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

Eighteenth Congress
Second Regular Session

House Bill No.

Introduced by
HON. FERDINAND MARTIN G. ROMUALDEZ

and
HON. JUAN MIGUEL MACAPAGAL ARROYO

EXPLANATORY NOTE

Oriental Mindoro Management Resources Corporation (OMARCO) is a corporation
duly incorporated on 05 March 1966, with principal office address at Calapan, Oriental
Mindoro. The company was granted a franchise to construct, install, establish, operate, manage
and maintain for commercial purposes and in the public interest, radio and/or television
broadcasting stations anywhere in the Philippines by virtue of Republic Act (R.A.) 8128,

Under Section 24, Article 11 of the 1987 Philippine Constitution, “the State recognizes
the vital role of communication and information in nation-building.” The fundamental law
expressly recognizes the importance of meaningful communication and information
dissemination to build a strong Philippine nation.

Considering the mandate in the constitution, OMARCO seeks the granting of its
franchise by virtue of R.A. 8108. Moreover, the granting of OMARCO’s franchise would allow
it to broadcast relevant social and educational information to citizens throughout the country
During the ongoing public health crisis, the State has the duty to ensure that its citizens have
easy and steady access to national and local issues to guide them in their daily lives.

Hence, OMARCO earnestly seeks the grant of the renewal of this congressional
franchise subject of this application to continue its operation and management of its radio and
broadcast stations.

IDINAND MARTIN G. RO!
Representative, 1* District of



Republic of the Philippine:
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
Second Regular Session

House Bill No.8096

Introduced by
HON. FERDINAND MARTIN G. ROMUALDEZ
and
HON. JUAN MIGUEL MACAPAGAL ARROYO

AN ACT GRANTING A FRANCHISE TO ORIENTAL MINDORO
MANAGEMENT RESOURCES CORPORATION (OMARCO) TO
CONSTRUCT, INSTALL, ESTABLISH, OPERATE, MANAGE AND MAINTAIN A
NETWORK OF RADIO AND TELEVISION STATIONS ANYWHERE IN THE
PHILIPPINE, AND FOR OTHER PURPOSES”, FOR ANOTHER TWENTY-FIVE
(25) YEARS FROM THE EFFECTIVITY OF THIS ACT

Be it enacted by the Senate and House of Representatives of the Philippines in
Congress assembled:

Section 1. Nature and Scope of Franchise. ~ Subject to the provisions of the
Constitution and applicable laws, rules and regulations, there is hereby granted to the
Oriental Mindoro Management Resources Corporation (OMARCO), hereunder referred
to as the grantee, its successors or assigns, a franchise to construct, install, establish,
operate, manage and maintain for commercial purposes and in the public interest, radio
and/or television broadcasting stations anywhere in the Philippines with the
corresponding technological auxiliaries or facilities, special broadcast and other
program and distribution services and relay stations, and to install radio communication
facilities for the grantee’s private use in its broadcast services, is hereby renewed for
another twenty-five (25) years from the effectivity of this Act

Section 2. Manner of Operation of Stations or Facilities. - The stations or
facilities of the grantee shall be constructed and operated in a manner that will result to
minimal interference on the wavelengths or frequencies of other existing station/s 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
be maximized for the rendition of the grantee’s service and/or the availability thereof.

Section 3. Prior Approval of the National Telecommunications Com
The grantee shall secure from the National Telecommunications Commi
appropriate permits and licenses for its stations and shall not use any frequency in the
radio/television spectrum without having been authorized by the Commission. The



Commission, however, shall not unreasonably withhold or delay the grant of any such
authority.

Section 4. Responsibility to the Public. — The grantee shall provide adequate
public service time to enable the government, through the said broadcasting stations, 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 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 acts.

Section 5. Right of Government, — A special right is hereby reserved to the
President of the Philippines, in times of rebellion, public peril, calamity, emergency,
disaster or disturbance of peace and order, to temporarily take over and operate the
stations of the grantee, to temporarily suspend the operation of any station 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 during the period when they shall be so operated.

Section 6. Term of Franchise. — This franchise shall be for a term of twenty-five
(25) years from the date of approval of this Act, unless sooner revoked or cancelled. In
the event the grantee fails to operate continuously for two (2) years, this franchise shall
be deemed revoked; provided: the required process for revocation of legislative
franchises is first complied with before the revocation of the franchise is deemed
effective.

Section 7. Acceptance and Compliance. ~ This franchise shall become effective
upon acceptance in writing by the grantee. Upon giving such acceptance. the grantee
shall exercise the privileges granted under this Act. Non-acceptance shall render the
franchise void.

Section 8. Se/f-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 and/or incite treason, rebellion or sedition; or the language used therein or
the theme thereof is indecent or immoral, and willful failure to do so shall constitute a
valid cause for the cancellation of this franchise.

Section 9. Warranty in Favor of National and Local Governments. — The grantee
shail hold the national, provincial, 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.

Section 10. Sale, Lease, Transfer, Usufruct, etc. ~ The grantee shall not lease,
transfer, grant the usufruct of, sell nor assign this franchise or the rights and privileges
acquired thereunder to any person, firm, company, corporation or other commercial ot
legal entity, nor shall the controlling interest in the grantee be transferred to any such
Private person, firm, company, corporation or entity without the approval of the Congress
of the Philippines. Any person or entity to which this franchise is sold, transferred or
assigned shall be subject to all the same conditions, terms, restrictions, and limitations
of this Act.



Section 11. General Broadcast Policy Law. ~ The grantee shall comply with any
general broadcast policy law which Congress may hereafter enact.

Section 12. Separability Clause. ~ If any sections or provisions of this Act is held
invalid, all the other provisions not affected thereby shall remain valid

Section 13, Repeatability and Non-exclusivity Clause. ~ This franchise shall be
subject to amendment, alteration, or repeal by the Congress of the Philippines when ite
public interest so requires and shall not be interpreted as an exclusive grant of the
Privileges herein provided for.

Section 14. Effectivity Clause. ~ This Act shall take effect fifteen (15) days foes
the date of its publication in at least two (2) newspaper of general circulation in the
Philippines.

Approved,