Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

House BILL No.2429

INTRODUCED BY REPRESENTATIVE ALFRED VARGAS

EXPLANATORY NOTE

The World Health Organization has identified Diabetes as one of the four major non-
communicable diseases that cause deaths worldwide. With 7.3 million people with
diabetes, itis feared that the Philippines is becoming the “Diabetes hotspot” of the world.
Worse, Filipinos diagnosed with diabetes are getting younger as children as young as five
years old have been diagnosed with Type 2 Diabetes.

This Representation firmly believes that the increasing prevalence of Diabetes in the
country can be reversed because Diabetes can be prevented through simple lifestyle
measures. Furthermore, Diabetes is treatable, can be controlled and managed to prevent
complications. This can be done by increasing access to diagnosis, self-management
education, and affordable treatment.

This bill provides a holistic approach to preventing and beating diabetes. It seeks to
establish the Philippine Center for Diabetes and Endocrinology which will ensure the
provision of medical services and other intervention methods (education, research, etc.)
to our countrymen who are afflicted with Diabetes,

Efforts to prevent and treat diabetes will be important in achieving the sustainable
development goal to “ensure healthy lives and promote well-being for all at all ages.”
Thus, the immediate passage of this bill is sought.

. ALFRED WARGAS
Fifth District, Quezon City


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
First Regular Session

HOUSE BILL NO. 2429

INTRODUCED BY REPRESENTATIVE ALFRED VARGAS

AN ACT
ESTABLISHING THE PHILIPPINE CENTER FOR DIABETES AND ENDOCRINOLOGY
AND FOR THER PURPOSES

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

SECTION 1. Declaration of Policy. -It is the policy of the State to protect and
promote the right to health of the people and instill health consciousness among them by
providing specialized health services and research, education and training facility
responsive to the country’s health needs and problems.

Hence, it is the primary concern of the government to assist and provide material and
financial assistance in the establishment of a specialty hospital for Filipinos suffering from
diabetes and promote diabetes care, prevention and cure all over the country.

SEC. 2. Creation of the Philippine Center for Diabetes and Endocrinology. ~
There is hereby created a body corporate to be known as the Philippine Center for
Diabetes and Endocrinology (PCDE), under the Department of Health (DOH), which shall
serve as the lead tertiary-level care center in the screening, prevention, diagnosis and
treatment of diabetes.

The PCDE shall have its principal office in Metro Manila, and may have such branch
offices, hospitals, clinics or subsidiaries in Visayas and Mindanao and other areas in the
Philippine as it may deem proper and necessary.

SEC. 3. Purpose and Objectives. The PCDE shall have the following purpose and
objectives:

(a) To construct, establish, equip, maintain, administer and operate such
integrated medical institution or institutions which shall provide an organize
system of care, comprehensive and optimal treatment for patients with
diabetes and other endocrine problems;


(b) To conduct nationwide screening and diagnosis of diabetes, obesity and the
components of the metabolic syndrome;

(©) To promote, encourage and engage in medical and scientific research on the
prevention and treatment of diabetes and other endocrine diseases and gather,
compile, and publish the findings of such researches for public dissemination;

(d) To encourage, undertake and assist conferences, fora, conventions, seminars,
workshops and training programs for physicians, nurses, health officers,
medical technologists, social workers and medical and technical personnel on
the practical and scientific implementation of health care services to diabetic
patients;

(e) To assist universities, hospitals and research institutions in their studies on
diabetes and other endocrine diseases and other related fields, to encourage
and grant scholarships for advanced training and specialization in medical care
and management in diabetes and related fields and to support finance
educational programs of value to public health;

(1) To encourage the formation of other organizations at the national provincial,
city and/or local levels, and to coordinate the various efforts and activities of
such organizations for the purpose of achieving a more effective approach to
the common problem relative to the purposes and objectives enumerated
herein; and

(g) To encourage telemedicine by establishing networks through internet facilities
to link physicians at the local level or barrio doctors to specialists who can
provide inputs to care of diabetic patients, especially in underserved areas.

