Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

FIFTEENTH CONGRESS
First Regular Session

Ne 475

ong 4 att 210,

er

H.B. No.

Introduced by HONORABLE JUAN EDGARDO “SONNY” M. ANGARA

EXPLANATORY NOTE

The state is alarmed with the heightened threats of terrorism in transportation system
and facilities in the light of the September 11, 2001 attacks on the U .S. Pentagon and the
towers of the World Trade Center. Others also include the Madrid (Spain) brutal train bombing;
the bus explosion in Northern Israel and numerous others in the international stage. These are
also coupled in the domestic theatre by the Super Ferry Sinking; the LRT Rizal Day bombings
and other unlawful, criminal and inhumane acts which resulted to tragic loss of human lives,
damage to property and further global disruption in air, sea and land commerce operation as
diminishing confidence in transportation systems and security measures heightened

The takeover in 2003 of an air traffic control tower in NAIA by armed elements was a
tragedy that could have been averted or prevented with unified security at NAIA.

‘These untoward incidents demonstrate the need for and require the State to adopt
comprehensive security measures, install and implement security program throughout the
country to prevent if not eradicate security threats to human lives and properties.

The State likewise recognizes the vital role of transportation in nation-building and the
right of the citizenry to a well secured transportation system for their safety and well being. To
achieve this ends, the State promotes the installation of transportation security measures whose
standards and practices are internationally recognized and considered world class, This can be
done through the installation of measures, programs, plans and activities that foster security and
safety in all means and modes of public transportation,

The state must also bolster a system of coordination and cooperation among citizenry,
the transportation sector and law enforcement, and public seourity and safety agencies.

The State must establish measures to prevent weapons, explosives or other dangerous
person, elements, devices and cargoes which may be used to commit an act of unlawful
interference, the carriage or bearing of which is not authorized, from being introduced by any
means whatsoever, on board a transport system.

Various organizations of nations and international communities and economies like the
United Nations, ASEAN, APEC and other regional organization of nations have been promoting
and have place in operation inter modal transportation security system to be in full consistency
and control over the safety and convenience of all inter-modal transport system.

‘The Philippines as a member of the international community of nations has been far-off,
if not helplessly, lagging behind, in adopting and setting up security systems and effective
security enforcement in a Il ports, terminals and facilities over land, air and water nationwide. It
is significantly beneficial to the Philippines that it is in full accord with other countries’ minimum



safety and security requirements in public transportation by adopting internationally accepted
standards and practices prescribed for transportation security.

Therefore, immediate passage of this bill is earnestly sought.

Representdtive
Lone District, Province of Aurora


FIFTEENTH CONGRESS OF THE )
REPUBLIC OF THE PHILIPPINES )
First Regular Session )

o.__ 475

Introduced by Honorable JUAN EDGARDO “SONNY” M. ANGARA

AN ACT
PROVIDING FOR A COMPREHENSIVE TRANSPORTATION SECURITY PROGRAM,
CREATING FOR THE PURPOSE THE PHILIPPINE TRANSPORTATION SECURITY
ADMINISTRATION (PTSA), DEFINING ITS POWERS AND FUNCTIONS, AND
APPROPRIATING FUNDS THEREFOR

Be it enacted by the Senate and House of Representatives of the Philippines in
Congress assembled:
Title |
General Provision
SECTION 1. Short Title. - This Act shall be known as the "Philippine Transportation
Security Act of 2010".

SEC. 2. Declaration of Policy. - It is hereby declared to be the policy of the State to
recognize the vital role of public transportation and commerce in nation building and in the
promotion of international and domestic trade relations for economic growth and comity among
nations. For this purpose, the State, in preserving and protecting the rights of its people to a
secured public transport system, hereby supports and promotes the installation and
implementation of a consolidated transportation security management to improve and maintain
an effective mode of air, land and water transportation systems in full compliance with the
international standards and practices, likewise fostering state of the art security measures in the
country's transportation systems.

