TWENTIETH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
6 JUL -9 P4 :13
S. No
SENATE
312
Introduced by Senator MANUEL "LITO" M. LAPID
AN ACT
TRANSFORMING THE FILM DEVELOPMENT COUNCIL OF THE PHILIPPINES 
INTO THE NATIONAL FILM COMMISSION OF THE PHILIPPINES, DEFINING 
ITS POWERS AND FUNCTIONS, APPROPRIATING FUNDS THEREFOR, AND
FOR OTHER PURPOSES
EXPLANATORY NOTE
The Philippine film industry has a rich history and a remarkable legacy of 
producing world-class cinematic works. For decades, it has served as a potent avenue 
for artistic expression, cultural preservation, and economic growth. However, in recent 
years, the industry has faced unprecedented challenges that threaten its sustainability 
and growth. These challenges call for the establishment of a stronger institution—the 
National Film Commission (NFC)—to protect the local film industry and foster the 
development of future filmmakers.
With the advent of digital technology and the rise of online streaming platforms, 
the Philippine film industry faces fierce global competition. Foreign films dominate the 
international market, limiting the reach of locally-produced films and hindering 
opportunities for Filipino filmmakers to showcase their talent globally.
Rampant piracy and copyright infringement pose significant threats to the 
revenues of filmmakers and production companies. Unlawful distribution and 
reproduction of films result in substantial financial losses and discourage further 
investments in the industry.


Insufficient funding and inadequate government support have hindered the 
growth and development of the film sector. Local filmmakers often struggle to secure 
financing for their projects, leading to a reduction in film output and limited 
opportunities for aspiring talents.
The absence of a centralized governing body has created a void in setting 
industry standards, promoting ethical practices, and ensuring compliance with legal 
requirements. This has resulted in a lack of cohesive strategies for addressing issues 
such as fair labor practices and creative content guidelines.
The creation of the National Film Commission of the Philippines (NFCP) aims to 
address the aforementioned challenges and capitalize on the potential of the Philippine 
film industry. By replacing the Film Development Council of the Philippines, the NFCP 
will serve as a robust and comprehensive institution dedicated to supporting and 
protecting the local film sector while nurturing the growth of emerging filmmakers.
The NFCP will be responsible for formulating comprehensive policies that 
promote the growth of the film industry, encourage investments, and ensure a level 
playing field for local filmmakers. It will work closely with stakeholders, including film 
associations, industry experts, and government agencies, to create a unified vision for 
the future of Philippine cinema.
The NFCP will establish mechanisms to provide strategic funding and incentives 
for the production of quality films. By offering financial support and tax incentives to 
filmmakers, it will encourage the creation of more diverse and culturally relevant 
cinematic works.
The NFCP will collaborate with relevant agencies to implement stringent anti­
piracy measures, safeguarding the intellectual property rights of filmmakers and 
protecting their works from unauthorized distribution.
To ensure the sustainability of the film industry, the NFCP will focus on skill 
development and training programs for aspiring filmmakers. By fostering a nurturing 
environment for talent, it will contribute to the growth of a new generation of skilled 
filmmakers.


The NFCP will establish industry standards and guidelines to promote ethical 
practices and responsible filmmaking. This will include addressing issues related to 
working conditions, fair compensation, and content ratings.
The establishment of the National Film Commission is a critical step towards 
revitalizing the Philippine film industry and safeguarding its cultural heritage. By 
proactively addressing the challenges faced by local filmmakers, the NFC will ensure 
the continued growth and success of Philippine cinema on the global stage. We call 
on our esteemed colleagues to support this bill, recognizing the integral role of the 
film industry in shaping our nation's cultural identity and contributing to its economic 
prosperity.
In view of the foregoing, early passage of this bill is earnestly requested.
MANUEL "LITO" M. LAPID
Senator


