginal areas like
sloping terrains and evaluate those areas where crops other than corn may
be more appropriate to grow;

f) To gather and provide reliable, up-to-date data to guide policy makers with
regard to com improvement and development, import and export volumes.
and develop strong linkages among stakeholders in promoting the national
corn industry;

2) To expand employment opportunities through corn and corn-based farming
systems in the rural areas, and ultimately promote the general welfare of
the people through higher efficiency and profitability in production,

industrial products development, processing, and marketing;

h)

To initiate and undertake such other related programs in consultation and
partnership with the DA-Bureau of Agricultural Research (DA-BAR), the
DA regional research centers (DA-RIARCs), the DOSF Philippine Council
for Agriculture, Aquatic Resources and Natural Resources Research and
Development (PCAARRD), State Universities and Colleges (SUCs), and
the private sector.

SEC. 4. Principal and Regional Offices. The PhilCorn shall have its principal
office at the Isabela State University or at any other suitable site as the Board of
Trustees may decide. It may also establish other offices, branches, satellite offices, or
subsidiaries in any geographically suitable region in the Philippines that are major


producers of corn, as may be necessary for the accomplishment of its purposes and
objectives.

SEC. 5. Duties and Functions, The PhilCorn shall exercise the following duties
and functions:

a) Unify, plan, fund, conduct, monitor, and evaluate corn research,
development, and technology promotion in different scientific and
technological fields and programs, including but not limited to the
following thrusts: (1) germplasm collection, conservation, breeding, and
biotechnology; (2) natural resources management, watershed conservation,
drought adaptation and mitigation; (3) corn engineering, farm
mechanization, and post-harvest management; (4) pest surveillance, early
warning system, integrated pest management, and biological control
methods; (5) socio-economics, impact assessment, and policy advocacy:
(6) technology packaging and demonstration, promotion and deployment.
training and communication; (7) processing and industrial-chemical
products development; and (8) corn-based farming systems, farm
management improvement, and experiment station development.

b)

Unify, lead, fund, and coordinate a national network of corn and corn-based
farming systems research and extension agencies, centers, and stations
located in the different agro-ecological regions of the country where com
is a major crop;

c) Develop technologies suitable for the rain-fed, upland, and dry-land
agro-ecosystems that will maximize the productivity and quality of locally
grown corn and corn-based crops while also reducing production costs and
ensuring long-term and sustainable corn and corn-based production systems
through genetic improvement and environmental resources and
conservation measures;

d) Enhance income of corn farmers by developing suitable corn-based crops
and livestock farming systems as well as crop rotations where applicable:
value-adding corn technologies including on-farm verification, processing,
packaging, marketing, and promotion of economically viable technologies
as well as entrepreneurial skills, giving emphasis on those aspects
necessary for group endeavors of small-scale farmers, cooperatives, and
seed growers;

e

Develop databases needed in the identification and preparation of necessary
policy recommendations towards efficient, highly productive and


competitive corn industry and corn-based farming systems through
appropriate socio-economic measures and public-private sector
mobilization and participation;

f) Organize and develop strong training and communication programs for corn
and corn-based farming systems scientists, research managers, and
extension specialists to enable them undertake effective and timely
technology promotion of packaged technologies among clusters of farmers
and corporate growers by utilizing modern extension systems such as
information, education, and communication technology and participatory
social mobilization procedures; and

) Publish and disseminate research and extension findings and
recommendations through scientific journals, books, technical and
extension bulletins, videos, and other print and communication channels.

SEC. 6. Corporate Powers. The PhilCorn shall exercise the following corporate
powers:

a) To adopt and use a corporate seal;
b) To sue and be sued in its corporate name;
c) To have perpetual existence unless a law provides otherwise;

d) To adopt its by-laws and promulgate such rules and regulations as may be
necessary or proper to implement this Act, and to amend or repeal the same
from time to time;

e) To enter into, make and execute contracts and agreements of any kind or
nature;

f) To borrow funds and obtain loans from all sources, whether local or foreign
and whether government or private, to help finance its research programs
and its capital and operating expenditures, or support to farmer
entrepreneurial activities;

g) To invest in, purchase or otherwise acquire, own, lease, mortgage, pledge.
sell, assign, convey, exchange, encumber, borrow, or otherwise deal in real
and/or personal properties of whatever kind and nature, or any interest
therein, including shares of stock, bonds, notes, securities, and other
evidences of indebtedness of natural or juridical persons, whether domestic


