Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

TWENTIETH CONGRESS
First Regular Session
343

HOUSE BILL NO.

Introduced by HON. MARLO C. BANCORO
First District, Zamboanga Sibugay

EXPLANATORY NOTE

Article II, Section 24 of the Philippine Constitution states that, "The State
recognizes the vital role of communication and information in nation-building."

In line with this constitutional mandate, this bill seeks to grant RSV
BROADCASTING NETWORK INCORPORATED a legislative franchise to
construct, install, establish, operate, and maintain radio and television broadcasting,
stations throughout the Philippines, including the use of satellite, internet, and other
broadcasting systems and technologies that may now or hereafter be developed, for a
period of twenty-five (25) years.

RSV BROADCASTING NETWORK INCORPORATED is a duly registered
corporation interested in the telecommunications business for domestic audiences and
other related businesses. It aims to operate radio and television stations throughout
the Philippines with its central base of operations at San Jose, Malaybalay City,
Bukidnon. Its vision is to deliver timely, relevant, and quality programming that
informs, educates, inspires, and entertains the public.

With the ever-growing demand for accessible and responsible media, the grant
of this franchise will enable RSV to contribute to the development of a dynamic and
pluralistic broadcasting industry in the country. The franchise will likewise promote
media accessibility and press freedom, encourage regional content development,
provide a platform for educational and civic programming, and offer opportunities for
employment and economic growth in the broadcasting sector.

Given the importance of ensuring that information and entertainment services
reach even the remotest communities, the approval of this legislative franchise will
support the government's commitment to inclusive communication and nation-
building.

In view of the foregoing, the immediate passage of this bill is earnestly sought.

ATTY. Cc CORO


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

TWENTIETH CONGRESS
First Regular Session

HOUSE BILLNo. 343

Introduced by HON. MARLO C. BANCORO
First District, Zamboanga Sibugay

AN ACT
GRANTING THE RSV BROADCASTING NETWORK INCORPORATED, A
FRANCHISE TO CONSTRUCT, INSTALL, ESTABLISH, OPERATE AND
MAINTAIN RADIO AND TELEVISION BROADCASTING STATIONS
THROUGHOUT THE PHILIPPINES

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

SECTION 1. Nature and Scope of Franchise. -Subject to the provisions of
the Constitution and applicable laws, rules and regulations, there is hereby granted to
RSV BROADCASTING NETWORK INCORPORATED, hereinafter referred to as the
grantee, its successors or assignees, a franchise to construct, install, establish, operate,
and maintain for commercial purposes and in the public interest, “radio and/or
television broadcasting stations throughout the Philippines”, with its central base of
operations located at San Jose, Malaybalay City, Bukidnon, where frequencies and/or
channels are still available for radio and/or television broadcasting, including digital
television system, through microwave, satellite, or whatever means, including the use
of new technologies in television and radio systems, with the corresponding
technological auxiliaries and facilities, special broadcast and other program and
distribution services and relay stations.

SEC. 2. Manner of Operation of Stations or Facilities. - The stations or
facilities of the grantee shall be constructed and operated in a manner as will, at most,
result only in the minimum interference on the wavelengths or frequencies of existing
stations or other stations which may be established by law, without in any way
diminishing its own right to use its assigned wavelengths or frequencies, and the
quality of transmission or reception thereon as should maximize rendition of the
grantee's services and/or the availability thereof.

SEC. 3. Prior Approval of the National Telecommumications
Commission (NTC). - The grantee shall secure from the NTC the appropriate
permits and licenses for the construction and operation of its stations and facilities,
and shall not use any frequency in radio/television spectrum without authorization
from the NTC. The NTC, however, shall not unreasonably withhold or delay the grant
of any such authority.

SEC. 4. Responsibility to the Public. - The grantee shall provide adequate
public service time to enable the government, through the broadcasting stations or


facilities, to reach the population on important public issues; provide at all times
sound and balanced programming; assist in the functions of public information and
education; conform to the ethics of honest enterprise; and shall not use its stations
and facilities for the broadcasting of obscene and indecent language, speech, act or
scene or for the dissemination of deliberately false information or willful
misrepresentation, to the detriment of the public interest, or to incite, encourage, or
assist in subversive or treasonable acts.

SEC. 5. Right of the Government. -A special right is hereby reserved to the
President of the Philippines, in times of war, rebellion, public peril, calamity,
emergency, disaster, or disturbance of peace and order: to temporarily take over and
operate the stations or facilities of the grantee; to temporarily suspend the operation
of any station or facility in the interest of public safety, security, and public welfare; or
to authorize the temporary use and operation thereof by any agency of the government,
upon due compensation to the grantee, for the use of said stations or facilities during
the period when these shall be so operated.

The telecommunication spectrum is finite resource that is part of the national
patrimony and the use thereof is a privilege conferred upon the grantee by the State
and may be withdrawn anytime after due process.

SEC. 6. Term of Franchise. -The Franchise shall be in effect for a period of
twenty-five (25) years, unless sooner revoked or cancelled. The franchise shall be
deemed ipso facto, revoked in the event the grantee fails to comply with any of the
following conditions:

a) Commence operations within one (1) year from the approval of its
operating permit by the NTC;

b) Commence operations within three (3) years from the effectivity of this
Act;

©) Operate continuously for two (2) years.

