Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

FIFTEENTH CONGRESS
Second Regular Session

6225

House Bill No. .

Introduced by Representatives
DIOSDADO MACAPAGAL ARROYO and GLORIA MACAPAGAL ARROYO

—

AN ACT
CREATING THE PHILIPPINE TRANSPORTATION SECURITY AUTHORITY,
APPROPRIATING FUNDS THEREFOR AND FOR OTHER PURPOSES

EXPLANATORY NOTE

The world has been witness to the spate of terrorist attacks inflicted upon
transportation systems and facilities which resulted to the reckless lost of lives
and enormous damage to properties. Among this list of terrorist incursions, it is
worth mentioning the train bombing in Madrid, Spain and, of course, the 9/11
bombings in the United States of America wherein terrorists used various
airplanes to take lives and destroy property. What is more chilling is that such
acts were able to instill fear in the hearts and minds of people all over the world.

‘That is why even in the Philippines, we are not spared from these terrorist
attacks. The list includes: (1) the sinking of the Super ferry off the coast of
Quezon Province, the Rizal Day bombing of the Light Rail Transit (LRT) and the
bombing of the Davao International Airport, just to name a few.

These local and international terrorist attacks have brought to our attention
the importance of formulating a comprehensive security program to protect our
air, water and land transport systems, under a singular administrative authority
armed with enough law enforcement powers to prevent, if not eradicate, security
threats to precious human lives and property.


This bill seeks to do that by creating the Philippine Transport Security
Authority which will be under the Department of Transportation and
Communications (DOTC) te consolidate civil aviation, maritime, land and rail
national security programs throughout the country to prevent lawiess violence
and terrorist attacks.

Given the proposed measure’s paramount importance, its early passage
into law is earnestly requested.

DIOSDADO PAGAL ARROYO GLORIA MACAPAGAL ARROYO
Second District, Camarines Sur Second District, Pampanga


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

FIFTEENTH CONGRESS
Second Regular Session

3225

House Bill No.

pa

introduced by Representatives
DIOSDADO MACAPAGAL ARROYO and GLORIA MACAPAGAL ARROYO

AN ACT
CREATING THE PHILIPPINE TRANSPORTATION SECURITY AUTHORITY,
APPROPRIATING FUNDS THEREFOR AND FOR OTHER PURPOSES

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 "PI
Transportation Security Authority Act of 2011."

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SECTION 2. Decfaration of Policy. — The State recognizes the vital role of
public transportation and commerce in nation building and in the promotion of
international and domestic trade relations for economic growth and comity
among nations.

The State, in preserving and protecting the rights of its people to a
secured public transport system, supports and promotes the installation and
implementation of a consolidated transportation security management to improve
and maintain an effective inter-modal (air, land and water) transportation system
by fostering state-of-the-art security measures in full compliance with
international standards and practices.

‘The State supports the implementation and enforcement of the strictest
measures to stamp out terrorism, economic sabotage and all forms of criminal
interference that tend to breach the integrity, safety and security of intemational
and domestic transportation systems.


The State adopts generally accepted principles of intemational law and
universal recommendations on the standards and practices on transportation
security measures as part of the laws of the land and adheres to the policy of
comity and cooperation with other nations.

SECTION 3. Creation and Mandate of the Philippine Transportation
Security Authority. — There is hereby created an Authority to be known as the
“Philippine Transportation Security Authority”, hereinafter referred to as
"Authority", which shall be the central security agency for all transport systems in
the Philippines. The Authority shall be attached to the Department of
Transportation and Communications (DOTC) for general direction and
administration.

The Authority shall be organized, trained and equipped to perform iaw
enforcement functions in pursuit of its mandate and in coordination with other law
enforcement agencies. The Authority shall render reciprocal support, assistance
and coordination with the following agencies

. Civil Aeronautics Board (CAB);

. Air Transportation Office (ATO);

. Philippine Ports Authority (PPA);

}. Land Transponation Office (L TO},

. Maritime industry Authority (MARINA).