or foreign and whether government or private, as may be useful, necessary
or proper to serve the objectives of this Act;

h

To receive and acquire from any person, government and private entities,
whether foreign or domestic, or from any corporation, partnership,
association or other entity such characters, licenses, franchises, rights,
privileges, concessions, assistance, grants, donations, loans, and
contributions consisting of such properties, real or personal, including
funds and valuable effects, as may be useful, necessary or proper to finance
PhilCorm’s research, capital and operating expenditures or otherwise carry
out its purposes and objectives, and to administer the same in accordance
with the terms and agreement consistent with its purposes and objectives:
and

To acquire from the government, whether national or local or from any
person, corporation, partnership, association or other entity. such
characters, franchises, rights, privileges, assistance, financial or otherwise
and concessions as may be conducive to and necessary or proper for the
attainment of the purposes and objectives of the PhilCorn.

SEC. 7. Board of Trustees. The Board of Trustees, hereinafter referred to as the
Board, shall exercise all the corporate functions and powers of the PhilCorn and shall
control all its businesses, activities, and properties, composed of the following:

a) The Board shall be composed of the Secretary of Agriculture or his
designate as ex-officio Chairperson and fourteen (14) members from the
following agencies and sectors:

1. Secretary of the Department of Science and Technology (DOST) who
will act as Co-Chairperson;

2. Director of the Bureau of Agricultural Research (BAR) who will act
as Vice-Chairperson;

3. Undersecretary for Operations of the Department of Agriculture
(DA);

4. Undersecretary of the Department of Budget and Management
(DBM);

5, Undersecretary of the Department of Agrarian Reform (DAR);


6. Director of the Agriculture Division of the National Economic and
Development Authority (NEDA);

7. Director of the DA-Philippine Council for Agriculture and Fisheries
(DA-PCAF);

8. Director-General of the Technical Education and Skills Development
Authority (TESDA);

9. Three (3) University Presidents from the State Universities and
Colleges representing major corn producing and corn-based
agriculture regions, one each from Luzon, Visayas and Mindanao;

10. Four (4) private sector representatives, one each from:
a. corn farmers;
b. farmers’ organizations, associations or federations;
c. private companies engaged in corn research and seed production; and
d._livestock/poultry industry

11. Two (2) distinguished scientists from the public and private sectors.

The credentials of private sector representatives shall be evaluated and
scrutinized by competent members of the Board.

b) The term of office of the members of the Board who are heads or officials
from their respective agencies or institutions shall be co-terminus with
their respective appointments; Provided, however, That the term of office
of the Regional Executive Director who represents the DA-RFOs where
corn is a major crop and the four (4) private sector representatives shall be
for five years without prejudice to a reappointment for another five years
based on merits and excellent performance in the Board. The PhilCorn
Executive Director shall serve as Secretary of the Board. All government
officials in the Board shall serve as ex-officio members and shall not
receive any salary or compensation.

c

‘The Chairperson, Co-Chairperson, Vice-Chairperson, and members of the
Board shall receive per diem, as the Board may determine, for each Board
meeting actually attended; Provided, however, That such members shall
also be entitled to reimbursable transportation and representation
allowances in going to and coming from board meetings and in transacting
official business for the Institute


d) The Board shall meet regularly at least once (1) every quarter or as often as
the exigencies of the service demands. The presence of the Chairperson.
Co-Chairperson or Vice-Chairperson and at least seven (7) members of the
Board shall constitute a quorum and the majority vote of the members
present, there being a quorum, shall be necessary for the adoption of any
resolution, rule, regulation, decision or any other act of the Board.

