EIGHTEENTH CONGRESS OF THE 
)
REPUBLIC OF THE PHILIPPINES 
)
First Regular Session 
)
SENATE
20 m 1] P12:13
Introduced by Senator Francis "Tol" N. Tolentino
AN ACT
INSTITUTIONALIZING THE IMMEDIATE DISPOSITION OF GOVERNMENT 
ASSETS AND PROPERTIES TO AUGMENT PUBLIC FUNDS DURING THE 
NATIONAL EMERGENCY ARISING FROM THE CORONAVIRUS DISEASE 2019 
(COVID-19)
EXPLANATORY NOTE
The country, like the rest of the world, is facing an enemy it has never faced 
before - the Coronavirus Disease 2019 (COVID-19). The National Government has 
undertaken several measures to ensure that the adverse economic effects of the 
COVID-19 pandemic. As a State of National Emergency has been declared, the 
National Government undertook several measures to contain the spread of COVID-19 
and minimize the adverse effects on society and the economy. Such measures include 
the imposition of the enhanced community quarantine in the National Capital Region 
and other provinces and cities, reinforce the healthcare system and protect front 
liners, partner with private entities and non-governmental institutions and provide 
financial assistance to Filipinos and businesses adversely affected by the COVID-19 
pandemic.
As the National Government continues to spend funds to combat the effects of 
the COVID-19 pandemic and protect countless Filipinos and businesses, continuous 
sources of funding should be ensured. Unfortunately, the projection for the Philippines' 
economic growth has been adjusted to 0.2%, remittances from migrant workers and


domestic consumption are also expected to significantly decrease for 2020 and, most 
importantly, the National Government has been unable to efficiently collect taxes and 
duties as government offices, especially those of the Bureau of Internal Revenue and 
the Bureau of Customs, have been generally closed or working with only skeletal 
manpower.
This being the case, there is a need for the National Government to find new 
ways to augment public funds in order to continue effectively fighting the COVID-19 
pandemic and help countless Filipinos and businesses. While the National Government 
has allotted a budget and the President has realigned a portion of its budget, there is 
an urgent need to produce additional funds aside from obtaining foreign loans and 
grants.
This bill, therefore, seeks to institutionalize the privatization of non-performing 
government assets and properties in order to augment available public funds in the 
battle against COVID-19.
In view of the foregoing, the passage of this bill is earnestly sought.
TOL" N. TOLENTINO


EIGHTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
)
SENATE
s. NO. 1519
‘0 ny 1
■'n PI2 -14
Introduced by Senator Francis "Tol" N. Tolentino
AN ACT
INSTITUTIONALIZING THE IMMEDIATE DISPOSITION OF GOVERNMENT 
ASSETS AND PROPERTIES TO AUGMENT PUBLIC FUNDS DURING THE 
NATIONAL EMERGENCY ARISING FROM THE CORONAVIRUS DISEASE
2019 (COVID-19)
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled:
ARTICLE I. SHORT TITLE AND POLICY
1 
Section. 1. Short Title. - This Act shall be known as the "COVID-19 Economic
2 
Lifeline Act."
3 
Sec. 2. Declaration of Policy. — The Coronavirus Disease 2019 (COVID-19) has
4 
caused immense damage to the economies of different countries, the Philippines
5 
included. In response to this, Congress passed Republic Act No. 11469 (R.A. No.
6 
11469) otherwise known as the "Bayanihan to Heal As One Act" \N\\\ch declared a
7 
State of National Emergency throughout the Philippines and delegated specific powers
8 
to the President to attend to the immediate and pressing needs of Filipinos and the
9 
economy. The President thereafter undertook several measures to minimize the
10 
adverse effects of COVID-19 and also released various forms of financial assistance to
11 
directly benefit Filipino citizens and businesses.
12 
For the National Government to continue effectively addressing the problems
13 
brought about by this national health emergency, there is a need to augment the


1 
funds of the National Government. There is thus an extreme necessity to explore of
2 
alternative ways to raise public funds aside from relying on foreign loans and grants
3 
given that the projected national economic growth for 2020 has been adjusted to
4 
merely 0.2%, remittances from migrants workers and public consumption have also
5 
been expected to substantially decrease and, more importantly, the National
6 
Government has been unable to efficiently collect taxes and duties as government
7 
offices, especially those of the Bureau of Internal Revenue and the Bureau of Customs,
8 
have been generally closed or working with only skeletal manpower.
9 
An acceptable method to raising funds within a reasonably short period of time
10 
is the sale and disposition of non-performing properties and assets of the National
11 
Government including those owned by the different government institutions and
12 
government-owned or controlled corporations which have been found unnecessary,
13 
inefficient, or inappropriate for it to maintain.
14
15 
ARTICLE II. THE COVID-19 PRIVATIZATION COMMISSION
16 
Sec. 3. COVID-19 Privatization Commission. — The COVID-19 Privatization
17 
Commission (Commission) is hereby established and convened to oversee the sale
18 
and disposition of non-performing assets of the National Government including those
19 
owned by the different government institutions and government-owned or controlied
20 
corporations.
21 
Sec. 4. Composition - The Commission shall be composed of the following
22 
members:
23 
(a) The Secretary of the Department of Finance as Chairman;
24 
(b)The Secretary of the Department of Budget and Management as Regular
25 
Member;
26 
(c) The Secretary of the Department of Trade and Industry as Regular Member;
27 
(d)The Secretary of the National Economic and Development Authority as
28 
Regular Member;
29 
(e) The Secretary of the Department of Public Works and Highways as Regular
30 
Member;
31 
(f) The Secretary of the Department of Justice as Regular Member;
32 
(g)The National Treasurer as non-voting member; and


