Al

Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

SIXTEENTH (16!") CONGRESS
Second Regular Session

HOUSE BILL NO. _ 5641

Introduced by REP. JOSE CHRISTOPHER Y. BELMONTE

EXPLANATORY NOTE

This bill seeks to create the Pasig River Rehabilitation and Development
Authority to effectively and efficiently undertake the coordinated development and
management of the Pasig River Basin System.

The 27-kilometer Pasig River Basin System traverses the cities of Manila,
Makati, Mandaluyong, Pasig, Taguig, and the Municipality of Pateros and Taytay. It
connects two large important bodies of water, the Manila Bay in the west, which is
the country’s main port of maritime trade and travel, and the Laguna de Bay in the
east, which is the largest freshwater lake in the country. It serves as the only outlet
that drains excess water from the Laguna de Bay to Manila Bay.

The Pasig River Basin System is composed of 47 tributaries, four are major
waterways: the San Juan River (6.2 km.), Marikina River (19.3 km.), Napindan River
(8.4 km.) and Pateros-Taguig River (11.5 km.) while 43 are minor tributaries with an
aggregate length of 105.8 kilometers. It has an average width of ninety meters,
depth from 0.5 to 5.5 meters, water volume of 6.548 million cubic meters, and
minimum and maximum flow rates of 12-275 cubic meters per second.

During the colonial period, the Pasig River was the main point of entry for
trade and commerce in Manila. It also serves as the main travel and supply route for
upstream communities and those living on the lakeshores of Laguna de Bay. This is
immortalized in Jose Rizal’s “El Fibusterismo,” when one December morning while
“Bapor Tabo” cruises along the Pasig River towards Laguna de Bay, the main
characters were discussing ways on how to improve Pasig River for navigation.


‘Traditionally, the municipalities upstream were fishing communities relying
mostly on the Pasig River and Laguna de Bay, while the settlements downstream
experienced rapid urbanization during the 1930s to 1990s with the influx of trade
and commerce. The resulting effects are human migration, overpopulation and
pollution.

Before pollution had upset its ecology, the Pasig River is the habitat of 25 fish
varieties and 13 types of aquatic plant. As of 1997, there were only six (6) remaining,
species of fish and two (2) types of plants that can thrive in polluted waters.’

Efforts to reverse the worsening pollution and declining ecological condition
have been attempted by the government since the 1970s. These include the
following:

+ From 1972 to1983, the Pasig River Development Council was created under
Presidential Decree Nos. 274 and 281 with adequate police powers to oversee
the development program of the Pasig River, regulate and control pollution,
and administer its trust fund.

+ In 1998, the Presidential Taskforce for Pasig River Rehabilitation was created
to coordinate and prioritize the rehabilitation and development of the Pasig,
River.

* From 1999 to present, the Pasig River Rehabilitation Commission was

organized to ensure the rehabilitation of the Pasig River.

However, despite full government support and intervention, the trend for
further water quality deterioration and pollution affecting the Pasig River Basin
System emerges to be in a constant downward scale.

Recent studies conducted by the Asian Development Bank have concluded
the following as among the major challenges

‘The biggest challenge facing the Pasig River's rehabilitation is the conflict-
riddled process of relocating slum communities thriving along the riverbanks, which
have been a constant source of pollution. In fact, 65% of waste dumped into the river
comes from these households. The establishment of three to ten meter easements as
environmental preservation areas means relocating thousands of squatter
households to adequate resettlement areas and providing them with affordable
housing, livelihood opportunities and other development support.

One of the many challenges is the institutional fragmentation and the number
of agencies involved. There are about 30 different bodies involved with water and

1 Water Pollution Control - A Guide to the Use of Water Quality Management Principles, Case
Study Ill-Pasig River, Philippines, WHO/UNEP, 1997


sanitation alone. In the case of Metro Manila, 17 local governments, two private
water companies and other agencies are involved.

The problem is the river is comparably short and the drainage area is very
densely populated. Untreated sewage and industrial effluent flows into it, and with.
poor waste collection and lack of proper landfills in nearby communities, it has
basically become a garbage depot. Along the way you have 47 tributaries pumping,
in more dirty water, particularly in the informal settlement areas where suitable
sanitation facilities are often missing,

There is a need to establish a single lead government agency vested with
adequate authority and powers to implement and enforce the pertinent provisions of
all existing environmental laws, and coordinate the plans, programs and activities of
various agencies and LGUs to ensure the sustainable development of the Pasig River
System.

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

Afichn oy x

JOSE CHRISTOPHER Y, BELMONTE


Republic of the Philippines
HOUSE OF REPRESENTATIVES,
Quezon City, Metro Manila

SIXTEENTH (16) CONGRESS
Second Regular Session

HOUSE BILL NO. _ 564 1

Introduced by REP. JOSE CHRISTOPHER Y. BELMONTE

AN ACT
CREATING THE PASIG RIVER REHABILITATION AND DEVELOPMENT
AUTHORITY, PRESCRIBING ITS POWERS AND FUNCTIONS AND
APPROPRIATING FUNDS THEREFOR

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

SECTION. 1. Short Title, - This Act shall be known as the “Pasig River
Development Act.”

