Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. ____ 
Introduced by HON. BRIAN RAYMUND S. YAMSUAN AND 
HON. TSUYOSHI ANTHONY “HORI” G. HORIBATA 
EXPLANATORY NOTE 
The rapid development and advancement in the areas of information and 
communications technology (ICT) are supposed to bring numerous opportunities for 
everyone in general, who can now supposedly avail for themselves easy and reliable 
access to communications and information. The importance, value and utility in our 
day to day activities of the information and the easy and reliable access in obtaining 
this, because of our supposed connectivity to the information hi-way, are supposed to 
free and release us from ignorance, empower us and enable us to become productive 
participants in the social and economic progress of our nation as a whole. 
Our present experience however does not prove much of this rosy assessment. Our 
ICT sector should have grown and improved to such extent that we are able to 
communicate and be connected, seamlessly and easily, to a level that was never 
before experienced. Sadly, this is not yet the case because as our Honorable 
Colleagues may have experienced, even a simple “Zoom” session is, more often than 
not, not spared from encountering “technical difficulties” apparently due to poor 
connectivity or slow or insufficient bandwidth speed. Our provinces, and even in some 
parts of the metropolis, are still struggling to get access to cheap, fast, efficient wireless 
broadband connectivity. And what about our children, our school children or pupils 
who need to go to school in order not to be left behind, but are unable to, on account 
of the pandemic, how are we now supposed to implement the hybrid method or system 
of traditional and online schooling with this kind of “sorry-state” broadband deployment 
in our country. 
Many across the globe where internet or broadband access is scarce are now turning 
to radio and television broadcasting to reach students. That strategy could also help 
our government that has decided to implement the system of online classes for our 
students. Televised schooling will bring enormous advantage and benefit for our 
school children – it can reach them and all the other areas where access to broadband 
connections or computers is nil, if not zero. 
Broadcasting via radio and/or television is but one of the many ways by which our 
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educators, who are desperate to avoid a long-term setback for an entire generation of 
children, can turn to and make use of. 
 
In this light, Victory Digital Broadcasting, Inc. seeks to offer itself as one of the public 
service providers in the radio and television broadcasting industry. It possesses the 
technical and financial capacity and capability to provide broadcast access to our 
children who do not have access to the internet or even to computers, allowing them 
to easily tune in to the broadcast transmission for their daily and regular lessons and 
curriculum. This bill thus seeks to grant the company the franchise required for it to be 
able to operate and offer its services herein mentioned and therefore open the way for 
more opportunities for our students and the general public at large, who cannot as yet 
return to their classrooms while the rate of corona virus infections remain high in our 
country. 
 
In view of the foregoing, approval of this bill is earnestly sought. 
 
 
 
 
 
BRIAN RAYMUND S. YAMSUAN 
TSUYOSHI ANTHONY “HORI” G. HORIBATA 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 


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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL NO. ____ 
Introduced by HON. BRIAN RAYMUND S. YAMSUAN AND 
HON. TSUYOSHI ANTHONY “HORI” G. HORIBATA 
AN ACT 
GRANTING VICTORY DIGITAL BROADCASTING, INC. A FRANCHISE TO 
CONSTRUCT, INSTALL, OPERATE, AND MAINTAIN RADIO AND TELEVISION 
THROUGHOUT THE BICOL REGION  
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled: 
SECTION 1. Nature and Scope of Franchise. – Subject to the provisions of 
the Constitution and applicable laws, rules and regulations, there is hereby granted to 
Victory Digital Broadcasting, Inc., hereunder referred to as the grantee, its successors 
or assignees, a franchise to construct, install, operate, and maintain for commercial 
purposes and in the public interest, radio and/or television broadcasting stations where 
frequencies and/or channels are still available for radio and/or television broadcasting, 
including digital radio and/or television systems, through microwave, direct to 
subscribers and/or direct broadcast satellite systems or whatever means, as well as 
the use of any new technology in television and radio systems, with the corresponding 
technological auxiliaries and facilities, special broadcast, conditional access systems 
and other program and distribution services and relay stations in Region V.  
SEC. 2. Manner of Operation of Stations or Facilities. – The stations or 
facilities of the grantee shall be constructed and operated in a manner as will, at most, 
result only in the minimum interference on the wavelengths or frequencies of existing 
stations or other stations which may be established by law, without in any way 
diminishing its own privilege to use its assigned wavelengths or frequencies and the 
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quality of transmission or reception thereon as should maximize rendition of the 
grantee’s services and/or availability thereof. 
 