SEC. 4. Powers and Functions. - For the attainment and/or furtherance of the
above-enumerated purposes and objectives, the PCDE is a body corporate acting through
its Board of Trustees, shall have the following powers and functions in addition to those
provided for in the other sections of this Act:

(a) To acquire, own, hold, use, lease, grant, mortgage, pledge, sell, assign, convey,
transfer, exchange, dispose or otherwise deal with, real and/or personal
properties of every kind and nature, including shares of stock, bonds,
debentures, notes, securities and other evidences of indebtedness or
obligations of other corporations, whether domestic or foreign, and whether
government or private;

(b) To solicit and receive donations, endowments and funds in the form of
contributions, whether in cash or in kind, from both the public and private
sectors;


(c) To award, enter into, make, execute, perform and carry out domestic or foreign
contracts of whatever kind and nature;

(d) To open accounts in banks and other financial institutions, and to disburse such
funds or invest the same as the Board may direct to accomplish or advance the
purposes or interest of the PCDE, and to obtain loans, borrow funds and/or
arrange financing or credit assistance of whatever kind and nature from all
sources, whether domestic or foreign and whether government of private.

(e) To levy, assess and collect such fees, charges and assessments as may be
necessary or proper to support, finance and maintain its operations;

(f) To invite diabetes specialists and similar experts in the various medical fields
to train the personnel or trainees or residents of the PCDE and to also support
the trainings, seminars, conferences and conventions of its medical personnel
in research and medical institutes or universities, be it local or international as
the Board may deem necessary and in line with the principles of the Philippines
Qualifications Framework (PQF), to accomplish the purposes and objectives of
the PCDE;

(g) To adopt and use a corporate seal;
(h) To sue and be sued in its corporate name;

(i) To adopt its by-laws, rules and regulations not inconsistent with law of the
provisions hereof to govern the administration and operation of the affairs of
the PCDE; and

(i) To exercise such other powers and functions as may be necessary, related or
incidental or to carry out the purposes and objectives of this Act.

SEC. 5. The Board of Trustees; Composition; Term and Compensation.

- The PCDE shall be governed, and its activities and properties shall be directed,
controlled and managed, by a Board of Trustees, hereinafter referred to as the Board,
which shall be composed of a Chairperson and six (6) members, all of whom shall be
appointed by the President of the Philippines.

At least one (1) member shall come from the Philippine Society of Endocrinology,
Diabetes and Metabolism (PSEM) and at least one (1) from the academe.

The Chairman of the PCDE shall be appointed from among the members of the
Board.

Except the President of the PCDE, the members of the Board shall serve for a term
of three (3) years, with a right to hold-over until their respective successors shall have
been duly appointed and qualified. The President of the Philippines may, however,
remove any member of the Board for cause, Whenever a vacancy shall occur in the Board,


the person appointed to fill the vacancy shall hold office for the unexpired term of the
member replaced.

Except the President of the PCDE, each member of the Board shall receive
compensation in accordance with current standards set by the Department of Budget and
Management (DBM) and as may be determined by the Department of Health (DOH).

SEC. 6. Power and Functions of the Board. - The Board shall have the following
powers and functions:

(a) To formulate policies, guidelines and programs to effectively implement and
carry out the purposes and objectives of this Act;

(b)To prescribe, review and revise the amount of the fees, charges, and
assessments levied and collected for the support and maintenance of the
operations of the PCDE;

(c) To control the management, operation and administration of PCDE;

(d) To promulgate such rules and regulations as may be necessary or proper for
the effective exercise of power and functions as well as the discharge of the
duties, responsibilities of the PCDE, its officers and employees;

(c) To authorize such expenditures of the PCDE as may be necessary or proper for
the effective management, operation and administration of the PCDE;

(f) To adopt the annual and supplemental budget of receipts and expenditures of
the PCDE;

(g) To appoint, remove, suspend or otherwise discipline the Executive Vice-
President and other officers of the PCDE occupying executive and senior
management positions;

SEC. 7. Officers of the PCDE. The Board shall determine the officers of the PCDE
who shall be appointed by the President of the PCDE subject to confirmation by the Board.
The PCDE may have an Executive Vice-President and such Vice-Presidents and Assistant
Vice-President as may be required for the effective operation of the PCDE.

SEC. 8. The President, His Term and Remuneration. The President of the PCDE
shall be appointed by, and shall serve at the pleasure of the President of the Philippines.
The salary of the President of the PCDE shall be fixed by the Board, subject to the approval
of the President of the Philippines.