SEC. 3, Compliance with International Conventions. - As member of the community
of nations and signatory state to international conventions, the Philippines shall dutifully comply
with the provisions of the transportation security administration under International Maritime
‘Organization as stated in Chapter XI-2-Regulation 1, Definitions No, 1 and 4 of the International
Ship and Port Facility Security Code (ISPS CODE) and Chapter 3 (3.1.2) of Annex 17 of the
International Civil Aviation Organization (ICAO).


Title t
Unlawful Interference, Others

SEC. 4. Prohibited Acts. - The following acts and omissions shall be considered
prohibited acts:

a) Unlawful interference which refers to acts or omissions that breach the security
or interfere with the efficient, smooth and regular operation of transportation
systems, ports, airports, terminals, services or facilities, thereby causing death,
physical injury, damage to, or loss of property;

b) Providing material, financial or moral support in aid of unlawful interference in a
public transport service, facility or system except in the furtherance of legitimate
protest, grievance or advocacy:

‘¢) Malicious reporting of incident or releasing, without authority, any classified
transport security information, which may jeopardize the security of public
transportation systems in the Philippines;

d) Failure or refusal to implement transportation security regulations in a public
transport system as required by this Act:

) Abuse the use of public transport franchise, permit and other certificates of public
convenience; and

f) Failure or refusal to disclose, or report information concerning breach in
transportation security.

SEC. 5. Penal Provisions. - a) The penalty of imprisonment of six (6) years and one (1)
day to twelve (12) years and one (1) day and a fine ranging from Fifty thousand pesos
(P50,000.00) to Five hundred thousand pesos (P500,000.00) shall be imposed upon any
person or group of persons who shall violate Section 4(a) of this Act.

The penalty of imprisonment of six (6) months and one (1) day to six (6) years and one
(1) day and a fine ranging from Twenty thousand pesos (P20,000.00) to Three hundred
thousand pesos (P300,000.00) shall be imposed upon any person who shall violate Section
4(b), (€), (A), (€) and (f) of this Act.

Title 114
Creation of the Philippine Transportation
Security Administration (PTSA)

SEC. 6. The Philippine Transportation Security Administration (PTSA) and
mandate. - There is hereby created an administrative body to be known as the Philippine
Transportation Security Administration (PTSA), hereinafter referred as the singular supreme
authority to solely implement the national transportation security program under this act. It is an
agency attached to the Department of Transportation and Communications (DOTC) exercising
the following mandate:


a) It shall secure, safeguard and protect all modes of air, land and water transportation in
the country as a law enforcement agency:

b) Render reciprocal support, assistance and coordination with the Civil Aeronautics Board
(CAB), the Air Transportation Office (ATO), Philippine Ports Authority (PPA), Maritime
Industry Authority (MARINA), Subic Bay Metropolitan Authority (SBMA), Cebu Ports
Authority (CPA), Bases Conversion Development Authority (BCDA), Philippine Veterans
Investment and Development Corporation (PHIVIDEC), Land Transportation Office
(LTO), Land Transportation Franchising Regulatory Board (LTFRB), Philippine National
Police-Aviation Security Group (PNP-ASG), Maritime Group (PNP-MARIG), Traffic
Management Group (PNP-TMG), Armed Forces of the Philippines (AFP), Philippine
Coast Guard (PCG), Airport Police (AP), Customs Police (CP), Metro Manila
Development Authority (MMDA), Light Rail Transit Authority (LRTA), Philippine National
Railways (PNR), Metro Rail Transit (MRT 3 Office), Autonomous Region for Muslim
Mindanao (ARMM) and such other agencies related to transportation security;

©) Formulate, develop, issue and implement security standards, security regulations and
measures, international protocol, procedures, practices and policies including universally
accepted standards for the prevention of security risks and incidents: and

d) Collect fees and impose fines for the prevention of transportation security risk/incident
and for the protection and security of passengers, crews, cargoes, baggage, personnel,
transportation facilities, infrastructures and such other incidents of transportation
security.