TWENTIETH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
IL -9
3 A
S. No
SENATE
312
Introduced by Senator Manuel "Lito" M. Lapid
1 
AN ACT
2 
TRANSFORMING THE FILM DEVELOPMENT COUNCIL OF THE PHILIPPINES
3 
INTO THE NATIONAL FILM COMMISSION OF THE PHILIPPINES, DEFINING
4 
ITS POWERS AND FUNCTIONS, APPROPRIATING FUNDS THEREFOR, AND
5 
FOR OTHER PURPOSES
Be it enacted by the Senate and the House of Representatives of the Philippines 
in Congress assembled:
6 
Section 1. State Policy - Pursuant to the constitutional guarantee on freedom
7 
of expression, the state shall promote and support the development and growth of
8 
the local film industry as an aesthetic and cultural medium for a better understanding
9 
and appreciation of Filipino social values and national identity. The state shall also
10 
regard the film industry as an economic partner in nation-building.
11 
To achieve this end, the State shall formulate and implement policies and
12 
programs to upgrade the art and craft of film making and encourage the production
13 
of films for commercial purposes, intended for public entertainment, that seek to
14 
enhance the quality of life, examine the human and social conditions and contribute
15 
to the dignity and nobility of the human spirit.
16 
Section 2. Creation of the National Film Commission of the Philippines-To carry
17 
out the provisions of this Act, there is hereby created a National Film Commission of
18 
the Philippines, hereinafter referred to as the "Commission."The Commission shall be
19 
an independent agency. The Film Development Council of the Philippines, Inc. (FDCP),
20 
created under Republic Act No. 9167, is hereby abolished.


1 
Section 3. Powers and Functions - The Commission shall have the following
2 
powers and functions:
3 
1. To coordinate all programs and policies of government departments and
4 
agencies that are related to the development of the local film industry, to
5 
include the setting up of film desks in these government instrumentalities;
6 
2. To promote, organize, encourage or support more effective strategies, through
7 
which local films can be marketed locally and internationally, thus ensuring the
8 
growth and development of the local film industry; such marketing strategies
9 
shall also focus on international festivals with marketing components;
10 
3. To develop and promote programs to enhance the skills and expertise of Filipino
11 
film artists, technicians and workers through continuous craft and technical
12 
trainings;
13 
4. To set up and operate a one-stop shop to assist foreign and local producers
14 
making films in the country;
15 
5. To develop and implement a two-pronged program that will encourage the
16 
production of quality films through the Cinema Evaluation Board and the Film
17 
Endowment Fund Board;
18 
6. To encourage, support, and coordinate the holding of national and regional film
19 
festivals exclusively of Filipino films;
20 
7. To establish, organize, operate and maintain international film festivals,
21 
exhibitions and similar activities, including, but shall not be limited to, an ASEAN
22 
film festival and market, which may later spin off to a wider Asian film festival;
23 
8. To invest funds and other assets in such activities or undertakings that shall
24 
directly or indirectly promote the development of the film industry, including
25 
the production of films, subject to terms and conditions as it may deem wise
26 
and desirable;


1 
9. To ensure the establishment of a film archive to conserve and protect copies of
2 
film, in any storage format as may be practicable, as part of the nation's
3 
historical, cultural and artistic heritage;
4 
10. To require local film producers to submit a digital video copy of films they will
5 
produce for archiving purposes;
6 
11.To set up mechanics to address the welfare and working conditions of local film
7 
workers, to be implemented and/or enforced in coordination with stakeholder
8 
organizations such as the Mowelfund and the Nagkakaisang Manggagawa ng
9 
Pelikulang PHipina,
10 
12.To assist and oversee the organization of cinema clubs in barangays and
11 
schools to promote film appreciation;
12 
13.To prescribe the procedures for the exercise of its power and functions as well
13 
as the performance of its duties and responsibilities;
14 
14.To determine the Commission's organizational structure and staffing pattern
15 
and appoint officers and employees of the Commission;
16 
15.To determine and decide the appropriate disciplinary action for Commission
17 
officials and employees in cases of misconduct, including corruption, dereliction
18 
of duty and abuse of authority;
19 
16.To acquire, manage and hold such real and personal property as may be
20 
necessary to carry out the purposes and objectives of this Act; and
21 
17.To perform such other functions as may be necessary to carry out the
22 
provisions of this Act.
23 
Section 4. Composition of the Commission - The Commission shall be composed
24 
of a Commissioner and sixteen (16) members, seven (7) of whom shall be regular
25 
members, while the other nine (9) members shall be in an ex officio capacity:
26 
Provided, That the Commissioner shall be a person of proven administrative
27 
proficiency, independence, knowledgeable of the technical and artistic aspects of the
28 
film production and fully committed to the promotion and development of the