SEC. 2. Declaration of Principles and Policies. - It is the policy of the State to
protect and advance the right of the people to a balanced and healthful ecology in
accord with the rhythm and harmony of nations. Toward this end, the State shall
pursue a policy of sustainable economic growth in a manner consistent with the
protection, preservation and revival of the quality of our river system

Recognizing the importance and the strong influence of the Pasig River in the
socio-economic growth of the areas around it, the State shall pursue a sound,
sustainable and balanced development and utilization of the Pasig River with due
regard for environmental management and control to preserve its ecological system
and implement an integrated and coordinated approach for its sustainable
utilization and rehabilitation.

SEC. 3. Definition of Terms. - As used in this Act


a)

»)

da)

°)

)

h)

Discharge includes the act of spilling, leaking, pumping, pouring, emitting,
emptying, releasing or dumping of any material into a water body or onto
land from which it might flow or drain into the water;

Effluent refers to discharge from known sources, which is passed into a body
of water or land or wastewater flowing out of a manufacturing plant,
industrial plant and domestic household including commercial and
recreational facilities;

Effluent standard refers to any legal restriction or limitation on quantities, rates
or concentrations or any combination thereof, of physical, chemical or
biological parameters of effluent which a person or point source is allowed to
discharge into a body of water or land;

Geographic Information System (GIS) Mapping refers to computerized data
management system to capture, store, manage, retrieve, analyze, and display
spatial information in which data are geo-referenced to the coordinates of a
particular projection system which allows precise placement of features on
the earth’s surface and maintains the spatial relationships between mapped
features such as slope, soils, hydrography, bathymetry, demography,
wetlands and land use which can be combined to develop maps suitable for
regulatory and planning decisions;

Hazardous waste refers to solid waste or combination of solid waste which
because of its quantity, concentration, or physical, chemical or infectious
characteristic may cause or significantly contribute to an increased in
mortality or an increase in serious irreversible, or incapacitating reversible
illness, or pose a substantial present or potential hazard to human health or
the environment when improperly treated, stored, transported or disposed of
or otherwise manage .

Integrated Water Quality Management Framework refers to the policy guideline
integrating all the existing frameworks prepared by government agencies
which contains the water quality goals and targets, period of compliance,
water pollution control strategies and techniques, water quality information
and education program and human resources development program
including the training of local government personnel at the barangay level;

Land swapping refers to the process of land acquisition by exchanging land for
another piece of land of equal value or for shares of stock in a government or
quasi-government corporation whose book value is of equal value to the land
being exchanged, for the purpose of planned and rational development such
as provision for wastewater treatment facilities and socialized housing, where
land values are determined based on land classification, market value and
assessed value taken from existing tax declarations and wherein valuable
lands owned by private persons may be exchanged with less valuable lands;

On-site or near-site development refers to the process of upgrading and
rehabilitation of blighted and slum urban areas with a view of minimizing


displacement of dwellers in the areas and providing resettlement areas with
provisions for basic services;

i) Urban renewal areas (URAs) refers to the lands or communities beyond the
three (3) to ten (10) meter environmental preservation areas which shall be
prioritized for the provision of basic social and health services such as
improved water supply, sanitation, centralized and decentralized sewerage
and sewage catchment structures and other essential infrastructure; and

j) Water quality guidelines refers to the level for a water constituent or numerical
values of physical, chemical, biological and bacteriological or radiological
parameters which are used to classify water resources and their use, which
does not result in significant health risk and which are not intended for direct
enforcement but only for water quality management purposes such as
determining time trends, evaluating stages of deterioration, enhancement of
the ‘water quality and as basis for taking positive action in preventing,
controlling or abating water pollution as determined by the Department of
Environment and Natural Resources (DENR)

SEC. 4, Pasig River Rehabilitation and Development Authority. - There shall
be created under the Office of the President, an independent regulatory body
possessing corporate attributes with quasi-judicial and quasi-legislative powers to be
known as the Pasig River Rehabilitation and Development Authority, hereinafter
referred to as the Authority. The Authority shall be the primary government agency
that shall coordinate, plan, manage and implement the development programs and
resource utilization in the Pasig River Basin System. The Authority shall execute the
powers and functions vested and conferred by this Act. :

‘The Pasig, River Basin System consists of all barangays located along the 27-
kilometer river which traverses the cities of Manila, Makati, Mandaluyong, Pasig,
Taguig and the municipality of Taytay in the Province of Rizal and all barangays
located in its 47 tributaries including esteros and waterways located in the local
government units of Manila, Makati, Mandaluyong, Pasig, Taguig, Quezon City, San
Juan, Marikina, Pasay, Taytay and Pateros that drains to or branches out from the
Pasig, River and the industrial, commercial, business, residential, recreational and
other private and public areas contiguous to the environmental preservation areas.

For purposes of this Act, environmental preservation areas refer to areas
consisting of the ten (10) meters wide land along approximately twenty-seven (27)
kilometers of both banks of the Pasig River and the three (3) meters wide strip of
land along all its 47 tributaries which are essential for the ecological preservation of
the Pasig River, to provide a buffer zone between the river and resident population
to ensure public safety and provide access for environmental management.

