INTRODUCED BY SEN. JINGGOY EJERCITO ESTRADA 
EXPLANATORY NOTE 
The need for policy research and strategic studies could not be more 
compelling than at the present time. 
Domestic and international, political, 
ecohomic and other developments of profound signjficance present tremendous 
challenges to 
the 
country. 
Major 
technical 
advances especially in 
communications, information and transportation have increased interdependence 
among nations. 
While large-scale military confrontation has become more unlikely, 
competition for resources is likely to develop more keenly. It is expected that the 
next arena of competition could very well be the Asia-Pacific Region. 
In many parts of Asia, outstanding territorial conflicts may fuel many 
interstate tensions. Meanwhile, some states continue to build vast arsenals of 
weapons which may bring about another arms race. 
Contending claims over the Spratly portion of the South China Sea by 
several states, including the Philippines, may result in armed confrontation. 
Internally, the Philippines is beset by a continuing insurgency. The local 
communist movement remains a clear and present danger to national security, 
even as the Mor0 Islamic Liberation Front (MILF), together with terrorist 
orghnizations, like the Abu Sayyaf continues to disturb the political stability of the 
country. 
There is clearly an urgency in conducting scientific and continuing policy 
research and strategic studies as bases for addressing our fundamental and 
critical national concerns. 
Strategic study work has to be done by a group of select scholar-members 
whQ, among other things, shall: (1) conduct strategic research on national and 
international concerns; (2) formulate various policy options on various national 
concerns and (3) recommend the appropriate actions to support such policies 
and strategies. In view of the foregoing considerations early passage of this bill is 
earnestly sought. 
-Senator 


FOURTEENTH CONGRESS OF THE REPUBLIC 
) 
OF THE PHILIPPINES 
1 
First Regular Session 
) 
7 
JJL -2 
p 
1:; 5 
S E N A T E  
Senate Bill No. 501 
INTRODUCED BY SEN. JINGGOY EJERCITO ESTRADA 
AN ACT 
CREATING AND ESTABLISHING THE INSTITUTE FOR STRATEGIC 
STUDIES AND FOR OTHER PURPOSES 
Be if enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled: 
SECTION 1. 
€sfab/ishment of the lnsfifufe for strategic Studies 
(/SS). 
The Institute for Strategic Studies, hereinafter referred to as the 
Organization is hereby created and established as an institution to promote 
understanding of fundamental, current and emerging domestic and international 
issued and to assist the government in formulating policy and strategic 
perspectives on those issues. It shall conduct research on fundamental national 
concerns in response to or in anticipation of the needs of policy-making, conduct 
studies on matters of domestic and international political, economic, military, 
socio-cultural and techno-scientific significance in an interdisciplinary and 
integrative manner; identify strategies to serve the ends of policy, design 
programs to effect coordinated and integrated work of other research institutes 
engaged in strategic studies, undertake commissioned research work in 
collaboration with outside entitieslinstitutions consistent with its mandate; build 
and maintain a resource facility and data bank; and carry out such other activities 
and projects as shall enhance the mission of the organization. 
SEC 2. Powers of the Organization. The Organization shall have the 
following powers: 
a) Adopt, alter and use a corporate seal; 
b) Take and hold by bequest, devise, gift, purchase or lease, either and 
absolutely or in trust, for any of its purposes, any property, real or 
personal, without limitation as to amount or value, to convey such 
property and to invest and reinvest any principal of the said 
Organization in such manner as shall best promote its objectives; 
c) Collect, receive and maintain a fund or funds and to apply the income 
and principal thereof to the promotion of its aims and purposes herein- 
before set out; 


