Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

FIFTEENTH CONGRESS

Second Regular Session

6330

House Bill No.

Introduced by Hon. Mark Aeron H. Sambar

EXPLANATORY NOTE

The Philippine Sports Commission (PSC) was created by virtue of Republic Act No.
6847 way back in January of 1990. It was intended as the lead entity that shall oversee,
reform, and jumpstart the state of Philippine sports. However, twenty one (21) years after its
existence, the expected improvement and development of Philippine sports under the PSC
still is wanting,

The PSC failed to neither surpass nor even just approximate the many successes that
the country produced in the field of sports with the likes of Akiko Thompson, Lydia De
Vega, Elma Muros, Paeng Nepomuceno, Eric Buhain, and Efren “Bata” Reyes, among many
others. Issues like lack of a comprehensive national sports program, obsolete training
methods, the lack of state-of-the art facilities and modern equipment are seen as the culprit in
the country’s poor performance in various international competitions.

This bill seeks to create a Department of Sports that shall take the lead in providing
the much needed leadership in sports development in the Philippines. The Department of
Sports, a cabinet-level agency, shall provide necessary impetus, direction, and policy
guidance in order to improve the performance of the country in international sporting events
and competitions. Said agency shall likewise take the lead in developing Filipino athletes to
their fullest potentials,

It is hoped that once the Department of Sports is established, sports would once again
become an integral component of youth development, a galvanizing force for National Unity,
and a source of national pride.

In view of the foregoing, approval of this measure is earnestly sought.

Rep!



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

FIFTEENTH CONGRESS.

Second Regular Session

6390

House Bill No.

Introduced by Hon. Mark Aeron H. Sambar

AN ACT
CREATING THE DEPARTMENT OF SPORTS, DEFINING 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:

ARTICLE I

GENERAL PROVISIONS,

SECTION 1. Short Title. — This Act shall be known as “Department of Sports Act of
2012”,

SEC. 2. Declaration of Policy. — It is the policy of the State to promote and sustain
fitness, physical education and sports development in the country. As such, it shall maintain
and provide equal access to resources, services and facilities related to sports to all Filipinos
to foster and promote health and physical fitness, self-discipline, teamwork, excellence, peace

and camaraderie, youth development, and people empowerment through sports

It shall also encourage wider participation of all sectors, including the government
and private sector, in amateur sports promotion and development and shall be led by a single,

unified and integrated national sports policy-making body.


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ARTICLE I
DEPARTMENT OF SPORTS,

SEC. 3. Creation of the Department of Sports. — There is hereby created the

Department of Sports, hereinafter referred to as the “Department”, which shall carry out the

above-declared policy and assume the promotion and development of sports and physical

fitness in the country,

SEC. 4. Mandate. - The Department shall be the primary policy, planning,
coordinating, implementing, regulating and administrative entity of the executive branch of
the Government that will plan, promote and help develop sports and physical fitness in the

country

SEC. 5. Objectives of the Department. — The objectives of the Department are the

following:

a) to prepare, formulate, implement and oversee an integrated sports promotion and
development program for the Philippines in consultation with the stakeholders as
well as other government agencies, non-government organizations, associations
and groups involved in sports;

b) to promote a nationwide grassroots-based sports development program and
strengthen the sports club system.

©) to encourage the participation of Filipino athletes in regional and international
sports competitions including but not limited to the South East Asian Games, the
Asian Games, the Olympics, the Paralympics, the Universiade or World
University Games as well as international, regional and world competitions staged
by other reputable international sports associations, federations and/or
organizations;

d) to provide leadership in the development of sports in the Philippines, formulate
the policies and set the priorities and direction of all national amateur sports
promotion and development, particularly giving emphasis on grass-roots
development and participation:

e) to encourage wider participation of all sectors, including the government and the
private sector, in amateur sports promotion and development especially among the

Filipino youth;


1 £) to improve the performance of Filipino athletes in regional and international

2 sports competition and develop athletes to become a source of national pride;

3 2) to provide resources, services and facilities to enable Filipinos to pursue and
4 achieve excellence in sport while also furthering other aspects of their personal
5 development;

6 h) to foster peace and camaraderie within the country thru competitive and
i recreational sports;

8 i) to improve the sporting abilities of Filipinos generally through the improvement
9 of the standard of sports coaches;

10 j)_ to foster cooperation in sports between the Philippines and other countries through
mT the provision of access to resources, services and facilities related to sports; and

12 k) to supplement government appropriations for sports promotion and development
13 by encouraging the private sector to contribute in the funding of the various
14 programs of the Department