SEC. 5. General Policies. - In the exercise of its powers and duties, the
Authority shall be guided by the following policies:


a)

)

d)

8)

h)

The rehabilitation and sustainable development of the Pasig River Basin
System in order to transform its environs into a showcase of a new quality of
urban life;

The preparation, development and implementation of a comprehensive and
detailed twenty-five (25) year Pasig River Rehabilitation Roadmap and
Master Plan based on the framework of sustainable water management in
consultation and coordination with the Local Government Units (LGUs),
DENR, Department of Interior and Local Government (DILG), Department of
Transportation and Communication (DOTC), Metro Manila Development
Authority (MMDA), Metropolitan Waterworks and Sewerage System
(MWSS) and other appropriate government agencies and stakeholders;

Consistent with the 25-year Pasig River Rehabilitation Roadmap and Master
Plan, the implementation of short and medium-term programs, activities and
projects to attain the objectives of this Act shall be prioritized, which is,
among others, to transform and upgrade the water quality of the Pasig River
Basin System into Class “C” preferably before the end of the 25-year duration

of this Act;

The strengthened participation and role of the LGUs specifically the
barangays in the implementation and enforcement of existing environmental
laws such as Republic Act No. 9275, otherwise known as the “Clean Water Act
of 2004,” and Republic Act No. 9003, otherwise known as the “Ecological Solid
Waste Management Act of 2000,” to revive the Pasig River from being
considered biologically-dead;

The encouraged participation of the private sector and civil society
organizations in transforming the Pasig River Basin System into a conducive
environment for recreation, business and other productive uses, and attract
private sector-driven and cleaner technology-based investments in ecosystem.
development;

The planning, programming, social preparation and adjustment, reldcation or
resettlement of the population from the declared environmental preservation
areas (EPAs) of the Pasig River Basin System, in coordination with
appropriate government agencies and LGUs, and to ensure that relocation
and resettlement areas have permanent access to adequate basic social
services and livelihood opportunities;

Clearing and dismantling illegal structures and obstructions in order to
recdver government easement or right-of-way for the EPAs located along the
banks of the Pasig River and its 47 tributaries, and the titling of the same in
the name of the Republic of the Philippines; and,

Massive information and education campaign to amplify stakeholder
awareness and voluntary participation on the importance of environmental
restoration, rehabilitation, protection and conservation of the Pasig, River


Basin System in close coordination with LGUs and other government
agencies.

SEC. 6, Powers and Functions. - The Authority shall exercise the following

powers and functions:

a)

b)

d)

Work closely with the MMDA and MWSS and its concessionaries to ensure
the provision for adequate, dependable and reliable wastewater treatment
facilities and sewerage systems in all their authorized service areas,
particularly, in the unserved and under-served communities, barangays or
urban renewal areas (URAs) within the Pasig River Basin System;

Periodically conduct comprehensive scientific surveys, studies, field
sampling and laboratory testing, and GIS-mapping of the Pasig River Basin
System, in coordination with the Department of Science and Technology
(DOST), DENR-Environmental Management Bureau (EMB), National
Mapping and Resource Information Authority (NAMRIA) and MMDA to
monitor, evaluate, update and analyze among others, the physical, biological,
chemical, hydrologic, bathymetric and hydrographic characteristics including
socio-economic profile of the stakeholders, trade and industrial and
commercial profile, status of the national government agency and LGU
programs and: projects, biometric tagging and identification of ‘informal
settlers, parcellary land use and zoning aspects, mapping of critical effluent
discharge areas, transportation and navigation attributes, historical and
tourism elements, and its interphase and relationships on Integrated Water
Quality Management Framework with the Tullahan River, Laguna Lake,
Manila Bay and other nearby bodies of water;

Engage the services of the private sector through the Public-Private
Partnership (PPP) process or through the Built Operate and Transfer (BOT)
Scheme under Republic Act No. 6957, entitled “An Act Authorizing the
Financing Construction, Operation and Maintenance of Infrastructure Project by the
Private Sector, and For Other Purposes,” or other acceptable forms of
partnership and agreements in establishing its own water quality laboratory,
environmental, biological and microbiological laboratory, GIS-mapping
system, surveillance, monitoring and enforcement system through high-
definition closed circuit televisions or other surveillance and monitoring
technologies and new technologies on highly-specialized fields including
sewerage and sewage treatment systems which require the expertise and
investment of the private sector;

Engage in land swapping in securing relocation and resettlement areas, and
in sludge or contaminated sediment disposal and treatment sites whenever
necessary, whether by itself or in cooperation with private persons or entities
and enter into other acceptable exchange agreements related to social and
ecological development projects;

Engage in experimental community-based _ integrated wastewater
mariagement technologies and strategies including the collection and disposal


h)

k)

»

system, sewage and septage treatment, collection and disposal of floating
garbage, solid waste by-products, sludge or contaminated sediments;

Conduct, in coordination with the LGUs, the Presidential Commission for the
Urban Poor, National Housing Authority (NHA), MMDA and DILG,
consultation and social preparation and arrange provision for low cost
housing to qualified informal settler families located along the Pasig River
Basin System prior to relocation and settlement with the exception of known
professional squatters;

Identify, secure and possess near-site or on-site development areas for low-
cost and socialized mass housing of qualified informal settler families;

Clear and dismantle all illegal structures, in coordination with the local
government units, MMDA, DILG and Philippine National Police (PNP), and
ensure that the easements provided for in this Act, and other related laws are
enforced, especially in all the esteros and waterways that drain into and
branch-out of the Pasig River;

Formulate and implement the comprehensive Pasig, River Rehabilitation
Roadmap and Master Plan;

Review all plans, projects and programs on the Pasig River Basin System and
the expansions thereto including those submitted by LGUs, public
corporations, public utility franchisees, concessionaires, private persons or
corporations that relate to the development of the Pasig River Basin System to
ensure that they conform to the environmental standards prescribed by the
Authority and other environmental laws;