. Subic Bay Metropolitan Authority (SBMA);

. Cebu Ports Authority (CPA);

. Bases Conversion Development Authority (BCDA);

. Land Transportation Franchising Regulatory Board (L TFRB),
10. Philippine National Police -Aviation Security Group (PNP-ASG);
411. Philippine National Police - Maritime Group (PNP-MARIG),

42. Philippine National Police - Traffic Management Group (PNP-TMG),
13. Armed Forces of the Philippines (AFP):

14. Philippine Coast Guard (PCG);

15. Airport Police (AP);

16. Customs Police (CP):

17. Metropolitan Manila Development Authority (MMDA),

18. Light Rail Transit Authority (LRTA);

49. Philippine National Railways (PNR);

20. Metro Rail Transit — 3 Office;

21. Autonomous Region for Muslim Mindanao; and

22. such other agencies related to and/or undertaking, promoting and
pursuing transportation security.

SONS

OONDA

The Authority shall encourage, promote, formulate, implement and ensure
the installation of standard security and safety measures and policies that are
intemationally-acceptable for the prevention of transportation disasters and for

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the protection, security, and safety of passengers, transportation facilities and
properties.

SECTION 4. Powers and Functions. — The Authority shall have the
following powers and functions:

a. Exercise control and supervision over ail police and security agencies
performing, pursuing or rendering transportation security services;

b. Responsible for the security of all modes and means of public
transportation system in the Philippines including, but not limited to,
screening of passengers, baggage or cargoes; hiring and retention of
security screening personnel; training and testing of personnel in security
screening, inspection, verification and audit;

c. Advise the President, through the Secretary of the Department of
Transportation and Communications (DOTC), on all matters involving
security concems in the transportation sector. In cases of urgency or
necessity where time is of the essence, the Authority, through the
Administrator, may report directly to the President on matters pertaining to
national or international transportation security concern;

d. Formulate, promulgate and develop, in coordination with appropriate
govemment agencies, comprehensive and flexible security plans, policies,
measures and programs to ensure the safety and security of all means of
transportation in the Philippines.

The Authority shall implement, review and continue to upgrade such
plans, policies, measures and programs periodically to improve transportation
security and safety on sound professional concepts and principles;

e. Examine, verify and audit the transport security performance, activities
and facilities of all modes of transportation systern,

{. Prepare a comprehensive and separate Nationai Transport Security
Program, prescribing rules and regulations for the efficient operation of
landirail, air/civil aviation and water/maritime transportation secutity,
including procedures and screening for the issuance of security access
pass and the determination of levels of security clearance on
transportation facilities and infrastructures;

9. Prescribe transport security standards in ail modes of transportation
systems in the Philippines in accordance with existing laws, rules,
Tegutations and international conventions,


h. Exercise law enforcement power over ail matters involving
transportation security incident and/or unlawful interference upon all
modes of transportation system. The Authority may enlist the assistance
of other law enforcement agencies or appoint and/or deputize their
personnel and/or the agency itself to carry out its mandate;

i. Actively pursue the investigation and prosecution of any act of unlawful
interference against public transportation system, facilities and
infrastructure, effect the arrest of offenders in accordance with law, and
file appropriate charges related thereto through the appropriate
government agencies;

j. Acquire, purchase, own, administer, lease, mortgage, sell or otherwise
dispose of or encumber any real or personal property, equipment, assets
and sights in furtherance of its mandate. The Authority shall be exempt
from payment of any or all direct and indirect taxes, import fees and
charges, capital gains taxes, local and national taxes, interests, import
duties, fees, taxes and charges of any kind or nature, on all of its real and
personal properties, assets, income and revenues, importations,
{ransactions, loans and obligations (principal or interests) as required and
incurred in the exercise of its mandate under the provisions of this Act:

k. Sue and be sued with its consent;

|. Procure, own and carry firearm, and have the authority to issue mission
orders thereon, subject to existing laws, rules and regulations, and

m. Perform such other Functions necessary to effectively carry out the
provisions of this Act and as the President of the Philippines or the
Secretary of the Department of Transportation and Communications
(DOTC), may direct.

