Republic of the Philippines
HOUSE OF REPRESENTATIVES
Que3on City

EIGHTEENTH CONGRESS
First Regular Session

HOUSE BILL.No._1250

Introduced by HON. LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR.

EXPLANATORY NOTE

“Sustainable development is development that meets the needs of the
present without compromising the ability of future generations to meet
their own needs."

- Brundtland Commission, United Nations, 1987.

Sustainability is the key to lasting alleviation from poverty and national
development. Natural resources provide the basic necessities for human existence,
as well as the inputs for economic development. Therefore, it is to our best interest to
develop and use these resources while maintaining their physical integrity and
capacity to regenerate the economic and ecologic values that are withdrawn for human
consumption.

The Bicol River is the eighth largest river in the country, with a total catchment
area of 3,770 square kilometers. It encompasses the provinces of Camarines Sur,
Camarines Norte and Albay, as well as thirty-three (33) municipalities and three (3)
Gities. The river spans ninety-four (94) kilometers beginning at Lake Bato and flowing
downstream to San Miguel Bay. The Bicol River System is composed of multiple
tributaries and three major lakes. However, its area of influence is much larger,
stretching about 10,058 square kilometers. The river basin is a vast wetland
ecosystem that is responsible for the main water supply in the region. Moreover, the
river system supports a rich biodiversity and supplies a bounty of materials for


economic use. About two million Filipinos live in the area covered by the Bicol River
Basin.’

At present, the river system is faced with numerous challenges that threaten
the agricultural and fisheries industries, biodiversity, and more crucially, the livelihood
of thousands of households living along the river basin. This directly impacts food
security in the Bicol region at the most fundamental level. The river basin also provides
ecosystem services such as, water purification, waste treatment, flood and drought
mitigation, soil fertility, coastal salinity maintenance, nutrient delivery and biodiversity
conservation. Moreover, continued decline in the river’s condition also impedes
Potential economic and tourism development.

The Department of Environment and Natural Resources (DENR) identified the
Bicol River Basin as one of the eighteen (18) priority river basins in the country for
which comprehensive management and development master plans are to be
formulated. In the 2015 Formulation of an Integrated Bicol River Basin Management
and Development Master Plan prepared by Orient Integrated Development
Consultants, Inc., it was estimated that, over a 15-year planning period, the total
investment requirement to implement the Bicol River Basin master plan is about
PhP31.332 billion. The first five years of implementation will require PhP8.46 billion
while year 6 to year 10 would need PhP 13.95 billion.

One of critical elements in the implementation of this strategy is the formation
of the Sustainable Bicol River Development Authority (SBRDA).The rationale for the
creation of the SBRDA springs from the need to take an integrated approach to the
practical issues that beset the Bicol River System today. There is a wide range of
Problems that affect the river system. Climate change, soil erosion, waterway
congestion leading to floods, solid and liquid waste contamination, siltation, and
deforestation, are some of its issues.

| Orient Integrated Development Consultants, Inc. (2015), Formulation of an Integrated Bicol River
Basin Management and Development Master Plan,


At present, these problems are addressed separately by the various
government agencies according to their functions. For example, flooding is addressed
by the Department of Public Works and Highways (DPWH), irrigation is addressed by
the National Irrigation Administration (NIA), and environmental degradation is
addressed by the Department of Environment and Natural Resources (DENR). In
reality, the causes and solutions to these are mostly inter-related. Arriving at integrated
and comprehensive solutions to the river system's issues, requires the creation of an
organization with goals that cut across departmental functions and focus on the
ecological condition, socio-economic development and sustainability of the Bicol
River.

The SBRDA aims to implement the vision of a clean, sustainable river
development that supports life by balancing ecological, economic, aesthetic and
cultural benefits. The SBRDA will be guided by the three pillars of Sustainability:

(1) Planet/Environmental Stewardship — referring to the ecological well-being
of the entire Bicol River Basin, rehabilitating and maintain healthy
ecosystem and habitats, implementing greening and aesthetic projects,
ensuring ample water supply for household and economic use.

(2) Profit/Economic Development — referring to economic development in the

river basin area and in Bicol Region, such as, developing sustainable
tourism opportunities.

(3) People/Social Equity — referring to improving health and sanitation
conditions and poverty alleviation, creating sustainable communities and
livelihood, and setting up measures for climate change adapatation and
reducing disaster risks.