15 SEC. 6. Functions of the Department. ~The Department shall perform the following

16 functions:

17 a) to advise the President on all matters pertaining to sports in general;

18 b) to prescribe the criteria and standards for the recognition of national sports
19 associations in different sports in the Philippines;

20 ) to prescribe criteria and. standards for the participation of athletes and teams in
21 international competitions;

22 d) to coordinate the activities of, and to facilitate cooperation among, the various
23 sectors involved in sports, including among others, the National Sports
24 Associations, public and private schools, government corporations and entities,
25 local government units, the Armed Forces of the Philippines, and other sports
26 organizations and private corporations

27 e) to encourage and organize, in consultation with the national sports associations
28 and related organizations, national, regional and international sports competitions,
29 events and games;

30 £) to develop and implement programs for the recognition and development of:

31 i persons who excel, or who have the potential to excel, in sport; and

32 ii, persons who have achieved, or who have the potential to achieve,

33 standards of excellence as sports coaches, umpires, referees or officials


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essential to the conduct of sports;
to plan and promote physical education in the Philippines;
to initiate, encourage and facilitate research and development in relation to sports;
to undertake research and development related to sports science and: sports
medicine and to prepare and publish such reports or periodicals on these matters
as it thinks fit;

to provide sports medi

ine services and sports science services to persons
participating in programs of the Department;
to establish, develop and maintain fully-equipped sports facilities and centers in

strategic places in the count

and, as far as practicable, such modern sports
complexes adequate for major international and regional competitions, events and
games;

to rationalize and regulate the establishment of publicly-funded sports complexes
and supervise the management and maintenance thereof, excluding school or
college-owned sports complexes;

to collect and disseminate information, and provide advice, on matters related to
the activities of the Department;

to plan and formulate policies and programs and review or evaluate, from time to

time, the organizational set-up, projects and programs of the Department,

to assist the proper government agency in the formulation of an industry
incentives program for the manufacture in the Philippines of sports equipment and
supplies of international standard and quality;

to recommend and propose to the Department of Education, Department of
Interior and Local Government and other government agencies and
instrumentalities having their own sports programs, to incorporate in their
respective annual budgets a separate and specific budget for sports promotion and
development;

for the purpose of fostering cooperation in sports between the Philippines and
other countries, to provide access to persons from other countries to the resources,
services and facilities of the Department;

to provide advice on matters related to sports to persons, bodies or associations
involved in sports:

to cooperate with national and international sporting organizations in fostering an

environment that is free from the unsanctioned use of performance enhancing


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drugs and doping methods,

to encourage, promote and sustain the creation and establishment of regional,
provincial, municipal and barangay or school district sports promotion and
development councils, composed of officials of the Department of Education,

Department of Interior and Local Government, local government officials, and

representatives of the private sector, which shall initiate, conduct and coordinate
sports activities in their respective jurisdictions, and
to exercise such other acts as are necessary or incidental to and/or are appropriate

and proper in connection with the creation of the Department

SEC. 7. Powers of the Department. - The Department has the power to do all acts

and things necessary to be done for or in connection with the performance of its functions,

including:
a)

b)

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h)

a)

k)

to appoint the officers and other personnel of the Department and fix their
compensation subject to existing laws, rules and regulations;

to delegate authority for the performance of any function to officers and
employees under its direction;

appoint committees consisting of persons who may or may not be members of the
Department and delegate to such committees such of its functions as the
Department may determine;

to enter into contracts,

recommend minimum standards for participation in international sports
competitions and games;

advise on the planning, promotion and standards of physical education;

to acquire, use and control any land, building, facilities, equipment, instruments,
tools and rights required or otherwise necessary for the accomplishment of the
purposes of the Department;

to acquire, own, possess and dispose of any real or personal property;

to regulate the acquisition, procurement, distribution and use of sportswear,
equipment, instruments, tools and other sports necessities necessary and required
for training of a national pool of athletes;

to assist and support national sports associations in the implementation of Section
37 of this Act;

to confer, extend and grant awards, benefits and privileges to athletes, coaches and


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officials for outstanding performances in national and international competitions;

1) to confer, extend and grant support or assistance to sports associations which are
in good standing with the Department,

m) to exercise supervisory and visitorial powers over the national sports associations
in connection with their sports promotion and development programs with respect
to which financial assistance is extended by the Department,

n) to accept donations, gifts, bequests, and grants for the purposes of the Department,

0) to ensure the implementation by various government departments and agencies of
their sports promotion and development programs as indicated in their respective
annual budgets,

p) to impose sanctions upon any national sports association, institution, association,

body, en

y, team, athlete and sports official for violation of its policies, rules and
regulations; and

4) to perform any and all other acts incident to or required by virtue of its creation.