SEC. 7. Powers and Functions. - The PTSA shall have the following powers and
functions:

a) As a law enforcement agency, it shall likewise exercise supervision, control and
regulations over all law enforcement and security agencies engaged in providing
transportation security services and over all matters involving transportation security
risks and for this purpose, coordinate with the Philippine National Police and other
law enforcement agencies;

b) Ensure safe and efficient security measures exercised by the different government
agencies involved in transportation services, including but not limited to, the

inspection of passengers, baggage and cargoes as well as the hiring and trai
personnel in security screening, inspection, verification and audit;

c) Determine tariffs, fares, rates, charges, and fees as it may deem necessary for air,
land and water transport security services and prescribe the manner by which fees
shall be paid and collected, subject to the provisions of this Act, notwithstanding any
laws to the contrary;

9 of

d) Formulate a comprehensive and consolidated transportation security management
program and renew and update the same annually in coordination with other
government agencies concerned;


©) Promulgate and issue rules and regulations governing the technical, economic, and
security aspects of the transport system for the security, safety, benefit and interest
of the public:

f) Prepare and adopt a comprehensive and separate (air, land and water) National
Transport Security Program, likewise prescribing rules and regulations for the
issuance of security access pass and the determination of levels of security
clearance for all air, land and water transportation facilities and infrastructures;

g) Conduct the investigation of any unlawful act of interference against public
transportation system, facilities and infrastructures, and file & litigate appropriate
charges related thereto and effect the arrest of offenders in accordance with law;

h) Acquire, purchase, own, administer, lease, mortgage, sell, encumber or otherwise
dispose of personal and real properties, equipment, property rights and interest
therein;

i) Sue and be sued in its corporate name;

j) Procure, own and carry firearms and issue mission orders thereon, subject to
existing laws, rules and regulations;

k) Determine the organizational structure of the Authority, establish a human
resources management system based on merit and fitness, and adopt a rational
‘compensation and benefit scheme:

1) Receive and assess intelligence information related to transport security threats;

m) Develop policies, plans and strategies against transportation security threats and
ensure the enforcement of national transportation security programs for all air, land
‘and maritime transportation systems in the PI

n) Perform such other functions necessary to effectively carry out the provisions of this
Act.

pines; and

SEC. 8. National Transportation Security Committee (NTSC). There is hereby
created a National Transportation Security Committee composed of the following; The Secretary
of The Department of Transportation & Communication as Chairman; The Secretary of the
Department of Interior & Local government as Co-Chairman; The Secretary of the Department
of Public Works and Highways; The undersecretary & Administrator of PTSA as Vice- Chairman
and the following as members; Asst. Secretary, Air Transport Office (ATO); Assistant Secretary,
Land Transportation Office (LTO); General Manager, Manila International Airport Authority
(MIA); General Manager, Cebu International Airport Authority (CIAA); General Manager, Subic
Bay International Airport Authority (SBAA); General Manager, Clark International Airport
Authority (CIA); Chairman, Metro Manila Development Authority (MMDA); Chairman, Land
Transportation and Franchising Regulatory Board (LTFRB); Chief, Philippine National Police
(PNP); General Manager, Philippine National Railways (PNR); Administrator, Light Rail Transit
Authority (LRTA); GM, Metro-Rail Transit Authority (MRTA); Executive Director, Toll Regulatory
Board (TRB); Commandant, Philippine Coast Guard (PCG); General Manager, Maritime
Industry Authority (MARINA); General Manager, Philippine Ports Authority (PPA); GM, Cebu
Port Authority (CPA); Chief, Armed Forces of the Philippines (AFP); Commissioner, Bureau of

4


Immigration (BI); Commissioner, Bureau of Customs; Director General, National Intelligence
Coordinating Agency (NICA); Group Commander, Presidential Security Group (PSG); and,
three (3) members from the private sector representing each of the modes of transportation.

SEC. 9. Duties of the NTSC. The NTSC shall have the following specific duties:

@) Define and allocate tasks and coordinate activities among the agencies of the
government, airport authorities, aircraft operators and other entities concerned
with or responsible for the implementation of the various aspects of
transportation security administration.

b) Coordinate security activities among the agencies of the government, airport and
seaport authorities, aircraft and sea-craft operators, terminals and bus & train
‘operators or entities concerned with or responsible for the implementation of the
National Transportation Security program.