SEC. 3. Prior Approval of the National Telecommunications Commission. 
– The grantee shall secure from the National Telecommunications Commission (NTC) 
the appropriate permits and licenses for the construction and operation of its stations 
or facilities and shall not use any frequency in the radio/television spectrum without 
authorization from the NTC. The NTC, however, shall not unreasonably withhold or 
delay the grant of any such authority. 
 
The grantee shall not dispose or lease its facilities except to entities with radio 
or television broadcasting franchise: Provided, That the grantee shall inform and 
secure written authorization to proceed from the NTC, and report the transaction to 
the NTC within sixty (60) days after its completion: Provided, further, That the NTC 
shall determine the corresponding sanction for any violation of this provision. 
 
In case of any violation of the provisions of this franchise, the NTC shall have 
the authority to revoke or suspend, after due process, the permits or licenses it issued 
pursuant to the franchise. The NTC may recommend to Congress the revocation of 
the franchise for any violation of the provisions of this franchise. 
 
SEC. 4. Responsibility to the Public. – The grantee shall provide, free of 
charge, adequate public service time which is reasonable and sufficient to enable the 
government, through the broadcasting stations or facilities of the grantee, to reach the 
pertinent populations or portions thereof, on important public issues and relay 
important public announcements and warnings concerning public emergencies and 
calamities, as necessity, urgency or law may require; provide, at all times sound and 
balanced programming; promote public participation; assist in the functions of public 
information and education; conform to the ethics of honest enterprise; promote 
audience sensibility and empowerment including closed captioning; and not use its 
stations or facilities for the broadcasting of obscene or indecent language, speech, act 
or 
scene, 
the 
dissemination 
of 
deliberately 
false 
information 
or 
willful 
misrepresentation, to the detriment of public interest , or to incite, encourage, or assist 
in subversive or treasonable acts. 


 
5
 
Public service time referred herein shall be equivalent to a maximum aggregate 
of ten percent (10%) of paid commercials or advertisements which shall be allocated 
based on need to the Executive and Legislative branches, the Judiciary, Constitutional 
Commissions, and international humanitarian organizations duly recognized by 
statutes: Provided, That the NTC shall increase the public service time in case of 
extreme emergency or calamity. The NTC shall issue rules and regulations for this 
purpose, the effectivity of which shall commence upon applicability with other similarly 
situated broadcast network franchise holders. 
 
Pursuant to Republic Act No. 8370, otherwise known as the “Children’s 
Television Act of 1997”, the grantee shall allot a minimum of fifteen percent (15%) of 
the daily total air time of each broadcasting network to child-friendly show within its 
regular programming. 
 
SEC. 5. Right of the Government. – The radio spectrum is a finite resource 
that is part of the national patrimony, and the use thereof is a privilege conferred upon 
the grantee by the State that may be withdrawn any time after due process. 
 
A special right is hereby reserved to the President of the Philippines, in times 
of war, rebellion, public peril, calamity, emergency, disaster, or disturbance of peace 
and order, to temporarily take over and operate the stations or facilities of the grantee; 
to temporarily suspend the operation of any station or facility in the interest of public 
safety, security and public welfare; or to authorize the temporary use and operation 
thereof by any agency of the government, upon due compensation to the grantee, for 
the use of said stations or facilities during the period when these shall be so operated. 
 
SEC. 6. Term of Franchise. – This franchise shall be in effect for a period of 
twenty-five (25) years from the effectivity of this Act, unless sooner revoked or 
cancelled. This franchise shall be deemed ipso facto revoked in the event the grantee 
fails to operate continuously for two (2) years. 
 
SEC. 7. Self-regulation by and Undertaking of Grantee. – The grantee shall 
not require any previous censorship of any speech, play, act or scene, or other matter 


 
6
to be broadcast from its stations, but if any such speech, play, act or scene, or other 
matter should constitute a violation of the law or infringement of a private right, the 
grantee shall be free from any liability, civil or criminal, for such speech, play, act or 
scene, or other matter: Provided, That the grantee, during any broadcast, shall cut off 
the airing of speech, play, act or scene, or other matter being broadcast if the tendency 
thereof is to propose and/or incite treason, rebellion or sedition; or the language used 
therein or the theme thereof is indecent or immoral: Provided, further, That willful 
failure to do so shall constitute a valid cause for the cancellation of this franchise. 
 
SEC. 8. Warranty in Favor of the National and Local Governments. – The 
grantee shall hold the national, provincial, city, and municipal governments of the 
Philippines free from all claims, liabilities, demands, or actions arising out of accidents 
causing injury to persons or damage to properties, during the construction or operation 
of the stations of the grantee. 
 
