EIGHTEENTH CONGRESS OF THE )

REPUBLIC OF THE PHILIPPINES )
First Regular Session )
HOUSE OF REPRESENTATIVES
HLBNo, 4399

Introduced by Rep. Vilma Santos-Recto
6" District of Batangas

AN ACT
CREATING THE DEPARTMENT OF FISHERIES AND AQUATIC RESOURCES,
PROVIDING FOR ITS POWERS AND FUNCTIONS, APPROPRIATING FUNDS
THEREFOR, AND FOR OTHER PURPOSES

EXPLANATORY NOTE

Given its geographical characteristics, the Philippines have been regarded as one of
the major fish-producing countries of the world. The Philippines is blessed with some
220 million hectares of territorial waters', 18.46 million hectares of continental shelf area and
2.7. million hectares of coral reefs’. Inland, the Philippines hosts about
246,063 hectares of swamplands, 253,854 hectares of fishponds and about
250,000 hectares of other inland resources’. The Food and Agriculture Organization of the
United Nations (FAO UN) projected that the country would produce about 3.23 million
tonnes of fish by 2030*,

The fisheries industry is a critical socioeconomic sector in terms of its role in
production of food and generation of household income. On the one hand, an average Filipino
household’ annually spends about P10,682 on fish and other seafood’ and consume about
19.27 kilogram of tuna, 12.67 kg of tilapia, 11.26 kg of bangus, and
5.10 kg of galunggong’. On the other hand, the fisheries sector contributes P214.87 billion to

“cacig eve economies (2)
Sts Aor The tre Sito he Pins 201 017. cuon ry: pine ais ort
2015-2017. Quezon Cy:

of he Pipes. ss Autor

‘food nt hare ron ee Und tons GIN, Te Seo Word Pars ond hana Rome Fed on gesture Ggtton of

‘average Doushold 2 Is about 4 perions per household Oat taken from ip-/ps gov ph/content/iglahts nowehol poplnon numbee.
"on ne 2018,

“PappineStatstes Author (217) Family Income ad Expendture Survey. Acesed tom hnsJ/ss kx sh/conten/2015 ss asiona es on 25

” phone Statistics Ahoy. 209). Openstat. Accessed from his: /opsnstat gov. 0925 ne 201,

1


the national economy, or about 13.28% of the total Gross Value Added (GVA) of the
Agriculture, Hunting, Forestry and Fishing in 2018° while employing about 1.23 mi

people in 2019°.

Despite the importance of the sector to Filipinos in terms of sustenance and
livelihood, the Philippine fisheries industry experiences nominal growth without
improvements in productivity. While the fisheries sector Gross Value Added (GVA)
increased by an average of 2.31% per annum from 2011 to 2018"°, the volume of fisheries
production actually declined by an average of 2.07% annually during the same period". This
seemingly-ironic situation reveals a deep-seated problem in the fisheries sector — one where

the price inflation is one of, if not the, primary drivers of “growth.”

This predicament calls for a stronger government agency to maintain sufficient and
sustainable food supply, to improve the productivity of the fisheries industry, to conserve our
marine and aquatic resources, and to protect the welfare of small-scale fishermen and local

fishing communities.

This bill seeks to create a Department of Fisheries and Aquatic Resources, a
government agency distinct from the Department of Agriculture, to address the needs of the
Philippine fisheries sector. Through this intervention, proper institutional focus, sufficient
technical expertise and adequate government support and funding can be extended on matters
concerning the Philippine fishery sector.

Ultimately, this bill seeks to realize two noble objectives: ensuring sustainable
livelihood for Filipino fisherfolk, and maintaining an adequate food supply for the country in
the years to come.

In view of the foregoing, immediate passage ce SS

rom nto opens i. on 25 June 208

* pine Statistics Authrty (2019), Employment Rat n Apr 2019 Estimated 8 949 Percent. Acesed fom hia gov oh/ontetlemolorment.
‘ala 2019 stmated 948 percent on 25 ne 2019,

* onigpine Statics thor, 201). Openstat Accessed om his /onentat go. on 25 une 2018.

"pnlippine States Author. 201), Opestt Accessed om i /operstat.8 0.9) on 25 ane 2018.

poppe Statistics Author. 201). Openstat. Accessed

2



eevraneswone

1
12
13
14
15
16

EIGHTEENTH CONGRESS OF THE )

REPUBLIC OF THE PHILIPPINES )
First Regular Session )
HOUSE OF REPRESENTATIVES
H.B.No, 4350

Introduced by Rep. Vilma Santos-Recto
6" District of Batangas

AN ACT
CREATING THE DEPARTMENT OF FISHERIES AND AQUATIC RESOURCES,
PROVIDING FOR ITS POWERS AND FUNCTIONS, APPROPRIATING FUNDS
THEREFOR, AND FOR OTHER PURPOSES

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

Section 1. Title. - This Act shall be known as the “Department of Fisheries and
Aquatic Resources Act.”

