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NINETEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
,b.nSoT^23
•22 DEC 15 P2O0
RECEIVED 8V
Introduced by SENATOR IMEE R. MARCOS
AN ACT
CREATING THE CAGAYAN RIVER BASIN DEVELOPMENT AUTHORITY, 
PRESCRIBING ITS POWERS, FUNCTIONS AND DUTIES, PROVIDING FUNDS 
THEREFOR, AND FOR OTHER PURPOSES
EXPLANATORY NOTE
Cagayan River, or Rio Grande de Cagayan, is the longest river in the country at 
about 520 kilometers. The basin spreads across 27,281 square kilometers across central 
and eastern Luzon - reaching up north to Apayao, Benguet, Ifugao, Kalinga, Mountain 
Province, covering Cagayan, Quirino, Nueva Vizcaya, and Isabela, and extending to 
parts of Abra, Aurora, and Nueva Ecija. In total, the Cagayan River Basin encompasses 
12 provinces, 122 cities and municipalities, and 2,249 barangays.
Civilizations and cultures of the region thrived and revolved around this mighty 
river. The river and its tributaries have provided the people with water for irrigating 
lands and fertile soil for agriculture, scenic spots for tourism and recreation, gateway 
for transportation and commerce, and other vital economic resources such as fish, sand 
and gravel, energy, among others. For centuries, the river has been a source of life 
and engine of growth for the region.
However, climate change has exacted a heavy toll on the Cagayan River Basin.
The Philippine Atmospheric, Geophysical and Astronomical Services Administration
(PAGASA) reports that the Cagayan River Basin suffered its worst drought in April 2019,
when record-topping heat destroyed vast tracts of farmland, rendering useless 48,394
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hectares of palay and 66,963 hectares of corn. According to estimates, the total losses 
amounted to Php 2.1 billion.
Moreover, the onslaught of typhoon "Ulysses" in November 2020 in the Luzon 
Island and its adverse impact in many provinces exposed the vulnerabilities of our 
environment, including the Cagayan River and its surroundings. To illustrate the extent 
of the damage, the Buntun Bridge, which crosses the Cagayan River with a normal 
water level of only 4 meters, was nearly engulfed by the river as its waters rose to 13.3 
meters. The flooding incident was unprecedented in the history of the province.
Hence, this bill seeks to establish the Cagayan River Basin Development 
Authority which will harmonize multi-sectoral efforts and oversee and accelerate the 
protection, rehabilitation, and development of the expansive Cagayan River basin 
across three regions (Cordillera Administrative Region, Cagayan Valley, and Central 
Luzon). This will develop the unutilized potentials of the Cagayan River basin and spur 
more economic activities throughout Northern Luzon through sustainable strategies, 
long-term planning and inter-regional cooperation.
In view of foregoing reasons, the passage of this bill is earnestly sought.
E R. MARCOS


S:t I S3fI1.1U
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•22 DEC 15 P2 .-00
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NINETEENTH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
Rl'CEiVuU BV;
SENATE
S.B. No.
Introduced by SENATOR IMEE R. MARCOS
AN ACT
CREATING THE CAGAYAN RIVER BASIN DEVELOPMENT AUTHORITY, 
PRESCRIBING ITS POWERS, FUNCTIONS AND DUTIES, PROVIDING FUNDS 
THEREFOR, AND FOR OTHER PURPOSES
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled:
SECTION 1. Short Title. 
Development Authority Act"
This Act shall be known as the "Cagayan River Basin
SEC. 2. Declaration of Policy. - It is hereby declared the policy of the State to 
promote the integrated management and development of resources in the country's 
river basin, within the context of the river basin approach to optimize economic and 
social welfare without compromising the Sustainability of environmental system to 
ensure a fair sharing of the national patrimony between and among its people.
Act to:
SEC. 3. Purposes and Objectives. - It is the purpose, intent and objective of this
a. Establish the legal framework and mechanisms for the creation of the Cagayan 
River Basin Development Authority;
b. Consolidate and harmonize all development initiatives within the river basin 
under the overall framework of a unified river basin management, protection 
against environmental degradation, immediate rehabilitation and development 
approach;
c. Maximize the participation of all stakeholders in the area, establish the most 
effective approach to effect an active and sustainable collaboration among


