ENT ATIVES

RECEIVES
Republic of the Philippines 16
HOUSE OF THE REPRESENTAWVes DT 18 MG 7
Quezon City awe XI
SEVENTEENTH CONGRES: “
First Regular Session
HOUSE BILL NO. 301

Introduced by: REP. RODEL M. BATOCABE, REP. ALFREDO A. GARBIN, Jr.,
REP. CHRISTOPHER S. CO, REP. SHARON S. GARIN, REP. FERNANDO V.
GONZALEZ, REP. DEOGRACIAS B. RAMOS JR., REP. JULIETA R. CORTUNA, REP.
ARNEL U. TY, REP. ANTHONY M. BRAVO, REP. RICO B. GERON, REP. JOSEPH
STEPHEN S. PADUANO, REP. SALVADOR B. BELARO JR., REP. EUGENE
MICHAEL B. DE VERA, REP. BENHUR B. LOPEZ JR., REP. BERNADETTE C.
HERRERA-DY, REP. TEODORO G. MONTORO, REP. JERICHO JONAS B.
NOGRALES, REP. VINI NOLA A. ORTEGA, REP. MICHAEL ODYLON L. ROMERO,
REP. HARRY L. ROQUE JR., REP. CARLOS ROMAN L. UYBARRETA, REP. TRICIA
NICOLE Q. VELASCO-CATERA, and REP. RON P. SALO

EXPLANATORY NOTE

The Governance Commission for Government-Owned and -Controlled Corporations
(GCG) was created in recognition of the potential of GOCCs as significant tools for
economic development, with the primary function of overseeing the operations of all the
GOCC.

However, instead of piloting the development and growth of GOCCs, the GCG became
another bureaucratic layer in the already confounded structure of checks and balances,
which takes up valuable time and resources of the GOCC. In fact, for the past six years,
GOCCs have been constantly complaining of the additional impositions and requirements
laid down by the GCG which hampers their day-to-day operations, thereby placing the
GOCCs under the capricious whim and mercy of the GCG.

Prior to the passage of Republic Act 10149, otherwise known as the “GOCC Governance
Act of 2011”, all GOCCs were under the direct control and supervision of the Office of the
President. In addition, the GOCCs are also answerable to: (1) Congress, which includes,
but is not limited to its oversight functions; (2) the Commission on Audit (COA), with
respect to all accounts and expenditure of funds and properties of the government: (3)
the National Economic and Development Authority (NEDA), in terms of economic
development and planning, and joint venture activities; (4) Government Procurement
Policy Board (GPPB), with respect to all its procurement projects; and (5) the Office of
the Government Corporate Counsel (OGCC), as the statutory counsel of all GOCCs,
among others.

In addition, being government employees and officials, the management and work-force
of these GOCCs are also kept honest by the various criminal and administrative cases
that looms in the background while they perform their respective duties and
responsibilities.

Thus, in line with the call of President Rodrigo Roa Duterte in his Budget Message, Fiscal
Year: 2017 to eliminate redundant, duplicative, and overlapping functions and


organizations in the Executive Branch, the repeal of R.A. 10149, abolishing the
Governance Commission for GOCCs is necessary.

For the foregoing reasons, the passage of this bill is earnestly sought.

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REP. EL M. BATOCABE

REP. Al A “GARBIN, JR. REP. CHRISTOPHER S. CO


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Republic of the Philippines
HOUSE OF THE REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
First Regular Session

House BiLt no._3014

Introduced by: REP. RODEL M. BATOCABE, REP. ALFREDO A. GARBIN, Jr.,
REP. CHRISTOPHER S. CO, REP. SHARON S. GARIN, REP. FERNANDO V.
GONZALEZ, REP. DEOGRACIAS B. RAMOS JR., REP. JULIETA R. CORTUNA, REP.
ARNEL U. TY, REP. ANTHONY M. BRAVO, REP. RICO B. GERON, REP. JOSEPH
STEPHEN S. PADUANO, REP. SALVADOR B. BELARO JR., REP. EUGENE
MICHAEL B. DE VERA, REP. BENHUR B. LOPEZ JR., REP. BERNADETTE C.
HERRERA-DY, REP. TEODORO G. MONTORO, REP. JERICHO JONAS B.
NOGRALES, REP. VINI NOLA A. ORTEGA, REP. MICHAEL ODYLON L. ROMERO,
REP. HARRY L. ROQUE JR., REP. CARLOS ROMAN L. UYBARRETA, REP. TRICIA
NICOLE Q. VELASCO-CATERA, and REP. RON P. SALO

AN ACT TO ABOLISH THE GOVERNANCE COMMISSION FOR GOCCs
REPEALING FOR THE PURPOSE RA 10149 OTHERWISE KNOWN AS “GOCC
GOVERNANCE ACT OF 2011”

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

Section 1. The Governance Commission for Government-Owned or -Controlled
Corporations (hereinafter referred to as GCG) is hereby abolished.

Section 2. All officers and employees of the abolished GCG are hereby given two and a
half (2%) months salary for each year of service as separation pay.

Section 3. The functions and duties of the abolished GCG are hereby transferred to the
different Departments of the government with the similar functions and duties

Section 4. Implementing Rules and Regulations. - The Department of Finance, the
Department of Budget and Management and the Commission on Audit shall issue the
necessary rules and regulations necessary for the full implementation of this Act.

Section 5. Appropriation. - The necessary funding needed for the payment of the
separation benefits provided for in this Act shall be included in the General Appropriations
Act for 2017.

Section 6. Separability Clause. - If any portion or provision of this Act is declared
unconstitutional, the same shall not affect the validity and effectivity of the other provisions
not affected thereby.

Section 7. Repealing Clause. - All laws, parts of laws, decrees, presidential issuances,
proclamations, orders, ordinances, and’ administrative regulations in conflict with the
provisions of this Act are hereby amended, modified or repealed accordingly.


BONE

Section 8. Effectivity. - This Act shall take effect fifteen (15) days after its publication in
the Official Gazette or in at least two (2) newspapers of general circulation, whichever
comes earlier.

Approved.