NINETEENTH CONGRESS OF THE —)

REPU!
First

LIC OF THE PHILIPPINES )
gular Session )
HOUSE OF REPRESENTATIVE:
H. B. No. 31 18

Introduced by Rep. Reynante U. Arrogancia

Philipy

EXPLANATORY NOTE,

'As of July 2022, a total of 3,708,271 COVID-19 cases had been recorded in the
pines since the beginning of the pandemic last 2020. There are 7,398 new cases that were

reporteld in week 26 (2022) of the pandemic which is 59.65% higher than the previous week,
recordihg the highest counts in National Capital Region and Region IV-A at 3,634 cases and

1,388

virus,

jases, respectively.'

[The World Health Organization has declared another viral disease, the monkeypox
be a public health emergency of international concem (PHEIC)?, with reported

outbreaks of 20,300 confirmed cases around 70 countries.’ The Philippines, still recovering
from the effects of the COVID-19 pandemic, has reported its first monkeypox case late July

2022.

Philippi
ve to work collaboratively to study viruses of agricultural, industrial, clinical, and
enviror

|The ongoing pandemic and the newly reported viral disease emphasized the need to
own virology institution which shall serve as the premier research and development
" institute which will aid the country’s fight against future pandemics, encompassing
Js of viruses and viral diseases in plants, animals and humans.

'This bill seeks to establish a Virology Science and Technology Institute of the
ines (VIP) which shall serve as the venue for scientists, rescarch institutes and other

mental importance.

The VIP shall implement policies, plans, programs, and projects for the
development of virology science and technology in the country and shall serve as the
princi

| laboratory for virology research and investigations.



The VIP is an ideal measure in building the country's capacities in responding to
challenges brought about by viral diseases. A similar bill has been filed in both Houses and it
is hoped that in the 19th Congress, this bill will finally become a law.

In view of the foregoing, this representation seeks approval of this bill.

REYNANTE U. ARROGANCIA
Re ntative
istrict of Quezon


NINETEENTH CONGRESS OF THE)
REPUBLIC OF THE PHILIPPINES )
First Regular Session )

HOUSE OF REPRESENTATIVES

w.p.No. 3118

Introduced by Rep. Reynante U. Arrogancia

AN ACT
ESTABLISHING THE PHILIPPINE VIROLOGY SCIENCE AND TECHNOLOGY
INSTITUTE AND APPROPRIATING FUNDS THEREFOR

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

SECTION I. Short Title. - This Act shall be known as the “Virology Institute of the Philippines
(VIP) Act.”

SEC. 2. Declaration of Policy. - \t is the policy of the State to protect and promote the right to
health of the people and instill health consciousness among them. The State recognizes that
science and technology is essential for national development and progress.

‘To this end, the State shall formulate and implement policies that shall address current health
sues, such as the quality and adequacy of health and medical human resources, health
institutions, and delivery of health services. and shall give priority to research, the development
and promotion of innovations in both technology and services, the use of safe and indigenous
health-promoting practices, and their appropriate utilization by the health sector.

shment of an institute that will conduct
using agents that affect people, plants,

In this regard. the State shall prioritize the estal
depth studies on viruses and their potential disea:
and animals. in order to provide the scientific bases for the treatment of viral discases, and for
the formulation of policies that shall prevent the transmission of these diseases within the
‘community and national context.

SE
following key development areas for
animals and humans:
a) Research on viruses using a moder approach such as molecular biology and its
application or biotechnology;
b) Development of diagnostics, vaccines, and therapeuti

3. Objectives. - This Act seeks to establish a virology institute that shall focus on the
‘ology science and technology applications in plants,



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©) International cooperation and network of databases or virus infections;

d) Operation ofa virus gene bank, virus genome laboratory, and virus reference laboratory
to focus on viruses circulating in the Philippines for disease prevention and
epidemiological studies. and;

e) Operation of a virus high containment laboratory dedicated to the study of highly
infectious and highly pathogenic viruses.