SEC. 8. Composition of the Department. ~ The Department of Sports 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. 9. Secretary of Sports. ~ The Secretary shall be appointed by the President,

subject to confirmation by the Comm

non Appointments

The Secretary shall have the following functions:

a) Provide executive direction and supervision over the entire operations of the
Department and its attached agencies:

b) Establish policies and standards for the effective, efficient and economical
operation of the Department, in accordance with the programs of the Government;

©) _ Rationalize delivery systems necessary for the effective attainment of the
objectives of the Department in accordance with the programs of the Government;

d) Review and approve request for financial and manpower resources of all
operating offices of the Department;

e) Designate and appoint officers and employees of the Department, excluding
the Undersecretaries, Assistant Secretaries, and Regional and Assistant Regional
Directors, in accordance with the Civil Service laws, rules and regulations;

f) Coordinate with LGUs, other agencies and public and private interests groups,


including non-government organizations (NGOs) and people's organizations (POs) on
Department policies and initiatives
2) Advice the President on the promulgation of executive and administrative

orders and regulatory and legislative proposals on matters pertaining to the promotion and

development of sports and physical fitness in the country,
h) Formulate such rules and regulations and exercise such other powers as may
be required to implement the objectives of this Act;
i) Perform such other tasks as may be provided by Law or assigned by the

President from time to time.

SEC. 10. 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 one (I) of the Undersecretaries shall be a career officer coming from
ranks of existing government institution or office on sports or qualified individuals in the

private sector who actively supports the promotion and development of sports in the country.

SEC. 11. Assistant Secretaries. - The Secretary shall be assisted by three (3)
Assistant Secretaries who shall be career officers appointed by the President upon the

recommendation of the Secretary

SEC. 12. Qualifications. - No person shall be appointed Secretary, Undersecretary or
Assistant Secretary of the Department unless he is a citizen and resident of the Philippines,
publicly-recognized personalities in the field of sports, at least thirty (30) years of age, of

good moral character, and of proven integrity

SEC. 13. Regional Offices. - The Department shall be authorized to establish,
‘operate, and maintain Regional Office in each of the administrative regions of the country as

the need arises. The regional offi

shall be headed by a Regional Director, who may he
assisted by one (1) Assistant Regional Director. The Regional Offices shall have, within their
respective administrative regions, the following functions

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

b) _ Provide efficient and effective service to the people:

©) Coordinate with regional offices of other departments, offices, and agencies;


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d) Coordinate with LGUs;
e) Perform such other functions as may be provided by law or assigned by the

Secretary

SEC. 14. Transfer of Agencies and Personnel. ~ The Philippine Sports Commission
(PSC) is hereby abolished, and their powers and functions, applicable funds and

appropriations, records, equipment, property, and personnel shall be transferred to the

Department
‘The laws and rules on government reorganization as provided for in Republic Act No.
6656, otherwise known as the Reorganization Law, shall govern the reorganization process of

the Department

SEC. 15. Separation from Service. - Employees separated from the service as a result
of this reorganization shall, within ninety (90) days therefrom, receive the separation and
retirement benefits to which they may be entitled under Executive Order No. 366. Provided
that such separation pay and retirement benefits shall have priority of payment out of the

savings of the department or agency

SEC. 16. Structure and Staffing Pattern. - The Department shall determine its

organizational structure and create new 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. 17. Regular Bureaus, Divisions and Offic

s. = The Department shall organize
bureaus, divisions, and offices in such manner as would best carry out the declared policies
and objectives enunciated herein and consistent with the provisions of civil service laws,
rules, and regulations. There shall be an administrative services bureau, which shall be
primarily responsible for providing services related to financial management, personnel,
records, supplies and equipment, and a support services bureau, which shall be primarily
responsible for plans and programs formulation, research, EDP and system management,
public information and production, transportation, communications and such other functions

and responsibilities as may be necessary and required by the Department

SEC. 18. Specialized Bureaus. — In addition, there are hereby created two (2)


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specialized bureaus under the Department to ensure the proper implementation of this Act

(a) the Amateur Sports Development Bureau, and; (b) the International Sports Development

Bureau, both of which shall be headed by Deputy Executive Directors.