©) Provide comprehensive policy guidance for the promotion and development of
the transportation security as provided in this Act;

d) Define and allocate tasks for the implementation of the security program;

) Ensure through the PTSA that each airport, seaport or terminals shall establish
‘and implement a written security programme appropriate to meet the
requirements of the national Transportation Security program; and

f) Submit an annual report to the President of the Philippines.

SEC. 10. Meetings. The NTSC shall meet regularly at least once a year and may hold
special meetings to consider urgent matters upon call of the Chairman or any (3) members of its
entire membership. The PTSA is the secretariat of the NTSC.

SEC. 11. Administrator and Deputy Administrator. The head of the authority shall be
known as the Administrator assisted by a Deputy Administrator, who shalll be responsible for the
general administration and management of the agency. The Administrator must be a natural
born citizen of the Philippines, at least forty-five (45) years of age, with at least ten (IO) years
experience in the field of transportation or security, five (5) years of which shall be in the field
directly related to security or allied services. The deputy administrator shall have the same
qualifications as the Administrator.

‘The Administrator and Deputy Administrator shall be appointed by the President of the
lippines for a term of seven (7) years from the date they assume office. They are eligible for
re-appointment.

For purposes of law enforcement functions, the Administrator and the Deputy
Administrator are deemed persons in authority. All subordinate officials and personnel are
deemed agents of persons in authority.

SEC. 12. Powers and Functions of the Administrator. ~ The Administrator shall have
the following powers and functions:


a) Execute, administer and implement the objectives, policies and programs of the
Authority and enforce decisions, orders, rules and regulations approved or
prescribed by the Board of Directors;

b) Determine sensitive security information and prohibit the disclosure of
information, files or records or date of any sort, if in his opinion, the disclosure of
such information shall, (I) be detrimental to the security of persons and things in
the transportation sector; (11) reveal trade secrets, privileged or confidential
information obtained from any person, natural or juridical; (111) constitute
unwarranted invasion of privacy of persons, including but not limited to,
information contained in any personnel, medical or similar file; (IV) undermine
public trusts and confidence in duly constituted authorities in the exercise of
judgment calls and discretions in any or all risk managements and preventive or
preemptive actions undertaken.

©) In view hereof, the officials and employees of the Authority shall not be
compelled to be a witness, report, inform, or testify in any inquiry or forum of
whatever nature called for the purpose unless authorized in writing and within the
scope of authorized inquiry by the President of the Republic of the Philippines.

d) Direct and supervise the management, operations, and administration of the
Authority in accordance with international standards of transportation security,
and impose fines, penalties and similar sanctions for any violation thereof;

e) Exercise visitorialinspection powers in all areas within the jurisdiction of the
Authority including but not limited to transportation terminals, stations and
buildings, offices, seaports and airports, tarmacs, wharfs and similar
infrastructures and issue travel and mission orders for the purpose;

f) Undertake research studies, investigations and other activities related to
contemporary transportation system security and future innovative requirements
thereof, on his own initiative or upon instruction of higher authorities, and to
submit comprehensive reports and appropriate recommendations to the Board
for proper action;

9) Formulate, develop, implement, revise and update the Air, Land and Maritime
National Transportation Security Programs and Operational Plans or Manual;

h) Prescribe collection procedures and schedules for security fees, rates and

charges consistent with prevailing international standards for the use of airports,
seaports, terminals and other transportation facilities or infrastructures. The
revenues collected thereon shall be reported to the National Treasury and shall
thereafter be disbursed by the Authority for the continuing support and upgrade
of the administration, operation and services of the Authority to effectively carry
out the objectives of this Act, subject to existing auditing and accounting laws,
rules, regulations and procedures;

i) Appoint, transfer, suspend, remove or otherwise di

e any subordinate
officer o r employee o f t he Authority, subject to Civil Service laws, rules and
regulations; and


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

SEC. 13. Removal for Cause. The Admi
as provided by law. In case of death, resignation, removal or permanent disability of the

rator may be removed from office for cause

Administrator, the Deputy Administrator shall act as Administrator in a concurrent capacity until
the Administrator shall have been appointed and qualified

SEC. 14. Prohibition. The Administrator, the Deputy Administrator, the Directors and
all other officials and employees of the Authority shall not own any transportation or security
enterprise, nor shall own any shares of stock or bond in any transportation or security enterprise
or in an enterprise that manufactures equipment used for transport security purposes. They
shall strictly avoid conflict of interest in the conduct of their office. Any violation hereof shall be
dealt with in accordance with law.