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stakeholders from government agencies, non-government agencies/people's 
organizations and the private sector and communities within the area;
d. Promote equitable sharing of costs and benefits from the basin's natural 
resources without compromising the river's preservation and sustainable usage; 
and
e. Negotiate local and external Investment in the area, thereby generating 
required resources to support the implementation of required and necessary 
interventions (physical or services) increasing livelihood opportunities and 
facilitating the provision of needed social services for the people within the basin.
SEC. 4. Creation of the Cagayan River Basin Development Authority. - For the 
purpose of carrying out and effecting the declared policy, as provided for in Section 2 
hereof as well as its purposes and objectives, there is hereby created a corporate body 
to be known as the Cagayan River Basin Development Authority, hereinafter referred 
to as the Authority, under the Office of the President, which shall be organized within 
one hundred twenty (120) days after the approval of this Act. The Authority shall 
execute the powers and functions herein vested and conferred upon it in such a manner 
as well in its judgment, aid to the fullest possible extent in carrying out the aims and 
purposes of this Act.
SEC. 5. TerritoriaiJurisdiction. - The Authority shall have jurisdiction overall the 
areas within the watershed of the Cagayan River with origin from its headwaters in the 
Caraballo Mountains, and flowing through the provinces covered by the Cagayan River 
basin such as Aurora, Kalinga, Apatao, Ifugao and Mountain Province.
SEC. 6. Location of Principal Office. - The Authority shall maintain its principal 
office at the most strategically located place in the region. It may, however, establish 
branch offices in other places necessary for the proper conduct of its business.
SEC. 7. Powers and Functions. - In addition to the usual corporate powers and 
in order to effectively realize its objectives, the Authority shall be charged and vested 
with the following powers and functions:
a. To spearhead the coordination of inter-agency activities within its jurisdiction 
in the implementation of the Cagayan River Basin Master Plan (CRBMP),
b. To prepare, review, evaluate, and update the CRBMP in the interest of the 
Regional Development Plans of Region II and other area and sectoral plans as 
basis for proposing improvements in existing policies governing the protection,


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preservation, management and development of resources within the basin 
through legislation or other appropriate executive measures. In addition, the 
Cagayan River Basin Development Authority shall recommend to the President 
and the Congress matters that may require executive directives and 
congressional legislation in support of the objectives of the CRBMP;
c. To coordinate the integration of all proposed plans, programs and projects of 
the local government units, line agencies/public corporation and the private 
sector where such plans, programs and/or projects that are related to those of 
the Authority for the protection and rehabilitation and sustainable development 
of the basin;
d. To initiate, receive and recommend project proposals for the development, 
conservation and management of the basin's water resources;
e. To engage in agriculture, industry, commerce, or other activities within the 
region which may be necessary or directly contributory to the socio economic 
development of the region, and for these purposes, whether by itself or in 
cooperation with private persons or entitles, to organize, finance, invest in, and 
operate subsidiary corporations; Provided, That the Authority shall engage only, 
unless public interest requires otherwise in those activities that are in the nature 
of new ventures or are clearly beyond the scope, capacity, or interest or private 
enterprises due to consideration of geography, technical or capital requirements, 
returns on investment, and risk;
f. To establish a functional basin information and database system, utilizing 
computer-generated planning tools for use by planners, technical personnel and 
the general public in collaboration with other information systems in order to 
encourage the mutually beneficial sharing of data;
g. To provide the machinery for extending the necessary assistance and seeking 
the same to local government units, line agencies, public corporations, the 
private sector, and affected indigenous cultural communities/indigenous peoples 
in planning for the development projects that have an overall impact upon the 
utilization of resources within the Cagayan River Basin;
h. To provide the machinery for extending the necessary technical assistance for 
the maintenance, repair and rehabilitation, as may be necessary, of Micro-Hydro 
System located within the area including the resolution of problems on siltation
and flooding;
i. To undertake on improvement and maintenance of the desirable water quality 
and in pursuance, thereof, prepare a water quality management program on a