ARTICLE IL
AMATEUR SPORTS DEVELOPMENT BUREAU

SEC, 19. Amateur Sports Development Bureau, - The Amateur Sports

Development Bureau shall be primarily responsible for the promotion and development of

amateur sports in the Philippines. The Division of Amateur Sports shall have authority over

all matters relating to amateur sports

SEC. 20. Functions, - The Amateur Sports Development Bureau shall have the

following functions:

a)

b)

3)

Plan, implement and encourage a mass-based sports and physical fitness, program
for the youth, senior citizens, the disabled and the entire citizenry, through the
promotion of a sports club system and of amateur sports in formal and informal
setting;

Promote social and cultural integration through the revival of traditional and
indigenous games and sports;

Identify and nurture sports talents for further development and promote excellence
in sports, traditional games and other physical activities;

Recommend to the Department the formulation of policies and programs that will
foster the development of amateur sports in the grassroots level;

Impose sanctions on any national sports association, institution, association, body,
entity, team, athlete and sports official engaged in amateur sports for violation of
its policies, rules and regulation

Exercise supervisory powers over the national sports associations in connection
with their sports promotion and development programs where financial assistance
is extended by the Department: and

Ensure the implementation by various government departments and agencies of
their sports promotion and development programs as indicated in their respective

annual budgets.


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SEC. 21. Divisions under the Amateur Sports Development Bureau. - To ensure

efficiency and specialization, there shall be established two main divisions under the Amateur

Sports Development Bureau: (a) the Grassroots Sports Development Division and (b) the

Local and National Sports Competition Division

SEC. 22. Grassroots Sports Division. - The Grassroots Sports Development

Division shall have the following functions.

a)

b)

c)
d)

°)

SEC. 23. Local and National Sports Competition Div

Formulate and implement (i) a physical fitness testing and evaluation program to
determine, monitor and establish a fitness profile of the different sectors of
society, and (ii) a grassroots developmental program in order to encourage,

improve and enhance the physical fitness and parti

n in sports of the citizens
at the city, town and barangay level;

Support the formation of sports clubs in schools, workplaces, cities and towns,
communities and barangays and the conduct of activities aimed at encouraging the
citizens to participate and successfully compete in sports and various physical
activities;

Provide technical assistance to grassroots sports stakeholders;

Coordinate with and assist the basic, tertiary and technical education institutions

in the implementation of their physical education and school sports development
curriculum, policies and programs,

Assist public and private educational institutions in the implementation of their
intramural sports program and encourage competition activities of between and
among grassroots sports clubs; and

Develop the criteria for and implement an awards and incentives scheme to
encourage mass grassroots sports participation, sustained involvement and

excellent performance in grassroots sports activities,

ion. - The Local and

National Sports Competition Division shall have the following functions;

a)

b)

Plan and conduct regular formal and informal sports competitions at the local and
national levels;
Establish and implement a system for identifying and developing athletic talents

for inclusion in the Developmental Athletes' Pool; and

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d) Plan, implement and administer all aspects of the training program and the
preparation and participation for international competition of the Developmental

Athletes! Pool.

ARTICLE IV.
INTERNATIONAL SPORTS DEVELOPMENT BUREAU

SEC. 24. Establishment of International Sports Development Bureau, - A
special sports bureau to be known as the International Sports Development Bureau is hereby
established and created. It shall have the following functions:

a) Formulate and recommend the adoption of a national training and development
program for athletes participating in international competitions in all relevant
sports, in coordination and cooperation with the concerned national sports
associations,

b) Plan, implement and administer all aspects to ensure successful participation of
the country in regional and international sporting events, games and competitions;

©) To coordinate private and public sector support for the country’s athletes who are
participating in international competitions; and

d) Ensure the availability of adequate budget, funds and resources for said purposes

SEC. 25. Divisions of the International Sports Development Bureau. - The
Division of the International Sports Development Bureau shall be composed of: (a) the
National Sports Association Affairs Division and (b) the International Sports Competition

Division.