1 
Philippine Cinema as art: Provided further, That the Commissioner shall be elected by
2 
the members of the Commission.
3 
The nine (9) members who shall be ex-officio members of the Commission are
4 
the following:
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
1. The Secretary of the Department of Trade and Industry or his/her 
duly designated regular representative;
2. The Secretary of the Department of Education or his/her duly 
designated regular representative;
3. The Secretary of the Department of Tourism or his/her duly 
designated regular representative;
4. The Secretary of the Department of Foreign Affairs or his/her duly 
designated regular representative;
5. The Secretary of the Department of Interior and Local 
Government or his/her duly designated regular representative;
6. The Secretary of the Department of Finance or his/her duly 
designated regular representative;
7. The Director General of the Film Academy of the Philippines or 
his/her duly designated regular representative;
8. The President of the Cultural Center of the Philippines or his/her 
duly designated regular representative;
9. The head of the Cinema Committee of the National Commission 
for Culture and the Arts or his/her duly designated regular 
representative;
The seven (7) regular members shall be as follows:
25
1. A representative of the Directors' Guild of the Philippines, Inc;


1 
2. A representative of the Nagkakaisang Manggagawa ng Pelikulang
2 
PiUpino)
3 
3. A representative of the Mowelfund;
4 
4. A representative of the Actors' Guild of the Philippines, Inc.;
5 
5. A representative from the National Cinema Association of the
6 
Philippines;
7 
6. A representative from the academe;
8 
7. A representative of the local film producers.
9 
Section 5. Term of Office - The Commissioner and the seven (7) regular
10 
members shall hold office for a term of three (3) years unless sooner removed by the
11 
Commission; Provided, That they shall be eligible for reappointment after the
12 
expiration of their respective terms; Provided further, That if a member fails to
13 
complete his/her term, the person appointed to fill the vacancy shall serve only for
14 
the unexpired portion of the term of the person whom he/she succeeds, unless re-
15 
appointed; Provided finaiiy. That such service of the unexpired portion shall not be
16 
counted as a term.
17 
Section 6. Meetings - The Commission shall meet at least once a month or as
18 
often as necessary at the call of the Commissioner or majority of the members. A
19 
majority of the members of the Commission shall be entitled to honoraria based on
20 
existing government accounting and auditing rules and regulations.
21 
Section 7. The Commissioner- The Commissioner shall be the Chief Executive
22 
Officer and shall exercise overall administrative supervision to ensure the effective and
23 
efficient implementation of the policies laid down by the Commission. The
24 
Commissioner shall have the same rank and salary as an Undersecretary of a
25 
Department as provided for in the Salary Standardization Law.
26 
Section 8. Functions of the Commissioner - The Commissioner shall have the
21 following functions:


1 
1. Execute and administer the policies, plans and programs approved by the
2 
Commission;
3 
2. Direct and supervise the operations and internal affairs of the Commission;
4 
3. Establish the internal organization and administrative procedures of the
5 
Commission;
6 
4. Recommend to the Commission the appointment, transfer or detail, and
7 
disciplinary actions for the subordinate officials and employees of the
8 
Commission; and
9 
5. Such other functions which the Commission may assign from time to time.
10 
Section 9. The Executive Director-The Commissioner should be assisted by an
11 
Executive Director to be appointed by the Commission upon the recommendation of
12 
the Commissioner. The Executive Director shall have a salary comparable to that
13 
equivalent rank under the Revised Compensation and Position Classification System
14 
and shall be co-terminus with the Commissioner unless sooner removed for a cause.
15 
Section 10. Cinema Evaluation Board- The Commission will absorb the Cinema
16 
Evaluation Board of the FDCP, hereinafter referred to as the "CEB," which shall
17 
evaluate and grade films submitted to the Commission, subject to the following:
18
19
20 
21 
22
23
24
25
26
27
28 
29
Composition, Qualifications and Appointment - The CEB shall be 
composed of a Chairperson and twenty (20) members, ten (10) of whom 
shall come from the film industry, and the other ten (10) from the arts, 
academe, business, and other sectors. The Commission shall appoint the 
members of the CEB from among thirty (30) submitted by the members 
of the Commission. Provided, That the persons appointed to the CEB 
should be knowledgeable of the artistic and technical aspects of film 
making and fully committed to the promotion and development of 
cinematographic art along world class standards and global 
marketability.
Term of Office -The Chairperson and members shall serve for a term of
two (2) years and shall be eligible for re-appointment for a second term:
6