Implement infrastructure projects such as flood control, solid waste
management, wastewater and sewerage, water supply, access roads, acc
ports, housing, leisure parks and related works within the context of its
development master plan including the readjustment, relocation or
resettlement of population within the Pasig River Basin System that may be
deemed necessary and beneficial in pursuit of its mandate. In case any of
these projects is financed wholly or in part by the Authority, it shall have
authority to collect fees and tolls from users or beneficiaries to recover costs of
construction and maintenance of the projects. Infrastructure projects which
are in the nature of social overhead capital projects shall be entitled to receive
the corresponding financial assistance from the government;

Implement, in coordination with the Philippine Reclamation Authority and
the LGUs, dredging or reclamation projects;

m) Conduct, in close coordination with the DENR, DOST, the academe and other

private and public research institutions, continuing research and
development programs on water quality management technologies,
integrated water resource management models and techniques, and


0)

p)

®

appropriate wastewater technologies, with the end view of promoting
sustainable development;

Without prejudice to existing environmental laws, establish and enforce anti-
pollution standards and water quality guidelines on domestic, municipal,
commercial and industrial wastewater and effluents being discharged into the
river system;

‘Adopt rules and regulations governing the approval of sewage works and
industrial waste treatment and disposal systems and the issuance of
clearances or permits in accordance with the provisions of this Act and
inspect the construction and maintenance of sewerage works and industrial
waste treatment and disposal systems in compliance with clearance or permit
conditions;

Require all projects or activities affecting the Pasig River Basin System to
secure Environmental Compliance Certificates (ECCs) required under
Presidential Decree No. 1586 and grant clearances and permits for projects
and activities within or affecting the Pasig River Basin System including
industrial and commercial activities, recreation and tourism, navigation,
housing and other forms of land developments, construction and operation
and impose necessary safeguards, management and control of wastewater
and collect necessary fees for such activities and projects;

Issue, renew or cancel permits subject to reasonable guidelines for the
discharge of sewage, septage, industrial waste and installation or operation of
sewerage works and industrial disposal systems or parts thereof, for the
prevention and abatement of pollution;

Require subdivisions, condominiums, clinical and medical establishments,
mortuaries, car and motor repair shops, private and public markets, abattoirs,
private and public buildings and other similar human settlements within the
Pasig, River Basin System to construct and provide appropriate individual and
decentralized wastewater and sanitary treatment plants, or centralized
sewerage systems and sewage treatment facilities. The Authority shall
impose reasonable fees and other similar charges for the issuance of renewal
of all the required permits;

Impose annual fees or levies in the form of local tax on all industrial and
commercial users of the Pasig River and its tributaries as well as the esteros
branching from and draining into the Pasig River;

Issue, after due notice and hearing, orders or decisions to compel compliance
with the provisions of this Act and its implementing rules and regulations;

Issue, alter or modify, after due notice and hearing, orders decisions
requiring the discontinuance of pollution specifying the conditions and the
time within which such discontinuance must be accomplished;


s)

Revoke, suspend or modify, after due notice and hearing, any clearance or
instrumentalities for the purpose of enforcing the provisions of this Act and
its implementing rules and regulations;

w) Deputize or request the assistance of appropriate government agencies or

instrumentalities for the purpose of enforcing the provisions of this Act and
its implementing rules and regulations and the orders and decisions of the
Authority;

Enter, inspect or investigate at all reasonable times any public and private
property devoted to commercial and industrial use within the Pasig, River
Basin System, on any matter relating to pollution and existing or imminent
environmental hazard and danger;

Fix, impose, collect, periodically review and adjust reasonable fees and other
related charges for services rendered in the performance of its mandate; and

Exercise powers and perform other functions as may be necessary to carry
out its duties and responsibilities under this Act.

SEC. 7. Corporate Powers, - The Authority shall exercise the following

corporate powers:

a)
b)
°)
d)
e)

)

8)

hy

Succeed on its corporate name;

Sue and be sued in its corporate name;
Adopt, alter and use a corporate seal;
Adopt, amend or repeal its by-laws;

Enter into, make, perform and carry out contracts of any class, kind and
description with any person, firm or corporation, private or public and with
foreign government entities which are necessary or incidental to the
realization of its purpose;

Acquire, buy, purchase, hold or lease, such personal and real property as it
deems necessary or convenient in the transaction of its business or to lease,
mortgage, sell, alienate or otherwise encumber, utilize, exploit or dispose of
any such personal and real property held by it, subject to prior or existing
individual or communal right of private parties or of the government or any
agency or enterprise thereof, No real property shall be sold without the
approval of the President of the Philippines;

Receive and utilize donations, grants, bequeaths and assistance of all kinds
from local and foreign governments and private sectors;

Exercise the right of eminent domain whenever the Authority deems it
necessary to carry out the objectives under this Act;


i) Borrow funds from any local or foreign sources independent of the bonds it
may issue to carry out the purposes of this Act;

j) Purchase, hold, alienate, mortgage, pledge or otherwise dispose of the shares
of the capital stock of or any bond, securities or other evidence of
indebtedness created by any other corporation, co-partnership or government
agencies or instrumentalities. The Authority shall not invest its funds in any
high risk instruments or in any highly speculative stocks issued without
recourse to commercial banks or investment houses;

k) Perform any acts which a corporation or a juridical person is authorized to
perform under the existing laws;

1) Provide incentives to encourage the private sector to fully subscribe to its
shares of stock; and,

m) Issue such other rules and regulations as may be deemed necessary to carry
out the purposes of this Act.