SEC. 4. Definition of Terms. - As used in this Act:

a) Bacteriophage refers to any group of viruses that infect specific bacteria, usually

causing their disintegration or dissolution;

b) Biosafety refers to a condition in which the probability of harm, injury, and damage
resulting from the intentional and unintentional introduction or use of a regulated article
is within acceptable and manageable levels:

©) Biosecurity refers to the strategic and integrated approach to analyzing and managing
relevant risks to plant, animal and human life, and health and associated risks for the
environment. It is based on recognition of the critical linkages between sectors and the
potential for hazards to move within and between sectors, with system-wide
consequences;

d) Diagnostics refers to methods, tests, techniques, and tools in viral diagnosis for plants.
animals and humans:

©) Therapeutics refers to antiviral, bacteriophages, nanotechnology treatment approach,
nucleic acid-based treatment, remedial agents, drugs for the treatment of viral diseases
and infections of plants, animals and humans;

1) Vaccine refers to a product that induces or stimulates active acquired immunity by
producing antibodies to a specific infectious agent. It helps the body’s immune system
to recognize and fight pathogens like viruses or bacteria; and

2) Virology refers to the scientific discipline concerned with the study of the biology of
viruses and viral diseases of plant, animal and human medical importance and pandemic
potential, including the distribution, pathogenicity, viral cytopathicity, biochemist

SEC. 5. Creation of the Virology Science and Technology Institute of the Philippines. - The
Virology Science and Technology Institute of the Philippines (VIP) is hereby created and shall
be an attached agency under the Department of Science and Technology (DOST) for purposes
of policy and program coordination to ensure alignment in national policies and priorities.


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‘The VIP shall serve as the premier research and development institute in the field of virology.
encompassing all kinds of viruses and viral diseases in plants, animals, and humans. It shall be
a venue for scientists, research institutes and other organizations in the Philippines and abroad,
to work collaboratively to study viruses of agricultural, industrial, clinical, and environmental
importance.

SEC. 6. Mandate. - The VIP shall implement policies, plans, programs, and projects for the
development of virology science and technology in the country and the promotion of scientific
and technological activities for both the public and private sectors. It shall ensure that the results
of these activities are properly applied towards self-reliance and utilized to accelerate economic
and social development towards the protection of the citizens and resources.

SEC. 7. Powers, Functions and Duties
following powers, functions, and duties:

To accomplish its mandate, the VIP shall have the

a) Serve as the lead convener for the formulation of the National Virology Research
Agenda, in consultation with all concerned stakeholders, that will encompass
researches involving viruses of plant, animal and humans;

b) Undertake scientific and technological research and development in the field of
virology;

©) Conduct product research and development in the areas of diagnostics, therapeutics,
and vaccines in cooperation with the private sector and concerned government
agencies;

4) Promote and undertake the transfer of the results of scientific research and development
in collaboration with government agencies, industry, and the academe;

e) Promote, advocate and oversee virology research ethics, biosafety, and biosecurity

1) Develop and maintain an information system on virology science and technology for
use by both the public and private sectors;

2) Develop and implement, together with other entities concerned, programs for
strengthening. scientific and technological capabilities in virology and relevant
disciplines through human resource development, infrastructure, and institution
building;

h) Undertake policy research, technology assessment, and other related studies on
virology:

i) Provide laboratory and technical services on virology;


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j) Promote and advocate the national programs on virology science and technology; and,
k) Establish linkages with local and international partners.

SEC. 8. Organizational Structure, - The VIP shall be headed by a Director and two (2) Deputy
rectors for Research and Development, and Support, Policy, and Linkages.

The VIP shall be composed of the following divisions:

L. Virus Research

Diagnostics and Therapeutics Research

Vaccines Research

ay

Technical Services and Training

Policy, Planning and Linkages

6. Finance and Administration

‘The Deputy Director for Research and Development shall oversee the operations of the Virus
Research, Diagnostics and Therapeutics Research, and Vaccines Research Divisions. The
Deputy Director for Support, Policy and Linkages shall oversee the operations of the Technical
Services and Training, Policy, Planning, and Linkages. and Finance Administration Divisions.