SEC. 7. Acceptance and Compliance. Acceptance of this franchise shall
be given in writing within sixty (60) days from the effectivity of this Act through the
Committee on Legislative Franchises of the House of Representatives and the
Committee on Public Services of the Senate. Upon giving such acceptance, the grantee
shall exercise the privileges granted under this Act. Nonacceptance shall render the
franchise void.

SEC. 8. Bond.- The grantee shall file a bond issued in favor of the NTC in the
amount the NTC shall determine to guarantee the compliance with and fulfillment of
the conditions under which this franchise is granted. If after three (3) years from the
date of approval of its permit by the Commission, the grantee shall have fulfilled the
same, the bond shall be cancelled by the Commission. Otherwise, the bond shall be
forfeited in favor of the government and the franchise ipso facto revoked.

SEC. 9. Self-regulation by and Undertaking of Grantee. -The grantee
shall not require any previous censorship of any speech, play, act or scene, or other
matter to be broadcast from its stations: Provided, That the grantee, during any
broadcast, shall cut off the airing of speech, play, act or scene, or other matter being
broadcast if the tendency thereof is to propose and/or incite treason, rebellion, or
sedition; or the language used therein or the theme thereof is indecent or immoral:


Provided, further, That willful failure to do so shall constitute a valid cause for the
cancellation of this franchise.

SEC. 10. Warranty in Favor of the National and Local Governments.
- The grantee shall hold the national, provincial, city, and municipal governments of
the Philippines free from all claims, accounts, demands, or actions arising out of
accidents or injuries, whether to property or to persons, caused by the construction or
operation of the stations of the grantee.

SEC. 11. Sale, Lease, Transfer, Grant of Usufruct, or Assignment of
Franchise. -The grantee shall not sell, lease, transfer, grant the usufruct of, nor
assign this franchise or the rights and privileges acquired thereunder to any person,
firm, company, corporation or other commercial or legal entity, nor merge with any
other corporation or entity, nor shall transfer to controlling interest of the grantee,
whether as a whole or in part, and whether simultaneously or contemporaneously, to
any person, firm, company, corporation, or entity without the prior approval of
Congress.

The Grantee shall inform Congress, through the Office of the Speaker of the
House of Representatives and Office of the Senate President, of any sale, lease,
transfer, grant of usufruct, or assignment of franchise, or the rights and privileges
acquired thereunder, or of the merger or transfer of the controlling interest of the
grantee, within sixty (60) days after the completion of the said transaction.

Failure to report to Congress such change of ownership shall render the
franchise ipso facto revoked. Any person or entity to which this franchise is sold,
transferred, or assigned shall be subject to the same conditions, terms, restrictions,
and limitations of this Act.

SEC. 12. Dispersal of Ownership. -In accordance with the constitutional
provision to encourage public participation in public utilities, the grantee shall offer to
Filipino citizens at least thirty percent (30%) of its outstanding capital stocks, or a
higher percentage that may hereafter be provided by law, in any securities exchange in
the Philippines within five (5) years from the effectivity of this Act: Provided, that in
cases where public offer of shares is not applicable, establishment of cooperatives and
other methods of encouraging public participation by citizens and corporations
operating public utilities must be implemented. Non-compliance therewith shall
render the franchise ipso facto revoked.

SEC. 13. General Broadcast Policy Law. -The grantee shall comply with
and be subject to the provisions of a general broadcast policy law, which Congress may
hereafter enact.

SEC. 14. Reportorial Requirement. -The grantee shall submit an annual
report on its compliance with the terms and conditions of the franchise and on its
operations to the Congress of the Philippines, through the Committee on Legislati
Franchises of the House of Representatives and the Committee on Public Services of
the Senate, on or before April 30 of every year during the term of its franchise.

The reportorial compliance certificate issued by Congress shall be required
before any application for permit certificate is accepted by the NTC.

SEC. 15. Penalty Clause. - Failure of the grantee to submit the requisite
annual report to Congress shall be penalized by a fine of Five Hundred Pesos


(P500.00) per working day of noncompliance to the NTC. The fine shall be collected
separately from the reportorial penalties imposed by the NTC and it shall be remitted
to the Bureau of the Treasury.

SEC. 16. Equality Clause. -Any advantage, favor, privilege, exemption or
immunity granted under existing franchises, or which may hereafter be granted for
radio and/or television broadcasting, upon prior review and approval of Congress,
shall become part of this franchise and shall be accorded immediately and
unconditionally to the herein grantee: Provided, That the foregoing shall neither apply
to, nor affect the provisions of broadcasting franchises concerning territorial coverage,
the term, or the type of service authorized by the franchise.

SEC. 17. Separability Clause. -If any of the sections or provisions of this
Act is held invalid, all other provisions not affected thereby shall remain valid.

SEC. 18. Repealability and Nonexclusivity Clause. -This franchise shall
be subject to amendment, alteration, or repeal by Congress when the public interest so
requires, and shall not be interpreted as an exclusive grant of the privileges herein
provided for.

SEC. 19. Effectivity. -This Act shall take effect fifteen (15) days after its
publication in the Official Gazette or in a newspaper of general circulation.

Approved,