SEC. 15. Membership in the National Security Council. The Administrator or his
representative is hereby designated as member of the National Security Council and shall report
directly to the President of the Philippines regarding sensitive transportation security
information

SEC. 16. Organizational Structure of the PTSA. The authority shall consist of the
following Bureaus which shall be headed by a Director IV level (Civil Service Commission)

a) _Givil Aviation Security Bureau (CASE). - The Civil Aviation Security Bureau
shall conduct continuous inspection, monitoring and audit of air transportation facilities and
operations; formulate plans, policies, programs and implement rules and regulations for the
security of air transportation; and conduct investigation on all matters involving illegal acts or
unlawful interference committed upon or directed to air transportation facility and submit its
recommendations to the Admi

rator;

b) Maritime Security Bureau (MARSB). - The Maritime Security Bureau shall
conduct continuous inspection, monitoring, and audit of maritime transport

n facilities and
operations; formulate plans, policies, programs and implement rules and regulations for the
‘security of maritime transportation; and conduct investigation on all matters involving illegal acts
or unlawful interference committed upon or directed to maritime transportation facility and
submit its recommendations to the Administrator,

©) Road and Rail Security Bureau (RARSB). - The Road and Rail Security
Bureau shall conduct continuous inspection, monitoring, and audit of road and rail transportation

facilities and operations; formulate plans, policies, programs and implement rules and
regulations for the security of road and rail transport systems; and conduct investigation on all


matters involving illegal acts or unlawful interference committed upon or directed to road and rail
transportation systems and submit its recommendations to the Administrator;

e)

9)

h)

Intelligence and Communications Security Bureau (ICSB). - The Intelligence and
‘Communications Security Bureau shall provide the Authority with intelligence reports
and information on the extent of security risks and threats affecting all modes of
transportation; develop programs to strengthen the intelligence capability of the Authority
in securing the different modes of transportation including transportation communication

systems, facilities, services and infrastructures in the country;

Financial Management & Administrative Bureau (FMAB). - The Financial
Management & Admi

‘ative Bureau shall advise and assist the Administrator on
budgetary, financial and management matters. It shall likewise provide the Authority with
efficient and effective services relating to personnel, information, records, delivery and
receipt of correspondence, supplies, property, equipment, maintenance and utilization of
facilities; and provide services as may be provided by law;

Legal, Enforcement, Policy Research and Adjudication Bureau (LEPAB). - The
Legal, Enforcement, Policy Research and Adjudication Bureau shall provide t he
Authority with efficient and effective legal advice and opinion concerning the operation of
‘the Authority: prepare contracts and instruments to which the Authority is a party; review
reports relative to investigation conducted by the Authority and submit recommendations

pertaining thereto; Enforce and litigate transportation security laws, rules and
regulations; adjudicate matters affecting the implementation of the rules and regulations
‘on national policy for all aviation, maritime and land transportation security;

Institute for Transportation Security Training and Development (ITSTD). - The
Institute for Transportation Security Training and Development shall formulate, develop,
provide and maintain an effective, efficient and continuing training program for
transportation security personnel; conduct test and qualifying procedures for
transportation security equipment; undertake the training development and upgrade all

course materials on security training programs and transportation security policies.
The Administration is hereby authorized to establish, operate and maintain a Regional

Office in each of the administrative regions of the country. Each Regional Office shall be headed
by a Regional Director who shall be responsible for the implementation of this Act within his
administrative region.

SEC. 17. Law Enforcement. The Administration shall have the power to exercise law

enforcement function, as it may deem necessary, to carry out its functions and attain its

purposes and objectives: Provided, that the Administration may request the assistance of any
law enforcement agency, including request for deputation as may be required. Such function
shall be exercised in relation to the following: providing public safety, maintaining peace and


order, ensuring the security of passengers, crew, cargo and buildings, installations, equipment
and machinery; regulating and controlling entry into, and exit from, and movement within
controlled areas; supervising private security guards, and enforcing rules and regulations of the
‘Administration.

