25 NOV 2014

Republic of the Philippines (7% fy
HOUSE OF REPRESENTATIVES
Quezon City

SIXTEENTH CONGRESS
Second Regular Session

HOUSE BILL NO. 5226

Introduced by REPS. FELICIANO BELMONTE, JR.,
NEPTALI M. GONZALES II and MARCELINO R. TEODORO

EXPLANATORY NOTE

This bill seeks the renewal of the legislative franchise granted to
CHRISTIAN ERA BROADCASTING SERVICE INTERNATIONAL,
INCORPORATED or CEBSI, Inc. (formerly, Christian Era Broadcasting
Service, Incorporated) under Republic Act No. 7618 which was approved on
June 25, 1992.

The renewal or extension of its legislative franchise ensures the
continuity of CEBSI, Inc.’s thrust of promoting values-oriented and inspiring
programs in radio and television and as such, needs to be supported.
CEBSI, Inc.’s operations benefit the public in terms of awareness, both in
secular and non-secular information, which rejuvenate and uplift their
morals and spiritual lives.

CEBSI, Inc., as one of forerunners in broadcasting religious programs
in the country, has been faithful to its mandate in delivering useful
information to the society it caters through its expanding broadcast coverage
nationwide. Understanding its social obligation, CEBSI, Inc., in its almost
twenty-five (25) years of public service, continuously pursues to produce
religious yet wholesome programs that are parallel to Filipino’s culture of
religiosity, volunteerism, unity, and solidarity of the family. As a values-
oriented broadcast entity, CEBSI, Inc., through its television and radio
programs, encourages and inspires members of society to foster a Christian
way of life and to become virtuous citizens of the nation. This
endeavor has been proven to be helpful in invigorating the spirit of the
Filipino people especially in this present time of calamities and economic
crisis.

In line with the state policy of recognizing the vital role of
communication and information in nation-building and in view of CEBSI,
Inc.’s meritorious public service, a grant for an extension of another twenty-
five (25) years of legislative franchise in favor of CEBSI, Inc. is warranted.


‘The passage, therefore, of this bill is earnestly sought.

Ahr Tren ©
REP. MARCELINO R. TEODORO REP. NEPTALI M. GONZALES II

Representative Representathye
1* District, Marikina City Lone District-

landaluyong City

Bich
REP, FELICIANO BELMONTE, JR.

Representative
4% District, Quezon City



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SIXTEENTH CONGRESS
Second Regular Session

HOUSE BILL No. _9226

Introduced by REPS, FELICIANO BELMONTE, JR.,
NEPTALI M. GONZALES II and MARCELINO R. TEODORO

AN ACT
RENEWING THE FRANCHISE GRANTED TO CHRISTIAN ERA
BROADCASTING SERVICE INTERNATIONAL, INCORPORATED FOR
ANOTHER TWENTY-FIVE (25) YEARS, AMENDING FOR THE PURPOSE
REPUBLIC ACT NO. 7618

Be it enacted by the Senate and House of Representatives of the Philippines in
Congress assembled:
SECTION 1. Section 1 of Republic Act No, 7618 is amended to read as

follows:

“SECTION 1. NATURE AND SCOPE OF FRANCHISE. - SUBJECT TO
THE PROVISIONS OF THE 1987 PHILIPPINE CONSTITUTION AND
APPLICABLE LAWS, RULES, AND REGULATIONS, THE FRANCHISE
GRANTED TO CHRISTIAN ERA BROADCASTING SERVICE
INTERNATIONAL, INCORPORATED HEREUNDER REFERRED TO AS
GRANTEE, AND/OR ITS SUCESSORS AND ASSIGNS TO CONSTRUCT,
INSTALL, ESTABLISH, OPERATE AND MAINTAIN FOR RELIGIOUS,
NONCOMMERCIAL AND NONPROFIT PURPOSES AND IN THE PUBLIC
INTEREST, RADIO AND/OR TELEVISION BROADCASTING STATIONS IN
THE PHILIPPINES, WHERE FREQUENCIES AND/OR CHANNELS ARE STILL
AVAILABLE OR ARE ASSIGNED FOR RADIO AND/OR TELEVISION
BROADCASTING, INCLUDING DIGITAL, TELEVISION AND/OR RADIO
SYSTEMS, THROUGH MICROWAVE, SATELLITE, OR THE USE OF ANY
NEW TECHNOLOGIES IN TELEVISION AND RADIO SYSTEMS, WITH THE


CORRESPONDING TECHNOLOGICAL AUXILIARIES AND/OR FACILITIES,
SPECIAL BROADCAST, AND OTHER PROGRAM AND DISTRIBUTION
SERVICES AND RELAY STATIONS, IS HEREBY RENEWED FOR ANOTHER
TWENTY-FIVE (25) YEARS FROM JULY 1, 2017.”