SEC. 8. Board of Directors. - The corporate powers of the Authority shall be
vested in and exercised by a Board of Directors, hereinafter referred to as the Board,
which shall be composed of the following

a) General Manager of the Authority, as Chairperson;
b) Chairperson of the MMDA, as ex-officio Vice-Chairperson;
©) Secretary of the DENR, as ex-officio member;

d) Secretary of the DILG, as

'x-officio member;

n; and

e) A representative of LGUs located along the Pasig River Bas

£) Two (2) representatives from the private sector who are shareholders or
stakeholders in the Pasig River, as members.

The ex-officio members of the Board may designate the officer next in rank as a
permanent alternate representative to the Board.

The appointment and qualification of the members of the Board shall be in
accordance with the provisions of Republic Act No. 10149, otherwise known as the
“GOCC Governance Act of 2011.” The Governance Commission for Government-
Owned or -Controlled Corporations shall give utmost consideration to the nominees
recommended by the General Manager. The General Manager shall recommend at
least three (3) names for every vacant position.

SEC. 9. Powers and Functions. - The Board shall exercise the following
powers and functions


a) Provide a comprehensive policy guidance for the rehabilitation and
development of the Pasig River Basin System;

b) Prescribe and promulgate policies, rules and regulations to govern the
conduct of business of the Authority and ensure that the Authority performs
its functions in a proper, efficient and effective manner;

©) Decide the objectives, strategies and policies of the Authority in accordance
with the provisions of this Act;

d) Exercise appellate powers on the decision of the General Manager;

©) Issue subpoena ad testificandum or subpoena duces tecum requiring the
attendance and testimony of witnesses in any matter or inquiry pending
before the Board and require the production of books, papers, contracts,
agreements and all other documents;

f) Exercise appellate powers to order the taking of depositions at any stage of
any proceeding or investigation pending before the Board;

8) Approve the organizational and administrative structures and the
corresponding staffing pattern of the Authority; fix their reasonable
compensation, allowances and other benefits in accordance with the Salary
Standardization Law; prescribe their duties and establish such methods and
procedures as may be necessary to ensure the efficient, honest and economical
administration of the provisions and purposes of this Act: Provided, That all
personnel of the Authority below the rank of the General Manager shall be
appointed by the Chairperson of the Board: Provided, further, That the
personnel appointed by the General manager, except those below the rank of
department heads, and others of comparable rank, shall be subject to the
confirmation by the Board: Provided, finally, That the personnel of the
Authority shall be selected only from those with civil service eligibility and
shall be subject to civil service laws, rules and regulations;

h) Approve the annual and supplemental budgets of the Authority and
authorize each operating and capital expenditures and disbursements as may
be necessary for the effective management, operation and administration of
the Authority;

i) Create and organize ad-hoc technical working groups composed of
representatives from the government and other stakeholders to assist the
Board; and

j) Perform such other functions as may be necessary to carry out the provisions
of this Act.

SEC. 10. Quorum, - The presence of at least four (4) members of the Board
shall constitute a quorum and the majority vote of three (3) members in a meeting

10


where a quorum is present shall be necessary for the adoption of any rule, ruling,
order, resolution, decision or other act of the Board in the exercise of its functions.

SEC. 11. Board Meetings, - The Board shall meet regularly once a month and
may hold special meetings to consider urgent matters upon the call of the
Chairperson or upon the initiative of four (4) members. The rules and procedures in
the conduct of Board meetings shall be prescribed by the Board.

SEC. 12. Per Diems. - The members of the Board shall receive a per dient for
cach meeting actually attended. The per diems of the members of the Board shall be
determined by the Board in accordance with the existing rules and regulations.

SEC. 13. General Manager. ~ The Authority shall be headed by a General
Manager who shall be the Chief Executive Officer and shall exercise the following
powers and functions:

a) Submit for consideration of the Board, the policies and measures that are
necessary to carry out the purposes and objectives of this Act;

b) Head and administer the Pasig River Basin Adjudication Panel as the
implementing arm for the quasi-judicial powers of the Authority;

Execute, administer and implement the policies, plans, programs and projects
approved by the Board;

d) Manage and supervise the operation and administration of the Authority;
©) Appoint all officials and employees of the Authority below the rank of the
Executive Director and remove, suspend or otherwise discipline the same for

cause, in accordance with existing civil service laws, rules and regulations;

f) Submit quarterly reports to the Board on personnel selection, placement and
training;

g) Render an annual report to the Board and various stakeholders regarding the
operation of the Authority including its latest financial statements;

h) Represent the Authority in all its dealings with offices, agencies, and
instrumentalities of the government and with all persons and other entities,
public or private, domestic and foreign; and

i) Perform such other functions as may be provided in the by-laws and as may
be vested by the Board.

SEC. 14. Qualifications. - The General Manager must be:
a) A Filipino citizen;

b)’ At least thirty-five (35) years of age;

1


©) With good moral character, unquestionable integrity, recognized
competence; and,

d) A degree holder with at least five (5) years supervisory or management
experience in the field of public administration, economic planning,
environmental planning and natural resource management, or in the
establishment and management of large agricultural, commercial or industrial
enterprises or other related fields,

SEC. 15. Term of Office. - The General Manager shall be appointed by the
President of the Philippines and shall have a term of six (6) years which may be
extended for another non-extendible term of two (2) years. The General Manager
shall only be removed for cause in accordance with the rules and regulations
prescribed by the Civil Service Commission.