This measure is designed to fully realize the great potential offered by the
various resources within the Bicol River for the livelihood of the large segment of
Population in the area and increased income for the government, both local and
national


Thus, this Bill is proposed to form the Sustainable Bicol River Development
Authority, with institutional powers to implement programs and projects to achieve the
goals of the SBRD strategy. The Bill also outlines the Authority's functions and duties,
in accordance with the principles of sustainable development, and the SBRD strategy.

|, Wr

KR
LUIS RAYMUND “U/RAY” F. VILLAFUERTE, JR.


Republic of the Philippines
HOUSE OF REPRESENTATIVES.
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

HOUSE BILL No. _1250

Introduced by HON. LUIS RAYMUND “LRAY” F. VILLAFUERTE, JR.

AN ACT
CREATING THE SUSTAINABLE BICOL RIVER DEVELOPMENT AUTHORITY,
PRESCRIBING ITS POWERS, FUNCTIONS AND DUTIES, PROVIDING FUNDS
THEREFOR, AND FOR OTHER PURPOSES.

Section 1. Declaration of Policy. — It is hereby declared to be the policy of the State
to promote, and accelerate the sustainable development and balanced growth of the
Bicol River area and the surrounding municipalities, towns and barangays (Region),
within the context of the national and regional plans and policies for social and
economic development and to carry out the development of the Bicol River Region
with due regard and adequate provisions for environmental management and control,
preservation of the quality of human life and ecological systems, and the prevention
of undue ecological disturbances, deterioration and pollution.

Section 2. Creation. - There is hereby created a body corporate to be known as the
Sustainable Bicol River Development Authority (SBRDA), which shall be organized
within one hundred twenty (120) days after the approval of this Act. The SBRDA shall
execute the powers and functions herein vested and conferred upon it in such a
manner as will, in its judgment, aid to the fullest possible extent in carrying out the
aims and purposes set forth below.

Section 3. Headquarters and Main Office. - The Authority may establish its
headquarters at the Camarines Sur Provincial Capitol Complex and may establish
Satellite offices within the region wherever it is necessary in the conduct of its business.

Section 4. Special Powers and Functions. — The SBRDA shall exercise and perform
the following powers and functions:

(a) To make a comprehensive survey of the physical and natural resources and
potentialities of the Region particularly its socio and economic conditions,


hydrologic characteristics, power potential, scenic and tourist spots,
regional problems, and on the basis thereof, to draft a comprehensive and
detailed plan designed to conserve and utilize optimally the resources within
the Region particularly the Bicol River to promote the Region's rapid social,
environmental and economic development: Provided, That implementation
of all fisheries plans and programs of the SBRDA shall require prior
consensus of the Bureau of Fisheries and Aquatic Resources to ensure that
such plans and programs are consistent with national fisheries plan and
programs. For the purpose of the said survey, public agencies shall submit
and private entities shall provide necessary data except such data, which
under existing laws are deemed inviolable.

(b) To make recommendation to the proper agencies on financing, technical
support, physical assistance and, generally, the level of priority to be
accorded agricultural, industrial and commercial projects, soliciting or
requiring direct help from the national government and its instrumentalities,
private organizations, non-government organizations, and other such
entities that may be tapped for assistance.

(c) To pass upon and approve or disapprove all plans, programs, and projects
proposed by local government offices/agencies within the Region, public
corporations, and private persons or enterprises where such plans,
programs and/or projects are related to those of the SBRDA for the
development of the region as envisioned in this Act. The SBRDA shall issue
the necessary clearance for all approved proposed plans, programs, and
projects within thirty (30) days from submission thereof unless the proposals
are not in consonance with those of the SBRDA or that those will contribute
to the unmanageable pollution of the Bicol River waters or will bring about
the ecological imbalance of the Region: Provided, That the Authority is
hereby empowered to institute necessary legal proceeding against any
person who shall commence to implement or continue implementation of
any project, plan or program within the Bicol River region without previous
clearance from the Authority. Reasonable processing fees as may be fixed
by the SBRDA's Board of Directors shall be collected by the SBRDA for the
processing of such plans, programs and/or projects: Provided, further, That
expansion plans shall be considered as new plans subject to review of the
SBRDA and to payment of the processing fees.

The SBRDA and national and local government offices, agencies and public
corporations shall coordinate their plans, programs, projects and licensing
procedures with respect to the Bicol River for the purpose of drawing up a
Bicol River Sustainable Development Plan which shall be binding upon all
parties concerned.