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
Provided, That no member shall serve for more than two (2) consecutive 
terms: Provided further, if any member fails to complete a term, the 
person appointed to fill the vacancy shall serve only for the unexpired 
portion of the term of the person whom he/she succeeds, unless re­
appointed; Provided fmaiiy, That the service of the unexpired portion 
shall not be counted as a term. In the initial appointments, the CEB 
Chairperson and the twenty (20) members shall hold office for two (2) 
years.
Participation - No member of the CEB shall participate in the grading of 
a film in which he or she or any member of his or her family or any 
relative within the fourth degree of consanguinity or affinity shall have 
the financial or any other interest: Provided further, That such member 
shall disclose fully at the time of his or her inhibition, the nature of his 
or her interest including actual or potential conflict of interest and the 
reasons of his or her inhibitions.
16 
Section 11. Cinema Evaluation System - The CEB shall formulate and establish
17 
a set of standards and criteria and procedures for the Cinema Evaluation System,
18 
subject to the approval of the council, primarily based on but not limited to the
19 
following: direction; screenplay, cinematography; editing; production design; musical
20 
scoring, sound, and acting.
21 
Section 12. Grading of Films - The grading of films by the Cinema Evaluation
22 
Board shall be subject to the following provisions:
23
24
25
26
27
28
29
30
a. Pre-quaiification procedures and requirements - The Commission shall 
prescribe pre-qualification procedures and requirements for application 
for grading: Provided, That only films whose premiere showing shall be 
held in the Philippines, and those which have not had any theatrical 
release, free television broadcast, cable broadcast or video release in 
any commercial medium anywhere in the world shall be qualified for 
evaluation by the board: Provided further. That the CEB should evaluate 
and grade only films that are intended for theatrical and other forms or


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26
27
28
exhibition that will charge admission fees and which are at least eighty 
(80) minutes in length and that the producer shall submit his/her film 
for grading at least seven (7) days before its scheduled day of play date.
b. Evaluation Period - A film shall be reviewed, evaluated, and Graded by 
the CEB within five (5) working days after submission of the application. 
The CEB shall transmit its decision to the Commission twenty-four (24) 
hours from rendering of the decision. The Commission shall inform the 
producer of the CEB's decision not later than twenty-four (24) hours 
upon receipt herewith.
c. Grading of Films - The CEB shall review and grade a film submitted for 
grading. The CEB and the Commission shall, at any time neither be 
allowed to cut, delete, shorten, or modify in any manner films being 
graded by the CEB, nor shall they be allowed to suggest cuts or deletion 
or any other form of modification to the filmmakers and prerequisites for 
earning the CEB grading. Such grading shall be given due weight and 
consideration by the Movie and Television Review and Classification 
Board (MTRCB), the Optical Media Board (0MB), The Department of 
Trade and Industry (DTI) and other governmental agencies for the 
graded film's viewing, reproduction, exportation and other purposes.
d. Reconsideration to the Board En Banc - The action taken by the CEB on 
the film submitted for evaluation and grading may be reconsidered upon 
motion to the CEB en banc within twenty-four (24) hours from receipt 
of notice of said action, and the CEB en bancshBW render its decision 
within forty-eight (48) hours from its receipt of the motion for 
reconsideration. The CEB en banc must be composed of at least the 
majority of the CEB.
e. Finality of grading - The grading submitted by the CEB en banc the 
council shall be final.
29 
Section 13. Privileges of Graded Films - Films which have obtained an "A" or
30 
"B" grading from the Commission pursuant to Sections 11 and 12 of this Act shall
31 
entitle the producer to a tax rebate incentive equivalent to the amusement tax
8


1 
imposed and collected on the graded films by cities and municipalities in Metro Manila
2 
and other highly urbanized and independent component cities in the Philippines
3 
pursuant to Sections 140 and 151 of the Republic Act No. 7160 at the following rates:
4 
a. For grade "A" Films -100 of the amusement tax collected on such films;
5 
and
6 
b. For grade "B" Films - 75% of the amusement tax collected on such films.
7 
The remaining twenty-five percent (25%) shall accrue to the funds of
8 
the Council.
9 
Provided, however, that fifty (50) percent of the amusement tax rebates will
10 
benefit the talents and workers involved in the film that was graded A or B, with the
11 
other fifty (50) percent going to the film producer.
12 
Section 14. Amusement Tax Deduction and Remittances - All revenue from the
13 
amusement tax on the graded film which may otherwise accrue to the cities and
14 
municipalities in Metro Manila and highly urbanized and independent component cities
15 
in the Philippines pursuant to Sections 140 of the Republic Act No. 7160 during the
16 
period the graded film is exhibited, shall be deducted and withheld by the proprietors,
17 
operators or lessees of theaters or cinemas and remitted within thirty (30) days from
18 
the termination of the exhibition to the Commission which shall reward the
19 
corresponding amusement tax to the producers and the talents and workers of the
20 
graded film within fifteen (15) days from receipt hereof.
21 
Proprietors, operators or lessees of theaters or cinemas who fail to remit
22 
amusement tax proceeds within the prescribed period shall be liable to surcharge
23 
equivalent to five (5%) of the amount due for each month of delinquency which shall
24 
be paid to the Commission.
25 
Section 15. Enforcement - For purposes of implementing the previous Section,
26 
the Commission may:
27
28
1. Impose administrative fines and penalties of not more than one hundred 
thousand pesos (P100,000.00) for the violation of any of the provisions