d) Contact any obligation or enter into any agreement necessary or 
incidental to the proper management of its corporate powers; 
e) Engage in any activity, and exercise all the powers conferred by the 
laws upon private or government-owned and controlled corporations, 
and: 
f) Exercise the general powers of a duly incorporated entity as set out in 
the corporate code. 
SEC 3. The Board of Trustees. The Organization shall be organized 
functionally with the following components: 
1. 
There shall be a Board of Trustees composed of the Executive 
Secretary, Senate President, House of 
Representatives 
Speaker, Secretary of Foreign Affairs, Secretary of National 
Defense, Secretary of Science and Technology, President of the 
Philippine Chamber of Commerce and Industry, an eminent 
representative from the private sector to be appointed by the 
President of the Republic of Philippines and the President of the 
Organization; 
The Trustees shall elect from among themselves the Chairman 
and Vice-chairman of the Board; 
The Board of Trustees coming from the private sector may 
create an executive committee of five trustees including its 
Chairperson, which shall have the authority to make decisions 
on behalf of the Board of Trustees in between the regular 
meetings of the said board. The Chair of the Board shall head 
the executive committee. Decisions of the Executive Committee 
shall be reported to the Board of Trustees at its meeting. 
The trustees shall receive a per diem as may be authorized for 
every meeting actually attended, in addition to reasonable 
transportation and representation expenses. 
The Board shall provide guidance to the policy Council on the 
thrusts, objectives, policies, research, agenda, programs and 
other activities of the organization. 
2. 
3. 
4. 
5. 
SEC 4. Policy Council. There shall be a Policy Council, composed of a 
Executive Director and five others as Members, all of whom shall be appointed 
by the President of Republic of the Philippines from among the present members 
of the Strategic Studies Group of the National Defense College of the Philippines, 
as presently constituted, for a term of six years. The Council shall have the 
following authority; 
1. 
To formulate the thrusts, objectives, policies, research agenda, 
programs and other activities; 
2. 
To oversee, monitor and evaluate all research work and 
studies; 


3. 
To designate Research Fellows with notable scholarship to do 
and orldirect research work and strategic studies in various 
functionallarea program of the organization that are relevant to 
their areas of expertise; 
To determine and fill up other positions in the Organization and 
fix the salaries, honoraria, allowance and other emoluments of 
all Organizations 
4. 
SEC 5. Autonomy and Academic Freedom of the Organization. The 
Organization shall be an autonomous and self-governing institution governed by 
the principle of academic freedom; it shall neither be organic nor be part of any 
government instrumentality. It shall be attached to the Office of the President to 
facilitate its budgetary and other administrative requirements and for the purpose 
of policy coordination. 
SEC 6. Assistance from Government Departments and Agencies. To 
assist 
in its functions, government departments, 
agencies, units or 
instrumentalities shall allow the Organization access to their official files, records, 
data and other documents, provided such access is consistent with the 
requirements of confidentiality. 
SEC 7. Exemptions. Notwithstanding any provisions of law to the 
contrary, appointments to the research and administrative staff of the 
Organization may be on a full-time basis and shall be exempt from the 
requirements and restrictions of the Civil Service and retirement laws, other laws, 
rules and regulations on position-classification and salary standardization and 
Section Two Hundred Fifty Nine of the Revised Administrative Code; Provided, 
that any government retiree employed in the Organization shall not be required to 
reimburse or refund any gratuity received from the government nor shall any 
pension or annuity to which he is entitled be suspended or reduced on account of 
his employment in the Organization. 
SEC 8. Services of Outside Agencies and of Private Sector. The 
Organization may, for the purpose of research, field work and other activities, 
obtain and pay for the services of the personnel of any agency of the Philippine 
Government andlor private sector to perform research of field work and such 
other activities as may be needed. 
SEC 9. Endowment Fund. 
1. 
An Endowment Fund shall be created 
to provide for non- 
recurring expenditures of the Organization For this purpose, the 
amount of 500 million pesos (P500,000,000.00) is hereby 
appropriated from any funds in the National Treasury. 
The 
Endowment Fund shall be administered as a trust funds with the 
Board of Trustees thereof, provided that the principal of said 
endowment shall not be subject to impairment and provided 
further that the earnings thereof, shall constitute a trust fund 
available for non-recurring and unprogrammed expenditures of 
the Organization. 
Any or all savings of the Organization shall form part of the trust 
funds provided in Section 9, above. 
2. 


SEC I O .  Appropriation. There is hereby appropriated the amount of five 
hundred million pesos (P500,000,000.00) out of any unappropriated funds in the 
National Treasury for such initial requirements as capital outlay and 
infrastructures of the Organization. Thereafter, beginning January 2007, the 
Congress of the Philippines shall include as part of its budgetary appropriations 
the amount of at least Fifty Million (P50,000,000.00) pesos to finance the 
recurring and operational expenditures of the Organization. 
Approved,