SEC. 26. Functions of the National Sports Association Affairs Division. - The

National Sports Association Affairs Division shall have the following functions:

a) Process, facilitate and oversee agreements and transactions conducted between
and among the Department, National Sports Associations and other local and
international sports institutions, federations, associations and organizations to
ensure their compliance with the policies and programs of the Department,

b) Facilitate all necessary arrangements for the participation of national teams in

international competition;

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©) Develop, prescribe and ensure the observance of criteria and standards for athletes
and athletic teams representing the country in international competitions;

d) Prescribe the criteria for selecting individuals, associations or clubs entitled to
financial and/or other forms of support to enable their participation in
international conferences, seminars, clinics, competitions and similar programs;
and

¢) Establish appropriate linkages with international sports bodies

SEC. 27. The International Sports Competition Division. - The following shall

be the functions of the International Sports Competition Division

a) Oversee the preparation and training of the members of the National Athletes’
Pool in consultation and cooperation with the national sports associations
concerned;

b) Develop, prescribe, and monitor the implementation of criteria for the selection
and retention of members of the National Athletes’ Pool supported by the
Department;

©) Monitor and conduct the time trials and periodic evaluation of members of the
National Athletes’ Pool,

d) Assist in the selection of national teams for international competitions, and

©) Identify and recommend athletes, coaches and international sports participants

who may qualify for awards and incentives

ARTICLE V
TRANSITORY AND FINAL PROVISIONS

SEC. 28. National Sports Associations. - National Sports Associations organized for
their respective sports in the Philippines and affiliated with their respective international
institutions, federations, associations or organizations, shall be recognized as such by the
Department in accordance with the standards and criteria prescribed by the Department after
ensuring that their charters, constitutions and by-laws and their policies and programs
conform to the policies laid down in this Act; provided, that the Department shall also
recognize special national sports associations to represent the differently-abled and school-

based sports associations which shall, for all intents and purposes, have the same status,

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privileges and obligations as regular national sports associations.

The national sports associations recognized by the Department shall be autonomous
and shall have exclusive technical control over the promotion and development of the
particular sport for which they are organized, subject however to the supervisory and
visitorial powers of the Department

Each national sports association shall, by its constitution and by laws, determine its

organization and membership: Provided, however, That no team, school, club, organization
or entity shall be admitted as a voting member of a national sports association unless sixty
percent (60%) of the athletes composing said team school, club, organization or entity are
Filipino citizens

The Department recognizes the following functions, powers, duties and

responsibilities of the various national sports associations

a) To adopt a Constitution and by laws not inconsistent with the 1987 Philippine
Constitution and the provisions of this Act,

b) To raise funds by donations, benefits and other means for their purposes;

©) To purchase, sell, lease or otherwise encumber property, real or personal, for the
accomplishment of their respective purposes;

d) To conduct competitions for the promotion of their respective sports,

e) To decide all questions on the status and discipline of the athletes and officials
connected with the associations as well as the members thereof and all disputes
between members,

g) To select the athletes, coaches and other officials for their national teams in
accordance with the standards and criterion prescribed by the Department, taking
into consideration not only their athletic abilities but also their discipline, moral
character, aptitude and attitude;

i) To keep accurate records of all official marks, scores and results attained by the
athletes in the associations in all competitions, as well as all results of sports
competitions, recognize and confirm the same and furnish copies thereof to the
Department;

i) To qualify and license referees, umpires and other game officials who shall
officiate in competitions in their respective sports, and

k) To perform such other acts as may be necessary for the proper accomplishment of

their purposes.

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SEC. 29. Tax Exemption on the Use of Sports Facilities. — To encourage popular
participation in amateur sports, no tax of any kind shall be levied on the use of sports

facilities, whether the tax be on the user, owner or operator of the sports facility.

SEC. 30. Tax Deduction or Exemption of Donations and Contributions. — All
donations and contributions to the Department in connection with its fund-raising projects
and its continuing sports development programs shall be exempt from the donor's taxes, and
shall be deductible in full in the computation of the taxable net income of the donor
Donations and contributions to the various national sports certified by the Department to be
pursuant to the development of sports in the country shall likewise be exempt from the
payment of the donor's and estate taxes and shall be deductible in full in computing the

taxable net income of the donor.

SEC. 31. Sports Delegations. — The Department and its delegation or representatives
to any international sports competitions, convention, conference, meeting and events, and
athletes, coaches and other officials to any international competition shall be exempt from the
payment of travel tax, airport tax and any other travel related taxes or fees now or hereafter

imposed by law or regulation

SEC. 32. Presidential Land Grant. — The provisions of any existing law to the
contrary notwithstanding the President may, upon the recommendation of the Secretary of
Environment and Natural Resources, grant by donation, sale, lease or otherwise, to the
Department portions of the land of the public domain as may be necessary for the
establishment of regional training centers in all the regions of the country and for the

accomplishment of any of its purposes

SEC. 33. Sports Facilities. — The administration and full control of all existing
sports facilities, including land, buildings and equipment, owned by the national government
as well as those owned by government-funded foundations, associations and entities except
liabilities, shall be transferred to the Department: Provided, That the sports facilities owned
by the local government units, state colleges and universities, or public schools shall remain

with the said institutions or entities.