(d) To engage in agriculture, industry, commerce, or other activities within the
Region which may be necessary or directly contributory to the social,
environmental, and economic development of the Region, and, for this
purpose, whether by itself or in cooperation with private persons or entities,
to organize, finance, invest in, subsidiary corporations: Provided, That the
SBRDA shall engage only, unless public interest requires otherwise, in
those activities as are in the nature of new ventures or are clearly beyond
the scope, capacity, or interest of private enterprises due to consideration
or geography, technical or capital requirements, returns on investment, and
tisk.

(e) To plan, program, finance and/or undertake infrastructure projects such as
river, flood and tidal control works, waste water and sewerage works, water
supply, roads, port works, irrigation, housing and related works, when so
required within the context of its development plans and programs including
the readjustment, relocation, or settlement by population within the Region
as may be deemed necessary and beneficial by the SBRDA: Provided, That
should any project be financed wholly or in part by the SBRDA, it is hereby
authorized to collect reasonable fees and tolls as may be fixed by its Board
of Directors from users and/or beneficiaries thereof to recover costs of
construction, operation and maintenance of the projects: Provided, further,
That if the SBRDA should find it necessary to undertake such infrastructure
projects which are classified, as social overhead capital projects, the
SBRDA shall be authorized to receive financial assistance from the
government in such amount as may be necessary to carry out the said
projects subject to such terms and conditions that may be imposed by the
government: Provided, finally, that such amount as may be necessary for
the purpose is hereby authorized to be appropriated out of the funds of the
National Treasury not otherwise appropriated.

(f) To make an annual report regarding the operation of the SBRDA, more
particularly a statement of its financial conditions, activities undertaken,
progress of projects and programs and plans of actions for the incoming
years: Provided, however, that a majority of the stockholders may require
the SBRDA to submit report or reports other than the annual report herein
required, which report must be submitted within a period of sixty (60) days
from notice thereof.

(g) To enforce easements involving the Bicol River in accordance with the New
Civil Code, Water Code, Forestry Reform Code and other existing


applicable laws, without prejudice to amendments and/or future laws
pertaining to easements that may be applicable in the future.

(h) To reclaim or cause to be reclaimed portions of the Bicol River or undertake
reclamation projects and/or acquire such bodies of land from the lake which
may be necessary to accomplish the aims and purposes of the SBRDA:
Provided, That the land so reclaimed shall be the property of the SBRDA
and the title thereto shall be vested in the SBRDA.

(i

The provisions of existing laws to the contrary notwithstanding, to engage
in fish production and other aqua-culture projects in the Bicol River and
other bodies of water within its jurisdiction and in pursuance thereof, to
conduct studies and make experiments, whenever necessary, in
coordination with the Bureau of Fisheries and Aquatic Resources, with the
end in view of improving present techniques and practice: Provided, That
until modified, altered or amended by the procedure provided in the
following sub-paragraph, the present laws, rules and permits or
authorizations remain in force.

@

For the purpose of effectively regulating and monitoring activities in the Bicol
River, the SBRDA shall have exclusive jurisdiction to issue new permit for
the use of the river waters for any projects or activities in or affecting the
said river including navigation, construction, and operation of fishpens, fish
enclosures, fish corrals and the like, and to impose necessary safeguards
for river quality control and management and to collect necessary fees for
said activities and projects: Provided, That the fees collected for fisheries
may be shared between the SBRDA and other government agencies and
political sub-divisions in such proportion as may be determined by the
SBRDA's Board: Provided, further, That the SBRDA's Board may determine
new areas of fishery development activities in coordination the Bureau of
Fisheries and Aquatic Resources taking into account the overall
development plans and programs for the Bicol River and related bodies of
water. Provided, finally, that the SBRDA shall promulgate such rules and
regulations which shall govern fisheries development activities in the Bicol
River taking into consideration among others the following: bonafide
resident fishermen whether individually or collectively in the form of
cooperatives, riverside town development, a master plan for fishpen
construction and operation, communal fishing ground for riverside town
residents, and preference to riverside town residents in hiring laborers for
fishery projects.


(k) To recommend to the province, cities or municipalities embraced within the
Region to pass appropriate zoning ordinances and other regulatory
measures necessary to carry out the objectives of the SBRDA and enforce
the same with the assistance of the SBRDA.

(I!) To extend the necessary planning, management and technical assistance
to prospective and existing investors in the Region.

(m)The provision of existing laws to the contrary notwithstanding, to exercise
water rights over public waters within the Region whenever necessary to
carry out the SBRDA's projects.

(n) To act in coordination with existing government agencies in establishing
water quality standards for industrial, agricultural and municipal/city waste
discharges into the river and to cooperate with said existing agencies of the
government of the Philippines in enforcing such standards, or to separately
pursue enforcement.