SEC. 16. Compensation. - The General Manager shall be vested with the
rights, privileges, disqualification and prohibitions of a cabinet member and shall
have a rank of a Cabinet Secretary

SEC. 17, Management Structure. - In carrying out the activities of the
Authority, the General Manager shall be assisted by an Assistant General Manager
and four (4) Directors, one (1) for Legal Services, one (1) for Technical Services, one
(1) for Administration and Finance Services, and one (1) for Social Development and
Advocacy, who shall have such powers, duties and functions as the General
Manager may prescribe or delegate. The Deputy General Manager shall act as the
General Manager in the absence or during the temporary incapacity of the General
Manager or until such time as a new General Manager is duly appointed.

‘The Authority shall have the following departments under the direct
supervision and control of the General Manager:

a) Enforcement and Legal Service Department which shall provide legal
advice and support to all the corporate units on legal implications of the various
undertakings of the Authority. It shall also provide professional assistance in the
implementation of the quasi-judicial and regulatory functions of the Authority,
which includes enforcement of environmental protection, proper procedures on
investigation, litigation, adjudication and voluntary arbitration. This department
shall oversee and manage the operations of barangay waterways water quality
surveillance, monitoring and enforcement units.

b) Administrative and Finance Department which shall be responsible for
providing services related to administrative support services such as consolidation
of major final output, preparation of personnel evaluation system, human resource
management, revenue planning, generation and enhancement, budget and financial
matters, records management, safekeeping of financial assets, and general services.

°) Technical and Environmental Management Services Department which shall

serve as the main regulatory and technical arm of the authority and shall oversee the
integration of the functions on river basin management and development, including

12


the management and operations of the GIS-Mapping unit and laboratories. This
department shall also be responsible for providing scientific studies, technical policy
planning, research and development, and technology management services:

d) Social Development and Advocacy Department which shall be responsible
for resettlement and relocation of informal settlers including their social preparation.
It shall also be responsible for dissemination of information and educational
campaign.

SEC. 18. Power to Administer Oaths. - The members of the Board, the
General Manager and other duly designated officers of the Authority, shall have the
authority to administer oaths in the transaction and performance of their official
duties.

SEC. 19. Advisory Council. - There shall be constituted an Advisory Council
for the rehabilitation and development of the Pasig River which shall serve as the
main institutional linkage with the national government to provide binding and
informed guidance on the strategic policies and direction of the Authority. The
Advisory Council shall be headed by the Executive Secretary and shall have the
following, members:

a) Secretary of Environment and Natural Resources;

b) Secretary of Budget and Management;

©) Chairperson of the Housing and Urban Development Coordinating Council
(HUDCC);

d) Secretary of the Public Works and Highways;
e) Secetary of Finance;

f) Secretary of Justice;

g) Secretary of Tourism; and,

h) Secretary of Transportation and Communications.

The Advisory Council shall advise the General Manager in the exercise and
functions of the Authority and in the formulation of policies for the effective
implementation of this Act. It shall convene at least twice a year to ensure that the
plans and programs of the Authority are aligned with the priorities of the President
and objectives of this Act.

The Board shall be present in all of the meetings of the Advisory Council.

The members of the Advisory Council shall receive a per diem for each
meeting actually attended. The per diems of the members of the Advisory Council
shall be determined by the Board in accordance with the existing, guidelines of the
Commission on Audit.

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SEC, 20. Consultative Assembly. - There shall be established a consultative
assembly which shall serve as venue for public consultations and participation by
stakeholders and presentation of the Authority's plans and programs or
modification, amendment or revision of rules and regulations prior to its adoption or
implementation within its jurisdiction. The consultative assembly shall be composed
of the following:

a) Mayors of the cities and municipalities comprising the Pasig River Basin
System such as Manila, Makati, Mandaluyong, Pasig, Taguig, Quezon City,
San Juan, Marikina, Taytay, Pasay and Pateros; ,

b) The Chairpersons of all barangays comprising the Pasig River Basin System;
©) Owners, proprietors and authorized operators of all major private,

commercial or industrial business establishments located in all barangays
comprising the Pasig River Basin System; and

d) Representatives of the homeowners associations, civil society organizations

and peoples’ organizations in the Pasig River Basin System

The Authority shall convene an annual year-end general assembly to report
and present its financial and fiscal status and updates on its plans, programs and
projects to its stakeholders and to the public. The required logistical support, such as
food and transportation allowances shall be provided to the members of the
Advisory Council, the Board and the consultative assembly during the meeting at
the expense of the Authority subject to government accounting and auditing
procedures.

SEC. 21. Additional Offices. - The Board may create additional offices it may
deem necessary for the effective implementation of this Act not later than six (6)
months from the date of the effectivity of this Act.

SEC, 22, Enforcement Powers. - The Authority shall have enforcement power
within the Pasig River Basin System to carry out the functions and attain the
purposes and objectives declared under this Act. The grant of such powers shall be
in conformity with the functions exclusively provided by law to be exercised by the
Philippine, National Police and other government agencies. The Authority may
request the assistance of other law enforcement agencies, including request for
deputation as may be required. Such enforcement power shall be exercised in
connection with the operations of barangay waterways water quality surveillance,
monitoring and enforcement units, and implementation of rules and regulations
promulgated by the Board pursuant to the authority granted under this Act.

