Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

TWENTIETH CONGRESS
First Regular Session

HOUSE BILL NO. 955

Introduced by Representative Crispin Diego “Ping” D. Remulla

AN ACT
INSTITUTING THE FARMERS AND FISHERFOLK ASSISTANCE ACT
AND FOR OTHER PURPOSES

EXPLANATORY NOTE

It is an unfortunate reality that our farmers and fisherfolk, the very backbone of our
nation’s food security, were made victims of a grand and systemic misappropriation of public
funds, now infamously known as the Fertilizer Fund Scam. These individuals, often
marginalized and struggling under difficult economic conditions, were unaware of the extent

and gravity of the fraudulent diversion of resources intended to support their agricultural needs

ive committee

and economic upliftment. It was only through the conclusion of legis!
investigations that the full magnitude of this anomaly was brought to light.

The scandal, which resulted in the loss of P728 million in public funds, not only
deprived our farmers and fisherfolk of essential assistance but also betrayed the trust of the
Filipino taxpayers. It further exposed significant weaknesses in the mechanisms for allocating,

distributing, and monitoring government resources intended for vulnerable sectors.

This measure, therefore, seeks to give due recognition to the commendable efforts of

the committees that pursued the investigation in aid of legislation. More importantly, i

introduce necessary reforms to ensure that such abuses are never repeated.


Specifically, this measure proposes to: (1) institute clear and enforceable safeguards to
protect all government appropriations allocated to farmers and fisherfolk; (2)streamline and
simplify the processes for the availment, requisition, and release of funds and goods intended
for these sectors; (3) dismantle the flawed systems and bureaucratic practices that enabled
unscrupulous officials to defraud public funds; and (4) institutionalize stricter penal provisions
against those who will attempt to replicate such schemes of plunder and deception.

By enacting this legislation, Congress reaffirms its commitment to protecting public
funds, promoting agricultural development, and defending our farmers and fisherfolk from

exploitation and abuse.

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

CRISPIN DIEGO “PING” D. REMULLA


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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

TWENTIETH CONGRESS
First Regular Session

HOUSE BILL NO._955

Introduced by Representative Crispin Diego “Ping” D. Remulla

AN ACT
INSTITUTING THE FARMERS AND FISHERFOLK ASSISTANCE ACT
AND FOR OTHER PURPOSES

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

SECTION 1. Short Title. - This Act shall be known as the “Farmers and Fisherfolk
Assistance Act”.

SEC. 2. Declaration of Policy. - It is the policy of the state to effectively assist and
provide funds for the farmers’, fisherfolk and other agricultural sectors’ needs, insulating
the funds from misuse, misappropriation or diversion, imposing penalties for violation
thereof.

SEC. 3. Definition of Terms.

(a) Farmers — refer to natural persons cultivating, planting, marketing and
distributing crops, vegetables, fruits and other agricultural products from land and
sea and shalll include fisherfolk;

(b) Other Farmers — refer to corporations, associations, cooperatives, foundations,
NGOs, people’s organizations and artificial beings with juridical capacity
involved in similar activities stated in paragraph (a) hereof as done by farmers;

(©) Funds - refers to appropriation from public funds for use of the farmers included
in the General Appropriations Act, special laws or local ordinances intended for

the farmers;


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(@ Farm use — refers to seedlings and fertilizers including farm tools, gadgets,
implement and equipment necessary for cultivation, development, improvement
or fertilization of farmlands, orchards and other agricultural lands; and,

(©) Department — refers to the Department of Agriculture.

SEC. 4. Requisition, Release and Disbursement of Funds. — Any provision of law to
the contrary notwithstanding, the requisition, release and disbursement to farmers of funds
intended or earmarked for use in the cultivation, development, improvement or fertilization
of farmlands, orchards and other lands devoted to the planting of crops, agricultural food
products, vegetable and fruits shall be through a Voucher System whereby the farmers
themselves shall determine and requisition the farm inputs, implements and other farm uses
as they need and submit such through vouchers to the regional office of the Department for
approval of the Regional Director and release within a period of not exceeding sixty (60)
days from approval based on and within the allocation in the budget for the specific locality
where the farm is located; Provided, however, that in purchasing or making available such
agricultural inputs, implements and other farm uses as determined by the totality of the
aggregate vouchers or requisitions, the provisions of Republic Act No. 9184, otherwise
known as the Government Procurement Act of 2003, shall be strictly complied with by the
Regional Director of the Department.

