NINETEENTH CONGRESS OF THE
REPUBLIC OF THE PHILIPPINES
First Regular Session

HOUSE OF REPRESENTATIVES

H.B.No, 3179

Introduced by Representative Ralph G. Recto

AN ACT
PROVIDING FOR THE FAIR AND EQUITABLE ALLOCATION OF FARM-TO-
MARKET ROADS PROJECTS OF THE DEPARTMENT OF AGRICULTURE

EXPLANATORY NOTE

Farm-to-market roads offer distinct advantages to the agricultural sector. One, it
increases farmers’ profit, reduces transportation costs and post-harvest losses and
introduces competition among traders and suppliers alike. Second, it provides access to
social services and agricultural support services, which in turn improves productivity of

farm workers and enhances agricultural efficiency.

Farm-to-market roads also serve other developmental roles in the countryside. In
an Asian Development Bank (ADB) study on the effectiveness of poverty reduction
interventions on agrarian reform communities in the Philippines, it was observed that
rural infrastructure — roads, in particular ~ has the strongest impact on poverty. Rural
road development can lead to influx of micro and small investments, short-term
employment, enhancement of quality and frequency of public transportation, and
improved access to medical, health, and other social services. As former National
Economic Development Authority Director General Arsenio Balisacan argued, “investment
in land quality and in access to infrastructure, together with sound fundamentals (i.e.,
fiscal and monetary restraint), are critical to the building of initial conditions for broad-

based growth and development.”



For Fiscal Year 2022, P7.49 billion was appropriated under the budget of the
Department of Agriculture (DA) for farm-to-market road projects. However, such
appropriations came with no institutionalized mechanism to ensure equitable distribution
of government appropriations for farm-to-market roads. This situation renders the
allocation of farm-to-market roads vulnerable to exploitation by unscrupulous individuals
who seek to further their own personal and political interests.

This bill seeks to make countryside development inclusive through fair and
equitable distribution of government resources. It establishes a formula for the allocation
of farm-to-market road appropriations, taking into account the exigencies of factors such
as land area and population. Additionally, it penalizes willful misallocation of farm-to-
market road appropriations with incarceration and perpetual disqualification to hold
public office. Through the adoption of criteria for farm-to-market roads allocation, this
bill seeks to ensure that no locality will be left behind.

In light of this, the approval of this bill s earnestly sought.

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

HOUSE OF REPRESENTATIVES

H. B. No. 3179

Introduced by Representative Ralph G. Recto

AN ACT
PROVIDING FOR THE FAIR AND EQUITABLE ALLOCATION OF FARM-TO-
MARKET ROADS PROJECTS OF THE DEPARTMENT OF AGRICULTURE

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

Section 1. Short Title. - This Act shall be known as the "Farm-to-Market Roads
for All Act."

Sec. 2. Declaration of Policy. ~ It is hereby declared the policy of the State to
encourage rural development and to empower the agricultural sector towards meaningful
and inclusive economic development. Accordingly, the State shall provide for the
development of the agricultural sector of the entire country through the fair and equitable
provision of adequate and appropriate services, infrastructure and resources. With this
end in view, the State shall ensure the effective utilization of government resources
through the establishment of a mechanism that would ensure the fair and equitable
allocation of farm-to-market road projects of the Department of Agriculture (DA).

Sec. 3. Definition of Farm-to-Market Road. ~ For the purpose of this Act, the term
“Farm-to-Market Road” refers to a road linking the agriculture and fisheries production
sites, coastal landing points or post-harvest facilities to the markets, and arterial roads
or highways.

Sec. 4. Allocation of Farm-to-Market Roads, — Notwithstanding any provision of
the law to the contrary, the appropriations for farm-to-market road projects under the
DA shall be allocated among provinces and municipalities in the following manner:

(a) Thirty percent (30%) of farm-to-market road appropriations to be allocated

for provinces; and


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(b) Seventy percent (70%) of farm-to-market road appropriations to be allocated
for municipalities: Provided, That the share of each province and municipality shall be
determined on the basis of the following formula:

(a) Twenty-five percent (25%) of farm-to-market road appropriations to be
allocated ,pro rata according to the population of the province or municipality in relation
to the total population of the country;

(b) Fifty percent (50%) of farm-to-market road appropriations to be allocated pro
rata according to the land area of the province or municipality in relation to the total land
area of the country; and

(©) Twenty-five percent (25%) of farm-to-market road appropriations to be
allocated equally among the provinces or municipalities.

Sec. 5. Implementing Rules and Regulations. ~ Within sixty (60) days from the
effectivity of this Act, the DA shall, in coordination with the Department of Public Works
and Highways (DPWH) and the Department of Budget and Management (DBM),
promulgate the necessary rules and regulations to effectively implement the provisions
of this Act.

Sec. 6. Separability Cause. - If, for any reason, any provision of this Act is
declared unconstitutional or invalid, such parts or portions not affected thereby shall
remain in full force and effect.

Sec. 7. Repealing Clause. — Ail laws, executive orders, presidential decrees,
issuances, rules and regulations or parts thereof inconsistent with the provisions of this
Act are hereby repealed, amended or modified accordingly.

sec. 8. Effectivity. — This Act shall take effect fifteen (15) days following its
publication in at least two (2) newspapers of general circulation or in the Officia/ Gazette.

Approved,