SECTION 5. Administrator and Deputy Administrator: Qualifications,
Appointments and Terms of Office. — The Authority shall be headed by an
Administrator with the rank of an Undersecretary, and is responsible for the
general administration and management of the Authority. He/she must be a
natural-born citizen of the Philippines; at least forty-five (45) years of age; has an
extensive experience in a field directly related to transportation and/or security,
with at least five (5) years experience in the management of a field directly
related to security or allied services.

The Administrator shall be appointed by the President of the Philippines
upon recommendation of the Secretary of the Department of Transportation and
Communications (ROTC). The Administrator shail serve a fixed term of seven
(7) years which shall commence from the time he/she takes his/her oath of office.


The Administrator shall be assisted by a Deputy Administrator with the
rank of Assistant Secretary and shall have the same qualifications and term of
office as the Administrator.

For purposes of this Act, the Administrator and the Deputy Administrator
shall be deemed as persons in authority. All subordinate officials and personnel
are deemed agents of persons in authority.

SECTION 6. Functions, Powers and Duties of the Administrator. — The
Administrator shall have the following functions, powers and duties.

a. Exclusive power to interpret the provisions of this Act subject to review
‘on certiorari by the Court of Appeals on the ground of grave abuse of
discretion amounting to excess or fack of jurisdiction;

b. Promulgate rules, regulations and impose sanctions to effectively
implement the provisions of this Act;

¢. The sole and unilateral responsibility to determine sensitive security
information (SSI). The Administrator shall prohibit the disclosure of
information, files or records or date of any sort, if in his/her opinion, the
disclosure of such information:

1. is detrimental to the security of persons and things in the
transportation sector,

2. will reveal trade secrets or privileged or confidential information
obtained from any person, natural or juridical;

3. will constitute unwarranted invasion of privacy of persons,
including but not limited to information contained in any personnel,
medical or similar file;

4, will undermine public trust and confidence in duly constituted
authorities in the exercise of judgment calls and discretions in any
or all risk managements and preventive/preemptive actions
undertaken.

d. To administer and implement, subject to existing laws, rules and
regulations, the mandate, powers and functions of the Authority. Provided,
That, the Administrator solely designates an officer employee of the
Authority to serve as a law enforcement officer of the Authority;

e. To direct and supervise the management, operation, and administration
of the Authority in complying with intemational standards of transportation


security measures and to ensure transportation security in accordance
with the approved security program, plan, policy, procedure and guideline;

f{. To administer, implement and enforce decisions, orders and
transportation security rules and regulations prescribed by law and/or
issued by the Authority;

g. To exercise visitorial and inspection powers over all transportation
facilities, complexes, buildings, offices, seaports and airports, tarmacs,
wharfs, terminals, infrastructures and the likes; issue travel and mission
orders for the purpose; and coordinate wilh the corresponding
transportation entities for the implementation of the same. Alt
transportation systems must provide, within its premises, adequate
operational office space and quarters for the localized security functions of
the Authority;

fh. To undertake researches, studies, investigations and other activities
related to contemporary transportation system security and future
innovative requirements thereof, on his own initiative or upon instructions
of the higher authorities, and to submit comprehensive reports and
appropriate recommendations to the Secretary of the Department of
Transportation and Communications (OOTC} for his/her information and
action;

i. To formulate, develop, implement, revise and update inter-modal (air,

land and water) national transportation security programs and operational
plans/manuals;

j. To appoint, transfer, suspend, remove or otherwise discipline any
subordinate officer or employee of the Authonty, subject to Civil Service
laws, rules and regulations;

k. To provide for employees benefit program and policies on promotions
and Salary Standardization Program at par with the international
transportation security service but subject to approval of the Department
of Budget and Management (DBM) and the Civil Service Commission
{CSC);

|. To organize or re-organize the structure of the Authority respecting the
major services to meet the changing conditions, subject to existing laws
and rules on the matter:

m. To assess threats to transportation security and to receive, assess and
distribute on a timely basis, all intelligence related to transport security,


n. To develop policies, strategies, and plans in dealing with prevention and
management crises and threat to transportation security; and ensure the
formulation, installation, and enforcement of the respective national
security program in all modes of transportation systems in the Philippines;

©. To perform such other functions necessary to carry out the provisions of
this Act: and as the President of the Philippines or the Secretary of the
Department of Transportation and Communications (DOTC), may direct.

