Republic of the Philippines 11 AUG 2014
House Or REPRESENTATIVES
Quezon City, Metro Manila

Sixteenth Congress
Second Regular Session

HOUSE BILL NO. __ 4859

Introduced by Honorable Peter “Sr. Pedro” M. Unabia

EXPLANATORY NOTE

This bill seeks to impose the payment of entrance fees to residents of the
Philippines who patronize gambling casinos, amending for the purpose
Presidential Decree (PD) No. 1869, as amended, also known as the Charter of
the Philippine Amusement and Gaming Corporation (PAGCOR).

Addressing poverty has always been a challenge to the government.
What is more worrisome is that many Filipinos want to gamble instead of doing
something more conerete to improve their lives other than waging hard-earned
money in gambling, particularly, in casinos.

Some countries have already adopted policies as deterrents to their locals
not to enter casinos. In Singapore, after a 2011 survey showed an increasing
proportion of low-income gamblers playing with ever-larger sums, the
government decided to prohibit entry in casinos by the unemployed, people on
welfare and people who have filed for bankruptcy protection. Thereafter,
Singapore also imposed an entrance levy for local patrons to dissuade them
from gambling and therefore minimizing the impact of casinos on local
residents. In an effort to deter gambling in casinos, the government of
Singapore obliged all permanent residents to pay $100 (Singapore Dollars)
entrance levy or an annual entry levy of $2,000 (Singapore Dollars).

In Monaco, the local residents are not allowed entry at all while
foreigners who enter casinos are charged entry fees. In India, local patrons are
charged an entry fee of 200 rupees to deter them from playing in the casinps.

Bill Drafting Service


‘A close look at the charter of PAGCOR yields no requirement of an entry
fee for anyone who wants to play in the casino. Under Section 14 (3) (b) of PD
1869, a resident must have a gross income for the previous year of at least
50,000.00, as certified by the Bureau of Internal Revenue, in order to be
allowed to play in the casino. In reality, however, this requirement is neither
observed nor imposed.

To prevent financially inadequate persons from entering the gambling
casinos, however, PAGCOR has been implementing the following built-in
controls:

1. Issuance of player tracking system (PTS) cards or loyalty cards for
casino patrons;

2. Establishment of casinos in locations where financially inadequate
individuals cannot enter including luxury resorts and 3-star hotels
at the minimum; and

3. Betting at minimum bets of P500 pesos in a single play for
baccarat tables.

‘These measures are not enough. An entrance fee of P3,500.00 for local
patrons will serve as a deterrent to locals and would make them think twice
before entering a gambling casino. It will discourage the locals from gambling
in casinos. Moreover, the amount realized in requiring entrance fees will serve
as additional revenues for the socio-civic programs of the government as
mandated by PD 1869.

In view of the foregoing, approval of this bill is earnestly sought.

PETER 0” M. UNABIA


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Republic of the Philippines
House Or Represenratives
Quezon City, Metro Manila

Sixteenth Congress
Second Regular Session

House BILL No, 4859

Introduced by Honorable Peter “Sr. Pedro” M. Unabia

A AN ACT
IMPOSING THE PAYMENT OF ENTRANCE FEE TO RESIDENTS OF
THE PHILIPPINES WHO PATRONIZE CASINOS, AMENDING FOR
THE PURPOSE PRESIDENTIAL DECREE NO. 1869, AS AMENDED,
ALSO KNOWN AS THE CHARTER OF THE PHILIPPINE
AMUSEMENT AND GAMING CORPORATION

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

SECTION 1. Section 14 (3) (b) of Presidential Decree No. 1869, as
amended, is hereby amended to read as follows:
“SEC. 14. Other Conditions.
(1) Place, ~ xxx
(2) Time. ~ xxx
(3) Persons allowed to play ~
(a) Tourist and/or Foreigners who are not residents of the

Philippines;

Bill Drafting Service


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aa

(b)

Residents [with a gross income for the previous year
of at least P50,000, which fact shall be certified to the
Bureau of Internal Revenue] OF THE PHILIPPINES:
PROVIDED, THAT AN ENTRANCE FEE OF
THREE THOUSAND FIVE HUNDRED PESOS
(P3,500.00) IS PAID UPON ENTRY TO THE
CASINO.

THE CORPORATION IS HEREBY
AUTHORIZED, UPON THE APPROVAL OF THE
PRESIDENT OF THE PHILIPPINES, TO
INCREASE THE ENTRANCE FEE REQUIRED
UNDER THIS SECTION EVERY FIVE (5) YEARS
AFTER THE EFFECTIVITY OF THIS ACT.

The number of guests of the above-mentioned
qualified persons shall be limited to two (2) only:
Provided, That the said guests are at least 21 years of
age. GUESTS WHO ARE RESIDENTS OF THE
PHILIPPINES SHALL ALSO PAY THE
ENTRANCE FEE REQUIRED UNDER

PARAGRAPH 3 (B) OF THIS SECTION.


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SEC. 2. All laws, decrees orders, rules and regulations and other
issuances or parts thereof which are inconsistent with the provisions of
this Act are hereby repealed, amended or modified accordingly.

SEC. 3. This Act shall take effect fifteen (15) days after its publication
in the Official Gazette or in a newspaper of general circulation.

Approved,