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(h) Chairman of the Presidential Commission on Good Government as non-
2 
voting member.
3 
Sec. 5. Objectives, Powers and Functions - For the duration of the effectivity
4 
of this Act, the Commission shall have the following objectives, powers and functions:
5 
(a) In pursuance of the policy as declared in Sec. 2 of this Act, supervise and
6 
coordinate all government efforts in the sale and disposition of the non-
7 
performing assets of the National Government;
8 
(b) Select among the non-performing government properties and assets as may
9 
be enumerated in the Priority List as prepared by the COVID-19 Privatization
10 
Commission Management Office which are to be sold and disposed of;
11 
(c) Coordinate with other departments and agencies within the Executive
12 
Department including government institutions and government-owned or
13 
controlled corporations in selecting and facilitating the sale and disposition
14 
of the non-performing government properties and assets;
15 
(d) Subject to existing laws and regulations, accept donations of all types of
16 
properties of significant value from other branches of the National
17 
Government, local government units and even private persons, corporations
18 
and entities which may be included in assets and properties to be subject
19 
of sale and disposition as covered by this Act;
20 
(e) Officially represent the National Government during the marketing,
21 
discussion, negotiation and actual sale of the non-performing government
22 
properties and assets with persons, private corporations, institutions and
23 
other interested entities;
24 
(f) Approve and promulgate all necessary implementing rules and regulations
25 
to effect the goals and objectives of this Act; and
26 
(g) Undertake such other measures as may be reasonable and necessary to
27 
carry out the policy as stated in Sec. 2 of this Act.
28 
In performing its functions and duties, the Commission shall ensure that the
29 
sale and disposition of such assets and properties shall generate maximum cash
30 
recovery for the National Government to further enable it to fund projects and
31 
activities that will minimize the adverse economic effects of COVID-19.


1 
Moreover, the Commission shaii ensure that all la\A/s, acts and other
2 
implementing rules and regulations pertaining to the sale and disposition of non-
3 
performing government assets and properties, specially to those pertaining to the
4 
requirements of citizenship in the ownership of real property, shall be strictly followed.
5 
Sec. 6. Meetings - The Commission shall meet as frequently as necessary to
6 
effectively discharge its functions and responsibilities and expedite the disposition of
7 
non-performing government assets and properties.
8 
The presence of the majority of the voting members shall constitute a quorum
9 
and the concurrence of said majority should be adequate for any decision of the
10 
Commission, provided, that where the sale and disposition of assets and properties
11 
with a market value amounting to at ieast Five Miilion Pesos (PhP 5,000,000.00) is
12 
involved, the decision of the Commission must be unanimous.
13 
In case they are unable to attend, the Chairman and Members may designate
14 
any of their immediate subordinates with the rank of Undersecretary or its equivalent
15 
to represent them in the meetings of the Commission.
16
17 
ARTICLE III. COVID-19 PRIVATIZATION COMMISSION
18 
MANAGEMENT OFFICE
19 
Sec. 7. COVID-19 Privatization Commission Management Office and its
20 
functions and duties - The COVID-19 Privatization Commission Management Office
21 
(Management Office) is hereby created and convened to assist the Commission in
22 
pursuing and carrying out the policy as stated in Sec. 2 of this Act. The Management
23 
Office shall be under the direct control and supervision of the Commission.
24 
The Management Office shall perform the following functions and duties:
25 
(a) Coordinate and meet with other departments and offices within the
26 
Executive Department inciuding government institutions and government-owned or
27 
controlled corporations to prepare a comprehensive inventory of non-performing
28 
government assets and properties to identify and select which may be subject of sale
29 
and disposition;
30 
(b) Prepare a Priority List containing non-performing government assets and
31 
properties including those owned by the different government institutions and


