Republic of the Philippines 2 ey
HOUSE OF REPRESENTATIVES O.3 DEC 2012"
Quezon City

FIFTEENTH CONGRESS:
Third Regular Session

House piLNo,._—*& 734

Introduced by: Honorable ALFREDO D. MARANON, ITT

EXPLANATORY NOTE

‘This bill seeks to establish the Philippine Blood Disease and ‘Transfusion Center which is
envisioned to offer comprehensive care for patients with blood disorders, and to provide transfusion
services to the Filipino people. The establishment of the said Blood Center shall also rationalize and
improve the provision of adequate and safe supply of blood and to set the standards for scientific and
professional establishment and operation of other blood banks and regional blood centers in the
country. :

‘The Blood Center is envisioned to provide the Filipino people with the latest state-of-the-art
in the diagnosis, management and treatment of hematologic disorders. It shall embark on research
regarding hematologic disorders. It shall also be the lead hospital in the training and teaching of
‘medical and paramedical professionals regarding blood diseases and transfusion medicine,

‘The Blood Center is envisioned to provide capacity for safe blood and blood products to
Filipino people augmenting the medical services provided by hospitals and partner agencies. It shall
also serve as a referral laboratory center for all hematologic diseases.

Republic Act 7719 or the National Blood Services Act of 1994 and the consequent
strengthening of voluntary blood services nationwide came on the heels of unprecedented need for
blood and blood products secondary to inevitable epidemiologic shift towards rising incidence of
dengue fever and its hemorrhagic forms, the increasing threat of HIV and other blood borne infections
and, more recently by the national goal of drastically reducing maternal deaths through the assurance
of adequate supply of blood.

Section 2, “Declaration of Policy” of RA 7719 in part, states that “In order to promote public
health it is hereby declared the policy of the State: (a) to promote and encourage voluntary blood
donation by the citizenry and to instill public consciousness of the principle that blood donation is a
humanitarian act; (b) to lay down the legal principle that the provision of blood for transfusion is a
professional medical service and not a sale of a commodity; (c) to provide for adequate, safe,
affordable and equitable distribution of supply of blood and blood products; (d) to inform the public
of the need for voluntary blood donation to curb the hazards caused by the commercial sale of blood;
(€) to teach the benefits and rationale of voluntary blood donation... (f) to mobilize all sectors of the
community to participate in mechanisms for voluntary and non-profit collection of blood; (g) to
mandate the Department of Health to establish and organize a National Blood Transfusion Service
‘Network in order to rationalize and improve the provision of adequate and safe supply of blood...”

This bill aims to establish the Philippine Blood Disease and Transfusion Center, a
government corporate institution under the direct supervision of the Department of Health for
purposes of policy direction and control.


In view of the foregoing considerations, approval of this bill is earnestly sought.

Fifteenth Congress
Second Regular Sessi

6734

HOUSE BILL NO.

Introduced by: Honorable ALFREDO D. MARANON, III

AN ACT
ESTABLISHING THE PHILIPPINE BLOOD DISEASE AND TRANSFUSION
CENTER, DEFINING ITS OBJECTIVES, POWERS AND FUNCTIONS, AND
APPROPRIATING FUNDS THEREFOR

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

- Short Title — This Act shall be known as the “Philippine Blood Disease and
snter Act.”

Transfi
SEC. 2. Definition of Terms. — As used in this Act:

a, Apheresis Facility ~ a blood service facility where blood collection procedure is done
in which whole blood is removed, a selected component separated and the remainder
returned to the donor.

b. Blood ~ the human blood for transfu

©. Blood Center ~ refers to the Philippine Blood Disease and Transfusion Center.

d, Blood Component — refers, but not limited to whole blood, red cells, granulocytes,
plasma, platelets, cryoprecipitate and cryosupernate prepared in a Blood Center.

€. Blood Disease - are blood conditions that include problems with the red blood cells,
white blood cells, platelets, blood vessels, bone marrow, lymph nodes, spleen, and the
proteins involved in bleeding and clotting (hemostasis and thrombosis).

f. Blood Product ~a therapeutic substance derived from whole blood or plasma.

8. Blood Transfusion — the process of transferring blood or blood-based products from
one person into the circulatory system of another.

h, End-User Hospital — a hospital with a licensed clinical laboratory capable of red cell

typing and cross-matching and which does not have any blood service facility but

which only receives blood and blood components for blood transfusion as needed.

End-User Non-Hospital Health Facility — a licensed/accredited non-hospital health

facility without a licensed clinical laboratory but which administers blood transfusion.

Hematology — the branch of medicine that is concerned with the study of blood, the

blood-forming organs and blood diseases.

n.



k. Voluntary Blood Donor ~ a donor who gives blood freely and voluntarily without any
form of payment.