SEC. 23. Power to Investigate Violations. - The General Manager, willingly
or at the instance of a private person or the Board, may conduct investigations based
on the procedures that the Board may prescribe in accordance with the provisions of
the Rules of Court serving as supplemental guidelines.

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SEC. 24. Cease and Desist Order. - The General Manager, after due
investigation, may issue a cease and desist order to immediately halt any practice
found to be in violation of the provisions of this Act. Such order shall be without
prejudice to the civil or criminal prosecution of persons under the existing laws.

SEC. 25. Pasig River Adjudication Panel. ~ To carry out effectively the quasi-
judicial powers of the Authority, there shall be created a Pasig River Basin
‘Adjudication Panel, hereinafter referred to as the Adjudication Panel. The
Adjudication Panel shall be composed of the General Manager as the Head, one (1)
ex-officio board Member and one (1) board member from the private sector,

The Adjudication Panel shall have the following powers and functions:

a) Issue preliminary or permanent injunctions whether prohibitory or
mandatory, in all cases in which it has jurisdiction;

b) Issue subpoena and subpoena duces tecum and to summon witnesses to
appear in any proceedings of the Adjudication Panel, and administer oaths
and affirmations;

c) Punish for contempt, both direct and indirect, in accordance with the
pertinent provisions of and the penalties prescribed by the Rules of Court;

d) Conduct investigations and hearings on the complaints for violation of the
environmental laws and of this Act, issue show cause orders, decisions or
ruling and impose fines and penalties for such violations;

e) Issue notices of violations or non-compliance, cease and desist orders and
other related orders necessary for the enforcement of existing environmental
laws and rules and regulations of this Act;

The Adjudication Panel is mandated to take cognizance and adjudicate
violations of this Act, Any decision, order or resolution shall be concurred in by the
majority members of the panel and duly signed by the General Manager. The
decision, order, or resolution of the Adjudication Panel may be appealed to the
Board within fifteen (15) days from receipt of the decision, order or resolution. The
decision of the Board may be further appealed to any court of competent jurisdiction
in accordance with the provisions of the Rules of Court.

SEC. 26. Prohibited Acts. - The following acts are prohibited:

a) Discharging, depositing or causing to be deposited matter of any kind directly
or indirectly along the margins or the water of the Pasig River, where the
same shall be liable to be washed into surface water either by the tide, storm,
floods or other occurrences which cause water pollution or impede the
natural flow of the Pasig River;

b) Discharging, injecting or allowing to seep into the soil or sub-soil any

substance in any form that would pollute the Pasig River groundwater. In the
case of geothermal projects, subject to the approval of the Authority, the

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f)

8)

h)

i)
k)
)

regulated discharge for short-term activities such as well testing, flushing,
commissioning, venting and deep re-injection of geothermal liquids may be
allowed: Provided, That safety measures are adopted to prevent the
contamination of the groundwater;

Operating facilities and discharging, regulated water pollutants without the
valid required permits or under a revoked permit in violation of any
condition imposed by the Authority;

Disposal of potentially infectious medical waste into the Pasig River and its 47
tributaries;

Unauthorized transport or dumping of sewage sludge, solid waste, or
commercial, industrial and institutional waste into the Pasig River and its 47
tributaries and waterways;

Transporting, dumping or discharging of prohibited chemicals, toxic
substances, hazardous and nuclear waste into the Pasig River;

Operating facilities that discharge or allow to seep, willfully or through gross
negligence, prohibited chemicals, toxic, hazardous and nuclear waste, or
pollutants into the waterways wherein the same shall be washed into the
surface and ground water of the Pasig River;

Undertaking activities, development and expansion projects or Operating
wastewater and sewerage facilities in violation of Environmental Impact
Statement System established under Presidential Decree No. 1586 and its
implementing rules and regulations;

Discharging regulated water pollutants without the valid required discharge
permit pursuant to this Act or after the permit was revoked for any violation
of the condition therein;

Refusal to allow entry, inspection and monitoring by the Authority;

Refusal to allow access by the Authority to relevant reports and records;

Refusal or failure to submit reports whenever required by the Authority;

m) Refusal or failure to designate pollution control officers whenever required by

n)

the Authority in accordance with this Act; and

Directly using booster pumps in the distribution system or tampering, with
the water supply in such a way as to alter or impair the quality of water.

SEC. 27. Penal Clause. - Any person who commits any of the prohibited acts

mentioned in Section 26 hereof or any rule and regulation promulgated pursuant
thereto shall be punished by imprisonment of not less than (1) year but not more
than three (3) years or a fine of not less than Ten thousand pesos (P10,000.00) but not
more than Fifty Thousand Pesos (P50,000.00), or both

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If the offender is a corporation or a juridical person the officers thereof who
have knowingly participated in the violation shall be held liable,

SEC. 28. Incentives. - The Authority may provide incentives to the industries
and commercial enterprises that undertake necessary measures to abate pollution
within the Pasig River Basin System and to the government agencies involved in the
construction of parks, river control structures, revetments along the river banks,
anti-pollution devices, contraptions, appurtenances, bio-remediation and
containment systems, cleaner technology systems for wastewater treatment and
sewerage facilities and solid-waste and garbage disposal systems and other related
equipment.

Investment incentives shall be provided by the Authority to the industries,
organizations and persons whose activities will enhance the utilization of the Pasig
River and its environs such as clean-up operations, dredging and sediment removal
or de-siltation projects, recreation, tourism and other programs that will revive,
improve and enhance the ecological system of the Pasig River Basin System.

