2° NOV 2012
Saar
~-| x
Republic of the Philippines

HOUSE OF REPRESENTATIVES
Quezon Cits. Mowe Manite

Fifteenth Congress
Third Regular Session

HOUSE BILL NO, __ 8702

Introduced by Honorable Kimi S. Cojuangco

Explanatory Note

There exists a problem with regards to the drainage of our lands
which the present structure of government can ill address.

The common practice today is to use irrigation channels and
canals to serve two functions: irrigation and drainage.

Such a situation results in both functions being severely
compromised.

Irrigation canals need to be at a higher clevation relative to the
land so that they can convey water to flood or “irrigate”. On the
other hand, drainage canals need to be at. a much lower
elevation relative to the land so that they may effectively carry
water away from the land thereby draining it.

It is a common understanding of any agriculturist that proper
drainage is just as, if not more important than irrigation.

With different requirements, it is imperative that there exists a
system solely dedicated for drainage. One of the biggest
problems the country faces, especially in the urban areas, is
flooding. It is evident from the aftermath of Typhoons Ondoy and
Pepeng, and the recent rainfall that the country’s current
drainage system needs to be fixed and updated. Although it is
not the only solution, having a proper system in place will
definitely be a great help in reducing the risk of floods,
potentially minimizing the damage taken and lives lost.


Further, the Department of Public Works and Highways is
mandated to provide drainage only for roadways and not tracts
of jand.

Billions if not trillions of pesos of private capital end up tapped
in the “tambak’ or filling-up practice as our citizens try fn vain
to cope with the problems of flooding in establishmen:s and
residences. Those with the funds may win out in the short term
but in the long run, everybody loses. As this practice eventually
catches up, whole communities end up where they started. With
the increase in number of “filled” areas comes an increase in the
number of lots and properties with entrapped water. This not
only makes it difficult to develop the land, it becomes a breeding
ground for diseases such as dengue which endangers the entire
community.

The state should therefore create the appropriate agency to deal
with the issue.

It should create on agency which will not be in conflict with the
National Irrigation Administration.

The creation of a National Drainage Authority is therefore highly
appropriate, relevant and recommended.

W


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

Fifteenth Congress
Third Regular Session

: ano
HOUSE BILLNO,___ 8702

Introduced by Honorable Kimi S. Cojuangco

AN ACT
CREATING THE NATIONAL DRAINAGE AUTHORITY,
PRESCRIBING ITS POWERS AND FUNCTIONS AND
APPROPRIATING FUNDS THEREFOR

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

“National Drainage Authority Act of 2012.”

SEC. 2. Declaration of Policy. — t is hereby declared the policy
of the State to recognize the essential role of drainage and address the
drainage problem of the country. Towards this end, the State shall
investigate, study, improve, administer and construct proper drainage
system in order to easc and provide adequate social services and improve

the quality of life for all the Filipinos.


SEC. 3. National Drainage Authority. — A corporate body is hereby
created to be known as the National Drainage Authority, hereinafter referred
to as the “Authority.” It shall be organized immediately after the approval
ofthis Act and shall have its principal seat of business in the City of Manila
It shall have representatives in all provinces for the proper conduct of its

business.

SEC. 4. Mandate. —‘Yhe Authority shall have the following mandate

a) Investigate, identify natural washes and gullies; study, maintain
and protect the lay of the land; improve, construct and administer all
national drainage systems in the Philippines:

b) Lnvestigate all available and possible water resources in the
country for the purpose of utilizing the same for drainage, and to protect
existing water passage right-of-way and implement the acquisition thereof:

¢) Set the minimum depth and slope standard of drainage systems so
that the water will reach their natural ourfalls:

d) Plan, design and construct the necessary projects for the next

twenty years following the approval of this Act:


e) Collect from the users of drainage system such fees as may be
necessary to finance the continuous operation and reimburse within a certain
period not less than twenty-five years the cost of construction thereof.

(f) Succced on its corporate name;

(g) Sue and be sued in such corporate name:

(h) Adopt, alter and use a corporate seal:

(i) Adopt, amend and repeal its by-laws;

G@) Enter into contracts of any kind and description, to enable it to
carry out its purposes and functions under this Act:

(k) Acquire, buy, purchase. hold or lease such personal and real
property as it deems necessary or convenient in the transaction of its
business or in relation with the carrying out of its purposes under this Act:
and lease, mortgage. sell, alienate or otherwise encumber or dispose any
such personal and real property held by it:

(I) Exercise the right of eminent domain whenever the Authonty
deems it necessary for the attainment of the objectives of this Act:

(m) Borrow funds from any local or foreign financia} institutions
independent of the bonds it may issue or may contimue to issuc, to carry out

the purposes of this Act;


(n) 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 and exercise ail the rights of
ownership. including the right to vote thereon:

(©) Perform such other acts as are necessary or incidental to carry on

the objectives of this Act

SEC. 5. Board of Directors. - The Authority shall be govemed by a
Board of Directors, hereinafter referred to as the Board, which shall be
composed of the Secretary of Public Works and Highways, the Secretary of
Environment and Natural Resources, the Secretary of Agriculture, Secretary
of Finance. Secretary of Labor. the Administrator of the National Irrigation
Administration, the Executive Sccretary and the General Manager of the
Authority or their representatives.