‘The VIP shall have technical and administrative support staff and consultants. The consultants
may come from the public and private sectors on a consultancy or contractual basis and shall
be granted honoraria or allowances in accordance with existing rules and regulations.

Subject to the approval of the Department of Budget and Management (DBM), the VIP shall
determine its organizational structure, create new divisions or units as it may deem necessary.
and appoint its officers and employees.

For this purpose, the VIP shall, in consultation with the DBM, determine the necessary position
qualifications and standards for its personnel following civil service laws, rules and regulations.

SEC. 9. Qualifications of the VIP Director and Deputy Directors. - Upon the recommendation
of the Governing Board, the President of the Philippines shall appoint the Director of the VIP
who must possess a bachelor's degree in the field of microbiology and a postgraduate degree

irology, and should have at least three (3) years experience in the field of diagnostic
virology. The Director of the VIP shall have the rank of Director IV, Salary Grade (SG)-28,
and shall exercise overall responsibility over the activities of the VIP, including the supervision
over VIP staff. The Director of the VIP shall report to the President of the Republic of the
Philippines and the Secretary of the Department of Science and Technology the results of the
various diagnostic assays and research studies undertaken by the VIP.



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Each of the Deputy Directors of the VIP shall have a rank of Director Ill, SG-27. Each must
possess a Bachelor's Degree in Microbiology or ina similar field and at least a Master's Degree
in Virology.

SEC. 10. The Governing Board. - The Governing board shall be the policy-making body for
the scientific and technological activities of the VIP, composed of the following:

Chairperson:
a) Secretary of the DOST;

Co-Chairpersons;
b) Secretary of the Department of Health (DOH):
c) Secretary of the Department of Agriculture;

Members:

d) Undersecretary of the Department of Environment and Natural Resources (DENR);

©) Undersecretary for Technology for Research and Development of the DOST;

f) Undersecretary of the Department of Foreign A fairs (DFA) for International Economic
Relations;

£) Chairperson of the Commission on Higher Education (CHED);

h) Director of the Research Institute for Tropical Medical Medicine (RITM);

i) Director General of the Food and Drug Administration (FDA);

i) Director of VIP;

k) Executive Director of University of the Philippines-National Institute of Health;

1) Representative from the National Academy of Science and Technology;

m) Three (3) representatives from the private sector appointed by the President of the
Philippines, as nominated by the Governing Board. These representatives shall have
distinguished themselves in the fields of medical virology, genomics, plant virology.
animal virology, epidemiology, genetic engineering and other related disciplines.

The VIP Secretariat shall serve as the Secretariat to the Governing Board.

SEC. 11. Transfer of Units. Offices and Functions. - All offices and units under the DOST
system whose functions are related to virology shall be transferred to the VIP.

All powers, functions, assets, capital, records, funds, receivables, equipment and facilities of
the DOST units or its division shall be transferred to the VIP. The DOST shall conduct an audit
and inventory of assets, liabilities and human resources of the transferred offices and units
under the DOST system to the VIP. Alll transferred and new employees under the DOST
System shall be subject to the qualification standards provided for in the laws, rules and
regulations of the Civil Service Commission.

SEC. 12. Engagement of Balik Sciemists and Foreign Experts, - The VIP may engage the
services of Balik Scientists and foreign experts who shall work together with the local scientists,


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and experts, following the terms of reference and compensation structure in accordance with
Republic Act No. 11035 or the “Balik Scientist Program Act” and other existing laws.

SEC. 13. International Cooperation. - The VIP shall establish strategic partnerships with the
world’s leading scientists, virology centers and institutes, and conduct innovative and
pioneering research that will advance the frontiers of virology in the country. It may enter into
4 memorandum of agreement or understanding with international partners, upon the arrival of
its Governing Board and in compliance with existing laws, rules, regulations and issuances of
the DFA. The DFA shall provide legal and other forms of assistance to the VIP.