SECTION 7. Services. - For purposes of carrying out its duties and
powers as provided for in this Act, the Authority shall have the following
transportation security services which shall be headed by Service Directors:

a. Civil Aviation Security Service (CASS) - shall conduct continuous
inspection, monitoring, audit of facilities and operations at alt levels of air
transportation system and shall monitor and/or directly implement the
Authority's projects, programs and regulations relative to security of air
transportation; to conduct investigation on all matters involving illegal acts
or unlawtul interference committed upon or directed to air transportation
facility and submit recommendation relative thereto;

b. Maritime Security Service (MARS) - shall conduct continuous
inspection, monitoring, audit of facilities and operations at all levels of
maritime transportation system; and shall monitor and/or directly
implement the rules and regulations telative to security of maritime
transportation; to conduct investigation on all matters involving illegal acts
of unlawful interference committed upon or directed to mantime
transportation facility and submit recommendation relative thereto in
adherence to reciprocal support, assistance and coordination with the
appropriate law enforcement agencies;

c. Land and Rail Security Service (LARS) — shall conduct continuous
inspection, monitoring and audit of facilities and operations at alt levels of
land and sail transportation systems and shall monitor and/or directly
implement the Authority's projects, programs and regulations relative to
security of jand and rail transport systems; to conduct investigation on alt
matters involving illegal acts or unlawful interference committed upon or
directed to land and rail transportation systems and submit
recommendations relative thereto;

d. Intelligence and Communications Security Service (ICSS) — shall
conduct continuous intelligence gathering and evaiuation to direct and
substantiate policy directions of the agency. it shall likewise promulgate
programs to strengthen the intelligence capability of the Authority in
securing the different modes of transportation including transportation


communications systems, facilities, services and infrastructure in the
country;

¢. Administrative and Finance Service (AFS) — shall provide necessary
services relating to finance and administrative matters; keep records,
correspondence, supplies, property, equipment and general services, and
the maintenance and utilization of facilities; and provide services relating
to manpower, career planning and development, personnel placements
and employees welfare;

f. . Legal, Policy Research and Adjudication Service (LPRAS) — shall
provide the efficient and effective service as in-house legat counsel: draft
‘of study contracts affecting the Authority, review reports relative to
investigations conducted by the Authority and submit recommendations
pertaining thereto; render legal opinions arising from the administration
and operation of the Authority and adjudicate matters affecting the
regulatory issuances relative to matters of national policy on civil aviation,
maritime and land and rail transportations security;

g. Transportation Security Training and Development Institute (TSTDI) -
shall formulate, develop, provide and maintain an effective, efficient and
continuing training program for transportation security personnel and all
allied agencies and their personnel who will apply standards and
recommended level of security for the secured operation of alt modes of
transportation covering but not limited to: screening, verifying, auditing and
inspecting of personnel, equipment and facilities involved in providing
transportation security; conduct tests and qualifying procedures for
transportation security equipment and such other undertaking to maintain
the quality participation/contribution of man and machine in sanitizing the
integrity of all modes of the transportation from criminal acts. The TSTDI
undertakes the training development and the upgrading process of all
course materials, monitoring and supervision of other security training
entities, liaison and cooperation with other states training institutes,
coordination and cooperation with industries and operations for the
research and development of new technology and other endeavors which
shall be essential to conform with national security training program,
transportation security poticy and oversight function.

Incidentat matters that may be uncovered and which may pertain to
another office, agency, bureau or division, holding or operating within the
transportation facilities and complexes must be reported to the appropriate
enforcement agencies and the same may be subjected to direct control and
police action by the operatives and elements of the Authority.