SEC. 8. Powers and Functions of the Board. The PhilCorn Board shall
exercise the following powers and functions

a) To adopt by-laws and promulgate policies, rules and regulations, and
procedures for the efficient and effective operation of the Institute:

To define and guide the formulation of the vision, mission, strategy. and
research-extension priorities, general plans and programs, policies.
procedures, and guidelines for the proper operation and management of the
PhilCorn in accordance with its purposes and objectives;

c) To approve the PhilCorn'’s organizational structure and staffing pattern,
operation and capital expenditures, and financial budget prepared in
accordance with its corporate plans;

d) To approve the plantilla and salary ranges, benefits. privileges, bonuses,
scholarship and manpower development, housing facilities and support to
staff, and other terms and conditions of service, including promotion
systems similar to those in the State Universities and Colleges and the
Department of Science and Technology (DOST) as well as life and medical
insurances and retirement schemes or benefits for all officers and
employees of the PhilCorn, upon recommendation of the Executive
Director;

e

To appoint, promote, transfer, suspend, remove or otherwise discipline any
subordinate officer or employee of the Institute, upon recommendation of
the Executive Director:

f) To seek financial support from foreign donors such as Japan International
Cooperation Agency (JICA), Korea International Cooperation Agency
(KOICA), Australian Agency for International Development (AusAID), US
Agency for International Development (USAID) and similar institutions for
the establishment and improvement of Phi/Corn infrastructures, laboratory
facilities, field experiment station development, and training/scholarship of
qualified personnel


g) To create such committee or committees and appoint the members thereof.
as may be necessary and proper for the management of the PhilCorn or for
the attainment of its purposes and objectives; and

h) To exercise such other powers and functions and perform such other acts as
may be necessary or proper for the attainment of the purposes and
objectives of the PhilCorn, or as may be delegated by the Secretary of
Agriculture or any competent authority through the Board of Trustees.

SEC. 9. Executive Director and Other Officers. The PhilCorn shall be headed
by an Executive Director who shall be appointed by the President of the Philippines,
upon recommendation of The Board, based on the findings and recommendations of a
Search Committee duly organized and commissioned by the Board for such purpose.

a) The Executive Director shall serve for a term of five (5) years. subject to a
one term extension of five (5) years for very meritorious performance, or a
maximum total of ten (10) years without further extension for any reason
whatsoever; Provided, however, That there shall be a reserved plantilla
position of the same salary rate for the outgoing Executive Director, if he is
previously a holder of a plantilla position at PhilCorn and shall not yet be
of retirement age at the end of his term as Executive Director; Provided.
further, That the Board of Trustees, through a Search Committee duly
organized at least four (4) months earlier, shall have chosen a new
Executive Director who shall immediately assume office during a turn-over
ceremony on the expiration date of the term of office of the outgoing
Executive Director; Provided, finally. that no Officer-in-Charge shall be
designated as head of the Institute.

b) The Executive Director shall be assisted by two Deputy Executive
Directors, Division Heads, and Branch Station Directors or Managers as the
Board may determine, to carry out the purposes and objectives of the
PhilCorn.

SEC. 10. Powers, Functions, and Duties of the Executive Director. The
Executive Director shall be directly responsible to the Board and shall have the
following powers, functions, and duties:

a) To exercise dynamic leadership. create a vision, map out the mission,
provide strategic direction, and undertake systematic supervision over the
planning and implementation of all research, development, technology
sharing programs, training and extension, upgrading of scientists and staff


of the Institute and, in general, administer and direct the management and
operation in a transparent and corrupt-free administration of the PhilCorn:

b) To execute all contracts, incur obligations, acquire and dispose of assets.
and deliver documents on behalf of the PhilCorn within the framework of
the authority delegated by the Board;

c) To implement and enforce policies. decisions, orders. rules, and regulations
that are promulgated or adopted by the Board;

d) To arrange for the conduct of an External Program and Management Review
(EPMR) by a Panel of Experts every 5 years or as often as necessary in
order to understand the output and impact of PhilCorn programs to the
farmers and stakeholders of the corn industry and to provide guidance to
management in charting the future of the institute; and

e) To exercise such other powers and functions and performs such other duties
as may be authorized, assigned, or delegated by the Board

SEC. 11. Technical Advisory Committee. A Technical Advisory Committee
(TAC), organized and approved by the Board, shall assist the Executive Director.
Division heads, Program Directors, and Branch Station Directors or Managers in
pursuing inter-agency activities and participation of the national research, development,
and extension network. The TAC shall be composed of not more than nine (9) members,
or as the Board may designate, who are heads, representatives, or scientists and experts
of agencies, government or private, that are actively involved in any critical aspect of
com research, corn-based farming systems. seed quality certification, training and
extension, production and processing, marketing and consumption, policy advocacy, and
capacity building. TAC members may be assigned to assist specific programs, divisions,
or branch stations as the services may require in achieving the goals and objectives of
PhilCorn.