The Regional Office of the World Health Organization (WHO) in the Philippines shall also be
consulted upon approval of the Governing Board of the VIP.

SEC. 14. Interdepartmental Cooperation, - The VIP shall collaborate with the DOH,
Department of Finance, FDA, RITM and other relevant government agencies, in accessing and
mobilizing available information, reports, technical expertise, equipment. materials and
supplies as may be required to implement this Act.

The scientific findings of the VIP shall be integrated in other plans relating to disease control
and prevention and in the plans of the Inter-Agency Task Force on Emerging Infectious
Diseases, as created by Executive Order No. 168 s. 2014, or its successor body, for the
management of public health emergencies relating to infectious diseases.

SEC. 15. Private-Public Partnerships (PPP). - The Department of Trade and Industry (DT!),
the DOH, Public-Private Partnership (PPP) Center and the DOST shall collaborate in seeking
Private-Public Partnership (PPPs) for the development of new industries, products, and
services where the VIP shall be the main research and development unit.

SEC. 16. Promotion of the Virology Industry. - The DOST, in partnership with the DTI and
the DOH, shall jointly develop an industry roadmap for products and services that can be
created, improved, or optimized by research from the VIP. As far as practicable, the industry
roadmap shall include the use of local materials in the development of new products. The
industry developed or established resulting from the VIP research shall be included in the
national government's priority industries for incentives.

SEC. 17. Promotion of Knowledge-transfer and Research in the Academe. - The VIP shall
promote the creation of hubs and programs for virology research and development in the
academe, particularly in state universities and colleges (SUCs). Towards this end, the VIP shall
assist SUCs in the cre and
scholarships for qualified students of higher education institutions (HEIs) and collaborate with

HEIs in the creation of virology research centers.

n of virology courses and programs, open internshi

‘The CHED shall collaborate with the DOST in the promotion of HEI-VIP partnerships.


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SEC. 18. Protection of VIP-developed Intellectual Property. - The Governing Board of the
VIP shall ensure that all technologies developed exclusively by the VIP with full funding from
ilipino taxpayers shall be protected by intellectual property laws in accordance with Republic
Act No. 10055 or the “Technology Transfer Act of 2009” and other applicable laws. Any patent
or property right award granted to the VIP shall be held by and in the name of the Philippine
Government. In the case of partnerships, where the VIP is a collaborating research partner. the
Governing Board shall ensure that technologies co-developed by the VIP shall also be co-
attributed to the Philippine Government, with the corresponding intellectual protection.

SEC. 19. Procurement of Specialized Materials, Equipment and Services. - The VIP shall
undertake the procurement of specialized materials, equipment, and services to be used by the
VIP in its operation and administration, in the most expeditious manner, and adopt the most
suitable or appropriate method of procurement that it deems fit based on its identified needs
and requirements depending on the existing conditions and requirements that justify the use of
4 particular alternative modality provided for by Republic Act No. 9184 or the “Government
Procurement Reform Act” and its 2016 Revised IRR.

SEC. 20. Official Site of VIP. - A lot with an area equivalent to at least five (5) hectares under
the administration of the Bases Conversion and Development Authority (BCDA) within the
New Clark Economic Zone in Tarlac Province shall be allocated exclusively for the VIP, its
research facilities, and laboratories. The biosafety infrastructure shall be designed based on risk
assessment standards and guidelines of the WHO for handling specific pathogens and the
establishment of virology laboratories in developing countries.

SEC. 21. Entitlement to Magna Carta Benefits. - Qualified employees of the VIP shall be
covered by Republic Act No. 8439, otherwise known as “Magna Carta for Scientists,
Engineers, Researchers and Other Science and Technology Personnel in Government”.

SEC. 22. Virology Research Fund, - All donations, contributions, grants, bequests, or gifts, in
cash or in-kind, received by the VIP from various sources shall be placed into a fund, to be
known as the Virology Research Fund and such donations shall be exempt from donor's tax:
Provided, That, acceptance of grants, bequests, contributions, and donations from foreign
governments shall be subject to the approval of the President of the Philippines, upon the
recommendation of the Secretary of DOST and the Secretary of DFA.