Sec. 2. Declaration of Policy. — It is hereby declared the policy of the State to:

(a) promote the sustainable development and management of all fisheries, marine
and aquatic resources in Philippine waters including its exclusive economic zones (EEZs), in
the adjacent high seas and in coastal and inland aquatic resources consistent with the
objective of maintaining a sound ecological balance, protecting and enhancing the quality of
the environment;

(b) protect and conserve the nation’s aquatic wealth in its archipelagic waters,
territorial seas, and EEZs and reserve use and enjoyment exclusive to Filipino citizens;

(©) safeguard the rights of small-scale fishermen in the preferential use of communal
marine, fisheries and aquatic resources;

(d) ensure sustainable fisheries production in inland aquatic resources consistent
with the objective of ensuring availability of food staples and achieving food security; and

(©) to protect fisherfolk communities from the adverse effects of climate change and
natural and man-made hazards.


eer annewone

Sec. 3. The Department of Fisheries and Aquatic Resources. ~ The Department of
Fisheries and Aquatic Resources, hereinafter referred to as the “Department,” is hereby
created in accordance with the provisions of this Act.

Sec. 4. Mandate. — The Department shall have primary jurisdiction over the
management, conservation, development, protection, utilization and disposition of all fishery
and aquatic resources of the country, including the habitats of fish and all other marine life

and other activities which impact on these habitats, with the exception of municipal waters,
which shall remain under the jurisdiction of local government units (LGUs): Provided, That
LGUs shall manage their respective municipal waters in accordance with national fishery
policies, laws, rules, and regulations, and in a manner consistent with the policies set forth
herein.

‘The Department shall have the authority to supervise and regulate the production and
capture of fish and fishery products within its jurisdiction, as well as the processing and
marketing of all fisheries and aquatic products in the country.

‘The Department shall also have the responsibility of rationalizing all ocean sector
initiatives which impact on fish and marine resources or their habitat including, but not
limited to: exploration and development of marine energy, promotion and management of
coastal and marine tourism, designation of shipping lanes, and identification and management
of protected areas and marine industry development areas.

Sec. 5. Powers and Functions. ~ The Department shall exercise the following powers
and functions:

(a) Exercise authority and responsibility over the utilization of the ocean, including
its fisheries and their habitat;

(b) Coordinate and monitor the implementation of fisheries and ocean sector statutes,
policies, plans and programs for all maritime components;

(©) Promulgate and enforce fisheries and oceans habitat regulations to clarify and
amplify the aforementioned departmental mandate in accordance with the published fisheries
and oceans management plans;

(@) Prepare and implement a comprehensive Fisheries Management Plan, based on
precautionary principle and the principle of sustainable development using scientifically-

generated information or best available evidence on the status of the fisheries and marine

resources;
(©) Formulate and implement a Fishery Industry Development Program consistent
with the national development plan, and set policies and standards for the efficient and

2


economic operation of the fishing industry in accordance with the principles of food security
and sustainable development;

() Promulgate rules and regulations governing the conservation and proper
utilization of fisheries and aquatic resources, with the exception of municipal waters which
shall remain under the jurisdiction of LGUs concerned;

(g) Issue licenses for the operation of commercial fishing vessels and permits for the
conduct of fishery activities, subject to the specific resource carrying capacities as determined
through scientific studies or best available evidence: Provided, That preference shall be
accorded to local communities situated in proximity to the municipal waters;

(h) Issue fish worker licenses and identification cards free of charge to fish workers
engaged in commercial fishing;

(i) Enforce all fishery laws, rules and regulations and coordinate with appropriate
in the enforcement of the same;

government agencic

(i) Provide technical and other forms of assistance in the settlement of conflicts
arising from the use and allocation of fisheries and other aquatic resources in consultation
with the National Fisheries and Aquatic Resources Management Council (NFARMC) and
LGUs concerned;

(k) Prescribe rules and regulations concerning the classification, establishment,
construction, maintenance, operation, and inspection of all fishing ports, landing sites and
fish markets and the operation of business therein, with the exception of those owned,
controlled, or operated by LGUs;

() Establish and maintain a Philippine Fisheries and Aquatic Information System
(PFARIS) which shall function as the primary repository of all information pertaining to
fisheries, oceanic and other aquatic resources, including, but not limited to: fisheries and
aquaculture production, domestic and international fisheries trade, consumption and
utilization of fisheries and other aquatic resources, and researches on fisheries conservation,
production, processing, marketing and innovations;

(m) Enforce laws, treaties, rules and regulations concerning the conservation,
protection of rare, threatened and endangered marine and other aquatic species and their
respective habitats, including the conservation and management of straddling stocks and
other highly migratory marine and aquatic species;