SEC. 9. Commitment to Provide and Promote the Creation of Employment 
Opportunities. – The grantee shall create employment opportunities as well as accept 
on-the-job trainees in the franchise operations: Provided, That priority shall be 
accorded to the residents of the place where the principal office of the grantee is 
located: Provided further, That the grantee shall comply with the applicable labor 
standards and allowance entitlement under existing labor laws, rules and regulations 
and similar issuances: Provided, finally, That the employment opportunities or jobs 
created shall be reflected in the General Information Sheet (GIS) to be submitted to 
Securities and Exchange Commission (SEC) annually. 
 
SEC. 10. Sale, Lease, Transfer, Grant of Usufruct, or Assignment of 
Franchise. – The grantee shall not sell, lease, transfer, grant the usufruct of, nor 
assign this franchise or the rights and privileges acquired thereunder to any person, 
firm, company, corporation or other commercial or legal entity, nor merge with any 
other corporation or entity, nor the controlling interest of the grantee be transferred, 
simultaneously or contemporaneously, to any person, firm, company, corporation, or 
entity without the prior approval of the Congress of the Philippines. Congress shall be 
informed of any sale, lease, transfer, grant of usufruct, or assignment of franchise or 
the rights and privileges acquired thereunder, or of the merger or transfer of the 


 
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controlling interest of the grantee, within sixty (60) days after the completion of the 
said transaction. Failure to report to Congress such change of ownership shall render 
the franchise ipso facto revoked. Any person or entity to which this franchise is sold, 
transferred, or assigned shall be subject to the same conditions, terms, restrictions, 
and limitations of this Act. 
 
SEC. 11. Dispersal of Ownership. – In accordance with the constitutional 
provision to encourage public participation in public utilities, the grantee shall offer to 
Filipino citizens at least thirty percent (30%) of its common stocks, or a higher 
percentage that may hereafter be provided by law, in any securities exchange in the 
Philippines within five (5) years from the effectivity of this Act: Provided, That in cases 
where public offer of shares is not applicable, other methods of encouraging public 
participation by citizens and corporations operating public utilities must be 
implemented. Noncompliance therewith shall render the franchise ipso facto revoked. 
 
SEC. 12. Reportorial Requirement. – The grantee shall submit an annual 
report on its compliance with the terms and conditions of the franchise and on its 
operations to the Congress of the Philippines, through the Committee on Legislative 
Franchises of the House of Representatives and the Committee on Public Services of 
the Senate, on or before April 30 of every year during the term of its franchise. 
 
The annual report shall include an update on the roll-out, development, 
operation and/or expansion of business; audited financial statements; latest GIS 
officially submitted to the SEC, if applicable; certification of the NTC on the status of 
its permits and operations; and an update on the dispersal of ownership undertaking, 
if applicable. 
 
The reportorial compliance certificate issued by Congress shall be required 
before any application for permit or certificate is accepted by the NTC. 
 
SEC. 13. Fine. – Failure of the grantee to submit the requisite annual report to 
Congress shall be penalized by a fine of five hundred pesos (P500.00) per working 
day of noncompliance. The fine shall be collected by the NTC from the delinquent 


 
8
franchise grantee separate from the reportorial penalties imposed by the NTC and the 
same shall be remitted to the Bureau of the Treasury. 
 
SEC. 14. Equality Clause. – Any advantage, favor, privilege, exemption, or 
immunity granted under existing franchises, or which may hereafter be granted for 
radio and/or television broadcasting, upon prior review and approval of Congress, shall 
become part of this franchise and shall be accorded immediately and unconditionally 
to the herein grantee: Provided, That the foregoing shall neither apply to nor affect the 
provisions of broadcasting franchises concerning territorial coverage, the term, or the 
type of service authorized by the franchise. 
 
SEC. 15. Repealability and Nonexclusivity Clause. – This franchise shall be 
subject to amendment, alteration, or repeal by the Congress of the Philippines when 
the public interest so requires and shall not be interpreted as an exclusive grant of the 
privileges herein provided for. 
 
SEC. 16. Separability Clause. – If any of the sections or provisions of this Act 
is held invalid, all other provisions not affected thereby shall remain valid. 
 
SEC. 17. Repealing Clause. – All laws, decrees, orders, resolutions, 
instructions, rules and regulations, and other issuances or parts thereof which are 
inconsistent with the provisions of this Act are hereby repealed, amended, or modified 
accordingly. 
 
SEC. 18. Effectivity. – This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in a newspaper of general circulation. 
 
Approved,