SEC. 23. Authority to Solicit, Negotiate, and Receive Donations, Grants, Gifts. Legacies,
Endowments, and Contributions. - The VIP may solicit, negotiate with, and receive from any
public or private domestic or foreign sources legacies, gifts, donations, grants, endowments,
contributions, or other transfers of ownership and/or possession of real or personal properties
of all kinds in favor and for the benefit of the VIP, which shall all be part of the special account
in the general fund.

endowments, legacies, and contributions

SEC. 24. Tax Exemptions. - Donations, grants, gi
used actually, directly, and exclusively for the purpose of the VIP shall be exempt from donor's


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tax and the same shall be considered as allowable deduction from gross income for purposes
of computing the taxable income of the donor, in accordance with Sec. 34 (H)(2)(a) of the
National Internal Revenue Code of 1997, as amended. Likewise, such other transfers of
ownership and/or possession of real or personal properties of all kinds shall be exempt from all
taxes.

SEC. 25. Annual Report, - The VIP shall submit its annual report to the President and to the
Committees on Science and Technology in both Houses of Congress, not later than the 30th of
March of every year following the effectivity of this Act. The annual report shall provide a full
and detailed account of the status of the implementation of this Act and pol
recommendations.

SEC. 26. Joint Congressional Oversight Committee. - There shall be a Joint Congressional
Oversight Committee on the implementation of this Act, which shall be jointly chaired by the
Chairpersons of the Committees on Science and Technology of the Senate and House of
Representatives. It shall be composed of the Chairpersons of the Senate Committees on Health
and Demography, and Agriculture, Food and Agrarian Reform, the Chairpersons of the
Committees on Health and Agriculture and Food of the House of Representatives, and two (2)
Members from each House representing the minority who shall be appointed by the Senate
President and the Speaker of the House of Representatives.

SEC. 27. Appropriations, - The initial amount for the implementation of this Act shall be
charged against the current year’s appropriations of the DOST. Thereafter. the funding of
which shall be included in the annual General Appropriations Act.

SEC. 28. Transitory Provisions. -

a. The functions and assets of the DOST units enumerated herein shall be transferred to
the VIP within three (3) years without need of conveyance and transfer of assignment,

b. To the greatest extent possible and in accordance with existing laws, all employees of
the affected offices, agencies and units shall be absorbed by the VIP. Personnel hired
on a permanent basis and with appointments attested by the CSC who may be affected
by the transition of DOST units to VIP, or who will not be absorbed in the new positions
of the new staffing pattern of the different offices in the VIP, shall have the option to:

1. Be transferred to other units or offices within the DOST in accordance with civil
service law, rules and regulation; or,

2. Avail of the applicable retirement benefits and separation incentives as provided
under R.A, No. 6656 and other relevant laws.

¢. Incumbent DOST officials and employees may be considered to assume positions in
the VIP, subject to competency evaluations and CSC regulations.


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d. Research grants acquired during the transition of DOST transferred units to VIP shall
be utilized solely for the grants’ intended purposes for each of the affected units or
offices.

e. Existing contracts and agreements entered into by the affected offices with third parties
prior to the enactment of this Act shail remain valid.

SEC. 29. Implementing Rules and Regulations. - The DOST Secretary shall, in consultation
with DBM, DOH, Civil Service Commission, and other relevant government agencies,
promulgate the necessary rules and regulations within one hundred twenty (120) days from the
effectivity of this Act.

SEC. 30. Separability Clause. - If any portion or provision of this Act is declared invalid or
unconstitutional, other provisions hereof shall remain in full force and effect.

SEC. 31. Repealing Clause. - All laws, decrees, orders, rules and regulations or other issuances
or parts thereof inconsistent with the provisions of this Act are hereby repealed or modified
accordingly.

SEC. 32. Effectivity. - This Act shall take fifteen (15) days after its publication in the Official
Gazette or in a newspaper of general circulation.

Approved,