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
of this Act and/or its implementing rules and regulations issued by the 
Commission.
2. Cause or initiate the criminal or administrative prosecution of violators 
of this Act and its implementing rules and regulations.
3. Cause the closure of any theater or cinema that fails or unreasonably 
refuses to remit tax collected on the graded film for a period not 
exceeding fifteen (15) days after which such period shall automatically 
lifted without prejudice to the right of the Commission to cause or initiate 
criminal or administrative prosecution against the erring theater or 
cinema owners pursuant to paragraph 2 of this section.
4. Call upon representatives of the different government agencies and 
other various organizations in the movie industry to help ensure 
compliance with the provisions of this act and its implementing rules and 
regulations.
5. For this purpose, the Commission may constitute regional sub­
commissions in the cities and municipalities throughout the country 
composed of representatives from the government and from the private 
sector as may be appropriate to implement the purposes and objectives 
of this Act and its implementing rules and regulations and they shall 
serve without compensation and only for such period of time as the 
Commissioner shall determine.
6. To deputize any Law Enforcement agency and instrumentality of the 
government for assistance for the implementation and enforcement of 
its functions and orders.
25 
Section 16. Film Endowment Fund Board - There is hereby created a Film
26 
Endowment Fund Board hereinafter referred to as the FEFB which shall provide
27 
subsidies for the production of worthwhile screenplays submitted to the FEFB for
28 
consideration, subject to the following:
29
30
31
a. Composition, Qualifications and Appointment - The FEFB shall be 
composed of a Chairperson and seven (7) members, four (4) of whom 
shall come from the film industry, and the other three (3) from the arts,
10


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22 
23
academe, business and other sectors. The Commissioner shall appoint 
the members of the FEFB from among fifteen (15) nominees submitted 
by the members of the Commission. Provided, That the persons 
appointed to the FEFB should be knowledgeable of the artistic and 
technical aspects of filmmaking and fully committed to the promotion 
and development of cinematographic art along world class standards 
and global marketability.
b. Term of Office- The Chairperson and members shall serve for a term of 
two (2) years and shall be eligible for re-appointment for a second term: 
Provided, That no member shall serve for two (2) consecutive terms: 
Provided further, if any member fails to complete a term, the person 
appointed to fill the vacancy shall serve only for the unexpired portion 
of the term of the person whom he/she succeeds, unless re-appointed: 
Provided finally, That the service of the unexpired portion shall not be 
counted as a term. The FEFB Chairperson and the seven (7) members 
shall hold office for two (2) years.
c. Participation - No member of the FEFB shall participate in the approving 
of funding for a film in which he or she or any member of his or her 
family or any relative within the fourth degree of consanguinity or affinity 
shall have the financial or any other interest: Provided further, That such 
member shall disclose fully at the time of his or her inhibition, the nature 
of his or her interest including actual or potential conflict of interest and 
the reasons of his or her inhibitions.
24 
Section 17. Film Endowment Fund Evaluation System - The FEFB shall
25 
formulate and establish a set of standards and criteria and procedures for the Film
26 
Endowment Fund Evaluation System, subject to the approval of the Commission,
27 
based on but not limited to the following: the aesthetic value of the screenplay
28 
submitted; the marketability of the film product; and its integral cultural personality.
29 
Section 18. Endowment Funding for Films - The endowment funding for films
30 
by the FEFB shall be subject to the following provisions:
11