SEC. 9. Powers and Duties of the President. The President of the PCDE shall be
the Chief Executive Officer of the PCDE. He shall exercise the following powers and duties.

(a) To execute the policies, guidelines and programs approved by the board, and
to be responsible for the efficient discharge of management and operational
functions;

(b) To submit for the consideration and approval of the Board proposed measures,
policies, guidelines and programs as he may deem necessary or proper for the
effective implementation of the purposes and objectives of this Act;

(c) To direct and supervise the management, operation and administration of the
PCDE, and, for this purpose, he/she may delegate any or some of his/her
administrative responsibilities and duties to the other officers of the PCDE;

(d) To execute, on behalf of the PCDE, all contracts and agreements which the PCDE
may enter into, and to execute, accomplish and deliver any and all documents
relative to such contracts and agreements;

(e) To represent the PCDE in all dealing with other offices, agencies and
instrumentalities of the Government, and all other persons or entities, whether
domestic or foreign and whether government or private;

(f) To appoint, promote, transfer, remove, suspend or otherwise discipline the
officers and employees of the PCDE, except those appointed by the Board;

(g) To exercise such other powers and perform such duties as may be vested or
reposed upon him by the Board.

SEC. 10. Assistance from the Government. - The PCDE may call upon any
department, bureau, office, agency or instrumentality of the Government, including
government-owned or controlled corporations, local government units, and state

universities and colleges for such assistance as it may need in the pursuit of the purposes
and objectives of this Act.

SEC. 11, Authority of the President in Emergencies. ~ In case of emergencies
which require immediate action by the Board, and there is no sufficient time to call a
meeting thereof, the President of the PCDE, with the concurrence of any three (3) other
members of the Board, may decide on any matter or take any action within the authority
of the Board itself.

SEC. 12. Donations to the PCDE. The PCDE is hereby authorized to solicit and
receive donations, grants, contributions, gifts or endowments from all sources whether
foreign or domestic, and whether government or private, without the need of securing a
permit, approval or registration from any government agency.


SEC. 13. Exemption from Fees, Duties and Taxes. - The PCDE is hereby declared
exempt from all income and all other internal revenue taxes, tariff and customs duties and
all other kinds of taxes, fees, charges and assessments levied by the Government and its
political subdivisions agencies and instrumentalities. Notwithstanding any provision of
law to the contrary, all donations, grants, contributions, gifts or endowments which may
be made by entities or persons to the PCDE shall be exempt from income and gift taxes,
and the same shall be further deductible in full for purposes of computing the maximum
amount deductible under the National Internal Revenue Code of 1997, as amended.

SEC. 14. Government Contribution. - The amount of Ten Billion Pesos
(P10,000,000,000.00) is hereby appropriated from the Philippine Amusement and
Gaming Corporation (PAGCOR) to defray the initial operational expenses of the PCDE.
Thereafter, the necessary amount to support the continued operation and maintenance of
the PCDE shall be included in the General Appropriation Act.

SEC. 15. Annual Report. - The PCDE, through its President, shall render to the
President and both houses of Congress annual reports on its accomplishments and
activities.

SEC. 16. Applicability of the Corporation Law.The provisions of the general
corporation law, insofar as they are not inconsistent with the provisions of this Act and
with the purposes and objectives for which the PCDE is formed, shall apply to the PCDE.

SEC, 17. Implementing Rules and Regulations. - The President, in close
coordination with the DOH, DOST, NEDA, UP-PGH, and other stakeholders such as the
Philippine Society of Endocrinology and Metabolism (PSEM) and shall within sixty (60)
days from the date of the effectivity of this Act, promulgate and publish the rules and
regulations for the effective and faithful implementation of this Act, Provided, that the
failure of the promulgation of said rules and regulations shall not prevent the
implementation of this Act upon its effectivity.

SEC. 18. Separability Clause. - If any portion or provision of this Act is
subsequently declared invalid or unconstitutional, other provisions hereof which are not
affected thereby shall remain in full force and effect.

SEC. 19. Effectivity. - This Act shall take effect fifteen (15) days after its

publication in the Official Gazette or in at least two (2) newspapers of general circulation.

Approved,