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All rental income from the sports equipment and facilities owned and operated by the

Department shall be remitted directly to the Department to be used exclusively for the

operation and maintenance of said equipment and facilities

SEC. 34, Assistance by the Government Entities. — The Department may call upon
any government entity for assistance in the performance of its functions and duties. All heads

of departments, agenci

, corporations and offices of the government are hereby enjoined to
render full assistance and cooperation to the Department to ensure the attainment of its

objectives and the success of the national sports development program.

SEC. 35. Integration of the Philippine Sports Commission. ~ The Philippine Sports
Commission created and established under Republic Act 6847 shall be integrated with the
Department of Sports within sixty (60) days from the enactment of this law. All power,

functions, dutic

and responsibilities of the Philippine Sports Commission not inconsistent
with the provisions of this Act shall continue to be exercised and performed by the
Department, Forthwith, the Philippine Sports Commission shall conduct an inventory of its
assets and liabilities, and shall turn over the same together with the inventory to the

Department of Sports

All programs, contracts and projects of the Philippine Sports Commission, which are

inconsistent with the policies and provisions of this Act shall be terminated on or before six
(6) months from the enactment of this law; Provided, that contracts, programs and projects

whi

h cannot be unilaterally terminated shall remain in force and effect and the Department
shall negotiate for the rescission of the contract or termination of the project or program for a

period earlier than what has been previously agreed upon

SEC. 36. Funding. - In order to provide the necessary funds required for the
organizational and initial calendar year of operational expenditures of the Department, the
amount of One hundred seventy eight million, two hundred seventy thousand pesos
(P178,273,000,00) from the National Treasury is hereby appropriated: Provided, That
operating expenses for the Department itself shall not exceed twenty percent (20%) of the
annual appropriation and that at least eighty percent (80%) of said annual appropriation and
all of the national sports development funds, as hereinafter provided, shall be disbursed for

the national sports program, particularly in support of the identification, recruitment and

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ional, national and international competitions

training of athletes in pre-regional, 1

To finance the country’s integrated sports development program, including the
holding of the national games and all other sports competitions at all levels throughout the
country as well as to carry out well-planned preparations to sustain the complete needs of
national and development athletes during the country's preparation and participation at
international sports competitions, such as, but not limited to the Olympics, Asian Games,
Southeast Asian Games, Paralympics, Universiade or World University Games and other
international competitions sanctioned by international sports institutions, federations,

organizations and

sociations, thirty percent (30%) of the charity fund of the representing
the proceeds of six (6) lottery draws per annum of the Philippine Charity Sweepstakes
Offices, taxes on horse races from ten (10) racing days to be determined by the Philippine
Racing Commission and the Department, five percent (5%) of the gross income before taxes
of the Philippine Amusement and Gaming Corporation, the proceeds from the sale of stamps
as hereinafter provided shall be automatically remitted directly to the Department by the
concemed entity and are hereby constituted as the National Sports Development Fund
Further, the Philippine Postal Corporation is hereby authorized to print paper and gold stamps

which shall depict sporting events and such other motif as the Philippine Postal Service
Office and the Department may agree on, at the expense of the Department. Any deficiency
in the financial requirements of the Department for its national sports development program

shall be covered by an annual appropriation passed by Congress.

SEC. 37. Implementing Rules and Regulations.

The Department shall, within
ninety (90) days after the approval of this Act, issue the necessary rules and regulations to

implement the provisions hereof

SEC. 38. Annual Report. - The Department shall, within ninety (90) days after the
end of every fiscal year, submit to Congress an annual report on its compliance with, or
accomplishments under this act, together with its plans and recommendations to improve and
develop its capability to enforce the provisions of this Act, and a complete accounting of

transactions with respect to any funds received under this Act

SEC. 39. Separability Clause. If any provision or part hereof is held invalid or

unconstitutional, the remainder of the law or the provision not otherwise affected shall remain
valid and subsisting

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SEC. 40. Repealing Clause. ~ Republic Act No. 6847, otherwise known as the “The
Philippines Sports Commission Act” is hereby repealed. All other laws, rules, regulations,
orders, circulars, and memoranda inconsistent with any provisions of this Act are hereby

repealed or modified accordingly

SEC. 41. Effectivity Clause. This Act shall take effect fifteen (15) days after its

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

circulation.

Approved,

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