(0) To develop water supply and harness water resources, in coordination with
the National Water Resources Board or its successors in interests, and to
enter into agreements with municipalities, governmental agencies and
corporations and the private sector to supply, distribute and market such
water or water resource.

(p) To engage in, develop and implement activities and programs for the
production of conventional, alternative and renewable sources of energy
that may be available in the Bicol River, and for the recovery and reuse of
energy that would otherwise be wasted.

(q) To undertake studies on the improvement and maintenance of the water
quality of Bicol River, and in pursuance thereof, prepare a water quality
management program on a continuing basis, which the SBRDA shall carry
out with the assistance and support of national and local government units
involved in water quality management.

(1) To formulate and implement policies, standards, programs and projects for
proper waste management affecting the Bicol River.


(s) To formulate and implement policies, rules and regulations, standards,
programs and projects for the promotion and safeguarding of the health and
sanitation of the Bicol River and for the enhancement of ecological balance
and the prevention, control and abatement of environmental pollution.

(

To promote public safety which includes the formulation and implementation
of programs and policies and procedures to achieve public safety, especially
preparedness for preventive or rescue operations during times of calamities
and disasters such as conflagrations, earthquakes, flood and tidal waves,
and coordination and mobilization of resources and the implementation of
contingency plans for the rehabilitation and relief operations in coordination
with national agencies concerned.

(u) To conduct activities, initiatives and programs that will create, boost and
promote tourism, culture and sports within the Bicol River.

(v) To create and implement programs geared towards the promotion,
preservation and conservation of Bicol River's history and culture.

(w)To enter into Public-Private Partnership (PPP) programs, projects and
contracts.

(x) To plan, manage and conduct such other activities, inititiatives and
programs consistent with the Sustainable Bicol River Development Plan.

Section 5. The Powers of the SBRDA. — The SBRDA shall have the following powers
and functions:

A. To succeed on its corporate name;

B. To sue and be sued in such corporate name;
C. To adopt, alter and use a corporate seal;

D. To adopt, amend, and repeal its by-laws;

E. To enter into contracts of any kind and description, to enable it to carry out
its purposes and functions under this Act;


F. To acquire, buy, purchase, hold or lease, such personal and real property as
it deems necessary or convenient in the transaction of its business and/ or in
relation with carrying out its purposes under this Act, and to lease, mortgage,
sell, alienate, or otherwise encumber, utilize, exploit or dispose and such
personal and real property held by it, subject to prior or existing individual or
communal right of private parties or of the government or any agency or
enterprise thereof,

G. To exercise the right of eminent domain whenever the Authority deems it
necessary for the attainment of the objectives of the Authority under this Act;

H. To borrow funds from any local or foreign financial institutions independent
of the bonds it may issue or may continue to issue, to carry out the purposes of
this Authority under this Act;

|. For carrying on its business, or for the purpose of attaining or furthering any
of its objectives, to perform any and all acts which a corporation, co-partnership,
or natural person is authorized to perform under the laws now existing or which
may be enacted hereafter;

J. To issue such rules and regulations as may be necessary to effectively carry
out the powers and purposes herein; provided including the plans, programs
and projects of the Authority, to take effect thirty (30) days after publication
thereof, in a newspaper of general circulation.

Section 6. Capitalization and Financing. — The Authority shall have a capital of One
Billion Pesos (PhP1,000,000,000.00), which shall be entirely funded by the national
government.

Section 7. Operating Expenses. — For the operating expenses of the SBRDA, the
sum of One Hundred Million Pesos (PhP100,000,000.00) is hereby appropriated
annually for five (5) years from the general fund of the National Government not
otherwise appropriated from the date of approval of this Decree. The Board of
Directors may appropriate out of the funds of the SBRDA such as may be needed or
necessary for its operating expenses.

Section 8. Exemption from Tax. — The SBRDA shall be exempt from all taxes,
licenses, fees, and duties, incidental to its operations. All notes, bonds, debentures
and other obligations issued by the SBRDA shall be exempt from all taxes both as to
principal and interest, except inheritance and gift taxes.