SEC. 5. Internal Pre-Audit Service. — In lieu of purchasing the said requisitioned
agricultural farm inputs, implements and other farm uses, the Regional Office, may release
funds directly to the requesting farmer, in which case, he shall immediately submit all the
covering documents to the internal auditor in the region who shall, not later than thirty (30)
days from such receipt, submit his audit report to the national office of the Department
charged with monitoring the use of the funds, implementation of the project and evaluation
of the progress or effects of the program to the country, furnishing copies thereof to the
Congressional Oversight Committee on Agriculture.

SEC. 6. Violations and Penalties. — The following violations shall constitute criminal
offenses punishable under this Act as follows:

(a) Diversion, misuse or misappropriation of the funds or a portion thereof or
of the farm inputs, implements and other farm uses intended to be released
to the farmers, or falsely or fraudulently making it appear that such
requisition or release of funds or farm inputs has been made when in fact
there is none, shall, in addition to the penalties provided for in the Revised
Penal Code, be punishable with imprisonment of not less than twelve (12)


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(b)

(©)

(@)

years but not more than twenty (20) years; Provided, however, if such funds
or farm uses be utilized for election purposes, money laundering or other
illegal and unlawful activities, the penalty shall be imposed in the maximum
period; Provided finally, That in the event it is established that the use of
the whole or a portion of the fund or farm uses also constitutes the crime of
plunder, the penalty for plunder shall be applied.

Any farmer, group, corporation, association, cooperative, foundation, NGO,
people organization or other artificial being with juridical capacity granted
any fund or farm uses which shall use the same for vote-buying, reselling or
purposes other than those provided herein or shall be involved in the false
or fraudulent requisition or misuse or misappropriation of the fund or farm
uses, shall be punishable with imprisonment of not less than ten (10) years
but not more than fifteen (15) years; Provided, however, in case of a
corporation, association, cooperative, foundation, NGO, people’s

organization or other artificial being with juridical capacity, whether
Tegistered or not, composed of two or more persons, the stockholders,
members, directors, trustees, officers and the individuals composing it shall
be liable in their personal capacity and suffer the penalties provided herein
unless the individuals composing it shall prove that he/she never took part
in the transaction and benefited from the proceeds of the funds or the farm
uses;

Failure or unjustifiable refusal of the Regional Director or his subordinate
to act upon, process and evaluate within the period of time hereinbefore
fixed or to release the funds or farm uses to the farmer applicant when there
is no legal nor justifiable reason to do so shall be punishable with
imprisonment of not less than six (6) years but not more than twelve (12)
years; and,

Any other violation of this Act shall be punishable with imprisonment of

not less than five (5) years nor more than ten (10) years.

SEC. 7. Grievance Mechanism. - The Department shall establish a grievance

mechanism where farmers and fisherfolks may report delays, denials, or suspected misuse
of funds. Reports must be acted upon within fifteen (15) days from receipt. The identity of

complainants shall be kept confidential unless otherwise authorized.


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SEC. 8. Separability Clause. - If any provision or part hereof, is held invalid or
unconstitutional, the remainder of the law or the provisions not otherwise affected shall remain
valid and subsisting.

SEC. 9. Repealing Clause. - Any law, presidential decree or issuance, executive order,
letter of instruction, administrative order, rule or regulation contrary to or inconsistent with the
provisions of this Act is hereby repealed, modified or amended accordingly.

SEC. 10. Effectivity Clause. - This Act shall take effect fifteen (15) days after its

publication in at least two (2) newspapers of general circulation.

Approved,