SEC. 18. Personnel Complement. For purposes of implementing the provisions o f t
his Act, personnel of units or offices of the Philippine Coast Guard (PCG); Philippine Ports
Authority Police (PPAP); Airport Police; Customs Police; PNP-Maritime Group (PNP-MARIG);
PNP-Aviation Security Group (PNPASG); PNP-Traffic Management Group (PNP-TMG);
Philippine National Railways Police (PNR Police); Civil Security Unit-Air Transportation Office
(CSU-ATO) and all other government agencies with the primary duty and functions of providing
transportation security shall be under the operational direction and supervision of the
‘Administration.

SEC. 19. Promotion and Selection Board. There shall be established a Promotion
and Selection Board within the Administration which shall screen and evaluate its personnel for
promotion. The appointment and promotion process shall be in accordance with the Civil
Service laws, rules and regulations.

‘All positions in the Administration hereinafter created shall be filled up in accordance
with the Administration's organizational structure, which shall define the qualification standards
consistent with the minimum requirements under the Civil Service Rules and Regulations.

The Chairman of the NTSC, in the interim and in the exigency of the service, appoints
the initial batch of Bureau Directors upon the recommendations of the PTSA Administrator.

Likewise, there shall be a Selection and Qualification Committee, which shall
recommend to the Administrator the appointment of all other personne! not herein provided.

SEC. 20. Headquarters, Offices and Location. The principal office of the PTSA shall
be in Metro Manila, but it may establish regional or field offices as may become necessary for
the proper conduct of its business.

SEC. 21. Appropriations. For purposes of organizing and constituting the PTSA, and
for carrying out the provisions of this Act, the amount of Five hundred Million Pesos
(P500,000,000.00) is hereby appropriated out of any funds available and not otherwise
appropriated in the National Treasury. In addition, the appropriations of the absorbed agency for
the current fiscal year shall be transferred to the Administration. Thereafter, such amount as
may be necessary to carry out the provisions of this Act shall be included in the annual General
Appropriations Act.

SEC. 22. Transitory Provisions. The Office for Transportation Security (OTS) under
the Department of Transportation and Communications is hereby abolished. The officials and
employees of the OTS shall be absorbed into the PTSA on the basis of merit and fitness and
shall serve as the initial personnel complement of the Authority: Provided, That the

9


Administrator, the Deputy Administrator and the Directors that may be absorbed under this Act,
shall be exempt from eligibility reqt

ments of the Civil Service Commission upon entry into the
Authority: Provided, however, That the said personnel shall have at least one hundred (100)
hours of basic security training and at least two (2) years of extensive experience in actual
investigation, intelligence and security functions or assignments.

Officials and employees of the absorbed agencies may continue to serve in their official
capacity with the Authority without service record interruption: Provided that they are qualified
and eligible for appointment in accordance with Civil Service laws, rules and regulations.

Alll existing facilities, equipment and all other assets, properties, rights, interests and
privileges which, upon the effectivity of this Act, are vested in, and owned by, the OTS and such
other agencies performing transportation security functions that may be absorbed by the PTSA,
are hereby transferred to the PTSA.

All financial and logistical resources, facilities and equipment shall be released and put
under the control of the PTSA. All organizations and agencies whose functions are transferred
to PTSA shall disburse their funds and resources through the Authority.

‘SEC. 23. Implementing Rules and Regulations (IRR). Within ninety (90) days from
his appointment, the Administrator shall promulgate rules and regulations necessary to ensure
the effective implementation of this Act.

SEC. 24. Repealing Clause. All laws, executive orders, letters of instructions, rules and
regulations and other issuances, or provisions thereof, 14 inconsistent with any provisions of
this Act are hereby repealed or amended accordingly.

SEC. 25. Separability Clause. If for any reason any provision of this Act is declared
unconstitutional or invalid, parts or provisions of this Act which are not affected shall continue to
be in full force and effect.

SEC. 26. Effectivity. This Act shall take effect fifteen (15) days after its publication in at
least two (2) national newspapers of general circulation.

Approved,

10