1 
government-owned or controlled corporations that will be sold and disposed within
2 
the shortest period of time;
3 
(c) 
Subject to instructions and directives of the Commission, participate and
4 
assist in the marketing, discussions, negotiations and actual sale of the non-
5 
performing government properties and assets with persons, private corporations,
6 
institutions and other interested entities;
7 
(d) 
Subject to the instructions and directives of the Commission, prepare
8 
and deliver to the purchasers of the non-performing government assets and properties
9 
the deeds of saie, contracts and other instruments as may be necessary or appropriate
10 
to convey titie to such assets;
11 
(e) 
Draft and prepare all necessary implementing ruies and regulations to
12 
effect the goals and objectives of this Act;
13 
(f) 
Perform and undertake such other reasonabie and necessary measures
14 
to assist the Commission in carrying out its goals and objectives.
15 
Sec. 8. Organization and Qualifications of Members of the COVID-19
16 
Privatization Commission Management Office - The Management Office shall be
17 
headed by a General Manager who shall be assisted by three (3) Assistant Managers
18 
whose duties, functions and responsibiiities shall be assigned by the General Manager.
19 
No person shall be appointed as General Manager or Assistant Manager unless
20 
he or she is of good moral character, of unquestionable integrity and responsibility
21 
and of recognized business competence. Provided, that, the General Manager shall be
22 
a Member of the Bar and should have been in the practice of law for at least five (5)
23 
years. Provided, finally, that at least one (1) of the Assistant Managers is a certified
24 
public accountant who has also been in the practice of the said profession for at least
25 
five (5) years.
26 
The General Manager and the Assistant Managers shall be appointed by the
27 
President of the Philippines upon recommendation of the Secretary of Finance.
28 
The General Manager shall appoint other members of staff to ensure the
29 
operability of the Management Office subject to the approval of the Commission and
30 
the laws, orders and rules and regulations involving the hiring of personnel.
31 
Sec. 9. Special Internal Guidelines- The Management Office shall immediately
32 
draft and submit to the Commission the appropriate internal rules and regulations to


1 
give effect to the policy as stated in Sec. 2 of this Act. Provided, That such internal
2 
rules and regulations must be in accordance with existing laws, orders, decrees and
3 
proclamations. Provided further, that such rules and regulations may be subsequently
4 
amended, abrogated or disapproved by the Commission.
5
6 
ARTICLE IV. OTHER PROVISIONS
7 
Sec. 10. Utilization of Proceeds. - The proceeds from the sale and disposition
8 
of the non-performing government assets and properties shall be remitted to the
9 
National Treasury under the general fund.
10 
However, the Commission may retain a portion of the proceeds to cover
11 
expenses related to custodianship, upkeep and other operational expenses of the
12 
Commission and the Office. Provided, that in no case shall the amount to be retained
13 
by the Commission exceed five percent (5%) of the actual purchase price of the
14 
government asset or property subject of the sale.
15 
The proceeds of the sale and disposition of the non-performing government
16 
assets and properties shall be directly utilized to support the National Government's
17 
programs and activities against the COVID-19 pandemic.
18 
Sec. 11. Conflict of Interest - Aside from those persons, corporations or entities
19 
barred by law from purchasing government-owned property, the non-performing
20 
government assets and properties contained in the Priority List shall not be sold or
21 
disposed to the following:
22 
(a) Persons who are related within the third degree of consanguinity or affinity to
23 
members, staff and employees of the Commission or the Office;
24 
(b) Members of the Executive, Legislative and Judicial Departments; and
25 
(c) Local government executives and officials as enumerated in the Local
26 
Government Code, including barangay officials, who intend to purchase real
27 
property listed in the Priority List which is located within the same province or
28 
city where they have been elected or appointed to.
29 
This prohibition shall also extend to partnerships, corporations, foundations,
30 
trusts, estates and other legal entities whose partners, corporate officers or members
31 
belong to the classes of persons abovementioned.


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Sec. 12. Funding. - The Commission and the Management Office shaii be 
provided with a totai initiai budget of Twenty Five Miiiion Pesos (PhP 25,000,000.00) 
to be appropriated by the Department of Budget and Management. Appropriations for 
the succeeding years shaii be incorporated in the budget proposai of the Department 
of Finance.
Sec. 13. Transfer of Assets. - Upon the expiration of this Act, all government 
assets and properties enumerated in the Priority List which were not subject of any 
consummated sale or disposition shaii be transferred to the Department of Finance 
for appropriate disposition.
Sec. 14. Separability Clause. — If, for any reason, any section, subsection, 
clause or term of this Act is heid to be iliegal, invalid, or unconstitutionai, such parts 
not affected by such declaration shall remain in full force and effect.
Sec. 15. Repealing Clause. — All existing iaws, orders, decrees, ruies and 
reguiations or parts thereof inconsistent with the provisions of this Act are hereby 
amended, modified or repeaied accordingly.
Sec. 16. Effectivity Clause. — This Act shaii take effect immediately upon its 
pubiication in a newspaper of general circulation or in the Official Gazette. To fuiiy 
facilitate and finalize the disposition of the non-performing government assets as 
covered by this Act, this Act shaii be in full force and effect upon its publication and 
for a period of two (2) years from the iast day of effectivity of Republic Act No. 11469 
or uniess sooner terminated by Congress.
Approved,