SEC. 3. Establishment of the Philippine Blood Disease and Transfusion Center. ~
There is hereby established a Philippine Blood Disease and Blood Transfusion Center,
hereinafter referred to as the Blood Center, a government corporate facility that will offer
comprehensive care for patients with blood disorders including ensuring blood transfusion
services, a strong teaching program and research capability to serve the Filipino people. The
Center shall be located at the Lung Center of the Philippines (LCP) Compound, Quezon
‘Avenue, Quezon City. The Blood Center shall have the attribute of perpetual succession and
shall be vested with the powers of a corporation, and shall continue to exist until dissolved
for a lawful cause and/or by joint resolution of Congress.

SEC. 4. Purposes and Objectives. — The Blood Center shall have the following
purposes and objectives:

‘a. To establish and operate a hematology and blood transfusion center for the
public welfare;

b. To offer comprehensive care for patients with blood disorders;

¢. To conduct training and research on the prevention and treatment of blood
diseases and those related to blood bank technology and blood transfusion
services, including sponsorship and conduct of relevant congresses,
conventions, seminars and conferences;

d. To establish a state-of-the-art hematology laboratory (which should be able
to offer more services than a regular medical center), including a molecular
laboratory.

€. — Toestablish a Hematopoietic Stem Cell transplant program and donor

registry;

f To recruit, retain and care for voluntary blood donors;

‘To collect blood from qualified voluntary blood donors;

To process whole blood into blood components;

To collect blood components through Apheresis;

‘To store, issue, transport and distribute whole blood and blood components
to end-user hospitals and non-hospital health facilities;

k. To ensure that safe supply of blood and blood products to all hospitals and
other health facilities are adequate in terms of distribution and delivery;

1. To implement and monitor quality assurance to selected regional blood
centers;

m. To test units of blood for transfusion-transmittable infections;

n, To provide special and confirmatory tests and perform immunohematologic
examinations;

0. To prepare special plasma derivatives.

SEC.
and functions:

Powers and Functions. - The Blood Center shall have the following powers

a, To adopt a code of by-laws to complement this Charter;

b. To adopt and use a corporate seal which shall be a matter of judicial notice;

c. To determine its organizational structure and the number and salaries of its
officers and employees, subject to the pertinent provisions of Republic Act No.


10149 (RA 10149), also known as the GOCC Governance Act of 2011;

d. To establish and maintain professional and technical educational systems for the
sustained development of the necessary manpower to manage and operate its
affairs and business;

e. To invest its funds as it may deem proper and necessary, but subject to
applicable laws, rules and regulations, in any activity related to the Center,
including in any bonds or securities issued and guaranteed by the Government
of the Philippines;

£, To acquire assets, real or personal, or interest therein and encumber or otherwise
dispose the same as it may deem proper and necessary in the conduct of its
business;

g. To borrow money from local or foreign sources as may be necessary for its
operations, subject to applicable laws, rules and regulations;

h. To accept any gifts, contributions, endowments, grants, bequests and devices of
any kind of real or personal property which are necessary and proper for the
attainment of the purpose of the hospital; and 5

i. To perform such acts and exercise such functions as may be necessary and
proper for the attainment of the purposes and objectives herein specified.

SEC. 6. Contracts. — The Blood Center shall have the authority to enter into contracts with
any person or entity, domestic or foreign and with government for the undertaking of the varied
aspects of the Blood Center, including the acquisition, by way of purchase, lease or rent or other
deferred payment arrangements of equipment and/or raw materials and supplies, as well as for
services connected therewith under such terms and conditions as it may deem proper and
reasonable.

In the acquisition and disposal of property real or personal, a bidding process shall be
necessary to conform to the requirements of public bidding as provided for in RA 9184 and
related laws.

SEC. 7. Board of Trustees. The affairs and business of the Blood Center shall be directed;
its properties managed; and its corporate powers exercised, unless otherwise provided in this
Charter, by its own Board of Trustees which shall be composed of seven (7) members, as
follows:

Phe Secretary of the Department of Health as Chairman of the Board or his duly
authorized representative; :

b. The Undersecretary/Assistant Secretary of the Department of Health;

c. One (1) member from the private sector preferably with experience in finance,

administration or management;

‘One representative who will provide expertise in hematology

‘One representative who will provide expertise in blood transfusion

‘One representative from NGO; and

‘The Blood Center Executive Director

mee

The terms of office, manner of appointment of the trustees and other matters pertaining
to the governance of the Blood Center shall be determined in accordance with the pertinent
provisions of RA 10149.


The Board of Trustees shall be governed by a set of b

laws, which shall contain,

among others, an enumeration of each of the member’s responsibilities, accountabilities, and
cause of termination.