(n) Designate marine protected areas such as marine sanctuaries, marine reserves and
marine parks pursuant to existing laws, treaties, rules and regulations;


wervraunerune

(0) Formulate and enforce a Code of Conduct for Responsible Fisheries and Code of
Practice for Responsible Aquaculture;

(p) Promote international cooperation in the sector of fisheries and integrated ocean
management;

(@) Impose administrative sanctions, including fines and penalties, for minor
infractions in accordance with the schedules and limits as embodied in fisheries laws, rules
and regulations and as agreed upon by the Department of Justice;

(©) Acquire, maintain, operate, purchase, ease, or dispose fisheries equipment and
facilities such as, but not limited to: fish port, shipyard, fishing vessel, fishing gear,
refrigerated truck, ice plant, cold storage, and aquaculture facilities through the Philippine
Fisheries Development Authority (PFDA);

(8). Fix, assess, collect and adjust fees and charges for the use and sale of properties,
equipment, facilities and services to support the programs and projects of the Department;

(t) Provide infrastructure support such as, but not limited to: municipal fishing port,
municipal fish landing site, municipal fish market, fish health and food safety laboratory,
local shipbuilding and repair facility, post-harvest facilities and access roads through the
PEDA;

(u) Establish and implement a National Marketing Assistance Program through the
PFDA to ensure the generation of highest possible income for fisherfolk, and fishery-related
enterprises by harmonizing fisheries supply with the demand from domestic and international
markets; and

(v) To perform such other functions as may be necessary to carry out the purposes of
this Act or as may be provided by law.

Sec. 6. Composition. — The Department shall be headed by a Secretary. The
Department proper shall be composed of the Office of the Secretary, the Offices of the
Undersecretaries and the assistant secretaries.

Sec. 7. The Secretary of Fisheries and Aquatic Resources. — The Secretary of
Fisheries and Aquatic Resources, hereinafter referred to as the Secretary, shall be appointed
by the President subject to the confirmation of the Commission on Appointments, and shall
exercise the following duties and functions:

(a) Exercise supervision and control over all bureaus, institutes, center and offices
under the Department;

(b) Exercise authority and assume responsibility for the performance of the powers
and functions of the Department;


weearvranrwune

n

14
15
16
7
18
19
20
a
22
23
24
25
26
7
28
29

a1
32
33

(©) Provide advice to the President on the promulgation of policies, rules and
regulations, and other matters pertinent to the sustainable development, utilization and
management of fisheries and other aquatic resources;

(d) Establish policies and standards for the efficient and effective operation of the
Department in accordance with establish plans, programs and standards of the Government;

(©) Promulgate rules, regulations, and other issuances to carry out the mandates,
objectives, plans, programs and projects of the Department; and

() Perform such other functions as may be provided by law or assigned by the
President.

Sec. 8. Undersecretaries. — The Secretary shall be assisted by three (3)
undersecretaries, who shall be appointed by the President upon the recommendation of the
Secretary: Provided, That two (2) of the undersecretaries shall be career officers.

Sec. 9. Assistant Secretaries. — The Secretary shall be assisted by three (3) assistant
secretaries who shall be appointed by the President upon the recommendation of the
Secretary: Provided, That two (2) of the assistant secretaries shall be career officers.

Sec. 10. Regional Offices. - The Department may establish, operate, and maintain a
regional office in the different administrative regions of the country as may be necessary.
Each regional office shall be headed by a Regional Director, who may be assisted by one (1)
Assistant Regional Director. The Regional Director and Assistant Regional Director shall be
appointed by the President upon the recommendation of the Secretary. The regional offices
shall have support staffs as may be necessary to perform the following duties and functions:

(a) Implement laws, policies, plans, programs, projects, rules and regulations of the
Department;

(b) Provide efficient and effective frontline services to the fisheries sector,
particularly to municipal fishermen;

(©) Coordinate with regional offices of other departments, offices, and agencies, as
well as with the LGUs within their respective jurisdictions; and

(d) Perform such other functions as may be provided by law or assigned by the
Secretary.

Sec. 11. Qualifications. — No person shall be appointed Secretary, Undersecretary,
or Assistant Secretary of the Department unless the appointee is a citizen and resident of the
Philippines, of good moral character, of proven integrity, and with at least seven (7) years of
competence and expertise in any of the following: biology, ecology, biogeochemistry,


weavraneuone

1
12
13
14
15
16
7

19
20
a
22
23
24
25
26
27
28
29
30
31
32
33

biotechnology, marine sciences, limnology, oceanography, fisheries management or other
related disciplines, either in the private or publie sector.

