Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

pate: 3.0 JIN 2016,
TIM,
By,

SEVENTEENTH CONGRESS

First Regular Session REGISTRATION UNIT

BILLS AND INDEX SERVICE
House Bill No, 189 bie)

Introduced by Hon. Anthony M. Bravo
and Hon. Sabiniano S. Canama
COOP-NATCCO PARTYLIST

EXPLANATORY NOTE

The National Irrigation Administration (NIA) is a government-owned and controlled
corporation primarily responsible for irrigation development and management. ‘The NIA’s
functions include the planning, designing, construction, and improvement of all types of
itrigation projects. It is also tasked to operate, maintain, and administer all national irrigation
systems,

‘The NIA is allowed to charge Irrigation Service Fees or ISFs in exchange for the
service of providing irrigation to farmers depending on the size of the farmland. The ISFs
were abolished by deposed President Joseph Estrada when he delivered his first State of the
Nation Address in 1998 but was later revised when NIA asked the adoption of a socialized
irrigation fee system, mandated by Administrative Order No. 17 of August 1998. The ISFs
are intermittently imposed and lifted especially in times of calamities when it is unreasonable
to impose additional fees on farmers.

However, there is a need to change the status quo. Irrigation is a very basic
governmental function that can very easily be shouldered by the state. It does not have to be
passed on to farmers. Considering that irrigation is a key factor in increasing agricultural
productivity, funding it will go a long way in ensuring adequate food supply and the early
recovery of the principal means of livelihood of people in disaster-hit and poverty-stricken
areas, This bill seeks the abolition of the ISF and to make irrigation services fie for all
farmers.

The early passage of this bill is thus earnestly requested

HON. SABINJANO,



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Republic of the Philippines.
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
First Regular Session

House Bill No. 189

Introduced by Hon. Anthony M. Bravo
and Hon. Sabiniano S. Canama
COOP-NATCCO PARTYLIST

AN ACT
ABOLISHING THE IRRIGATION SERVICE FEES (ISF) IMPOSED ON FARMERS
BY THE NATIONAL IRRIGATION ADMINISTRATION AMENDING FOR THE
PURPOSE CERTAIN PROVISIONS OF REPUBLIC ACT NO. 3601,
PRESIDENTIAL DECREE NO. 552 AND PRESIDENTIAL DECREE NO. 1702

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 “Free Irrigation Services
Act.”
SEC

TION 2. Declaration of Policy. It is hereby declared the policy of the State to
adhere to the principle of integrated and holistic program of support services that will
alleviate the situation of farmers and nurture them to unleash their full capabilities as
productive forces of society.

The State adheres t0 promote comprehensive rural development through increased
agricultural production and the adoption of necessary and sound measures to accelerate the
achievement of self-sufficiency in food, equitable access to opportunities and sustained
productivity as key strategies to raise the quality of life in rural areas and overall national
development.

Toward this objective, it shall endeavour to provide the necessary and vital support

services and assistance to farmers, including but not limited to inputs to production,

production support, post-harvest facilities and irrigation services.


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SECTION 3. Termination of collection of Irrigation Service Fees (ISF). The
collection of irrigation service fees ftom farmer beneficiaries of itrigation systems
constructed, funded, and/or managed by the National Irrigation Administration, including the
collection of back accounts and the corresponding penalties thereof, shall be stopped upon the
passage of this Act.

SECTION 4, Construction, Repair and Maintenance of National Irrigation Systems. ~
For the purpose of ensuring the necessary construction, repair and maintenance of irrigation
systems administered by the National Irrigation Administration, the required amounts shall be

included in the annual General Appropriations Act (GAA).

SECTION 5. Government Subsidy for the management of irrigation systems, The
State shall provide necessary subsidies to farmers and irrigators associations and cooperatives
to ensure effective and grassroots-based management of irrigation systems, the funding of
\whish shall likewise be included in the annual GAA.

SECTION 6. Repeal of certain provisions of the Charter of the National Irrigation
Administration. ~ The following, provisions that grant the National Irrigation Administration

the power to levy irrigation fees are hereby repealed:

a. Republic Act 3601, Section 2, paragraph

(c) To
collect from the users of each irrigation system constructed by it such fees as

[The NIA shall have the following powers and objectiv

may be necessary to finance the continuous operation of the system and to
reimburse within a certain period not less than 25 years the cost of

construction thereof]
'b. Presidential Decree (PD) 552, Section 1, paragraph b:

[The NIA shall have the following powers and objectives:
(b) To charge and collect from the beneficiaries of the water from all
irrigation systems constructed by or under its administration, such fees or

administrative charges as may be necessary to cover the costs of operation,


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maintenance, and to recover the cost of construction within a reasonable

period of time to the extent consistent with government policy.]
©, PD 1702, Section 1 paragraph b:

[(b) Operating capital - All amounts collected by the National
Iigation Administration as irrigation fees, administration charges, drainage
fees, equipment rentals, proceeds from the sale of unserviceable equipment
and materials, sale of all reparation goods allocated to the defunct irrigation
service unit and the National Irrigation Administration, all other income shall
be added to its operating capital.)

SI

ION 7. Separability Clause. - If any provision of this Act or the application of
such provision to any person or circumstance is declared invalid, the remainder of the Act or
the application of such provision to other persons or circumstances shall not be affected by

such declaration,

SECTION 8. Repealing Clause. — Any law, presidential decree or issuance, executive
order, letter of instruction, administrative order, rule, or regulation contrary to or inconsistent
with this Act, or may be construed, either expressly or impliedly, to grant the National
Irrigation Administration the power to levy any kind of irrigation fee or other kind of
monetary imposition, is hereby repealed, modified, or amended accordingly.

SECTION 9. Effectivity Clause. — This Act shall take effect fifteen (15) days after its
publication in the Official Gazette and newspaper of general circulation.

Approved,