SEC, 29, Annual Fees. - The Authority shall be authorized to collect annual
fees from private business establishments, individual or corporation, including,
residential establishments such as townhouses, apartments, hotels, condominiums,
condotels, medical hospitals and wet markets, both private and public, whose
wastewater disposal facilities are connected to the sewerage system located within
the Pasig River Basin System or which wastewater eventually drains or seeps to the
Pasig River. The fees collected shall only be used for rehabilitation and sustainable
development of the Pasig River Basin System.

SEC. 30. Fiscal Autonomy, - The Authority shall enjoy fiscal autonomy, All
funds earned by the Authority from the collection or levy or from all fees, charges,
dues, assessments and fines collected pursuant to this Act shall be used solely to
fund its operations. The utilization of funds shall be subject to the examination of
the Congressional Oversight Committee.

SEC. 31. Capitalizations and Financing. - The Authority shall have an
authorized capital of Eight hundred million pesos (P800,000,000,00). The authorized
capital shall be divided into eight million (8,000,000) shares of stock with a par value
of One hundred pesos (P100.00) per share. The National Government shall subscribe
to four million six hundred thousand (4,600,000) shares while the one million one
hundred thousand (1,100,000) shares shall be subscribed by the local government
units of Manila, Makati, Mandaluyong, Pasig, Taguig, Quezon City, San Juan,
Marikina, Pasay, Taytay and Pateros at one hundred thousand (100,000) shares each.
The balance of two million three hundred thousand (2,300,000) shares shall be open
for subscription to private individuals or corporations within the Pasig River Basin
System. The shares of stock shalll be divided into five million six hundred thousand
(6,600,000) ordinary voting shares and two million four hundred thousand
(2,400,000) non-voting preferred shares

SEC. 32. Funding. - The amount necessary to subscribe and pay for the
remaining shares of the National Government to the capital stock of the Authority

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shall be included in the annual General Appropriations Act. For LGUs, the funds for
subscription shall be taken from their Internal Revenue Allotment and other local
funds.

SEC. 33. Exemption from Taxes, Customs and Tariff Duties. - The
importation of equipment, machineries, spare parts, accessories and other materials
including supplies and services which are used solely and exclusively for the
operations of the Authority and are not available locally shall be exempt from all
direct and'indirect taxes, wharfage fees and other charges. All obligations entered
into by the Authority and any income derived therefrom, including those contracted
with private international banking and financial institutions shall be exempt from all
taxes including the principal and the interest. The Authority is also exempt from the
payment of capital gains tax, documentary stamp tax, real property estate tax and all
other local government taxes and fees,

SEC. 34, Auditor, - The Chairperson of the Commission on Audit (COA)
shall be the ex-officio Auditor of the Authority. For this purpose, the Chairperson
may appoint a representative and the necessary personnel who shall audit the
Authority.

All accounts and expenses of the Authority shall be audited by the
Commission on Audit or its duly authorized representative.

SEC. 35. Transitory Provision. - The Pasig River Rehabilitation Commission
(PRRC) is hereby dissolved upon the effectivity of this Act. All assets, liabilities, and
projects of the PRRC shall automatically be transferred to the Pasig River
Rehabilitation and Development Authority

The officers and employees of the PRRC shall continue in a holdover capacity
until such time as the new officers and employees of the Authority shall have been
duly appointed pursuant to the provisions of this Act. All qualified regular or
permanent employee who may be transferred to the Authority shall not suffer any
loss in seniority or rank or decrease in emoluments, Any employee who cannot be
absorbed by the Authority shall be entitled to a separation pay under existing
retirement laws.

Qualified existing personnel of the Pasig River Rehabilitation Commission
shall be given preference in the filling up of plantilla positions created in the
Authority, subject to existing civil service rules and regulations. .

SEC. 36. Joint Congressional Oversight Committee. - There is hereby created
a Joint Congressional Oversight Committee to monitor the implementation of this
‘Act and to review the implementing rules and regulations promulgated by the
‘Authority. The Committee shall be composed of five (5) Senators and five (6)
Representatives to be appointed by the Senate President and the Speaker of the
House of Representatives, respectively. The Oversight Committee shall be co-
chaired by’ the Chairpersons of the Committee on Environment of the Seniate and the
Committee on Ecology of the House of Representatives.

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SEC. 37, Implementing Rules and Regulations, - Within ninety (90) days
from the approval of this Act, The Board of Directors of the Authority shall issue the
necessary rules and regulations for the effective implementation of this Act. The
implementing rules and regulations shall be published in the Official Gazette or in a
newspaper of general circulation.

SEC. 38. Repealing Clause. - Presidential Decree No. 274 issued on
November 18, 1973 pertaining to the preservation, beautification, improvement and
gainful utilization of the Pasig River, and Executive Order No. 54 issued on January
6, 1999, creating the Pasig River Rehabilitation Commission, are hereby repealed. All
other laws, decrees, orders, rules and regulations or parts thereof, which are
inconsistent with the provisions of this Act are hereby modified accordingly.

SEC. 39. Separability Clause. - If any provision of this Act is declared
unconstitutional or invalid, the other provisions not otherwise affected shall remain
in full force and effect.

SEC. 40, Effectivity. - This Act shall take effect fifteen (15) days after its
publication in the Official Gazette or in a newspaper of general circulation.

Approved,

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