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continuing basis in coordination with relevant agencies, which the Authority shall
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carry out with the assistance and support of all national and local government
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units involved in water quality management;
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m. To provide assistance in arbitrating the resolution of inter-regional
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disputes/conflicts on water;
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n. To call upon any government agency/office or bureau for assistance in the
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discharge of and form committees to facilitate the performance of its functions
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and responsibilities. Likewise, the Authority is hereby empowered to impose
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sanctions on individuals and/or entities within its territorial jurisdiction who
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Implement projects that are not environmentally friendly;
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0. To receive grants, donations, and other forms of development assistance in
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the discharge of its duties. As such, the Authority may engage or invest on, or
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enter into joint venture with Filipino or foreign investors in such projects within
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its jurisdiction as it may deem proper and necessary or contributory to the
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achievement and/or implementation of any or all of the purposes and objectives
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of this Act;
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p. To plan, program and/or undertake infrastructure projects such as river, flood,
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water and sewerage works, water supply, roads, irrigation, housing and related
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works when so required within the context of its development plans and
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programs including readjustment, relocation, or settlement of population within
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the Basin, as may be necessary and beneficial by the Authority; and
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q. To do any and all acts and to exercise all powers which may be necessary,
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proper or incidental to the accomplishment of the mandate, purposes, and
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objectives of this Act.
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SEC. 8. The Corporate Powers of the Authority. - The Authority shall have the
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following corporate powers;
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a. To succeed on its corporate name;
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b. To sue and be sued in such corporate name;
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c. To adopt, alter and use a corporate seal;
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d. To adopt, amend and repeal its by-laws;
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e. To undertake activities that will justifiably explore, exploit, extract and develop
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the economic potentials of the Cagayan River Basin in ways that are
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environmentally friendly and non-competitive with the private sector;


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f. To enter into contracts of any kind and description, to enable it to carry out its
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purpose and function under this Act;
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g. To acquire, buy, purchase, hold or lease, such personal and real property as
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it deems it necessary or convenient in the transaction of its business and/or in
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relation to carrying out its purposes under this Act; and to lease, mortgage, sell,
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alienate or otherwise encumber, utilize, exploit, or dispose such personal and
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real property held by it, subject to prior or existing individual or communal right
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or private parties or of the government or any agency or enterprise thereof;
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h. To exercise the right of eminent domain wherever the Authority deems it
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necessary for the attainment of the objectives of the Authority under this Act;
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j. To borrow funds from any local or foreign financial institution to carry out the
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purposes of this Authority under this Act;
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j. To issue rules and regulations as may be necessary to effectively carry out the
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powers and the purposes herein provided including plans, programs and projects
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of the Authority, subject to the approval of the Office of the President/or agencies
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supervising government corporations; and
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k. For carrying on its business, of for the purpose of attaining or furthering any
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of its objectives, to perform any and all acts which a corporation, co-partnership
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or natural person is authorized to perform under the laws now existing or which
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may be enacted hereafter.
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SEC. 9. Organizational Structure. - The Authority shall have a Board of Directors
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and it shall be supported by a fully-staffed Management Office.
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SEC. 10. Board of Directors. - The affairs and business of the Authority shall be
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directed and its properties managed and preserved by a Board of Directors to be
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composed of the following:
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a. One (1) representative from the Office of the President;
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b. Regional Directors of the National Economic and Development Authority
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(NEDA) of Region II (Cagayan Valley) and Cordillera Administrative Region
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(CAR);
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c. Regional Director of the Department of Environment and Natural Resources
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(DENR) of Region II and CAR, and the Regional Technical Directors of the Mines
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and Geo-Sciences Bureau and the Environmental Management Bureau;
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d. Regional Director of the National Irrigation Administration of Region II,