Provided, That, the Authority may from time to time change its
organizational structure and thus create, merge, consolidate or abolish functionat


offices or divisions, as it may deem proper and appropriate to achieve in
maximum its transportation security mandate: Provided, further, That the
Authority establish and maintain regional offices which shall be primarity
responsible for the implementation of this Act and for the policies, programs and
projects of the Authority in their respective regions.

The Service Directors shall be appointed by the Secretary of the
Department of Transportation and Communications (DOTC) upon
secommendation of the Administrator of the Authority.

SECTION 8. Removal and Filling of Vacancy. — The Administrator may
only be removed from office by the President of the Philippines for cause after
due process and in accordance with the Civil Service laws, rules and regulations.

In case of vacancy in the Authority due to death, resignation, removal or
permanent disability of the incumbent Administrator, the Deputy Administrator
shall serve as Acting Administrator in a concurrent capacity until a new
Administrator is appointed, has qualified and assumed office for the full term.

SECTION 9. Prohibition. — The Administrator, Deputy Administrator,
Service Directors and all officials, officers, staff and personnel of the Authority
shall not own stock in or bonds of a transportation or security enterprise or in an
enterprise that manufactures equipment that could be used for transport security
purposes.

SECTION 10. Membership in the National Security Council, - The
Administrator or hisfher duly qualified representative is hereby designated as
member of the National Security Council and shall report directly to the President
of the Philippines regarding sensitive transportation security information

SECTION 11. Control, Supervision and Delegation of Powers. ~ The
Authority shall have sole jurisdiction and precedence in control, over the
movement of persons, cargoes, or both, within the operational area of any mode
of transportation system and shail, therefore, possess authority to prescribe and
issue security access passes within the transport operational area. The
designated law enforcement officer and personnel of the Authority or those that
maybe deputized to carry law enforcement power, shail have the power to effect
arrest of take law enforcement action on any criminal act committed within its
jurisdictional area or in their presence or endorse the records of arrest and
apprehension to the locat police officer with jurisdiction over the area where the
transportation security incident happened. The Authority exercises primary
jurisdiction over acts of unlawful interference against any transport system but
may delegate or endorse the, same to any government agency for effective
enforcement, who is likewise obliged to accept the same and see its prompt
conclusion. The Authority reserves its right to supervise, monitor and coordinate
the stages of such investigation.


SECTION 12. Personnel Complement. — For purposes of implementing
the provisions of this Act, personnel of units/offices of the Philippine Coast Guard
(PCC): Philippine Ports Authority (PPA) police; Airport Police; Customs Police,
Philippine National Police - Maritime Group (PNP-MARIG); Philippine Nationa!
Pofice — Aviation Security Group (PNP-ASG); Philippine National Police — Traffic
Management Group (PNP-TMG); Philippine National Railways (PNR) police; Civil
Security Unit — Air Transportation Office (CSU-ATO) and all other government
agencies having the primary duty and function of providing transportation security
shall be under the operational direction and supervision of the Authority.
Provided, That, subject to the limitations in this Act, the Office for Transportation
Security (OTS) under the Department of Transportation and Communications
(DOTC), created under Executive Order No. 277 and Executive Order No. 311, is
hereby abolished and the present officers and staff of said office are hereby
absorbed to the Authority and shall serve as the initial personnel complement of
‘the Authority.

SECTION 13. Entry Level into the Authority. — The entry eligibility of the
absorbed personnel of the Office for Transportation Security (OTS) under the
Department of Transportation and Communications (DOTC), shall be waived by
the Civil Service Commission (CSC): Provided, That the absorbed personnel
possesses equivalent qualifications in terms of training in basic security of not
less than one hundred (100) hours and extensive experience for at feast two (2)
years in actual investigation, intelligence and security functions of assignments.

SECTION 14. Promotion and Selection Board. — There shall be a
Promotion and Selection Board within the Authority which shall screen and
evaluate organic personnel for promotion. Appointment and promotion process
shall follow the procedures prescribed in this Act. All positions in the Authority
hereinafter created shall be filled up in accordance with the Authority's
organizational and operational manual which shall define the qualification
standards consistent with the minimum requirements of the Civil Service
Commission (CSC). There shall be a Selection and Qualification Committee
which shall recommend to the Administrator the appointment of all other
personnel not herein provided.

