THIRTEENTH CONGRESS OF THE REPUBLIC ) 
OF TWEPHJLIPPINES 
1 
First Regular Session 
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Introduced by Senator LUISA "LOI" P. EJERCITO ESTRADA 
EXPLANATORY NOTE 
As part of the government's effort to reform the health sector, privatization of 
government hospitals has been endorsed ostensibly due to the rising cost of maintenance 
and operational expenses. One argument in favor of privatization is that it will allow 
investors to infuse additional capital to modernize and upgrade the facilities and 
equipment of these government hospitals, more particularly the specialized hospitals such 
as the Philippine Heart Center and the National Kidney and Transplant Institute. 
While it is true that the government is experiencing difficulty in infbsing the 
much needed hnds to continually upgrade and 
acquire sophisticated and advance 
medical equipment, it is a reality that majority of the people rely on these government 
hospitals for their medical and health needs. 
It is almost certain that corresponding increase in medical costs will ensue once 
the privatization of government hospitals is pursued. Some people cannot even afford 
adequate shelter, food, clothing, and education. Worst, accessible and affordable health 
care services will be beyond their reach. 
. The constitution mandates that health services shall be available to all the people 
at affordable cost. In is in this light that this bill seeks to prohibit the privatization of 
government hospital to ensure and guarantee that health care services are affordable and 
accessible to all Filipino people. 
Foregoing premises considered, the immediate approval 
of this proposed 
measure is highly recommended. 
LUISA "LOI" P. JERCITO ESTRADA 
Senator 


THIRTEENTH CONGRESS OF THE REPUBLIC ) 
OF THE PHILIPPINES 
) 
First Regular Session 
1 
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Introduced by Senator LUISA”L0I” P. EERCITO ESTaADA 
AN ACT 
PROHIBITING THE PRIVATIZATION OF GOVERNMENT HOSPITALS 
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 “Government Hospitals’ 
Privatization Prohibition Act.” 
Section 2. Declaration of Pulicy. - It is hereby declared the policy of the State to 
guarantee that health care services are available, accessible and affordable to all the 
people by prohibiting the privatization of government hospitals. 
Section 3. Definition of Term. - For purposes of this Act, the term: 
(A) 
(B) 
“Secretary” shall refer to the Secretary of the Department of Health; 
“Government Hospital” shall refer to a hospital operated and maintained 
either partially or wholly by the national, provincial, municipal or city 
government or other political subdivision, or by any department, division, 
board or other agency thereoc 
Section 4. 
Prohibition on privatization of government hospitals. - The 
Secretary is hereby prohibited to privatize, sell, or offer for sale all government 
hospitals. 


Section 5. 
Implementing Rules and Regulations. - The Secretary shall 
promulgate the necessary rules and regulations to implement the provisions of this Act. 
Section 6. 
Appropriations. - In order to achieve the objectives of this Act, 
such amount as may be necessary is hereby authorized to be appropriated from the 
National Treasury, Thereafter, the amount necessary for the continuous operation of the 
centers shall be included in the annual appropriation of the Department of Health. 
Section7. 
Separability Clause - If any provision or part hereof is held 
invalid or unconstitutional, the remainder of the law or the provision not otherwise 
affected shall remain valid and subsisting. 
Section 8. 
Repealing Clause - Any law, presidential decree or issuance, 
executive order, letter of instruction, administrative order, rule or regulation contrary to 
or inconsistent with the provision of this act is hereby repealed, modified or amended 
accordingly. 
Section 9. 
Effectivity cilause. - This Act shall take effect fifteen (15) days 
after its publication in at least two (2) newspapers of general circulation. 
Approved, 
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