1
2
3
4
5
6
7
8 
9
10
11
12
13
a. Pre-qualification procedures and requirements - The Commission shall 
prescribe pre-qualification procedures and requirements for application 
for endowment funding. Provided, That only original screenplays which 
have not yet been produced and which when filmed are at least eighty 
(80) minutes in length will be submitted for evaluation.
b. 
Evaluation period - A submitted screenplay shall be evaluated and 
approved for funding within thirty (30) days after submission. The FEFB 
shall transmit to the Commission twenty-four (24) hours from the 
rendering of the decision. The Commission shall inform the filmmaker or 
scriptwriter of the FEFB's decision not later than one (1) week upon 
receipt herewith.
c. 
Finality of endowment fund decision - The evaluation submitted by the 
FEFB en banc\.o the Commission shall be final.
14 
Section 19. Funding - The funding of the National Film Commission of the
15 
Philippines shall be included in annual General Appropriations Act.
16
17
18
19
20 
21 
22
23
24
25
26
27
28
To augment the operational expenses of the Council, the Council may:
1. Utilize the remaining twenty-five (25%) percent of the amusement tax 
collected during the period of grade "B" film is exhibited, as provided 
under Sections 13 and 14 hereof; and
2. 
Impose reasonable fees and charges for services rendered: Provided, 
That the amount collected shall be deposited in the National Treasury as 
a special account in the General Fund and may be used to augment its 
maintenance and other operational expenses, and capital outlays except 
its purchase of motor vehicles, subject to existing accounting and 
budgeting rules and regulation;
3. 
Secure funding from the Philippine Amusement and Gaming Corporation 
for the amount necessary to subsidize the production of thirty (30) films 
annually.
12


1 
Section 20. Authority to Accept Donations - The Commission may accept
2 
donations, contributions, grants, bequests, or gifts, in cash or in kind, from various
3 
sources, domestic or foreign, subject to laws governing conflicts of interest in
4 
government transactions. Said donations shall be deemed automatically appropriated
5 
for purposes specified by the donor, or in the absence thereof, for the programs or
6 
projects as may be approved by the Commission, subject to the government
7 
accounting and auditing rules and regulations and the provisions of this Act: Provided,
8 
That the purposes so determined shall be limited to the purposes of this Act. Any
9 
donation, contribution, subsidy, or financial aid which may be made to the Commission
10 
shall be exempt from taxes of any kind and constitute allowable deduction from the
11 
income of the donors, contributors or givers for income tax purposes.
12 
Section 21. Assistance from other Government Agencies - The Commission may
13 
request any department, bureau, office, agency, or instrumentality of government for
14 
such assistance as may be needed in the performance of its functions.
15 
Section 22. Impiementing ruies and Reguiations - The National Film
16 
Commission of the Philippines shall, within ninety (90) days after the approval of this
17 
act, issue the necessary rules and regulations to implement the provisions hereof.
18 
Section 23. Transitory Provision - To provide continuity in the operation of the
19 
Commission, the incumbent officials and employees of the FDCP and the CEB shall, in
20 
a holdover capacity, continue to perform their respective duties and responsibilities
21 
and shall receive their corresponding salaries and benefits until such time that the
22 
organization of the Commission shall have been completed. The transition period shall
23 
not exceed one (1) year after effectivity of this act.
24 
All officials of the FDCP and CEB shall be deemed resigned from services upon
25 
the organization of the Commission: Provided, That the officials and employees who
26 
shall be laid off shall be given preferential treatment in appointments to new positions
27 
to which they may qualify under the new staffing pattern. Provided fmaiiy. That those
28 
who shall not be given new appointments shall be entitled to all compensation and
29 
benefits due them under existing laws.
13


1 
All books, assets, rights, privileges, records, obligations, and liabilities of FDCP
2 
and CEB are hereby transferred.
3 
Section 24. Annual Report- The Commission shall, within ninety (90) days after
4 
the end of every fiscal year, submit to Congress an annual report on its compliance
5 
with, or accomplishments under this act, together with its plans and recommendations
6 
to improve and develop its capability to enforce the provisions of this Act, and a
7 
complete accounting of transactions with respect to any funds received under this act.
8 
Section 25. Repealing Clause - Republic Act No. 9167, otherwise known as the
9 
Film Development Council of the Philippines Act, is hereby amended accordingly.
10 
All other laws, decrees, orders, issuances, rules and regulations, which are
11 
inconsistent with the provisions of this act are hereby repealed, amended, and
12 
modified accordingly.
13 
Section 26. Separability Clause - If, for any reason, any provision of this Act, or
14 
any part thereof, is declared invalid or unconstitutional, all other sections or provisions
15 
not affected thereby shall remain in force and effect.
16 
Section 27. Effectivity - This Act shall take effect fifteen (15) days after
17 
publication in the Official Gazette and two (2) newspapers of national circulation.
18
Approved,
14