Section 9. Guarantee by the Government. — The Republic of the Philippines hereby

guarantees the payment by the SBRDA of both the principal and the interest of the
bonds, debentures, collaterals, notes or such other obligations issued by the SBRDA

i


by virtue of this Act, and shall pay such principal and interest in the event at the SBRDA
fails to do so. In case the SBRDA shall be unable to pay the said principal and interest,
the Secretary of Finance, shall pay the amount thereof which is hereby appropriated
out of any funds in the National Treasury not otherwise appropriated, and thereupon,
to the extent of the amounts so paid, the Government of the Republic of the Philippines
shall succeed to all the rights o the holders of which bonds, debentures, collaterals,
notes or other obligations, unless the sum so aid by the Republic of the Philippines
shall be refunded by the SBRDA within a reasonable time

Section 10. Composition of the Board of Directors. — The corporate powers shall
be vested in and exercised by a Board of Directors (Board), which shall be composed
of thirteen (13) members, to wit: the Provincial Governor of Camarines Sur, the
Provincial Governor of Camarines Norte, the Provincial Governor of Albay, the
Regional Director of the Department of Public Works and Highways, the Regional
Director of the Department of Tourism, the Regional Director of the Department of
Department of Environment and Natural Resources, the Regional Director of the
National Irrigation Administration, the Regional Director of the Department of
Agriculture, the Regional Director of the National Economic and Development
Authority, a General Manager of the SBRDA to be appointed by the President of the
Philippines, and three additional representatives from the private sector, the academe
and Non-Government Organization (NGO) to be appointed by the first ten (10)
members once they convene.

The Board of Directors shall elect annually from among their members a
Chairman and a Vice-Chairman. There shall be a Corporate Secretary who shall be
appointed by the Board. The officials next in rank to the above-mentioned members
shall serve as permanent alternate members and shall attend meetings of the Board
in the absence of their principals.

Section 11. Acting Chairman. — In case of vacancy in the position of Chairman, or in
the absence of or temporary incapacity of the Chairman, the Vice-Chairman shall act
as such until a new Chairman is duly elected by the Board.

Section 12. Effect of Vacancies and Quorum. — Vacancies in the Board as long as
there shall be seven (7) members in office, shall not impair the powers of the Board to
execute the functions of the SBRDA. The affirmative vote of seven (7) members of the
Board shall be necessary at all times to pass or approve any act or resolution.

Section 13. Prohibition against “Conflict of Interest". - No member of the Board
shall be financially interested, directly or indirectly, in any contract entered into by the
SBRDA or in any special privileges granted by the SBRDA during its term of office. All
contracts entered into in violation of this provision shall automatically be null and void.


Section 14. Removal of a Board member. - Any member of the Board found
violating this Act or the Code of Conduct and Ethical Standards for Public Officials and
Employees, by two-thirds (2/3) vote of the Board, shall be disqualified from serving his
un-expired term, and shall furthermore be perpetually disqualified for membership in
the said Board.

Section 15. Board Meetings. — The Board shall meet at least once a month. The
Board shall be convened by the Chairman or upon written request signed by a majority
of the members.

Section 16. Powers and Functions of the Board of Directors. -

(a) To formulate, prescribe, amend and repeal rules and regulations to govern
the conduct of business of the SBRDA;

(b) To appoint and fix the compensation of all officials from division heads and
above, and others of comparable rank upon the recommendation of the
General Manager;

(c) By a majority vote of all members of the Board, to suspend, remove or
otherwise discipline for just cause all officials appointed by the Board other
than the three (3) additional appointed members of the Board;

(d) To approve the annual and/or supplemental budgets of the SBRDA; and

(e) To do such other acts and perform such other functions as may be
necessary to carry out the provisions of this Charter.

Section 17. Powers and Functions of the General Manager. - The General
Manager shall be the chief executive of the SBRDA. As such, he shall have the
following powers and duties:

(a) Submit for consideration of the Board the policies and measures which he
believes to be necessary to carry out the purposes and provisions of this
Act;

(b) Execute and administer the policies, plans, programs and projects approved
by the Board;


(c) Direct and supervise the operation and internal administration of the
SBRDA. The General Manager may delegate certain of his administrative
responsibilities to other officers of the SBRDA subject to the approval of the
Board;

(d) Recommend and appoint officials and employees below the rank of division
heads to positions in the approved budget upon the approval of the majority
of the members of the Board of Directors;

(e) Submit quarterly reports to the Board on personal selection, placement and
training; and

(f) Perform such other functions as may be provided by law.

Section 18. Separability Clause. - The provisions of this Act are hereby declared to
be separable, and in the event any one or more of such provisions are held
unconstitutional, they shall not affect the validity of other provisions.

Section 19. Laws repealed. ~ All acts, charters, executive orders, administrative
orders, proclamations, rules and regulations, or parts thereof in conflict with this Act
are hereby repealed or modified accordingly.

Section 20. Effectivity. — This act shall take effect upon its approval.

Approved,