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e. Regional Director of the Department of Agriculture of Region II and CAR;
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f. Regional Director of the Department of Public Works and Highways (DPWH) of
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Region II;
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g. Executive Director of the National Water Resources Board;
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h. The Governors of the Provinces of Quirino, Nueva Vizcaya, Isabela, Cagayan,
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Ifugao, Apayao, Kalinga, Mountain Province and Aurora;
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i. Representative of the private investors;
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j. Representative of non-government organizations/people's organizations which
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champion environmental protection and sustainable development;
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SEC. 11. Honorarium and other Financial Remunerations of the Board. - The
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member of the Board shall receive honorarium and per diems for every meeting actually
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attended by every member and a monthly allowance to be determined by the Board;
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Provided, That in no case shall the amount received by each member exceed the sum
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of Five Thousand Pesos (P5,000.00) per month. A member of the Board shall be
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reimbursed by the Authority for actual expenses. Including travelling and representation
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expenses, incurred in the performance of their duties for the Authority as authorized by
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the Board.
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SEC. 12. Powers and Functions of the Board. - The Board of Directors of the
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Authority shall have the following powers, functions and duties;
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a. To prepare and approve development plans in the short, medium and long
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term, review and expedite the execution of such when necessary;
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b. To approve and execute specific policies and programs for the collection of
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permit fees and other fees for the establishment of tourism infrastructures and
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to treat these funds as trust funds which would be plowed back to the
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infrastructure and development needs of the Cagayan River Basin;
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c. To prepare, approve and promulgate guidelines, standards, rules and
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regulations in order to encourage, and stimulate the growth and development of
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commerce, trade, tourism and infrastructure development within the area of
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operation of the Authority;
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d. To review and approve all applications for any economic endeavor proposed
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utilizing the resources of the Cagayan River Basin;
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e. To approve contracts such as lease and memoranda of agreement that will


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promote tourism and the growth of business and industry in the Cagayan River 
Basin;
f. To receive local or foreign aid and donations as well as engage in any form of 
fund raising for the purpose of gathering development funds for the projects 
along Cagayan River Basin;
g. To approve a lean and efficient organization structure, and budget for the 
Authority after consultation with the relevant sectors, agencies, institutions, and 
entities;
h. To appoint and discipline any employee, after according him due process in 
accordance with existing laws, together with rules and regulations of the Civil 
Service Commission (CSC);
i. To elect from among the members of the Board of Directors the following 
executive offices:
1. President/Chairman of the Board;
2. Vice President/Vice-Chairman of the Board;
3. Secretary;
Provided, That the Board shall likewise have the corresponding power to replace 
any of these officials after having incurred three (3) consecutive absences in the 
meeting of the Board or for acts prejudicial to the objectives of the Authority;
j. To screen and approve the appointment of the following: General Manager, 
Assistant General Manager, Treasurer, Administrative Officer, Planning and 
Development Officer, Budget and Finance Officer, Legal Officer, Project 
Management Officer, and Engineering and Construction Officer;
k. To request periodic or special audit of all its funds and properties from the 
Commission on Audit when the need arises;
i. To adopt a seal arid flag/determine the exact location of its office preferably 
near its area of operation, and adopt its own rules and proceeding in meetings 
and general assemblies in accordance with the standards of transparency and 
parliamentary procedures; and
m. To exercise such powers and perform such functions which are proper and 
necessary to Implement the objectives of the Authority and to carry out the 
provisions of this Act.


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SEC. 13. Term of Office of the General Manager. - The General Manager of the 
Authority shall serve for a fixed term of four (4) years, unless removed from office by 
a vote of two-thirds of the Board of Directors.
SEC. 14. Residence and Prohibition. - The General Manager shall, if practicable, 
establish his residence within the nearest where the Cagayan River Basin Authority's 
Principal Office is established. The General Manager shall not during his tenure of office, 
engage in any business, profession, or calling other than those connected with the 
performance of his official duties as the General Manager of the Authority.
SEC. 15. Power and Duties of the General Manager. - The General Manager 
shall have the following powers and functions:
a. Submit for consideration of the Board, the policies and measures necessary to 
carry out the purposed and provisions of this Act;
b. Execute and administer the policies, plans, programs and projects approved 
by the Board;
c. Direct and supervise the operation and internal administration of the Authority. 
The General Manager may delegate some of his administrative responsibilities to 
other officers of the Authority subject to the rules and regulations of the Board;
d. Prepare the annual budget of the Authority for consideration of the Board;
e. Submit within thirty (30) days after the close of each fiscal year, an annual 
report to the Board and such other reports as may be required;
f. Exercise such other powers as may be vested in him by the Board;
g. Effect the arrest of any person who violates the provisions of this Act, subject 
to Article 125 and 126 of the Revised Penal Code and the requirements of due 
process.
SEC. 16. Key Officials. - In carrying out the activities of the Authority, the 
General Manager shall be assisted by the Assistant General Manager who shall have 
powers, duties and functions that may be delegated to him by the General Manager, 
and shall act as General Manager in the absence of or during the temporary incapacity 
and/or until such time as a General Manager is duly appointed. The Authority shall have 
the following officers under the direct supervision and control of the General Manager:


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a. An Administrative Officer who shall be responsible for providing services 
relating to personnel, training, information, records, suppiies, general services, 
equipment and security;
b. A Planning and Development Officer who shall be responsible for providing 
services relating to planning, programming, statistics and project development;
c. A Budget and Finance Officer who shall be responsible providing staff advice 
and assistance on budgetary matters and safekeeping of corporate assets;
d. A Legal Officer who shall represent the Authority in legal actions and 
proceedings. The Legal Officer shall be responsible for staff advice and assistance 
on legal matters;
e. A Project Management Officer who shall be responsible for the operation of 
approved projects including livelihood projects, project evaluation and 
management improvement matters;
f. An Engineering and Construction Officer who shall be responsible for providing 
services related to detailed engineering plans and construction and maintenance 
of project facilities;
SEC. 17. Funding. - The Authority's funding for its operations shall be born from 
appropriations for the Authority in the General Appropriations Act under the budget for 
the Office of the President.
SEC. 18. Authority Directly Under the Department of the Environment and 
Natural Resources (DENR). - The Authority shall operate as an independent institution 
subject only to the administrative supervision of the Department of Environment and 
Natural Resources (DENR).
SEC. 19. Audit by the Commission on Audit (COA). - All accounts and expenses 
of the Authority shall be audited by the Commission bn Audit or its duly authorized 
representative.
SEC. 20. Prohibited Acts. -The following acts are hereby declared unlawful:
a. To dump solid and hazardous waste and untreated sewage into the Cagayan 
River Basin;
b. To dump or throw garbage into the Cagayan River or on its banks;


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c. To squat on or appropriate portion of the banks of the aforesaid river basin 
for private use or gain, except for such reasonable augment of public use in the 
interest of recreation, navigation, and fishing; and
d. To fence off and/or encroach upon the said Cagayan River Basin or any portion 
thereof by any means whatsoever, and converting the same into fish pens for 
their private and material gain; and/or have the same titled in his name.
SEC. 21. Pena! and Civil Liability Clause. - Any person, natural or juridical, who 
shall violate any of the provisions of this Act or any rules or regulation promulgated by 
the Authority pursuant thereto shall be liable to imprisonment of not exceeding three 
(3) years or a fine of not less than Ten Thousand Pesos (P10,000.00) but not exceeding 
One Hundred Thousand Pesos (P100,000.00) or both at the discretion of the court.
If the violator is a corporation, partnership or association, the officers of the 
organization concerned shall be liable thereof. The authority Is hereby authorized to 
pursue separate civil actions for damages resulting from infractions of the provisions of 
this Act, rules or regulations issued pursuant thereto and/or conditions in the clearances 
or permit issued by the Authority.
SEC. 22. Bar of Suit - During the pendency of any legal action before the 
Authority, no court other than the Supreme Court shall take cognizance of any case 
touching the same subject without leave of Authority.
SEC. 23. Finality of Orders and Appeals. - The orders of the Authority shall 
become final and executory after the lapse of fifteen (15) days from the date of receipt 
thereof. An appeal there from can be taken within fifteen (15) days period only to the 
Supreme Court.
SEC. 24. Transitory Provisions. - All concerned offices, bureaus, agencies, 
having existing programs and projects in the Cagayan River Basin that directly 
correspond with the power and functions of the Authority shall relinquish all 
appropriations, funds, records, equipment, facilities, rights, other assets and personnel 
to the Authority within sixty (60) days after the effectivity of this Act.
SEC. 25. Separability Clause. - If any provision or part hereof is held invalid or 
unconstitutional, the remainder of the law or the provision or part not otherwise affected 
shall remain valid and subsisting.
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SEC. 26. Repealing Clause. - Any law, presidential decree or issuance, executive 
order, letter of instruction, administrative order, rule, or regulation contrary to or 
inconsistent with the provisions of this Act are hereby repealed, modified, or amended 
accordingly.
SEC. 27. Effectivity. - This Act shall take effect fifteen (15) days after its 
publication in the Official Gazette or in a newspaper of general circulation.
Approved,
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