SEC. 8. Powers and Functions of the Board. The Board of Trustees w

fh shall be the

policy-making body of the Blood Center shall have the following powers and functions:

a

b.

me

SEC. 9. Duties and Responsil

Determine the general policies of the Blood Center within the scope of its
powers, objectives and financial resources;

Establish the organizational structure of the Blood Center, define the duties and
responsibilities of all officials and employees and adopt a compensation and
benefit scheme, subject to the pertinent provisions of RA 10149;

To acquire, hold and own in any manner, property of whatever nature or
description, and to dispose of such property under any mode of encumbrance or
conveyance;

To enter into, make, perform and carry out contracts of every kind and for any
lawful purpose with any person, firm, association or corporation, whether public
or private, domestic or foreign;

To mortgage, lease, sell, transfer, convey or otherwise dispose of its properties;
To solicit and receive donations, endowments and funds in the form of
contributions, whether in cash or in kind, from both the public and private
sectors and from domestic or foreign sourc :
To open such accounts in banks and other financial institutions, and to disburse
such funds or invest the same as the Board of Trustees may direct to accomplish
or advance the purposes or interest of the Blood Center;

To invite foreign or local health specialists and similar experts in the various
medical fields to train the personnel, trainees, fellows or residents of the Blood
Center;

‘To send the personnel of the Blood Center to research institutes, medical
institutes or universities for advance training or observation and to attend
international or regional conventions, conferences, congresses or seminars as the
Board of Trustees may deem necessary to accomplish the purposes and
objectives of the Blood Center;

To enter into such agreements and arrangements with other medical or similar
institutions, domestic or foreign, as may be deemed desirable by the Board of
Trustees toward promoting the purposes and objectives of the Blood Center;

To adopt a set of by-laws, rules, regulations, policies, guidelines and procedures
consistent with law and the provisions hereof to govern the administration and
operation of the hospital; and

To do all such other acts and things as are or may be necessary for or incidental
to the accomplishment of the purposes and objectives of the Biood Center.

fies of the Executive Director. The Blood Center

shall be headed by the Executive Director who shall have the following duties and
responsibilities:

a

To prepare the agenda for the meetings of the board, and to submit for
consideration of the board such policies and measures as he/she believe(s)
necessary to carry out the purposes and objectives of this Act;

To execute, administer and implement the policies and measures approved by


the board;

To direct and supervise the operations and administration of the Blood Center;

To represent the Blood Center in all dealings with all other offices, agencies and

instrumentalities of the government and with all persons and other entities,

domestic or foreign; and

e. To exercise such other powers and perform such other duties provided in the by-
laws and as vested to him by the board.

Be

SEC. 10. Program for Indigents. ~ The Department of Health shall ensure that the
Blood Center shall adopt and enforce a program for indigents needing blood / blood products
and patients with blood diseases in accordance to the implementing guidelines on
classification of patients and on Availment of Medical Social Services in Government
Hospitals.

SEC. 11, Retention of Income. ~ The Blood Center is hereby authorized to retain and
utilize their income derived from its operation and non-patient related activities for the
maintenance of the other operating expenditures, including capital outlay especially in the
acquisition of equipment and supplies, subject to auditing rules and regulations. Further, no
amount from such income shall be used to augment the salaries and other compensation of
the Blood Center personnel beyond the amounts determined by the Governance Commission
for Government-Owned and Controlled Corporations (GCG), as provided for in RA 10149.

The Department of Health in coordination with the Department of Budget and
Management shall issue necessary rules and regulation to implement this provision.

SEC. 12. Exemption from Taxes. ~ The Blood Center shall be exempt from the
payment of taxes on all contribution thereto and all accruals on its income and investment
earnings. :

Any donation, contribution, bequest, subsidy or financial aid which may be made to it
shall constitute allowable deduction from the income of the donor for income tax purposes
and shall be exempt from donor’s tax subject to such conditions as provided in the National
Internal Revenue Code.

‘The Blood Center shall be exempt from all other taxes, whether direct or indirect, on its
income, properties and operations.

SEC. 13. Supervision. The Blood Center shall be under the direct supervision of the
Department of Health for purposes of policy direction and control. It shall submit an annual
report, pursuant to the pertinent provisions of RA 10149.

SEC. 14. Implementing Rules and Regulations. ~ Within thirty (30) days from the
completion of the appointment of its members, the Corporation’s Board of ‘Trustees shall
convene to formulate the rules and regulations necessary for the implementation of this Act.

SEC. 15. Appro tions. — The amount of 0 hundred million (Php
00 ,200,,000, is hereby appropriated for the initial operation and maintenance
Of thfe Blood Center. Thereafter, such sum as may be necessary for the continued operation of

the Blood Center shall be included in the annual General Appropriations Act.


SEC. 16. Separability Clause. — Should any provision of this Act be held
unconstitutional, no other provision when able to stand by itself shall be affected thereby.

SEC. 17. Repealing Clause. - All laws, acts, executive orders, administrative orders,
rules and regulations inconsistent herewith, are hereby repealed, amended or modified
accordingly.

SEC. 18. Effeetivity. - This Act shall take effect fifteen (15) days after its publication
in the Official Gazette or in any newspaper of general circulation.

Approved.