FOURTEENTH CONGRESS OF THE REPUBLIC) 
First Regular Session 
OF THE PHILIPPINES 
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Introduced by Senator Miriam Defensor Santiago 
EXPLANATORY NOTE 
The Constitution, Article XIII, Section 11, provides: 
The State shall adopt an integrated and comprehensive approach to health 
development which shall endeavor to make essential goods, health and other 
social services available to all people at affordable cost. There shall be priority for 
the needs of the underprivileged sick, elderly, disabled, women, and children. The 
State shall endeavor to provide free medical care to paupers. 
Prescription drugs represent one of the most frequently used medical care interventions in 
treating common acute and chronic diseases. However, many Filipinos, especially the elderly 
and other vulnerable populations, are unable to afford necessary medications because of 
excessive persistent prescription drug price inflation. 
This bill seeks to establish a prescription drug price monitoring commission that will 
study the cost of prescription pharmaceutical products in the Philippines and recommend 
plausible ways to make prescription drugs more affordable and cost-effective.* 
'This bill was re-filed during the Thirteenth Congress, First Regular Session. 


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FOURTEENTH CONGRESS OF THE REPUBLIC) 
OF THE PHILIPPINES 
1 
First Regular Session 
) 
S.No: sENAY 
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Introduced by Senator Miriam Defensor Santiago 
AN ACT 
ESTABLISHING A PRESCRIPTION DRUG PRICE MONITORING COMMISSION 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled: 
SECTION 1. Short Title. - This Act shall be known as the “Prescription Drug Price 
Monitoring Act of 2007.” 
SECTION 2. Establishment. - There is established a commission to be known as the 
“Prescription Drug Price Monitoring Commission” (in this Act referred to as the “Commission”). 
SECTION 3. Duties of the Commission. - 
(A)Studies. - The Commission shall conduct the following studies: 
(1) A study on the cost of prescription pharmaceutical products in the Philippines; 
(2) A study on the drug prices in other industrialized nations; and 
(3) A study on the feasibility of establishing in the Philippines a pharmaceutical 
products price review board. 
(B) In conducting the study under paagraph (A)(3), the Commission shall - 
(1) Assess the impact of such a board in other industrialized nations, such as the 
United States, on containing the costs of prescription drugs and the 
introductory prices of new drugs; 
(2) Recommend how such a board might operate in the Philippines, including 
membership of the Boar& 
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(3) Recommend guidelines that might be used by the Board in determining 
whether prices or price increases for prescription drugs are excessive and 
whether the introductory prices of new drugs are excessive; and 
(4) Recommend incentives for drug manufacturers to price their products fairly in 
the Philippines. 
(C) Reports. - 
( 1 )  Annual Reports. - The Commission shall submit to the Congress an annual 
report, beginning on the third year after the enactment of this Act, which shall 
include 
information 
and 
recommendations regarding national 
and 
international drug policy issues, such as - 
(a) Trends and changes in prices for prescription and nonprescription 
drugs in the Philippines; 
(b) Trends and changes in prices for prescription drugs in other 
industrialized nations, such as the United States, Canada, Japan, 
Mexico, and countries of the European Union; 
(c) The availability and affordability of prescription drugs in the 
Philippines; or 
(d) Recommendations to make prescription drugs more affordable and 
cost-effective; 
(D)Special Report. - The Cornmission shall submit to the Committee on Finance of the 
Philippine Senate, the Committee on Trade and Commerce, and the Committee on 
Ways and Means of the House of Representatives, by not later than two (2) years 
after the enactment of this Act, a report on the study conducted under subsection 
(N(3). 
SECTION 4. Membership. - 
(A) Number and Appointment. - The Commission shall be composed of seven (7) 
members to be appointed as follows: 
(1) The President shall appoint three (3) members; 
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(2) The Speaker of the House of Representatives shall appoint one (1) member; 
(3) The minority leader of the House of Representatives shall appoint one (1) 
member; 
(4) The majority leader of the Senate shall appoint one (1) member; and 
(5) The minority leader of the Senate shall appoint one (1) member. 
(B) Qualifications. - 
(1) In General. -The membership of the Commission shall include the following: 
(a) hdividuals with national recognition for their expertise in the fields of 
health care economics and quality assurance, medicine, pharmacology, 
pharmacy, and prescription drugs; and 
(b) Other health care professionals. 
(2) Limitation. - No more than two (2) individuals who are, or have been, in the 
full or part-time employ of a pharmaceutical company within one (1) year from the date 
of appointment under subsection (1) may be appointed to the Commission at any time. 
(C) Chairman. -The Chairman shall be elected by the members. 
(D) Deadline for Appointment. - Members of the Commission shall be appointed not 
later than one (1) year after the enactment of this Act. 
(E) Terms. - 
(1) In General. -Each member shall be appointed for the life of the Commission. 
(2) Vacancies. - A vacancy in the Commission shall be filled in the manner in 
which the original appointment was made. 
(F) Meetings. - The Commission shall meet at the call of the Chairperson or a majority of 
its members. 
(G) Quorum. - Four (4) members of the Commission shall constitute a quorum but a 
lesser number may hold hearings. 
SECTION 5. Technical Assistance. - Upon the request of the Commission, the head of a 
government agency shall provide such technical assistance to the Commission as the 
Commission determines to be necessary to carry out its duties. 
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SECTION 6. Termination. - The Conmission shall terminate five (5) years after the 
enactment of this Act. 
SECTION 7, Authorization of Appropriations. - There are authorized to be appropriated 
such sums as may be necessary to carry out the provisions of this Act. 
SECTION 8. Separability Clause. - If any provision or part hereof, is held invalid or 
unconstitutional, the remainder of the law or the provision not otherwise affected shall remain 
valid and subsisting. 
SECTION 9. Repealing Clause. - Any law, presidential decree or issuance, executive 
order, letter of instruction, administrative order, rule or regulation contrary to or inconsistent 
with, the provisions of this Act is hereby repealed, modified, or amended accordingly. 
SECTION 10. Effectivity Clause. - This Act shall take effect fifteen (15) days after its 
publication in at least two (2) newspapers of general circulation. 
Approved, 
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