SEC. 2. Manner of Operation of Stations of 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 right to use its selected
wavelengths or frequencies and the 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 operation
of its stations and 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.

SEC. 4. Responsibility to the Public. - The grantee shall provide
adequate public service time to enable the government, through the said
broadcasting stations or facilities, to reach the population on important
public issues; provide at all times sound and balanced programming; assist
in the functions of public information and education; conform to the ethics
of honest enterprise; and not use its stations and facilities for the
broadcasting of obscene and indecent language, speech, act or scene; or for
the dissemination of deliberately false information or willful
misrepresentation, to the detriment of the public interest, or to incite,

encourage, or assist in subversive or treasonable acts.


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SEC. 5. Right of Government. - 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 they shall be so operated.

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 and may be withdrawn anytime after due process.

SEC. 6. Term of Franchise. - This franchise shall be in effect for a
period of twenty-five (25) years, beginning on July 1, 2017, unless sooner
cancelled. This franchise shall be deemed ipso facto revoked in the event the
grantee fails to operate continuously for two (2) years.

SEC. 7. Acceptance and Compliance. - Acceptance of this franchise shall
be given in writing 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 within sixty (60) days from
the effectivity of this Act. Upon giving such acceptance, the grantee shall
exercise the privileges granted under this Act. Non-acceptance shall render

the franchise void.

SEC. 8. 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 to be broadcast from its stations: Provided, That the grantee,
during any broadcast, shall cut off from the air the 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

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failure to do so shall constitute a valid cause for the cancellation of this

franchise.

SEC. 9. Warranty in Favor of National and Local Governments. - The
grantee shall hold the national, provincial, city and municipal governments
of the Philippines harmless from all claims, accounts, demands or actions
arising out of accidents or injuries, whether to property or to persons,

caused by the construction or operation of the stations of the grantee.

SEC. 10, Sale, Lease, Transfer, Usufruct, or Assignment of Franchise. -
‘The grantee shall not lease, transfer, grant the usufruct of, sell nor assign
this franchise or the rights and privilege acquired thereunder to any person,
firm, company, corporation or other commercial or legal entity, nor merge
with any other corporation or entity, nor shall the controlling interest of the
grantee be transferred, whether as a whole or in parts and whether
simultaneously or contemporaneously, to any such person, firm, company,
corporation or entity without the prior approval of the Congress of the
Philippines: Provided, That Congress shall be informed of any lease,
transfer, granting the usufruct of, sale or assignment of franchise or the
rights or privileges acquired within sixty (60) days after the completion of
said transaction: Provided, further, That failure to report to Congress such
change of ownership shall render the franchise ipso facto revoked: Provided,
finally, That 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. General Broadcast Policy Law. - The grantee shall comply
with and be subject to the provisions of a general broadcast policy law,

which Congress may hereafter enact.

SEC. 12. Parity Clause. - Any advantage, favor, privilege, exemption,
or immunity granted under existing franchise, or which may hereafter be

granted for radio and/or television broadcasting, upon prior review and

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approval of Congress, shall become part of this franchise and shall be
accorded immediately and unconditionally to the herein grantee: Provided,
however, That the foregoing shall neither apply to nor affect provisions of
broadcasting franchises concerning territory covered by the franchise, the
life span of the franchise or the type of service authorized by the franchise:
Provided further, That the foregoing shall not apply to sale, lease, transfer,
grant of usufruct or assignment of legislative franchise with prior

congressional approval.

SEC. 13. Reportorial Requirement. - The grantee shall submit an
annual report 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 its compliance with the terms and
conditions of the franchise and on its operations on or before April 30 of the

succeeding year.

SEC. 14. Penalty Clause - Any grantee who fails to submit the Annual
Report to Congress will be fined Five Hundred Pesos (P500.00) per working
day of non-compliance. Said fine will be collected by the NTC from said
delinquent franchise grantee separate from the reportorial penalties imposed
by NTC. The collected funds shall accrue to the monitoring fund of the NTC
in line with its supervisory and regulatory functions. The reportorial
compliance certificate issued by Congress shall be required before any
application for permit or certificate is accepted by NTC.

SEC. 15. 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. 16. Repealability and Non-exclusivity 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.

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SEC. 17. Publication. This Act shall be published, through the
initiative of the Grantee, fifteen (15) days after this Act is signed by the
President of the Philippines or has lapsed into law.

SEC. 18 Bffectivity Clause. - This Act shall take effect after its
publication in at least two (2) newspapers of general circulation in the

Philippines.

Approved,