The members of the Board. excluding the General Manager. may
receive per diems for every meeting actually attended at such amount to be
fixed by the Board but not to exceed five thousand pesos (P5,000.00) per

month,


The Board shall mect regularly at least once a month, but special
meetings may be called either by the Chairman or by at least four (+)
members of the Board. ‘The majority of the Board shall constitute a quorum.

and all decisions of the Board shall require the concurrence of at least four

(4) members.

SEC. 6. Powers and Duties.— The Board shall have the following
powers and duties:

a) Formulate, prescribe and promulgate the implementing rules and
regulations required by this Act:

b) Act upon the annual budget and such supplemental budgets of the
Authority submitted by the General Manager: Provided, That the Board
may reduce but may not increase any item proposed by the General
Manager:

¢) Approve the organizational structure of the Authority, as well as 1ts
staffing pattern, the salaries of the personnel and their powers and duries
submitted by the General Manager:

d) Enter into such contract or agreement as may be necessary for the

atlainment of the purposes and objectives of this Act;


¢) Render annual reports to the President and such special reports as
may be requested: and

f) Exercise all the powers necessary or incidental to the attammment of

the purposes of this Act.

SEC. 7. General Manager, The General Manager shall be the chief
executive of the Authority. He must have at least five (5) years experience
in the field of public administration or the management of agricultural.
industrial, or commercial enterprises and a recognized authority on drainage
or related fields. The General Manager shall be a member of the Board
without. however, any right to vote.

The General Manager of the Authority shall be appointed by the
President of the Philippines for a term of six (6) years, unless earlier
removed from office by the President

The General Manager shall be assisted by an Assistant General
Manager who shall likewise be appointed by the President of the

Philippines.


SEC. 8. Functions. The General Manager shal! have the following
functions:

a) Prepare the agenda for the meeting of the Board and to submit for
consideration thereof the policies and measures which he believes to be

necessary to carry out the purposes and provisions of this Act;

b) Execute and administer the policies and measures approved by the
Board:

¢) Direct and supervise the operation and internal administration of
the Authority. The General Manager may delegate certain of his
administrative responsibilities to other officers of the Authority subject 10

the rules and regulations of the Board: and

d) Fxercise such other powers as may be vested in him by the Board

SEC. 9. Compensation. — The General Manager shall receive a
compensation to be determined by the Board which shall be charged against
the annual appropriation of the Authority for operating expenses. The Board
of Directors shall provide per diems and allowances for the General

Manager.


SEC. 10. Other Personnel of the Authority. — The General Manager
shall. subject to the approval of the Board. determine and appoint the
subordinate officers, other personnel. and consultants, if necessary in

accordance with the civil service rules and regulations.

SEC. 11. Capital — The working capital of the Authority shall be
Five hundred million pesos (P500,000,000.00) which shall be fully
subscribed by the Republic of the Philippines and paid as follows:

a) The sum of Fifty million pesos (P50,000,000.00) upon the approval
of this Act which is hereby appropriated out of the funds in the National
Treasury not otherwise appropriated. Five million pesos (P5.000.000.00) of
which shall be released upon the organization of the Authority and the
balance as and when needed:

b) The sum of Fifty Million Pesos (PS0,000,000.00) for every
subsequent fiscal year for a period of nine (9) years which must be included

in the General Appropriations Act.


SEC. 12. Auditor. — The Commission on Audit shall appoint a
resident Auditor to the Authority. and such personne as may be necessary to

assist said resident Auditor in the performance of his duties.

SEC. 13. Rules and Regulations. - Within ninety (90) days after the
effectivity of this Act. the Board shall promulgate the necessary rules and

regulations for the effective implementation of this Act.

SEC. 14. Reportorial Requirements, he Authority shal! submit 2n
annual report to the Office of the President indicating, among others, the
drainage program being implemented. the stage of implementation and the
financial position of the Authority. It shall likewise submit such periodic er

other reports as may be required from time to time.

SEC. 15. Applicability of the Corporation Code. — The provisions of
the Corporation Code. in so far as they are not inconsistent with the

provisions and policies provided in this Act, shall be applicable to the

Authority


SEC. 16. Separahility Clause, If any part or provision of this Act is
declared unconstitutional. other parts or provisions thereof which are not

affected thereby shall continue to be in full force and effect.

Planee VW lawe decreas aveontive ard

rules and regulations and other issuances or parts thereof, inconsistent with

the provisions of this Act, are hereby repealed or modified accordingly
SEC. 18. Effectivity. - This Act shall take effect fifteen (15) days
after its complete publication in at feast two (2) national newspapers of

general circulation.

Approved,