No person shall be appointed Director of the Department unless the appointee is a
citizen and resident of the Philippines, of good moral character, of proven integrity, with at

least a degree in law or a graduate degree in biology, ecology, biogeochemistry,
biotechnology, marine sciences, limnology, oceanography, fisheries management or other
related disciplines, or public administration, and with at least three (3) years of relevant
experience in marine conservation, fisheries management or related fields, either in private or
public sector.

Sec. 12. Abolition, Transfer and Merger of Agencies and Personnel. — The Bureau of
Fisheries and Aquatic Resources (BFAR) reconstituted by Republic Act No. 8550, is hereby
abolished. All relevant functions, appropriations, records, properties, equipment and
personnel shall be transferred to the Department: Provided, That no official or employee of
the BFAR shall be separated from the service in a manner inconsistent with Section 13 of this
Act.

The National Fisheries and Aquatic Resources Management Council (NFARMC)
created by Republic Act No. 8550 shall be transferred to the Department: Provided, That an
Undersecretary of the Department shall be appointed as the Chairperson of the NFARMC.

The National Fisheries Research and Development Institute (NFRDI) created by
Republic Act No. 8550 shall be transferred to the Department and shall serve as the principal
research arm of the Department: Provided, That an Undersecretary of the Department and
the Executive Director of the NFRDI shall be appointed as Chairperson and Vice-
Chairperson of the NFRDI Governing Board: Provided, further, That no official or employee
of the NFRDI shall be separated from the service in a manner inconsistent with Section 13 of
this Act.

The Philippine Fisheries Development Authority (PFDA) created by Presidential
Decree No. 977, as amended, shall be transferred as an attached government corporation to
the Department, including its relevant functions, appropriations, records, properties,
‘equipment and personnel: Provided, That the Secretary shall be appointed as the Chairperson
of the PFDA Board of Directors: Provided, further, That no official or employee of the
PFDA shall be separated from the service in a manner inconsistent with Section 13 of this
Act.

All other operating units of the Department of Agriculture (DA) with functions and
responsibilities dealing with fisheries and aquatic resources, including units under its attached

6


eevannewne

1
12
13
14
15
16
7

19
20
a
2
23
24
25
26
ru
28
29
30
31
32
33

agencies and corporations, are hereby transferred to the Department: Provided, That no
official or employee of the DA shall be separated from the service in a manner inconsistent
with Section 13 of this Act.

Sec. 13. Separation and Retirement from Service. ~ Employees who are separated
from service within six (6) months from the effectivity of this Act as a result of the
consolidation and/or reorganization under the provisions of this Act shall receive separation
benefits to which they may be entitled under Executive Order No. 366, s. 2004: Provided,
That those who are qualified to retire under existing retirement laws shall be allowed to retire
and receive retirement benefits to which they may be entitled under applicable laws and
issuances.

Sec. 14, Organizational Structure and Staffing Pattern, ~ Subject to the approval of
the Department of Budget and Management (DBM), the Department shall determine its
organizational structure and create new bureaus, divisions or units as it may deem necessary,
and shall appoint officers and employees of the Department in accordance with the civil
service law, rules, and regulations.

Sec. 15. Transition Period. — The transfer of functions, assets, funds, equipment,
properties, transactions, and personnel of the affected agencies, and the formulation of the
internal organic structure, staffing pattern, operating system, and revised budget of the
Department, shall be completed within six (6) months from the effectivity of this Act, during
which time, the existing personnel shall continue to assume their posts in holdover capacities
until new appointments are issued: Provided, That the Department, in coordination with the
DBM, shall determine and create new positions, the funding requirements of which shall not
exceed the equivalent cost of positions that may be abolished or reorganized.

Sec. 16. Appropriations. — The amount needed for the initial implementation of this
Act shall be taken from the current fiscal year’s appropriation of the BFAR and all agencies
herein absorbed by or attached to the Department. Thereafter, the amount needed for the
operation and maintenance of the Department shall be included in the General Appropriations
Act.

Sec. 17. Implementing Rules and Regulations. — Within sixty (60) days from the
effectivity of this Act, the BFAR, Civil Service Commission (CSC) and DBM shall, in
coordination with the DA, PFDA, NFRDI, NFARMC and other government agencies
concemed, promulgate the necessary rules and regulations to effectively implement the

provisions of this Act.


evoauerune

Sec. 18. Separability Clause. - If, for any reason, any provision of this Act or any part
thereof shall be held unconstitutional and invalid, the other parts or provisions of this Act,
which are not affected thereby, shall remain in full force and effect.

Sec. 19. Repealing Clause. — All laws, decrees, orders, rules and regulations or parts
thereof inconsistent with any of the provisions of this Act are hereby repealed, amended or
modified accordingly.

Sec. 20. Effectivity. — This Act shall take effect fifteen (15) days after its complete
publication in at least two (2) newspapers of general circulation or in the Official Gazette.

Approved,