SEC. 12. Services of Government Personnel. The PhilCorn may, for the
purpose of its research, development, training, and extension activities, obtain and
secure the services of scholars and scientists as well as specialists in research, training,
extension, and communication of any unit, experiment station, institute or center of the
Department of Agriculture, University of Southern Mindanao, Central Mindanao
University, Visayan State University, University of the Philippines Los Banos, Mariano
Marcos State University, Isabela State University, Central Luzon State University, and
other agencies and universities of the national government and foreign institutions.
Those personnel of national and international reputations, from public or private
institutions, shall be designated as visiting scientists and research fellows for a term of


‘one year to five years to assist in conducting major research problems of strategic
importance and consequences in pursuing the goals and objectives of the Institute. The
selected personnel may be paid such honoraria or incentives acceptable to all concerned
and as may be fixed and authorized by the Board.

SEC. 13. Buildings, Facilities, and Equipment. The PhilCorn is hereby
authorized to’ own, acquire, borrow. lease, plan, and construct or repair buildings,
laboratories, experimental farms, and other facilities as may be necessary or proper to
attain its purposes and objectives. It may also utilize facilities of any unit of any
cooperating State Universities and Colleges. the Department of Agriculture, and of the
national government that is engaged, directly or indirectly, in activities that relate to
agriculture, farming systems, corn production or products development of the corn
industry.

a) The PhilCorn is further authorized to purchase equipment, materials and
articles, either locally or abroad, as may be necessary or proper to carry out
its powers and functions and attain its purposes and objectives. It shall be
exempted from the payment of any and all forms of taxes, duties, fees and
charges on any and all such importation of equipment, materials, articles.
and services; Provided, however, That the same are not available locally on
favorable terms.

b)

The PhilCorn shall be authorized to expropriate lands for corn and
corn-based farming systems research and development purposes provided
that just compensation is paid to the owners of the land. If the land belongs
to the government or is inalienable, the Institute is granted automatic title to
the land,

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Likewise, all lands, farms, plantations, whether directly or indirectly owned,
used, utilized or administered by the Phi/Corn and those that it may
hereinafter acquire or utilize for research, training, extension and
technology demonstration, and seed production purposes shall be exempted
from the coverage of the Comprehensive Agrarian Reform Law.

SEC. 14. Appropriation. The Four Hundred Million Pesos (P400M) initial fund
necessary for the implementation of this Act shall be set aside from any available funds
of the National Treasury, not otherwise appropriated. Thereafter, such sums necessary
for the continued operation of the Philippine Corn Research Institute shall be included
in the annual General Appropriations Act (GAA).


All funds, savings, grants, and income of the PhilCorn shall constitute a revolving
fund, to be managed as a Trust Fund, and shall be considered part of the funds
automatically released to the PhilCorn.

SEC. 15. Applicability of Civil Service Laws. The PhilCorn and its officers and
employees shall be subject to the Civil Service Law, rules and regulations: Provided,
however, That all technical personnel shall be selected on the basis of the highest
possible standards of merit and fitness for public officials and employees, preferably
those with postgraduate degrees, to be determined in accordance with such policies and
guidelines as may be approved by the Board

SEC. 16. Legal Counsel. The Government Corporate Counsel shall be the Legal
Counsel of the PhilCorn; Provided, however, That the PhilCorn may establish its own
legal unit, subject to the supervision and control of the Government Corporate Counsel,
to handle the day-to-day legal matters affecting the affairs of the PhilCorn

SEC. 17. Annual Report. The Board shall submit to the President of the
Philippines through the Secretary of Agriculture an annual report, together with the audit

report on the relevant accounts, generally dealing with the activities and operations of
the PhilCorn

SEC. 18. Separability Clause. If any provision of this Act is declared imvalid or
unconstitutional, the other provisions not affected by such declaration shall remain in
full force and effect.

SEC. 19. Repealing Clause. All laws, executive orders, administrative orders,
and rules and regulations inconsistent with this Act are hereby repealed or amended
accordingly.

SEC. 20. Effectivity. This Act shall take effect fifteen (15) days after its
publication in the Official Gazette or in two (2) newspapers of general circulation

Approved,