SECTION 15. Transfer of Existing Facilities. — All existing facilities,
equipment and ail other assets and properties, rights, interests and privileges
belonging to Office for Transportation Security (OTS) that may be absorbed by
the Authority, are hereby transferred to the Authority. Immediately upon
appointment and assumption of powers and authority by the Administrator, alt
financial and logistical resources, facilities and equipment shall be released and
put under the control of the Authority. Al organizations and agencies that may
be absorbed by the Authority in the future shall use funds and resources of the
Authority upon enactment of this Act.


SECTION 16. implementing Rules and Regulations (IRR). — Within ninety
(90) days from appointment, the Deputy Administrator and Service Directors of
the Authority shall be the designated members of the Ad-Hoc Committee directed
to formulate the implementing Rutes and Regulations (IRR) of the Authority. The
Implementing Rules and Regulations shall cover all aspects of the administration,
management, operations, logistics and finance, law enforcements, standard
measures and practices of safety and security and all other matters affecting or
related to the full operation of the Authority. The Implementing Rules and
Reguiations (IRR) shail be accomplished and recommended by the Administrator
of the Authority, for approval by the President of the Philippines within one
hundred and eighty (180) days from constitution of the Ad-Hoc Committee.

SECTION 17. Transfer and Integration of Personnel, Facilities,
Equipment, Property and other Assets and Liabilities. — The absorption and
integration process shall commence on the first day of the quarter of the year
following completion of the Implementing Rules and Regulations. _ Initially
appointed members of the Ad-Hoc Committee may continue to serve in their
official capacities with the Authority if duly qualified and appointed in accordance
with civil service laws, rules and regulations on etigibil Employees and
personnel of the absorbed or integrated offices and agencies may opt to remain
with their original government affiliation or be transferred and absorbed with the
Authority which must be exercised within ninety (90) days from notice of the
absorption and integration.

SECTION 18. Headquarters, Offices and Location. — The Authority shall
have its central office and headquarters at the office of the Office for
Transportation Security (OTS) at Andrews Avenue comer Aurora Boulevard
(formerly Tramo Street) in Pasay City, or to any place in Metro Manila as the
Authority may deem proper and appropriate. The Authority may also establish
field offices as may be determined by the Implementing Rules and Regulations
(IRR). The amount of Fifty Million Pesos (PS0,000,000.00) or at least Ten
Percent (10%) of the initial funding of the Authority shall be appropriated to
refurbish and renovate the building of the Office for Transportation Security
(OTS) into a security center.

SECTION 19. Appropriation. - For purposes of reorganizing and
constituting the Authority, and for carrying out the provisions of this Act, the
Authority shall have an initial funding of Five Hundred Million Pesos
(P500,000,000.00). In addition, the appropriation, funding and/or budget of the
absorbed agency under Section 15 of this Act, shall be transferred to the
Authority. Appropriation for the succeeding years shall be included in the
General Appropriations Act.

SECTION 20. Penalties for Violations of the Provisions of this Act. - The
penalty of not less than six (6) months but not more than one (t) year and a fine
of not less than Twenty Thousand Pesos (P20,000.00) but not more than one (1)


year and a fine of not less than Twenty Thousand Pesos (P20,000.00) but not
more than Fifty Thousand Pesos (P50,000.00) shall be imposed upon any

person convicted of any offense involving violation of any other provisions of this
Act.

SECTION 21. Repeating Clause. — All laws, executive orders, letters of
instructions, rules and regulations and other issuances, or provisions thereof,
which are inconsistent with the provisions of this Act are hereby repealed,
amended or modified accordingly.

SECTION 22. Separability Clause. - The provisions of this Act are hereby
declared separable. If any provision or portion thereof shall be held invalid or
unconstitutional, the other provisions will remain in full force and effect.

SECTION 23. Effectivity Clause. - This Act shall take effect after fifteen

(15) days following its publication in two (2} national newspapers of general
circulation or in the Official Gazette.

Approved,